Red River Bancshares, Inc. (the “Company”) (Nasdaq: RRBI), the
holding company for Red River Bank (the “Bank”), announced today
its financial results for the fourth quarter and year ended 2022.
Net income for the fourth quarter of 2022 was $10.2 million, or
$1.42 per diluted common share (“EPS”), which is consistent with
$10.2 million, or $1.42 EPS, for the third quarter of 2022, and an
increase of $1.7 million, or 19.8%, compared to $8.5 million, or
$1.17 EPS, for the fourth quarter of 2021. For the fourth quarter
of 2022, the quarterly return on assets was 1.33% and the quarterly
return on equity was 16.34%.
Net income for the year ended December 31, 2022, was $36.9
million, or $5.13 EPS, an increase of $4.0 million, or 12.0%,
compared to $33.0 million, or $4.51 EPS, for the year ended
December 31, 2021. For the year ended December 31, 2022,
the return on assets was 1.18% and the return on equity was
13.98%.
Fourth Quarter and Year-End
2022 Performance and Operational
Highlights
In the fourth quarter of 2022, the Company had consistent
earnings and the balance sheet remained steady. We renewed the
stock repurchase program and opened a new operations center
building.
- Net income for the fourth quarter of
2022 was $10.2 million, consistent with the prior quarter. Higher
net interest income was offset by lower noninterest income and a
higher provision for loan loss expense.
- For the third consecutive quarter, net
interest income and net interest margin fully tax equivalent
(“FTE”) increased compared to the prior quarter. Net interest
income for the fourth quarter of 2022 was $23.7 million compared to
$23.1 million for the prior quarter. Net interest margin FTE for
the fourth quarter of 2022 was 3.17% compared to 3.06% for the
prior quarter. These increases were a result of the higher interest
rate environment benefiting asset yields, partially offset by
higher deposit costs.
- As of December 31, 2022, assets were
$3.08 billion, fairly consistent with $3.06 billion as of September
30, 2022.
- As of December 31, 2022, loans held for
investment (“HFI”) were $1.92 billion, an increase of $36.6
million, or 1.9%, from September 30, 2022. The growth in loans HFI
was primarily a result of loan activity in various markets across
Louisiana.
- As of December 31, 2022, total
securities were $776.1 million, or 25.2% of assets, compared to
$764.5 million, or 25.0% of assets, as of September 30, 2022.
During the fourth quarter, securities were impacted by a decrease
to the net unrealized loss on securities available-for-sale
(“AFS”), the purchase of a Community Reinvestment Act (“CRA”)
mutual fund, and principal repayments.
- Deposits were $2.80 billion as of
December 31, 2022 and September 30, 2022. However, there were
fluctuations in deposit categories as a result of implementing a
new deposit program and customer deposit activity.
- Nonperforming assets (“NPA(s)”) were
$2.4 million, or 0.08% of assets, as of December 31, 2022. As of
December 31, 2022, the allowance for loan losses (“ALL”) was $20.6
million, or 1.08% of loans HFI.
- We paid a quarterly cash dividend of
$0.07 per common share in the fourth quarter of 2022.
- We did not repurchase any shares of our
common stock through our stock repurchase program in the fourth
quarter of 2022. The 2022 stock repurchase program that began
February 4, 2022 expired on December 31, 2022. On November 4, 2022,
our Board of Directors approved the renewal of our stock repurchase
program for 2023. The 2023 stock repurchase program authorizes us
to purchase up to $5.0 million of our outstanding shares of common
stock from January 1, 2023 through December 31, 2023.
- In the fourth quarter of 2022, we
finished remodeling and opened the new Red River Bank operations
center building. This remodeled 21,000 square foot building is
located adjacent to the Red River Bank headquarters building in
Alexandria, Louisiana. This building was designed to provide an
efficient and modern facility for Red River Bank operations and
support departments and to improve the Red River Bank business
continuity plan.
Blake Chatelain, President and Chief Executive Officer of the
Company, stated, “The fourth quarter of 2022 wrapped up a uniquely
challenging, yet rewarding year for the Company. In 2022, our
bankers successfully navigated a period of historical interest rate
changes and a shifting economic environment while achieving strong
loan growth and record-high earnings. In 2022, we replaced $5.8
million of Small Business Administration Paycheck Protection
Program (“PPP”) income with earnings from core banking operations.
In the fourth quarter of 2022, earnings and the balance sheet were
fairly consistent with the previous quarter.
“During 2022, our customers adjusted their expectations due to
the changing interest rate and economic environments. Loan demand
was higher in the first half of 2022 than in the second half of the
year; however, growth in loans HFI overall was 13.8% for the full
year of 2022, with growth in loans HFI of 1.9% in the fourth
quarter of 2022. As expected, deposit balance and pricing pressures
became more elevated in the second half of 2022 with deposit
balances decreasing 3.8% over the year. Due to diligent balance
sheet management, Red River Bank maintained strong liquidity
positions and had no borrowings in 2022.
“As we begin 2023, we believe we are well positioned for the
year ahead. The Company is well capitalized, has excellent asset
quality, solid earnings, and dedicated, knowledgeable community
bankers who serve our growing customer base. We continue to
successfully expand organically throughout Louisiana. We understand
that there are possible economic challenges ahead as economists
predict recessionary and inflationary environments; however, we are
well positioned and confident in the opportunity for continued
growth, profitability, and returns for our shareholders.”
Net Interest Income and Net Interest Margin
FTE
Net interest income and net interest margin FTE for the fourth
quarter of 2022 were positively impacted by the Federal Open Market
Committee (“FOMC”) increasing the target federal funds rate by 75
basis points (“bp(s)”) in November 2022 and 50 bps in December
2022. These increases were in addition to the 25 bp increase in
March 2022, 50 bp increase in May 2022, and 75 bp increases in each
of June, July, and September 2022.
Net interest income for the fourth quarter of 2022 was $23.7
million, which was $586,000, or 2.5%, higher than the third quarter
of 2022, due to a $2.1 million increase in interest and dividend
income, partially offset by a $1.5 million increase in interest
expense. The increase in interest and dividend income was primarily
due to increases in income on loans and short-term liquid assets.
Loan income increased $1.5 million due to higher rates on new,
renewed, and floating rate loans and a $32.8 million increase in
the average balance of loans when compared to the prior quarter.
Income on short-term liquid assets increased $601,000 due to the
FOMC’s increases to the target federal funds rate. The increase in
interest expense in the fourth quarter of 2022 was a result of an
increase in the rates on interest-bearing deposits.
The net interest margin FTE increased 11 bps to 3.17% for the
fourth quarter of 2022, compared to 3.06% for the prior quarter.
This increase was driven primarily by the higher interest rate
environment. The yield on loans increased 25 bps driven by higher
rates on new, renewed, and floating rate loans, and the yield on
short-term liquid assets increased 150 bps due to the higher
interest rate environment. These increases were partially offset by
a 38 bp increase in the rate on interest-bearing deposits due to
increased rate competition for deposits in the fourth quarter of
2022.
The FOMC is expected to raise the target federal funds rate
several more times in early 2023. Our balance sheet is asset
sensitive, and interest income on earning assets generally improves
in a higher rate environment. However, we also expect additional
pressure on deposit interest rates due to the higher interest rate
environment and competition for deposits. As of December 31, 2022,
floating rate loans were 14.5% of loans HFI, and floating rate
transaction deposits were 2.6% of interest-bearing transaction
deposits. In the first half of 2023, dependent upon balance sheet
activity and deposit rate pressure, we expect net interest margin
to decrease slightly with a slight increase in net interest income
due to projected loan growth.
Provision for Loan Losses
The provision for loan losses for the fourth quarter of 2022 was
$750,000, which was $150,000 higher than the provision for loan
losses of $600,000 for the prior quarter. The increase 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, and trends in
asset quality.
Noninterest Income
Noninterest income totaled $4.6 million for the fourth quarter
of 2022, a decrease of $248,000, or 5.1%, compared to $4.9 million
for the previous quarter. The decrease was mainly due to lower
mortgage loan income and service charges on deposit accounts,
partially offset by higher brokerage income.
Mortgage loan income for the fourth quarter of 2022 was
$453,000, a decrease of $171,000, or 27.4%, compared to $624,000
for the third quarter of 2022. This decrease was primarily driven
by reduced purchase activity due to higher mortgage interest
rates.
Service charges on deposit accounts totaled $1.4 million for the
fourth quarter of 2022, a decrease of $129,000, or 8.7%, compared
to the prior quarter. This decrease was mainly due to a smaller
number of non-sufficient fund transactions and related fee income
in the fourth quarter of 2022.
Brokerage income for the fourth quarter of 2022 was $1.0
million, an increase of $143,000, or 16.4%, compared to $870,000
for the third quarter of 2022. This increase was due to funds
invested by new clients in the fourth quarter. Assets under
management were $915.1 million as of December 31, 2022.
Operating Expenses
Operating expenses for the fourth quarter of 2022 totaled $15.1
million, an increase of $41,000, or 0.3%, compared to $15.0 million
for the previous quarter. This increase was mainly due to higher
other taxes, other business development expenses, and occupancy and
equipment expenses, partially offset by lower personnel
expenses.
Other taxes totaled $781,000 for the fourth quarter of 2022, an
increase of $131,000, or 20.2%, from the previous quarter. This
increase was due to a $132,000 increase in the State of Louisiana’s
bank stock tax resulting from a higher tax rate. The new rate will
also be applicable in 2023.
Other business development expenses totaled $566,000 for the
fourth quarter of 2022, an increase of $130,000, or 29.8%, from the
previous quarter. This increase was primarily the result of an
increase in CRA related contributions and expenses associated with
a Small Business Investment Company limited partnership, partially
offset by lower community sponsorships.
Occupancy and equipment expenses totaled $1.6 million for the
fourth quarter of 2022, an increase of $82,000, or 5.4%, from the
previous quarter. This increase was primarily due to $21,000 of
nonrecurring expenses related to our new location in the Acadiana
market and the new operations center building, as well as a $30,000
increase in property taxes due to a higher tax rate. The new tax
rate will also be applicable in 2023.
Personnel expenses totaled $8.7 million for the fourth quarter
of 2022, a decrease of $172,000, or 1.9%, from the previous
quarter. This decrease was due to lower commission compensation
related to lower mortgage revenue and the timing of brokerage
commissions. As of December 31, 2022 and September 30, 2022, we had
351 and 358 total employees, respectively.
Asset Overview
As of December 31, 2022, assets totaled $3.08 billion,
which was $23.0 million, or 0.8%, higher than $3.06 billion as of
September 30, 2022. During the fourth quarter of 2022, we deployed
short-term liquid assets into the loan portfolio to fund its growth
and into a CRA mutual fund. Loans HFI increased $36.6 million, or
1.9%, compared to the prior quarter due to loan activity. The loans
HFI to deposits ratio was 68.46% as of December 31, 2022,
compared to 67.22% as of September 30, 2022. Total securities
increased $11.6 million, or 1.5%, and were 25.2% of assets as of
December 31, 2022. Interest-bearing deposits in other banks
decreased $21.0 million, or 8.0%, to $240.6 million and were 7.8%
of assets as of December 31, 2022.
Securities
Total securities as of December 31, 2022, were $776.1
million, an increase of $11.6 million, or 1.5%, from September 30,
2022. Securities were impacted by a $15.5 million decrease to the
net unrealized loss on securities AFS and the purchase of $10.0
million of a CRA mutual fund, partially offset by $13.9 million of
principal repayments.
Securities AFS totaled $614.4 million, net of $74.1 million of
unrealized loss as of December 31, 2022, compared to $609.7
million, net of $89.6 million of unrealized loss as of September
30, 2022. As of December 31, 2022, securities held-to-maturity
totaled $151.7 million compared to $154.7 million as of September
30, 2022.
As of December 31, 2022, we held a $10.0 million investment
in equity securities, which was an investment in a CRA mutual fund,
consisting primarily of bonds, that was not held as of September
30, 2022.
Loans
Loans HFI as of December 31, 2022, were $1.92 billion, an
increase of $36.6 million, or 1.9%, from September 30, 2022, due to
loan activity in various markets across Louisiana.
As of December 31, 2022, PPP loans were materially complete
and totaled $14,000.
Health care loans are our largest industry concentration and are
made up of a diversified portfolio of health care providers. As of
December 31, 2022, total health care loans were 8.4% of loans
HFI. Within the health care sector, loans to nursing and
residential care facilities were 4.4% of loans HFI, and loans to
physician and dental practices were 3.9% of loans HFI. The average
health care loan size was $338,000 as of December 31,
2022.
On March 5, 2021, it was announced that certain U.S. Dollar
London Interbank Offered Rate (“LIBOR”) rates would cease to be
published after June 30, 2023. As of December 31, 2022, 2.1%
of our loans HFI were LIBOR-based with a setting that expires June
30, 2023. Alternative rate language is present in each credit
agreement with a LIBOR-based rate. We do not anticipate any issues
with transitioning each loan to a non-LIBOR-based rate.
Asset Quality and Allowance for Loan Losses
NPAs totaled $2.4 million as of December 31, 2022, a
decrease of $349,000, or 12.9%, from $2.7 million as of September
30, 2022. This decrease was primarily due to payments to nonaccrual
loans and a loan that returned to accrual status. The ratio of NPAs
to assets was 0.08% as of December 31, 2022, and 0.09% as of
September 30, 2022.
As of December 31, 2022, the ALL was $20.6 million. The
ratio of ALL to loans HFI was 1.08% as of December 31, 2022,
and 1.06% as of September 30, 2022. The net charge-off ratio was
0.00% for each of the fourth and third quarters of 2022 and 0.02%
for the year ended December 31, 2022.
As a Securities and Exchange Commission (“SEC”) registrant with
smaller reporting company filing status as determined on June 30,
2019, the current expected credit loss methodology (“CECL”) was
effective for us beginning on January 1, 2023. Based upon our CECL
analysis as of December 31, 2022, we expect the adoption of
CECL will result in a combined 1.0% to 5.0% increase in our
allowance for credit losses and allowance for unfunded
commitments.
Deposits
Deposits were $2.80 billion as of December 31, 2022 and
September 30, 2022. However, there were fluctuations in deposit
categories as a result of implementing a new deposit program and
the seasonal inflow of funds from public entity customers,
partially offset by customer deposit activity in response to the
changing interest rate environment. Average deposits for the fourth
quarter of 2022 were $2.77 billion, a decrease of $44.4 million, or
1.6%, from the prior quarter. Noninterest-bearing deposits totaled
$1.09 billion as of December 31, 2022, down $81.6 million, or
7.0%, from September 30, 2022. As of December 31, 2022,
noninterest-bearing deposits were 38.96% of total deposits.
Interest-bearing deposits totaled $1.71 billion as of
December 31, 2022, up $84.1 million, or 5.2%, compared to
September 30, 2022.
Stockholders’ Equity
Total stockholders’ equity as of December 31, 2022, was
$265.8 million compared to $243.4 million as of September 30, 2022.
The $22.3 million, or 9.2%, increase in stockholders’ equity during
the fourth quarter of 2022 was attributed to a $12.6 million, net
of tax, decrease to accumulated other comprehensive loss related to
securities, $10.2 million of net income, and $74,000 of stock
compensation, partially offset by $503,000 in cash dividends. We
paid a quarterly cash dividend of $0.07 per share on December 15,
2022.
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 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, realized book
value per share, and PPP-adjusted metrics 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.
The Company 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
and Chief Financial
Officer318-561-4023icarriere@redriverbank.net
FINANCIAL HIGHLIGHTS (UNAUDITED) |
|
|
As of and for theThree Months
Ended |
|
As of and for theYear Ended |
(Dollars in thousands, except
per share data) |
December 31, 2022 |
|
September 30,2022 |
|
December 31, 2021 |
|
December 31, 2022 |
|
December 31, 2021 |
Net Income |
$ |
10,191 |
|
|
$ |
10,186 |
|
|
$ |
8,510 |
|
|
$ |
36,916 |
|
|
$ |
32,952 |
|
|
|
|
|
|
|
|
|
|
|
Per Common Share
Data: |
|
|
|
|
|
|
|
|
|
Earnings per share, basic |
$ |
1.42 |
|
|
$ |
1.42 |
|
|
$ |
1.18 |
|
|
$ |
5.14 |
|
|
$ |
4.53 |
|
Earnings per share, diluted |
$ |
1.42 |
|
|
$ |
1.42 |
|
|
$ |
1.17 |
|
|
$ |
5.13 |
|
|
$ |
4.51 |
|
Book value per share |
$ |
36.99 |
|
|
$ |
33.88 |
|
|
$ |
41.52 |
|
|
$ |
36.99 |
|
|
$ |
41.52 |
|
Tangible book value per share(1) |
$ |
36.78 |
|
|
$ |
33.67 |
|
|
$ |
41.31 |
|
|
$ |
36.78 |
|
|
$ |
41.31 |
|
Realized book value per share(1) |
$ |
46.90 |
|
|
$ |
45.54 |
|
|
$ |
42.05 |
|
|
$ |
46.90 |
|
|
$ |
42.05 |
|
Cash dividends per share |
$ |
0.07 |
|
|
$ |
0.07 |
|
|
$ |
0.07 |
|
|
$ |
0.28 |
|
|
$ |
0.28 |
|
Shares outstanding |
|
7,183,915 |
|
|
|
7,183,915 |
|
|
|
7,180,155 |
|
|
|
7,183,915 |
|
|
|
7,180,155 |
|
Weighted average shares outstanding, basic |
|
7,183,915 |
|
|
|
7,183,915 |
|
|
|
7,229,324 |
|
|
|
7,180,975 |
|
|
|
7,281,136 |
|
Weighted average shares outstanding, diluted |
|
7,199,247 |
|
|
|
7,197,100 |
|
|
|
7,247,277 |
|
|
|
7,197,453 |
|
|
|
7,299,720 |
|
|
|
|
|
|
|
|
|
|
|
Summary Performance
Ratios: |
|
|
|
|
|
|
|
|
|
Return on average assets |
|
1.33 |
% |
|
|
1.30 |
% |
|
|
1.09 |
% |
|
|
1.18 |
% |
|
|
1.13 |
% |
Return on average equity |
|
16.34 |
% |
|
|
15.48 |
% |
|
|
11.33 |
% |
|
|
13.98 |
% |
|
|
11.21 |
% |
Net interest margin |
|
3.11 |
% |
|
|
3.00 |
% |
|
|
2.46 |
% |
|
|
2.80 |
% |
|
|
2.54 |
% |
Net interest margin FTE |
|
3.17 |
% |
|
|
3.06 |
% |
|
|
2.52 |
% |
|
|
2.86 |
% |
|
|
2.60 |
% |
Efficiency ratio |
|
54.76 |
% |
|
|
53.80 |
% |
|
|
57.33 |
% |
|
|
56.60 |
% |
|
|
56.39 |
% |
Loans HFI to deposits ratio |
|
68.46 |
% |
|
|
67.22 |
% |
|
|
57.86 |
% |
|
|
68.46 |
% |
|
|
57.86 |
% |
Noninterest-bearing deposits to deposits ratio |
|
38.96 |
% |
|
|
41.92 |
% |
|
|
39.50 |
% |
|
|
38.96 |
% |
|
|
39.50 |
% |
Noninterest income to average assets |
|
0.60 |
% |
|
|
0.62 |
% |
|
|
0.72 |
% |
|
|
0.60 |
% |
|
|
0.84 |
% |
Operating expense to average assets |
|
1.97 |
% |
|
|
1.93 |
% |
|
|
1.79 |
% |
|
|
1.87 |
% |
|
|
1.87 |
% |
|
|
|
|
|
|
|
|
|
|
Summary Credit Quality
Ratios: |
|
|
|
|
|
|
|
|
|
Nonperforming assets to assets |
|
0.08 |
% |
|
|
0.09 |
% |
|
|
0.03 |
% |
|
|
0.08 |
% |
|
|
0.03 |
% |
Nonperforming loans to loans HFI |
|
0.12 |
% |
|
|
0.14 |
% |
|
|
0.02 |
% |
|
|
0.12 |
% |
|
|
0.02 |
% |
Allowance for loan losses to loans HFI |
|
1.08 |
% |
|
|
1.06 |
% |
|
|
1.14 |
% |
|
|
1.08 |
% |
|
|
1.14 |
% |
Net charge-offs to average loans |
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.01 |
% |
|
|
0.02 |
% |
|
|
0.04 |
% |
|
|
|
|
|
|
|
|
|
|
Capital
Ratios: |
|
|
|
|
|
|
|
|
|
Stockholders’ equity to assets |
|
8.62 |
% |
|
|
7.96 |
% |
|
|
9.25 |
% |
|
|
8.62 |
% |
|
|
9.25 |
% |
Tangible common equity to tangible assets (1) |
|
8.57 |
% |
|
|
7.91 |
% |
|
|
9.20 |
% |
|
|
8.57 |
% |
|
|
9.20 |
% |
Total risk-based capital to risk-weighted assets |
|
17.39 |
% |
|
|
17.15 |
% |
|
|
17.83 |
% |
|
|
17.39 |
% |
|
|
17.83 |
% |
Tier 1 risk-based capital to risk-weighted assets |
|
16.38 |
% |
|
|
16.16 |
% |
|
|
16.76 |
% |
|
|
16.38 |
% |
|
|
16.76 |
% |
Common equity Tier 1 capital to risk-weighted assets |
|
16.38 |
% |
|
|
16.16 |
% |
|
|
16.76 |
% |
|
|
16.38 |
% |
|
|
16.76 |
% |
Tier 1 risk-based capital to average assets |
|
11.37 |
% |
|
|
10.31 |
% |
|
|
9.67 |
% |
|
|
11.37 |
% |
|
|
9.67 |
% |
(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) |
December 31, 2022 |
|
September 30,2022 |
|
June 30, 2022 |
|
March 31, 2022 |
|
December 31, 2021 |
ASSETS |
|
|
|
|
|
|
|
|
|
Cash and due from banks |
$ |
37,824 |
|
|
$ |
39,465 |
|
|
$ |
39,339 |
|
|
$ |
40,137 |
|
|
$ |
23,143 |
|
Interest-bearing deposits in other banks |
|
240,568 |
|
|
|
261,608 |
|
|
|
317,061 |
|
|
|
506,982 |
|
|
|
761,721 |
|
Securities available-for-sale, at fair value |
|
614,407 |
|
|
|
609,748 |
|
|
|
651,125 |
|
|
|
810,804 |
|
|
|
659,178 |
|
Securities held-to-maturity, at amortized cost |
|
151,683 |
|
|
|
154,736 |
|
|
|
159,562 |
|
|
|
— |
|
|
|
— |
|
Equity securities, at fair value |
|
9,979 |
|
|
|
— |
|
|
|
— |
|
|
|
7,481 |
|
|
|
7,846 |
|
Nonmarketable equity securities |
|
3,478 |
|
|
|
3,460 |
|
|
|
3,452 |
|
|
|
3,451 |
|
|
|
3,450 |
|
Loans held for sale |
|
518 |
|
|
|
1,536 |
|
|
|
4,524 |
|
|
|
6,641 |
|
|
|
4,290 |
|
Loans held for investment |
|
1,916,267 |
|
|
|
1,879,669 |
|
|
|
1,841,585 |
|
|
|
1,741,026 |
|
|
|
1,683,832 |
|
Allowance for loan losses |
|
(20,628 |
) |
|
|
(19,953 |
) |
|
|
(19,395 |
) |
|
|
(19,244 |
) |
|
|
(19,176 |
) |
Premises and equipment, net |
|
54,383 |
|
|
|
52,820 |
|
|
|
52,172 |
|
|
|
50,605 |
|
|
|
48,056 |
|
Accrued interest receivable |
|
8,830 |
|
|
|
7,782 |
|
|
|
7,356 |
|
|
|
6,654 |
|
|
|
6,245 |
|
Bank-owned life insurance |
|
28,775 |
|
|
|
28,594 |
|
|
|
28,413 |
|
|
|
28,233 |
|
|
|
28,061 |
|
Intangible assets |
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
|
|
1,546 |
|
Right-of-use assets |
|
4,137 |
|
|
|
4,262 |
|
|
|
4,385 |
|
|
|
4,506 |
|
|
|
3,743 |
|
Other assets |
|
30,919 |
|
|
|
34,405 |
|
|
|
29,988 |
|
|
|
23,638 |
|
|
|
12,775 |
|
Total Assets |
$ |
3,082,686 |
|
|
$ |
3,059,678 |
|
|
$ |
3,121,113 |
|
|
$ |
3,212,460 |
|
|
$ |
3,224,710 |
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
$ |
1,090,539 |
|
|
$ |
1,172,157 |
|
|
$ |
1,181,781 |
|
|
$ |
1,181,136 |
|
|
$ |
1,149,672 |
|
Interest-bearing deposits |
|
1,708,397 |
|
|
|
1,624,337 |
|
|
|
1,668,414 |
|
|
|
1,746,592 |
|
|
|
1,760,676 |
|
Total Deposits |
|
2,798,936 |
|
|
|
2,796,494 |
|
|
|
2,850,195 |
|
|
|
2,927,728 |
|
|
|
2,910,348 |
|
Accrued interest payable |
|
1,563 |
|
|
|
1,194 |
|
|
|
1,176 |
|
|
|
1,329 |
|
|
|
1,310 |
|
Lease liabilities |
|
4,258 |
|
|
|
4,377 |
|
|
|
4,494 |
|
|
|
4,610 |
|
|
|
3,842 |
|
Accrued expenses and other liabilities |
|
12,176 |
|
|
|
14,200 |
|
|
|
11,652 |
|
|
|
13,919 |
|
|
|
11,060 |
|
Total Liabilities |
|
2,816,933 |
|
|
|
2,816,265 |
|
|
|
2,867,517 |
|
|
|
2,947,586 |
|
|
|
2,926,560 |
|
COMMITMENTS AND
CONTINGENCIES |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
Preferred stock, no par value |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common stock, no par value |
|
60,050 |
|
|
|
60,050 |
|
|
|
60,050 |
|
|
|
60,050 |
|
|
|
60,233 |
|
Additional paid-in capital |
|
2,088 |
|
|
|
2,014 |
|
|
|
1,940 |
|
|
|
1,877 |
|
|
|
1,814 |
|
Retained earnings |
|
274,781 |
|
|
|
265,093 |
|
|
|
255,410 |
|
|
|
246,766 |
|
|
|
239,876 |
|
Accumulated other comprehensive income (loss) |
|
(71,166 |
) |
|
|
(83,744 |
) |
|
|
(63,804 |
) |
|
|
(43,819 |
) |
|
|
(3,773 |
) |
Total Stockholders’ Equity |
|
265,753 |
|
|
|
243,413 |
|
|
|
253,596 |
|
|
|
264,874 |
|
|
|
298,150 |
|
Total Liabilities and Stockholders’ Equity |
$ |
3,082,686 |
|
|
$ |
3,059,678 |
|
|
$ |
3,121,113 |
|
|
$ |
3,212,460 |
|
|
$ |
3,224,710 |
|
RED RIVER BANCSHARES, INC. |
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) |
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended |
|
For the Year Ended |
(in thousands) |
December 31, 2022 |
|
September 30, 2022 |
|
December 31, 2021 |
|
December 31, 2022 |
|
December 31, 2021 |
INTEREST AND DIVIDEND
INCOME |
|
|
|
|
|
|
|
|
|
Interest and fees on loans |
$ |
21,284 |
|
|
$ |
19,740 |
|
$ |
17,415 |
|
|
$ |
75,827 |
|
|
$ |
67,923 |
|
Interest on securities |
|
3,524 |
|
|
|
3,572 |
|
|
2,412 |
|
|
|
13,735 |
|
|
|
8,660 |
|
Interest on federal funds sold |
|
634 |
|
|
|
317 |
|
|
21 |
|
|
|
1,091 |
|
|
|
88 |
|
Interest on deposits in other banks |
|
1,522 |
|
|
|
1,238 |
|
|
226 |
|
|
|
3,682 |
|
|
|
658 |
|
Dividends on stock |
|
18 |
|
|
|
19 |
|
|
1 |
|
|
|
40 |
|
|
|
10 |
|
Total Interest and Dividend Income |
|
26,982 |
|
|
|
24,886 |
|
|
20,075 |
|
|
|
94,375 |
|
|
|
77,339 |
|
INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
3,308 |
|
|
|
1,798 |
|
|
1,300 |
|
|
|
7,736 |
|
|
|
5,617 |
|
Total Interest Expense |
|
3,308 |
|
|
|
1,798 |
|
|
1,300 |
|
|
|
7,736 |
|
|
|
5,617 |
|
Net Interest
Income |
|
23,674 |
|
|
|
23,088 |
|
|
18,775 |
|
|
|
86,639 |
|
|
|
71,722 |
|
Provision for loan losses |
|
750 |
|
|
|
600 |
|
|
150 |
|
|
|
1,750 |
|
|
|
1,900 |
|
Net Interest Income
After Provision for Loan Losses |
|
22,924 |
|
|
|
22,488 |
|
|
18,625 |
|
|
|
84,889 |
|
|
|
69,822 |
|
NONINTEREST INCOME |
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
1,359 |
|
|
|
1,488 |
|
|
1,318 |
|
|
|
5,565 |
|
|
|
4,775 |
|
Debit card income, net |
|
972 |
|
|
|
934 |
|
|
1,071 |
|
|
|
3,897 |
|
|
|
4,415 |
|
Mortgage loan income |
|
453 |
|
|
|
624 |
|
|
1,667 |
|
|
|
3,096 |
|
|
|
8,676 |
|
Brokerage income |
|
1,013 |
|
|
|
870 |
|
|
806 |
|
|
|
3,549 |
|
|
|
3,297 |
|
Loan and deposit income |
|
440 |
|
|
|
502 |
|
|
457 |
|
|
|
1,723 |
|
|
|
1,738 |
|
Bank-owned life insurance income |
|
180 |
|
|
|
181 |
|
|
175 |
|
|
|
713 |
|
|
|
648 |
|
Gain (Loss) on equity securities |
|
(21 |
) |
|
|
— |
|
|
(75 |
) |
|
|
(468 |
) |
|
|
(175 |
) |
Gain (Loss) on sale and call of securities |
|
— |
|
|
|
16 |
|
|
1 |
|
|
|
(59 |
) |
|
|
194 |
|
SBIC income |
|
162 |
|
|
|
231 |
|
|
38 |
|
|
|
563 |
|
|
|
654 |
|
Other income (loss) |
|
61 |
|
|
|
21 |
|
|
214 |
|
|
|
168 |
|
|
|
271 |
|
Total Noninterest Income |
|
4,619 |
|
|
|
4,867 |
|
|
5,672 |
|
|
|
18,747 |
|
|
|
24,493 |
|
OPERATING EXPENSES |
|
|
|
|
|
|
|
|
|
Personnel expenses |
|
8,681 |
|
|
|
8,853 |
|
|
8,362 |
|
|
|
34,560 |
|
|
|
32,449 |
|
Occupancy and equipment expenses |
|
1,613 |
|
|
|
1,531 |
|
|
1,424 |
|
|
|
6,109 |
|
|
|
5,443 |
|
Technology expenses |
|
645 |
|
|
|
653 |
|
|
667 |
|
|
|
2,763 |
|
|
|
2,810 |
|
Advertising |
|
293 |
|
|
|
316 |
|
|
230 |
|
|
|
1,134 |
|
|
|
921 |
|
Other business development expenses |
|
566 |
|
|
|
436 |
|
|
280 |
|
|
|
1,645 |
|
|
|
1,169 |
|
Data processing expense |
|
609 |
|
|
|
604 |
|
|
537 |
|
|
|
2,093 |
|
|
|
1,982 |
|
Other taxes |
|
781 |
|
|
|
650 |
|
|
498 |
|
|
|
2,714 |
|
|
|
2,082 |
|
Loan and deposit expenses |
|
180 |
|
|
|
164 |
|
|
243 |
|
|
|
659 |
|
|
|
1,016 |
|
Legal and professional expenses |
|
550 |
|
|
|
553 |
|
|
493 |
|
|
|
1,997 |
|
|
|
1,683 |
|
Regulatory assessment expenses |
|
277 |
|
|
|
280 |
|
|
268 |
|
|
|
1,058 |
|
|
|
933 |
|
Other operating expenses |
|
887 |
|
|
|
1,001 |
|
|
1,014 |
|
|
|
3,923 |
|
|
|
3,767 |
|
Total Operating Expenses |
|
15,082 |
|
|
|
15,041 |
|
|
14,016 |
|
|
|
58,655 |
|
|
|
54,255 |
|
Income Before Income
Tax Expense |
|
12,461 |
|
|
|
12,314 |
|
|
10,281 |
|
|
|
44,981 |
|
|
|
40,060 |
|
Income tax expense |
|
2,270 |
|
|
|
2,128 |
|
|
1,771 |
|
|
|
8,065 |
|
|
|
7,108 |
|
Net
Income |
$ |
10,191 |
|
|
$ |
10,186 |
|
$ |
8,510 |
|
|
$ |
36,916 |
|
|
$ |
32,952 |
|
RED RIVER BANCSHARES, INC. |
NET INTEREST INCOME AND NET INTEREST MARGIN
(UNAUDITED) |
|
|
For the Three Months Ended |
|
December 31, 2022 |
|
September 30, 2022 |
(dollars in thousands) |
AverageBalanceOutstanding |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
|
AverageBalanceOutstanding |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
Assets |
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
Loans(1,2) |
$ |
1,904,592 |
|
|
$ |
21,284 |
|
4.38 |
% |
|
$ |
1,871,834 |
|
|
$ |
19,740 |
|
4.13 |
% |
Securities - taxable |
|
642,121 |
|
|
|
2,495 |
|
1.55 |
% |
|
|
658,245 |
|
|
|
2,536 |
|
1.54 |
% |
Securities - tax-exempt |
|
206,141 |
|
|
|
1,029 |
|
2.00 |
% |
|
|
207,182 |
|
|
|
1,036 |
|
2.00 |
% |
Federal funds sold |
|
66,044 |
|
|
|
634 |
|
3.75 |
% |
|
|
55,201 |
|
|
|
317 |
|
2.25 |
% |
Interest-bearing deposits in other banks |
|
161,558 |
|
|
|
1,522 |
|
3.69 |
% |
|
|
219,845 |
|
|
|
1,238 |
|
2.21 |
% |
Nonmarketable equity securities |
|
3,460 |
|
|
|
18 |
|
2.08 |
% |
|
|
3,452 |
|
|
|
19 |
|
2.24 |
% |
Total interest-earning assets |
|
2,983,916 |
|
|
$ |
26,982 |
|
3.55 |
% |
|
|
3,015,759 |
|
|
$ |
24,886 |
|
3.24 |
% |
Allowance for loan losses |
|
(20,255 |
) |
|
|
|
|
|
|
(19,667 |
) |
|
|
|
|
Noninterest-earning
assets |
|
78,047 |
|
|
|
|
|
|
|
100,685 |
|
|
|
|
|
Total assets |
$ |
3,041,708 |
|
|
|
|
|
|
$ |
3,096,777 |
|
|
|
|
|
Liabilities and Stockholders’ Equity |
Interest-bearing
liabilities: |
Interest-bearing transaction deposits |
$ |
1,292,313 |
|
|
$ |
2,131 |
|
0.65 |
% |
|
$ |
1,323,081 |
|
|
$ |
938 |
|
0.28 |
% |
Time deposits |
|
335,424 |
|
|
|
1,177 |
|
1.39 |
% |
|
|
321,547 |
|
|
|
860 |
|
1.06 |
% |
Total interest-bearing deposits |
|
1,627,737 |
|
|
|
3,308 |
|
0.81 |
% |
|
|
1,644,628 |
|
|
|
1,798 |
|
0.43 |
% |
Other borrowings |
|
— |
|
|
|
— |
|
— |
% |
|
|
— |
|
|
|
— |
|
— |
% |
Total interest-bearing liabilities |
|
1,627,737 |
|
|
$ |
3,308 |
|
0.81 |
% |
|
|
1,644,628 |
|
|
$ |
1,798 |
|
0.43 |
% |
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
1,145,920 |
|
|
|
|
|
|
|
1,173,387 |
|
|
|
|
|
Accrued interest and other liabilities |
|
20,686 |
|
|
|
|
|
|
|
17,756 |
|
|
|
|
|
Total noninterest-bearing liabilities |
|
1,166,606 |
|
|
|
|
|
|
|
1,191,143 |
|
|
|
|
|
Stockholders’ equity |
|
247,365 |
|
|
|
|
|
|
|
261,006 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
$ |
3,041,708 |
|
|
|
|
|
|
$ |
3,096,777 |
|
|
|
|
|
Net interest
income |
|
$ |
23,674 |
|
|
|
|
|
$ |
23,088 |
|
|
Net interest
spread |
|
|
|
2.74 |
% |
|
|
|
|
|
2.81 |
% |
Net interest
margin |
|
|
|
3.11 |
% |
|
|
|
|
|
3.00 |
% |
Net interest
margin FTE(3) |
|
|
|
3.17 |
% |
|
|
|
|
|
3.06 |
% |
Cost of
deposits |
|
|
|
0.47 |
% |
|
|
|
|
|
0.25 |
% |
Cost of funds |
|
|
|
0.44 |
% |
|
|
|
|
|
0.24 |
% |
(1) Includes average outstanding balances of loans
held for sale of $2.3 million and $2.7 million for the
three months ended December 31, 2022 and September 30, 2022,
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. |
LOAN INTEREST INCOME AND NET INTEREST RATIOS EXCLUDING PPP
LOANS (NON-GAAP) (UNAUDITED) |
|
The following table
presents interest income for total loans, PPP loans, and total
non-PPP loans (non-GAAP), as well as net interest income and net
interest ratios excluding PPP loans (non-GAAP) for the three months
ended December 31, 2022 and September 30, 2022. |
|
|
|
For the Three Months Ended |
|
December 31, 2022 |
|
September 30, 2022 |
(dollars in thousands) |
AverageBalanceOutstanding |
|
Interest/FeesEarned |
|
AverageYield |
|
AverageBalanceOutstanding |
|
Interest/FeesEarned |
|
AverageYield |
Loans(1,2) |
$ |
1,904,592 |
|
$ |
21,284 |
|
|
4.38 |
% |
|
$ |
1,871,834 |
|
$ |
19,740 |
|
|
4.13 |
% |
Less: PPP loans, net |
|
|
|
|
|
|
|
|
|
|
|
Average |
|
770 |
|
|
|
|
|
|
1,350 |
|
|
|
|
Interest |
|
|
|
2 |
|
|
|
|
|
|
|
4 |
|
|
|
Fees |
|
|
|
28 |
|
|
|
|
|
|
|
2 |
|
|
|
Total PPP loans, net |
|
770 |
|
|
30 |
|
|
15.40 |
% |
|
|
1,350 |
|
|
6 |
|
|
1.62 |
% |
Non-PPP loans (non-GAAP)(3) |
$ |
1,903,822 |
|
$ |
21,254 |
|
|
4.37 |
% |
|
$ |
1,870,484 |
|
$ |
19,734 |
|
|
4.13 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income, excluding PPP loan income (non-GAAP) |
Net interest income |
|
|
$ |
23,674 |
|
|
|
|
|
|
$ |
23,088 |
|
|
|
PPP loan income |
|
|
|
(30 |
) |
|
|
|
|
|
|
(6 |
) |
|
|
Net interest income, excluding PPP loan income (non-GAAP)(3) |
|
|
$ |
23,644 |
|
|
|
|
|
|
$ |
23,082 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios excluding
PPP loans, net (non-GAAP)(3) |
|
|
|
|
|
|
|
|
Net interest spread |
|
2.74 |
% |
|
|
|
|
|
2.81 |
% |
Net interest margin |
|
3.11 |
% |
|
|
|
|
|
3.00 |
% |
Net interest margin FTE(4) |
|
3.16 |
% |
|
|
|
|
|
3.06 |
% |
(1) Includes average outstanding balances of loans
held for sale of $2.3 million and $2.7 million for the
three months ended December 31, 2022 and September 30, 2022,
respectively.(2) Nonaccrual loans are included as loans
carrying a zero yield.(3) Non-GAAP financial measure.
Calculations of this measure and reconciliations to GAAP are
included in the schedules accompanying this
release.(4) 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 Year Ended December 31, |
|
|
2022 |
|
|
|
2021 |
|
(dollars in thousands) |
AverageBalanceOutstanding |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
|
AverageBalanceOutstanding |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
Assets |
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
Loans(1,2) |
$ |
1,816,538 |
|
|
$ |
75,827 |
|
4.12 |
% |
|
$ |
1,621,606 |
|
|
$ |
67,923 |
|
4.14 |
% |
Securities - taxable |
|
637,239 |
|
|
|
9,524 |
|
1.49 |
% |
|
|
344,913 |
|
|
|
4,493 |
|
1.30 |
% |
Securities - tax-exempt |
|
210,056 |
|
|
|
4,211 |
|
2.00 |
% |
|
|
202,255 |
|
|
|
4,167 |
|
2.06 |
% |
Federal funds sold |
|
56,958 |
|
|
|
1,091 |
|
1.89 |
% |
|
|
66,934 |
|
|
|
88 |
|
0.13 |
% |
Interest-bearing deposits in other banks |
|
329,096 |
|
|
|
3,682 |
|
1.11 |
% |
|
|
552,501 |
|
|
|
658 |
|
0.12 |
% |
Nonmarketable equity securities |
|
3,453 |
|
|
|
40 |
|
1.16 |
% |
|
|
3,448 |
|
|
|
10 |
|
0.28 |
% |
Total interest-earning assets |
|
3,053,340 |
|
|
$ |
94,375 |
|
3.06 |
% |
|
|
2,791,657 |
|
|
$ |
77,339 |
|
2.74 |
% |
Allowance for loan losses |
|
(19,608 |
) |
|
|
|
|
|
|
(19,155 |
) |
|
|
|
|
Noninterest-earning
assets |
|
100,543 |
|
|
|
|
|
|
|
132,611 |
|
|
|
|
|
Total assets |
$ |
3,134,275 |
|
|
|
|
|
|
$ |
2,905,113 |
|
|
|
|
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction deposits |
$ |
1,360,612 |
|
|
$ |
4,071 |
|
0.30 |
% |
|
$ |
1,210,796 |
|
|
$ |
1,648 |
|
0.14 |
% |
Time deposits |
|
329,480 |
|
|
|
3,665 |
|
1.11 |
% |
|
|
341,746 |
|
|
|
3,969 |
|
1.16 |
% |
Total interest-bearing deposits |
|
1,690,092 |
|
|
|
7,736 |
|
0.46 |
% |
|
|
1,552,542 |
|
|
|
5,617 |
|
0.36 |
% |
Other borrowings |
|
— |
|
|
|
— |
|
— |
% |
|
|
— |
|
|
|
— |
|
— |
% |
Total interest-bearing liabilities |
|
1,690,092 |
|
|
$ |
7,736 |
|
0.46 |
% |
|
|
1,552,542 |
|
|
$ |
5,617 |
|
0.36 |
% |
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
1,161,995 |
|
|
|
|
|
|
|
1,041,238 |
|
|
|
|
|
Accrued interest and other liabilities |
|
18,111 |
|
|
|
|
|
|
|
17,507 |
|
|
|
|
|
Total noninterest-bearing liabilities |
|
1,180,106 |
|
|
|
|
|
|
|
1,058,745 |
|
|
|
|
|
Stockholders’ equity |
|
264,077 |
|
|
|
|
|
|
|
293,826 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
$ |
3,134,275 |
|
|
|
|
|
|
$ |
2,905,113 |
|
|
|
|
|
Net interest income |
|
|
$ |
86,639 |
|
|
|
|
|
$ |
71,722 |
|
|
Net interest spread |
|
|
|
|
2.60 |
% |
|
|
|
|
|
2.38 |
% |
Net interest margin |
|
|
|
|
2.80 |
% |
|
|
|
|
|
2.54 |
% |
Net interest margin
FTE(3) |
|
|
|
|
2.86 |
% |
|
|
|
|
|
2.60 |
% |
Cost of deposits |
|
|
|
|
0.27 |
% |
|
|
|
|
|
0.22 |
% |
Cost of funds |
|
|
|
|
0.25 |
% |
|
|
|
|
|
0.20 |
% |
(1) Includes average outstanding balances of loans
held for sale of $3.3 million and $8.6 million for the years ended
December 31, 2022 and 2021,
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. |
LOAN INTEREST INCOME AND NET INTEREST RATIOS EXCLUDING PPP
LOANS (NON-GAAP) (UNAUDITED) |
|
The following table
presents interest income for total loans, PPP loans, and total
non-PPP loans (non-GAAP), as well as net interest income and net
interest ratios excluding PPP loans (non-GAAP) for the years ended
December 31, 2022 and 2021. |
|
|
|
For the Year Ended December 31, |
|
|
2022 |
|
|
|
2021 |
|
(dollars in thousands) |
AverageBalanceOutstanding |
|
Interest/FeesEarned |
|
AverageYield |
|
AverageBalanceOutstanding |
|
Interest/FeesEarned |
|
AverageYield |
Loans(1,2) |
$ |
1,816,538 |
|
$ |
75,827 |
|
|
4.12 |
% |
|
$ |
1,621,606 |
|
$ |
67,923 |
|
|
4.14 |
% |
Less: PPP loans, net |
|
|
|
|
|
|
|
|
|
|
|
Average |
|
4,309 |
|
|
|
|
|
|
77,222 |
|
|
|
|
Interest |
|
|
|
44 |
|
|
|
|
|
|
|
809 |
|
|
|
Fees |
|
|
|
626 |
|
|
|
|
|
|
|
4,964 |
|
|
|
Total PPP loans, net |
|
4,309 |
|
|
670 |
|
|
15.54 |
% |
|
|
77,222 |
|
|
5,773 |
|
|
7.46 |
% |
Non-PPP loans (non-GAAP)(3) |
$ |
1,812,229 |
|
$ |
75,157 |
|
|
4.09 |
% |
|
$ |
1,544,384 |
|
$ |
62,150 |
|
|
3.97 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income, excluding PPP loan income (non-GAAP) |
Net interest income |
|
|
$ |
86,639 |
|
|
|
|
|
|
$ |
71,722 |
|
|
|
PPP loan income |
|
|
|
(670 |
) |
|
|
|
|
|
|
(5,773 |
) |
|
|
Net interest income, excluding PPP loan income (non-GAAP)(3) |
|
|
$ |
85,969 |
|
|
|
|
|
|
$ |
65,949 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ratios excluding PPP loans, net (non-GAAP)(3) |
|
|
|
|
|
|
|
|
Net interest spread |
|
2.58 |
% |
|
|
|
|
|
2.25 |
% |
Net interest margin |
|
2.79 |
% |
|
|
|
|
|
2.40 |
% |
Net interest margin FTE(4) |
|
2.84 |
% |
|
|
|
|
|
2.46 |
% |
(1) Includes average outstanding balances of loans
held for sale of $3.3 million and $8.6 million for the years ended
December 31, 2022 and 2021,
respectively.(2) Nonaccrual loans are included as loans
carrying a zero yield.(3) Non-GAAP financial measure.
Calculations of this measure and reconciliations to GAAP are
included in the schedules accompanying this
release.(4) 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) |
December 31,2022 |
|
September 30,2022 |
|
December 31,2021 |
Tangible common equity |
|
|
|
|
|
Total stockholders’ equity |
$ |
265,753 |
|
|
$ |
243,413 |
|
|
$ |
298,150 |
|
Adjustments: |
|
|
|
|
|
Intangible assets |
|
(1,546 |
) |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
Total tangible common equity (non-GAAP) |
$ |
264,207 |
|
|
$ |
241,867 |
|
|
$ |
296,604 |
|
Realized common equity |
|
|
|
|
|
Total stockholders’ equity |
$ |
265,753 |
|
|
$ |
243,413 |
|
|
$ |
298,150 |
|
Adjustments: |
|
|
|
|
|
Accumulated other comprehensive (income) loss |
|
71,166 |
|
|
|
83,744 |
|
|
|
3,773 |
|
Total realized common equity (non-GAAP) |
$ |
336,919 |
|
|
$ |
327,157 |
|
|
$ |
301,923 |
|
Common shares outstanding |
|
7,183,915 |
|
|
|
7,183,915 |
|
|
|
7,180,155 |
|
Book value per share |
$ |
36.99 |
|
|
$ |
33.88 |
|
|
$ |
41.52 |
|
Tangible book value per share
(non-GAAP) |
$ |
36.78 |
|
|
$ |
33.67 |
|
|
$ |
41.31 |
|
Realized book value per share
(non-GAAP) |
$ |
46.90 |
|
|
$ |
45.54 |
|
|
$ |
42.05 |
|
|
|
|
|
|
|
Tangible assets |
|
|
|
|
|
Total assets |
$ |
3,082,686 |
|
|
$ |
3,059,678 |
|
|
$ |
3,224,710 |
|
Adjustments: |
|
|
|
|
|
Intangible assets |
|
(1,546 |
) |
|
|
(1,546 |
) |
|
|
(1,546 |
) |
Total tangible assets (non-GAAP) |
$ |
3,081,140 |
|
|
$ |
3,058,132 |
|
|
$ |
3,223,164 |
|
Total stockholders’ equity to
assets |
|
8.62 |
% |
|
|
7.96 |
% |
|
|
9.25 |
% |
Tangible common equity to
tangible assets (non-GAAP) |
|
8.57 |
% |
|
|
7.91 |
% |
|
|
9.20 |
% |
Red River Bancshares (NASDAQ:RRBI)
Historical Stock Chart
From Aug 2024 to Sep 2024
Red River Bancshares (NASDAQ:RRBI)
Historical Stock Chart
From Sep 2023 to Sep 2024