Red River Bancshares, Inc. (the “Company”) (Nasdaq: RRBI), the
holding company for Red River Bank (the “Bank”), announced today
its unaudited financial results for the second quarter of 2024.
Net income for the second quarter of 2024 was $8.0 million,
or $1.16 per diluted common share (“EPS”), a decrease of $201,000,
or 2.5%, compared to $8.2 million, or $1.16 EPS, for the first
quarter of 2024, and a decrease of $981,000, or 10.9%, compared to
$9.0 million, or $1.25 EPS, for the second quarter of 2023.
For the second quarter of 2024, the quarterly return on assets was
1.05%, and the quarterly return on equity was 10.69%.
Net income for the six months ended June 30, 2024, was
$16.2 million, or $2.31 EPS, a decrease of $2.4 million,
or 12.9%, compared to $18.6 million, or $2.58 EPS, for the six
months ended June 30, 2023. For the six months ended
June 30, 2024, the return on assets was 1.06%, and the return
on equity was 10.73%.
Second Quarter
2024 Performance and Operational
Highlights
In the second quarter of 2024, the Company had an improved net
interest margin along with fairly consistent earnings and loan and
deposit balances. Stock buyback activity was steady, and Red River
Bank opened a new banking center location in the New Orleans
market.
- Net income for the second quarter of 2024 was $8.0 million
compared to $8.2 million for the prior quarter. Net income for
the second quarter benefited from higher net interest income and an
improved net interest margin fully tax equivalent (“FTE”). Net
income for the first quarter of 2024 benefited from approximately
$800,000, or $0.09 EPS, of nonrecurring noninterest income payments
and operating expense reduction items.
- Net interest income and net interest margin FTE increased for
the second quarter of 2024 compared to the prior quarter. Net
interest income for the second quarter of 2024 was
$21.8 million compared to $21.4 million for the prior
quarter. Net interest margin FTE for the second quarter of 2024 was
2.92% compared to 2.83% for the prior quarter. These increases were
due to improved yields on loans and securities outpacing higher
deposit rates.
- As of June 30, 2024, assets were $3.05 billion, which
was $24.8 million, or 0.8%, lower than March 31, 2024. The
decrease was due to a $29.2 million decrease in deposits.
- Deposits totaled $2.72 billion as of June 30, 2024, a
decrease of $29.2 million, or 1.1%, compared to
$2.75 billion as of March 31, 2024. In the second quarter of
2024, deposit activity was normal and included the seasonal outflow
of funds for income tax payments.
- As of June 30, 2024, loans held for investment (“HFI”)
were $2.05 billion, slightly higher than $2.04 billion as
of March 31, 2024. In the second quarter of 2024, new loan activity
was steady throughout all markets.
- As of June 30, 2024, nonperforming assets (“NPA(s)”) were
$3.2 million, or 0.11% of assets, and the allowance for credit
losses (“ACL”) was $21.6 million, or 1.06% of loans HFI.
- As of June 30, 2024, liquid assets, which are cash and cash
equivalents, were $213.1 million, and the liquid assets to assets
ratio was 6.99%. We do not have any borrowings, brokered deposits,
or internet-sourced deposits.
- We paid a quarterly cash dividend of $0.09 per common share in
the second quarter of 2024.
- The 2024 stock repurchase program authorizes us to purchase up
to $5.0 million of our outstanding shares of common stock from
January 1, 2024 through December 31, 2024. In the second quarter of
2024, we repurchased 16,220 shares of our common stock at an
aggregate cost of $764,000. As of June 30, 2024, the 2024 stock
repurchase program had $4.2 million remaining.
- As of June 30, 2024, capital levels were strong with a
stockholders’ equity to assets ratio of 10.07%, a leverage ratio of
11.74%, and a total risk-based capital ratio of 18.01%.
- We continue to implement our organic expansion plan. In June
2024, we opened a second Red River Bank full-service banking center
in the New Orleans market, and in July 2024, we held a grand
opening ceremony at this newly constructed location on Veterans
Memorial Boulevard in Metairie, Louisiana.
- In July 2024, Bank Director Magazine ranked the Company 9th in
the top 30 best-performing publicly traded financial institutions
in 2023 with assets less than $5.0 billion.
Blake Chatelain, President and Chief Executive Officer, stated,
“The second quarter of 2024 was one of steady, consistent
performance as we expand banking center locations while being
diligent in improving the net interest margin and monitoring asset
quality.
“Overall the balance sheet was fairly consistent with deposits
being impacted by seasonal outgoing income tax payments. We
deployed securities cash flows into higher-yielding assets. Net
interest margin FTE and net interest income increased as a result
of improved pricing on new and renewed loans, combined with
diligent management of deposit costs and reduced deposit rate
pressures. These pricing efforts resulted in a steady improvement
to the net interest margin FTE over the past three quarters.
“While net income was slightly lower in the second quarter, EPS
was $1.16 per share for both the first and second quarters of 2024.
Net income for the first quarter of 2024 was positively impacted by
significant nonrecurring items. In the second quarter of 2024, we
were pleased with the stabilization of and improvements to the net
interest margin, as well as the improvement of fee income from
mortgage operations.
“We were excited to complete construction and open the new Red
River Bank banking center on Veterans Memorial Boulevard in
Metairie, a suburb of the New Orleans, Louisiana market. This is a
growing and vibrant area, and we are pleased to bring Red River
Bank full-service banking to customers in this area.
“We are greatly saddened by the loss of our longtime friend,
supporter, and director on the Company and Bank’s boards, Bobby
Nichols, who passed away in May 2024. We miss his wonderful
personality, his keen business knowledge, and his support and
guidance very much.
“We were honored to be included as a top 30 publicly traded
financial institution by Bank Director Magazine. Our ranking of 9th
for 2023 is a result of our solid financial results and strength as
a company.
“As we enter the second half of 2024, it appears that the
economy in the United States remains solid and that the Federal
Reserve could start easing interest rates in the second half of
2024. We are optimistic that the Louisiana economy is doing well
and that customer banking activity is steady. We are focused on
expanding the Red River Bank banking center network and team,
providing personalized banking services to our customers, and
welcoming new banking relationships. We are well positioned to
provide solid profitability and returns for our shareholders.”
Net Interest Income and Net Interest Margin
FTE
Net interest income and net interest margin FTE increased in the
second quarter of 2024 compared to the prior quarter. These
increases were due to improved yields on loans and securities
outpacing higher deposit rates. The Federal Open Market Committee
(“FOMC”) kept the federal funds rate consistent between the third
quarter of 2023 and the second quarter of 2024.
Net interest income for the second quarter of 2024 was
$21.8 million, which was $424,000, or 2.0%, higher than the
first quarter of 2024, due to a $663,000 increase in interest and
dividend income, partially offset by a $239,000 increase in
interest expense. The increase in interest and dividend income was
due to higher interest income on loans, partially offset by lower
interest income on short-term liquid assets. Loan income increased
$989,000 due to higher rates on new and renewed loans, combined
with higher balances in loans HFI. The average rate on new and
renewed loans was 7.98% for the second quarter of 2024, compared to
7.56% for the prior quarter. Interest income on short-term liquid
assets decreased due to lower balances in these accounts during the
second quarter. The increase in interest expense was primarily due
to higher rates on new and renewed time deposits, combined with
larger balances in these accounts.
The net interest margin FTE increased nine basis points
(“bp(s)”) to 2.92% for the second quarter of 2024, compared to
2.83% for the prior quarter. This increase was due to improved
yields on loans and securities, partially offset by higher deposit
costs. The yield on loans increased 12 bps due to higher rates on
new and renewed loans. The yield on securities increased eight bps
due to reinvesting securities cash flows received into new
securities at higher yields. These increases were partially offset
by an eight bp increase in the rate on interest-bearing deposits
during the second quarter. The cost of deposits increased five bps
to 1.75% for the second quarter of 2024, compared to 1.70% for the
previous quarter.
In the second quarter of 2024, the target range for the federal
funds rate remained at 5.25%-5.50%. The market’s expectation is
that the FOMC will lower the target federal funds rate in the
second half of 2024. During the 12 months ended June 30, 2025, we
anticipate receiving approximately $126.0 million in securities
cash flows with an average yield of 2.40%, and we project
approximately $215.3 million of fixed rate loans will mature with
an average yield of 5.55%. We expect to redeploy these balances
into higher yielding assets, which should benefit both net interest
income and net interest margin FTE. As of June 30, 2024,
floating rate loans were 13.9% of loans HFI, and floating rate
transaction deposits were 6.5% of interest-bearing transaction
deposits. Depending on balance sheet activity and the movement in
interest rates, we expect the net interest margin FTE to improve
slightly in the third and fourth quarters of 2024.
Provision for Credit Losses
The provision for credit losses for the second quarter of 2024
was $300,000, which was consistent with the prior quarter. The
provision in the first and second quarters was due to potential
economic challenges resulting from the current inflationary
environment, changing monetary policy, and loan growth. We will
continue to evaluate future provision needs in relation to current
economic situations, loan growth, trends in asset quality,
forecasted information, and other conditions influencing loss
expectations.
Noninterest Income
Noninterest income totaled $5.1 million for the second
quarter of 2024, an increase of $170,000, or 3.4%, compared to
$4.9 million for the previous quarter. The increase was mainly
due to an increase in mortgage loan income and Small Business
Investment Company (“SBIC”) income, partially offset by a decrease
in brokerage income and net debit card income.
Mortgage loan income was $650,000 for the second quarter of
2024, an increase of $194,000, or 42.5%, compared to $456,000 for
the previous quarter due to increased purchase activity.
SBIC income for the second quarter of 2024 was $454,000, an
increase of $102,000, or 29.0%, compared to $352,000 for the
previous quarter. This increase was primarily due to higher normal
income received from these partnerships in the second quarter. In
the first quarter of 2024, we received a distribution payment of
$114,000, in addition to normal income from these partnerships. We
expect SBIC income to be lower in future quarters.
Brokerage income was $893,000 for the second quarter of 2024, a
decrease of $94,000, or 9.5%, compared to $987,000 for the previous
quarter. The lower income in the second quarter of 2024 was mainly
due to lower investing activities by clients. Assets under
management were $1.09 billion as of June 30, 2024.
Debit card income, net, totaled $949,000 for the second quarter
of 2024, a decrease of $73,000, or 7.1%, compared to $1.0 million
for the previous quarter. In the first quarter of 2024, we
terminated our previous debit card provider contract, which
resulted in $145,000 of nonrecurring income. In January 2024, a
newly negotiated debit card provider contract became effective. The
second quarter of 2024 benefited from a higher number of debit card
transactions and related income.
Operating Expenses
Operating expenses totaled $16.7 million for the second
quarter of 2024, an increase of $816,000, or 5.1%, compared to
$15.9 million for the previous quarter. This increase was
mainly due to higher loan and deposit expenses, data processing
expense, other business development expenses, legal and
professional expenses, and occupancy and equipment expenses,
partially offset by other taxes.
Loan and deposit expenses totaled $309,000 for the second
quarter of 2024, an increase of $351,000, or 835.7%, from the
previous quarter. The first quarter of 2024 benefited from the
receipt of a $262,000 negotiated, variable rebate from a
vendor.
Data processing expense totaled $651,000 for the second quarter
of 2024, an increase of $304,000, or 87.6%, from the previous
quarter. The first quarter of 2024 benefited from the receipt of a
$284,000 periodic refund from our data processing center.
Other business development expenses totaled $593,000 for the
second quarter of 2024, an increase of $118,000, or 24.8%, from the
previous quarter. This increase was mainly the result of an
increase in CRA-related contributions, as well as higher expenses
associated with the SBIC limited partnerships.
Legal and professional expenses totaled $729,00 for the second
quarter of 2024, an increase of $111,000, or 18.0%, from the
previous quarter. This increase was primarily due to higher public
company expenses and audit expenses.
Occupancy and equipment expenses totaled $1.7 million for the
second quarter of 2024, an increase of $82,000, or 5.1%, from the
previous quarter. This increase was primarily due to $67,000 of
nonrecurring expenses related to our new location in the New
Orleans market and other property renovations.
Other taxes totaled $500,000 for the second quarter of 2024, a
decrease of $237,000, or 32.2%, from the previous quarter. This
decrease was primarily attributable to the reversal of $145,000 of
stock repurchase tax expense in the second quarter of 2024 due to
finalized guidelines. Stock repurchase tax expense was $100,000 in
the first quarter of 2024.
Asset Overview
As of June 30, 2024, assets were $3.05 billion, compared to
assets of $3.07 billion as of March 31, 2024, a decrease of $24.8
million, or 0.8%. In the second quarter, assets were impacted by a
$29.2 million, or 1.1%, decrease in deposits. In the second quarter
of 2024, liquid assets decreased $16.7 million, or 7.3%, to $213.1
million and averaged $229.4 million for the second quarter. As of
June 30, 2024, we had sufficient liquid assets available and
$1.68 billion accessible from other liquidity sources. The liquid
assets to assets ratio was 6.99% as of June 30, 2024. Total
securities decreased $21.6 million, or 3.1%, to $666.6 million in
the second quarter and were 21.9% of assets as of June 30,
2024. During the second quarter, loans HFI increased $9.8 million,
or 0.5%, to $2.05 billion. The loans HFI to deposits ratio was
75.38% as of June 30, 2024, compared to 74.22% as of March 31,
2024.
Securities
Total securities as of June 30, 2024, were
$666.6 million, a decrease of $21.6 million, or 3.1%,
from March 31, 2024. Securities decreased primarily due to
maturities and principal repayments exceeding purchases.
The estimated fair value of securities available for sale
(“AFS”) totaled $526.9 million, net of $64.4 million of
unrealized loss, as of June 30, 2024, compared to
$546.0 million, net of $65.3 million of unrealized loss,
as of March 31, 2024. As of June 30, 2024, the amortized cost
of securities held-to-maturity (“HTM”) totaled $136.8 million
compared to $139.3 million as of March 31, 2024. As of
June 30, 2024, securities HTM had an unrealized loss of
$22.8 million compared to $24.5 million as of March 31,
2024.
Equity securities, which is an investment in a CRA mutual fund
consisting primarily of bonds, totaled $2.9 million as of
June 30, 2024, and March 31, 2024.
Loans
Loans HFI as of June 30, 2024, were $2.05 billion,
slightly higher than $2.04 billion as of March 31, 2024. In
the second quarter of 2024, new loan activity was offset by loan
payments and payoffs.
Loans HFI by Category |
|
|
June 30, 2024 |
|
March 31, 2024 |
|
Change fromMarch 31, 2024
toJune 30, 2024 |
(dollars in thousands) |
|
Amount |
|
Percent |
|
Amount |
|
Percent |
|
$ Change |
|
% Change |
Real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate |
|
$ |
865,645 |
|
|
42.3 |
% |
|
$ |
870,085 |
|
|
42.7 |
% |
|
$ |
(4,440 |
) |
|
(0.5 |
%) |
One-to-four family residential |
|
|
611,904 |
|
|
29.9 |
% |
|
|
608,617 |
|
|
29.9 |
% |
|
|
3,287 |
|
|
0.5 |
% |
Construction and development |
|
|
129,197 |
|
|
6.3 |
% |
|
|
116,181 |
|
|
5.7 |
% |
|
|
13,016 |
|
|
11.2 |
% |
Commercial and industrial |
|
|
344,071 |
|
|
16.8 |
% |
|
|
347,094 |
|
|
17.0 |
% |
|
|
(3,023 |
) |
|
(0.9 |
%) |
Tax-exempt |
|
|
67,941 |
|
|
3.3 |
% |
|
|
67,548 |
|
|
3.3 |
% |
|
|
393 |
|
|
0.6 |
% |
Consumer |
|
|
29,132 |
|
|
1.4 |
% |
|
|
28,547 |
|
|
1.4 |
% |
|
|
585 |
|
|
2.0 |
% |
Total loans HFI |
|
$ |
2,047,890 |
|
|
100.0 |
% |
|
$ |
2,038,072 |
|
|
100.0 |
% |
|
$ |
9,818 |
|
|
0.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate (“CRE”) loans are collateralized by owner
occupied and non-owner occupied properties mainly in Louisiana.
Non-owner occupied office loans were $57.4 million, or 2.8% of
loans HFI, as of June 30, 2024, and are primarily centered in
low-rise suburban areas. The average CRE loan size was $946,000 as
of June 30, 2024.
Health care loans are our largest industry concentration and are
made up of a diversified portfolio of health care providers. As of
June 30, 2024, total health care loans were 8.2% of loans HFI.
Within the health care sector, loans to nursing and residential
care facilities were 4.5% of loans HFI, and loans to physician and
dental practices were 3.5% of loans HFI. The average health care
loan size was $361,000 as of June 30, 2024.
Asset Quality and Allowance for Credit
Losses
NPAs totaled $3.2 million as of June 30, 2024, an
increase of $679,000, or 26.8%, from March 31, 2024, primarily due
to an increase in nonaccrual loans, partially offset by a decrease
in past due loans. The ratio of NPAs to assets was 0.11% as of
June 30, 2024, and 0.08% as of March 31, 2024.
As of June 30, 2024, the ACL was $21.6 million. The
ratio of ACL to loans HFI was 1.06% as of June 30, 2024 and
March 31, 2024. The net charge-offs to average loans ratio was
0.01% for the second quarter of 2024 and 0.00% for the first
quarter of 2024.
Deposits
As of June 30, 2024, deposits were $2.72 billion, a
decrease of $29.2 million, or 1.1%, compared to March 31,
2024. Average deposits for the second quarter of 2024 were
$2.73 billion, a decrease of $22.8 million, or 0.8%, from
the prior quarter. The following tables provide details on our
deposit portfolio:
Deposits by Account Type |
|
|
June 30, 2024 |
|
March 31, 2024 |
|
Change fromMarch 31, 2024
toJune 30, 2024 |
(dollars in thousands) |
|
Balance |
|
% of Total |
|
Balance |
|
% of Total |
|
$ Change |
|
% Change |
Noninterest-bearing demand deposits |
|
$ |
892,942 |
|
|
32.9 |
% |
|
$ |
895,439 |
|
|
32.6 |
% |
|
$ |
(2,497 |
) |
|
(0.3 |
%) |
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand deposits |
|
|
135,543 |
|
|
5.0 |
% |
|
|
132,523 |
|
|
4.9 |
% |
|
|
3,020 |
|
|
2.3 |
% |
NOW accounts |
|
|
377,385 |
|
|
13.9 |
% |
|
|
385,585 |
|
|
14.0 |
% |
|
|
(8,200 |
) |
|
(2.1 |
%) |
Money market accounts |
|
|
547,715 |
|
|
20.1 |
% |
|
|
557,139 |
|
|
20.3 |
% |
|
|
(9,424 |
) |
|
(1.7 |
%) |
Savings accounts |
|
|
170,050 |
|
|
6.3 |
% |
|
|
176,777 |
|
|
6.4 |
% |
|
|
(6,727 |
) |
|
(3.8 |
%) |
Time deposits less than or equal to $250,000 |
|
|
399,981 |
|
|
14.7 |
% |
|
|
406,369 |
|
|
14.8 |
% |
|
|
(6,388 |
) |
|
(1.6 |
%) |
Time deposits greater than $250,000 |
|
|
193,030 |
|
|
7.1 |
% |
|
|
192,059 |
|
|
7.0 |
% |
|
|
971 |
|
|
0.5 |
% |
Total interest-bearing deposits |
|
|
1,823,704 |
|
|
67.1 |
% |
|
|
1,850,452 |
|
|
67.4 |
% |
|
|
(26,748 |
) |
|
(1.4 |
%) |
Total deposits |
|
$ |
2,716,646 |
|
|
100.0 |
% |
|
$ |
2,745,891 |
|
|
100.0 |
% |
|
$ |
(29,245 |
) |
|
(1.1 |
%) |
Deposits by Customer Type |
|
|
June 30, 2024 |
|
March 31, 2024 |
|
Change fromMarch 31, 2024
toJune 30, 2024 |
(dollars in thousands) |
|
Balance |
|
% of Total |
|
Balance |
|
% of Total |
|
$ Change |
|
% Change |
Consumer |
|
$ |
1,351,709 |
|
|
49.8 |
% |
|
$ |
1,367,713 |
|
|
49.8 |
% |
|
$ |
(16,004 |
) |
|
(1.2 |
%) |
Commercial |
|
|
1,149,023 |
|
|
42.3 |
% |
|
|
1,160,663 |
|
|
42.3 |
% |
|
|
(11,640 |
) |
|
(1.0 |
%) |
Public |
|
|
215,914 |
|
|
7.9 |
% |
|
|
217,515 |
|
|
7.9 |
% |
|
|
(1,601 |
) |
|
(0.7 |
%) |
Total deposits |
|
$ |
2,716,646 |
|
|
100.0 |
% |
|
$ |
2,745,891 |
|
|
100.0 |
% |
|
$ |
(29,245 |
) |
|
(1.1 |
%) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits decreased in the second quarter of 2024, mainly as a
result of the seasonal outflow of funds for income tax
payments.
The Bank has a granular, diverse deposit portfolio with
customers in a variety of industries throughout Louisiana. As of
June 30, 2024, the average deposit account size was
approximately $27,000.
As of June 30, 2024, our estimated uninsured deposits,
which are the portion of deposit accounts that exceed the FDIC
insurance limit (currently $250,000), were approximately
$804.6 million, or 29.6% of total deposits. This amount was
estimated based on the same methodologies and assumptions used for
regulatory reporting purposes. Also, as of June 30, 2024, our
estimated uninsured deposits, excluding collateralized public
entity deposits, were approximately $633.2 million, or 23.3%
of total deposits. Our cash and cash equivalents of
$213.1 million, combined with our available borrowing capacity
of $1.68 billion, equaled 235.6% of our estimated uninsured
deposits and 299.4% of our estimated uninsured deposits, excluding
collateralized public entity deposits.
Stockholders’ Equity
Total stockholders’ equity as of June 30, 2024, was $307.0
million compared to $299.3 million as of March 31, 2024. The $7.7
million, or 2.6%, increase in stockholders’ equity during the
second quarter of 2024 was attributable to $8.0 million of net
income, a $968,000, net of tax, market adjustment to accumulated
other comprehensive loss related to securities, and $105,000 of
stock compensation, partially offset by the repurchase of 16,220
shares of common stock for $764,000 and $620,000 in cash dividends.
We paid a quarterly cash dividend of $0.09 per share on June 20,
2024.
Non-GAAP Disclosure
Our accounting and reporting policies conform to United States
generally accepted accounting principles (“GAAP”) and the
prevailing practices in the banking industry. Certain financial
measures used by management to evaluate our operating performance
are discussed as supplemental non-GAAP performance measures. In
accordance with the Securities and Exchange Commission’s (“SEC”)
rules, we classify a financial measure as being a non-GAAP
financial measure if that financial measure excludes or includes
amounts, or is subject to adjustments that have the effect of
excluding or including amounts, that are included or excluded, as
the case may be, in the most directly comparable measure calculated
and presented in accordance with GAAP as in effect from time to
time in the U.S.
Management and the board of directors review tangible book value
per share, tangible common equity to tangible assets, and realized
book value per share as part of managing operating performance.
However, these non-GAAP financial measures should not be considered
in isolation or as a substitute for the most directly comparable or
other financial measures calculated in accordance with GAAP.
Moreover, the manner in which we calculate the non-GAAP financial
measures that are discussed may differ from that of other
companies’ reporting measures with similar names. It is important
to understand how such other banking organizations calculate and
name their financial measures similar to the non-GAAP financial
measures discussed by us when comparing such non-GAAP financial
measures.
A reconciliation of non-GAAP financial measures to the
comparable GAAP financial measures is included within the following
financial statement tables.
About Red River Bancshares, Inc.
Red River Bancshares, Inc. is the bank holding company for Red
River Bank, a Louisiana state-chartered bank established in 1999
that provides a fully integrated suite of banking products and
services tailored to the needs of commercial and retail customers.
Red River Bank operates from a network of 28 banking centers
throughout Louisiana and one combined loan and deposit production
office in New Orleans, Louisiana. Banking centers are located in
the following Louisiana markets: Central, which includes the
Alexandria metropolitan statistical area (“MSA”); Northwest, which
includes the Shreveport-Bossier City MSA; Capital, which includes
the Baton Rouge MSA; Southwest, which includes the Lake Charles
MSA; the Northshore, which includes Covington; Acadiana, which
includes the Lafayette MSA; and New Orleans.
Forward-Looking Statements
Statements in this news release regarding our expectations and
beliefs about our future financial performance and financial
condition, as well as trends in our business and markets, are
“forward-looking statements” within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking
statements often include words such as “believe,” “expect,”
“anticipate,” “intend,” “plan,” “estimate,” “project,” “outlook,”
or words of similar meaning, or future or conditional verbs such as
“will,” “would,” “should,” “could,” or “may.” The forward-looking
statements in this news release are based on current information
and on assumptions that we make about future events and
circumstances that are subject to a number of risks and
uncertainties that are often difficult to predict and beyond our
control. As a result of those risks and uncertainties, our actual
financial results in the future could differ, possibly materially,
from those expressed in or implied by the forward-looking
statements contained in this news release and could cause us to
make changes to our future plans. Additional information regarding
these and other risks and uncertainties to which our business and
future financial performance are subject is contained in the
section titled “Risk Factors” in our most recent Annual Report on
Form 10-K and any subsequent quarterly reports on Form 10-Q, and in
other documents that we file with the SEC from time to time. In
addition, our actual financial results in the future may differ
from those currently expected due to additional risks and
uncertainties of which we are not currently aware or which we do
not currently view as, but in the future may become, material to
our business or operating results. Due to these and other possible
uncertainties and risks, readers are cautioned not to place undue
reliance on the forward-looking statements contained in this news
release or to make predictions based solely on historical financial
performance. Any forward-looking statement speaks only as of the
date on which it is made, and we do not undertake any obligation to
update or review any forward-looking statement, whether as a result
of new information, future developments or otherwise, except as
required by law. All forward-looking statements, express or
implied, included in this news release are qualified in their
entirety by this cautionary statement.
Contact:Isabel V. Carriere, CPA, CGMAExecutive Vice President,
Chief Financial Officer, and Assistant Corporate
Secretary318-561-4023icarriere@redriverbank.net
|
FINANCIAL HIGHLIGHTS (UNAUDITED) |
|
|
|
As of and for theThree Months
Ended |
|
As of and for theSix Months
Ended |
(dollars in thousands, except
per share data) |
|
June 30,2024 |
|
March 31,2024 |
|
June 30,2023 |
|
June 30,2024 |
|
June 30,2023 |
Net Income |
|
$ |
7,987 |
|
|
$ |
8,188 |
|
|
$ |
8,968 |
|
|
$ |
16,175 |
|
|
$ |
18,566 |
|
|
|
|
|
|
|
|
|
|
|
|
Per Common Share
Data: |
|
|
|
|
|
|
|
|
|
|
Earnings per share, basic |
|
$ |
1.16 |
|
|
$ |
1.16 |
|
|
$ |
1.25 |
|
|
$ |
2.32 |
|
|
$ |
2.59 |
|
Earnings per share, diluted |
|
$ |
1.16 |
|
|
$ |
1.16 |
|
|
$ |
1.25 |
|
|
$ |
2.31 |
|
|
$ |
2.58 |
|
Book value per share |
|
$ |
44.58 |
|
|
$ |
43.43 |
|
|
$ |
39.49 |
|
|
$ |
44.58 |
|
|
$ |
39.49 |
|
Tangible book value per share(1) |
|
$ |
44.35 |
|
|
$ |
43.20 |
|
|
$ |
39.28 |
|
|
$ |
44.35 |
|
|
$ |
39.28 |
|
Realized book value per share(1) |
|
$ |
53.54 |
|
|
$ |
52.52 |
|
|
$ |
49.21 |
|
|
$ |
53.54 |
|
|
$ |
49.21 |
|
Cash dividends per share |
|
$ |
0.09 |
|
|
$ |
0.09 |
|
|
$ |
0.08 |
|
|
$ |
0.18 |
|
|
$ |
0.16 |
|
Shares outstanding |
|
|
6,886,928 |
|
|
|
6,892,448 |
|
|
|
7,175,056 |
|
|
|
6,886,928 |
|
|
|
7,175,056 |
|
Weighted average shares outstanding, basic |
|
|
6,896,030 |
|
|
|
7,050,048 |
|
|
|
7,177,621 |
|
|
|
6,973,039 |
|
|
|
7,180,187 |
|
Weighted average shares outstanding, diluted |
|
|
6,914,140 |
|
|
|
7,066,709 |
|
|
|
7,194,634 |
|
|
|
6,991,618 |
|
|
|
7,197,412 |
|
|
|
|
|
|
|
|
|
|
|
|
Summary Performance
Ratios: |
|
|
|
|
|
|
|
|
|
|
Return on average assets |
|
|
1.05 |
% |
|
|
1.07 |
% |
|
|
1.20 |
% |
|
|
1.06 |
% |
|
|
1.24 |
% |
Return on average equity |
|
|
10.69 |
% |
|
|
10.77 |
% |
|
|
12.78 |
% |
|
|
10.73 |
% |
|
|
13.54 |
% |
Net interest margin |
|
|
2.87 |
% |
|
|
2.80 |
% |
|
|
2.91 |
% |
|
|
2.83 |
% |
|
|
2.99 |
% |
Net interest margin FTE |
|
|
2.92 |
% |
|
|
2.83 |
% |
|
|
2.96 |
% |
|
|
2.89 |
% |
|
|
3.04 |
% |
Efficiency ratio |
|
|
62.07 |
% |
|
|
60.37 |
% |
|
|
58.63 |
% |
|
|
61.23 |
% |
|
|
57.74 |
% |
Loans HFI to deposits ratio |
|
|
75.38 |
% |
|
|
74.22 |
% |
|
|
73.10 |
% |
|
|
75.38 |
% |
|
|
73.10 |
% |
Noninterest-bearing deposits to deposits ratio |
|
|
32.87 |
% |
|
|
32.61 |
% |
|
|
37.14 |
% |
|
|
32.87 |
% |
|
|
37.14 |
% |
Noninterest income to average assets |
|
|
0.67 |
% |
|
|
0.64 |
% |
|
|
0.81 |
% |
|
|
0.66 |
% |
|
|
0.69 |
% |
Operating expense to average assets |
|
|
2.19 |
% |
|
|
2.07 |
% |
|
|
2.16 |
% |
|
|
2.13 |
% |
|
|
2.11 |
% |
|
|
|
|
|
|
|
|
|
|
|
Summary Credit Quality
Ratios: |
|
|
|
|
|
|
|
|
|
|
NPAs to assets |
|
|
0.11 |
% |
|
|
0.08 |
% |
|
|
0.07 |
% |
|
|
0.11 |
% |
|
|
0.07 |
% |
Nonperforming loans to loans HFI |
|
|
0.16 |
% |
|
|
0.12 |
% |
|
|
0.10 |
% |
|
|
0.16 |
% |
|
|
0.10 |
% |
ACL to loans HFI |
|
|
1.06 |
% |
|
|
1.06 |
% |
|
|
1.08 |
% |
|
|
1.06 |
% |
|
|
1.08 |
% |
Net charge-offs to average loans |
|
|
0.01 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
|
0.01 |
% |
|
|
|
|
|
|
|
|
|
|
|
Capital
Ratios: |
|
|
|
|
|
|
|
|
|
|
Stockholders’ equity to assets |
|
|
10.07 |
% |
|
|
9.74 |
% |
|
|
9.36 |
% |
|
|
10.07 |
% |
|
|
9.36 |
% |
Tangible common equity to tangible assets(1) |
|
|
10.02 |
% |
|
|
9.69 |
% |
|
|
9.31 |
% |
|
|
10.02 |
% |
|
|
9.31 |
% |
Total risk-based capital to risk-weighted assets |
|
|
18.01 |
% |
|
|
17.84 |
% |
|
|
18.13 |
% |
|
|
18.01 |
% |
|
|
18.13 |
% |
Tier 1 risk-based capital to risk-weighted assets |
|
|
16.99 |
% |
|
|
16.82 |
% |
|
|
17.09 |
% |
|
|
16.99 |
% |
|
|
17.09 |
% |
Common equity Tier 1 capital to risk-weighted assets |
|
|
16.99 |
% |
|
|
16.82 |
% |
|
|
17.09 |
% |
|
|
16.99 |
% |
|
|
17.09 |
% |
Tier 1 risk-based capital to average assets |
|
|
11.74 |
% |
|
|
11.44 |
% |
|
|
11.48 |
% |
|
|
11.74 |
% |
|
|
11.48 |
% |
(1) Non-GAAP
financial measure. Calculations of this measure and reconciliations
to GAAP are included in the schedules accompanying this
release. |
RED RIVER BANCSHARES, INC. |
CONSOLIDATED BALANCE SHEETS (UNAUDITED) |
|
(in thousands) |
|
June 30,2024 |
|
March 31,2024 |
|
December 31,2023 |
|
September 30,2023 |
|
June 30,2023 |
ASSETS |
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
35,035 |
|
|
$ |
19,401 |
|
|
$ |
53,062 |
|
|
$ |
42,413 |
|
|
$ |
36,662 |
|
Interest-bearing deposits in other banks |
|
|
178,038 |
|
|
|
210,404 |
|
|
|
252,364 |
|
|
|
279,786 |
|
|
|
185,409 |
|
Securities available-for-sale, at fair value |
|
|
526,890 |
|
|
|
545,967 |
|
|
|
570,092 |
|
|
|
529,046 |
|
|
|
588,478 |
|
Securities held-to-maturity, at amortized cost |
|
|
136,824 |
|
|
|
139,328 |
|
|
|
141,236 |
|
|
|
143,420 |
|
|
|
146,569 |
|
Equity securities, at fair value |
|
|
2,921 |
|
|
|
2,934 |
|
|
|
2,965 |
|
|
|
2,833 |
|
|
|
3,946 |
|
Nonmarketable equity securities |
|
|
2,283 |
|
|
|
2,261 |
|
|
|
2,239 |
|
|
|
2,190 |
|
|
|
4,330 |
|
Loans held for sale |
|
|
3,878 |
|
|
|
1,653 |
|
|
|
1,306 |
|
|
|
2,348 |
|
|
|
4,586 |
|
Loans held for investment |
|
|
2,047,890 |
|
|
|
2,038,072 |
|
|
|
1,992,858 |
|
|
|
1,948,606 |
|
|
|
1,947,631 |
|
Allowance for credit losses |
|
|
(21,627 |
) |
|
|
(21,564 |
) |
|
|
(21,336 |
) |
|
|
(21,183 |
) |
|
|
(21,085 |
) |
Premises and equipment, net |
|
|
57,910 |
|
|
|
57,539 |
|
|
|
57,088 |
|
|
|
56,466 |
|
|
|
55,566 |
|
Accrued interest receivable |
|
|
9,570 |
|
|
|
9,995 |
|
|
|
9,945 |
|
|
|
8,778 |
|
|
|
8,239 |
|
Bank-owned life insurance |
|
|
29,947 |
|
|
|
29,731 |
|
|
|
29,529 |
|
|
|
29,332 |
|
|
|
29,141 |
|
Intangible assets |
|
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
Right-of-use assets |
|
|
2,973 |
|
|
|
3,091 |
|
|
|
3,629 |
|
|
|
3,757 |
|
|
|
3,885 |
|
Other assets |
|
|
34,450 |
|
|
|
32,940 |
|
|
|
32,287 |
|
|
|
36,815 |
|
|
|
32,291 |
|
Total Assets |
|
$ |
3,048,528 |
|
|
$ |
3,073,298 |
|
|
$ |
3,128,810 |
|
|
$ |
3,066,153 |
|
|
$ |
3,027,194 |
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
$ |
892,942 |
|
|
$ |
895,439 |
|
|
$ |
916,456 |
|
|
$ |
972,155 |
|
|
$ |
989,509 |
|
Interest-bearing deposits |
|
|
1,823,704 |
|
|
|
1,850,452 |
|
|
|
1,885,432 |
|
|
|
1,787,738 |
|
|
|
1,674,674 |
|
Total Deposits |
|
|
2,716,646 |
|
|
|
2,745,891 |
|
|
|
2,801,888 |
|
|
|
2,759,893 |
|
|
|
2,664,183 |
|
Other borrowed funds |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
60,000 |
|
Accrued interest payable |
|
|
8,747 |
|
|
|
8,959 |
|
|
|
8,000 |
|
|
|
6,800 |
|
|
|
4,098 |
|
Lease liabilities |
|
|
3,100 |
|
|
|
3,215 |
|
|
|
3,767 |
|
|
|
3,892 |
|
|
|
4,015 |
|
Accrued expenses and other liabilities |
|
|
13,045 |
|
|
|
15,919 |
|
|
|
11,304 |
|
|
|
13,617 |
|
|
|
11,526 |
|
Total Liabilities |
|
|
2,741,538 |
|
|
|
2,773,984 |
|
|
|
2,824,959 |
|
|
|
2,784,202 |
|
|
|
2,743,822 |
|
COMMITMENTS AND
CONTINGENCIES |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
Preferred stock, no par value |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common stock, no par value |
|
|
44,413 |
|
|
|
45,177 |
|
|
|
55,136 |
|
|
|
58,031 |
|
|
|
59,187 |
|
Additional paid-in capital |
|
|
2,590 |
|
|
|
2,485 |
|
|
|
2,407 |
|
|
|
2,327 |
|
|
|
2,248 |
|
Retained earnings |
|
|
321,719 |
|
|
|
314,352 |
|
|
|
306,802 |
|
|
|
299,079 |
|
|
|
291,630 |
|
Accumulated other comprehensive income (loss) |
|
|
(61,732 |
) |
|
|
(62,700 |
) |
|
|
(60,494 |
) |
|
|
(77,486 |
) |
|
|
(69,693 |
) |
Total Stockholders’ Equity |
|
|
306,990 |
|
|
|
299,314 |
|
|
|
303,851 |
|
|
|
281,951 |
|
|
|
283,372 |
|
Total Liabilities and Stockholders’ Equity |
|
$ |
3,048,528 |
|
|
$ |
3,073,298 |
|
|
$ |
3,128,810 |
|
|
$ |
3,066,153 |
|
|
$ |
3,027,194 |
|
RED RIVER BANCSHARES, INC. |
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) |
|
|
|
For the Three Months Ended |
|
For the SixMonths Ended |
(in thousands) |
|
June 30,2024 |
|
March 31,2024 |
|
June 30,2023 |
|
June 30,2024 |
|
June 30,2023 |
INTEREST AND DIVIDEND INCOME |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans |
|
$ |
26,882 |
|
|
$ |
25,893 |
|
|
$ |
22,851 |
|
|
$ |
52,775 |
|
|
$ |
44,616 |
|
Interest on securities |
|
|
4,068 |
|
|
|
4,064 |
|
|
|
3,665 |
|
|
|
8,132 |
|
|
|
7,231 |
|
Interest on federal funds sold |
|
|
— |
|
|
|
— |
|
|
|
251 |
|
|
|
— |
|
|
|
886 |
|
Interest on deposits in other banks |
|
|
2,709 |
|
|
|
3,039 |
|
|
|
1,671 |
|
|
|
5,748 |
|
|
|
3,409 |
|
Dividends on stock |
|
|
22 |
|
|
|
22 |
|
|
|
33 |
|
|
|
44 |
|
|
|
61 |
|
Total Interest and Dividend Income |
|
|
33,681 |
|
|
|
33,018 |
|
|
|
28,471 |
|
|
|
66,699 |
|
|
|
56,203 |
|
INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
|
11,894 |
|
|
|
11,655 |
|
|
|
6,933 |
|
|
|
23,549 |
|
|
|
11,756 |
|
Interest on other borrowed funds |
|
|
— |
|
|
|
— |
|
|
|
28 |
|
|
|
— |
|
|
|
28 |
|
Total Interest Expense |
|
|
11,894 |
|
|
|
11,655 |
|
|
|
6,961 |
|
|
|
23,549 |
|
|
|
11,784 |
|
Net Interest
Income |
|
|
21,787 |
|
|
|
21,363 |
|
|
|
21,510 |
|
|
|
43,150 |
|
|
|
44,419 |
|
Provision for credit losses |
|
|
300 |
|
|
|
300 |
|
|
|
300 |
|
|
|
600 |
|
|
|
300 |
|
Net Interest Income
After Provision for Credit Losses |
|
|
21,487 |
|
|
|
21,063 |
|
|
|
21,210 |
|
|
|
42,550 |
|
|
|
44,119 |
|
NONINTEREST INCOME |
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
|
1,367 |
|
|
|
1,368 |
|
|
|
1,435 |
|
|
|
2,735 |
|
|
|
2,828 |
|
Debit card income, net |
|
|
949 |
|
|
|
1,022 |
|
|
|
924 |
|
|
|
1,971 |
|
|
|
1,858 |
|
Mortgage loan income |
|
|
650 |
|
|
|
456 |
|
|
|
645 |
|
|
|
1,106 |
|
|
|
920 |
|
Brokerage income |
|
|
893 |
|
|
|
987 |
|
|
|
923 |
|
|
|
1,880 |
|
|
|
1,730 |
|
Loan and deposit income |
|
|
492 |
|
|
|
492 |
|
|
|
517 |
|
|
|
984 |
|
|
|
995 |
|
Bank-owned life insurance income |
|
|
216 |
|
|
|
202 |
|
|
|
188 |
|
|
|
418 |
|
|
|
366 |
|
Gain (Loss) on equity securities |
|
|
(13 |
) |
|
|
(31 |
) |
|
|
(64 |
) |
|
|
(44 |
) |
|
|
(32 |
) |
SBIC income |
|
|
454 |
|
|
|
352 |
|
|
|
1,380 |
|
|
|
806 |
|
|
|
1,559 |
|
Other income (loss) |
|
|
90 |
|
|
|
80 |
|
|
|
59 |
|
|
|
170 |
|
|
|
123 |
|
Total Noninterest Income |
|
|
5,098 |
|
|
|
4,928 |
|
|
|
6,007 |
|
|
|
10,026 |
|
|
|
10,347 |
|
OPERATING EXPENSES |
|
|
|
|
|
|
|
|
|
|
Personnel expenses |
|
|
9,603 |
|
|
|
9,550 |
|
|
|
9,547 |
|
|
|
19,154 |
|
|
|
18,547 |
|
Occupancy and equipment expenses |
|
|
1,698 |
|
|
|
1,616 |
|
|
|
1,554 |
|
|
|
3,314 |
|
|
|
3,271 |
|
Technology expenses |
|
|
724 |
|
|
|
709 |
|
|
|
642 |
|
|
|
1,433 |
|
|
|
1,390 |
|
Advertising |
|
|
408 |
|
|
|
337 |
|
|
|
343 |
|
|
|
745 |
|
|
|
624 |
|
Other business development expenses |
|
|
593 |
|
|
|
475 |
|
|
|
494 |
|
|
|
1,068 |
|
|
|
930 |
|
Data processing expense |
|
|
651 |
|
|
|
347 |
|
|
|
638 |
|
|
|
998 |
|
|
|
1,038 |
|
Other taxes |
|
|
500 |
|
|
|
737 |
|
|
|
693 |
|
|
|
1,237 |
|
|
|
1,378 |
|
Loan and deposit expenses |
|
|
309 |
|
|
|
(42 |
) |
|
|
284 |
|
|
|
267 |
|
|
|
489 |
|
Legal and professional expenses |
|
|
729 |
|
|
|
618 |
|
|
|
580 |
|
|
|
1,347 |
|
|
|
1,097 |
|
Regulatory assessment expenses |
|
|
401 |
|
|
|
404 |
|
|
|
397 |
|
|
|
805 |
|
|
|
804 |
|
Other operating expenses |
|
|
1,073 |
|
|
|
1,122 |
|
|
|
960 |
|
|
|
2,194 |
|
|
|
2,052 |
|
Total Operating Expenses |
|
|
16,689 |
|
|
|
15,873 |
|
|
|
16,132 |
|
|
|
32,562 |
|
|
|
31,620 |
|
Income Before Income
Tax Expense |
|
|
9,896 |
|
|
|
10,118 |
|
|
|
11,085 |
|
|
|
20,014 |
|
|
|
22,846 |
|
Income tax expense |
|
|
1,909 |
|
|
|
1,930 |
|
|
|
2,117 |
|
|
|
3,839 |
|
|
|
4,280 |
|
Net
Income |
|
$ |
7,987 |
|
|
$ |
8,188 |
|
|
$ |
8,968 |
|
|
$ |
16,175 |
|
|
$ |
18,566 |
|
RED RIVER BANCSHARES, INC. |
NET INTEREST INCOME AND NET INTEREST MARGIN
(UNAUDITED) |
|
|
|
For the Three Months Ended |
|
|
June 30, 2024 |
|
March 31, 2024 |
(dollars in thousands) |
|
AverageBalanceOutstanding |
|
InterestIncome/Expense |
|
AverageYield/Rate |
|
AverageBalanceOutstanding |
|
InterestIncome/Expense |
|
AverageYield/Rate |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans(1,2) |
|
$ |
2,042,602 |
|
|
$ |
26,882 |
|
|
5.21 |
% |
|
$ |
2,015,063 |
|
|
$ |
25,893 |
|
|
5.09 |
% |
Securities - taxable |
|
|
546,466 |
|
|
|
3,069 |
|
|
2.25 |
% |
|
|
569,600 |
|
|
|
3,048 |
|
|
2.14 |
% |
Securities - tax-exempt |
|
|
193,954 |
|
|
|
999 |
|
|
2.06 |
% |
|
|
197,817 |
|
|
|
1,016 |
|
|
2.05 |
% |
Interest-bearing deposits in other banks |
|
|
199,668 |
|
|
|
2,709 |
|
|
5.43 |
% |
|
|
224,301 |
|
|
|
3,039 |
|
|
5.42 |
% |
Nonmarketable equity securities |
|
|
2,262 |
|
|
|
22 |
|
|
3.96 |
% |
|
|
2,240 |
|
|
|
22 |
|
|
3.95 |
% |
Total interest-earning assets |
|
|
2,984,952 |
|
|
$ |
33,681 |
|
|
4.48 |
% |
|
|
3,009,021 |
|
|
$ |
33,018 |
|
|
4.35 |
% |
Allowance for credit
losses |
|
|
(21,653 |
) |
|
|
|
|
|
|
(21,402 |
) |
|
|
|
|
Noninterest-earning
assets |
|
|
96,631 |
|
|
|
|
|
|
|
100,486 |
|
|
|
|
|
Total assets |
|
$ |
3,059,930 |
|
|
|
|
|
|
$ |
3,088,105 |
|
|
|
|
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction deposits |
|
$ |
1,230,474 |
|
|
$ |
5,701 |
|
|
1.86 |
% |
|
$ |
1,261,361 |
|
|
$ |
5,680 |
|
|
1.81 |
% |
Time deposits |
|
|
595,120 |
|
|
|
6,193 |
|
|
4.19 |
% |
|
|
582,847 |
|
|
|
5,975 |
|
|
4.12 |
% |
Total interest-bearing deposits |
|
|
1,825,594 |
|
|
|
11,894 |
|
|
2.62 |
% |
|
|
1,844,208 |
|
|
|
11,655 |
|
|
2.54 |
% |
Other borrowings |
|
|
1 |
|
|
|
— |
|
|
5.78 |
% |
|
|
— |
|
|
|
— |
|
|
— |
% |
Total interest-bearing liabilities |
|
|
1,825,595 |
|
|
$ |
11,894 |
|
|
2.62 |
% |
|
|
1,844,208 |
|
|
$ |
11,655 |
|
|
2.54 |
% |
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
|
908,930 |
|
|
|
|
|
|
|
913,114 |
|
|
|
|
|
Accrued interest and other liabilities |
|
|
24,868 |
|
|
|
|
|
|
|
25,055 |
|
|
|
|
|
Total noninterest-bearing liabilities |
|
|
933,798 |
|
|
|
|
|
|
|
938,169 |
|
|
|
|
|
Stockholders’ equity |
|
|
300,537 |
|
|
|
|
|
|
|
305,728 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
3,059,930 |
|
|
|
|
|
|
$ |
3,088,105 |
|
|
|
|
|
Net interest income |
|
|
|
$ |
21,787 |
|
|
|
|
|
|
$ |
21,363 |
|
|
|
Net interest spread |
|
|
|
|
|
1.86 |
% |
|
|
|
|
|
1.81 |
% |
Net interest margin |
|
|
|
|
|
2.87 |
% |
|
|
|
|
|
2.80 |
% |
Net interest margin
FTE(3) |
|
|
|
|
|
2.92 |
% |
|
|
|
|
|
2.83 |
% |
Cost of deposits |
|
|
|
|
|
1.75 |
% |
|
|
|
|
|
1.70 |
% |
Cost of funds |
|
|
|
|
|
1.60 |
% |
|
|
|
|
|
1.56 |
% |
(1) Includes
average outstanding balances of loans held for sale of
$3.2 million and $2.0 million for the three months ended
June 30, 2024 and March 31, 2024,
respectively.(2) Nonaccrual loans are included as loans
carrying a zero yield.(3) Net interest margin FTE includes an
FTE adjustment using a 21.0% federal income tax rate on tax-exempt
securities and tax-exempt loans. |
RED RIVER BANCSHARES, INC. |
NET INTEREST INCOME AND NET INTEREST MARGIN
(UNAUDITED) |
|
|
|
For the Six Months Ended |
|
|
June 30, 2024 |
|
June 30, 2023 |
(dollars in thousands) |
|
AverageBalanceOutstanding |
|
InterestIncome/Expense |
|
AverageYield/Rate |
|
AverageBalanceOutstanding |
|
InterestIncome/Expense |
|
AverageYield/Rate |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans(1,2) |
|
$ |
2,028,833 |
|
|
$ |
52,775 |
|
|
5.15 |
% |
|
$ |
1,925,821 |
|
|
$ |
44,616 |
|
|
4.61 |
% |
Securities - taxable |
|
|
558,032 |
|
|
|
6,117 |
|
|
2.19 |
% |
|
|
635,640 |
|
|
|
5,160 |
|
|
1.63 |
% |
Securities - tax-exempt |
|
|
195,886 |
|
|
|
2,015 |
|
|
2.06 |
% |
|
|
204,856 |
|
|
|
2,071 |
|
|
2.02 |
% |
Federal funds sold |
|
|
— |
|
|
|
— |
|
|
— |
% |
|
|
37,497 |
|
|
|
886 |
|
|
4.70 |
% |
Interest-bearing deposits in other banks |
|
|
211,985 |
|
|
|
5,748 |
|
|
5.42 |
% |
|
|
142,452 |
|
|
|
3,409 |
|
|
4.77 |
% |
Nonmarketable equity securities |
|
|
2,251 |
|
|
|
44 |
|
|
3.94 |
% |
|
|
3,506 |
|
|
|
61 |
|
|
3.48 |
% |
Total interest-earning assets |
|
|
2,996,987 |
|
|
$ |
66,699 |
|
|
4.41 |
% |
|
|
2,949,772 |
|
|
$ |
56,203 |
|
|
3.79 |
% |
Allowance for credit
losses |
|
|
(21,528 |
) |
|
|
|
|
|
|
(20,854 |
) |
|
|
|
|
Noninterest-earning
assets |
|
|
98,559 |
|
|
|
|
|
|
|
89,026 |
|
|
|
|
|
Total assets |
|
$ |
3,074,018 |
|
|
|
|
|
|
$ |
3,017,944 |
|
|
|
|
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction deposits |
|
$ |
1,245,917 |
|
|
$ |
11,381 |
|
|
1.84 |
% |
|
$ |
1,283,073 |
|
|
$ |
7,042 |
|
|
1.11 |
% |
Time deposits |
|
|
588,984 |
|
|
|
12,168 |
|
|
4.15 |
% |
|
|
399,848 |
|
|
|
4,714 |
|
|
2.38 |
% |
Total interest-bearing deposits |
|
|
1,834,901 |
|
|
|
23,549 |
|
|
2.58 |
% |
|
|
1,682,921 |
|
|
|
11,756 |
|
|
1.41 |
% |
Other borrowings |
|
|
1 |
|
|
|
— |
|
|
4.78 |
% |
|
|
995 |
|
|
|
28 |
|
|
5.50 |
% |
Total interest-bearing liabilities |
|
|
1,834,902 |
|
|
$ |
23,549 |
|
|
2.58 |
% |
|
|
1,683,916 |
|
|
$ |
11,784 |
|
|
1.41 |
% |
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
|
911,022 |
|
|
|
|
|
|
|
1,037,540 |
|
|
|
|
|
Accrued interest and other liabilities |
|
|
24,961 |
|
|
|
|
|
|
|
19,914 |
|
|
|
|
|
Total noninterest-bearing liabilities |
|
|
935,983 |
|
|
|
|
|
|
|
1,057,454 |
|
|
|
|
|
Stockholders’ equity |
|
|
303,133 |
|
|
|
|
|
|
|
276,574 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
3,074,018 |
|
|
|
|
|
|
$ |
3,017,944 |
|
|
|
|
|
Net interest income |
|
|
|
$ |
43,150 |
|
|
|
|
|
|
$ |
44,419 |
|
|
|
Net interest spread |
|
|
|
|
|
1.83 |
% |
|
|
|
|
|
2.38 |
% |
Net interest margin |
|
|
|
|
|
2.83 |
% |
|
|
|
|
|
2.99 |
% |
Net interest margin
FTE(3) |
|
|
|
|
|
2.89 |
% |
|
|
|
|
|
3.04 |
% |
Cost of deposits |
|
|
|
|
|
1.72 |
% |
|
|
|
|
|
0.87 |
% |
Cost of funds |
|
|
|
|
|
1.58 |
% |
|
|
|
|
|
0.81 |
% |
(1) Includes
average outstanding balances of loans held for sale of
$2.6 million and $2.4 million for the six months ended
June 30, 2024 and 2023, respectively.(2) Nonaccrual loans
are included as loans carrying a zero yield.(3) Net interest
margin FTE includes an FTE adjustment using a 21.0% federal income
tax rate on tax-exempt securities and tax-exempt loans. |
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(UNAUDITED) |
|
(dollars in thousands, except
per share data) |
|
June 30,2024 |
|
March 31,2024 |
|
June 30,2023 |
Tangible common equity |
|
|
|
|
|
|
Total stockholders’ equity |
|
$ |
306,990 |
|
|
$ |
299,314 |
|
|
$ |
283,372 |
|
Adjustments: |
|
|
|
|
|
|
Intangible assets |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
Total tangible common equity (non-GAAP) |
|
$ |
305,444 |
|
|
$ |
297,768 |
|
|
$ |
281,826 |
|
Realized common equity |
|
|
|
|
|
|
Total stockholders’ equity |
|
$ |
306,990 |
|
|
$ |
299,314 |
|
|
$ |
283,372 |
|
Adjustments: |
|
|
|
|
|
|
Accumulated other comprehensive (income) loss |
|
|
61,732 |
|
|
|
62,700 |
|
|
|
69,693 |
|
Total realized common equity (non-GAAP) |
|
$ |
368,722 |
|
|
$ |
362,014 |
|
|
$ |
353,065 |
|
Common shares outstanding |
|
|
6,886,928 |
|
|
|
6,892,448 |
|
|
|
7,175,056 |
|
Book value per share |
|
$ |
44.58 |
|
|
$ |
43.43 |
|
|
$ |
39.49 |
|
Tangible book value per share
(non-GAAP) |
|
$ |
44.35 |
|
|
$ |
43.20 |
|
|
$ |
39.28 |
|
Realized book value per share
(non-GAAP) |
|
$ |
53.54 |
|
|
$ |
52.52 |
|
|
$ |
49.21 |
|
|
|
|
|
|
|
|
Tangible assets |
|
|
|
|
|
|
Total assets |
|
$ |
3,048,528 |
|
|
$ |
3,073,298 |
|
|
$ |
3,027,194 |
|
Adjustments: |
|
|
|
|
|
|
Intangible assets |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
Total tangible assets (non-GAAP) |
|
$ |
3,046,982 |
|
|
$ |
3,071,752 |
|
|
$ |
3,025,648 |
|
Total stockholders’ equity to
assets |
|
|
10.07 |
% |
|
|
9.74 |
% |
|
|
9.36 |
% |
Tangible common equity to
tangible assets (non-GAAP) |
|
|
10.02 |
% |
|
|
9.69 |
% |
|
|
9.31 |
% |
Red River Bancshares (NASDAQ:RRBI)
Gráfica de Acción Histórica
De Jun 2024 a Jul 2024
Red River Bancshares (NASDAQ:RRBI)
Gráfica de Acción Histórica
De Jul 2023 a Jul 2024