Capital City Bank Group, Inc.

Reports Third Quarter 2018 Results

 

TALLAHASSEE, Fla. (October 23, 2018) – Capital City Bank Group, Inc. (NASDAQ: CCBG) today reported net income of $6.0 million, or $0.35 per diluted share for the third quarter of 2018 compared to net income of $6.0 million, or $0.35 per diluted share for the second quarter of 2018, and $4.6 million, or $0.27 per diluted share for the third quarter of 2017.  Net income for the third quarter of 2018 included a tax benefit of $0.4 million, or $0.02 per diluted share related to a 2017 plan year pension contribution made during the quarter as well as a non-routine operating loss of $0.2 million, or $0.01 per diluted share. 

 

For the first nine months of 2018, net income totaled $17.8 million, or $1.04 per diluted share, compared to net income of $10.9 million, or $0.64 per diluted share for the same period of 2017.  Net income for 2018 included tax benefits totaling $3.3 million, or $0.19 per diluted share related to 2017 plan year pension contributions made during 2018.         

 

HIGHLIGHTS

·       Net interest income up 3.7% sequentially and 10.8% over prior year

·       Net interest margin of 3.72%, up 14 basis points over prior quarter

·       Period-end loan growth of $49 million, or 2.8% over prior quarter

·       Year-to-date net charge-offs at 12 basis points continues to reflect the quality of our loan portfolio

·       Tangible capital ratio of 7.80%, up 33 basis points over prior quarter

 

“The third quarter was a continuation of trends we have seen in recent quarters and represented an improvement in our overall performance”, said William G. Smith, Jr., Chairman, President and CEO.  “Rising rates, loan growth and a phenomenal core deposit base are all contributing to higher net interest income. Credit quality remains strong and the strength of our Florida and Georgia economies is driving continued improvement in our market demographics. Lowering our efficiency ratio is a top priority and we have multiple strategies in place to grow revenues and manage expenses. There is more to be done, but I am pleased with our progress as we remain focused on strategies that produce long-term value for our shareowners.”

 

Compared to the second quarter of 2018, the $1.2 million increase in operating profit reflected a $0.8 million increase in net interest income and higher noninterest income of $0.8 million, partially offset by higher noninterest expense of $0.3 million and a $0.1 million increase in the loan loss provision.

 

Compared to the third quarter of 2017, the $0.3 million increase in operating profit was attributable to higher net interest income of $2.4 million and higher noninterest income of $0.3 million, partially offset by a $2.0 million increase in noninterest expense and a $0.4 million increase in the loan loss provision.

 

The increase in operating profit of $2.6 million for the first nine months of 2018 versus the comparable period of 2017 was attributable to higher net interest income of $6.7 million, partially offset by lower noninterest income of $0.5 million, higher noninterest expense of $2.5 million, and $1.1 million increase in the loan loss provision.

 

Our return on average assets (“ROA”) was 0.84% and our return on average equity (“ROE”) was 7.98% for the third quarter of 2018.  These metrics were 0.84% and 8.25% for the second quarter of 2018, respectively, and 0.65% and 6.33% for the third quarter of 2017, respectively.  For the first nine months of 2018, our ROA was 0.83% and our ROE was 8.12% compared to 0.52% and 5.15%, respectively, for the same period of 2017.

 

Discussion of Operating Results

 

Tax-equivalent net interest income for the third quarter of 2018 was $23.8 million compared to $22.9 million for the second quarter of 2018 and $21.6 million for the third quarter of 2017.  The increase in tax-equivalent net interest income compared to both prior periods reflected higher interest rates and a favorable shift in the earning asset mix. Higher rates were earned on overnight funds, investment securities and variable rate loans, partially offset by a higher cost on our negotiated rate deposits.  For the first nine months of 2018, tax-equivalent net interest income totaled $68.6 million compared to $62.4 million for the comparable period of 2017.  The year-over-year increase was driven by growth in the loan and investment portfolios, coupled with higher short-term rates, partially offset by a higher rate paid on our negotiated rate deposits.

 

 


 

The federal funds target rate has been increased eight times since December 2015 to 2.25% at the end of the third quarter of 2018, which positively affected our net interest income due to favorable repricing of our variable and adjustable rate earning assets. Although these increases have resulted in higher rates paid on our negotiated rate deposit products, we continue to prudently manage our overall cost of funds, which was 28 basis points for the third quarter of 2018 compared to 26 basis points for the second quarter of 2018. In conjunction with our overall balance sheet management, we continue to review our deposit board rates to determine whether rate increases are appropriate. Various deposit products have been developed and are available to assist in attracting new clients or maintaining existing relationships that are seeking higher returns on their deposit balances.  While rising rates and client expectations will result in a higher cost of funds, we will continue to prudently manage the mix and costs of our deposit base as we have done in the past.   

 

Our net interest margin for the third quarter of 2018 was 3.72%, an increase of 14 basis points over the second quarter of 2018 and an increase of 24 basis points over the third quarter of 2017.  For the first nine months of 2018, the net interest margin increased 24 basis points to 3.58% compared to the same period of 2017. The increase in the margin as compared to all prior periods reflects rising interest rates and a favorable shift in our earning asset mix, which has produced higher net interest income in each period. 

 

The provision for loan losses for the third quarter of 2018 was $0.9 million compared to $0.8 million for the second quarter of 2018 and $0.5 million for the third quarter of 2017.  For the first nine months of 2018, the loan loss provision was $2.5 million compared to $1.4 million in 2017.  The higher provision in 2018 reflected growth in the loan portfolio.  At September 30, 2018, the allowance for loan losses of $14.2 million represented 0.80% of outstanding loans (net of overdrafts) and provided coverage of 207% of nonperforming loans compared to 0.78% and 236%, respectively, at June 30, 2018 and 0.80% and 186%, respectively, at December 31, 2017.

 

Noninterest income for the third quarter of 2018 totaled $13.3 million, an increase of $0.8 million, or 6.1%, over the second quarter of 2018 and $0.3 million, or 2.4%, over the third quarter of 2017.  Compared to the second quarter of 2018, the increase was primarily due to higher deposit fees, wealth management fees, mortgage banking fees and other income.  A higher level of deposit fees, bank card fees, and other income drove the increase over the third quarter of 2017.  For the first nine months of 2018, noninterest income totaled $38.3 million, a $0.5 million, or 1.3%, decrease from the same period of 2017, primarily due to lower mortgage banking fees of $0.7 million partially offset by higher wealth management fees of $0.3 million.  The lower level of mortgage banking fees was due to a slowdown in secondary market loan production as adjustable rate loan production has picked up momentum and is being retained in our loan portfolio instead of sold on the secondary market.  Total residential loan production (secondary market sales and portfolio) during the first nine months of 2018 was comparable to the prior year.  The increase in wealth management was attributable to higher trust fees and reflected growth in assets under management.                 

 

Noninterest expense for the third quarter of 2018 totaled $28.7 million, an increase of $0.3 million, or 1.1%, over the second quarter of 2018 and $2.0 million, or 7.5%, over the third quarter of 2017.  For the first nine months of 2018, noninterest expense totaled $85.0 million, a $2.5 million, or 3.0%, increase over the same period of 2017.  Compared to the second quarter of 2018, the increase was primarily attributable to a non-routine operating loss.  The increase over the three and nine month periods of 2017 was mostly attributable to an increase in other expense, primarily professional fees, but higher compensation, other real estate owned (“OREO”) expense and a non-routine operating loss also contributed to the increase.  The higher level of professional fees reflected costs associated with several consulting projects, including both profit enhancements projects and the upgrading of ancillary systems, all of which were essentially complete at the end of the third quarter.  The increase in compensation expense reflected higher incentive plan expense driven by improved financial performance.  The increase in OREO expense reflected a $0.7 million decline in property sale gains which spiked in the third quarter of 2017.              

 

For the first nine months of 2018, we realized income tax expense of $1.3 million, which reflected three discrete tax benefit items totaling $3.3 million resulting from the effect of federal tax reform, enacted in December 2017, specifically related to pension plan contributions made in 2018 for the plan year 2017.  The discrete tax items for 2018 totaled $1.5 million for the first quarter, $1.4 million for the second quarter and $0.4 million for the third quarter.  Absent these discrete items, our effective tax rate was approximately 24%. 

 

 


 

Discussion of Financial Condition

 

Average earning assets were $2.535 billion for the third quarter of 2018, a decrease of $30.7 million, or 1.2%, from the second quarter of 2018, and an increase of $23.3 million, or 0.9%, over the fourth quarter of 2017.  The change in average earning assets compared to the second quarter 2018 was attributable to a decrease in short-term investments, primarily due to a decline in seasonal public fund balances and certificates of deposit.  The change in average earning assets over the fourth quarter 2017 was attributable to growth in the loan and investment portfolios primarily funded by increases in noninterest bearing deposits and savings accounts.

 

We maintained an average net overnight funds (deposits with banks plus fed funds sold less fed funds purchased) sold position of $63.6 million during the third quarter of 2018 compared to an average net overnight funds sold position of $158.7 million in the second quarter of 2018 and $174.6 million in the fourth quarter of 2017.  The decrease in average net overnight funds compared to all prior periods reflected growth in our loan and investment portfolios.  Additionally, part of the decrease compared to the second quarter of 2018 was attributable to the decline in our public deposits and certificates of deposit. 

 

Average loans increased $55.8 million, or 3.3% compared to the second quarter of 2018, and have grown $106.4 million, or 6.5% compared to the fourth quarter of 2017.  The increase compared to both prior periods reflected growth in all loans types except home equity loans.  Over the course of 2018, we have purchased both adjustable rate residential loans and fixed and adjustable rate commercial real estate loan pools totaling $25.1 million based on principal balances at the time of purchase.

 

We continue to make minor modifications on some of our lending programs to try to mitigate the impact that consumer and business deleveraging has had on our portfolio.  These programs, coupled with economic improvements in our anchor markets, have helped to increase overall loan growth.  In this rising rate environment, our fixed rate pricing is reviewed frequently and rate increases are implemented as appropriate.

 

Nonperforming assets (nonaccrual loans and OREO) totaled $9.6 million at September 30, 2018, representing an increase of $0.5 million, or 5.2%, over June 30, 2018, and a decrease of $1.5 million, or 13.6%, from December 31, 2017.  Nonaccrual loans totaled $6.9 million at September 30, 2018, a $1.1 million increase over June 30, 2018 and a $0.3 million decrease from December 31, 2017.  The balance of OREO totaled $2.7 million at September 30, 2018, a decrease of $0.6 million from June 30, 2018 and a decrease of $1.2 million from December 31, 2017.  For the third quarter of 2018, we added properties totaling $0.4 million, sold properties totaling $0.9 million and recorded valuation adjustments totaling $0.2 million. 

 

Average total deposits were $2.392 billion for the third quarter of 2018, a decrease of $39.7 million, or 1.6%, from the second quarter of 2018, and an increase of $13.9 million, or 0.6%, over the fourth quarter of 2017.  The decline in deposits compared to the second quarter of 2018 reflected lower public fund and certificates of deposit balances, partially offset by increases in noninterest bearing and savings accounts.  The increase in deposits when compared to the fourth quarter of 2017 reflected growth in all deposit products except public fund, regular NOW accounts and certificates of deposit.  Average public fund balances typically peak in the first quarter and trend downward through the middle of the fourth quarter due to the cycle of tax receipts.

 

Deposit levels continue to be closely monitored and managed in conjunction with runoff from the investment portfolio.  We monitor deposit rates on an ongoing basis as a prudent pricing discipline remains the key to managing our mix of deposits.

 

Average borrowings for the third quarter 2018 increased $5.9 million compared to the second quarter 2018, and increased $2.9 million compared to the fourth quarter of 2017. Increases occurred in short-term borrowings, partially offset by declines in long-term borrowings.  We utilized short-term funding from the Federal Home Loan Bank to fund a small portion of the $55.8 million in average loan growth during the third quarter as we awaited maturities and cash flow back from the investment portfolio. 

 

Shareowners’ equity was $298.0 million at September 30, 2018, compared to $293.6 million at June 30, 2018 and $284.2 million at December 31, 2017.  At September 30, 2018, our common stock had a book value of $17.40 per diluted share compared to $17.15 at June 30, 2018 and $16.65 at December 31, 2017.  Book value is impacted through other comprehensive income by the net unrealized gains and losses in our available for sale investment portfolio.  At September 30, 2018, the net after tax unrealized loss was $3.4 million compared to $3.0 million at June 30, 2018 and $1.7 million at December 31, 2017.  Book value is also impacted by the recording of our unfunded pension liability through other comprehensive income.  At September 30, 2018, the net after tax pension liability reflected in accumulated other comprehensive loss was $30.3 million.  This liability is re-measured annually on December 31st based on an actuarial calculation of our pension liability.  Significant assumptions used in calculating the liability are discussed in our 2017 Form 10-K “Critical Accounting Policies” and include the weighted average discount rate used to measure the present value of the pension liability, the weighted-average expected long-term rate of return on pension plan assets, and the assumed rate of annual compensation increases, all of which will vary when re-measured.  The discount rate assumption used to calculate the pension liability is subject to long-term corporate bond rates at December 31st.  The estimated impact to the pension liability based on a 25 basis point increase or decrease in long-term corporate bond rates used to discount the pension obligation would decrease or increase the pension liability by approximately $5.3 million (after-tax) using the balances from the December 31, 2017 measurement date.                

 

 


 

At September 30, 2018, our leverage ratio was 10.99% compared to 10.69% and 10.47% at June 30, 2018 and December 31, 2017, respectively.  Further, our risk-adjusted capital ratio was 16.94%, 17.00%, and 17.10% on these respective dates.  Our common equity tier 1 ratio was 13.43% at September 30, 2018, compared to 13.46% at June 30, 2018 and 13.42% at December 31, 2017.  All of our capital ratios exceeded the threshold to be designated as “well-capitalized” under the Basel III capital standards.   

 

About Capital City Bank Group, Inc.

 

Capital City Bank Group, Inc. (NASDAQ: CCBG) is one of the largest publicly traded financial holding companies headquartered in Florida and has approximately $2.8 billion in assets.  We provide a full range of banking services, including traditional deposit and credit services, mortgage banking, asset management, trust, merchant services, bankcards, and securities brokerage services.  Our bank subsidiary, Capital City Bank, was founded in 1895 and now has 59 banking offices and 73 ATMs in Florida, Georgia and Alabama.  For more information about Capital City Bank Group, Inc., visit www.ccbg.com.

 

FORWARD-LOOKING STATEMENTS

 

Forward-looking statements in this Press Release are based on current plans and expectations that are subject to uncertainties and risks, which could cause our future results to differ materially.  The following factors, among others, could cause our actual results to differ: the accuracy of the our financial statement estimates and assumptions; legislative or regulatory changes, and the ability to repay and qualified mortgage standards; fluctuations in inflation, interest rates, or monetary policies; the effects of security breaches and computer viruses that may affect our computer systems or fraud related to debit card products; changes in consumer spending and savings habits; our growth and profitability; the strength of the U.S. economy and the local economies where we conduct operations; the effects of a non-diversified loan portfolio, including the risks of geographic and industry concentrations; harsh weather conditions and man-made disasters; changes in the stock market and other capital and real estate markets; customer acceptance of third-party products and services; increased competition and its effect on pricing, including the long-term impact on our net interest margin from the repeal of Regulation Q; negative publicity and the impact on our reputation; technological changes, especially changes that allow out of market competitors to compete in our markets; changes in accounting; and our ability to manage the risks involved in the foregoing.  Additional factors can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2017, and our other filings with the SEC, which are available at the SEC’s internet site (http://www.sec.gov).  Forward-looking statements in this Press Release speak only as of the date of the Press Release, and we assume no obligation to update forward-looking statements or the reasons why actual results could differ.

 

USE OF NON-GAAP FINANCIAL MEASURES

 

We present a tangible common equity ratio and a tangible book value per diluted share that removes the effect of goodwill resulting from merger and acquisition activity.  We believe these measures are useful to investors because it allows investors to more easily compare our capital adequacy to other companies in the industry.  The GAAP to non-GAAP reconciliation is provided below.

 

(Dollars in Thousands)

 

Sep 30, 2018

Jun 30, 2018

Mar 31, 2018

Dec 31, 2017

Sep 30, 2017

Shareowners' Equity (GAAP)

 

$

298,016

$

293,571

$

288,360

$

284,210

$

285,201

Less: Goodwill (GAAP)

 

 

84,811

 

84,811

 

84,811

 

84,811

 

84,811

Tangible Shareowners' Equity (non-GAAP)

A

 

213,205

 

208,760

 

203,549

 

199,399

 

200,390

Total Assets (GAAP)

 

 

2,819,190

 

2,880,278

 

2,924,832

 

2,898,794

 

2,790,842

Less: Goodwill (GAAP)

 

 

84,811

 

84,811

 

84,811

 

84,811

 

84,811

Tangible Assets (non-GAAP)

B

$

2,734,379

$

2,795,467

$

2,840,021

$

2,813,983

$

2,706,031

Tangible Common Equity Ratio (non-GAAP)

A/B

 

7.80%

 

7.47%

 

7.17%

 

7.09%

 

7.41%

Actual Diluted Shares Outstanding (GAAP)

C

 

17,127,846

 

17,114,380

 

17,088,419

 

17,071,107

 

17,045,326

Tangible Book Value per Diluted Share (non-GAAP)

A/C

$

12.45

$

12.20

$

11.91

$

11.68

$

11.76

 


 

CAPITAL CITY BANK GROUP, INC.

 

 

 

 

 

 

 

 

 

 

EARNINGS HIGHLIGHTS

 

 

 

 

 

 

 

 

 

 

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

(Dollars in thousands, except per share data)

 

Sep 30, 2018

 

Jun 30, 2018

 

Sep 30, 2017

 

Sep 30, 2018

 

Sep 30, 2017

 

 

 

 

 

 

 

 

 

 

 

EARNINGS

 

 

 

 

 

 

 

 

 

 

Net Income

$

5,990

$

6,003

$

4,555

$

17,766

$

10,860

Net Income Per Common Share

$

0.35

$

0.35

$

0.27

$

1.04

$

0.64

PERFORMANCE

 

 

 

 

 

 

 

 

 

 

Return on Average Assets

 

0.84%

 

0.84%

 

0.65%

 

0.83%

 

0.52%

Return on Average Equity

 

7.98%

 

8.25%

 

6.33%

 

8.12%

 

5.15%

Net Interest Margin

 

3.72%

 

3.58%

 

3.48%

 

3.58%

 

3.34%

Noninterest Income as % of Operating Revenue

 

36.04%

 

35.52%

 

37.94%

 

35.99%

 

38.72%

Efficiency Ratio

 

77.37%

 

80.07%

 

77.21%

 

79.46%

 

81.53%

CAPITAL ADEQUACY

 

 

 

 

 

 

 

 

 

 

Tier 1 Capital Ratio

 

16.17%

 

16.25%

 

16.19%

 

16.17%

 

16.19%

Total Capital Ratio

 

16.94%

 

17.00%

 

16.96%

 

16.94%

 

16.96%

Tangible Common Equity Ratio

 

7.80%

 

7.47%

 

7.41%

 

7.80%

 

7.41%

Leverage Ratio

 

10.99%

 

10.69%

 

10.48%

 

10.99%

 

10.48%

Common Equity Tier 1 Ratio

 

13.43%

 

13.46%

 

13.26%

 

13.43%

 

13.26%

Equity to Assets

 

10.57%

 

10.19%

 

10.22%

 

10.57%

 

10.22%

ASSET QUALITY

 

 

 

 

 

 

 

 

 

 

Allowance as % of Non-Performing Loans

 

207.06%

 

236.25%

 

203.39%

 

207.06%

 

203.39%

Allowance as a % of Loans

 

0.80%

 

0.78%

 

0.82%

 

0.80%

 

0.82%

Net Charge-Offs as % of Average Loans

 

0.06%

 

0.12%

 

0.10%

 

0.12%

 

0.12%

Nonperforming Assets as % of Loans and ORE

 

0.54%

 

0.52%

 

0.76%

 

0.54%

 

0.76%

Nonperforming Assets as % of Total Assets

 

0.34%

 

0.32%

 

0.45%

 

0.34%

 

0.45%

STOCK PERFORMANCE

 

 

 

 

 

 

 

 

 

 

High

$

25.91

$

25.99

$

24.58

$

26.50

$

24.58

Low

 

23.19

 

22.28

 

19.60

 

22.28

 

17.68

Close

$

23.34

$

23.63

$

24.01

$

23.34

$

24.01

Average Daily Trading Volume

 

16,500

 

25,246

 

29,551

 

20,957

 

25,362

 


 

CAPITAL CITY BANK GROUP, INC.

 

 

 

 

 

 

 

 

 

 

CONSOLIDATED STATEMENT OF FINANCIAL CONDITION

 

 

 

 

 

 

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2018

 

2017

(Dollars in thousands)

 

Third Quarter

 

Second Quarter

 

First Quarter

 

Fourth Quarter

 

Third Quarter

ASSETS

 

 

 

 

 

 

 

 

 

 

Cash and Due From Banks

$

48,423

$

56,573

$

47,804

$

58,419

$

50,420

Funds Sold and Interest Bearing Deposits

 

26,839

 

107,066

 

250,821

 

227,023

 

140,694

Total Cash and Cash Equivalents

 

75,262

 

163,639

 

298,625

 

285,442

 

191,114

 

 

 

 

 

 

 

 

 

 

 

Investment Securities Available for Sale

 

484,243

 

493,662

 

471,836

 

480,911

 

510,846

Investment Securities Held to Maturity

 

227,923

 

236,764

 

225,552

 

216,679

 

184,262

   Total Investment Securities

 

712,166

 

730,426

 

697,388

 

697,590

 

695,108

 

 

 

 

 

 

 

 

 

 

 

Loans Held for Sale

 

8,297

 

8,246

 

4,845

 

4,817

 

7,800

 

 

 

 

 

 

 

 

 

 

 

Loans, Net of Unearned Interest

 

 

 

 

 

 

 

 

 

 

Commercial, Financial, & Agricultural

 

239,044

 

222,406

 

198,775

 

218,166

 

215,963

Real Estate - Construction

 

87,672

 

88,169

 

80,236

 

77,966

 

67,813

Real Estate - Commercial

 

596,391

 

575,993

 

551,309

 

535,707

 

527,331

Real Estate - Residential

 

333,896

 

320,296

 

307,050

 

308,159

 

306,272

Real Estate - Home Equity

 

212,942

 

218,851

 

223,994

 

229,513

 

228,499

Consumer

 

294,040

 

285,599

 

284,356

 

278,622

 

273,670

Other Loans

 

8,167

 

11,648

 

14,988

 

3,747

 

9,311

Overdrafts

 

1,602

 

1,513

 

1,187

 

1,612

 

1,479

Total Loans, Net of Unearned Interest

 

1,773,754

 

1,724,475

 

1,661,895

 

1,653,492

 

1,630,338

Allowance for Loan Losses

 

(14,219)

 

(13,563)

 

(13,258)

 

(13,307)

 

(13,339)

Loans, Net

 

1,759,535

 

1,710,912

 

1,648,637

 

1,640,185

 

1,616,999

 

 

 

 

 

 

 

 

 

 

 

Premises and Equipment, Net

 

89,567

 

90,000

 

90,939

 

91,698

 

92,345

Goodwill

 

84,811

 

84,811

 

84,811

 

84,811

 

84,811

Other Real Estate Owned

 

2,720

 

3,373

 

3,330

 

3,941

 

5,987

Other Assets

 

86,832

 

88,871

 

96,257

 

90,310

 

96,678

Total Other Assets

 

263,930

 

267,055

 

275,337

 

270,760

 

279,821

 

 

 

 

 

 

 

 

 

 

 

Total Assets

$

2,819,190

$

2,880,278

$

2,924,832

$

2,898,794

$

2,790,842

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES

 

 

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

 

 

Noninterest Bearing Deposits

$

934,146

$

937,241

$

890,482

$

874,583

$

870,644

NOW Accounts

 

713,967

 

778,131

 

859,704

 

877,820

 

749,816

Money Market Accounts

 

254,099

 

257,965

 

257,422

 

239,212

 

249,964

Regular Savings Accounts

 

352,508

 

354,156

 

353,996

 

335,140

 

329,742

Certificates of Deposit

 

126,496

 

131,697

 

137,280

 

143,122

 

147,451

Total Deposits

 

2,381,216

 

2,459,190

 

2,498,884

 

2,469,877

 

2,347,617

 

 

 

 

 

 

 

 

 

 

 

Short-Term Borrowings

 

16,644

 

7,021

 

4,893

 

7,480

 

6,777

Subordinated Notes Payable

 

52,887

 

52,887

 

52,887

 

52,887

 

52,887

Other Long-Term Borrowings

 

12,456

 

12,897

 

13,333

 

13,967

 

15,047

Other Liabilities

 

57,971

 

54,712

 

66,475

 

70,373

 

83,313

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities

 

2,521,174

 

2,586,707

 

2,636,472

 

2,614,584

 

2,505,641

 

 

 

 

 

 

 

 

 

 

 

SHAREOWNERS' EQUITY

 

 

 

 

 

 

 

 

 

 

Common Stock

 

171

 

171

 

171

 

170

 

170

Additional Paid-In Capital

 

38,325

 

37,932

 

37,343

 

36,674

 

35,892

Retained Earnings

 

293,254

 

288,800

 

283,990

 

279,410

 

275,013

Accumulated Other Comprehensive Loss, Net of Tax

 

(33,734)

 

(33,332)

 

(33,144)

 

(32,044)

 

(25,874)

 

 

 

 

 

 

 

 

 

 

 

Total Shareowners' Equity

 

298,016

 

293,571

 

288,360

 

284,210

 

285,201

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities and Shareowners' Equity

$

2,819,190

$

2,880,278

$

2,924,832

$

2,898,794

$

2,790,842

 

 

 

 

 

 

 

 

 

 

 

OTHER BALANCE SHEET DATA

 

 

 

 

 

 

 

 

 

 

Earning Assets

$

2,521,056

$

2,570,213

$

2,614,949

$

2,582,922

$

2,473,940

Interest Bearing Liabilities

 

1,529,057

 

1,594,754

 

1,679,515

 

1,669,628

 

1,551,684

 

 

 

 

 

 

 

 

 

 

 

Book Value Per Diluted Share

$

17.40

$

17.15

$

16.87

$

16.65

$

16.73

Tangible Book Value Per Diluted Share

 

12.45

 

12.20

 

11.91

 

11.68

 

11.76

 

 

 

 

 

 

 

 

 

 

 

Actual Basic Shares Outstanding

 

17,059

 

17,056

 

17,044

 

16,989

 

16,966

Actual Diluted Shares Outstanding

 

17,128

 

17,114

 

17,088

 

17,071

 

17,045

 


 

CAPITAL CITY BANK GROUP, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CONSOLIDATED STATEMENT OF OPERATIONS

 

 

 

 

 

 

 

 

 

 

 

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

2018

 

2017

 

September 30,

(Dollars in thousands, except per share data)

 

Third Quarter

 

Second Quarter

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

2018

 

2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTEREST INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest and Fees on Loans

$

21,618

$

20,533

$

19,535

$

19,513

$

19,479

$

61,686

$

56,204

Investment Securities

 

3,472

 

3,156

 

2,762

 

2,520

 

2,416

 

9,390

 

6,627

Funds Sold

 

302

 

730

 

917

 

594

 

446

 

1,949

 

1,472

Total Interest Income

 

25,392

 

24,419

 

23,214

 

22,627

 

22,341

 

73,025

 

64,303

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTEREST EXPENSE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

1,068

 

995

 

868

 

590

 

530

 

2,931

 

1,199

Short-Term Borrowings

 

41

 

8

 

8

 

5

 

15

 

57

 

77

Subordinated Notes Payable

 

568

 

552

 

475

 

431

 

420

 

1,595

 

1,203

Other Long-Term Borrowings

 

92

 

94

 

100

 

112

 

115

 

286

 

331

Total Interest Expense

 

1,769

 

1,649

 

1,451

 

1,138

 

1,080

 

4,869

 

2,810

Net Interest Income

 

23,623

 

22,770

 

21,763

 

21,489

 

21,261

 

68,156

 

61,493

Provision for Loan Losses

 

904

 

815

 

745

 

826

 

490

 

2,464

 

1,389

Net Interest Income after Provision for

  Loan Losses

 

22,719

 

21,955

 

21,018

 

20,663

 

20,771

 

65,692

 

60,104

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NONINTEREST INCOME

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposit Fees

 

5,207

 

4,842

 

4,872

 

5,040

 

5,153

 

14,921

 

15,295

Bank Card Fees

 

2,828

 

2,909

 

2,811

 

2,830

 

2,688

 

8,548

 

8,361

Wealth Management Fees

 

2,181

 

2,037

 

2,173

 

2,172

 

2,197

 

6,391

 

6,112

Mortgage Banking Fees

 

1,343

 

1,206

 

1,057

 

1,410

 

1,480

 

3,606

 

4,344

Other

 

1,749

 

1,548

 

1,564

 

1,445

 

1,478

 

4,861

 

4,737

Total Noninterest Income

 

13,308

 

12,542

 

12,477

 

12,897

 

12,996

 

38,327

 

38,849

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NONINTEREST EXPENSE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Compensation

 

15,891

 

15,797

 

15,911

 

15,102

 

15,711

 

47,599

 

47,211

Occupancy, Net

 

4,645

 

4,503

 

4,551

 

4,400

 

4,501

 

13,699

 

13,437

Other Real Estate, Net

 

347

 

248

 

626

 

355

 

(118)

 

1,221

 

780

Other

 

7,816

 

7,845

 

6,818

 

7,040

 

6,613

 

22,479

 

21,122

Total Noninterest Expense

 

28,699

 

28,393

 

27,906

 

26,897

 

26,707

 

84,998

 

82,550

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATING PROFIT

 

7,328

 

6,104

 

5,589

 

6,663

 

7,060

 

19,021

 

16,403

Income Tax Expense (Benefit)

 

1,338

 

101

 

(184)

 

6,660

 

2,505

 

1,255

 

5,543

NET INCOME

$

5,990

$

6,003

$

5,773

$

3

$

4,555

$

17,766

$

10,860

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PER SHARE DATA

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic Net Income

$

0.35

$

0.35

$

0.34

$

0.00

$

0.27

$

1.04

$

0.64

Diluted Net Income

 

0.35

 

0.35

 

0.34

 

0.00

 

0.27

 

1.04

 

0.64

Cash Dividend

$

0.09

$

0.07

$

0.07

$

0.07

$

0.07

$

0.23

$

0.17

AVERAGE SHARES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic 

 

17,056

 

17,045

 

17,028

 

16,967

 

16,965

 

17,043

 

16,946

Diluted 

 

17,125

 

17,104

 

17,073

 

17,050

 

17,044

 

17,102

 

17,009

 


 

CAPITAL CITY BANK GROUP, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ALLOWANCE FOR LOAN LOSSES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

AND RISK ELEMENT ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

2018

 

2017

 

September 30,

(Dollars in thousands, except per share data)

 

Third Quarter

 

Second Quarter

 

First Quarter

 

Fourth Quarter

 

Third Quarter

 

2018

 

2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ALLOWANCE FOR LOAN LOSSES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at Beginning of Period

$

13,563

$

13,258

$

13,307

$

13,339

$

13,242

$

13,307

$

13,431

Provision for Loan Losses

 

904

 

815

 

745

 

826

 

490

 

2,464

 

1,389

Net Charge-Offs

 

248

 

510

 

794

 

858

 

393

 

1,552

 

1,481

Balance at End of Period

$

14,219

$

13,563

$

13,258

$

13,307

$

13,339

$

14,219

$

13,339

As a % of Loans

 

0.80%

 

0.78%

 

0.80%

 

0.80%

 

0.82%

 

0.80%

 

0.82%

As a % of Nonperforming Loans

 

207.06%

 

236.25%

 

181.26%

 

185.87%

 

203.39%

 

207.06%

 

203.39%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CHARGE-OFFS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial, Financial and Agricultural

$

268

$

141

$

182

$

664

$

276

$

591

$

693

Real Estate - Construction

 

-

 

-

 

7

 

-

 

-

 

7

 

-

Real Estate - Commercial

 

25

 

-

 

290

 

42

 

94

 

315

 

643

Real Estate - Residential

 

106

 

456

 

107

 

126

 

125

 

669

 

285

Real Estate - Home Equity

 

112

 

157

 

158

 

48

 

50.00

 

427

 

142

Consumer

 

463

 

509

 

695

 

577

 

455

 

1,667

 

1,616

Total Charge-Offs

$

974

$

1,263

$

1,439

$

1,457

$

1,000

$

3,676

$

3,379

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RECOVERIES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial, Financial and Agricultural

$

78

$

87

$

166

$

113

$

79

$

331

$

200

Real Estate - Construction

 

-

 

-

 

1

 

-

 

50

 

1

 

50

Real Estate - Commercial

 

222

 

15

 

123

 

24

 

69

 

360

 

150

Real Estate - Residential

 

107

 

346

 

84

 

141

 

60

 

537

 

475

Real Estate - Home Equity

 

47

 

22

 

61

 

67

 

84

 

130

 

152

Consumer

 

272

 

283

 

210

 

254

 

265

 

765

 

871

Total Recoveries

$

726

$

753

$

645

$

599

$

607

$

2,124

$

1,898

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NET CHARGE-OFFS

$

248

$

510

$

794

$

858

$

393

$

1,552

$

1,481

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Charge-Offs as a % of Average Loans (1)

 

0.06%

 

0.12%

 

0.20%

 

0.21%

 

0.10%

 

0.12%

 

0.12%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RISK ELEMENT ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonaccruing Loans

$

6,867

$

5,741

$

7,314

$

7,159

$

6,558

 

 

 

 

Other Real Estate Owned

 

2,720

 

3,373

 

3,330

 

3,941

 

5,987

 

 

 

 

Total Nonperforming Assets

$

9,587

$

9,114

$

10,644

$

11,100

$

12,545

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Past Due Loans 30-89 Days

$

3,684

$

3,472

$

4,268

$

4,543

$

5,687

 

 

 

 

Past Due Loans 90 Days or More (accruing)

 

126

 

-

 

-

 

36

 

-

 

 

 

 

Classified Loans

 

27,039

 

29,583

 

31,709

 

31,002

 

36,545

 

 

 

 

Performing Troubled Debt Restructuring's

$

28,661

$

29,981

$

31,472

$

32,164

$

33,427

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonperforming Loans as a % of Loans

 

0.39%

 

0.33%

 

0.44%

 

0.43%

 

0.40%

 

 

 

 

Nonperforming Assets as a % of Loans and

 

 

 

 

 

 

 

 

 

 

 

 

 

 

   Other Real Estate

 

0.54%

 

0.52%

 

0.64%

 

0.67%

 

0.76%

 

 

 

 

Nonperforming Assets as a % of Total Assets

 

0.34%

 

0.32%

 

0.36%

 

0.38%

 

0.45%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Annualized

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

CAPITAL CITY BANK GROUP, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

AVERAGE BALANCE AND INTEREST RATES(1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Third Quarter 2018

 

 

Second Quarter 2018

 

 

First Quarter 2018

 

 

Fourth Quarter 2017

 

 

Third Quarter 2017

 

 

Sep 2018 YTD

 

 

Sep 2017 YTD

 

(Dollars in thousands)

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

 

Average

Balance

 

Interest

 

Average

Rate

 

ASSETS:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, Net of Unearned Interest

$

1,747,093

 

21,733

 

4.94

%

$

1,691,287

 

20,625

 

4.89

%

$

1,647,612

 

19,636

 

4.83

%

$

1,640,738

 

19,696

 

4.76

%

$

1,638,578

 

19,672

 

4.76

%

$

1,695,695

 

61,994

 

4.89

%

$

1,611,117

 

56,689

 

4.70

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Investment Securities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable Investment Securities

 

663,639

 

3,290

 

1.98

 

 

643,516

 

2,945

 

1.83

 

 

619,137

 

2,523

 

1.64

 

 

602,353

 

2,263

 

1.50

 

 

588,518

 

2,150

 

1.45

 

 

642,260

 

8,758

 

1.82

 

 

593,579

 

5,832

 

1.31

 

Tax-Exempt Investment Securities

 

60,952

 

229

 

1.50

 

 

72,478

 

266

 

1.47

 

 

84,800

 

318

 

1.50

 

 

94,329

 

393

 

1.67

 

 

98,463

 

407

 

1.65

 

 

72,656

 

813

 

1.49

 

 

99,059

 

1,217

 

1.64

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Investment Securities

 

724,591

 

3,519

 

1.94

 

 

715,994

 

3,211

 

1.79

 

 

703,937

 

2,841

 

1.62

 

 

696,682

 

2,656

 

1.52

 

 

686,981

 

2,557

 

1.48

 

 

714,916

 

9,571

 

1.79

 

 

692,638

 

7,049

 

1.36

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Funds Sold

 

63,608

 

302

 

1.88

 

 

158,725

 

730

 

1.84

 

 

240,916

 

917

 

1.54

 

 

174,565

 

594

 

1.35

 

 

140,728

 

446

 

1.26

 

 

153,767

 

1,949

 

1.69

 

 

195,189

 

1,472

 

1.01

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Earning Assets

 

2,535,292

$

25,554

 

4.00

%

 

2,566,006

$

24,566

 

3.84

%

 

2,592,465

$

23,394

 

3.66

%

 

2,511,985

$

22,946

 

3.63

%

 

2,466,287

$

22,675

 

3.65

%

 

2,564,378

$

73,514

 

3.83

%

 

2,498,944

$

65,210

 

3.49

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and Due From Banks

 

49,493

 

 

 

 

 

 

50,364

 

 

 

 

 

 

52,711

 

 

 

 

 

 

51,235

 

 

 

 

 

 

51,880

 

 

 

 

 

 

50,844

 

 

 

 

 

 

51,043

 

 

 

 

 

Allowance for Loan Losses

 

(14,146)

 

 

 

 

 

 

(13,521)

 

 

 

 

 

 

(13,651)

 

 

 

 

 

 

(13,524)

 

 

 

 

 

 

(13,542)

 

 

 

 

 

 

(13,774)

 

 

 

 

 

 

(13,547)

 

 

 

 

 

Other Assets

 

256,285

 

 

 

 

 

 

258,255

 

 

 

 

 

 

260,595

 

 

 

 

 

 

272,755

 

 

 

 

 

 

275,335

 

 

 

 

 

 

258,363

 

 

 

 

 

 

277,514

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets

$

2,826,924

 

 

 

 

 

$

2,861,104

 

 

 

 

 

$

2,892,120

 

 

 

 

 

$

2,822,451

 

 

 

 

 

$

2,779,960

 

 

 

 

 

$

2,859,811

 

 

 

 

 

$

2,813,954

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Bearing Deposits

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NOW Accounts

$

733,255

$

773

 

0.42

%

$

790,335

$

725

 

0.37

%

$

863,175

$

659

 

0.31

%

$

782,133

$

400

 

0.20

%

$

755,620

$

339

 

0.18

%

$

795,112

$

2,157

 

0.36

%

$

813,858

$

694

 

0.11

%

Money Market Accounts

 

254,440

 

190

 

0.30

 

 

255,143

 

166

 

0.26

 

 

246,576

 

103

 

0.17

 

 

249,953

 

80

 

0.13

 

 

262,486

 

80

 

0.12

 

 

252,082

 

459

 

0.24

 

 

261,118

 

172

 

0.09

 

Savings Accounts

 

352,833

 

43

 

0.05

 

 

351,664

 

43

 

0.05

 

 

343,987

 

42

 

0.05

 

 

333,703

 

41

 

0.05

 

 

327,675

 

40

 

0.05

 

 

349,527

 

128

 

0.05

 

 

320,634

 

118

 

0.05

 

Time Deposits

 

129,927

 

62

 

0.19

 

 

134,171

 

61

 

0.18

 

 

140,359

 

64

 

0.18

 

 

145,622

 

69

 

0.19

 

 

148,652

 

71

 

0.19

 

 

134,781

 

187

 

0.19

 

 

153,215

 

215

 

0.19

 

Total Interest Bearing Deposits

 

1,470,455

 

1,068

 

0.30

%

 

1,531,313

 

995

 

0.27

%

 

1,594,097

 

868

 

0.23

%

 

1,511,411

 

590

 

0.16

%

 

1,494,433

 

530

 

0.14

%

 

1,531,502

 

2,931

 

0.27

%

 

1,548,825

 

1,199

 

0.11

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-Term Borrowings

 

12,949

 

41

 

1.24

%

 

6,633

 

8

 

0.49

%

 

8,869

 

8

 

0.37

%

 

8,074

 

5

 

0.25

%

 

9,920

 

15

 

0.59

%

 

9,499

 

57

 

0.80

%

 

10,552

 

77

 

0.97

%

Subordinated Notes Payable

 

52,887

 

568

 

4.20

 

 

52,887

 

552

 

4.13

 

 

52,887

 

475

 

3.60

 

 

52,887

 

431

 

3.19

 

 

52,887

 

420

 

3.11

 

 

52,887

 

1,595

 

3.98

 

 

52,887

 

1,203

 

3.00

 

Other Long-Term Borrowings

 

12,729

 

92

 

2.87

 

 

13,151

 

94

 

2.88

 

 

13,787

 

100

 

2.93

 

 

14,726

 

112

 

3.01

 

 

15,427

 

115

 

2.95

 

 

13,218

 

286

 

2.89

 

 

15,324

 

331

 

2.89

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Interest Bearing Liabilities

 

1,549,020

$

1,769

 

0.47

%

 

1,603,984

$

1,649

 

0.43

%

 

1,669,640

$

1,451

 

0.37

%

 

1,587,098

$

1,138

 

0.29

%

 

1,572,667

$

1,080

 

0.28

%

 

1,607,106

$

4,869

 

0.42

%

 

1,627,588

$

2,810

 

0.24

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest Bearing Deposits

 

921,817

 

 

 

 

 

 

900,643

 

 

 

 

 

 

862,009

 

 

 

 

 

 

867,000

 

 

 

 

 

 

834,729

 

 

 

 

 

 

895,042

 

 

 

 

 

 

820,843

 

 

 

 

 

Other Liabilities

 

58,330

 

 

 

 

 

 

64,671

 

 

 

 

 

 

72,969

 

 

 

 

 

 

80,309

 

 

 

 

 

 

87,268

 

 

 

 

 

 

65,270

 

 

 

 

 

 

83,683

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities

 

2,529,167

 

 

 

 

 

 

2,569,298

 

 

 

 

 

 

2,604,618

 

 

 

 

 

 

2,534,407

 

 

 

 

 

 

2,494,664

 

 

 

 

 

 

2,567,418

 

 

 

 

 

 

2,532,114

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SHAREOWNERS' EQUITY:

 

297,757

 

 

 

 

 

 

291,806

 

 

 

 

 

 

287,502

 

 

 

 

 

 

288,044

 

 

 

 

 

 

285,296

 

 

 

 

 

 

292,393

 

 

 

 

 

 

281,840

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Liabilities and Shareowners' Equity

$

2,826,924

 

 

 

 

 

$

2,861,104

 

 

 

 

 

$

2,892,120

 

 

 

 

 

$

2,822,451

 

 

 

 

 

$

2,779,960

 

 

 

 

 

$

2,859,811

 

 

 

 

 

$

2,813,954

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Rate Spread

 

 

$

23,785

 

3.53

%

 

 

$

22,917

 

3.41

%

 

 

$

21,943

 

3.29

%

 

 

$

21,808

 

3.33

%

 

 

$

21,595

 

3.37

%

 

 

$

68,645

 

3.41

%

 

 

$

62,400

 

3.25

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Income and Rate Earned(1)

 

 

 

25,554

 

4.00

 

 

 

 

24,566

 

3.84

 

 

 

 

23,394

 

3.66

 

 

 

 

22,946

 

3.63

 

 

 

 

22,675

 

3.65

 

 

 

 

73,514

 

3.83

 

 

 

 

65,210

 

3.49

 

Interest Expense and Rate Paid(2)

 

 

 

1,769

 

0.28

 

 

 

 

1,649

 

0.26

 

 

 

 

1,451

 

0.23

 

 

 

 

1,138

 

0.18

 

 

 

 

1,080

 

0.17

 

 

 

 

4,869

 

0.25

 

 

 

 

2,810

 

0.15

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Interest Margin

 

 

$

23,785

 

3.72

%

 

 

$

22,917

 

3.58

%

 

 

$

21,943

 

3.43

%

 

 

$

21,808

 

3.45

%

 

 

$

21,595

 

3.48

%

 

 

$

68,645

 

3.58

%

 

 

$

62,400

 

3.34

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)   Interest and average rates are calculated on a tax-equivalent basis using a 21% Federal tax rate for 2018 and a 35% Federal tax rate for 2017.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2)  Rate calculated based on average earning assets.