RICHMOND, Ind., July 21,
2022 /PRNewswire/ -- Richmond Mutual Bancorporation,
Inc., a Maryland corporation (the
"Company") (NASDAQ: RMBI), parent company of First Bank Richmond
(the "Bank"), today announced net income of $3.5 million, or $0.31 diluted earnings per share, for the second
quarter of 2022, compared to net income of $3.0 million, or $0.26 diluted earnings per share, for the first
quarter of 2022, and net income of $2.8
million, or $0.24 diluted
earnings per share, for the second quarter of 2021. Diluted
earnings per share increased 19.2% and 29.2% for the second quarter
of 2022 as compared to the first quarter of 2022 and the second
quarter of 2021, respectively.
President's Comments
Garry Kleer, Chairman, President
and Chief Executive Officer, commented, "In the second quarter of
2022 we continued to increase profitability, grow our loan and
lease and deposit portfolios and return excess capital to
shareholders through dividends and share repurchases. We were able
to increase our net interest margin to 3.45% in the second quarter,
which helped us maintain our record of consistent growth and
profitability increases since becoming a public company."
Second Quarter Performance Highlights:
- Assets totaled $1.3 billion at
June 30, 2022, March 31, 2022 and December 31, 2021.
- Loans and leases, net of allowance, totaled $891.9 million at June 30,
2022, compared to $850.0
million at March 31, 2022, and
$832.8 million at December 31, 2021.
- Nonperforming loans and leases totaled $8.1 million, or 0.89% of total loans and leases,
at June 30, 2022, compared to
$8.0 million, or 0.92% at
March 31, 2022, and $8.0 million, or 0.95% at December 31, 2021.
- The allowance for loan and lease losses totaled $12.4 million, or 1.37% of total loans and leases
outstanding, at June 30, 2022,
compared to $12.3 million, or 1.43%
of total loans and leases outstanding, at March 31, 2022 and $12.1
million, or 1.43% of total loans and leases outstanding, at
December 31, 2021.
- The provision for loan and lease losses totaled $200,000 in the quarters ended June 30 and March 31,
2022, and totaled $530,000 in
the second quarter of 2021.
- Deposits totaled $948.3 million
at June 30, 2022, compared to
$909.5 million at March 31, 2022 and $900.2
million at December 31, 2021.
At June 30, 2022, noninterest bearing
deposits totaled $119.8 million or
12.6% of total deposits, compared to $113.7
million or 12.5% of total deposits at March 31, 2022, and $114.3
million or 12.7% of total deposits at December 31, 2021.
- Stockholders' equity totaled $138.9
million at June 30, 2022,
compared to $157.3 million at
March 31, 2022, and $180.5 million at December
31, 2021. The Company's equity to assets ratio was 10.93% at
June 30, 2022.
- Net interest income increased $495,000 or 4.9% to $10.5
million for the three months ended June 30, 2022, compared to net interest income of
$10.1 million for the prior quarter,
and increased $1.4 million or 14.8%
from $9.2 million for the comparable
quarter in 2021.
- Annualized net interest margin was 3.45% for the current
quarter, compared to 3.26% in the preceding quarter and 3.27% the
second quarter a year ago.
- The Company repurchased 461,891 shares of common stock at an
average price of $16.18 per share
during the quarter ended June 30,
2022.
- The Bank's Tier 1 capital to total assets was 12.74% and the
Bank's capital was well in excess of all regulatory requirements at
June 30, 2022.
Income Statement Summary
Net interest income before the provision for loan and lease
losses increased $495,000, or 4.9%,
to $10.5 million in the second
quarter of 2022, compared to $10.1
million in the first quarter of 2022, and increased
$1.4 million, or 14.8%, from
$9.2 million in the second quarter of
2021. The increase from the first quarter of 2022 was due to a 20
basis point increase in the average interest rate spread, partially
offset by a $27.6 million decrease in
average net earning assets during the second quarter of 2022. The
increase from the comparable quarter in 2021 was due to a 26 basis
point increase in the average interest rate spread during the
second quarter of 2022, partially offset by a decrease in net
average earning assets of $47.1
million during the second quarter of 2022 versus the
comparable quarter of 2021.
Interest income increased $506,000, or 4.2%, to $12.4 million during the quarter ended
June 30, 2022, compared to the
quarter ended March 31, 2022 and
increased $1.3 million, or 12.0%,
compared to the quarter ended June 30,
2021. Interest income on loans and leases increased
$416,000, or 4.1%, to $10.7 million for the quarter ended June 30, 2022 compared to $10.3 million in the first quarter of 2022, due
to a $25.9 million increase in the
average balance of loans and leases, and an increase in the average
yield earned on loans and leases of five basis points to 4.88%.
Interest income on loans and leases increased $826,000, or 8.4%, in the second quarter of 2022
compared to the second quarter of 2021, due to an increase in the
average balance of loans and leases of $97.4
million, partially offset by a decrease in the average loan
and lease yield of 19 basis points.
Interest income on investment securities, excluding FHLB stock,
increased $70,000, or 4.4%, to
$1.7 million during the quarter ended
June 30, 2022, compared to the
quarter ended March 31, 2021, and
increased $471,000, or 39.7%, from
the comparable quarter in 2021. The increase in interest income on
investment securities, excluding FHLB stock, in the second quarter
of 2022 from the first quarter of 2022 was due to a 25 basis point
increase in the average yield earned on investment securities
offset by a $30.2 million decrease in
average balances. The increase in interest on investment
securities, excluding FHLB stock, in the second quarter of 2022
from the second quarter of 2021 was due to a $9.8 million increase in the average balance and
a 54 basis point increase in the average yield earned on investment
securities.
Interest expense remained relatively flat at $1.9 million for the quarter ended June 30, 2022 compared to the quarter ended
March 31, 2022 and the quarter ended
June 30, 2021. Interest expense on
deposits increased $26,000, or 2.1%,
to $1.3 million for the quarter ended
June 30, 2022, compared to the
previous quarter and increased $53,000, or 4.4%, from the comparable quarter in
2021. The increase from the previous quarter was primarily due to
an increase in average interest-bearing deposit balances of
$33.0 million. The increase from the
comparable quarter in 2021 was due to an increase of $150.2 million in average interest-bearing
deposit balances, partially offset by a decrease of ten basis
points in the average rate paid on interest-bearing deposits. The
average rate paid on interest-bearing deposits was 0.62% for the
quarter ended June 30, 2022, compared
to 0.63% and 0.72% for the quarters ended March 31, 2022 and June
30, 2021, respectively. Interest expense on FHLB borrowings
decreased $15,000, or 2.4%, to
$624,000 for the second quarter of
2022 compared to the previous quarter and decreased $76,000, or 10.9%, from the comparable quarter in
2021. The average balance of FHLB borrowings totaled $170.3 million during the quarter ended
June 30, 2022, compared to
$183.5 million and $173.1 million for the quarters ended
March 31, 2022 and June 30, 2021, respectively. The average rate
paid on FHLB borrowings was 1.47% for the quarter ended
June 30, 2022, 1.40% for March 31, 2022, and 1.62% for the second quarter
of 2021.
Annualized net interest margin increased to 3.45% for the second
quarter of 2022, compared to 3.26% for the first quarter of 2022
and 3.27% for the second quarter of 2021. The increase in the net
interest margin for the second quarter of 2022 compared to the
first quarter of 2022 and the comparable quarter in 2021 was
primarily due to the yield on interest-earnings assets increasing
faster than the rate paid on interest-bearing
liabilities.
The provision for loan and lease losses totaled $200,000 for the three months ended June 30, 2022, compared to $200,000 during the quarter ended March 31, 2022 and $530,000 for the quarter ended June 30, 2021. Net charge-offs during the
second quarter of 2022 were $136,000,
compared to net recoveries of $9,000
during the first quarter of 2022 and net charge-offs of
$58,000 in the second quarter of
2021. While we believe the steps we have taken and continue to take
are necessary to effectively manage our portfolio and assist our
clients through the ongoing uncertainty surrounding the duration
and impact of the COVID-19 pandemic, uncertainties relating to our
allowance for loan losses are heightened as a result of any
possible continuing effects of the COVID-19 pandemic and the recent
dramatic rise in inflation and interest rates.
Total noninterest income increased $61,000, or 5.5%, to $1.2
million for the quarter ended June
30, 2022 compared to the quarter ended March 31, 2022, and decreased $464,000, or 28.3%, from the comparable quarter
in 2021. The increase in noninterest income in the second quarter
of 2022 from the first quarter of 2022 occurred despite a decrease
in gains on loan and lease sales. Gain on sale of loans and
leases decreased $21,000, or 8.7%, to
$222,000 in the second quarter of
2022 compared to the first quarter of 2022 and was offset by an
increase in loan and lease servicing fees. Loan and lease
servicing fees increased $150,000 in
the second quarter of 2022 compared to the first quarter of 2022 as
a recovery of $76,000 to mortgage
servicing rights was recorded in the second quarter of 2022
compared to an impairment charge of $111,000 in the first quarter of 2022. In
addition, card fee income increased $24,000, or 8.7%, to $302,000 in the second quarter of 2022 from the
first quarter of 2022 and service fees on deposit accounts
increased $14,000, or 5.9%, to
$248,000 for the quarter ended
June 30, 2022, compared to
$235,000 for the first quarter of
2022. The increase in card fee income was due to higher card
activity in the second quarter of 2022 and the increase in service
fees on deposit accounts was primarily attributable to increased
overdraft fees during the second quarter of 2022 compared to the
prior quarter. Other income decreased $106,000 in the second quarter of 2022 compared
to the first quarter of 2022 primarily due to fees associated with
several letters of credit and the sale of a repossessed asset in
the first quarter of 2022.
The decrease in noninterest income in the second quarter of 2022
from the comparable quarter of 2021 was due to a $348,000, or 61.1%, decrease in gain on sale of
loans as mortgage banking activity declined primarily due to lower
refinancing activity and a lower supply of houses for sale in the
Bank's market area. Loan and lease servicing fees decreased
$71,000 in the second quarter of 2022
compared to the same quarter in 2021 as a recovery of $76,000 to mortgage servicing rights was recorded
in the second quarter of 2022 compared to a recovery of
$178,000 in the second quarter of
2021. Partially offsetting these decreases were increases in card
fee income and service fees on deposit accounts. Card fee
income increased $27,000, or 9.9%, in
the second quarter of 2022 due to higher card usage. Service fees
on deposit accounts increased $50,000, or 25.0%, in the second quarter of 2022
from the comparable quarter in 2021 due to increased overdraft
fees, many of which were waived in the second quarter of 2021.
Total noninterest expense decreased $176,000, or 2.4%, to $7.2
million for the three months ended June 30, 2022, compared to the first quarter of
2022, and increased $278,000, or 4.0%
compared to the same period in 2021. Salaries and employee
benefits increased $64,000, or 1.4%,
to $4.5 million for the quarter ended
June 30, 2022, compared to the first
quarter of 2022, and increased $201,000 compared to the quarter ended
June 30, 2021. The increase in
salaries and benefits in the second quarter of 2022 from the first
quarter of 2022 and the quarter ended June
30, 2021 was primarily due to annual merit increases and
additional staff. Data processing fees decreased $91,000, or 13.8%, to $568,000 for the quarter ended June 30, 2022, compared to the first quarter of
2022, primarily due to lower core processing fees. Other
expenses decreased $166,000, or 17.3%
in the second quarter of 2022 compared to the prior quarter, and
decreased $85,000, or 9.7%, compared
to the same quarter of 2021. The decrease in other expenses in the
second quarter of 2022 from the first quarter of 2022 primarily was
due to decreased loan expenses, franchise tax expense and expenses
related to employee professional development.
Income tax expense increased $265,000 during the three months ended
June 30, 2022 compared to the quarter
ended March 31, 2022, and increased
$243,000 compared to the quarter
ended June 30, 2021, due to a higher
level of pre-tax income and a higher effective tax rate. The
effective tax rate for the second quarter of 2022 was 20.2%
compared to 17.0% in the first quarter of 2022, and 18.7% in the
second quarter a year ago.
Balance Sheet Summary
Total assets increased $4.0
million, or 0.3%, to $1.3
billion at June 30, 2022 from
December 31, 2021. The increase was
primarily the result of a $59.0
million, or 7.1%, increase in loans and leases, net of
allowance, to $891.9 million and a
$9.4 million, or 86.9% increase in
other assets to $20.2 million at
June 30, 2022. These increases were
partially offset by decreases of $55.8
million or 18.0% in investment securities, to $310.8 million and $8.6
million or 37.4% in cash and cash equivalents to
$14.4 million at June 30, 2022.
The increase in loans and leases was attributable to an increase
in commercial real estate loans, multi-family loans, and
construction and development loans of $17.3
million, $14.0 million and
$11.2 million, respectively.
Commercial and industrial loans increased $6.7 million despite a decrease of $2.3 million in Paycheck Protection Program
("PPP") loans resulting from loan forgiveness by the U.S. Small
Business Administration ("SBA"). As of June
30, 2022, we had funded a total of 892 PPP loans totaling
$103.1 million and the SBA had
approved 870 loan forgiveness applications totaling $97.9 million. PPP loans totaled $3.7 million at June 30,
2022. Other assets increased primarily due to a $10.1 million increase in deferred tax assets due
to the mark-to-market adjustment on the investment portfolio. The
decrease in investment securities primarily was the result of
reinvesting only a portion of normal recurring maturities and
payments on securities and using the remainder to fund growth in
the loan and lease portfolio.
Nonperforming loans and leases, consisting of nonaccrual loans
and leases and accruing loans and leases more than 90 days past
due, totaled $8.1 million or 0.89% of
total loans and leases at June 30,
2022, compared to $8.0 million
or 0.95% at December 31, 2021.
Accruing loans past due more than 90 days totaled $2.1 million at June 30,
2022, compared to $1.8 million
at December 31, 2021.
The allowance for loan and lease losses increased $273,000, or 2.3%, to $12.4 million at June 30,
2022 from $12.1 million at
December 31, 2021. At June 30, 2022 the allowance for loan and lease
losses totaled 1.37% of total loans and leases outstanding,
compared to 1.43% at December 31,
2021. Net charge-offs during the first six months of 2022
were $127,000 compared to net
charge-offs of $85,000 during the
comparable period of 2021.
Management regularly analyzes conditions within its geographic
markets and evaluates its loan and lease portfolio. The Company
evaluated its exposure to potential loan and lease losses as of
June 30, 2022, which evaluation
included consideration of potential credit losses due to economic
conditions driven by any lingering impact of the COVID-19
pandemic and the recent and dramatic rise in inflation and interest
rates. Any lingering impact of the pandemic on the Company's
deposit and loan customers is still not fully known at this time.
Credit metrics are being reviewed and stress testing is being
performed on the loan portfolio on an ongoing basis. Potentially
higher risk segments of the portfolio, such as hotels and
restaurants, are being closely monitored.
Total deposits increased $48.2
million or 5.3% to $948.3
million at June 30, 2022,
compared to December 31, 2021. The
increase in deposits from December 31,
2021 primarily was due to an increase in brokered time
deposits of $31.2 million and savings
and money market accounts of $30.8
million, partially offset by a decrease in other time
deposits of $21.7 million. Management
attributes the shift in funds to customers anticipating potentially
higher rates being paid on time deposits in 2022 in connection with
the additional expected interest rate hikes by the Federal Reserve
this year. Brokered time deposits totaled $153.0 million or 16.1% of total deposits at
June 30, 2022. Noninterest-bearing
demand deposits increased $5.5
million to $119.8 million at
June 30, 2022 from December 31, 2021, and totaled 12.6% of total
deposits at June 30, 2022.
Stockholders' equity totaled $138.9
million at June 30, 2022, a
decrease of $41.5 million or 23.0%
from December 31, 2021. The decrease
in stockholders' equity from December 31,
2021 primarily was the result of a reduction in accumulated
comprehensive income of $38.0 million
due to a greater mark-to-market adjustment to the investment
portfolio as a result of higher interest rates, the payment of
$2.2 million in dividends to Company
stockholders, and the repurchase of $9.0
million of Company common stock, partially offset by net
income of $6.5 million.
During the quarter ended June 30,
2022, the Company repurchased a total of 461,891 shares of
Company common stock at an average price of $16.18 per share. As of June 30, 2022, the Company had approximately
447,471 shares available for repurchase under its existing stock
repurchase program. Subsequent to quarter end, the Company
repurchased an additional 1,614 shares. The current
repurchase program ended on July
7th.
About Richmond Mutual Bancorporation, Inc.
Richmond Mutual Bancorporation, Inc., headquartered in
Richmond, Indiana, is the holding
company for First Bank Richmond, a community-oriented financial
institution offering traditional financial and trust services
within its local communities through its eight locations in
Richmond, Centerville, Cambridge City and Shelbyville, Indiana, its five locations in
Sidney, Piqua and Troy,
Ohio, and its loan production office in Columbus, Ohio.
FORWARD-LOOKING STATEMENTS:
This document and other filings by the Company with the
Securities and Exchange Commission (the "SEC"), as well as press
releases or other public or stockholder communications released by
the Company, may contain forward-looking statements, including, but
not limited to, (i) statements regarding the financial
condition, results of operations and business of the Company,
(ii) statements about the Company's plans, objectives,
expectations and intentions and other statements that are not
historical facts and (iii) other statements identified by the
words or phrases "will likely result," "are expected to," "will
continue," "is anticipated," "estimate," "project," "intends" or
similar expressions that are intended to identify "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are based on
current beliefs and expectations of the Company's management and
are inherently subject to significant business, economic and
competitive uncertainties and contingencies, many of which are
beyond the Company's control. In addition, these forward-looking
statements are subject to assumptions with respect to future
business strategies and decisions that are subject to
change.
The following factors, among others, could cause actual
results to differ materially from the anticipated results or other
expectations expressed in the forward-looking statements: the
effect of the COVID-19 pandemic, including on the Company's credit
quality and business operations, as well as its impact on general
economic and financial market conditions and other uncertainties
such as the extent and duration of the impact of the pandemic on
public health, the U.S. and global economies, and on consumer and
corporate customers, including economic activity, employment levels
and market liquidity; legislative changes; changes in policies by
regulatory agencies; fluctuations in interest rates; the risks of
lending and investing activities, including changes in the level
and direction of loan delinquencies and write-offs and changes in
estimates of the adequacy of the allowance for loan losses; the
Company's ability to access cost-effective funding; fluctuations in
real estate values and both residential and commercial real estate
market conditions; demand for loans and deposits in the Company's
market area; changes in management's business strategies; changes
in the regulatory and tax environments in which the Company
operates; and other factors set forth in the Company's filings with
the SEC.
The factors listed above could materially affect the
Company's financial performance and could cause the Company's
actual results for future periods to differ materially from any
opinions or statements expressed with respect to future periods in
any current statements.
The Company does not undertake - and specifically declines
any obligation - to publicly release the result of any revisions
which may be made to any forward-looking statements to reflect
events or circumstances after the date of such statements or to
reflect the occurrence of anticipated or unanticipated events. When
considering forward-looking statements, keep in mind these risks
and uncertainties. Undue reliance should not be placed on any
forward-looking statement, which speaks only as of the date made.
Refer to the Company's periodic and current reports filed with the
SEC for specific risks that could cause actual results to be
significantly different from those expressed or implied by any
forward-looking statements.
Financial Highlights
(unaudited)
|
|
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
SELECTED OPERATIONS DATA:
|
June 30,
2022
|
|
March 31,
2022
|
|
June 30,
2021
|
|
June 30,
2022
|
|
June 30,
2021
|
(In thousands, except
for per share
amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
$
12,448
|
|
$
11,942
|
|
$
11,112
|
|
$
24,390
|
|
$
21,995
|
Interest
expense
|
1,899
|
|
1,888
|
|
1,922
|
|
3,788
|
|
3,803
|
Net interest
income
|
10,549
|
|
10,054
|
|
9,190
|
|
20,602
|
|
18,192
|
|
|
|
|
|
|
|
|
|
|
Provision for loan
losses
|
200
|
|
200
|
|
530
|
|
400
|
|
930
|
Net interest income
after provision
|
10,349
|
|
9,854
|
|
8,660
|
|
20,202
|
|
17,262
|
Noninterest
income
|
1,176
|
|
1,116
|
|
1,640
|
|
2,292
|
|
3,168
|
Noninterest
expense
|
7,158
|
|
7,334
|
|
6,879
|
|
14,491
|
|
13,857
|
Income before income
tax expense
|
4,367
|
|
3,636
|
|
3,421
|
|
8,003
|
|
6,573
|
Income tax
provision
|
882
|
|
618
|
|
640
|
|
1,500
|
|
1,229
|
|
|
|
|
|
|
|
|
|
|
Net income
|
$
3,485
|
|
$
3,018
|
|
$
2,781
|
|
$
6,503
|
|
$
5,344
|
|
|
|
|
|
|
|
|
|
|
Shares
outstanding
|
11,848
|
|
12,310
|
|
12,685
|
|
11,848
|
|
12,685
|
Average shares
outstanding:
|
|
|
|
|
|
|
|
|
|
Basic
|
10,763
|
|
11,048
|
|
11,470
|
|
10,905
|
|
11,578
|
Diluted
|
11,125
|
|
11,474
|
|
11,730
|
|
11,300
|
|
11,791
|
Earnings per
share:
|
|
|
|
|
|
|
|
|
|
Basic
|
$
0.32
|
|
$
0.27
|
|
$
0.24
|
|
$
0.60
|
|
$
0.46
|
Diluted
|
$
0.31
|
|
$
0.26
|
|
$
0.24
|
|
$
0.58
|
|
$
0.45
|
SELECTED FINANCIAL CONDITION
DATA:
|
June 30,
2022
|
|
March 31,
2022
|
|
December 31,
2021
|
(In thousands, except
for per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
$
1,271,640
|
|
$
1,256,113
|
|
$
1,267,640
|
Cash and cash
equivalents
|
14,419
|
|
19,576
|
|
23,038
|
Investment
securities
|
310,776
|
|
334,981
|
|
366,579
|
Loans and leases, net
of allowance
|
891,877
|
|
849,987
|
|
832,846
|
Loans held for
sale
|
1,120
|
|
583
|
|
558
|
Premises and equipment,
net
|
14,010
|
|
14,146
|
|
14,347
|
Federal Home Loan Bank
stock
|
9,781
|
|
9,781
|
|
9,992
|
Other assets
|
29,657
|
|
27,059
|
|
20,280
|
Deposits
|
948,333
|
|
909,495
|
|
900,175
|
Borrowings
|
177,000
|
|
182,000
|
|
180,000
|
Total stockholder's
equity
|
138,945
|
|
157,343
|
|
180,481
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value
(GAAP)
|
$
138,945
|
|
$
157,343
|
|
$
180,481
|
Tangible book value
(non-GAAP)
|
138,945
|
|
157,343
|
|
180,481
|
Book value per share
(GAAP)
|
11.73
|
|
12.78
|
|
14.55
|
Tangible book value per
share (non-GAAP)
|
11.73
|
|
12.78
|
|
14.55
|
|
|
The following table
summarizes information relating to our loan and lease portfolio at
the dates indicated:
|
|
|
(In
thousands)
|
June 30,
2022
|
|
March 31,
2022
|
|
December 31,
2021
|
|
|
|
|
|
|
|
Commercial
mortgage
|
$
278,490
|
|
$
257,755
|
|
$
261,202
|
Commercial and
industrial
|
106,427
|
|
96,609
|
|
99,682
|
Construction and
development
|
104,832
|
|
102,123
|
|
93,678
|
Multi-family
|
121,424
|
|
116,439
|
|
107,421
|
Residential
mortgage
|
135,486
|
|
135,155
|
|
134,155
|
Home equity
|
9,347
|
|
8,393
|
|
7,146
|
Direct financing
leases
|
130,859
|
|
130,451
|
|
126,762
|
Consumer
|
18,229
|
|
16,130
|
|
15,905
|
|
|
|
|
|
|
|
Total loans and
leases
|
$
905,094
|
|
$
863,055
|
|
$
845,951
|
|
|
|
|
|
|
|
The following table
summarizes information relating to our deposits at the dates
indicated:
|
|
|
(In
thousands)
|
June 30,
2022
|
|
March 31,
2022
|
|
December 31,
2021
|
|
|
|
|
|
|
|
Noninterest-bearing
demand
|
$
119,774
|
|
$
113,662
|
|
$
114,303
|
Interest-bearing
demand
|
166,775
|
|
166,902
|
|
164,356
|
Savings and money
market
|
284,740
|
|
275,173
|
|
253,957
|
Non-brokered time
deposits
|
224,069
|
|
233,703
|
|
245,808
|
Brokered time
deposits
|
152,975
|
|
120,055
|
|
121,751
|
|
|
|
|
|
|
|
Total
deposits
|
$
948,333
|
|
$
909,495
|
|
$
900,175
|
Average Balances,
Interest and Average Yields/Cost. The following tables
set forth for the periods indicated, information
regarding average balances of assets and liabilities as well as the
total dollar amounts of interest income from average
interest-
earning assets and
interest expense on average interest-bearing liabilities, resultant
yields, interest rate spread, net interest margin
(otherwise known as net yield on interest-earning assets), and the
ratio of average interest-earning assets to average interest-
bearing liabilities. Average balances have been calculated using
daily balances. Non-accruing loans have been included in the
table as loans carrying a zero yield. Loan fees are included in
interest income on loans and are not material.
|
|
|
Three Months Ended
June 30,
|
|
2022
|
|
2021
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
(Dollars in
thousands)
|
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases
receivable
|
$
875,801
|
|
$
10,682
|
|
4.88 %
|
|
$
778,430
|
|
$
9,857
|
|
5.07 %
|
Securities
|
323,078
|
|
1,656
|
|
2.05 %
|
|
313,327
|
|
1,185
|
|
1.51 %
|
FHLB stock
|
9,781
|
|
78
|
|
3.19 %
|
|
9,050
|
|
64
|
|
2.83 %
|
Cash and cash
equivalents and other
|
15,254
|
|
32
|
|
0.84 %
|
|
22,839
|
|
6
|
|
0.11 %
|
Total interest-earning
assets
|
1,223,914
|
|
12,448
|
|
4.07 %
|
|
1,123,646
|
|
11,112
|
|
3.96 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Savings and money
market accounts
|
296,224
|
|
388
|
|
0.52 %
|
|
253,086
|
|
317
|
|
0.50 %
|
Interest-bearing
checking accounts
|
169,618
|
|
111
|
|
0.26 %
|
|
152,596
|
|
88
|
|
0.23 %
|
Certificate
accounts
|
360,498
|
|
776
|
|
0.86 %
|
|
270,497
|
|
816
|
|
1.21 %
|
Borrowings
|
170,264
|
|
624
|
|
1.47 %
|
|
173,077
|
|
701
|
|
1.62 %
|
Total interest-bearing
liabilities
|
996,604
|
|
1,899
|
|
0.76 %
|
|
849,256
|
|
1,922
|
|
0.91 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
$ 10,549
|
|
|
|
|
|
$
9,190
|
|
|
Net earning
assets
|
$
227,310
|
|
|
|
|
|
$
274,390
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate
spread(1)
|
|
|
|
|
3.31 %
|
|
|
|
|
|
3.05 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin(2)
|
|
|
|
|
3.45 %
|
|
|
|
|
|
3.27 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
interest-earning assets to average interest-
bearing liabilities
|
122.81 %
|
|
|
|
|
|
132.31 %
|
|
|
|
|
________________________________________________
|
(1)
|
Net interest rate
spread represents the difference between the weighted average yield
earned on interest-earning assets and the weighted average rate
paid on
interest-bearing liabilities.
|
(2)
|
Net interest margin
represents net interest income divided by average total
interest-earning assets.
|
|
Six Months Ended June
30,
|
|
2022
|
|
2021
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
(Dollars in
thousands)
|
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases
receivable
|
$
862,940
|
|
$ 20,948
|
|
4.86 %
|
|
$
771,131
|
|
$ 19,724
|
|
5.12 %
|
Securities
|
338,289
|
|
3,242
|
|
1.92 %
|
|
287,190
|
|
2,125
|
|
1.48 %
|
FHLB stock
|
9,844
|
|
161
|
|
3.27 %
|
|
9,050
|
|
133
|
|
2.94 %
|
Cash and cash
equivalents and other
|
16,970
|
|
39
|
|
0.46 %
|
|
27,193
|
|
13
|
|
0.10 %
|
Total interest-earning
assets
|
1,228,043
|
|
24,390
|
|
3.97 %
|
|
1,094,564
|
|
21,995
|
|
4.02 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
Savings and money
market accounts
|
280,313
|
|
725
|
|
0.52 %
|
|
238,200
|
|
595
|
|
0.50 %
|
Interest-bearing
checking accounts
|
167,630
|
|
208
|
|
0.25 %
|
|
147,555
|
|
169
|
|
0.23 %
|
Certificate
accounts
|
362,011
|
|
1,591
|
|
0.88 %
|
|
259,694
|
|
1,644
|
|
1.27 %
|
Borrowings
|
176,845
|
|
1,264
|
|
1.43 %
|
|
171,547
|
|
1,395
|
|
1.63 %
|
Total interest-bearing
liabilities
|
986,799
|
|
3,788
|
|
0.77 %
|
|
816,996
|
|
3,803
|
|
0.93 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
$ 20,602
|
|
|
|
|
|
$ 18,192
|
|
|
Net earning
assets
|
$
241,244
|
|
|
|
|
|
$
277,568
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate
spread(1)
|
|
|
|
|
3.20 %
|
|
|
|
|
|
3.09 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin(2)
|
|
|
|
|
3.36 %
|
|
|
|
|
|
3.32 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
interest-earning assets to average interest-
bearing liabilities
|
124.45 %
|
|
|
|
|
|
133.97 %
|
|
|
|
|
________________________________________________
|
(1)
|
Net interest rate
spread represents the difference between the weighted average yield
earned on interest-earning assets and the weighted average rate
paid
on interest-bearing liabilities.
|
(2)
|
Net interest margin
represents net interest income divided by average total
interest-earning assets.
|
|
At and for the Three Months
Ended
|
Selected Financial Ratios and Other
Data:
|
June 30,
2022
|
|
March 31,
2022
|
|
December 31,
2021
|
|
September 30,
2021
|
|
June 30,
2021
|
Performance ratios:
|
|
|
|
|
|
|
|
|
|
Return on average
assets (annualized)
|
1.10 %
|
|
0.96 %
|
|
0.87 %
|
|
1.02 %
|
|
0.96 %
|
Return on average
equity (annualized)
|
9.41 %
|
|
7.15 %
|
|
6.06 %
|
|
6.83 %
|
|
5.98 %
|
Yield on
interest-earning assets
|
4.07 %
|
|
3.88 %
|
|
3.94 %
|
|
4.08 %
|
|
3.96 %
|
Rate paid on
interest-bearing liabilities
|
0.76 %
|
|
0.77 %
|
|
0.82 %
|
|
0.87 %
|
|
0.91 %
|
Average interest rate
spread
|
3.31 %
|
|
3.11 %
|
|
3.12 %
|
|
3.21 %
|
|
3.05 %
|
Net interest margin
(annualized)(1)
|
3.45 %
|
|
3.26 %
|
|
3.31 %
|
|
3.42 %
|
|
3.27 %
|
Operating expense to
average total assets
(annualized)
|
2.27 %
|
|
2.32 %
|
|
2.55 %
|
|
2.26 %
|
|
2.36 %
|
Efficiency
ratio(2)
|
61.05 %
|
|
65.66 %
|
|
70.99 %
|
|
61.74 %
|
|
63.74 %
|
Average
interest-earning assets to average
interest-bearing liabilities
|
122.81 %
|
|
126.10 %
|
|
129.42 %
|
|
130.45 %
|
|
132.31 %
|
Asset quality ratios:
|
|
|
|
|
|
|
|
|
|
Non-performing assets
to total assets(3)
|
0.64 %
|
|
0.64 %
|
|
0.64 %
|
|
0.69 %
|
|
0.65 %
|
Non-performing loans
and leases to total
gross loans and leases(4)
|
0.89 %
|
|
0.92 %
|
|
0.95 %
|
|
1.05 %
|
|
0.97 %
|
Allowance for loan and
lease losses to non-
performing loans and leases(4)
|
153.32 %
|
|
154.91 %
|
|
150.76 %
|
|
139.23 %
|
|
147.62 %
|
Allowance for loan and
lease losses to total
loans and leases
|
1.37 %
|
|
1.43 %
|
|
1.43 %
|
|
1.47 %
|
|
1.43 %
|
Net (recoveries)
charge-offs (annualized) to
average outstanding loans and leases during
the period
|
0.06 %
|
|
— %
|
|
(0.13) %
|
|
0.04 %
|
|
0.03 %
|
Capital ratios:
|
|
|
|
|
|
|
|
|
|
Equity to total assets
at end of period
|
10.93 %
|
|
12.53 %
|
|
14.27 %
|
|
14.51 %
|
|
15.36 %
|
Average equity to
average assets
|
11.72 %
|
|
13.39 %
|
|
14.39 %
|
|
14.93 %
|
|
15.97 %
|
Common equity tier 1
capital (to risk
weighted assets)(5)
|
15.55 %
|
|
15.62 %
|
|
16.02 %
|
|
16.38 %
|
|
17.81 %
|
Tier 1 leverage (core)
capital (to adjusted
tangible assets)(5)
|
12.74 %
|
|
12.64 %
|
|
12.53 %
|
|
12.76 %
|
|
13.68 %
|
Tier 1 risk-based
capital (to risk weighted
assets)(5)
|
15.55 %
|
|
15.62 %
|
|
16.02 %
|
|
16.38 %
|
|
17.81 %
|
Total risk-based
capital (to risk weighted
assets)(5)
|
16.72 %
|
|
16.81 %
|
|
17.25 %
|
|
17.63 %
|
|
19.06 %
|
Other data:
|
|
|
|
|
|
|
|
|
|
Number of full-service
offices
|
12
|
|
12
|
|
12
|
|
12
|
|
12
|
Full-time equivalent
employees
|
177
|
|
177
|
|
173
|
|
175
|
|
178
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Net interest income
divided by average interest-earning assets.
|
(2)
|
Total noninterest
expenses as a percentage of net interest income and total
noninterest income, excluding net securities
transactions.
|
(3)
|
Non-performing assets
consist of nonaccrual loans and leases, accruing loans and leases
more than 90 days past due and foreclosed assets.
|
(4)
|
Non-performing loans
and leases consist of nonaccrual loans and leases and accruing
loans and leases more than 90 days past due.
|
(5)
|
Capital ratios are for
First Bank Richmond.
|
View original
content:https://www.prnewswire.com/news-releases/richmond-mutual-bancorporation-inc-announces-2022-second-quarter-financial-results-301591473.html
SOURCE Richmond Mutual Bancorporation, Inc.