Completed the Previously Announced Acquisition of SeaTrust
Mortgage Company
Declares Quarterly Cash Dividend of $0.10 Per Share
MCLEAN,
Va., July 28, 2022 /PRNewswire/ -- Primis
Financial Corp. (NASDAQ: FRST) ("Primis" or the "Company"), and its
wholly-owned subsidiary, Primis Bank (the "Bank"), today reported
net income from continuing operations of $5.0 million for the quarter ended June 30, 2022, compared to $4.6 million for the quarter ended March 31, 2022 and $8.8
million for the quarter ended June
30, 2021. Earnings per share ("EPS") from continuing
operations for the three months ended June
30, 2022 were $0.20 on a basic
and diluted basis, compared to $0.19
on a basic and diluted basis for the three months ended
March 31, 2022.
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Net income from continuing operations adjusted for nonrecurring
income and expenses(1) was $6.0
million for the three months ended June 30, 2022 versus $4.7
million for the three months ended March 31, 2022. Adjustments, as described
further below, include nonrecurring expenses due to branch closures
and merger-related expenses. Operating earnings per share
from continuing operations(1) were $0.25 on a basic and $0.24 on a diluted basis, compared to
$0.19 on a basic and diluted basis
for the three months ended March 31,
2022.
Net income from continuing operations for the six months ended
June 30, 2022 was $9.6 million compared to $17.2 million for the six months ended
June 30, 2021. Earnings per share
from continuing operations for the six months ended June 30, 2022 were $0.39 on a basic and diluted basis, compared to
$0.71 basic and $0.70 diluted for the six months ended
June 30, 2021.
As previously disclosed, on May 31,
2022, Primis Bank completed the previously announced
acquisition of 100% of the stock of SeaTrust Mortgage Company
("SeaTrust"), a bank-owned mortgage company based in Wilmington, North Carolina, which was
subsequently renamed Primis Mortgage Company ("Primis
Mortgage").
Commenting on the quarter, Dennis
Zember, Jr., President and CEO said "We have made
significant progress in several areas of the Bank that we believe
were limiting our market value. We have remixed our deposits
with a focus on core deposits and checking accounts and built some
unique lines of business that will change the market's opinion
about our ability to grow. We have built a culture that is
catching on in our local markets and beyond and have improved
expertise and skills in our workforce rapidly. I believe this
quarter's results and the movement in some of our key ratios are
evidence that we are being successful."
(1) Non-GAAP financial measure. Please see
"Reconciliation of Non-GAAP Items"in the financial tables for more
information and for a reconciliation to GAAP.
|
Financial Highlights for the Period Ended June 30, 2022
- Improvement in return on average assets from continuing
operations(1) to 0.63% for the three months
ended June 30, 2022 from 0.55% for
the three months ended March 31,
2022. Operating return on average assets from continuing
operations(1) improved by a larger amount to 0.76% from
0.57% in the first quarter of 2022.
- Loans held for investment grew at an annualized rate of 24.7%
for the first six months of 2022 or 30.8% net of a decline in PPP
balances.
- Non-interest bearing checking deposits were $653.1 million, representing 24.3% of total
deposits at June 30, 2022, compared
to 19.1% at June 30, 2021.
- Time deposits were only $329.2
million, representing 12.3% of total deposits at
June 30, 2022, down from 14.1% at the
same time in 2021.
- Net interest margin of 3.33% in the second quarter of 2022, was
up substantially from 2.80% the same period last year.
- FHLB borrowings of only $25
million at the end of the second quarter of 2022, which
provides substantial liquidity opportunities.
- Strong capital position with Tier 1 Leverage Ratio at Primis
Bank of 12.27% at the end of the second quarter of 2022, which is
more than adequate in terms of supporting the Company's expected
growth.
- Revenue growth outpaced expenses, despite significant
investment in the organization. Total revenue in the second
quarter of 2022 increased 12.5% to $27.2
million compared to $24.2
million in the second quarter of
2021. Total revenue, excluding PPP-related income,
increased 25.5% in the second quarter of 2022 to $27.2 million from $21.7
million in the second quarter of
2021.
- Non-interest expenses were $20.4
million in the second quarter of 2022, an increase of 18.8%
from the second quarter of 2021. Excluding nonrecurring
revenue and expenses, non-interest expenses grew to
$19.1 million in the second quarter
of 2022, an increase of 11.2% from the $17.2
million recorded in the second quarter of 2021.
- Pre-tax pre-provision return on average assets from continuing
operations(1) was 0.83% for the three months ended
June 30, 2022, up 8 basis points from
0.75% for the three months ended March
31, 2022. Pre-tax pre-provision operating return on
average assets from continuing operations(1) was 1.00%
for the three months ended June 30,
2022, up 23 basis points from 0.77% for the three months
ended March 31, 2022.
- Allowance for credit losses to total loans was 1.15% at
June 30, 2022, compared to 1.23% at
March 31, 2022. Allowance for
credit losses to total loans (excluding PPP balances and loans held
for sale) was 1.16% at June 30, 2022,
compared to 1.24% at March 31,
2022.
Operating Performance
The Company reported strong increases in key ratios and growth
rates for the second quarter of 2022. Speaking about the
performance improvement, Mr. Zember said, "Our primary focus is on
two areas right now. First, to tweak the core bank's
performance while rationalizing its cost base. We
consolidated six branches in the current quarter and are planning
to consolidate two additional in the third quarter. Secondly,
to bring the lines of business quickly to the kind of profitability
that moves the needle for our organization. Both Panacea and
Life Premium Finance had substantial growth in the quarter and
while their pipelines and expectations are just as substantial, the
costs to produce and book this growth have already been
incurred. I expect all of these decisions will compound and
that our second half of the year will be exciting."
Lines of Business
While the Company's main business continues to be the core bank,
management has invested diligently in certain lines of business
that augment the profitability and growth rates a core community
bank can offer shareholders. These businesses are resource
light, digitally oriented and produce return on assets that are
superior to bank only returns with better than average long-term
credit quality. The table below highlights revenue and
expenses directly attributable to the Company's various business
lines. Net interest income in the table below also includes
an assumed cost of funds given to each business line for
illustrative purposes, with offsetting benefit to net interest
income included in the bank column. The bank column includes
all activities not captured in the business lines, including parent
company activities.
(Dollars in
thousands)
|
Bank
|
|
Panacea
|
|
LPF
|
|
Mortgage
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statement of Operations (unaudited)
|
Q2
'22
|
Q1
'22
|
Chg
|
Q2
'22
|
Q1
'22
|
Chg
|
Q2
'22
|
Q1
'22
|
Chg
|
Q2
'22
|
Q1
'22
|
Chg
|
Net Interest Income
*
|
$
23,341
|
$
22,226
|
5.0 %
|
$
905
|
$
559
|
62.0 %
|
$
294
|
$
70
|
323.3 %
|
$
65
|
$
-
|
N/A
|
Noninterest
Income
|
2,029
|
2,090
|
(2.9 %)
|
2
|
0
|
N/A
|
5
|
-
|
N/A
|
593
|
-
|
N/A
|
Operating Noninterest
Expense (excl. res. for unfunded)
|
17,774
|
17,636
|
0.8 %
|
799
|
844
|
(5.3 %)
|
(37)
|
132
|
N/A
|
759
|
-
|
N/A
|
Pre-Tax Pre-Provision
Net Income
|
7,596
|
6,680
|
13.7 %
|
108
|
(285)
|
N/A
|
337
|
(63)
|
N/A
|
(102)
|
-
|
N/A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Loans (inc.
HFS)
|
$
2,368,601
|
$
2,258,206
|
4.9 %
|
$
142,670
|
$
81,232
|
75.6 %
|
$
99,675
|
$
22,826
|
336.7 %
|
$
16,096
|
$
-
|
N/A
|
Total
Deposits
|
2,669,212
|
2,679,331
|
(0.4 %)
|
10,778
|
6,913
|
55.9 %
|
2,717
|
-
|
|
-
|
-
|
|
|
* Net interest income
assumes business line funding requirements are provided by the
Company at it's cost of funds plus 100 basis points.
|
Panacea has successfully built a nationally-recognized brand and
now has ten national and state association partnerships. The
division has banking relationships with over 2,000 doctor
households across all 50 states. Panacea finished the second
quarter of 2022 with approximately $143
million in outstanding loans, an increase of $61.4 million, or 76%, from March 31, 2022. At the end of the second quarter,
Panacea's loan portfolio was 52% commercial, 28% consumer and 20%
student loan refinance. As previously discussed, Panacea
became profitable on a direct basis in the first quarter.
Including an assumed cost of funds, Panacea became profitable on a
funded basis in the second quarter as well as highlighted
above.
Commenting on Panacea's recent momentum, Tyler Stafford, President of the division
stated, "The success of Panacea's doctor-centric relationship
banking model continues to compound within our target market of
doctors across the country, evidenced with a 5.0-star customer
review rating and the #1 ranking on TrustPilot within the "Bank"
category. With our recently added bankers continuing to ramp, our
pipeline of loan opportunities is well over $150 million and continues to build. As a result,
we are increasing our loan growth expectations for 2022 from a
range of $125 to $150 million to $175 to $200
million. Importantly, the credit quality of our portfolio
remains pristine and, given the robustness of our pipeline, we are
in a position to be even more selective on pursuing the strongest
credits that maximize our profitability. Lastly, we have several
deposit-focused initiatives underway which we expect to translate
into stronger core deposit growth in the coming quarters."
The Life Premium Finance Division, launched in late 2021, ended
the second quarter of 2022 with outstanding balances, net of
deferred fees, of $99.7 million,
compared to $13.0 million at the end
of the fourth quarter of 2021. The Life Premium Finance
Division is already showing a healthy level of profitability
(including assumed cost of funds) with just 7 months of
operations. The division's emphasis on technology,
operational efficiencies and a superior customer experience
continues to resonate with the marketplace. Total approved credit
in the division finished the second quarter of 2022 at $413 million with remaining funding of premiums
over the next three to five years.
Primis acquired Primis Mortgage Company on May 31, 2022 and successfully integrated its
operations in June. On July 11,
Primis Mortgage Company welcomed Chris
Blevins to the team as a regional executive. Chris
came from a large independent mortgage company where he managed a
large region that generated annual production of approximately
$6 billion. As previously
discussed, the Company expects marginal contribution to earnings
from mortgage in 2022 as Primis Mortgage builds out its team and
achieves the needed scale and production capacity to make a
meaningful earnings contribution in 2023.
As of July 25, Primis now offers a
full service, full-featured checking account powered by its new
digital platform. The account's low cost of acquisition and
management allows the Bank to offer hyper-competitive terms.
The account includes free overdrafts, refunds to the customer of
debit and credit interchange income on its cards, free ATM
transactions nationwide, bill pay, peer-to-peer capabilities and
delivery of almost any conceivable banking service directly to
customers' doorsteps in select markets.
Net Interest Income
Net interest income increased 12.9% to $24.6 million for the three months ended
June 30, 2022 from $21.8 million for the three months ended
June 30, 2021. The Company's
reported net interest margin for the second quarter of 2022 was
3.33% compared to 2.80% in the second quarter of 2021. Net
interest income, excluding the effect of PPP fees, was $24.6 million in the second quarter of 2022,
compared to $20.0 million in the
second quarter of 2021, an increase of $4.6
million or 23.1%. Also excluding the effects of PPP,
the Company's net interest margin expanded to 3.35% in the second
quarter of 2022 compared to 2.77% in the same quarter of
2022.
The Company's loan growth over the past several quarters and the
improved asset mix has been the driver of positive movements in
both margins and net interest income. Loans held for
investment represented 84.7% of total average interest earning
assets in the second quarter of 2022, compared to 74.6% in the same
quarter of 2021. Yield on loans for the second quarter of
2022 was 4.20% compared to 4.34% in the second quarter of
2021. Loan yields in the second quarter, excluding the effect
of PPP, were 4.23%, down from 4.46% in the same quarter of
2021.
Total cost of funds in the second quarter of 2022 was 0.53%,
down from 0.66% in the same quarter of 2021. Continued growth
in checking accounts as a percentage of total deposits and lower
rates on other deposits led to the improvement. Total
demand deposits and total non-time deposits at the end of the
second quarter of 2022 were 24.3% and 87.7%, respectively, compared
19.1% and 85.9%, respectively, in the second quarter of 2021.
Non-interest Income
During the three months ended June 30,
2022, Primis had non-interest income of $2.63 million, compared to $2.09 million for the three months ended
March 31, 2022. The increase
was primarily due to revenues associated with Primis Mortgage for
only one month as the acquisition closed on May 31, 2022. The Company closed
$27.0 million in loans in June, down
5.6% from May as the team transitioned to Primis. The rapid
slowdown in the mortgage and housing markets have caused many
mortgage companies to restructure substantially, reducing headcount
in servicing, support and production. While the current
market conditions are not ideal for substantial revenues and
profitability in this sector, the opportunity to add the needed
production capacity at much more reasonable terms than a year ago
are real. The division expects to recruit profitable teams
and the necessary support throughout the remainder of 2022 and be a
material contributor to the Company's results in 2023.
Non-interest Expense
Non-interest expense was $20.4
million for the three months ended June 30, 2022, which included $0.4 million in merger costs, $0.9 million in branch closure costs, and new
mortgage expenses of approximately $0.8
million. Non-interest expense also included a recovery
of unfunded commitment reserve of $168
thousand in the second quarter of 2022. Excluding merger
costs, branch closure costs, new mortgage expenses and unfunded
commitment reserve impacts, the Company's adjusted operating
expense was $18.5 million for the
second quarter of 2022, compared to $18.6
million in the first quarter of 2022 and $17.0 million for the second quarter of
2021.
The Company's operating efficiency ratio from continuing
operations(1) in the second quarter of 2022 was 70.2%
compared to 75.7% in the first quarter of 2022. The Bank
intends to consolidate two more branch locations in the third
quarter of 2022. Additionally, management has
identified other areas of savings including consolidation of
certain staffing positions, contract renegotiations and other
opportunities that we expect could save between $3 million and $4
million per year. These amounts, combined with
operating performance improvements at the Company's lines of
business, could reduce the operating efficiency to below 63% by
year end.
Loan Portfolio and Asset Quality
Loans held for investment increased to $2.63 billion at June 30,
2022, compared to $2.39
billion at March 31,
2022. Loans held for investment grew at an annualized rate of
24.7% for the first six months of 2022 or 30.8% net of a decline in
PPP balances. Loan growth was robust across the
organization, particularly the Panacea and Life Premium Finance
divisions which saw their growth rates accelerate in the second
quarter. The Company believes loan growth will continue at a
similar pace as the first half of 2022 for the rest of the
year.
Nonperforming assets, excluding portions guaranteed by the SBA,
were $19.9 million at June 30, 2022 compared to $15.1 million at March 31,
2022 driven by a large residential loan that had been
adversely rated and is now subject to foreclosure. The
loan-to-value on the property is less than 50% and no loss is
anticipated. Loans rated substandard or doubtful increased to
$27.1 million in the second quarter
of 2022 from $23.6 million at the end
of the first quarter of 2022.
The allowance for credit losses was $30.2
million at June 30, 2022, up
$0.83 million from $29.4 million at March
31, 2022. The Company recorded a provision for credit
losses of $0.4 million compared to
$0.1 million in the first quarter of
2022. As a percentage of loans, excluding PPP balances, the
allowance declined to 1.16% at the end of the second quarter of
2022 compared to 1.24% at the end of the first quarter of
2022. The Company recorded $0.4
million in net recoveries in the second quarter of 2022
compared to net recoveries of $0.2
million in the first quarter of 2022.
Deposits
Total deposits decreased slightly to $2.68 billion at June 30,
2022, compared to $2.69
billion at March 31,
2022. Non-interest bearing demand deposits now represent
24.3% of total deposits and time deposits represent only 12.3% of
total deposits at June 30,
2022.
Shareholders' Equity
Book value per share as of June 30,
2022 was $16.17, a decrease of
$0.25 since March 31, 2022. Tangible book value per
share(1) at the end of the second quarter of 2022 was
$11.77, a decrease of $0.34 since March
31, 2022. Shareholders' equity was $399 million, or 12.3% of total assets, at
June 30, 2022. Tangible common
equity(1) at June 30, 2022
was $290 million, or 9.3% of tangible
assets(1). Equity balances decreased from
March 31, 2022 to June 30, 2022 because of $8.5 million of unrealized losses on the
Company's available-for-sale securities portfolio due to continued
increases in market interest rates during the quarter. The
Company has the wherewithal to hold these securities until maturity
or recovery of the value and does not anticipate realizing any
losses on the investments.
Additionally, the Board of Directors announced and declared a
dividend of $0.10 per share payable
on August 26, 2022 to shareholders of
record on August 12, 2022. This
is Primis' forty-third consecutive quarterly dividend.
About Primis Financial Corp.
As of June 30, 2022, Primis had
$3.24 billion in total assets,
$2.63 billion in total loans and
$2.68 billion in total deposits.
Primis Bank provides a range of financial services to individuals
and small- and medium-sized businesses through thirty-four
full-service branches in Virginia
and Maryland and provides services
to customers through certain online and mobile applications.
Contacts
Dennis J. Zember, Jr., President and
CEO
Matthew A. Switzer, EVP and
CFO
Phone: (703) 893-7400
Primis Financial Corp., NASDAQ Symbol FRST
Website: www.primisbank.com
Address:
Primis Financial Corp.
6830 Old Dominion Drive
McLean, VA 22101
Conference Call
The Company's management will host a conference call to discuss
its second quarter results on Friday, July
29, 2022 at 10:00 a.m. (ET). A
live Webcast of the conference call is available at the following
website: https://app.webinar.net/Dn1WKpOkRPb. Participants
may also call 1-888-346-2613 and ask for the Primis Financial Corp.
call. A replay of the teleconference will be available for 5
days by calling 1-877-344-7529 and providing Replay Access Code
7372270.
Non-GAAP Measures
Statements included in this press release include non-GAAP
financial measures and should be read along with the accompanying
tables. Primis uses non-GAAP financial measures to analyze its
performance. The measures entitled net income from continuing
operations adjusted for nonrecurring income and expenses;
pre-tax pre-provision operating earnings from continuing
operations; operating return on average assets from continuing
operations; pre-tax pre-provision operating return on average
assets from continuing operations; operating return on average
equity from continuing operations; operating return on average
tangible equity from continuing operations; operating efficiency
ratio from continuing operations; operating earnings per share from
continuing operations – basic; operating earnings per share from
continuing operations – diluted; tangible book value per share;
tangible common equity; tangible common equity to tangible assets;
and net interest margin excluding PPP loans are not measures
recognized under GAAP and therefore are considered non-GAAP
financial measures. We use the term "operating" to describe a
financial measure that excludes income or expense considered to be
non-recurring in nature. Items identified as non-operating
are those that, when excluded from a reported financial measure,
provide management or the reader with a measure that may be more
indicative of forward-looking trends in our business. A
reconciliation of these non-GAAP financial measures to the most
comparable GAAP measures is provided in the Reconciliation of
Non-GAAP items table.
Management believes that these non-GAAP financial measures
provide additional useful information about Primis that allows
management and investors to evaluate the ongoing operating results,
financial strength and performance of Primis and provide meaningful
comparison to its peers. Non-GAAP financial measures should not be
considered as an alternative to any measure of performance or
financial condition as promulgated under GAAP, and investors should
consider Primis' performance and financial condition as reported
under GAAP and all other relevant information when assessing the
performance or financial condition of Primis. Non-GAAP
financial measures are not standardized and, therefore, it may not
be possible to compare these measures with other companies that
present measures having the same or similar names.
Non-GAAP financial measures have limitations as analytical
tools, and investors should not consider them in isolation or as a
substitute for analysis of the results or financial condition as
reported under GAAP.
Forward-Looking Statements
This press release and certain of our other filings with the
Securities and Exchange Commission contain statements that
constitute "forward-looking statements" within the meaning of, and
subject to the protections of, Section 27A of the Securities Act of
1933, as amended, and Section 21E of the Securities Exchange Act of
1934, as amended. All statements other than statements of
historical fact are forward-looking statements. Such statements can
generally be identified by such words as "may," "plan,"
"contemplate," "anticipate," "believe," "intend," "continue,"
"expect," "project," "predict," "estimate," "could," "should,"
"would," "will," and other similar words or expressions of the
future or otherwise regarding the outlook for the Company's future
business and financial performance and/or the performance of the
banking industry and economy in general. These forward-looking
statements include, but are not limited to, our expectations
regarding our future operating and financial performance, including
our outlook and long-term goals for future growth and new offerings
and services; our expectations regarding net interest margin;
expectations on our growth strategy, expense management, capital
management and future profitability; expectations on credit quality
and performance; statements regarding the effects of the ongoing
COVID-19 pandemic and related variants on our business and
financial results and conditions; and the assumptions underlying
our expectations.
Prospective investors are cautioned that any such
forward-looking statements are not guarantees of future performance
and involve known and unknown risks and uncertainties which may
cause the actual results, performance or achievements of the
Company to be materially different from the future results,
performance or achievements expressed or implied by such
forward-looking statements. Forward-looking statements are based on
the information known to, and current beliefs and expectations of,
the Company's management and are subject to significant risks and
uncertainties. Actual results may differ materially from those
contemplated by such forward-looking statements. Factors that might
cause such differences include, but are not limited to: the
Company's ability to implement its various strategic and growth
initiatives, including its recently established Panacea Financial
and Life Premium Finance Divisions, new digital bank and V1BE
fulfillment service and recent acquisition of SeaTrust; competitive
pressures among financial institutions increasing significantly;
changes in applicable laws, rules, or regulations, including
changes to statutes, regulations or regulatory policies or
practices; changes in management's plans for the future; credit
risk associated with our lending activities; changes in interest
rates, inflation, loan demand, real estate values, or competition,
as well as labor shortages and supply chain disruptions; changes in
accounting principles, policies, or guidelines; adverse results
from current or future litigation, regulatory examinations or other
legal and/or regulatory actions, including as a result of the
Company's participation in and execution of government programs
related to the COVID-19 pandemic; the ongoing impact of the
COVID-19 pandemic on the Company's assets, business, cash flows,
financial condition, liquidity, prospects and results of
operations; potential increases in the provision for credit losses;
and other general competitive, economic, political, and market
factors, including those affecting our business, operations,
pricing, products, or services.
Forward-looking statements speak only as of the date on which
such statements are made. These forward-looking statements are
based upon information presently known to the Company's management
and are inherently subjective, uncertain and subject to change due
to any number of risks and uncertainties, including, without
limitation, the risks and other factors set forth in the Company's
filings with the Securities and Exchange Commission, the Company's
Annual Report on Form 10-K for the year ended December 31, 2021, under the captions "Cautionary
Note Regarding Forward-Looking Statements" and "Risk Factors," and
in the Company's Quarterly Reports on Form 10-Q and Current Reports
on Form 8-K. The Company undertakes no obligation to update any
forward-looking statement to reflect events or circumstances after
the date on which such statement is made, or to reflect the
occurrence of unanticipated events. Readers are cautioned not to
place undue reliance on these forward-looking statements.
Primis Financial
Corp.
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Financial Highlights
(unaudited)
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(Dollars in
thousands, except per share data)
|
For Three Months
Ended:
|
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Variance - 2Q 2022
vs.
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For Six Months
Ended:
|
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Variance
|
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Selected Performance
Ratios:
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
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2Q
2022
|
2Q
2021
|
|
YTD
|
|
Return on average
assets from continuing operations
|
0.63 %
|
0.55 %
|
0.88 %
|
0.72 %
|
1.05 %
|
|
7
|
bps
|
(43)
|
bps
|
|
0.59 %
|
1.06 %
|
|
(47)
|
bps
|
Operating return on
average assets from continuing operations(1)
|
0.76 %
|
0.57 %
|
0.83 %
|
0.72 %
|
1.05 %
|
|
19
|
|
(30)
|
|
|
0.66 %
|
1.07 %
|
|
(41)
|
|
Pre-tax pre-provision
operating return on average assets from continuing
operations(1)
|
1.00 %
|
0.77 %
|
0.91 %
|
0.98 %
|
0.86 %
|
|
23
|
|
14
|
|
|
0.86 %
|
1.07 %
|
|
(21)
|
|
Return on average
equity from continuing operations
|
4.92 %
|
4.49 %
|
7.37 %
|
6.01 %
|
8.81 %
|
|
43
|
|
(389)
|
|
|
4.71 %
|
8.69 %
|
|
(399)
|
|
Operating return on
average equity from continuing operations(1)
|
5.93 %
|
4.58 %
|
6.94 %
|
6.01 %
|
8.81 %
|
|
135
|
|
(288)
|
|
|
5.25 %
|
8.77 %
|
|
(352)
|
|
Operating return on
average tangible equity from continuing
operations(1)
|
8.08 %
|
6.16 %
|
9.36 %
|
8.12 %
|
12.03 %
|
|
192
|
|
(395)
|
|
|
7.09 %
|
12.02 %
|
|
(493)
|
|
Cost of
funds
|
|
0.53 %
|
0.52 %
|
0.56 %
|
0.57 %
|
0.66 %
|
|
1
|
|
(13)
|
|
|
0.52 %
|
0.72 %
|
|
(20)
|
|
Net interest
margin
|
3.33 %
|
2.96 %
|
3.00 %
|
2.87 %
|
2.80 %
|
|
37
|
|
53
|
|
|
3.14 %
|
3.10 %
|
|
4
|
|
Gross loans to
deposits
|
97.99 %
|
89.11 %
|
84.68 %
|
82.46 %
|
83.11 %
|
|
9
|
pts
|
15
|
pts
|
|
97.99 %
|
83.11 %
|
|
15
|
pts
|
Efficiency ratio from
continuing operations
|
75.01 %
|
76.11 %
|
68.16 %
|
64.80 %
|
71.00 %
|
|
(1)
|
|
401
|
|
|
75.54 %
|
68.36 %
|
|
718
|
|
Operating efficiency
ratio from continuing operations(1)
|
70.23 %
|
75.65 %
|
69.63 %
|
64.80 %
|
71.00 %
|
|
(5)
|
|
(77)
|
|
|
72.82 %
|
67.97 %
|
|
486
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share
Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share from
continuing operations - Basic
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.25
|
$
0.36
|
|
5.26
|
%
|
(44.45)
|
%
|
|
$
0.39
|
$
0.71
|
|
(45.07)
|
%
|
Earnings per share from
discontinued operations - Basic
|
-
|
-
|
-
|
(0.09)
|
0.06
|
|
-
|
|
(100.00)
|
|
|
$
-
|
$
0.10
|
|
(100.00)
|
|
Earnings per share -
Basic
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.16
|
$
0.42
|
|
5.26
|
|
(52.41)
|
|
|
$
0.05
|
$
0.81
|
|
(94.24)
|
|
Operating earnings per
share from continuing operations - Basic(1)
|
$
0.25
|
$
0.19
|
$
0.29
|
$
0.25
|
$
0.36
|
|
-
|
|
-
|
|
|
$
0.44
|
$
0.71
|
|
-
|
|
Earnings per share from
continuing operations - Diluted
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.25
|
$
0.36
|
|
5.26
|
|
(44.08)
|
|
|
$
0.39
|
$
0.70
|
|
(44.29)
|
|
Earnings per share from
discontinued operations - Diluted
|
-
|
-
|
-
|
(0.09)
|
0.06
|
|
-
|
|
(100.00)
|
|
|
-
|
0.10
|
|
(100.00)
|
|
Earnings per share -
Diluted
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.16
|
$
0.42
|
|
5.26
|
|
(52.08)
|
|
|
$
0.39
|
$
0.80
|
|
(51.25)
|
|
Operating earnings per
share from continuing operations - Diluted(1)
|
$
0.24
|
$
0.19
|
$
0.29
|
$
0.25
|
$
0.36
|
|
-
|
|
-
|
|
|
$
0.43
|
$
0.70
|
|
-
|
|
Book value per
share
|
$
16.17
|
$
16.42
|
$
16.76
|
$
16.63
|
$
16.59
|
|
(1.52)
|
|
(2.53)
|
|
|
$
16.17
|
$
16.59
|
|
(2.53)
|
|
Tangible book value per
share(1)
|
$
11.77
|
$
12.11
|
$
12.43
|
$
12.28
|
$
12.22
|
|
(2.81)
|
|
(3.68)
|
|
|
$
11.77
|
$
12.22
|
|
(3.68)
|
|
Cash dividend per
share
|
$
0.10
|
$
0.10
|
$
0.10
|
$
0.10
|
$
0.10
|
|
-
|
|
-
|
|
|
$
0.20
|
$
0.20
|
|
-
|
|
Weighted average shares
outstanding - Basic
|
24,562,753
|
24,503,945
|
24,476,569
|
24,474,104
|
24,450,916
|
|
0.24
|
|
0.46
|
|
|
24,533,512
|
24,489,050
|
|
0.18
|
|
Weighted average shares
outstanding - Diluted
|
24,681,425
|
24,662,588
|
24,653,363
|
24,634,384
|
24,616,824
|
|
0.08
|
|
0.26
|
|
|
24,666,486
|
24,562,719
|
|
0.42
|
|
Shares outstanding at
end of period
|
24,650,239
|
24,622,739
|
24,574,619
|
24,574,619
|
24,537,269
|
|
0.11
|
%
|
0.46
|
%
|
|
24,650,239
|
24,537,269
|
|
0.46
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset Quality
Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing assets
as a percent of total assets, excluding SBA guarantees
|
0.61 %
|
0.47 %
|
0.44 %
|
0.47 %
|
0.43 %
|
|
14
|
bps
|
19
|
bps
|
|
0.61 %
|
0.43 %
|
|
19
|
bps
|
Net charge-offs
(recoveries) as a percent of average loans (annualized)
|
(0.07 %)
|
(0.03 %)
|
(0.00 %)
|
0.34 %
|
(0.10 %)
|
|
(4)
|
|
4
|
|
|
(0.04 %)
|
(0.04 %)
|
|
-
|
|
Allowance for credit
losses to total loans
|
1.15 %
|
1.23 %
|
1.24 %
|
1.31 %
|
1.37 %
|
|
(8)
|
|
(22)
|
|
|
1.15 %
|
1.37 %
|
|
(22)
|
|
Allowance for credit
losses to total loans (excluding PPP loans)
|
1.16 %
|
1.24 %
|
1.29 %
|
1.40 %
|
1.52 %
|
|
(9)
|
|
(37)
|
|
|
1.16 %
|
1.52 %
|
|
(37)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity
to tangible assets(1)
|
9.27 %
|
9.57 %
|
9.26 %
|
9.02 %
|
9.12 %
|
|
(30)
|
bps
|
16
|
bps
|
|
|
|
|
|
|
Leverage ratio
(2)
|
|
10.21 %
|
10.13 %
|
9.41 %
|
9.15 %
|
9.38 %
|
|
8
|
|
83
|
|
|
|
|
|
|
|
Common equity tier 1
capital ratio (2)
|
12.60 %
|
13.99 %
|
13.09 %
|
13.85 %
|
13.77 %
|
|
(139)
|
|
(117)
|
|
|
|
|
|
|
|
Tier 1 risk-based
capital ratio (2)
|
13.01 %
|
14.45 %
|
13.52 %
|
14.31 %
|
14.23 %
|
|
(144)
|
|
(122)
|
|
|
|
|
|
|
|
Total risk-based
capital ratio (2)
|
17.58 %
|
19.41 %
|
18.52 %
|
19.60 %
|
19.52 %
|
|
(183)
|
|
(194)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See
Reconciliation of Non-GAAP financial
measures.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) June
30, 2022 ratios are estimated and may be subject to change pending
the final filing of the FR Y-9C.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Primis Financial
Corp.
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
As Of
:
|
|
Variance - 2Q 2022
vs.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Balance Sheets (unaudited)
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$ 70,721
|
$ 298,230
|
$ 530,167
|
$ 650,746
|
$ 620,839
|
|
(76.29)
|
%
|
(88.61)
|
%
|
Investment
securities-available for sale
|
257,180
|
271,626
|
271,332
|
206,821
|
201,977
|
|
(5.32)
|
|
27.33
|
|
Investment
securities-held to maturity
|
14,978
|
16,138
|
22,940
|
26,412
|
28,669
|
|
(7.19)
|
|
(47.76)
|
|
Loans held for
sale
|
16,096
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
Loans receivable, net
of deferred fees
|
2,628,797
|
2,393,669
|
2,339,986
|
2,314,584
|
2,286,355
|
|
9.82
|
|
14.98
|
|
Allowance for credit
losses
|
(30,209)
|
(29,379)
|
(29,105)
|
(30,386)
|
(31,265)
|
|
2.83
|
|
(3.38)
|
|
|
Net loans
|
|
2,598,588
|
2,364,290
|
2,310,881
|
2,284,198
|
2,255,090
|
|
9.91
|
|
15.23
|
|
Stock in Federal
Reserve Bank and Federal Home Loan Bank
|
12,940
|
11,927
|
15,521
|
15,521
|
15,521
|
|
8.49
|
|
(16.63)
|
|
Investments in mortgage
affiliate - held for sale
|
-
|
-
|
-
|
10,050
|
12,949
|
|
-
|
|
(100.00)
|
|
Bank premises and
equipment, net
|
26,113
|
29,872
|
30,410
|
30,686
|
30,099
|
|
(12.58)
|
|
(13.24)
|
|
Operating lease
right-of-use assets
|
4,777
|
5,305
|
5,866
|
6,331
|
6,386
|
|
(9.95)
|
|
(25.20)
|
|
Goodwill and other
intangible assets
|
108,524
|
106,075
|
106,416
|
106,757
|
107,098
|
|
2.31
|
|
1.33
|
|
Assets held for sale,
net
|
3,127
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
Bank-owned life
insurance
|
67,339
|
67,099
|
66,724
|
66,336
|
65,949
|
|
0.36
|
|
2.11
|
|
Other real estate
owned
|
1,041
|
1,041
|
1,163
|
1,312
|
1,274
|
|
-
|
|
(18.29)
|
|
Deferred tax assets,
net
|
14,658
|
12,380
|
9,571
|
13,571
|
14,442
|
|
18.40
|
|
1.50
|
|
Other assets
|
|
40,496
|
35,893
|
36,362
|
33,676
|
34,858
|
|
12.82
|
|
16.17
|
|
|
Total assets
|
$
3,236,578
|
$
3,219,876
|
$
3,407,353
|
$
3,452,417
|
$
3,395,151
|
|
0.52
|
%
|
(4.67)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
stockholders' equity
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
$ 653,181
|
$ 559,682
|
$ 530,282
|
$ 535,706
|
$ 525,244
|
|
16.71
|
%
|
24.36
|
%
|
NOW accounts
|
|
677,237
|
730,235
|
849,738
|
921,667
|
912,666
|
|
(7.26)
|
|
(25.80)
|
|
Money market
accounts
|
802,953
|
831,580
|
799,759
|
758,259
|
714,759
|
|
(3.44)
|
|
12.34
|
|
Savings
accounts
|
220,211
|
225,291
|
222,862
|
216,470
|
209,441
|
|
(2.25)
|
|
5.14
|
|
Time
deposits
|
|
329,223
|
339,456
|
360,575
|
374,965
|
388,954
|
|
(3.01)
|
|
(15.36)
|
|
Total deposits
|
|
2,682,805
|
2,686,244
|
2,763,216
|
2,807,067
|
2,751,064
|
|
(0.13)
|
|
(2.48)
|
|
Securities sold under
agreements to repurchase - short term
|
10,020
|
11,231
|
9,962
|
13,348
|
12,521
|
|
(10.78)
|
|
(19.97)
|
|
Federal Home Loan Bank
advances
|
25,000
|
-
|
100,000
|
100,000
|
100,000
|
|
-
|
|
(75.00)
|
|
Subordinated debt and
notes
|
95,170
|
95,099
|
95,028
|
95,442
|
95,404
|
|
0.07
|
|
(0.25)
|
|
Operating lease
liabilities
|
5,299
|
5,897
|
6,498
|
7,000
|
7,014
|
|
(10.14)
|
|
(24.45)
|
|
Other
liabilities
|
|
19,647
|
17,210
|
20,768
|
20,931
|
22,208
|
|
14.16
|
|
(11.53)
|
|
|
Total
liabilities
|
2,837,941
|
2,815,681
|
2,995,472
|
3,043,788
|
2,988,211
|
|
0.79
|
|
(5.03)
|
|
Stockholders'
equity
|
398,637
|
404,195
|
411,881
|
408,629
|
406,940
|
|
(1.38)
|
|
(2.04)
|
|
|
Total liabilities and
stockholders' equity
|
$
3,236,578
|
$
3,219,876
|
$
3,407,353
|
$
3,452,417
|
$
3,395,151
|
|
0.52
|
%
|
(4.67)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common
equity(1)
|
$ 290,113
|
$ 298,120
|
$ 305,465
|
$ 301,872
|
$ 299,842
|
|
(2.69)
|
%
|
(3.24)
|
%
|
Primis Financial
Corp.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
For Three Months
Ended:
|
|
Variance - 2Q 2022
vs.
|
|
|
For Six Months
Ended:
|
|
Variance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Condensed
Consolidated Statement of Operations (unaudited)
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
|
|
2Q
2022
|
2Q
2021
|
|
YTD
|
|
Interest and dividend
income
|
$ 28,258
|
$ 26,585
|
$ 28,503
|
$ 27,801
|
$
26,631
|
|
6.29
|
%
|
6.11
|
%
|
|
$ 54,843
|
$ 56,939
|
|
(3.68)
|
%
|
Interest
expense
|
|
3,652
|
3,731
|
4,262
|
4,594
|
4,831
|
|
(2.12)
|
|
(24.40)
|
|
|
7,383
|
10,184
|
|
(27.50)
|
|
|
Net interest
income
|
24,606
|
22,854
|
24,241
|
23,207
|
21,800
|
|
7.67
|
|
12.87
|
|
|
47,460
|
46,755
|
|
1.51
|
|
Provision for (recovery
of) credit losses
|
422
|
99
|
(1,299)
|
1,085
|
(4,215)
|
|
NM
|
|
(110.01)
|
|
|
521
|
(5,587)
|
|
(109.33)
|
|
|
Net interest income
after provision for (recovery of) credit losses
|
24,184
|
22,755
|
25,540
|
22,122
|
26,015
|
|
6.28
|
|
(7.04)
|
|
|
46,939
|
52,342
|
|
(10.32)
|
|
Account maintenance and
deposit service fees
|
1,442
|
1,351
|
1,420
|
1,509
|
1,586
|
|
6.74
|
|
(9.08)
|
|
|
2,793
|
3,250
|
|
(14.06)
|
|
Income from bank-owned
life insurance
|
378
|
375
|
535
|
387
|
379
|
|
0.80
|
|
(0.26)
|
|
|
753
|
765
|
|
(1.57)
|
|
Gain on debt
extinguishment
|
-
|
-
|
573
|
-
|
-
|
|
-
|
|
-
|
|
|
-
|
-
|
|
-
|
|
Gain (loss) on sale of
mortgage loans
|
593
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
|
593
|
-
|
|
-
|
|
Other
|
|
217
|
364
|
359
|
455
|
453
|
|
(40.38)
|
|
(52.10)
|
|
|
581
|
752
|
|
(22.74)
|
|
|
Noninterest
income
|
2,630
|
2,090
|
2,887
|
2,351
|
2,418
|
|
25.84
|
|
8.77
|
|
|
4,720
|
4,767
|
|
(0.99)
|
|
Employee compensation
and benefits
|
10,573
|
9,625
|
9,527
|
9,032
|
8,810
|
|
9.85
|
|
20.01
|
|
|
20,198
|
18,182
|
|
11.09
|
|
Occupancy and equipment
expenses
|
2,546
|
2,557
|
2,487
|
2,523
|
2,311
|
|
(0.43)
|
|
10.17
|
|
|
5,103
|
4,666
|
|
9.37
|
|
Amortization of core
deposit intangible
|
341
|
341
|
342
|
341
|
341
|
|
-
|
|
-
|
|
|
682
|
682
|
|
-
|
|
Virginia franchise tax
expense
|
814
|
813
|
733
|
732
|
759
|
|
0.12
|
|
7.25
|
|
|
1,627
|
1,434
|
|
13.46
|
|
Data processing
expense
|
1,293
|
1,197
|
934
|
1,003
|
1,016
|
|
8.02
|
|
27.26
|
|
|
2,783
|
1,815
|
|
53.33
|
|
Telecommunication and
communication expense
|
366
|
382
|
439
|
415
|
414
|
|
(4.19)
|
|
(11.59)
|
|
|
748
|
936
|
|
(20.09)
|
|
Net (gain) loss on
other real estate owned
|
-
|
(59)
|
70
|
-
|
77
|
|
100.00
|
|
(100.00)
|
|
|
(59)
|
17
|
|
NM
|
|
Net (gain) loss on
fixed assets
|
620
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
|
620
|
-
|
|
-
|
|
Professional
fees
|
|
827
|
1,387
|
1,238
|
874
|
1,091
|
|
(40.37)
|
|
(24.20)
|
|
|
1,921
|
2,225
|
|
(13.66)
|
|
Other
expenses
|
|
3,050
|
2,744
|
2,722
|
1,640
|
2,376
|
|
11.15
|
|
28.37
|
|
|
5,794
|
5,261
|
|
10.13
|
|
|
Noninterest
expense
|
20,430
|
18,987
|
18,492
|
16,560
|
17,195
|
|
7.60
|
|
18.81
|
|
|
39,417
|
35,218
|
|
11.92
|
|
Income from continuing
operations before income taxes
|
6,384
|
5,858
|
9,935
|
7,913
|
11,238
|
|
8.98
|
|
(43.19)
|
|
|
12,242
|
21,891
|
|
(44.08)
|
|
Income tax
expense
|
1,375
|
1,265
|
2,284
|
1,702
|
2,434
|
|
8.70
|
|
(43.51)
|
|
|
2,640
|
4,735
|
|
(44.24)
|
|
|
Income from continuing
operations
|
5,009
|
4,593
|
7,651
|
6,211
|
8,804
|
|
9.06
|
|
(43.10)
|
|
|
9,602
|
17,156
|
|
(44.03)
|
|
Income (loss) from
discontinued operations before income taxes
|
-
|
-
|
-
|
(2,899)
|
1,878
|
|
-
|
|
(100.00)
|
|
|
-
|
3,193
|
|
(100.00)
|
|
Income tax expense
(benefit)
|
-
|
-
|
-
|
(627)
|
407
|
|
-
|
|
(100.00)
|
|
|
-
|
691
|
|
(100.00)
|
|
|
Income (loss) from
discontinued operations
|
-
|
-
|
-
|
(2,272)
|
1,471
|
|
-
|
|
(100.00)
|
|
|
-
|
2,502
|
|
(100.00)
|
|
|
Net
income
|
$
5,009
|
$
4,593
|
$
7,651
|
$
3,939
|
$
10,275
|
|
9.06
|
%
|
(51.25)
|
%
|
|
$
9,602
|
$ 19,658
|
|
(51.15)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See
Reconciliation of Non-GAAP financial
measures.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The company
defines "NM" as not meaningful for increases or decreases greater
than 300 percent.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Primis Financial
Corp.
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
As
Of:
|
|
Variance - 2Q 2022
vs.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan Portfolio
Composition
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
|
Loans secured by real
estate:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate
- owner occupied
|
$ 433,840
|
$ 406,285
|
$ 389,109
|
$ 421,940
|
$ 417,489
|
|
6.78
|
%
|
3.92
|
%
|
|
Commercial real estate
- non-owner occupied
|
600,436
|
615,682
|
590,523
|
631,423
|
563,114
|
|
(2.48)
|
|
6.63
|
|
|
Secured by
farmland
|
9,305
|
8,896
|
10,003
|
10,721
|
11,861
|
|
4.60
|
|
(21.55)
|
|
|
Construction and land
development
|
117,604
|
116,365
|
121,520
|
109,763
|
109,719
|
|
1.06
|
|
7.19
|
|
|
Residential 1-4
family
|
607,548
|
575,946
|
548,830
|
531,556
|
516,475
|
|
5.49
|
|
17.63
|
|
|
Multi-family
residential
|
144,406
|
152,266
|
164,071
|
153,310
|
130,221
|
|
(5.16)
|
|
10.89
|
|
|
Home equity lines of
credit
|
69,860
|
72,440
|
73,877
|
75,775
|
80,262
|
|
(3.56)
|
|
(12.96)
|
|
|
Total real estate
loans
|
1,982,999
|
1,947,880
|
1,897,933
|
1,934,488
|
1,829,141
|
|
1.80
|
|
8.41
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
loans
|
448,582
|
336,961
|
303,697
|
203,243
|
194,610
|
|
33.13
|
|
130.50
|
|
Paycheck Protection
Program loans
|
17,525
|
31,404
|
77,319
|
140,465
|
234,315
|
|
(44.20)
|
|
(92.52)
|
|
Consumer
loans
|
|
179,691
|
77,424
|
61,037
|
36,388
|
28,289
|
|
132.09
|
|
NM
|
|
|
Loans receivable, net
of deferred fees
|
$
2,628,797
|
$
2,393,669
|
$
2,339,986
|
$
2,314,584
|
$
2,286,355
|
|
9.82
|
%
|
14.98
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans by Risk
Grade:
|
|
|
|
|
|
|
|
|
|
|
Pass, not
graded
|
$
-
|
$
-
|
$
-
|
$
-
|
$
-
|
|
-
|
%
|
-
|
%
|
Pass Grade
1 - Highest Quality
|
609
|
786
|
641
|
789
|
1,054
|
|
(22.52)
|
|
(42.22)
|
|
Pass Grade
2 - Good Quality
|
129,571
|
8,734
|
103,496
|
153,834
|
247,664
|
|
NM
|
|
(47.68)
|
|
Pass Grade
3 - Satisfactory Quality
|
1,513,054
|
1,413,480
|
1,327,718
|
1,248,233
|
1,142,784
|
|
7.04
|
|
32.40
|
|
Pass Grade
4 - Pass
|
890,709
|
895,197
|
836,610
|
841,451
|
823,866
|
|
(0.50)
|
|
8.11
|
|
Pass Grade
5 - Special Mention
|
67,736
|
51,884
|
31,112
|
25,008
|
29,844
|
|
30.55
|
|
126.97
|
|
Grade 6 -
Substandard
|
27,118
|
23,588
|
40,409
|
45,269
|
39,613
|
|
14.97
|
|
(31.54)
|
|
Grade 7 -
Doubtful
|
-
|
-
|
-
|
-
|
1,530
|
|
-
|
|
(100.00)
|
|
Grade 8 -
Loss
|
|
-
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
Total loans
|
|
$
2,628,797
|
$
2,393,669
|
$
2,339,986
|
$
2,314,584
|
$
2,286,355
|
|
9.82
|
%
|
14.98
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
As Of or For Three
Months Ended:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset Quality
Information
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
|
|
|
|
Allowance for Credit
Losses:
|
|
|
|
|
|
|
|
Balance at beginning of
period
|
$ (29,379)
|
$ (29,105)
|
$ (30,386)
|
$ (31,265)
|
$ (34,893)
|
|
|
|
|
|
(Provision for) /
recovery of allowance for credit losses
|
(422)
|
(99)
|
1,299
|
(1,085)
|
4,215
|
|
|
|
|
|
Net
charge-offs
|
|
(408)
|
(175)
|
(18)
|
1,964
|
(587)
|
|
|
|
|
|
Ending
balance
|
|
$ (30,209)
|
$ (29,379)
|
$ (29,105)
|
$ (30,386)
|
$ (31,265)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reserve for Unfunded
Commitments:
|
|
|
|
|
|
|
|
Balance at beginning of
period
|
$
(1,237)
|
$
(977)
|
$
(1,129)
|
$
(1,599)
|
$
(1,450)
|
|
|
|
|
|
(Expense for) /
recovery of unfunded loan commitment reserve
|
168
|
(260)
|
152
|
470
|
(149)
|
|
|
|
|
|
Total Reserve for
Unfunded Commitments
|
$
(1,069)
|
$
(1,237)
|
$
(977)
|
$
(1,129)
|
$
(1,599)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
Of:
|
|
Variance - 2Q 2022
vs.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Performing
Assets:
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
|
Nonaccrual
loans
|
$ 19,635
|
$ 14,941
|
$ 15,029
|
$ 18,352
|
$ 14,604
|
|
31.42
|
%
|
34.45
|
%
|
Accruing loans
delinquent 90 days or more
|
1,512
|
1,817
|
283
|
-
|
-
|
|
(16.79)
|
|
-
|
|
Total non-performing
loans
|
21,147
|
16,758
|
15,312
|
18,352
|
14,604
|
|
26.19
|
|
44.80
|
|
Other real estate
owned
|
1,041
|
1,041
|
1,163
|
1,312
|
1,274
|
|
-
|
|
(18.29)
|
|
Total non-performing
assets
|
$ 22,188
|
$ 17,799
|
$ 16,475
|
$ 19,664
|
$ 15,878
|
|
24.66
|
|
39.74
|
|
SBA guaranteed portion
of non-performing loans
|
$
2,319
|
$
2,651
|
$
1,388
|
$
3,361
|
$
1,380
|
|
(12.52)
|
|
68.04
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Troubled debt
restructuring
|
$
2,695
|
$
3,103
|
$
3,401
|
$
3,710
|
$
2,766
|
|
(13.15)
|
|
(2.6)
|
|
Loans deferred under
COVID-19 modifications
|
$
-
|
$
-
|
$
-
|
$
6,985
|
$ 25,977
|
|
-
|
%
|
(100.00)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The company
defines "NM" as not meaningful for increases or decreases greater
than 300 percent.
|
|
|
|
|
|
|
|
|
|
Primis Financial
Corp.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands)
|
For Three Months
Ended:
|
|
Variance - 2Q 2021
vs.
|
|
|
For Six Months
Ended:
|
|
Variance
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balance
Sheet
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
1Q
2022
|
|
2Q
2021
|
|
|
2Q
2022
|
2Q
2021
|
|
YTD
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for
sale
|
$
6,936
|
$
-
|
$
-
|
$
-
|
$
-
|
|
-
|
%
|
-
|
%
|
|
$
3,487
|
$
-
|
|
-
|
%
|
Loans, net of deferred
fees
|
2,509,978
|
2,360,782
|
2,317,260
|
2,291,945
|
2,327,162
|
|
6.32
|
|
7.86
|
|
|
2,435,792
|
2,381,635
|
|
2.27
|
|
Investment
securities
|
287,722
|
302,431
|
258,265
|
229,906
|
215,713
|
|
(4.86)
|
|
33.38
|
|
|
295,036
|
204,600
|
|
44.20
|
|
Other earning
assets
|
158,817
|
466,952
|
632,841
|
689,084
|
577,939
|
|
(65.99)
|
|
(72.52)
|
|
|
312,033
|
459,368
|
|
(32.07)
|
|
Total earning
assets
|
2,963,453
|
3,130,165
|
3,208,366
|
3,210,935
|
3,120,814
|
|
(5.33)
|
|
(5.04)
|
|
|
3,046,348
|
3,045,603
|
|
0.02
|
|
Investment in STM -
Held for sale
|
—
|
—
|
9,941
|
12,621
|
12,728
|
|
-
|
|
(100.00)
|
|
|
-
|
12,679
|
|
(100.00)
|
|
Other assets
|
|
228,893
|
226,320
|
229,718
|
230,116
|
226,836
|
|
1.14
|
|
0.91
|
|
|
227,614
|
227,468
|
|
0.06
|
|
Total
assets
|
|
$
3,192,346
|
$
3,356,485
|
$
3,448,025
|
$
3,453,672
|
$
3,360,378
|
|
(4.89)
|
%
|
(5.00)
|
%
|
|
$
3,273,962
|
$
3,285,750
|
|
(0.36)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
stockholders' equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Demand
deposits
|
$ 596,714
|
$ 545,530
|
$ 547,504
|
$ 547,500
|
$ 516,877
|
|
9.38
|
%
|
15.45
|
%
|
|
$ 571,264
|
$ 497,452
|
|
14.84
|
%
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW and other demand
accounts
|
695,481
|
817,430
|
878,652
|
920,203
|
867,499
|
|
(14.92)
|
|
(19.83)
|
|
|
756,118
|
820,892
|
|
(7.89)
|
|
Money market
accounts
|
810,781
|
809,460
|
784,942
|
744,280
|
719,925
|
|
0.16
|
|
12.62
|
|
|
810,124
|
686,867
|
|
17.94
|
|
Savings
accounts
|
222,274
|
224,716
|
219,823
|
213,859
|
206,507
|
|
(1.09)
|
|
7.64
|
|
|
223,489
|
199,419
|
|
12.07
|
|
Time
deposits
|
|
329,198
|
350,368
|
368,603
|
380,233
|
409,247
|
|
(6.04)
|
|
(19.56)
|
|
|
339,724
|
437,440
|
|
(22.34)
|
|
Total
Deposits
|
2,654,448
|
2,747,504
|
2,799,524
|
2,806,075
|
2,720,055
|
|
(3.39)
|
|
(2.41)
|
|
|
2,700,719
|
2,642,070
|
|
2.22
|
|
Borrowings
|
|
107,784
|
171,293
|
209,215
|
208,689
|
210,505
|
|
(37.08)
|
|
(48.80)
|
|
|
139,363
|
214,444
|
|
(35.01)
|
|
Total
Funding
|
|
2,762,232
|
2,918,797
|
3,008,739
|
3,014,764
|
2,930,560
|
|
(5.36)
|
|
(5.74)
|
|
|
2,840,082
|
2,856,514
|
|
(0.58)
|
|
Other
Liabilities
|
|
22,095
|
23,057
|
27,407
|
28,699
|
29,013
|
|
(4.17)
|
|
(23.84)
|
|
|
22,573
|
31,249
|
|
(27.76)
|
|
Stockholders'
equity
|
408,019
|
414,631
|
411,879
|
410,209
|
400,805
|
|
(1.59)
|
|
1.80
|
|
|
411,307
|
397,987
|
|
3.35
|
|
Total liabilities
and stockholders' equity
|
$
3,192,346
|
$
3,356,485
|
$
3,448,025
|
$
3,453,672
|
$
3,360,378
|
|
(4.89)
|
%
|
(5.00)
|
%
|
|
$
3,273,962
|
$
3,285,750
|
|
(0.36)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo: Average PPP
loans
|
$ 23,950
|
$ 51,491
|
$ 102,078
|
$ 191,504
|
$ 294,019
|
|
(53.49)
|
%
|
(91.85)
|
%
|
|
$ 37,644
|
$ 313,474
|
|
(87.99)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for
sale
|
$
93
|
$
-
|
$
-
|
$
-
|
$
-
|
|
-
|
%
|
-
|
%
|
|
$
93
|
$
-
|
|
-
|
%
|
Loans
|
|
|
26,272
|
24,749
|
26,701
|
26,181
|
25,182
|
|
6.15
|
|
4.33
|
|
|
51,021
|
54,139
|
|
(5.76)
|
|
Investment
securities
|
1,445
|
1,430
|
1,242
|
1,083
|
1,073
|
|
1.05
|
|
34.67
|
|
|
2,874
|
2,115
|
|
35.89
|
|
Other earning
assets
|
448
|
406
|
560
|
537
|
376
|
|
10.34
|
|
19.15
|
|
|
854
|
685
|
|
24.67
|
|
Total
Earning Assets
|
28,258
|
26,585
|
28,503
|
27,801
|
26,631
|
|
6.29
|
|
6.11
|
|
|
54,842
|
56,939
|
|
(3.68)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest bearing
DDA
|
-
|
-
|
-
|
-
|
-
|
|
-
|
|
-
|
|
|
-
|
-
|
|
-
|
|
NOW and other
interest-bearing demand accounts
|
556
|
666
|
832
|
1,062
|
1,022
|
|
(16.52)
|
|
(45.60)
|
|
|
1,222
|
2,116
|
|
(42.25)
|
|
Money market
accounts
|
938
|
859
|
952
|
1,056
|
1,153
|
|
9.20
|
|
(18.65)
|
|
|
1,797
|
2,238
|
|
(19.71)
|
|
Savings
accounts
|
142
|
149
|
154
|
165
|
157
|
|
(4.70)
|
|
(9.55)
|
|
|
291
|
299
|
|
(2.68)
|
|
Time
deposits
|
|
674
|
700
|
809
|
877
|
1,057
|
|
(3.71)
|
|
(36.23)
|
|
|
1,374
|
2,552
|
|
(46.16)
|
|
Total Deposit
Costs
|
2,310
|
2,374
|
2,747
|
3,160
|
3,389
|
|
(2.70)
|
|
(31.84)
|
|
|
4,684
|
7,205
|
|
(34.99)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowings
|
|
1,342
|
1,357
|
1,515
|
1,434
|
1,442
|
|
(1.11)
|
|
(6.93)
|
|
|
2,699
|
2,979
|
|
(9.40)
|
|
Total Funding
Costs
|
3,652
|
3,731
|
4,262
|
4,594
|
4,831
|
|
(2.12)
|
|
(24.40)
|
|
|
7,383
|
10,184
|
|
(27.50)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Income
|
$ 24,606
|
$ 22,854
|
$ 24,241
|
$ 23,207
|
$ 21,800
|
|
7.67
|
%
|
12.87
|
%
|
|
$ 47,459
|
$ 46,755
|
|
1.51
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo: SBA PPP
loan interest and fee income
|
$
59
|
$
435
|
$
2,503
|
$
3,146
|
$
2,559
|
|
(86.44)
|
%
|
(97.69)
|
%
|
|
$
494
|
$
8,337
|
|
(94.07)
|
%
|
Memo: SBA PPP
loan funding costs
|
$
21
|
$
44
|
$
90
|
$
169
|
$
257
|
|
(52.27)
|
%
|
(91.83)
|
%
|
|
$
65
|
$
544
|
|
(88.05)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Margin
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for
sale
|
5.38 %
|
0.00 %
|
0.00 %
|
0.00 %
|
0.00 %
|
|
538
|
bps
|
538
|
bps
|
|
5.38 %
|
0.00 %
|
|
538
|
bps
|
Loans
|
|
|
4.20 %
|
4.25 %
|
4.57 %
|
4.53 %
|
4.34 %
|
|
(5)
|
|
(14)
|
|
|
4.22 %
|
4.58 %
|
|
(36)
|
|
Investments
|
|
2.01 %
|
1.92 %
|
1.91 %
|
1.87 %
|
2.00 %
|
|
9
|
|
1
|
|
|
1.96 %
|
2.08 %
|
|
(12)
|
|
Other Earning
Assets
|
1.13 %
|
0.35 %
|
0.35 %
|
0.31 %
|
0.26 %
|
|
78
|
|
87
|
|
|
0.55 %
|
0.30 %
|
|
25
|
|
Total Earning
Assets
|
3.82 %
|
3.44 %
|
3.52 %
|
3.44 %
|
3.42 %
|
|
38
|
|
40
|
|
|
3.63 %
|
3.77 %
|
|
(14)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW
|
|
|
0.32 %
|
0.33 %
|
0.38 %
|
0.46 %
|
0.47 %
|
|
(1)
|
|
(15)
|
|
|
0.33 %
|
0.52 %
|
|
(19)
|
|
MMDA
|
|
0.46 %
|
0.43 %
|
0.48 %
|
0.56 %
|
0.64 %
|
|
3
|
|
(18)
|
|
|
0.45 %
|
0.66 %
|
|
(21)
|
|
Savings
|
|
0.26 %
|
0.27 %
|
0.28 %
|
0.31 %
|
0.30 %
|
|
(1)
|
|
(4)
|
|
|
0.26 %
|
0.30 %
|
|
(4)
|
|
CDs
|
|
|
0.82 %
|
0.81 %
|
0.87 %
|
0.92 %
|
1.04 %
|
|
1
|
|
(22)
|
|
|
0.82 %
|
1.18 %
|
|
(36)
|
|
Cost of
Interest Bearing Deposits
|
0.45 %
|
0.44 %
|
0.48 %
|
0.56 %
|
0.62 %
|
|
1
|
|
(17)
|
|
|
0.44 %
|
0.68 %
|
|
(24)
|
|
Cost of
Deposits
|
0.35 %
|
0.35 %
|
0.39 %
|
0.45 %
|
0.50 %
|
|
-
|
|
(15)
|
|
|
0.35 %
|
0.55 %
|
|
(20)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
|
Other
Funding
|
|
4.99 %
|
3.22 %
|
2.87 %
|
2.73 %
|
2.75 %
|
|
177
|
|
224
|
|
|
3.91 %
|
2.80 %
|
|
111
|
|
Total Cost of
Funds
|
0.53 %
|
0.52 %
|
0.56 %
|
0.57 %
|
0.66 %
|
|
1
|
|
(13)
|
|
|
0.52 %
|
0.72 %
|
|
(20)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Margin
|
3.33 %
|
2.96 %
|
3.00 %
|
2.87 %
|
2.80 %
|
|
37
|
|
53
|
|
|
3.14 %
|
3.10 %
|
|
4
|
|
Net Interest
Spread
|
3.15 %
|
2.81 %
|
2.96 %
|
2.83 %
|
2.76 %
|
|
34
|
|
39
|
|
|
2.97 %
|
3.05 %
|
|
(8)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo: Excluding
SBA PPP loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
|
4.23 %
|
4.27 %
|
4.33 %
|
4.35 %
|
4.46 %
|
|
(4)
|
bps
|
(23)
|
bps
|
|
4.25 %
|
4.47 %
|
|
(22)
|
bps
|
|
Total Earning
Assets
|
3.85 %
|
3.44 %
|
3.32 %
|
3.24 %
|
3.42 %
|
|
40
|
|
43
|
|
|
3.64 %
|
3.59 %
|
|
6
|
|
|
Net Interest
Margin*
|
3.35 %
|
2.96 %
|
2.79 %
|
2.66 %
|
2.77 %
|
|
39
|
|
59
|
|
|
3.15 %
|
2.88 %
|
|
28
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*Net interest margin
excluding the effect of SBA PPP loans assumes a funding cost of
35bps on average PPP balances in all applicable
periods
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Primis Financial
Corp.
|
|
|
|
|
|
|
|
|
|
(Dollars in
thousands, except per share data)
|
For Three Months
Ended:
|
|
For Six Months
Ended:
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Non-GAAP items:
|
2Q
2022
|
1Q
2022
|
4Q
2021
|
3Q
2021
|
2Q
2021
|
|
2Q
2022
|
2Q
2021
|
Net income from
continuing operations
|
$
5,009
|
$
4,593
|
$
7,651
|
$
6,211
|
$
8,804
|
|
$ 9,602
|
|
$
17,156
|
Non-GAAP adjustments to
Net Income from continuing operations:
|
|
|
|
|
|
|
|
|
|
|
Management Restructure
/ Recruiting
|
-
|
-
|
-
|
-
|
-
|
|
-
|
|
200
|
|
Branch Closures/
Consolidations
|
901
|
-
|
-
|
-
|
-
|
|
901
|
|
-
|
|
Merger
expenses
|
401
|
115
|
-
|
-
|
-
|
|
516
|
|
-
|
|
(Gain) on debt
extinguishment
|
-
|
-
|
(573)
|
-
|
-
|
|
-
|
|
-
|
|
Income tax
effect
|
(281)
|
(25)
|
124
|
-
|
-
|
|
(306)
|
|
(43)
|
|
Net income from
continuing operations adjusted for nonrecurring income and
expenses
|
$
6,030
|
$
4,683
|
$
7,202
|
$
6,211
|
$
8,804
|
|
$
10,713
|
|
$
17,313
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income from
continuing operations
|
$
5,009
|
$
4,593
|
$
7,651
|
$
6,211
|
$
8,804
|
|
$ 9,602
|
|
$
17,156
|
|
Income tax
expense
|
1,375
|
1,265
|
2,284
|
1,702
|
2,434
|
|
2,640
|
|
4,735
|
|
Provision for credit
losses (incl. unfunded commitment expense)
|
254
|
359
|
(1,451)
|
615
|
(4,066)
|
|
353
|
|
(4,727)
|
Pre-tax pre-provision
earnings from continuing operations
|
$
6,638
|
$
6,217
|
$
8,484
|
$
8,528
|
$
7,172
|
|
$
12,595
|
|
$
17,164
|
|
Effect of adjustment
for nonrecurring income and expenses
|
1,302
|
115
|
(573)
|
-
|
-
|
|
1,417
|
|
200
|
Pre-tax pre-provision
operating earnings from continuing operations
|
$
7,940
|
$
6,332
|
$
7,911
|
$
8,528
|
$
7,172
|
|
$
14,012
|
|
$
17,364
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets from continuing operations
|
0.63 %
|
0.55 %
|
0.88 %
|
0.72 %
|
1.05 %
|
|
0.59 %
|
|
1.06 %
|
|
Effect of adjustment
for nonrecurring income and expenses
|
0.13 %
|
0.01 %
|
(0.05 %)
|
0.00 %
|
0.00 %
|
|
0.07 %
|
|
0.01 %
|
Operating return on
average assets from continuing operations
|
0.76 %
|
0.57 %
|
0.83 %
|
0.72 %
|
1.05 %
|
|
0.66 %
|
|
1.07 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets from continuing operations
|
0.63 %
|
0.55 %
|
0.88 %
|
0.72 %
|
1.05 %
|
|
0.59 %
|
|
1.06 %
|
|
Effect of tax
expense
|
0.17 %
|
0.15 %
|
0.26 %
|
0.20 %
|
0.29 %
|
|
0.16 %
|
|
0.29 %
|
|
Effect of provision for
credit losses
|
0.03 %
|
0.04 %
|
(0.17 %)
|
0.07 %
|
(0.49 %)
|
|
0.02 %
|
|
(0.29 %)
|
Pre-tax pre-provision
return on average assets from continuing operations
|
0.83 %
|
0.75 %
|
0.98 %
|
0.98 %
|
0.86 %
|
|
0.78 %
|
|
1.06 %
|
|
Effect of adjustment
for nonrecurring income and expenses
|
0.16 %
|
0.01 %
|
(0.07 %)
|
0.00 %
|
0.00 %
|
|
0.09 %
|
|
0.01 %
|
Pre-tax pre-provision
operating return on average assets from continuing
operations
|
1.00 %
|
0.77 %
|
0.91 %
|
0.98 %
|
0.86 %
|
|
0.86 %
|
|
1.07 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
equity from continuing operations
|
4.92 %
|
4.49 %
|
7.37 %
|
6.01 %
|
8.81 %
|
|
4.71 %
|
|
8.69 %
|
|
Effect of adjustment
for nonrecurring income and expenses
|
1.00 %
|
0.09 %
|
(0.43 %)
|
0.00 %
|
0.00 %
|
|
0.54 %
|
|
0.08 %
|
Operating return on
average equity from continuing operations
|
5.93 %
|
4.58 %
|
6.94 %
|
6.01 %
|
8.81 %
|
|
5.25 %
|
|
8.77 %
|
|
Effect of goodwill and
other intangible assets
|
2.15 %
|
1.58 %
|
2.42 %
|
2.12 %
|
3.22 %
|
|
1.84 %
|
|
3.24 %
|
Operating return on
average tangible equity from continuing operations
|
8.08 %
|
6.16 %
|
9.36 %
|
8.12 %
|
12.03 %
|
|
7.09 %
|
|
12.02 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio from
continuing operations
|
75.01 %
|
76.11 %
|
68.16 %
|
64.80 %
|
71.00 %
|
|
75.54 %
|
|
68.36 %
|
|
Effect of adjustment
for nonrecurring income and expenses
|
(4.78 %)
|
(0.46 %)
|
1.47 %
|
0.00 %
|
0.00 %
|
|
(2.72 %)
|
|
(0.39 %)
|
Operating efficiency
ratio from continuing operations
|
70.23 %
|
75.65 %
|
69.63 %
|
64.80 %
|
71.00 %
|
|
72.82 %
|
|
67.97 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share from
continuing operations - Basic
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.25
|
$
0.36
|
|
$ 0.39
|
|
$ 0.71
|
|
Effect of adjustment
for nonrecurring income and expenses
|
0.05
|
0.00
|
(0.02)
|
0.00
|
-
|
|
0.05
|
|
(0.00)
|
Operating earnings per
share from continuing operations - Basic
|
$
0.25
|
$
0.19
|
$
0.29
|
$
0.25
|
$
0.36
|
|
$ 0.44
|
|
$ 0.71
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share from
continuing operations - Diluted
|
$
0.20
|
$
0.19
|
$
0.31
|
$
0.25
|
$
0.36
|
|
$ 0.39
|
|
$ 0.70
|
|
Effect of adjustment
for nonrecurring income and expenses
|
0.04
|
(0.00)
|
(0.02)
|
0.00
|
-
|
|
0.04
|
|
0.00
|
Operating earnings per
share from continuing operations - Diluted
|
$
0.24
|
$
0.19
|
$
0.29
|
$
0.25
|
$
0.36
|
|
$ 0.43
|
|
$ 0.70
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per
share
|
$
16.17
|
$
16.42
|
$
16.76
|
$
16.63
|
$
16.59
|
|
$ 16.17
|
|
$ 16.59
|
|
Effect of goodwill and
other intangible assets
|
(4.40)
|
(4.31)
|
(4.34)
|
(4.35)
|
(4.37)
|
|
(4.40)
|
|
(4.36)
|
Tangible book value per
share
|
$
11.77
|
$
12.11
|
$
12.43
|
$
12.28
|
$
12.22
|
|
$ 11.77
|
|
$ 12.22
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity
|
$ 398,637
|
$ 404,195
|
$ 411,881
|
$ 408,629
|
$ 406,940
|
|
$ 398,637
|
|
$ 406,940
|
|
Less goodwill and other
intangible assets
|
(108,524)
|
(106,075)
|
(106,416)
|
(106,757)
|
(107,098)
|
|
(108,524)
|
|
(107,098)
|
Tangible common
equity
|
$ 290,113
|
$ 298,120
|
$ 305,465
|
$ 301,872
|
$ 299,842
|
|
$ 290,113
|
|
$ 299,842
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to
assets
|
|
12.32 %
|
12.55 %
|
12.10 %
|
11.84 %
|
11.99 %
|
|
12.32 %
|
|
11.99 %
|
|
Effect of goodwill and
other intangible assets
|
(3.04 %)
|
(2.98 %)
|
(2.84 %)
|
(2.81 %)
|
(2.87 %)
|
|
(3.04 %)
|
|
(2.87 %)
|
Tangible common equity
to tangible assets
|
9.27 %
|
9.57 %
|
9.26 %
|
9.02 %
|
9.12 %
|
|
9.27 %
|
|
9.12 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin
|
3.33 %
|
2.96 %
|
3.00 %
|
2.87 %
|
2.80 %
|
|
3.14 %
|
|
3.10 %
|
|
Effect of adjustment
for PPP associated balances*
|
0.02 %
|
(0.00 %)
|
(0.21 %)
|
(0.21 %)
|
(0.03 %)
|
|
0.01 %
|
|
(0.22 %)
|
Net interest margin
excluding PPP
|
3.35 %
|
2.96 %
|
2.79 %
|
2.66 %
|
2.77 %
|
|
3.15 %
|
|
2.88 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
*Net interest margin
excluding the effect of PPP loans assumes a funding cost of 35bps
on average PPP balances in all applicable periods
|
|
|
|
|
|
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SOURCE Primis Financial Corp.