OKLAHOMA CITY, Jan. 17, 2020 /PRNewswire/ -- BancFirst
Corporation (NASDAQ GS:BANF) reported net income of $35.5 million, or $1.07 diluted earnings per share, for the fourth
quarter of 2019 compared to net income of $32.7 million, or $0.98 diluted earnings per share, for the fourth
quarter of 2018. Net income for the twelve months ended
December 31, 2019 was $134.9 million, or $4.05 per share, compared to $125.8 million, or $3.76 per share, for the twelve months ended
December 31, 2018. On August 15, 2019 the Company completed the
acquisition of Pegasus Bank in Dallas,
Texas. As a result, year to date results include one-time
acquisition related expenses of approximately $3.1 million, which reduced diluted earnings per
share by approximately 7 cents for
the year. On January 11, 2018 the
Company completed the acquisitions of two Oklahoma banking corporations. Consequently,
2018 included one-time acquisition related expenses of
approximately $2.6 million, which
reduced diluted earnings per share by approximately 6 cents.
The Company's net interest income for the fourth quarter of 2019
increased to $73.9 million compared
to $66.9 million for the fourth
quarter of 2018. The net interest margin for the quarter was 3.78%
compared to 3.77% a year ago. The provision for loan losses for the
fourth quarter of 2019 was $1.4
million compared to $1.5
million a year ago. Net charge-offs for the full year of
2019 were 0.10% of average loans compared to 0.08% of average loans
in 2018. Net charge-offs for the fourth quarter of 2019 were
0.06% of average loans compared to 0.04% of average loans in
2018. Noninterest income for the quarter totaled $35.5 million, compared to $31.9 million last year. The increase in
noninterest income was primarily due to an increase in trust
revenue, growth in debit card usage fees and sweep fees.
Noninterest expense for the quarter totaled $66.3 million compared to $56.2 million last year. The increase in
noninterest expense was primarily due to salary increases in 2019,
the Pegasus Bank acquisition, and $2.3
million of amortization of new market tax credits. The
Company's effective tax rate was 15.0% compared to 20.3% for the
fourth quarter of 2018. The decrease in the effective tax rate
compared to the fourth quarter of 2018 was due to the
aforementioned purchase of tax credits during the quarter.
At December 31, 2019, the
Company's total assets were $8.6
billion, an increase of $991.5
million from December 31,
2018. Securities of $491.6
million were down $280.5
million from December 31,
2018. Loans totaled $5.7
billion, an increase of $689.0
million from December 31,
2018. Deposits totaled $7.5
billion, an increase of $878.1
million from the December 31,
2018 total. The Company's total stockholders' equity was
$1.0 billion, an increase of
$102.2 million over December 31, 2018.
On August 15, 2019, BancFirst
Corporation acquired Pegasus Bank ("Pegasus"), for an aggregate
cash purchase price of $123.5
million. Pegasus is a Texas
state-chartered bank with three banking locations in Dallas, Texas. Upon acquisition, Pegasus had
approximately $651.1 million in total
assets, $389.9 million in loans, and
$603.9 million in deposits. The Bank
will continue to operate as "Pegasus Bank" under a separate
Texas state-charter and remain an
independent subsidiary of BancFirst Corporation.
Asset quality remained strong during the fourth quarter of
2019. Nonperforming and restructured assets represented 0.63%
of total assets at December 31, 2019,
up from 0.59% at year-end 2018. The allowance to total loans was
0.96% down slightly from 1.03% at year-end 2018. The allowance to
nonperforming and restructured loans was 113.40% compared to
136.29% at year-end 2018.
BancFirst Corporation CEO David
Harlow commented, "The Company reported strong results for
the fourth quarter and record earnings per share and net income for
the year despite the headwind of lower interest rates during the
second half of 2019. While net interest margin will continue
to be under pressure in 2020, we were able to protect our margin in
2019 through loan growth, liability repricing, and the strength and
size of our non-interest bearing deposit book. Non-interest
income continued strong year-over-year growth while asset quality
remained solid with 10bps of charge offs for the year. We are
pleased with the integration of Pegasus Bank into BancFirst
Corporation during the latter part of 2019 and are excited about
the growth platform the Dallas
market will provide the Company going forward. We will
continue to build upon our core Oklahoma franchise as we have in the past
through both organic growth and strategic acquisitions."
BancFirst Corporation (the Company) is an Oklahoma based financial services holding
company. The Company operates two subsidiary banks,
BancFirst, is Oklahoma's largest
state-chartered bank with 108 banking locations serving 58
communities across Oklahoma, and
Pegasus Bank, with 3 banking locations in Dallas, TX. More information can be found at
www.bancfirst.bank.
The Company may make forward-looking statements within the
meaning of Section 27A of the securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934 with respect to
earnings, credit quality, corporate objectives, interest rates and
other financial and business matters. Forward-looking
statements include estimates and give management's current
expectations or forecasts of future events. The Company
cautions readers that these forward-looking statements are subject
to numerous assumptions, risks and uncertainties, including
economic conditions, the performance of financial markets and
interest rates; legislative and regulatory actions and reforms;
competition; as well as other factors, all of which change over
time. Actual results may differ materially from
forward-looking statements.
BancFirst Corporation
|
Summary Financial
Information
|
(Dollars in
thousands, except per share and share data -
Unaudited)
|
|
|
|
2019
|
|
2019
|
|
2019
|
|
2019
|
|
2018
|
|
|
4th
Qtr
|
|
3rd
Qtr
|
|
2nd
Qtr
|
|
1st
Qtr
|
|
4th
Qtr
|
|
Condensed Income
Statements:
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
$
73,939
|
|
$
72,287
|
|
$
68,792
|
|
$
66,903
|
|
$
66,888
|
|
Provision for loan
losses
|
1,412
|
|
2,758
|
|
2,433
|
|
1,684
|
|
1,516
|
|
Non-interest
income:
|
|
|
|
|
|
|
|
|
|
|
Trust
revenue
|
3,682
|
|
3,490
|
|
3,250
|
|
3,177
|
|
3,023
|
|
Service charges on
deposits
|
19,938
|
|
19,866
|
|
19,114
|
|
17,663
|
|
18,554
|
|
Securities
transactions
|
(9)
|
|
--
|
|
821
|
|
--
|
|
10
|
|
Income from sales of
loans
|
913
|
|
964
|
|
868
|
|
698
|
|
649
|
|
Insurance
commissions
|
5,076
|
|
5,535
|
|
4,420
|
|
5,265
|
|
4,593
|
|
Cash
management
|
4,258
|
|
4,430
|
|
4,402
|
|
3,776
|
|
3,338
|
|
Other
|
1,666
|
|
1,342
|
|
1,202
|
|
1,422
|
|
1,684
|
|
Total noninterest
income
|
35,524
|
|
35,627
|
|
34,077
|
|
32,001
|
|
31,851
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
expense:
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
40,375
|
|
40,354
|
|
36,124
|
|
36,171
|
|
35,530
|
|
Occupancy expense,
net
|
3,738
|
|
3,386
|
|
2,953
|
|
2,627
|
|
3,307
|
|
Depreciation
|
3,355
|
|
3,268
|
|
3,015
|
|
2,985
|
|
2,965
|
|
Amortization of
intangible assets
|
1,360
|
|
842
|
|
758
|
|
759
|
|
777
|
|
Data processing
services
|
1,634
|
|
1,467
|
|
1,262
|
|
1,480
|
|
1,140
|
|
Net expense from other
real estate owned
|
(424)
|
|
26
|
|
97
|
|
(484)
|
|
130
|
|
Marketing and business
promotion
|
2,327
|
|
2,047
|
|
1,919
|
|
2,261
|
|
2,030
|
|
Deposit
insurance
|
147
|
|
(81)
|
|
544
|
|
533
|
|
571
|
|
Other
|
13,784
|
|
10,882
|
|
9,936
|
|
9,874
|
|
9,716
|
|
Total noninterest
expense
|
66,296
|
|
62,191
|
|
56,608
|
|
56,206
|
|
56,166
|
|
Income before income
taxes
|
41,755
|
|
42,965
|
|
43,828
|
|
41,014
|
|
41,057
|
|
Income tax
expense
|
6,248
|
|
9,597
|
|
9,661
|
|
9,177
|
|
8,332
|
|
Net
income
|
$
35,507
|
|
$
33,368
|
|
$
34,167
|
|
$
31,837
|
|
$
32,725
|
|
Per Common Share
Data:
|
|
|
|
|
|
|
|
|
|
|
Net
income-basic
|
$
1.09
|
|
$
1.02
|
|
$
1.04
|
|
$
0.98
|
|
$
1.00
|
|
Net
income-diluted
|
1.07
|
|
1.00
|
|
1.02
|
|
0.96
|
|
0.98
|
|
Cash dividends
declared
|
0.32
|
|
0.32
|
|
0.30
|
|
0.30
|
|
0.30
|
|
Common shares
outstanding
|
32,694,268
|
|
32,644,018
|
|
32,639,588
|
|
32,617,788
|
|
32,603,926
|
|
Average common shares
outstanding -
|
|
|
|
|
|
|
|
|
|
|
Basic
|
32,673,438
|
|
32,641,902
|
|
32,629,146
|
|
32,612,399
|
|
32,721,626
|
|
Diluted
|
33,366,848
|
|
33,327,213
|
|
33,317,193
|
|
33,292,852
|
|
33,423,458
|
|
Performance
Ratios:
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.66
|
%
|
1.65
|
%
|
1.78
|
%
|
1.69
|
%
|
1.70
|
%
|
Return on average
equity
|
13.76
|
|
13.80
|
|
14.54
|
|
14.08
|
|
14.48
|
|
Net interest
margin
|
3.78
|
|
3.89
|
|
3.89
|
|
3.85
|
|
3.77
|
|
Efficiency
ratio
|
60.56
|
|
57.63
|
|
55.03
|
|
56.83
|
|
56.88
|
|
|
|
|
|
|
|
|
|
|
|
|
BancFirst Corporation
|
Summary Financial
Information
|
(Dollars in
thousands, except per share and share data -
Unaudited)
|
|
|
Twelve months
ended
December
31,
|
|
|
2019
|
|
2018
|
|
Condensed
Income Statements:
|
|
|
|
|
Net interest
income
|
$
281,921
|
|
$
260,476
|
|
Provision for
loan losses
|
8,287
|
|
3,802
|
|
Non-interest
income:
|
|
|
|
|
Trust
revenue
|
13,599
|
|
12,829
|
|
Service charges on
deposits
|
76,581
|
|
70,847
|
|
Securities
transactions
|
812
|
|
47
|
|
Income from sales of
loans
|
3,443
|
|
2,902
|
|
Insurance
commissions
|
20,296
|
|
18,926
|
|
Cash
management
|
16,866
|
|
13,123
|
|
Other
|
5,632
|
|
6,525
|
|
Total noninterest
income
|
137,229
|
|
125,199
|
|
|
|
|
|
|
Non-interest
expense:
|
|
|
|
|
Salaries and employee
benefits
|
153,024
|
|
139,547
|
|
Occupancy expense,
net
|
12,704
|
|
13,491
|
|
Depreciation
|
12,623
|
|
10,537
|
|
Amortization of
intangible assets
|
3,719
|
|
3,009
|
|
Data processing
services
|
5,843
|
|
4,956
|
|
Net expense from other
real estate owned
|
(785)
|
|
239
|
|
Marketing and business
promotion
|
8,554
|
|
8,028
|
|
Deposit
insurance
|
1,143
|
|
2,427
|
|
Other
|
44,476
|
|
39,887
|
|
Total noninterest
expense
|
241,301
|
|
222,121
|
|
Income before
income taxes
|
169,562
|
|
159,752
|
|
Income tax
expense
|
34,683
|
|
33,938
|
|
Net
income
|
$
134,879
|
|
$
125,814
|
|
Per Common
Share Data:
|
|
|
|
|
Net
income-basic
|
$
4.13
|
|
$
3.85
|
|
Net
income-diluted
|
4.05
|
|
3.76
|
|
Cash dividends
declared
|
1.24
|
|
1.02
|
|
Common shares
outstanding
|
32,694,268
|
|
32,603,926
|
|
Average common
shares outstanding -
|
|
|
|
|
Basic
|
32,639,396
|
|
32,689,228
|
|
Diluted
|
33,329,844
|
|
33,430,714
|
|
Performance
Ratios:
|
|
|
|
|
Return on
average assets
|
1.69
|
%
|
1.66
|
%
|
Return on
average stockholders' equity
|
14.04
|
|
14.59
|
|
Net interest
margin
|
3.85
|
|
3.70
|
|
Efficiency
ratio
|
57.57
|
|
57.59
|
|
BancFirst Corporation
|
Summary Financial
Information
|
(Dollars in
thousands, except per share and share data -
Unaudited)
|
|
|
2019
|
|
2019
|
|
2019
|
|
2019
|
|
2018
|
|
|
4th
Qtr
|
|
3rd
Qtr
|
|
2nd
Qtr
|
|
1st
Qtr
|
|
4th
Qtr
|
|
Balance Sheet
Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
$
8,565,758
|
|
$
8,388,816
|
|
$
7,642,021
|
|
$
7,709,000
|
|
$
7,574,258
|
|
Interest-bearing
deposits with banks
|
1,646,238
|
|
1,476,340
|
|
1,518,998
|
|
1,291,447
|
|
1,195,824
|
|
Debt
securities
|
491,626
|
|
555,575
|
|
425,154
|
|
724,872
|
|
772,132
|
|
Total
loans
|
5,673,144
|
|
5,622,897
|
|
5,105,302
|
|
5,050,221
|
|
4,984,150
|
|
Allowance for loan
losses
|
(54,238)
|
|
(55,928)
|
|
(55,108)
|
|
(52,915)
|
|
(51,389)
|
|
Deposits
|
7,483,635
|
|
7,330,677
|
|
6,613,613
|
|
6,706,386
|
|
6,605,495
|
|
Stockholders'
equity
|
1,004,990
|
|
979,752
|
|
956,380
|
|
927,927
|
|
902,789
|
|
Book value per common
share
|
30.74
|
|
30.01
|
|
29.30
|
|
28.45
|
|
27.69
|
|
Tangible book value
per common share (non-GAAP)(1)
|
25.50
|
|
24.77
|
|
26.40
|
|
25.52
|
|
24.74
|
|
Balance Sheet
Ratios:
|
|
|
|
|
|
|
|
|
|
|
Average loans to
deposits
|
75.83
|
%
|
77.68
|
%
|
76.07
|
%
|
75.34
|
%
|
74.24
|
%
|
Average earning
assets to total assets
|
91.50
|
|
92.23
|
|
92.43
|
|
92.42
|
|
92.48
|
|
Average stockholders'
equity to average assets
|
12.04
|
|
11.96
|
|
12.25
|
|
12.01
|
|
11.76
|
|
Asset Quality
Data:
|
|
|
|
|
|
|
|
|
|
|
Past due
loans
|
$
11,834
|
|
$
11,214
|
|
$
2,663
|
|
$
2,170
|
|
$
1,916
|
|
Nonaccrual
loans
|
17,984
|
|
20,316
|
|
17,998
|
|
21,594
|
|
22,603
|
|
Restructured
loans
|
18,010
|
|
17,504
|
|
16,486
|
|
14,552
|
|
13,188
|
|
Total nonperforming
and restructured loans
|
47,828
|
|
49,034
|
|
37,147
|
|
38,316
|
|
37,707
|
|
Other real estate
owned and repossessed assets
|
6,073
|
|
7,056
|
|
7,004
|
|
6,433
|
|
6,873
|
|
Total nonperforming
and restructured assets
|
53,901
|
|
56,090
|
|
44,151
|
|
44,749
|
|
44,580
|
|
Nonperforming and
restructured loans to total loans
|
0.84
|
%
|
0.87
|
%
|
0.73
|
%
|
0.76
|
%
|
0.76
|
%
|
Nonperforming and
restructured assets to total assets
|
0.63
|
|
0.67
|
|
0.58
|
|
0.58
|
|
0.59
|
|
Allowance to total
loans
|
0.96
|
|
0.99
|
|
1.08
|
|
1.05
|
|
1.03
|
|
Allowance to
nonperforming and restructured loans
|
113.40
|
|
114.06
|
|
148.35
|
|
138.10
|
|
136.29
|
|
Net charge-offs to
average loans
|
0.06
|
|
0.04
|
|
0.01
|
|
0.00
|
|
0.04
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Tangible Book Value Per Common Share (non-GAAP)(2):
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
$
1,004,990
|
|
$
979,752
|
|
$
956,380
|
|
$
927,927
|
|
$
902,789
|
|
Less
goodwill
|
148,604
|
|
147,013
|
|
79,749
|
|
79,749
|
|
79,749
|
|
Less intangible
assets, net
|
22,608
|
|
24,025
|
|
14,936
|
|
15,701
|
|
16,470
|
|
Tangible
stockholders' equity (non-GAAP)
|
$
833,778
|
|
$
808,714
|
|
$
861,695
|
|
$
832,477
|
|
$
806,570
|
|
Common shares
outstanding
|
32,694,268
|
|
32,644,018
|
|
32,639,588
|
|
32,617,788
|
|
32,603,926
|
|
Tangible book
value per common share (non-GAAP)
|
$
25.50
|
|
$
24.77
|
|
$
26.40
|
|
$
25.52
|
|
$
24.74
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Refer to the
"Reconciliation of Tangible Book Value per Common Share (non-GAAP)"
Table.
|
(2)
|
Tangible book value
per common share is stockholders' equity less goodwill and
intangible assets, net, divided by common shares outstanding. This
amount is a non-GAAP financial measure but has been included as it
is considered to be a critical metric with which to analyze and
evaluate the financial condition and capital strength of the
Company. This measure should not be considered a substitute for
operating results determined in accordance with GAAP.
|
BancFirst
Corporation
|
Consolidated
Average Balance Sheets
|
And Interest
Margin Analysis
|
Taxable Equivalent
Basis
|
(Dollars in
thousands - Unaudited)
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
|
December 31,
2019
|
|
December 31,
2019
|
|
|
|
|
Interest
|
|
Average
|
|
|
|
Interest
|
|
Average
|
|
|
Average
|
|
Income/
|
|
Yield/
|
|
Average
|
|
Income/
|
|
Yield/
|
|
|
Balance
|
|
Expense
|
|
Rate
|
|
Balance
|
|
Expense
|
|
Rate
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$
5,614,570
|
|
$
76,691
|
|
5.42
|
%
|
$
5,273,632
|
|
$
292,152
|
|
5.54
|
%
|
Securities –
taxable
|
513,551
|
|
2,757
|
|
2.13
|
|
588,207
|
|
13,308
|
|
2.26
|
|
Securities –
tax exempt
|
21,798
|
|
141
|
|
2.57
|
|
20,219
|
|
580
|
|
2.87
|
|
Interest
bearing deposits with banks
|
1,628,088
|
|
6,782
|
|
1.65
|
|
1,455,799
|
|
31,372
|
|
2.15
|
|
Total earning
assets
|
7,778,007
|
|
86,371
|
|
4.41
|
|
7,337,857
|
|
337,412
|
|
4.60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonearning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due
from banks
|
184,829
|
|
|
|
|
|
180,339
|
|
|
|
|
|
Interest
receivable and other assets
|
592,100
|
|
|
|
|
|
500,487
|
|
|
|
|
|
Allowance for
loan losses
|
(54,454)
|
|
|
|
|
|
(53,975)
|
|
|
|
|
|
Total nonearning
assets
|
722,475
|
|
|
|
|
|
626,851
|
|
|
|
|
|
Total assets
|
$
8,500,482
|
|
|
|
|
|
$
7,964,708
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
Interest bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction
deposits
|
$
774,824
|
|
$
606
|
|
0.31
|
%
|
$
751,140
|
|
$
2,573
|
|
0.34
|
%
|
Savings
deposits
|
3,024,500
|
|
8,318
|
|
1.09
|
|
2,782,086
|
|
39,170
|
|
1.41
|
|
Time
deposits
|
698,295
|
|
2,831
|
|
1.61
|
|
690,636
|
|
10,995
|
|
1.59
|
|
Short-term
borrowings
|
891
|
|
3
|
|
1.51
|
|
1,458
|
|
32
|
|
2.19
|
|
Junior
subordinated debentures
|
26,804
|
|
492
|
|
7.29
|
|
26,804
|
|
1,966
|
|
7.34
|
|
Total interest bearing
liabilities
|
4,525,314
|
|
12,250
|
|
1.07
|
|
4,252,124
|
|
54,736
|
|
1.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest free
funds:
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest
bearing deposits
|
2,906,310
|
|
|
|
|
|
2,709,510
|
|
|
|
|
|
Interest
payable and other liabilities
|
45,426
|
|
|
|
|
|
42,219
|
|
|
|
|
|
Stockholders'
equity
|
1,023,432
|
|
|
|
|
|
960,855
|
|
|
|
|
|
Total interest free
funds
|
3,975,168
|
|
|
|
|
|
3,712,584
|
|
|
|
|
|
Total liabilities
and
stockholders' equity
|
$
8,500,482
|
|
|
|
|
|
$
7,964,708
|
|
|
|
|
|
Net interest
income
|
|
|
$
74,121
|
|
|
|
|
|
$
282,676
|
|
|
|
Net interest
spread
|
|
|
|
|
3.34
|
%
|
|
|
|
|
3.31
|
%
|
Effect of interest
free funds
|
|
|
|
|
0.44
|
%
|
|
|
|
|
0.54
|
%
|
Net interest
margin
|
|
|
|
|
3.78
|
%
|
|
|
|
|
3.85
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/bancfirst-corporation-reports-fourth-quarter-earnings-300988983.html
SOURCE BancFirst