First US Bancshares, Inc. (Nasdaq: FUSB) (the “Company”), the
parent company of First US Bank (the “Bank”), today reported net
income of $1.7 million, or $0.25 per diluted share, for the quarter
ended December 31, 2021 (“4Q2021”), compared to $0.8 million, or
$0.13 per diluted share, for the quarter ended September 30, 2021
(“3Q2021”) and $1.0 million, or $0.15 per diluted share, for the
quarter ended December 31, 2020 (“4Q2020”). For the year ended
December 31, 2021 (“Full-year 2021”), the Company’s net income
totaled $4.5 million, or $0.66 per diluted share, compared to $2.7
million, or $0.40 per diluted share, for the year ended December
31, 2020 (“Full-year 2020”), an increase of 64.4%. The Company’s
earnings growth in 2021 was driven by reductions in both interest
and non-interest expense, as well as a decrease in the provision
for loan and lease losses. Although loan loss provisions decreased
in 2021, the Company maintained its loan loss reserves as a
percentage of total loans at levels consistent with the previous
year and did not record negative provisions. Accordingly, loan loss
provision expense was commensurate with the Company’s continued
loan growth. Growth in loan volume during 4Q2021 totaled $2.1
million, bringing total loan growth for the year ended December 31,
2021, to $60.8 million, or 9.4%. Excluding Paycheck Protection
Program (“PPP”) loans which have been administered by the Small
Business Administration (“SBA”) in response to the COVID-19
pandemic, total loan growth for 2021 was $71.1 million, or 11.1%.
Strategic Initiatives
Progress continued during 4Q2021 on the
Company’s strategic initiatives aimed at improving operating
efficiency, focusing the Company’s loan growth activities, and
fortifying asset quality. As previously announced, on September 3,
2021, the Bank’s wholly owned subsidiary, Acceptance Loan Company,
Inc. (“ALC”), ceased new business development and permanently
closed its 20 branch lending locations in Alabama and Mississippi
to the public. This initiative resulted in pre-tax expense
reductions at ALC netting to $1.3 million, comparing 4Q2021 to
3Q2021. ALC’s 4Q2021 expense reductions were partially offset by
one-time pre-tax charges totaling approximately $0.4 million
associated with personnel, lease terminations, and other
administrative costs associated with the branch closures. As of
December 31, 2021, approximately $0.9 million in total one-time
pre-tax charges associated with ALC’s business cessation had been
incurred. This amount represents the majority of one-time charges
currently expected in connection with this strategic initiative.
Future non-interest expenses at ALC are expected to consist
primarily of personnel and operating expenses associated with
collection of ALC’s remaining loan portfolio, as well as provision
expense for loan losses or changes in loss estimates.
The expense reductions associated with the ALC
strategy had a significant impact on the improvement of the
Company’s earnings in 4Q2021. These reductions are expected to
contribute favorably to the Company’s earnings in future periods;
however, revenues associated with loans at ALC will also decrease
as ALC’s portfolio continues to pay down. Loans at ALC totaled
$40.8 million as of December 31, 2021, compared to $48.0 million as
of September 30, 2021, a reduction of $7.2 million, or 15.0%,
during the quarter. Consistent with the reduction in loans,
revenues earned on ALC’s loan portfolio decreased to $2.0 million
in 4Q2021, compared to $2.3 million in 3Q2021, or a decrease of
13.0%. Management continues to expect that the majority of ALC’s
loans will be paid off by the end of 2023. Accordingly, the
Company’s focus remains on loan growth in other areas of the Bank’s
portfolio, as well as efforts to reduce the Bank’s ongoing
operating expenses and improve the Company’s efficiency over
time.
“We are pleased to end 2021 on a high note from
an earnings standpoint,” stated James F. House, President and CEO
of the Company. “Our ALC initiative, combined with the closure of
four of the Bank’s branches in September, have driven substantial
expense savings and improved profitability as we closed out the
year. We also achieved net loan growth during the quarter despite
the substantial reductions in ALC’s loan portfolio. Though we
remain focused on operational simplification and improvement, we
have not lost sight of the importance of loan growth as a driver of
long-term earnings,” continued Mr. House.
Other Fourth Quarter Financial
Highlights
Loan Growth – The table below summarizes loan
balances by portfolio category at the end of each of the most
recent five quarters as of December 31, 2021.
|
|
Quarter Ended |
|
|
|
2021 |
|
|
2020 |
|
|
|
December31, |
|
|
September30, |
|
|
June30, |
|
|
March31, |
|
|
December31, |
|
|
|
|
|
|
|
(Dollars in Thousands) |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
|
|
|
Real estate loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Construction, land development and other land loans |
|
$ |
67,048 |
|
|
$ |
58,175 |
|
|
$ |
53,425 |
|
|
$ |
48,491 |
|
|
$ |
37,282 |
|
Secured by 1-4 family residential properties |
|
|
72,727 |
|
|
|
73,112 |
|
|
|
78,815 |
|
|
|
82,349 |
|
|
|
88,856 |
|
Secured by multi-family residential properties |
|
|
46,000 |
|
|
|
51,420 |
|
|
|
53,811 |
|
|
|
54,180 |
|
|
|
54,326 |
|
Secured by non-farm, non-residential properties |
|
|
197,901 |
|
|
|
198,745 |
|
|
|
191,398 |
|
|
|
193,626 |
|
|
|
184,528 |
|
Commercial and industrial
loans |
|
|
72,286 |
|
|
|
73,777 |
|
|
|
65,772 |
|
|
|
65,043 |
|
|
|
69,808 |
|
Paycheck Protection Program
("PPP") loans |
|
|
1,661 |
|
|
|
3,902 |
|
|
|
11,587 |
|
|
|
14,795 |
|
|
|
11,927 |
|
Consumer loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Direct consumer |
|
|
21,689 |
|
|
|
25,845 |
|
|
|
26,937 |
|
|
|
26,998 |
|
|
|
29,788 |
|
Branch retail |
|
|
25,692 |
|
|
|
29,764 |
|
|
|
31,688 |
|
|
|
31,075 |
|
|
|
32,094 |
|
Indirect sales |
|
|
205,940 |
|
|
|
194,154 |
|
|
|
176,116 |
|
|
|
153,940 |
|
|
|
141,514 |
|
Total loans |
|
$ |
710,944 |
|
|
$ |
708,894 |
|
|
$ |
689,549 |
|
|
$ |
670,497 |
|
|
$ |
650,123 |
|
Less unearned interest, fees and deferred costs |
|
|
2,594 |
|
|
|
3,729 |
|
|
|
4,067 |
|
|
|
3,792 |
|
|
|
4,279 |
|
Allowance for loan and lease losses |
|
|
8,320 |
|
|
|
8,193 |
|
|
|
7,726 |
|
|
|
7,475 |
|
|
|
7,470 |
|
Net loans |
|
$ |
700,030 |
|
|
$ |
696,972 |
|
|
$ |
677,756 |
|
|
$ |
659,230 |
|
|
$ |
638,374 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The Company’s commercial lending efforts in 2021
led to growth in the Bank’s construction, commercial real estate
(secured by non-farm, non-residential properties), and C&I
categories of $29.8 million, $13.4 million, and $2.5 million,
respectively, for the year. The growth in these portfolios was
consistent with the commercial lending team’s focus areas and is
indicative of continued improvement in economic activity in larger
metropolitan markets, primarily in the southeast, that the Bank
serves. Growth in these categories was partially offset by
decreases during the year in other loan categories including 1-4
residential family, multifamily residential, and PPP loans which
decreased $16.1 million, $8.3 million, and $10.3 million,
respectively. The reduction in PPP loans was anticipated given the
nature of these loans which are administered by the SBA in response
to the COVID-19 pandemic. PPP loans are no longer being originated
by the Bank, and the reduction in loan balances during 2021
represented loans that were forgiven by the SBA. In addition, the
reduction in 1-4 family residential loans included $9.2 million in
1-4 family rental investment properties, a loan category that
management has generally sought to reduce exposure to in the
current environment.
The Company maintains three consumer lending
categories. The direct consumer and branch retail categories are
primarily comprised of loans in ALC’s consumer portfolio.
Accordingly, these categories are expected to decrease as the ALC
dissolution strategy continues. Reductions in the two categories of
loans totaled $14.5 million combined in 2021, including a decrease
of $8.2 million in 4Q2021, the first full quarter following the
cessation of new business at ALC and closure of its branch lending
locations. The indirect category, which grew by $64.4 million in
2021, is focused on consumer lending secured by collateral that
includes recreational vehicles, campers, boats, horse trailers and
cargo trailers. Since early 2020, the Bank has experienced
substantial growth in indirect lending as consumers sought
alternatives to more traditional travel and leisure activities in
the wake of the COVID-19 pandemic, and as the Bank expanded its
lending platform into additional states. The Bank now operates
indirect lending in a 12-state footprint primarily in the
southeastern United States.
Net Interest Income and Margin – Net interest
income totaled $9.3 million in both 4Q2021 and 3Q2021. Full-year
2021 net interest income totaled $37.0 million, compared to $35.8
million in 2020. The increase in 2021 resulted primarily from a
reduction in interest expense totaling $1.7 million comparing the
two years. Although the average balance of both interest-earning
assets and interest-bearing liabilities increased in 2021 compared
to 2020, the interest rate environment continued to compress
margins leading to reductions in both interest income and interest
expense. Due to the interest rate environment, combined with growth
in both noninterest and interest-bearing deposits, interest expense
reductions outpaced interest income reductions, leading to overall
net interest income improvement. Annualized average funding costs
totaled 0.33% in 4Q2021, compared to 0.32% in 3Q2021, and 0.47% in
4Q2020. Net interest margin totaled 4.10% during 4Q2021, compared
to 4.17% for 3Q2021, and 4.59% in 4Q2020. Full-year 2021 net
interest margin was 4.23%, compared to 4.69% in 2020.
Deposit Growth and Deployment of Funds – Total
deposits decreased by $8.7 million during 4Q2021, representing the
first quarter of deposit reduction since March 31, 2020, at the
onset of the COVID-19 pandemic. For the year ended December 31,
2021, deposits increased by $55.9 million, or 7.1%. The deposit
growth during 2021 was consistent with general trends in commercial
banking and reflects deposit-holder receipt of stimulus payments
and preferences for liquidity. In the current interest rate
environment, the increased deposit levels put additional pressure
on net interest margin as excess funds were deployed into lower
earning assets. Management has continued to focus on deploying
investable cash balances into earning assets that meet the
Company’s established credit standards, while maintaining
appropriate levels of liquidity.
Loan Loss Provision – Loan loss provisioning was
$0.5 million in 4Q2021, compared to $0.6 million in 3Q2021.
Full-year 2021 loan loss provisioning totaled $2.0 million,
compared to $2.9 million in 2020. The reduction in loan loss
provisions in 2021 was due primarily to overall improvement in the
economic outlook comparing the two years, as well as the reduced
volume of loans in ALC’s portfolio which has historically carried
the Company’s highest level of losses. At the onset of the COVID-19
pandemic, over 1,900 of the Company’s borrowers requested and were
granted COVID-19 pandemic-related loan payment deferments. As of
December 31, 2021, loans that continued to be in pandemic-related
deferment totaled only $0.3 million, compared to $95.2 million as
of June 30, 2020, in the early stages of the pandemic. The decrease
in deferred loans over the past six quarters is indicative of the
strength of the credit quality within the portfolio. Although
pandemic-related economic uncertainty continues to exist,
management believes that the allowance for loan and lease losses,
which was calculated under an incurred loss model, was sufficient
to absorb losses in the Company’s loan portfolio based on
circumstances existing as of December 31, 2021. The Company will
continue to closely monitor the impact of changing economic
circumstances on the Company’s loan portfolio and adjust the
allowance accordingly. Due to its classification as a smaller
reporting company by the Securities and Exchange Commission, the
Company is not required to adopt the Current Expected Credit Loss
(CECL) model to account for credit losses until January 1, 2023.
Management continues to evaluate the impact that the adoption of
CECL will have on the Company’s financial statements.
Non-interest Income – Non-interest income was
$0.9 million in both 4Q2021 and 3Q2021. Full-year 2021 non-interest
income totaled $3.5 million, compared to $5.0 million in the
previous year. The reduction in non-interest income included $0.5
million in secondary market mortgage revenues that were earned in
2020 associated with the Bank’s mortgage division that was
discontinued beginning in 4Q2020. Although the discontinuance
resulted in a reduction in non-interest income, non-interest
expense associated with the mortgage division, primarily salaries
and benefits, was reduced commensurately. In addition, during 2020,
approximately $0.6 million in gains on sale of investment
securities and sales of premises and equipment were recorded that
were not repeated in 2021. Furthermore, service and other charges
on deposit accounts decreased $0.2 million due primarily to changes
in deposit customer behaviors during the pandemic.
Non-interest Expense – Non-interest expense
decreased by $1.1 million in 4Q2021, compared to 3Q2021, due
primarily to cost savings resulting from ALC’s branch closures, as
well as the closure of four of the Bank’s branches in September
2021. As mentioned previously, reductions in non-interest expense
were partially offset by one-time pre-tax charges associated with
the ALC dissolution initiative. For the year ended December 31,
2021, non-interest expense totaled $32.8 million, compared to $34.3
million for the year ended December 31, 2020, a reduction of $1.5
million, or 4.5%. Consistent with expense reductions in 4Q2021, the
full-year reduction in expenses resulted from cost savings
associated with the ALC dissolution strategy combined with Bank
branch closures. Management remains focused on
initiatives to continue to simplify the Company’s operating
environment and improve operating efficiency.
Balance Sheet Growth – As of December 31, 2021,
assets totaled $958.3 million, compared to $890.5 million as of
December 31, 2020, an increase of 7.6%. The Company’s asset growth
in 2021 was consistent with overall growth in deposits and
borrowings during the year. The deposit growth reflected the impact
of the pandemic on both business and consumer deposit holders,
including preferences for liquidity, loan payment deferments, tax
payment deferments, government stimulus receipts and generally
lower consumer spending. Of the total increase in deposits during
2021, $22.6 million represented non-interest-bearing deposits,
while $33.3 million were interest-bearing.
Subordinated Debt Issuance – On October 1, 2021,
the Company completed a private placement of $11.0 million in
aggregate principal amount of fixed-to-floating rate subordinated
notes that will mature on October 1, 2031 (the “Notes”). The Notes
bear interest at a rate of 3.50% per annum for the first five
years, at which time the interest rate will be reset quarterly to a
benchmark interest rate per annum which, subject to certain
conditions provided in the Notes, will be equal to the then current
three-month term Secured Overnight Financing Rate (“SOFR”) plus 275
basis points. The Company expects to use the net proceeds for
general corporate purposes, which may include the repurchase of the
Company’s common stock, and to support organic growth plans,
including the maintenance of capital ratios. Following receipt of
the net proceeds of the Notes, the Company invested $5.0 million
into capital surplus of the Bank.
Asset Quality – The Company’s non-performing
assets, including loans in non-accrual status and other real estate
owned (OREO), totaled $4.2 million as of December 31, 2021,
compared to $4.0 million as of December 31, 2020. During 2021,
increases in the total amount of nonperforming assets resulted
primarily from banking centers that were closed during the year and
reclassified into OREO. As a percentage of total assets,
non-performing assets were 0.43% as of December 31, 2021, compared
to 0.45% as of December 31, 2020.
Cash Dividend – The Company declared a cash
dividend of $0.03 per share on its common stock in 4Q2021.
Dividends declared by the Company totaled $0.12 in both 2021 and
2020.
Share Repurchases - During 4Q2021, the Company
completed share repurchases totaling 45,748 shares of its $0.01 par
value common stock at a weighted average price of $11.47 per share.
The Company did not repurchase shares during the first three
quarters of 2021. The 4Q2021 repurchases were completed under the
Company’s existing share repurchase program, which was extended in
December 2020, and amended in April 2021 to allow the repurchase of
additional shares through its date of expiration on December 31,
2022. As of December 31, 2021, a total of 1,009,213 shares remained
available for repurchase under the program.
Regulatory Capital – During 4Q2021, the Bank
continued to maintain capital ratios at higher levels than required
to be considered a “well-capitalized” institution under applicable
banking regulations. As of December 31, 2021, the Bank’s common
equity Tier 1 capital and Tier 1 risk-based capital ratios were
each 11.36%. Its total capital ratio was 12.44%, and its Tier 1
leverage ratio was 9.17%.
Liquidity – As of December 31, 2021, the Company
continued to maintain excess funding capacity sufficient to provide
adequate liquidity for loan growth, capital expenditures and
ongoing operations. The Company benefits from a strong core deposit
base, a liquid investment securities portfolio and access to
funding from a variety of sources, including federal funds lines,
Federal Home Loan Bank advances and brokered deposits.
About First US Bancshares,
Inc.
First US Bancshares, Inc. (the “Company”) is a
bank holding company that operates banking offices in Alabama,
Tennessee, and Virginia through First US Bank (the “Bank”). In
addition, the Company’s operations include Acceptance Loan Company,
Inc. (“ALC”), a consumer loan company, and FUSB Reinsurance, Inc.,
an underwriter of credit life and credit accident and health
insurance policies sold to the Bank’s and ALC’s consumer loan
customers. The Company files periodic reports with the U.S.
Securities and Exchange Commission (the “SEC”). Copies of its
filings may be obtained through the SEC’s website at www.sec.gov or
at www.firstusbank.com. More information about the Company and the
Bank may be obtained at www.firstusbank.com. The Company’s stock is
traded on the Nasdaq Capital Market under the symbol “FUSB.”
Forward-Looking Statements
This press release contains forward-looking
statements, as defined by federal securities laws. Statements
contained in this press release that are not historical facts are
forward-looking statements. These statements may address issues
that involve significant risks, uncertainties, estimates and
assumptions made by management. The Company undertakes no
obligation to update these statements following the date of this
press release, except as required by law. In addition, the Company,
through its senior management, may make from time to time
forward-looking public statements concerning the matters described
herein. Such forward-looking statements are necessarily estimates
reflecting the best judgment of the Company’s senior management
based upon current information and involve a number of risks and
uncertainties.
Certain factors that could affect the accuracy
of such forward-looking statements are identified in the public
filings made by the Company with the SEC, and forward-looking
statements contained in this press release or in other public
statements of the Company or its senior management should be
considered in light of those factors. Specifically, with respect to
statements relating to the sufficiency of the allowance for loan
and lease losses, loan demand, cash flows, interest costs, growth
and earnings potential, expansion and the Company’s positioning to
handle the challenges presented by COVID-19, these factors include,
but are not limited to, the rate of growth (or lack thereof) in the
economy generally and in the Company’s service areas; market
conditions and investment returns; changes in interest rates; the
impact of the current COVID-19 pandemic on the Company’s business,
the Company’s customers, the communities that the Company serves
and the United States economy, including the impact of actions
taken by governmental authorities to try to contain the virus and
protect against it, through vaccinations and otherwise, or address
the impact of the virus on the United States economy (including,
without limitation, the Coronavirus Aid, Relief and Economic
Security (CARES) Act and subsequent federal legislation) and the
resulting effect on the Company’s operations, liquidity and capital
position and on the financial condition of the Company’s borrowers
and other customers; the pending discontinuation of LIBOR as an
interest rate benchmark; the availability of quality loans in the
Company’s service areas; the relative strength and weakness in the
consumer and commercial credit sectors and in the real estate
markets; collateral values; cybersecurity threats; and risks
related to the Paycheck Protection Program. There can be no
assurance that such factors or other factors will not affect the
accuracy of such forward-looking statements.
FIRST US BANCSHARES, INC. AND
SUBSIDIARIESSELECTED FINANCIAL DATA
– LINKED QUARTERS(Dollars in Thousands,
Except Per Share Data)(Unaudited)
|
|
Quarter Ended |
|
|
Year Ended |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
|
December31, |
|
|
September30, |
|
|
June30, |
|
|
March31, |
|
|
December31, |
|
|
December31, |
|
|
December31, |
|
Results of
Operations: |
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
|
|
|
Interest income |
|
$ |
9,987 |
|
|
$ |
10,030 |
|
|
$ |
10,059 |
|
|
$ |
9,845 |
|
|
$ |
10,204 |
|
|
$ |
39,921 |
|
|
$ |
40,377 |
|
Interest expense |
|
|
727 |
|
|
|
695 |
|
|
|
747 |
|
|
|
781 |
|
|
|
912 |
|
|
|
2,950 |
|
|
|
4,611 |
|
Net interest income |
|
|
9,260 |
|
|
|
9,335 |
|
|
|
9,312 |
|
|
|
9,064 |
|
|
|
9,292 |
|
|
|
36,971 |
|
|
|
35,766 |
|
Provision for loan and lease
losses |
|
|
493 |
|
|
|
618 |
|
|
|
498 |
|
|
|
401 |
|
|
|
469 |
|
|
|
2,010 |
|
|
|
2,945 |
|
Net interest income after
provision for loan and lease losses |
|
|
8,767 |
|
|
|
8,717 |
|
|
|
8,814 |
|
|
|
8,663 |
|
|
|
8,823 |
|
|
|
34,961 |
|
|
|
32,821 |
|
Non-interest income |
|
|
865 |
|
|
|
896 |
|
|
|
809 |
|
|
|
951 |
|
|
|
1,008 |
|
|
|
3,521 |
|
|
|
5,010 |
|
Non-interest expense |
|
|
7,414 |
|
|
|
8,547 |
|
|
|
8,399 |
|
|
|
8,396 |
|
|
|
8,477 |
|
|
|
32,756 |
|
|
|
34,299 |
|
Income before income
taxes |
|
|
2,218 |
|
|
|
1,066 |
|
|
|
1,224 |
|
|
|
1,218 |
|
|
|
1,354 |
|
|
|
5,726 |
|
|
|
3,532 |
|
Provision for income
taxes |
|
|
507 |
|
|
|
229 |
|
|
|
271 |
|
|
|
268 |
|
|
|
309 |
|
|
|
1,275 |
|
|
|
825 |
|
Net income |
|
$ |
1,711 |
|
|
$ |
837 |
|
|
$ |
953 |
|
|
$ |
950 |
|
|
$ |
1,045 |
|
|
$ |
4,451 |
|
|
$ |
2,707 |
|
Per Share
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per
share |
|
$ |
0.27 |
|
|
$ |
0.13 |
|
|
$ |
0.15 |
|
|
$ |
0.15 |
|
|
$ |
0.16 |
|
|
$ |
0.70 |
|
|
$ |
0.43 |
|
Diluted net income per
share |
|
$ |
0.25 |
|
|
$ |
0.13 |
|
|
$ |
0.14 |
|
|
$ |
0.14 |
|
|
$ |
0.15 |
|
|
$ |
0.66 |
|
|
$ |
0.40 |
|
Dividends declared |
|
$ |
0.03 |
|
|
$ |
0.03 |
|
|
$ |
0.03 |
|
|
$ |
0.03 |
|
|
$ |
0.03 |
|
|
$ |
0.12 |
|
|
$ |
0.12 |
|
Key Measures (Period
End): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
958,302 |
|
|
$ |
956,734 |
|
|
$ |
946,946 |
|
|
$ |
926,535 |
|
|
$ |
890,511 |
|
|
|
|
|
|
|
|
|
Tangible assets (1) |
|
|
950,233 |
|
|
|
948,592 |
|
|
|
938,719 |
|
|
|
918,216 |
|
|
|
882,101 |
|
|
|
|
|
|
|
|
|
Loans, net of allowance for
loan losses |
|
|
700,030 |
|
|
|
696,972 |
|
|
|
677,756 |
|
|
|
659,230 |
|
|
|
638,374 |
|
|
|
|
|
|
|
|
|
Allowance for loan and lease
losses |
|
|
8,320 |
|
|
|
8,193 |
|
|
|
7,726 |
|
|
|
7,475 |
|
|
|
7,470 |
|
|
|
|
|
|
|
|
|
Investment securities,
net |
|
|
134,319 |
|
|
|
121,467 |
|
|
|
123,583 |
|
|
|
75,783 |
|
|
|
91,422 |
|
|
|
|
|
|
|
|
|
Total deposits |
|
|
838,126 |
|
|
|
846,842 |
|
|
|
837,885 |
|
|
|
818,043 |
|
|
|
782,212 |
|
|
|
|
|
|
|
|
|
Short-term borrowings |
|
|
10,046 |
|
|
|
10,037 |
|
|
|
10,017 |
|
|
|
10,017 |
|
|
|
10,017 |
|
|
|
|
|
|
|
|
|
Long-term borrowings |
|
|
10,653 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
|
|
|
|
Total shareholders’
equity |
|
|
90,064 |
|
|
|
89,597 |
|
|
|
88,778 |
|
|
|
87,917 |
|
|
|
86,678 |
|
|
|
|
|
|
|
|
|
Tangible common equity
(1) |
|
|
81,995 |
|
|
|
81,455 |
|
|
|
80,551 |
|
|
|
79,598 |
|
|
|
78,268 |
|
|
|
|
|
|
|
|
|
Book value per common
share |
|
|
14.59 |
|
|
|
14.41 |
|
|
|
14.28 |
|
|
|
14.15 |
|
|
|
14.03 |
|
|
|
|
|
|
|
|
|
Tangible book value per common
share (1) |
|
|
13.28 |
|
|
|
13.10 |
|
|
|
12.96 |
|
|
|
12.81 |
|
|
|
12.67 |
|
|
|
|
|
|
|
|
|
Key
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets
(annualized) |
|
|
0.71 |
% |
|
|
0.35 |
% |
|
|
0.41 |
% |
|
|
0.43 |
% |
|
|
0.48 |
% |
|
|
0.47 |
% |
|
|
0.32 |
% |
Return on average common
equity (annualized) |
|
|
7.54 |
% |
|
|
3.71 |
% |
|
|
4.32 |
% |
|
|
4.41 |
% |
|
|
4.82 |
% |
|
|
5.01 |
% |
|
|
3.17 |
% |
Return on average tangible
common equity (annualized) (1) |
|
|
8.29 |
% |
|
|
4.08 |
% |
|
|
4.76 |
% |
|
|
4.87 |
% |
|
|
5.34 |
% |
|
|
5.52 |
% |
|
|
3.52 |
% |
Net interest margin |
|
|
4.10 |
% |
|
|
4.17 |
% |
|
|
4.31 |
% |
|
|
4.40 |
% |
|
|
4.59 |
% |
|
|
4.23 |
% |
|
|
4.69 |
% |
Efficiency ratio (2) |
|
|
73.2 |
% |
|
|
83.5 |
% |
|
|
83.0 |
% |
|
|
83.8 |
% |
|
|
82.3 |
% |
|
|
80.9 |
% |
|
|
84.1 |
% |
Net loans to deposits |
|
|
83.5 |
% |
|
|
82.3 |
% |
|
|
80.9 |
% |
|
|
80.6 |
% |
|
|
81.6 |
% |
|
|
|
|
|
|
|
|
Net loans to assets |
|
|
73.0 |
% |
|
|
72.8 |
% |
|
|
71.6 |
% |
|
|
71.2 |
% |
|
|
71.7 |
% |
|
|
|
|
|
|
|
|
Tangible common equity to
tangible assets (1) |
|
|
8.63 |
% |
|
|
8.59 |
% |
|
|
8.58 |
% |
|
|
8.67 |
% |
|
|
8.87 |
% |
|
|
|
|
|
|
|
|
Tier 1 leverage ratio (3) |
|
|
9.17 |
% |
|
|
8.51 |
% |
|
|
8.60 |
% |
|
|
8.73 |
% |
|
|
8.98 |
% |
|
|
|
|
|
|
|
|
Allowance for loan losses as %
of loans |
|
|
1.17 |
% |
|
|
1.16 |
% |
|
|
1.13 |
% |
|
|
1.12 |
% |
|
|
1.16 |
% |
|
|
|
|
|
|
|
|
Nonperforming assets as % of
total assets |
|
|
0.43 |
% |
|
|
0.35 |
% |
|
|
0.22 |
% |
|
|
0.37 |
% |
|
|
0.45 |
% |
|
|
|
|
|
|
|
|
Net charge-offs as a
percentage of average loans |
|
|
0.18 |
% |
|
|
0.09 |
% |
|
|
0.15 |
% |
|
|
0.25 |
% |
|
|
0.11 |
% |
|
|
0.16 |
% |
|
|
0.20 |
% |
(1) Refer to Non-GAAP
reconciliation of tangible balances and measures beginning on page
10. |
(2) Efficiency ratio =
non-interest expense / (net interest income + non-interest
income) |
(3) First US Bank Tier 1
leverage ratio |
|
FIRST US BANCSHARES, INC. AND
SUBSIDIARIESNET INTEREST
MARGINTHREE MONTHS ENDED DECEMBER 31, 2021 AND
2020(Dollars in
Thousands)(Unaudited)
|
|
Three Months Ended |
|
|
Three Months Ended |
|
|
|
December 31, 2021 |
|
|
December 31, 2020 |
|
|
|
AverageBalance |
|
|
Interest |
|
|
AnnualizedYield/Rate
% |
|
|
AverageBalance |
|
|
Interest |
|
|
AnnualizedYield/Rate
% |
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total loans |
|
$ |
715,882 |
|
|
$ |
9,503 |
|
|
|
5.27 |
% |
|
$ |
644,759 |
|
|
$ |
9,818 |
|
|
|
6.06 |
% |
Taxable investment securities |
|
|
127,605 |
|
|
|
444 |
|
|
|
1.38 |
% |
|
|
92,523 |
|
|
|
344 |
|
|
|
1.48 |
% |
Tax-exempt investment securities |
|
|
3,091 |
|
|
|
13 |
|
|
|
1.67 |
% |
|
|
3,533 |
|
|
|
16 |
|
|
|
1.80 |
% |
Federal Home Loan Bank stock |
|
|
870 |
|
|
|
8 |
|
|
|
3.65 |
% |
|
|
1,135 |
|
|
|
10 |
|
|
|
3.51 |
% |
Federal funds sold |
|
|
80 |
|
|
|
— |
|
|
|
— |
|
|
|
85 |
|
|
|
— |
|
|
|
— |
|
Interest-bearing deposits in banks |
|
|
48,310 |
|
|
|
19 |
|
|
|
0.16 |
% |
|
|
63,477 |
|
|
|
16 |
|
|
|
0.10 |
% |
Total interest-earning assets |
|
|
895,838 |
|
|
|
9,987 |
|
|
|
4.42 |
% |
|
|
805,512 |
|
|
|
10,204 |
|
|
|
5.04 |
% |
Non-interest-earning
assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other assets |
|
|
66,147 |
|
|
|
|
|
|
|
|
|
|
|
68,096 |
|
|
|
|
|
|
|
|
|
Total |
|
$ |
961,985 |
|
|
|
|
|
|
|
|
|
|
$ |
873,608 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
$ |
244,258 |
|
|
$ |
128 |
|
|
|
0.21 |
% |
|
$ |
211,000 |
|
|
$ |
134 |
|
|
|
0.25 |
% |
Savings deposits |
|
|
204,063 |
|
|
|
145 |
|
|
|
0.28 |
% |
|
|
167,429 |
|
|
|
151 |
|
|
|
0.36 |
% |
Time deposits |
|
|
212,891 |
|
|
|
295 |
|
|
|
0.55 |
% |
|
|
236,769 |
|
|
|
591 |
|
|
|
0.99 |
% |
Total interest-bearing deposits |
|
|
661,212 |
|
|
|
568 |
|
|
|
0.34 |
% |
|
|
615,198 |
|
|
|
876 |
|
|
|
0.57 |
% |
Borrowings |
|
|
20,678 |
|
|
|
159 |
|
|
|
3.05 |
% |
|
|
10,021 |
|
|
|
36 |
|
|
|
1.43 |
% |
Total interest-bearing liabilities (1) |
|
|
681,890 |
|
|
|
727 |
|
|
|
0.42 |
% |
|
|
625,219 |
|
|
|
912 |
|
|
|
0.58 |
% |
Non-interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
|
179,331 |
|
|
|
|
|
|
|
|
|
|
|
152,537 |
|
|
|
|
|
|
|
|
|
Other liabilities |
|
|
10,758 |
|
|
|
|
|
|
|
|
|
|
|
9,515 |
|
|
|
|
|
|
|
|
|
Shareholders’ equity |
|
|
90,006 |
|
|
|
|
|
|
|
|
|
|
|
86,337 |
|
|
|
|
|
|
|
|
|
Total |
|
$ |
961,985 |
|
|
|
|
|
|
|
|
|
|
$ |
873,608 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
|
|
|
|
$ |
9,260 |
|
|
|
|
|
|
|
|
|
|
$ |
9,292 |
|
|
|
|
|
Net interest margin |
|
|
|
|
|
|
|
|
|
|
4.10 |
% |
|
|
|
|
|
|
|
|
|
|
4.59 |
% |
(1) The annualized rate
on total average funding costs, including total average
interest-bearing liabilities and average non-interest-bearing
demand deposits, was 0.33% and 0.47% for the three-month periods
ended December 31, 2021 and 2020, respectively. |
|
FIRST US BANCSHARES, INC. AND
SUBSIDIARIESNET INTEREST
MARGINYEAR ENDED DECEMBER 31, 2021 AND
2020(Dollars in
Thousands)(Unaudited)
|
|
Year Ended |
|
|
Year Ended |
|
|
|
December 31, 2021 |
|
|
December 31, 2020 |
|
|
|
AverageBalance |
|
|
Interest |
|
|
AnnualizedYield/Rate % |
|
|
AverageBalance |
|
|
Interest |
|
|
AnnualizedYield/Rate % |
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total loans |
|
$ |
685,010 |
|
|
$ |
38,229 |
|
|
|
5.58 |
% |
|
$ |
590,200 |
|
|
$ |
38,251 |
|
|
|
6.48 |
% |
Taxable investment securities |
|
|
107,141 |
|
|
|
1,503 |
|
|
|
1.40 |
% |
|
|
99,096 |
|
|
|
1,761 |
|
|
|
1.78 |
% |
Tax-exempt investment securities |
|
|
3,370 |
|
|
|
60 |
|
|
|
1.78 |
% |
|
|
2,503 |
|
|
|
55 |
|
|
|
2.20 |
% |
Federal Home Loan Bank stock |
|
|
928 |
|
|
|
34 |
|
|
|
3.66 |
% |
|
|
1,135 |
|
|
|
51 |
|
|
|
4.49 |
% |
Federal funds sold |
|
|
83 |
|
|
|
— |
|
|
|
— |
|
|
|
4,740 |
|
|
|
45 |
|
|
|
0.95 |
% |
Interest-bearing deposits in banks |
|
|
76,972 |
|
|
|
95 |
|
|
|
0.12 |
% |
|
|
65,609 |
|
|
|
214 |
|
|
|
0.33 |
% |
Total interest-earning assets |
|
|
873,504 |
|
|
|
39,921 |
|
|
|
4.57 |
% |
|
|
763,283 |
|
|
|
40,377 |
|
|
|
5.29 |
% |
Non-interest-earning
assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other assets |
|
|
66,782 |
|
|
|
|
|
|
|
|
|
|
|
70,716 |
|
|
|
|
|
|
|
|
|
Total |
|
$ |
940,286 |
|
|
|
|
|
|
|
|
|
|
$ |
833,999 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
$ |
236,084 |
|
|
$ |
553 |
|
|
|
0.23 |
% |
|
$ |
192,035 |
|
|
$ |
577 |
|
|
|
0.30 |
% |
Savings deposits |
|
|
193,766 |
|
|
|
599 |
|
|
|
0.31 |
% |
|
|
162,636 |
|
|
|
756 |
|
|
|
0.46 |
% |
Time deposits |
|
|
226,425 |
|
|
|
1,517 |
|
|
|
0.67 |
% |
|
|
233,815 |
|
|
|
3,143 |
|
|
|
1.34 |
% |
Total interest-bearing deposits |
|
|
656,275 |
|
|
|
2,669 |
|
|
|
0.41 |
% |
|
|
588,486 |
|
|
|
4,476 |
|
|
|
0.76 |
% |
Borrowings |
|
|
13,512 |
|
|
|
281 |
|
|
|
2.08 |
% |
|
|
10,156 |
|
|
|
135 |
|
|
|
1.33 |
% |
Total interest-bearing liabilities (1) |
|
|
669,787 |
|
|
|
2,950 |
|
|
|
0.44 |
% |
|
|
598,642 |
|
|
|
4,611 |
|
|
|
0.77 |
% |
Non-interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand deposits |
|
|
172,187 |
|
|
|
|
|
|
|
|
|
|
|
140,196 |
|
|
|
|
|
|
|
|
|
Other liabilities |
|
|
9,416 |
|
|
|
|
|
|
|
|
|
|
|
9,741 |
|
|
|
|
|
|
|
|
|
Shareholders’ equity |
|
|
88,896 |
|
|
|
|
|
|
|
|
|
|
|
85,420 |
|
|
|
|
|
|
|
|
|
Total |
|
$ |
940,286 |
|
|
|
|
|
|
|
|
|
|
$ |
833,999 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
|
|
|
|
$ |
36,971 |
|
|
|
|
|
|
|
|
|
|
$ |
35,766 |
|
|
|
|
|
Net interest margin |
|
|
|
|
|
|
|
|
|
|
4.23 |
% |
|
|
|
|
|
|
|
|
|
|
4.69 |
% |
(1) The annualized rate on total average funding costs,
including total average interest-bearing liabilities and average
non-interest-bearing demand deposits, was 0.35% and 0.62% for the
years ended December 31, 2021 and 2020, respectively. |
|
FIRST US BANCSHARES, INC. AND
SUBSIDIARIESYEAR-END CONDENSED CONSOLIDATED
BALANCE SHEETS(Dollars in Thousands, Except Per
Share Data)
|
|
December 31, |
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
|
|
(Unaudited) |
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
10,843 |
|
|
$ |
12,235 |
|
Interest-bearing deposits in
banks |
|
|
50,401 |
|
|
|
82,180 |
|
Total cash and cash equivalents |
|
|
61,244 |
|
|
|
94,415 |
|
Federal funds sold |
|
|
82 |
|
|
|
85 |
|
Investment securities
available-for-sale, at fair value |
|
|
130,883 |
|
|
|
84,993 |
|
Investment securities
held-to-maturity, at amortized cost |
|
|
3,436 |
|
|
|
6,429 |
|
Federal Home Loan Bank stock,
at cost |
|
|
870 |
|
|
|
1,135 |
|
Loans and leases, net of
allowance for loan and lease losses of $8,320 and $7,470,
respectively |
|
|
700,030 |
|
|
|
638,374 |
|
Premises and equipment, net of
accumulated depreciation of $21,916 and $23,774,
respectively |
|
|
25,123 |
|
|
|
28,206 |
|
Cash surrender value of
bank-owned life insurance |
|
|
16,141 |
|
|
|
15,846 |
|
Accrued interest
receivable |
|
|
2,556 |
|
|
|
2,807 |
|
Goodwill and core deposit
intangible, net |
|
|
8,069 |
|
|
|
8,410 |
|
Other real estate owned |
|
|
2,149 |
|
|
|
949 |
|
Other assets |
|
|
7,719 |
|
|
|
8,862 |
|
Total assets |
|
$ |
958,302 |
|
|
$ |
890,511 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
Non-interest-bearing |
|
$ |
174,501 |
|
|
$ |
151,935 |
|
Interest-bearing |
|
|
663,625 |
|
|
|
630,277 |
|
Total deposits |
|
|
838,126 |
|
|
|
782,212 |
|
Accrued interest expense |
|
|
224 |
|
|
|
292 |
|
Other liabilities |
|
|
9,189 |
|
|
|
11,312 |
|
Short-term borrowings |
|
|
10,046 |
|
|
|
10,017 |
|
Long-term borrowings |
|
|
10,653 |
|
|
|
- |
|
Total liabilities |
|
|
868,238 |
|
|
|
803,833 |
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity: |
|
|
|
|
|
|
|
|
Common stock, par value $0.01
per share, 10,000,000 shares authorized; 7,634,918 and
7,596,351 shares issued, respectively; 6,172,378 and
6,176,556 shares outstanding, respectively |
|
|
75 |
|
|
|
75 |
|
Additional paid-in
capital |
|
|
14,163 |
|
|
|
13,786 |
|
Accumulated other
comprehensive loss, net of tax |
|
|
(276 |
) |
|
|
(52 |
) |
Retained earnings |
|
|
98,428 |
|
|
|
94,722 |
|
Less treasury stock: 1,462,540
and 1,419,795 shares at cost, respectively |
|
|
(22,326 |
) |
|
|
(21,853 |
) |
Total shareholders’ equity |
|
|
90,064 |
|
|
|
86,678 |
|
|
|
|
|
|
|
|
|
|
Total liabilities and shareholders’ equity |
|
$ |
958,302 |
|
|
$ |
890,511 |
|
|
|
|
|
|
|
|
|
|
FIRST US BANCSHARES, INC. AND
SUBSIDIARIESYEAR-END CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS(Dollars in Thousands,
Except Per Share Data)
|
|
Three Months Ended |
|
|
Year Ended |
|
|
|
December 31, |
|
|
December 31, |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
|
|
|
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans |
|
$ |
9,503 |
|
|
$ |
9,818 |
|
|
$ |
38,229 |
|
|
$ |
38,251 |
|
Interest on investment securities |
|
|
484 |
|
|
|
386 |
|
|
|
1,692 |
|
|
|
2,126 |
|
Total interest income |
|
|
9,987 |
|
|
|
10,204 |
|
|
|
39,921 |
|
|
|
40,377 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
|
569 |
|
|
|
876 |
|
|
|
2,669 |
|
|
|
4,476 |
|
Interest on borrowings |
|
|
158 |
|
|
|
36 |
|
|
|
281 |
|
|
|
135 |
|
Total interest expense |
|
|
727 |
|
|
|
912 |
|
|
|
2,950 |
|
|
|
4,611 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
|
9,260 |
|
|
|
9,292 |
|
|
|
36,971 |
|
|
|
35,766 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan and lease
losses |
|
|
493 |
|
|
|
469 |
|
|
|
2,010 |
|
|
|
2,945 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income after
provision for loan and lease losses |
|
|
8,767 |
|
|
|
8,823 |
|
|
|
34,961 |
|
|
|
32,821 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service and other charges on deposit accounts |
|
|
292 |
|
|
|
306 |
|
|
|
1,069 |
|
|
|
1,301 |
|
Net gain on sales and prepayments of investment securities |
|
|
— |
|
|
|
— |
|
|
|
22 |
|
|
|
326 |
|
Mortgage fees from secondary market |
|
|
— |
|
|
|
68 |
|
|
|
23 |
|
|
|
567 |
|
Lease income |
|
|
211 |
|
|
|
212 |
|
|
|
830 |
|
|
|
842 |
|
Other income, net |
|
|
362 |
|
|
|
422 |
|
|
|
1,577 |
|
|
|
1,974 |
|
Total non-interest income |
|
|
865 |
|
|
|
1,008 |
|
|
|
3,521 |
|
|
|
5,010 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
|
4,206 |
|
|
|
5,069 |
|
|
|
19,157 |
|
|
|
20,536 |
|
Net occupancy and equipment |
|
|
1,070 |
|
|
|
1,111 |
|
|
|
4,388 |
|
|
|
4,185 |
|
Computer services |
|
|
421 |
|
|
|
485 |
|
|
|
1,832 |
|
|
|
1,796 |
|
Fees for professional services |
|
|
272 |
|
|
|
293 |
|
|
|
1,275 |
|
|
|
1,297 |
|
Other expense |
|
|
1,445 |
|
|
|
1,519 |
|
|
|
6,104 |
|
|
|
6,485 |
|
Total non-interest expense |
|
|
7,414 |
|
|
|
8,477 |
|
|
|
32,756 |
|
|
|
34,299 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes |
|
|
2,218 |
|
|
|
1,354 |
|
|
|
5,726 |
|
|
|
3,532 |
|
Provision for income taxes |
|
|
507 |
|
|
|
309 |
|
|
|
1,275 |
|
|
|
825 |
|
Net income |
|
$ |
1,711 |
|
|
$ |
1,045 |
|
|
$ |
4,451 |
|
|
$ |
2,707 |
|
Basic net income per share |
|
$ |
0.27 |
|
|
$ |
0.16 |
|
|
$ |
0.70 |
|
|
$ |
0.43 |
|
Diluted net income per share |
|
$ |
0.25 |
|
|
$ |
0.15 |
|
|
$ |
0.66 |
|
|
$ |
0.40 |
|
Dividends per share |
|
$ |
0.03 |
|
|
$ |
0.03 |
|
|
$ |
0.12 |
|
|
$ |
0.12 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Financial Measures
In addition to the financial results presented
in this press release that have been prepared in accordance with
U.S. generally accepted accounting principles (“GAAP”), the
Company’s management believes that certain non-GAAP financial
measures and ratios are beneficial to the reader. These non-GAAP
measures have been provided to enhance overall understanding of the
Company’s current financial performance and position. Management
believes that these presentations provide meaningful comparisons of
financial performance and position in various periods and can be
used as a supplement to the GAAP-based measures presented in this
press release. The non-GAAP financial results presented should not
be considered a substitute for the GAAP-based results. Management
believes that both GAAP measures of the Company’s financial
performance and the respective non-GAAP measures should be
considered together.
The non-GAAP measures and ratios that have been
provided in this press release include measures of tangible assets
and equity and certain ratios that include tangible assets and
equity. Discussion of these measures and ratios is included below,
along with reconciliations of such non-GAAP measures to GAAP
amounts included in the financial statements previously presented
in this press release.
Tangible Balances and Measures
In addition to capital ratios defined by GAAP
and banking regulators, the Company utilizes various tangible
common equity measures when evaluating capital utilization and
adequacy. These measures, which are presented in the financial
tables in this press release, may also include calculations of
tangible assets. As defined by the Company, tangible common equity
represents shareholders’ equity less goodwill and identifiable
intangible assets, while tangible assets represent total assets
less goodwill and identifiable intangible assets.
Management believes that the measures of
tangible equity are important because they reflect the level of
capital available to withstand unexpected market conditions. In
addition, presentation of these measures allows readers to compare
certain aspects of the Company’s capitalization to other
organizations. In management’s experience, many stock analysts use
tangible common equity measures in conjunction with more
traditional bank capital ratios to compare capital adequacy of
banking organizations with significant amounts of goodwill or other
intangible assets that typically result from the use of the
purchase accounting method in accounting for mergers and
acquisitions.
These calculations are intended to complement
the capital ratios defined by GAAP and banking regulators. Because
GAAP does not include these measures, management believes that
there are no comparable GAAP financial measures to the tangible
common equity ratios that the Company utilizes. Despite the
importance of these measures to the Company, there are no
standardized definitions for the measures, and, therefore, the
Company’s calculations may not be comparable with those of other
organizations. In addition, there may be limits to the usefulness
of these measures to investors. Accordingly, management encourages
readers to consider the Company’s consolidated financial statements
in their entirety and not to rely on any single financial measure.
The table below reconciles the Company’s calculations of these
measures to amounts reported in accordance with GAAP.
|
|
|
|
Quarter Ended |
|
|
Year Ended |
|
|
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
|
|
|
December31, |
|
|
September30, |
|
|
June30, |
|
|
March31, |
|
|
December31, |
|
|
December31, |
|
|
December31, |
|
|
|
|
|
|
|
|
|
|
|
(Dollars in Thousands, Except Per Share Data) |
|
|
|
|
|
(Unaudited Reconciliation) |
|
TANGIBLE BALANCES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
|
|
$ |
958,302 |
|
|
$ |
956,734 |
|
|
$ |
946,946 |
|
|
$ |
926,535 |
|
|
$ |
890,511 |
|
|
|
|
|
|
|
|
|
Less: Goodwill |
|
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
|
|
|
|
|
|
Less: Core deposit
intangible |
|
|
|
|
634 |
|
|
|
707 |
|
|
|
792 |
|
|
|
884 |
|
|
|
975 |
|
|
|
|
|
|
|
|
|
Tangible assets |
|
(a) |
|
$ |
950,233 |
|
|
$ |
948,592 |
|
|
$ |
938,719 |
|
|
$ |
918,216 |
|
|
$ |
882,101 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total shareholders’
equity |
|
|
|
$ |
90,064 |
|
|
$ |
89,597 |
|
|
$ |
88,778 |
|
|
$ |
87,917 |
|
|
$ |
86,678 |
|
|
|
|
|
|
|
|
|
Less: Goodwill |
|
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
|
|
|
|
|
|
Less: Core deposit
intangible |
|
|
|
|
634 |
|
|
|
707 |
|
|
|
792 |
|
|
|
884 |
|
|
|
975 |
|
|
|
|
|
|
|
|
|
Tangible common equity |
|
(b) |
|
$ |
81,995 |
|
|
$ |
81,455 |
|
|
$ |
80,551 |
|
|
$ |
79,598 |
|
|
$ |
78,268 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shareholders’
equity |
|
|
|
$ |
90,010 |
|
|
$ |
89,603 |
|
|
$ |
88,477 |
|
|
$ |
87,456 |
|
|
$ |
86,337 |
|
|
$ |
88,896 |
|
|
$ |
85,420 |
|
Less: Average goodwill |
|
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
|
|
7,435 |
|
Less: Average core deposit
intangible |
|
|
|
|
669 |
|
|
|
746 |
|
|
|
836 |
|
|
|
927 |
|
|
|
1,019 |
|
|
|
794 |
|
|
|
1,172 |
|
Average tangible shareholders’ equity |
|
(c) |
|
$ |
81,906 |
|
|
$ |
81,422 |
|
|
$ |
80,206 |
|
|
$ |
79,094 |
|
|
$ |
77,883 |
|
|
$ |
80,667 |
|
|
$ |
76,813 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
(d) |
|
$ |
1,711 |
|
|
$ |
837 |
|
|
$ |
953 |
|
|
$ |
950 |
|
|
$ |
1,045 |
|
|
$ |
4,451 |
|
|
$ |
2,707 |
|
Common shares outstanding (in
thousands) |
|
(e) |
|
|
6,172 |
|
|
|
6,218 |
|
|
|
6,215 |
|
|
|
6,214 |
|
|
|
6,177 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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TANGIBLE MEASURES |
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Tangible book value per common
share |
|
(b)/(e) |
|
$ |
13.28 |
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|
$ |
13.10 |
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|
$ |
12.96 |
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$ |
12.81 |
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$ |
12.67 |
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Tangible common equity to
tangible assets |
|
(b)/(a) |
|
|
8.63 |
% |
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|
8.59 |
% |
|
|
8.58 |
% |
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|
8.67 |
% |
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|
8.87 |
% |
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Return on average tangible common equity (annualized) |
|
(1) |
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|
8.29 |
% |
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|
4.08 |
% |
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|
4.76 |
% |
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|
4.87 |
% |
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|
5.34 |
% |
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|
5.52 |
% |
|
|
3.52 |
% |
(1) Calculation of Return on average tangible
common equity (annualized) = ((net income (d) / number of days in
period) * number of days in year) / average tangible shareholders’
equity (c) |
Contact: |
Thomas S. Elley |
|
205-582-1200 |
First US Bancshares (NASDAQ:FUSB)
Gráfica de Acción Histórica
De May 2024 a Jun 2024
First US Bancshares (NASDAQ:FUSB)
Gráfica de Acción Histórica
De Jun 2023 a Jun 2024