SCRANTON, Pa., Oct. 24, 2017 /PRNewswire/ -- Peoples
Financial Services Corp. ("Peoples") (NASDAQ: PFIS), the bank
holding company for Peoples Security Bank and Trust Company, today
reported unaudited financial results at and for the three and nine
months ended September 30,
2017. Peoples reported net income of $5.4 million, or $0.72 per share for the third quarter of 2017,
compared to $5.1 million, or
$0.69 per share for the comparable
period of 2016.
Core net income for the three months ended September 30, 2017 was $5.4 million, a $232
thousand increase from $5.1
million for the same period in 2016. The results for the
three months ended September 30, 2017
and 2016 did not include any income that is considered
non-core.
Net income for the nine months ended September 30, 2017, totaled $15.8 million or $2.14 per share compared to $14.9 million or $2.01 per share for the same period last
year.
Core net income, which we have defined to exclude gains on the
sale of investment securities available-for-sale, as well as the
gain on the sale of our merchant services portfolio, net of tax,
for both the nine months ended September 30,
2017 and 2016 was $14.5
million. Core net income per share for the nine months ended
September 30, 2017 was $1.96, an increase from $1.95 for the same period in 2016. The results
for the nine months ended September 30,
2017 include a gain on the sale of our merchant services
portfolio of $2.3 million while the
results for the nine months ended September
30, 2016 include net gains on the sale of investment
securities of $623 thousand.
In addition to evaluating its results of operations in
accordance with accounting principles generally accepted in
the United States of America
("GAAP"), Peoples routinely supplements its evaluation with an
analysis of certain non-GAAP financial measures, such as tangible
stockholders' equity and core net income ratios. The reported
results included herein contain items, which Peoples considers
non-core, namely gains on sales of investment securities
available-for-sale, as well as the gain on the sale of our merchant
services portfolio. Peoples believes the reported non-GAAP
financial measures provide information useful to investors in
understanding its operating performance and trends. Where non-GAAP
disclosures are used in this press release, a reconciliation to the
comparable GAAP measure is provided in the accompanying tables. The
non-GAAP financial measures Peoples uses may differ from the
non-GAAP financial measures of other financial institutions.
NOTABLES
- Loans, net grew $99.6 million, or
8.7% annualized for the nine months ended September 30, 2017.
- Deposits grew $99.1 million or
8.3% annualized for the nine months ended September 30, 2017.
- Book value per share improved to $36.00 at September 30,
2017 from $34.71 at
December 31, 2016, and $34.68 at September 30,
2016.
- Tangible book value per share improved to $26.97 at September 30,
2017 from $25.57 at
December 31, 2016, and $25.50 at September 30,
2016.
- Tax-equivalent net interest income increased to $17.5 million for the third quarter of 2017
compared to $17.0 million for the
second quarter of 2017, and $16.6
million for the third quarter of 2016.
- Tax-equivalent net interest margin increased five basis points
in the third quarter of 2017 to 3.73%, compared to 3.68% for the
quarter ended June 30, 2017, but
decreased three basis points compared to 3.76% for the quarter
ended September 30, 2016.
- Nonperforming assets to loans, net, and foreclosed assets
increased to 0.83% at September 30,
2017, from 0.73% at June 30,
2017, but decreased compared to 0.93% at September 30, 2016.
- The allowance for loan losses to loans, net increased to 1.15 %
at September 30, 2017, from 1.11% at
June 30, 2017, and 1.03% at
September 30, 2016.
- Opened a new community office located in the Lehigh Valley, on Tilghman Street in
West Allentown, PA. The office
includes a retail branch which opened for the transaction of
business in July 2017.
INCOME STATEMENT REVIEW
The tax-equivalent net interest margin for the three and nine
months ended September 30, were 3.73%
and 3.71% respectively in 2017, compared to 3.76% and 3.79%,
respectively for the same periods in 2016.
Tax-equivalent net interest income for the nine months ended
September 30, increased $2.5 million to $51.1
million in 2017 from $48.6
million in 2016. The increase in tax equivalent net interest
income was primarily due to a $128.6
million increase in average earning assets for the nine
months ended September 30, 2017 when
compared to the same period in 2016. The tax-equivalent yield on
the loan portfolio decreased to 4.39% for the nine months ended
September 30, 2017 compared to 4.45%
for the comparable period in 2016. Loans, net averaged $1.6 billion for the nine months ended
September 30, 2017 and $1.4 billion for the comparable period in 2016.
For the nine months ended September
30, the tax-equivalent yield on total investments decreased
to 2.85% in 2017 from 2.91% in 2016. Average investments totaled
$269.9 million through three quarters
in 2017 and $272.5 million in those
same three quarters in 2016. Average interest-bearing liabilities
increased $102.0 million for the nine
months ended September 30, 2017,
compared to the corresponding period last year. The cost of funds,
which represents our average rate paid on total interest-bearing
liabilities, increased to 0.60% in the nine months ended
September 30, 2017 from 0.55% for the
same period of 2016.
The provision for loan losses totaled $3.6 million for the nine months ended
September 30, 2017 and 2016. For the quarter ended
September 30, the provision for loan
losses was $1.2 million in both 2017
and 2016.
For the nine months ended September 30, noninterest income
totaled $13.8 million in 2017, an
increase from $12.0 million in 2016.
The gain on sale of our merchant services portfolio was
$2.3 million in 2017 compared to the
same period in 2016 when we recognized gains of $623 thousand from the sale of available-for-sale
investment securities. Increases in service charges, fees and
commissions, income from fiduciary activities and wealth management
services more than offset decreases in income generated from
revenues from merchant services, income from mortgage banking
activities and life insurance investment income. For the three
months ended September 30, 2017 and
2016, noninterest income totaled $3.7
million and $4.0 million,
respectively. The decrease was primarily due to lower merchant
services income in the current period due to the sale of our
merchant business in the second quarter of 2017. Offsetting the
decrease was higher service charges, fees and commissions due to
the bank entering into an interest rate swap transaction during the
third quarter of 2017, which resulted in the recognition of net fee
income in the amount of $496
thousand. The interest rate swap allowed the bank to retain
a large commercial credit relationship.
Noninterest expense increased $3.1
million or 8.6% to $38.8
million for the nine months ended September 30, 2017,
from $35.7 million for the nine
months ended September 30, 2016. Salaries and employee
benefits increased $3.1 million or
18.9% due to merit increases and continued investment in our
expansion markets in the Lehigh
Valley and King of Prussia.
For the third quarter of 2017, noninterest expense increased to
$12.5 million from $12.0 million for the same period in 2016, an
increase of $463 thousand or 3.9%.
Again, salaries and employee benefits were the key driver of the
increase, $6.6 million for the third
quarter of 2017 compared to $5.5
million for the comparable period in 2016, an increase of
$1.1 million or 19.8%. As with the
results for the nine months ended September
30, 2017, the buildout of our expansion plan led to
increases in salaries and employee benefit expense when comparing
the two periods. The increase in salaries and employee benefits
expense was partially offset by a decrease of $857 thousand or 96.3% in merchant services
expense due to the sale of our merchant services portfolio during
the second quarter of 2017.
BALANCE SHEET REVIEW
At September 30, 2017, total
assets, loans and deposits were $2.1
billion, $1.6 billion and
$1.7 billion, respectively. Loans,
net grew $99.6 million or 8.7%
annualized through nine months in 2017. Loans, net grew
$110.1 million or 7.2% from
September 30, 2016 to September 30, 2017. Deposits grew $99.1 million or 8.3% annualized through nine
months in 2017. Total deposits grew $122.0
million or 7.8% from September 30,
2016 to September 30, 2017.
Noninterest bearing deposits increased $18.5
million or 7.0% annualized while interest-bearing deposits
increased $80.6 million or 8.7%
annualized through nine months in 2017. Total investments were
$268.7 million at September 30, 2017, including $259.1 million securities classified as
available-for-sale and $9.6 million
classified as held-to-maturity.
Stockholders' equity equaled $266.3
million or $36.00 per share at
September 30, 2017, and $256.6 million or $34.71 per share at December 31, 2016. Tangible stockholders' equity
improved to $26.97 per share at
September 30, 2017, from $25.57 per share at December 31, 2016. Dividends declared for the
nine months ended September 30, 2017
amounted to $0.94 per share
representing a dividend payout ratio of 43.9%.
ASSET QUALITY REVIEW
Nonperforming assets were $13.6
million or 0.83% of loans, net and foreclosed assets at
September 30, 2017, compared to
$14.2 million or 0.93% of loans, net
and foreclosed assets at December 31,
2016. The allowance for loan losses equaled $18.8 million or 1.15% of loans, net at
September 30, 2017 compared to
$16.0 million or 1.04% of loans, net,
at December 31, 2016. Loans charged-off, net of recoveries,
for the nine months ended September 30,
2017, equaled $730 thousand or
0.06% of average loans, compared to $863
thousand or 0.08% of average loans for the comparable period
last year.
About Peoples:
Peoples Financial Services Corp. is the parent company of
Peoples Security Bank and Trust Company, a community bank serving
Bucks, Lackawanna, Lehigh, Luzerne, Monroe, Montgomery, Northampton, Susquehanna, Wayne and Wyoming Counties in Pennsylvania and Broome County in New York through 27 offices. Each office,
interdependent with the community, offers a comprehensive array of
financial products and services to individuals, businesses,
not-for-profit organizations and government entities. Peoples'
business philosophy includes offering direct access to senior
management and other officers and providing friendly, informed and
courteous service, local and timely decision making, flexible and
reasonable operating procedures and consistently applied credit
policies.
Safe Harbor Forward-Looking Statements:
We make statements in this press release, and we may from time
to time make other statements regarding our outlook or expectations
for future financial or operating results and/or other matters
regarding or affecting Peoples Financial Services Corp., Peoples
Security Bank and Trust Company, and its subsidiaries
(collectively, "Peoples") that are considered "forward-looking
statements" as defined in Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. Such forward-looking statements may be
identified by the use of such words as "believe," "expect,"
"anticipate," "should," "planned," "estimated," "intend" and
"potential." For these statements, Peoples claims the protection of
the statutory safe harbors for forward-looking statements.
Peoples cautions you that a number of important factors could
cause actual results to differ materially from those currently
anticipated in any forward-looking statement. Such factors include,
but are not limited to: prevailing economic and political
conditions, particularly in our market area; credit risk associated
with our lending activities; changes in interest rates, loan
demand, real estate values and competition; changes in accounting
principles, policies, and guidelines; changes in any applicable
law, rule, regulation or practice with respect to tax or legal
issues; our ability to identify and address cyber-security risks
and other economic, competitive, governmental, regulatory and
technological factors affecting Peoples' operations, pricing,
products and services and other factors that may be described in
Peoples' Annual Reports on Form 10-K and Quarterly Reports on Form
10-Q as filed with the Securities and Exchange Commission from time
to time.
In addition to these risks, acquisitions and business
combinations, present risks other than those presented by the
nature of the business acquired. Acquisitions and business
combinations may be substantially more expensive to complete than
originally anticipated, and the anticipated benefits may be
significantly harder-or take longer-to achieve than expected. As
regulated financial institutions, our pursuit of attractive
acquisition and business combination opportunities could be
negatively impacted by regulatory delays or other regulatory
issues. Regulatory and/or legal issues related to the
pre-acquisition operations of an acquired or combined business may
cause reputational harm to Peoples following the acquisition or
combination, and integration of the acquired or combined business
with ours may result in additional future costs arising as a result
of those issues.
The forward-looking statements are made as of the date of
this release, and, except as may be required by applicable law or
regulation, Peoples assumes no obligation to update the
forward-looking statements or to update the reasons why actual
results could differ from those projected in the forward-looking
statements.
[TABULAR MATERIAL FOLLOWS]
Summary
Data
|
Peoples Financial
Services Corp.
|
Five Quarter
Trend
|
(In thousands,
except share and per share data)
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Key performance
data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per share
data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
0.72
|
|
$
|
0.77
|
|
$
|
0.65
|
|
$
|
0.64
|
|
$
|
0.69
|
Core net income
(1)
|
|
$
|
0.72
|
|
$
|
0.59
|
|
$
|
0.65
|
|
$
|
0.64
|
|
$
|
0.69
|
Cash dividends
declared
|
|
$
|
0.32
|
|
$
|
0.31
|
|
$
|
0.31
|
|
$
|
0.31
|
|
$
|
0.31
|
Book value
|
|
$
|
36.00
|
|
$
|
35.63
|
|
$
|
35.07
|
|
$
|
34.71
|
|
$
|
34.68
|
Tangible book value
(1)
|
|
$
|
26.97
|
|
$
|
26.56
|
|
$
|
25.97
|
|
$
|
25.57
|
|
$
|
25.50
|
Market
value:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
High
|
|
$
|
49.00
|
|
$
|
45.73
|
|
$
|
49.57
|
|
$
|
50.54
|
|
$
|
40.76
|
Low
|
|
$
|
39.25
|
|
$
|
39.25
|
|
$
|
39.66
|
|
$
|
38.41
|
|
$
|
37.93
|
Closing
|
|
$
|
47.80
|
|
$
|
43.73
|
|
$
|
41.80
|
|
$
|
48.70
|
|
$
|
40.76
|
Market
capitalization
|
|
$
|
353,553
|
|
$
|
323,434
|
|
$
|
309,075
|
|
$
|
360,095
|
|
$
|
301,385
|
Common shares
outstanding
|
|
|
7,396,505
|
|
|
7,396,163
|
|
|
7,394,143
|
|
|
7,394,143
|
|
|
7,394,143
|
Selected
ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
stockholders' equity
|
|
|
8.00%
|
|
|
8.71%
|
|
|
7.51%
|
|
|
7.29%
|
|
|
7.95%
|
Core return on
average stockholders' equity (1)
|
|
|
8.00%
|
|
|
6.70%
|
|
|
7.51%
|
|
|
7.29%
|
|
|
7.95%
|
Return on average
tangible stockholders' equity (1)
|
|
|
10.70%
|
|
|
11.73%
|
|
|
10.15%
|
|
|
9.88%
|
|
|
10.82%
|
Core return on
average tangible stockholders' equity (1)
|
|
|
10.70%
|
|
|
9.03%
|
|
|
10.15%
|
|
|
9.88%
|
|
|
10.82%
|
Return on average
assets
|
|
|
1.03%
|
|
|
1.11%
|
|
|
0.97%
|
|
|
0.94%
|
|
|
1.05%
|
Core return on
average assets (1)
|
|
|
1.03%
|
|
|
0.85%
|
|
|
0.97%
|
|
|
0.94%
|
|
|
1.05%
|
Stockholders' equity
to total assets
|
|
|
12.73%
|
|
|
12.76%
|
|
|
12.82%
|
|
|
12.83%
|
|
|
13.01%
|
Efficiency ratio
(2)
|
|
|
57.81%
|
|
|
63.95%
|
|
|
59.13%
|
|
|
58.59%
|
|
|
56.89%
|
Nonperforming assets
to loans, net, and foreclosed assets
|
|
|
0.83%
|
|
|
0.73%
|
|
|
0.78%
|
|
|
0.93%
|
|
|
0.93%
|
Net charge-offs to
average loans, net
|
|
|
0.04%
|
|
|
0.09%
|
|
|
0.05%
|
|
|
0.30%
|
|
|
0.08%
|
Allowance for loan
losses to loans, net
|
|
|
1.15%
|
|
|
1.11%
|
|
|
1.09%
|
|
|
1.04%
|
|
|
1.03%
|
Interest-bearing
assets yield (FTE) (3)
|
|
|
4.19%
|
|
|
4.14%
|
|
|
4.17%
|
|
|
4.10%
|
|
|
4.17%
|
Cost of
funds
|
|
|
0.61%
|
|
|
0.60%
|
|
|
0.57%
|
|
|
0.56%
|
|
|
0.54%
|
Net interest spread
(FTE) (3)
|
|
|
3.58%
|
|
|
3.54%
|
|
|
3.60%
|
|
|
3.54%
|
|
|
3.63%
|
Net interest margin
(FTE) (3)
|
|
|
3.73%
|
|
|
3.68%
|
|
|
3.73%
|
|
|
3.67%
|
|
|
3.76%
|
|
|
(1)
|
See Reconciliation of
Non-GAAP financial measures.
|
(2)
|
Total noninterest
expense less amortization of intangible assets divided by
tax-equivalent net interest income and noninterest income less net
gains(losses) on investment securities
available-for-sale.
|
(3)
|
Tax-equivalent
adjustments were calculated using the prevailing federal statutory
tax rate of 35%.
|
Peoples Financial
Services Corp.
|
Consolidated
Statements of Income
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
Sept 30
|
Nine Months
Ended
|
|
2017
|
|
2016
|
Interest
income:
|
|
|
|
|
|
|
Interest and fees on
loans:
|
|
|
|
|
|
|
Taxable
|
|
$
|
48,021
|
|
$
|
44,400
|
Tax-exempt
|
|
|
2,334
|
|
|
2,301
|
Interest and
dividends on investment securities:
|
|
|
|
|
|
|
Taxable
|
|
|
2,130
|
|
|
1,879
|
Tax-exempt
|
|
|
2,262
|
|
|
2,611
|
Dividends
|
|
|
37
|
|
|
31
|
Interest on
interest-bearing deposits in other banks
|
|
|
107
|
|
|
47
|
Interest on federal
funds sold
|
|
|
|
|
|
|
Total interest
income
|
|
|
54,891
|
|
|
51,269
|
Interest
expense:
|
|
|
|
|
|
|
Interest on
deposits
|
|
|
4,617
|
|
|
3,961
|
Interest on
short-term borrowings
|
|
|
599
|
|
|
282
|
Interest on long-term
debt
|
|
|
1,041
|
|
|
1,067
|
Total interest
expense
|
|
|
6,257
|
|
|
5,310
|
Net interest
income
|
|
|
48,634
|
|
|
45,959
|
Provision for loan
losses
|
|
|
3,600
|
|
|
3,600
|
Net interest income
after provision for loan losses
|
|
|
45,034
|
|
|
42,359
|
Noninterest
income:
|
|
|
|
|
|
|
Service charges,
fees, commissions
|
|
|
5,410
|
|
|
4,513
|
Merchant services
income
|
|
|
2,358
|
|
|
3,209
|
Commissions and fees
on fiduciary activities
|
|
|
1,542
|
|
|
1,495
|
Wealth management
income
|
|
|
1,081
|
|
|
979
|
Mortgage banking
income
|
|
|
576
|
|
|
616
|
Life insurance
investment income
|
|
|
577
|
|
|
594
|
Net gains on sale of
investment securities available-for-sale
|
|
|
|
|
|
623
|
Net gains on sale of
merchant services business
|
|
|
2,278
|
|
|
|
Total noninterest
income
|
|
|
13,822
|
|
|
12,029
|
Noninterest
expense:
|
|
|
|
|
|
|
Salaries and employee
benefits expense
|
|
|
19,851
|
|
|
16,702
|
Net occupancy and
equipment expense
|
|
|
7,327
|
|
|
6,998
|
Merchant services
expense
|
|
|
1,796
|
|
|
2,270
|
Amortization of
intangible assets
|
|
|
785
|
|
|
899
|
Other
expenses
|
|
|
9,079
|
|
|
8,879
|
Total noninterest
expense
|
|
|
38,838
|
|
|
35,748
|
Income before income
taxes
|
|
|
20,018
|
|
|
18,640
|
Provision for income
tax expense
|
|
|
4,209
|
|
|
3,785
|
Net income
|
|
$
|
15,809
|
|
$
|
14,855
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
Unrealized gains on
investment securities available-for-sale
|
|
$
|
1,076
|
|
$
|
1,003
|
Reclassification
adjustment for gains included in net income
|
|
|
|
|
|
(623)
|
Change in pension
liability
|
|
|
|
|
|
|
Income tax expense
related to other comprehensive income
|
|
|
377
|
|
|
133
|
Other comprehensive
income, net of income taxes
|
|
|
699
|
|
|
247
|
Comprehensive
income
|
|
$
|
16,508
|
|
$
|
15,102
|
Per share
data:
|
|
|
|
|
|
|
Net income
|
|
$
|
2.14
|
|
$
|
2.01
|
Cash dividends
declared
|
|
$
|
0.94
|
|
$
|
0.93
|
Average common shares
outstanding
|
|
|
7,395,612
|
|
|
7,397,581
|
Peoples Financial
Services Corp.
|
Consolidated
Statements of Income
|
(In thousands,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
Three months ended
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Interest
income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on
loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
$
|
16,535
|
|
$
|
15,945
|
|
$
|
15,541
|
|
$
|
15,502
|
|
$
|
15,294
|
Tax-exempt
|
|
|
813
|
|
|
795
|
|
|
726
|
|
|
730
|
|
|
770
|
Interest and
dividends on investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
714
|
|
|
719
|
|
|
697
|
|
|
636
|
|
|
575
|
Tax-exempt
|
|
|
716
|
|
|
752
|
|
|
794
|
|
|
827
|
|
|
861
|
Dividends
|
|
|
13
|
|
|
12
|
|
|
12
|
|
|
17
|
|
|
10
|
Interest on
interest-bearing deposits in other banks
|
|
|
40
|
|
|
38
|
|
|
29
|
|
|
3
|
|
|
15
|
Total interest
income
|
|
|
18,831
|
|
|
18,261
|
|
|
17,799
|
|
|
17,715
|
|
|
17,525
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on
deposits
|
|
|
1,654
|
|
|
1,529
|
|
|
1,434
|
|
|
1,468
|
|
|
1,356
|
Interest on
short-term borrowings
|
|
|
177
|
|
|
248
|
|
|
174
|
|
|
120
|
|
|
116
|
Interest on long-term
debt
|
|
|
344
|
|
|
349
|
|
|
348
|
|
|
353
|
|
|
353
|
Total interest
expense
|
|
|
2,175
|
|
|
2,126
|
|
|
1,956
|
|
|
1,941
|
|
|
1,825
|
Net interest
income
|
|
|
16,656
|
|
|
16,135
|
|
|
15,843
|
|
|
15,774
|
|
|
15,700
|
Provision for loan
losses
|
|
|
1,200
|
|
|
1,200
|
|
|
1,200
|
|
|
1,400
|
|
|
1,200
|
Net interest income
after provision for loan losses
|
|
|
15,456
|
|
|
14,935
|
|
|
14,643
|
|
|
14,374
|
|
|
14,500
|
Noninterest
income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges,
fees, commissions
|
|
|
2,156
|
|
|
1,682
|
|
|
1,572
|
|
|
1,603
|
|
|
1,542
|
Merchant services
income
|
|
|
165
|
|
|
1,178
|
|
|
1,015
|
|
|
990
|
|
|
1,257
|
Commissions and fees
on fiduciary activities
|
|
|
540
|
|
|
494
|
|
|
508
|
|
|
481
|
|
|
539
|
Wealth management
income
|
|
|
414
|
|
|
348
|
|
|
319
|
|
|
319
|
|
|
271
|
Mortgage banking
income
|
|
|
193
|
|
|
204
|
|
|
179
|
|
|
269
|
|
|
217
|
Life insurance
investment income
|
|
|
193
|
|
|
195
|
|
|
189
|
|
|
197
|
|
|
199
|
Net gains on sale of
investment securities available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net gains on sale of
merchant services business
|
|
|
|
|
|
2,278
|
|
|
|
|
|
|
|
|
|
Total noninterest
income
|
|
|
3,661
|
|
|
6,379
|
|
|
3,782
|
|
|
3,859
|
|
|
4,025
|
Noninterest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits expense
|
|
|
6,550
|
|
|
7,026
|
|
|
6,275
|
|
|
5,732
|
|
|
5,466
|
Net occupancy and
equipment expense
|
|
|
2,483
|
|
|
2,450
|
|
|
2,394
|
|
|
2,424
|
|
|
2,316
|
Merchant services
expense
|
|
|
33
|
|
|
1,033
|
|
|
730
|
|
|
723
|
|
|
890
|
Amortization of
intangible assets
|
|
|
259
|
|
|
258
|
|
|
268
|
|
|
287
|
|
|
297
|
Other
expenses
|
|
|
3,155
|
|
|
3,235
|
|
|
2,689
|
|
|
3,116
|
|
|
3,048
|
Total noninterest
expense
|
|
|
12,480
|
|
|
14,002
|
|
|
12,356
|
|
|
12,282
|
|
|
12,017
|
Income before income
taxes
|
|
|
6,637
|
|
|
7,312
|
|
|
6,069
|
|
|
5,951
|
|
|
6,508
|
Income tax
expense
|
|
|
1,287
|
|
|
1,653
|
|
|
1,269
|
|
|
1,223
|
|
|
1,390
|
Net income
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Other comprehensive
(loss) income :
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized (losses)
gains on investment securities available-for-sale
|
|
$
|
(381)
|
|
$
|
1,184
|
|
$
|
273
|
|
$
|
(4,420)
|
|
$
|
(1,120)
|
Reclassification
adjustment for gains included in net income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in pension
liability
|
|
|
|
|
|
|
|
|
|
|
|
917
|
|
|
|
Income tax (benefit)
expense related to other comprehensive income (loss)
|
|
|
(133)
|
|
|
415
|
|
|
96
|
|
|
(1,226)
|
|
|
(392)
|
Other comprehensive
(loss) income, net of income taxes
|
|
|
(248)
|
|
|
769
|
|
|
177
|
|
|
(2,277)
|
|
|
(728)
|
Comprehensive
income
|
|
$
|
5,102
|
|
$
|
6,428
|
|
$
|
4,977
|
|
$
|
2,451
|
|
$
|
4,390
|
Per share
data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
0.72
|
|
$
|
0.77
|
|
$
|
0.65
|
|
$
|
0.64
|
|
$
|
0.69
|
Cash dividends
declared
|
|
$
|
0.32
|
|
$
|
0.31
|
|
$
|
0.31
|
|
$
|
0.31
|
|
$
|
0.31
|
Average common shares
outstanding
|
|
|
7,396,505
|
|
|
7,396,163
|
|
|
7,394,143
|
|
|
7,394,143
|
|
|
7,394,143
|
Peoples Financial
Services Corp.
|
Details of Net
Interest and Net Interest Margin
|
(In thousands,
fully taxable equivalent basis)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
Three months ended
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Net interest
income:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans,
net:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
$
|
16,535
|
|
$
|
15,945
|
|
$
|
15,541
|
|
$
|
15,502
|
|
$
|
15,294
|
Tax-exempt
|
|
|
1,250
|
|
|
1,223
|
|
|
1,117
|
|
|
1,123
|
|
|
1,184
|
Total loans,
net
|
|
|
17,785
|
|
|
17,168
|
|
|
16,658
|
|
|
16,625
|
|
|
16,478
|
Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
766
|
|
|
768
|
|
|
709
|
|
|
653
|
|
|
585
|
Tax-exempt
|
|
|
1,102
|
|
|
1,156
|
|
|
1,222
|
|
|
1,272
|
|
|
1,325
|
Total
investments
|
|
|
1,868
|
|
|
1,924
|
|
|
1,931
|
|
|
1,925
|
|
|
1,910
|
Interest on
interest-bearing balances in other
banks
|
|
|
1
|
|
|
1
|
|
|
29
|
|
|
3
|
|
|
15
|
Federal funds
sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest
income
|
|
|
19,654
|
|
|
19,093
|
|
|
18,618
|
|
|
18,553
|
|
|
18,403
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
1,654
|
|
|
1,529
|
|
|
1,434
|
|
|
1,468
|
|
|
1,356
|
Short-term
borrowings
|
|
|
177
|
|
|
248
|
|
|
174
|
|
|
120
|
|
|
116
|
Long-term
debt
|
|
|
344
|
|
|
349
|
|
|
348
|
|
|
353
|
|
|
353
|
Total interest
expense
|
|
|
2,175
|
|
|
2,126
|
|
|
1,956
|
|
|
1,941
|
|
|
1,825
|
Net interest
income
|
|
$
|
17,479
|
|
$
|
16,967
|
|
$
|
16,662
|
|
$
|
16,612
|
|
$
|
16,578
|
Loans,
net:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
4.43%
|
|
|
4.37%
|
|
|
4.41%
|
|
|
4.33%
|
|
|
4.39%
|
Tax-exempt
|
|
|
4.33%
|
|
|
4.29%
|
|
|
4.30%
|
|
|
4.25%
|
|
|
4.36%
|
Total loans,
net
|
|
|
4.42%
|
|
|
4.36%
|
|
|
4.40%
|
|
|
4.33%
|
|
|
4.39%
|
Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
1.93%
|
|
|
1.93%
|
|
|
1.87%
|
|
|
1.72%
|
|
|
1.74%
|
Tax-exempt
|
|
|
4.09%
|
|
|
4.17%
|
|
|
4.30%
|
|
|
4.22%
|
|
|
4.28%
|
Total
investments
|
|
|
2.81%
|
|
|
2.85%
|
|
|
2.89%
|
|
|
2.83%
|
|
|
2.94%
|
Interest-bearing
balances with banks
|
|
|
1.46%
|
|
|
1.31%
|
|
|
1.16%
|
|
|
3.58%
|
|
|
1.93%
|
Federal funds
sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-bearing
assets
|
|
|
4.19%
|
|
|
4.14%
|
|
|
4.17%
|
|
|
4.10%
|
|
|
4.17%
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
0.50%
|
|
|
0.48%
|
|
|
0.47%
|
|
|
0.47%
|
|
|
0.45%
|
Short-term
borrowings
|
|
|
1.30%
|
|
|
1.13%
|
|
|
0.86%
|
|
|
0.63%
|
|
|
0.58%
|
Long-term
debt
|
|
|
2.43%
|
|
|
2.44%
|
|
|
2.44%
|
|
|
2.40%
|
|
|
2.38%
|
Total interest-bearing
liabilities
|
|
|
0.61%
|
|
|
0.60%
|
|
|
0.57%
|
|
|
0.56%
|
|
|
0.54%
|
Net interest
spread
|
|
|
3.58%
|
|
|
3.54%
|
|
|
3.60%
|
|
|
3.54%
|
|
|
3.63%
|
Net interest
margin
|
|
|
3.73%
|
|
|
3.68%
|
|
|
3.73%
|
|
|
3.67%
|
|
|
3.76%
|
Peoples Financial
Services Corp.
|
Consolidated
Balance Sheets
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
At period end
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from
banks
|
|
$
|
31,839
|
|
$
|
41,026
|
|
$
|
31,511
|
|
$
|
39,496
|
|
$
|
31,620
|
Interest-bearing
balances in other banks
|
|
|
1,067
|
|
|
375
|
|
|
304
|
|
|
445
|
|
|
294
|
Federal funds
sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Available-for-sale
|
|
|
259,138
|
|
|
256,774
|
|
|
264,644
|
|
|
259,410
|
|
|
249,913
|
Held-to-maturity
|
|
|
9,564
|
|
|
9,868
|
|
|
10,180
|
|
|
10,517
|
|
|
10,864
|
Total
investments
|
|
|
268,702
|
|
|
266,642
|
|
|
274,824
|
|
|
269,927
|
|
|
260,777
|
Loans held for
sale
|
|
|
460
|
|
|
|
|
|
444
|
|
|
|
|
|
360
|
Loans, net
|
|
|
1,632,515
|
|
|
1,597,362
|
|
|
1,559,867
|
|
|
1,532,965
|
|
|
1,522,391
|
Less: allowance for
loan losses
|
|
|
18,831
|
|
|
17,802
|
|
|
16,969
|
|
|
15,961
|
|
|
15,712
|
Net loans
|
|
|
1,613,684
|
|
|
1,579,560
|
|
|
1,542,898
|
|
|
1,517,004
|
|
|
1,506,679
|
Premises and
equipment, net
|
|
|
37,373
|
|
|
35,892
|
|
|
34,967
|
|
|
33,260
|
|
|
33,049
|
Accrued interest
receivable
|
|
|
5,908
|
|
|
6,206
|
|
|
5,604
|
|
|
6,228
|
|
|
5,309
|
Goodwill
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
Other intangible
assets, net
|
|
|
3,427
|
|
|
3,685
|
|
|
3,944
|
|
|
4,211
|
|
|
4,498
|
Other
assets
|
|
|
66,406
|
|
|
68,002
|
|
|
65,640
|
|
|
65,501
|
|
|
65,283
|
Total
assets
|
|
$
|
2,092,236
|
|
$
|
2,064,758
|
|
$
|
2,023,506
|
|
$
|
1,999,442
|
|
$
|
1,971,239
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
|
|
$
|
372,146
|
|
$
|
356,435
|
|
$
|
358,538
|
|
$
|
353,686
|
|
$
|
342,782
|
Interest-bearing
|
|
|
1,315,709
|
|
|
1,282,998
|
|
|
1,257,006
|
|
|
1,235,071
|
|
|
1,223,028
|
Total
deposits
|
|
|
1,687,855
|
|
|
1,639,433
|
|
|
1,615,544
|
|
|
1,588,757
|
|
|
1,565,810
|
Short-term
borrowings
|
|
|
71,900
|
|
|
91,500
|
|
|
77,475
|
|
|
82,700
|
|
|
75,300
|
Long-term
debt
|
|
|
50,199
|
|
|
57,160
|
|
|
57,615
|
|
|
58,134
|
|
|
58,685
|
Accrued interest
payable
|
|
|
481
|
|
|
431
|
|
|
457
|
|
|
462
|
|
|
434
|
Other
liabilities
|
|
|
15,505
|
|
|
12,725
|
|
|
13,096
|
|
|
12,771
|
|
|
14,570
|
Total
liabilities
|
|
|
1,825,940
|
|
|
1,801,249
|
|
|
1,764,187
|
|
|
1,742,824
|
|
|
1,714,799
|
Stockholders'
equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock
|
|
|
14,793
|
|
|
14,792
|
|
|
14,788
|
|
|
14,788
|
|
|
14,788
|
Capital
surplus
|
|
|
134,988
|
|
|
134,937
|
|
|
134,888
|
|
|
134,871
|
|
|
134,853
|
Retained
earnings
|
|
|
119,971
|
|
|
116,988
|
|
|
113,621
|
|
|
111,114
|
|
|
108,677
|
Accumulated other
comprehensive loss
|
|
|
(3,456)
|
|
|
(3,208)
|
|
|
(3,978)
|
|
|
(4,155)
|
|
|
(1,878)
|
Total stockholders'
equity
|
|
|
266,296
|
|
|
263,509
|
|
|
259,319
|
|
|
256,618
|
|
|
256,440
|
Total liabilities and
stockholders' equity
|
|
$
|
2,092,236
|
|
$
|
2,064,758
|
|
$
|
2,023,506
|
|
$
|
1,999,442
|
|
$
|
1,971,239
|
Peoples Financial
Services Corp.
|
Consolidated
Balance Sheets
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
Average quarterly balances
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans,
net:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
$
|
1,482,215
|
|
$
|
1,464,401
|
|
$
|
1,429,323
|
|
$
|
1,422,725
|
|
$
|
1,385,800
|
Tax-exempt
|
|
|
114,455
|
|
|
114,287
|
|
|
105,442
|
|
|
105,119
|
|
|
108,105
|
Total loans,
net
|
|
|
1,596,670
|
|
|
1,578,688
|
|
|
1,534,765
|
|
|
1,527,844
|
|
|
1,493,905
|
Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
157,104
|
|
|
159,841
|
|
|
159,593
|
|
|
150,697
|
|
|
136,645
|
Tax-exempt
|
|
|
106,865
|
|
|
111,061
|
|
|
115,347
|
|
|
119,805
|
|
|
123,177
|
Total
investments
|
|
|
263,969
|
|
|
270,902
|
|
|
274,940
|
|
|
270,502
|
|
|
259,822
|
Interest-bearing
balances with banks
|
|
|
272
|
|
|
307
|
|
|
349
|
|
|
333
|
|
|
412
|
Federal funds
sold
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest-bearing
assets
|
|
|
1,860,911
|
|
|
1,849,897
|
|
|
1,810,054
|
|
|
1,798,679
|
|
|
1,754,139
|
Other
assets
|
|
|
195,773
|
|
|
196,913
|
|
|
194,499
|
|
|
192,266
|
|
|
188,256
|
Total
assets
|
|
$
|
2,056,684
|
|
$
|
2,046,810
|
|
$
|
2,004,553
|
|
$
|
1,990,945
|
|
$
|
1,942,395
|
Liabilities and
stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
|
|
$
|
1,299,661
|
|
$
|
1,270,459
|
|
$
|
1,244,021
|
|
$
|
1,241,586
|
|
$
|
1,195,645
|
Noninterest-bearing
|
|
|
366,610
|
|
|
356,282
|
|
|
346,567
|
|
|
341,795
|
|
|
337,337
|
Total
deposits
|
|
|
1,666,271
|
|
|
1,626,741
|
|
|
1,590,588
|
|
|
1,583,381
|
|
|
1,532,982
|
Short-term
borrowings
|
|
|
54,084
|
|
|
87,739
|
|
|
82,002
|
|
|
75,518
|
|
|
78,974
|
Long-term
debt
|
|
|
56,270
|
|
|
57,372
|
|
|
57,856
|
|
|
58,404
|
|
|
58,960
|
Other
liabilities
|
|
|
14,820
|
|
|
14,305
|
|
|
14,872
|
|
|
15,616
|
|
|
15,349
|
Total
liabilities
|
|
|
1,791,445
|
|
|
1,786,157
|
|
|
1,745,318
|
|
|
1,732,919
|
|
|
1,686,265
|
Stockholders'
equity
|
|
|
265,239
|
|
|
260,653
|
|
|
259,235
|
|
|
258,026
|
|
|
256,130
|
Total liabilities and
stockholders' equity
|
|
$
|
2,056,684
|
|
$
|
2,046,810
|
|
$
|
2,004,553
|
|
$
|
1,990,945
|
|
$
|
1,942,395
|
Peoples Financial
Services Corp.
|
Asset Quality
Data
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
At quarter end
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual/restructured loans
|
|
$
|
11,714
|
|
$
|
10,429
|
|
$
|
11,446
|
|
$
|
12,974
|
|
$
|
12,409
|
Accruing loans past
due 90 days or more
|
|
|
1,509
|
|
|
835
|
|
|
462
|
|
|
844
|
|
|
1,109
|
Foreclosed
assets
|
|
|
358
|
|
|
384
|
|
|
236
|
|
|
393
|
|
|
703
|
Total nonperforming
assets
|
|
$
|
13,581
|
|
$
|
11,648
|
|
$
|
12,144
|
|
$
|
14,211
|
|
$
|
14,221
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beginning
balance
|
|
$
|
17,802
|
|
$
|
16,969
|
|
$
|
15,961
|
|
$
|
15,712
|
|
$
|
14,799
|
Charge-offs
|
|
|
268
|
|
|
431
|
|
|
311
|
|
|
1,358
|
|
|
355
|
Recoveries
|
|
|
97
|
|
|
64
|
|
|
119
|
|
|
207
|
|
|
68
|
Provision for loan
losses
|
|
|
1,200
|
|
|
1,200
|
|
|
1,200
|
|
|
1,400
|
|
|
1,200
|
Ending
balance
|
|
$
|
18,831
|
|
$
|
17,802
|
|
$
|
16,969
|
|
$
|
15,961
|
|
$
|
15,712
|
Peoples Financial
Services Corp.
|
Reconciliation of
Non-GAAP Financial Measures
|
(In thousands,
except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
June 30
|
|
Mar 31
|
|
Dec 31
|
|
Sept 30
|
Three months ended
|
|
2017
|
|
2017
|
|
2017
|
|
2016
|
|
2016
|
Core net income per
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gain on sale of
merchant services business
|
|
|
|
|
|
2,278
|
|
|
|
|
|
|
|
|
|
Less: Gains on sale
of investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Expenses related
to sale of merchant services business
|
|
|
|
|
|
271
|
|
|
|
|
|
|
|
|
|
Add: Gain on sale of
merchant services business tax adjustment
|
|
|
|
|
|
702
|
|
|
|
|
|
|
|
|
|
Add: Gains on sale of
investment securities tax adjustment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
Core
|
|
$
|
5,350
|
|
$
|
4,354
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Average common shares
outstanding
|
|
|
7,396,505
|
|
|
7,396,163
|
|
|
7,394,143
|
|
|
7,394,143
|
|
|
7,394,143
|
Core net income per
share
|
|
$
|
0.72
|
|
$
|
0.59
|
|
$
|
0.65
|
|
$
|
0.64
|
|
$
|
0.69
|
Tangible book
value:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders'
equity
|
|
$
|
266,296
|
|
$
|
263,509
|
|
$
|
259,319
|
|
$
|
256,618
|
|
$
|
256,440
|
Less:
Goodwill
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
|
|
63,370
|
Less: Other
intangible assets, net
|
|
|
3,427
|
|
|
3,685
|
|
|
3,944
|
|
|
4,211
|
|
|
4,498
|
Total tangible
stockholders' equity
|
|
$
|
199,499
|
|
$
|
196,454
|
|
$
|
192,005
|
|
$
|
189,037
|
|
$
|
188,572
|
Common shares
outstanding
|
|
|
7,396,505
|
|
|
7,396,163
|
|
|
7,394,143
|
|
|
7,394,143
|
|
|
7,394,143
|
Tangible book value
per share
|
|
$
|
26.97
|
|
$
|
26.56
|
|
$
|
25.97
|
|
$
|
25.57
|
|
$
|
25.50
|
Core return on
average stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gain on sale of
merchant services business
|
|
|
|
|
|
2,278
|
|
|
|
|
|
|
|
|
|
Less: Gains on sale
of investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Expenses related
to sale of merchant services business
|
|
|
|
|
|
271
|
|
|
|
|
|
|
|
|
|
Add: Gain on sale of
merchant services business tax adjustment
|
|
|
|
|
|
702
|
|
|
|
|
|
|
|
|
|
Add: Gains on sale of
investment securities tax adjustment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
Core
|
|
$
|
5,350
|
|
$
|
4,354
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Average stockholders'
equity
|
|
$
|
265,239
|
|
$
|
260,653
|
|
$
|
259,235
|
|
$
|
258,026
|
|
$
|
256,130
|
Core return on
average stockholders' equity
|
|
|
8.00%
|
|
|
6.70%
|
|
|
7.51%
|
|
|
7.29%
|
|
|
7.95%
|
Return on average
tangible equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Average stockholders'
equity
|
|
$
|
265,239
|
|
$
|
260,653
|
|
$
|
259,235
|
|
$
|
258,026
|
|
$
|
256,130
|
Less: average
intangibles
|
|
|
66,926
|
|
|
67,185
|
|
|
67,448
|
|
|
67,725
|
|
|
68,017
|
Average tangible
stockholders' equity
|
|
$
|
198,313
|
|
$
|
193,468
|
|
$
|
191,787
|
|
$
|
190,301
|
|
$
|
188,113
|
Return on average
tangible stockholders' equity
|
|
|
10.70%
|
|
|
11.73%
|
|
|
10.15%
|
|
|
9.88%
|
|
|
10.82%
|
Core return on
average tangible stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gain on sale of
merchant services business
|
|
|
|
|
|
2,278
|
|
|
|
|
|
|
|
|
|
Less: Gains on sale
of investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Expenses related
to sale of merchant services business
|
|
|
|
|
|
271
|
|
|
|
|
|
|
|
|
|
Add: Gain on sale of
merchant services business tax adjustment
|
|
|
|
|
|
702
|
|
|
|
|
|
|
|
|
|
Add: Gains on sale of
investment securities tax adjustment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
Core
|
|
$
|
5,350
|
|
$
|
4,354
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Average stockholders'
equity
|
|
$
|
265,239
|
|
$
|
260,653
|
|
$
|
259,235
|
|
$
|
258,026
|
|
$
|
256,130
|
Less: average
intangibles
|
|
|
66,926
|
|
|
67,185
|
|
|
67,448
|
|
|
67,725
|
|
|
68,017
|
Average tangible
stockholders' equity
|
|
$
|
198,313
|
|
$
|
193,468
|
|
$
|
191,787
|
|
$
|
190,301
|
|
$
|
188,113
|
Core return on
average tangible stockholders' equity
|
|
|
10.70%
|
|
|
9.03%
|
|
|
10.15%
|
|
|
9.88%
|
|
|
10.82%
|
Core return on
average assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
5,350
|
|
$
|
5,659
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Gain on sale of
merchant services business
|
|
|
|
|
|
2,278
|
|
|
|
|
|
|
|
|
|
Less: Gains on sale
of investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Add: Expenses related
to sale of merchant services business
|
|
|
|
|
|
271
|
|
|
|
|
|
|
|
|
|
Add: Gain on sale of
merchant services business tax adjustment
|
|
|
|
|
|
702
|
|
|
|
|
|
|
|
|
|
Add: Gains on sale of
investment securities tax adjustment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
Core
|
|
$
|
5,350
|
|
$
|
4,354
|
|
$
|
4,800
|
|
$
|
4,728
|
|
$
|
5,118
|
Average
assets
|
|
$
|
2,056,684
|
|
$
|
2,046,810
|
|
$
|
2,004,553
|
|
$
|
1,990,945
|
|
$
|
1,942,395
|
Core return on
average assets
|
|
|
1.03%
|
|
|
0.85%
|
|
|
0.97%
|
|
|
0.94%
|
|
|
1.05%
|
Peoples Financial
Services Corp.
|
Reconciliation of
Non-GAAP Financial Measures
|
(In thousands,
except share and per share data)
|
|
|
|
|
|
|
|
|
|
|
Sept 30
|
|
Sept 30
|
Nine Months
Ended
|
|
2017
|
|
2016
|
Core net income per
share:
|
|
|
|
|
|
|
Net income
GAAP
|
|
$
|
15,809
|
|
$
|
14,855
|
Adjustments:
|
|
|
|
|
|
|
Less: Gain on sale of
merchant services business
|
|
|
2,278
|
|
|
|
Less: Gains on sale
of investment securities
|
|
|
|
|
|
623
|
Add: Expenses related
to sale of merchant services business
|
|
|
271
|
|
|
|
Add: Gain on sale of
merchant services business tax adjustment
|
|
|
702
|
|
|
|
Add: Gains on sale of
investment securities tax adjustment
|
|
|
|
|
|
218
|
Net income
Core
|
|
$
|
14,504
|
|
$
|
14,450
|
Average common shares
outstanding
|
|
|
7,395,612
|
|
|
7,397,581
|
Core net income per
share
|
|
$
|
1.96
|
|
$
|
1.95
|
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SOURCE Peoples Financial Services Corp.