RICHMOND, Ind., Jan. 28, 2021 /PRNewswire/ -- Richmond
Mutual Bancorporation, Inc., a Maryland corporation (the "Company") (NASDAQ:
RMBI), parent company of First Bank Richmond (the "Bank"), today
announced net income of $2.5 million,
or $0.21 diluted earnings per share,
for the fourth quarter of 2020, compared to net income of
$2.5 million, or $0.21 diluted earnings per share, for the third
quarter of 2020, and a net loss of $12.5
million, or $(1.01) diluted
earnings per share, for the fourth quarter of 2019. Net
income was $10.0 million, or
$0.82 diluted earnings per share for
the year ended December 31, 2020,
compared to a net loss of $14.1
million for the year ended December
31, 2019. There is no comparison of earnings per share
to the full year of 2019, as the Company's reorganization from the
mutual to stock form of ownership and related stock offering was
not completed until July 1, 2019.
President's Comments
Garry Kleer, Chairman, President
and Chief Executive Officer, commented, "We generated a solid
financial performance in the fourth quarter and for the full year
2020 despite the challenges faced by the market conditions and the
pandemic. Our asset quality was strong heading into the
pandemic and remains so today. With our current capital
levels, we believe that we are well positioned for success during
these uncertain economic times."
Kleer added, "I am proud of how we have come together to support
our customers and communities as they have faced the economic
uncertainties brought on by COVID-19. I would like to thank
our employees who have remained resilient and have shown our
customers how our company is making a difference every day."
Our Response to COVID-19 Pandemic
Loan Programs. Through the conclusion of the
U.S. Small Business Administration's ("SBA") Paycheck Protection
Program ("PPP") on August 8, 2020, we
had funded 482 PPP loans totaling $64.9
million. As of December 31,
2020, SBA had approved 200 loan forgiveness applications
totaling $21.6 million with an
additional 63 applications totaling $18.4
million pending approval. We continue to process
applications for the PPP loan forgiveness for loans from the first
round of the PPP. On December 27,
2020, the Consolidated Appropriations Act, 2021
("CAA") was signed into law. This legislation includes
another round of Covid-19 stimulus funding, including approximately
$285 billion in funding to reopen the
PPP. We expect to begin processing applications for the
second round of PPP loans beginning early in the first quarter of
2021.
Loan Modifications. We offer payment and
financial relief programs for borrowers impacted by COVID-19,
primarily through loan and lease payment deferments of principal
and interest up to 90 days, although requests for payment relief
during the fourth quarter of 2020 declined significantly from the
second and third prior quarters of 2020. We continue to
monitor our loan portfolio and strive to work with our customers
and communities. Deferred loans are re-evaluated at the end
of the initial deferral period and will either return to the
original loan terms or be reassessed at that time to determine if a
further modification should be granted and if a downgrade in risk
rating is appropriate. At December 31,
2020, the number of loans and leases granted payment
deferrals was 48, representing $54.7
million in loans and leases outstanding, compared to 70
loans and leases at September 30,
2020 totaling $35.3 million,
and 752 loans and leases at June 30,
2020 totaling $175.1 million.
The increase in the outstanding deferred loan amount was primarily
attributable to four first time deferrals of large loans totaling
$11.7 million in the fourth
quarter. Of the loans currently deferred at December 31, 2020, ten loans, representing
$11.9 million in loans and leases
outstanding, were new deferrals and 38 loans, representing
$42.8 million in loans and leases
outstanding, were repeat deferrals.
The following table summarizes information relating to loan
deferments at quarters ended December 31,
2020 and September 30,
2020:
|
|
December 31,
2020
|
|
September 30,
2020
|
($ in
thousands)
|
|
Number of
Loans
|
|
Balance
|
|
Number of
Loans
|
|
Balance
|
Commercial
mortgage
|
|
18
|
|
$
|
44,352
|
|
24
|
|
$
|
27,767
|
Commercial and
industrial
|
|
1
|
|
770
|
|
2
|
|
788
|
Construction and
development
|
|
–
|
|
–
|
|
2
|
|
226
|
Multi-Family
|
|
4
|
|
8,868
|
|
2
|
|
2,105
|
Residential
mortgage
|
|
3
|
|
163
|
|
16
|
|
3,347
|
Home
equity
|
|
–
|
|
–
|
|
1
|
|
14
|
Direct financing
leases
|
|
20
|
|
494
|
|
23
|
|
1,063
|
Consumer
|
|
2
|
|
18
|
|
–
|
|
–
|
Total
Loans
|
|
48
|
|
$
|
54,665
|
|
70
|
|
$
|
35,310
|
The following table summarizes information relating to
hospitality loan deferments (which are included in the table above)
at quarter ended December 31, 2020
and September 30, 2020:
|
|
December 31,
2020
|
|
September 30,
2020
|
($ in
thousands)
|
|
Number of
Loans
|
|
Balance
|
Percent of
total loans in
category
|
|
Number of
Loans
|
|
Balance
|
Percent of
total loans in
category
|
Restaurants
|
|
1
|
|
$
|
375
|
6.78
|
%
|
|
–
|
|
$
|
–
|
0.00
|
%
|
Hotels
|
|
12
|
|
37,056
|
56.17
|
%
|
|
13
|
|
24,384
|
38.05
|
%
|
Total
Loans
|
|
13
|
|
$
|
37,431
|
52.35
|
%
|
|
13
|
|
$
|
24,384
|
34.83
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Branch Operations and Support Personnel.
Many of our employees continue to work remotely or have flexible
work schedules, and we have established protective measures within
our offices to help ensure the safety of those employees who must
work on-site. We have also taken steps to resume more normal
branch activities with specific guidelines in place to
protect the safety of our clients and our personnel. We
continuously monitor and conform our practices based on updates
from the Center for Disease Control, World Health Organization,
Financial Regulatory Agencies, and local and state health
departments.
Capital Strength. At December 31, 2020, the Company's stockholders'
equity totaled $192.7 million, a
$4.9 million or 2.6% increase from
year-end 2019. The Company's equity to asset ratio was 17.85% at
December 31, 2020. At December 31, 2020, the Bank's Tier I capital to
total assets was 14.28% and the Bank's capital was well in excess
of all regulatory requirements.
Fourth Quarter Performance
Highlights:
- Assets totaled $1.1 billion at
December 31, 2020 and September 30, 2020, compared to $986.0 million at December
31, 2019.
- Loans and leases, net of allowance, totaled $731.7 million at December
31, 2020, compared to $750.6
million at September 30, 2020
and $687.3 million at December 31, 2019.
- Nonperforming loans and leases totaled $4.8 million, or 0.65% of total loans and leases,
at December 31, 2020, compared to
$3.4 million, or 0.44% of total loans
and leases, at September 30, 2020 and
$3.8 million, or 0.55% of total loans
and leases, at December 31,
2019.
- The allowance for loan and lease losses totaled $10.6 million, or 1.43% of total loans and leases
outstanding, at December 31, 2020,
compared to $9.8 million, or 1.29% of
total loans and leases outstanding at September 30, 2020 and $7.1 million, or 1.02% of total loans and leases
outstanding, at December 31,
2019.
- The provision for loan and leases losses totaled $940,000 in the current quarter and $1.3 million in the preceding quarter of 2020,
compared to $885,000 in the quarter
ended December 31, 2019.
- Deposits totaled $693.0 million
at December 31, 2020, compared to
$663.1 million at September 30, 2020 and $617.2 million at December
31, 2019. At December 31,
2020, noninterest bearing deposits totaled $98.7 million or 14.2% of total deposits,
compared to $88.7 million or 13.4% of
total deposits at September 30, 2020
and $60.3 million or 9.8% of total
deposits at December 31, 2019.
- The Company repurchased 781,951 shares at an average price of
$11.61 per share during the year
ended December 31, 2020. Subsequent
to year end through January 28, 2020,
the Company purchased an additional 40,806 shares, leaving 518,543
shares available for future repurchase.
- The Bank remains a "well-capitalized" institution for
regulatory capital purposes at December 31,
2020.
- Annualized net interest margin was 3.38% for the current
quarter, compared to 3.18% in the preceding quarter and 3.33% in
the fourth quarter a year ago.
Balance Sheet Summary
Total assets increased $93.4
million, or 9.5%, to $1.1
billion at December 31, 2020,
from $986.0 million at December 31, 2019. The increase was primarily a
result of a $44.4 million, or 6.5%,
increase in loans and leases, net of allowance, to $731.7 million at December
31, 2020 from $687.3 million
at December 31, 2019, and a
$39.0 million, or 17.9%, increase in
investment securities to $256.7
million at December 31, 2020,
compared to $217.7 million at
December 31, 2019. The increase
in loans and leases was attributable to PPP loans originated during
the second and third quarters of 2020, which totaled $43.3 million at December
31, 2020. The increase in investment securities was
primarily the result of using our excess liquidity to purchase
securities during the year. The balance of the increase in assets
was attributable to an $8.2 million,
or 20.1%, increase in cash and cash equivalents to $48.8 million at December
31, 2020, from $40.6 million
at December 31, 2019.
Nonperforming loans and leases, consisting of nonaccrual loans
and leases and accruing loans and leases more than 90 days past
due, totaled $4.8 million or 0.65% of
total loans and leases at December 31,
2020, compared to $3.4 million
or 0.44% of total loans at September 30,
2020 and $3.8 million or 0.55%
of total loans and leases at December
31, 2019. The increase in nonperforming loans and
leases was primarily the result of a $1.1
million commercial real estate participation loan more than
90 days past due and still accruing that is working towards
resolution by the lead bank. Accruing loans and leases past
due more than 90 days at December 31,
2020 totaled $4.0 million,
compared to $2.4 million at
September 30, 2020 and $2.6 million at December
31, 2019.
The allowance for loan and lease losses increased $777,000, or 7.9%, to $10.6 million at December
31, 2020 from $9.8 million at
September 30, 2020, and increased
$3.5 million, or 49.3%, from
$7.1 million at December 31, 2019. At December 31, 2020, the allowance for loan and
lease losses totaled 1.43% of total loans and leases outstanding
compared to 1.29% at September 30,
2020 and 1.02% at December 31,
2019. The allowance for loan and lease losses to total loans
at December 31, 2020 and September 30, 2020 increased eight basis points
and 12 basis points, respectively, if PPP loans, which totaled
$43.3 million and $64.9 million at December
31, 2020 and September 30,
2020, respectively, and are 100% guaranteed by the SBA, are
excluded from the calculation. Net charge-offs during 2020
were $273,000 or 0.04% of average
loans and leases outstanding, compared to net charge-offs of
$1.1 million, or 0.16% of average
loans and leases outstanding during 2019.
Management regularly analyzes conditions within its geographic
markets and evaluates its loan and lease portfolio. The Company
evaluated its exposure to potential loan and lease losses as of
December 31, 2020, which evaluation
included consideration of potential credit losses due to
the deteriorating economic conditions driven by the impact
of the COVID-19 pandemic. The full impact of the
pandemic on the Company's deposit and loan customers is still not
fully known at this time. The Company has increased its qualitative
factors when determining the adequacy of its allowance for loan and
lease losses. Credit metrics are being reviewed and stress
testing is being performed on the loan portfolio. Potentially
higher risk segments of the portfolio, such as hotels and
restaurants, are being closely monitored as are loan payment
deferrals.
Total deposits increased $30.0
million, or 4.5%, to $693.0
million at December 31, 2020,
compared to $663.1 million at
September 30, 2020 and increased
$75.8 million, or 12.3%, from
$617.2 million at December 31, 2019. The increase in deposits from
the linked quarter and from December 31,
2019 primarily was due to overall changes in spending and
savings habits by businesses and consumers due to the COVID-19
pandemic. Brokered deposits decreased $9.1 million to $23.3
million, or 3.4% of total deposits, at December 31, 2020 compared to $32.4 million, or 4.9% of total deposits, at
September 30, 2020 and decreased
$33.4 million from $56.7 million, or 9.2% of total deposits, at
December 31, 2019. The decrease
in brokered deposits was due to increases in retail deposits which
reduced the need for brokered deposits. Demand deposit and
savings accounts increased $114.7
million to $450.6 million at
December 31, 2020, compared to
$335.8 million at December 31, 2019. At December 31, 2020, noninterest bearing deposits
totaled $98.7 million or 14.2% of
total deposits, compared to $88.7
million or 13.4% of total deposits at September 30, 2020 and $60.3 million or 9.8% of total deposits at
December 31, 2019.
Stockholders' equity totaled $192.7
million at December 31, 2020,
an increase of $1.0 million or 0.5%
from September 30, 2020 and an
increase of $4.9 million or 2.6% from
December 31, 2019. The increase in
stockholders' equity from the linked quarter primarily was the
result of net income earned of $2.5
million in the fourth quarter, an improvement in accumulated
comprehensive income of $608,000, an
increase of $811,000 due to awards
made pursuant to the Company's stock-based compensation plan, and a
$167,000 increase due to ESOP shares
earned. This was partially offset by the repurchase of
$2.5 million of Company common stock
and the payment of $611,000 in
dividends to Company stockholders during the current quarter.
The increase in stockholders' equity from year end 2019 primarily
was the result of net income of $10.0
million in 2020, a $4.4
million improvement in accumulated other comprehensive
income, $648,000 attributable to ESOP
shares earned, and $811,000 due to
awards made pursuant to the Company's stock-based compensation
plan. This was partially offset by cash dividends of $1.8 million paid to shareholders and
$9.1 million in stock
repurchases.
During the quarter ended December 31,
2020, the Company repurchased a total of 199,872 shares of
Company common stock at an average price of $11.37 per share pursuant to the Company's
original stock repurchase program announced on July 8, 2020, and a second stock repurchase
program authorized on October 21,
2020, leaving 559,349 shares available for future repurchase
under the stock repurchase program authorized on October 21, 2020. Subsequent to
year end through January 28, 2020,
the Company purchased an additional 40,806 shares, leaving 518,543
shares available for future repurchase.
Income Statement Summary
Net interest income before the provision for loan and lease
losses increased $489,000, or 5.9%,
to $8.8 million in the fourth quarter
of 2020, compared to $8.3 million in
the third quarter of 2020 and increased $873,000, or 11.1%, from $7.9 million in the fourth quarter of 2019.
The increase over the third quarter of 2020 was primarily driven by
an increase of 20 basis points in the net interest margin and a
$2.3 million increase in net earning
assets in the fourth quarter of 2020. The increase in the
fourth quarter of 2020 compared to the same period in 2019 was
primarily attributable to a five basis point increase in the net
interest margin and a $26.6 million
increase in average earning assets.
Interest income increased $226,000, or 2.1%, to $10.8 million during the quarter ended
December 31, 2020, compared to the
quarter ended September 30, 2020 and
increased $213,000, or 2.0%, compared
to $10.6 million during the quarter
ended December 31, 2019.
Interest income on loans and leases increased $293,000, or 3.1%, to $9.8
million for the quarter ended December 31, 2020, compared to $9.6 million for the third quarter of 2020
primarily due to the yield on loans and leases increasing by 18
basis points in the fourth quarter of 2020 offsetting a
$3.2 million decrease in average loan
and lease balances. Interest income on loans and leases
increased $537,000, or 5.8%, from
$9.3 million for the comparable
quarter in 2019 due to an increase in average loan and lease
balances of $59.9 million in the
fourth quarter of 2020 offsetting a 14 basis point decline in
yield. The average outstanding loan and lease balances were
$753.1 million for the quarter ended
December 31, 2020, compared to
$756.3 million for the quarter ended
September 30, 2020 and $693.2 million for the quarter ended December 31, 2019. The average yield on
loans was 5.23% for the quarter ended December 31, 2020, compared to 5.05% and 5.37%
for the quarters ended September 30,
2020 and December 31, 2019,
respectively. The yield on the loan portfolio was positively
impacted by the PPP loan portfolio activity during the fourth
quarter of 2020. Even though PPP loans are originated at an
interest rate of 1%, the effective yield is higher as a result of
the origination fees paid to us by the SBA. The average yield
on PPP loans in the fourth quarter of 2020 was 6.48%, including the
recognition of the net deferred fees, and the acceleration of the
recognition of unamortized fees on loans paid off by the SBA to the
Company during the fourth quarter of 2020. During the fourth
quarter of 2020, PPP loan balances decreased by $21.5 million from reimbursement by the SBA for
forgiven PPP loans. The PPP loan portfolio had a positive
impact of ten basis points to the loan and lease portfolio during
the fourth quarter of 2020, compared to a negative impact of 22
basis points to the yield on loans and leases during the quarter
ended September 30, 2020.
Interest income on investment securities, including FHLB stock,
decreased $64,000, or 6.3%, to
$953,000 during the quarter ended
December 31, 2020, compared to
$1.0 million during the quarter ended
September 30, 2020, and decreased
$133,000, or 12.3%, from $1.1 million during the comparable quarter in
2019. The decrease in interest income on investment
securities, including FHLB stock, from the previous quarter was due
to a decrease of ten basis points in the weighted average yield,
while the decrease from the comparable period in 2019 was due to a
decrease in the weighted average yield of 65 basis points,
partially offset by an increase in the average balances of
investment securities including FHLB stock. The average
balance of investment securities, including FHLB stock, was
$256.7 million for the quarter ended
December 31, 2020, compared to
$256.2 million and $203.3 million for the quarters ended
September 30, 2020 and December 31, 2019, respectively. The
average yield on investment securities, including FHLB stock, was
1.49% for the fourth quarter of 2020, compared to 1.59% and 2.14%
for the previous quarter of 2020 and the fourth quarter of 2019,
respectively. Interest income earned on cash and cash
equivalents decreased to $6,000 in
the fourth quarter of 2020 compared to $9,000 in the third quarter of 2020 and
$197,000 in the comparable quarter of
2019. The decrease in interest income earned on cash and cash
equivalents in the fourth quarter of 2020 compared to the
comparable quarter of 2019 was due to the significantly lower yield
earned on funds at the Federal Reserve after the rate reductions
experienced in March 2020, as well as
a $24.5 million decline in the
average balance of cash and cash equivalents outstanding during the
comparable periods.
Interest expense decreased $262,000, or 11.4%, to $2.0 million for the quarter ended December 31, 2020, compared to $2.3 million for the third quarter of 2020, and
decreased $660,000, or 24.4%, from
$2.7 million for the quarter ended
December 31, 2019. Interest
expense on deposits decreased $237,000, or 15.3%, to $1.3 million for the quarter ended December 31, 2020, from $1.5 million in the previous quarter, and
decreased $683,000, or 34.3%, from
$2.0 million for the comparable
quarter in 2019. This decrease in interest expense on
deposits from the previous quarter was attributable to the lower
weighted average rate paid on interest-bearing deposits. The
decrease in interest expense on deposits from the comparable
quarter in 2019 was attributable to the lower weighted average rate
paid on interest-bearing deposits, partially offset by higher
average deposit balances. The weighted average rate paid on
interest-bearing deposits was 0.88% for the quarter ended
December 31, 2020, compared to 1.04%
and 1.42% for the quarters ended September
30, 2020 and December 31,
2019, respectively. Interest expense on FHLB
borrowings decreased $26,000, or
3.4%, to $737,000 for the fourth
quarter of 2020 compared to $763,000
during the previous quarter and increased $23,000, or 3.2%, from $714,000 for the comparable quarter in
2019. The average balance of FHLB borrowings totaled
$173.4 million during the quarter
ended December 31, 2020, compared to
$180.9 million and $146.0 million for the quarters ended
September 30, 2020 and December 31, 2019, respectively. The
weighted average rate paid on FHLB borrowings was 1.70% for the
quarter ended December 31, 2020,
1.69% for September 30, 2020, and
1.96% for the comparable quarter in 2019.
Annualized net interest margin was 3.38% for the fourth quarter
of 2020, compared to 3.18% and 3.33% for the third quarter of 2020
and fourth quarter of 2019, respectively. The increase in the
net interest margin for the fourth quarter of 2020 compared to the
third quarter primarily was due to increased yields on loans and
leases, along with a 13 basis point decline in the rate paid on
interest bearing liabilities. The increase in the net
interest margin for the current quarter compared to the comparable
quarter in 2019 was primarily attributable to the $88.8 million increase in average earning assets,
partially offset by a 31 basis point decline in yield on average
earning assets along with a 47 basis point decline in the average
rate paid on interest bearing liabilities.
The provision for loan and lease losses for the three months
ended December 31, 2020 totaled
$940,000 compared to $1.3 million for the quarter ended September 30, 2020, and $885,000 for the quarter ended December 31, 2019. The continued elevated
level of provision for loan and lease losses was primarily due to
the continued uncertainty of the economic impact of the COVID-19
pandemic on the Bank's loan portfolio. Net charge-offs during
the fourth quarter of 2020 were $163,000, compared to net charge-offs of
$12,000 during the third quarter of
2020 and net charge-offs of $692,000
in the fourth quarter of 2019. As the COVID-19 pandemic
continues, we expect to see continued pressure on asset
quality. As management continues to monitor the loan
portfolio, additional provisions may be required.
Total noninterest income decreased $22,000, or 1.0%, to $2.1
million for the quarter ended December 31, 2020 compared to $2.2 million for the quarter ended September 30, 2020, and increased $1.2 million, or 134.9%, from $908,000 for the comparable quarter in
2019. The decrease in noninterest income resulted primarily
from the decrease in the gain on sale of loans and leases of
$282,000, or 21.2%, to $1.0 million during the fourth quarter of 2020,
compared to $1.3 million during the
third quarter of 2020, and increased $842,000, or 411.7%, from $204,000 in the comparable period of 2019 as a
result of increased mortgage banking activity due to lower
rates. The net gain on the sale of securities decreased
$117,000 compared to the third
quarter of 2020 as there were no gains on sales of securities in
the fourth quarter of 2020 or the fourth quarter of 2019.
Loan and lease servicing income increased $229,000 to a gain of $188,000 for the quarter ended December 31, 2020 compared to a loss of
$42,000 for the quarter ended
September 30, 2020 and increased
$324,000 from a loss of $136,000 for the comparable quarter in
2019. In the fourth quarter of 2020, the Company recorded a
recovery to the value of its mortgage servicing rights of
$98,000, compared to a $6,000 recovery recorded in the third quarter of
2020, and an impairment charge of $202,000 recorded in the fourth quarter of
2019. Other loan fees increased $21,000, or 12.1%, to $195,000 in the fourth quarter of 2020 compared
to the quarter ended September 30,
2020, and increased $104,000,
or 114.0%, over the comparable quarter in 2019. The increase
in other loan fees during the current quarter compared to the prior
quarter was primarily due to an increase of $20,000 in commercial loan processing fees earned
in the fourth quarter of 2020. The increase over the
comparable quarter in 2019 was also due to an increase of
$119,000 in commercial loan
processing fees. Service fees on deposit accounts increased
$69,000, or 46.0%, to $220,000 for the quarter ended December 31, 2020, compared to $151,000 for the third quarter of 2020, and
decreased $79,000, or 26.5%, from
$299,000 for the quarter ended
December 31, 2019. The increase
in service fees on deposit accounts during the fourth quarter of
2020 was the result of the Company re-instituting its overdraft
fees effective September 1,
2020. The decrease in the fourth quarter of 2020 versus the
comparable period in 2019 was the result of the higher customer
balances maintained in deposit accounts.
Total noninterest expense increased $867,000, or 14.5%, to $6.9 million for the three months ended
December 31, 2020, compared to
$6.0 million for the third quarter of
2020 and decreased $18.3 million, or
72.7%, from $25.1 million for the
same period in 2019. Salaries and employee benefits,
excluding pension plan expenses, increased $890,000, or 25.9%, to $4.3 million for the quarter ended December 31, 2020, compared to $3.4 million in the third quarter of 2020, and
increased $1.1 million, or 32.8%,
from $3.3 million for the quarter
ended December 31, 2019. The
increase from the third quarter of 2020 and the fourth quarter of
2019 primarily was due to the adoption of the Company's Equity
Incentive Plan and the costs associated with awards granted
thereunder. Net occupancy expense decreased $27,000, or 8.8%, to $281,000 for the three months ended December 31, 2020 compared to $308,000 for the third quarter of 2020, and
declined $62,000, or 17.9% from
$342,000 in the same quarter of 2019,
primarily as a result of lower real estate taxes in the fourth
quarter of 2020 compared to both the third quarter of 2020 and the
fourth quarter of 2019. Equipment expense increased
$23,000, or 7.4%, to $331,000 in the fourth quarter of 2020 compared
to $308,000 in the prior quarter, and
increased $56,000, or 20.5% from the
comparable period in 2019, primarily due to increased depreciation
expense. Deposit insurance expense decreased $28,000, or 34.8% to $52,000, in the fourth quarter of 2020 compared
to the third quarter of 2020, and increased $98,000, or 213.4% compared to the fourth quarter
of 2019. The decrease in the fourth quarter of 2020 from the
prior quarter was due to a decline in average assets along with an
increase in the Bank's equity. The increase from the fourth
quarter of 2019 was a result of the Bank having previously utilized
all of its remaining small bank credit awarded by the FDIC.
Legal and professional fees increased $21,000, or 7.8%, to $292,000 for the quarter ended December 31, 2020 compared to $271,000 in the prior quarter, and increased
$101,000, or 52.8% from the same
quarter in 2019, primarily due to fees associated with the design
and adoption of the Equity Incentive Plan approved by stockholders
in the third quarter of 2020. Advertising expense increased
$40,000 or 55.9%, in the fourth
quarter of 2020 compared to the prior quarter, and decreased
$218,000 or 66.3% from the comparable
quarter of 2019. This reflects a reduction of advertising
that occurred in 2020. The Company did not record any expense
attributable to the First Bank Richmond Charitable Foundation
("Foundation") in the fourth or third quarter of 2020. In the
third quarter of 2019, the Company incurred a $6.3 million expense associated with the
establishment and funding of the Foundation. Other expenses
were flat at $776,000 in the fourth
quarter of 2020 compared to the prior quarter, and decreased
$294,000, or 27.5%, in the comparable
quarter of 2019. The decrease in other expenses primarily was
due to directors and officers and bond insurance declining
$57,000, employee education and
travel/lodging expenses declining $118,000, contributions decreasing $56,000, and a decrease in the amortization
expense of an investment in a community housing fund of
$87,000.
Pension plan expense decreased $38,000, or 18.2%, to $173,000 in the fourth quarter of 2020 compared
to the prior quarter and declined $19.0
million compared to the fourth quarter of 2019. The
Company froze its defined benefit plan ("DB Plan") in October 2019 with the intent to terminate
it. The freezing of the DB Plan has reduced, but not
eliminated, the ongoing expenses associated with the DB Plan until
it is terminated. Freezing the DB plan resulted in some
immediate cost savings because future benefit accruals were
stopped. However, the freeze did not impact unfunded liabilities or
eliminate cost volatility. The frozen DB Plan remains subject to
the interest rate, investment and demographic risks that apply to
ongoing defined benefit plans. In addition, the frozen DB Plan is
still subject to the same minimum funding, compliance,
administrative and fiduciary requirements as an ongoing defined
benefit plan. The Company still intends to terminate the
Bank's participation in the DB Plan, which will require it to pay
an amount based on the underfunded status of the plan. As of
December 31, 2020, the Company has
accrued $17.5 million for this
expense. The actual termination expense of the DB Plan may be
higher or lower than the amount currently accrued for by the
Company depending on a number of factors, including but not limited
to the interest rate environment and the valuation of plan
assets. Due to the current low interest rate environment,
terminating the DB Plan at this time would require the Company to
incur a substantial additional expense over and above the amount
presently accrued. As a result, the Company's Board of
Directors will continue to monitor and evaluate the timing of, and
costs associated with, termination of the DB Plan. Any
additional expenses associated with the termination of the DB Plan
will negatively impact our results of operations in the future.
Income tax expense decreased $37,000 during the three months ended
December 31, 2020, compared to the
prior quarter due to a lower effective federal tax rate compared to
the prior quarter. Income tax expense increased $5.3 million during the three months ended
December 31, 2020, compared to the
same period in 2019, primarily due to a $20.3 million increase in pre-tax income. The
effective tax rate for the fourth quarter of 2020 was 18.6%
compared to 19.5% for the third quarter of 2020 and a 27.2% benefit
for the same quarter a year ago.
About Richmond Mutual Bancorporation, Inc.
Richmond Mutual Bancorporation, Inc., headquartered in
Richmond, Indiana, is the holding
company for First Bank Richmond, a community-oriented financial
institution offering traditional financial and trust services
within its local communities through its eight locations in
Richmond, Centerville, Cambridge City and Shelbyville, Indiana, its five locations in
Sidney, Piqua and Troy,
Ohio and its loan production office in Columbus, Ohio.
FORWARD-LOOKING STATEMENTS:
This document and other filings by the Company with the
Securities and Exchange Commission (the "SEC"), as well as
press releases or other public or stockholder communications
released by the Company, may contain forward-looking statements,
including, but not limited to, (i) statements regarding the
financial condition, results of operations and business of the
Company, (ii) statements about the Company's plans,
objectives, expectations and intentions and other statements that
are not historical facts and (iii) other statements identified
by the words or phrases "will likely result," "are expected to,"
"will continue," "is anticipated," "estimate," "project," "intends"
or similar expressions that are intended to identify
"forward-looking statements", within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are based on current beliefs and expectations of the
Company's management and are inherently subject to significant
business, economic and competitive uncertainties and contingencies,
many of which are beyond the Company's control. In addition, these
forward-looking statements are subject to assumptions with respect
to future business strategies and decisions that are subject to
change.
The following factors, among others, could cause actual
results to differ materially from the anticipated results or other
expectations expressed in the forward-looking statements: the
effect of the COVID-19 pandemic, including on the Company's credit
quality and business operations, as well as its impact on general
economic and financial market conditions and other uncertainties
such as the extent and duration of the impact of the pandemic on
public health, the U.S. and global economies, and on consumer and
corporate customers, including economic activity, employment levels
and market liquidity; legislative changes; changes in policies by
regulatory agencies; fluctuations in interest rates; the risks of
lending and investing activities, including changes in the level
and direction of loan delinquencies and write-offs and changes in
estimates of the adequacy of the allowance for loan losses; the
Company's ability to access cost-effective funding; fluctuations in
real estate values and both residential and commercial real estate
market conditions; demand for loans and deposits in the Company's
market area; changes in management's business strategies; changes
in the regulatory and tax environments in which the Company
operates; and other factors set forth in the Company's filings with
the SEC.
The factors listed above could materially affect the
Company's financial performance and could cause the Company's
actual results for future periods to differ materially from any
opinions or statements expressed with respect to future periods in
any current statements.
The Company does not undertake - and specifically declines
any obligation - to publicly release the result of any revisions
which may be made to any forward-looking statements to reflect
events or circumstances after the date of such statements or to
reflect the occurrence of anticipated or unanticipated events. When
considering forward-looking statements, keep in mind these risks
and uncertainties. Undue reliance should not be placed on any
forward-looking statement, which speaks only as of the date made.
Refer to the Company's periodic and current reports filed with the
SEC for specific risks that could cause actual results to be
significantly different from those expressed or implied by any
forward-looking statements.
Financial Highlights (unaudited)
|
|
Three Months
Ended
|
|
Year
Ended
|
|
|
|
|
|
SELECTED
OPERATIONS DATA:
|
|
December 31,
2020
|
|
September
30,
2020
|
|
December 31,
2019
|
|
December
31,
2020
|
|
December
31,
2019
|
(In thousands, except
for per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
$
|
10,809
|
|
$
|
10,583
|
|
$
|
10,596
|
|
$
|
42,342
|
|
$
|
41,558
|
Interest
expense
|
|
2,046
|
|
2,308
|
|
2,706
|
|
9,393
|
|
11,156
|
Net
interest income
|
|
8,763
|
|
8,275
|
|
7,890
|
|
32,949
|
|
30,402
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan
losses
|
|
940
|
|
1,300
|
|
885
|
|
3,770
|
|
2,600
|
Net interest income
after provision
|
|
7,823
|
|
6,975
|
|
7,005
|
|
29,179
|
|
27,801
|
Noninterest
income
|
|
2,134
|
|
2,156
|
|
908
|
|
7,325
|
|
3,860
|
Noninterest
expense
|
|
6,852
|
|
5,985
|
|
25,129
|
|
24,009
|
|
51,038
|
Income (loss) before
income tax expense
(benefit)
|
|
3,104
|
|
3,146
|
|
(17,216)
|
|
12,495
|
|
(19,377)
|
Income tax provision
(benefit)
|
|
577
|
|
614
|
|
(4,675)
|
|
2,477
|
|
(5,292)
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
|
2,528
|
|
$
|
2,532
|
|
$
|
(12,542)
|
|
$
|
10,018
|
|
$
|
(14,084)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares
outstanding
|
|
13,194
|
|
12,945
|
|
13,527
|
|
13,194
|
|
13,527
|
Weighted average
shares outstanding
|
|
11,832
|
|
12,281
|
|
12,454
|
|
12,264
|
|
12,464
|
Earnings (loss) per
share:
|
|
|
|
|
|
|
|
|
|
|
Basic(1)
|
|
$
|
0.21
|
|
$
|
0.21
|
|
$
(1.01)
|
|
$
0.82
|
|
$
(1.27)
|
Diluted(1)
|
|
0.21
|
|
0.21
|
|
(1.01)
|
|
0.82
|
|
(1.27)
|
|
(1) Earnings
(loss) per share for the year ended December 31, 2019 is for the
period from July 2, 2019 to December 31, 2019.
|
SELECTED FINANCIAL
CONDITION DATA:
|
December
31,
2020
|
|
September
30,
2020
|
|
June
30,
2020
|
|
December 31,
2019
|
(In thousands,
except for per share amounts)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
$
|
1,079,486
|
|
$
|
1,054,890
|
|
$
|
1,140,213
|
|
$
|
986,042
|
Cash and cash
equivalents
|
48,768
|
|
16,698
|
|
110,606
|
|
40,597
|
Investment
securities
|
256,730
|
|
244,164
|
|
234,524
|
|
217,701
|
Loans and leases, net
of allowance
|
731,693
|
|
750,646
|
|
752,923
|
|
687,258
|
Premises and
equipment, net
|
14,892
|
|
14,758
|
|
14,440
|
|
14,087
|
Federal Home Loan
Bank stock
|
9,050
|
|
9,170
|
|
9,080
|
|
7,600
|
Other
assets
|
18,352
|
|
19,454
|
|
18,640
|
|
18,798
|
Deposits
|
693,045
|
|
663,057
|
|
739,131
|
|
617,219
|
Borrowings
|
170,000
|
|
176,000
|
|
180,000
|
|
154,000
|
Total stockholder's
equity
|
192,713
|
|
191,674
|
|
196,136
|
|
187,787
|
|
|
|
|
|
|
|
|
Book value
(GAAP)
|
$
|
192,713
|
|
$
|
191,674
|
|
$
|
196,136
|
|
$
|
187,787
|
Tangible book value
(non-GAAP)
|
192,713
|
|
191,674
|
|
196,136
|
|
187,787
|
Book value per share
(GAAP)
|
14.61
|
|
14.81
|
|
14.50
|
|
13.88
|
Tangible book value
per share (non-GAAP)
|
14.61
|
|
14.81
|
|
14.50
|
|
13.88
|
The following table summarizes information relating to our loan
portfolio at the dates indicated:
|
|
December
31,
|
|
September
30,
|
|
June
30,
|
|
December
31,
|
(In
thousands)
|
|
2020
|
|
2020
|
|
2020
|
|
2019
|
|
|
|
|
|
|
|
|
|
Commercial
mortgage
|
$
|
247,564
|
|
$
|
245,651
|
|
$
|
242,036
|
|
$
|
229,410
|
Commercial and
industrial
|
|
122,831
|
|
141,142
|
|
141,184
|
|
84,549
|
Construction and
development
|
|
58,424
|
|
55,694
|
|
62,372
|
|
53,426
|
Multi-family
|
|
55,998
|
|
63,237
|
|
58,709
|
|
66,002
|
Residential
mortgage
|
|
122,401
|
|
122,456
|
|
126,146
|
|
131,294
|
Home
equity
|
|
5,982
|
|
6,211
|
|
6,522
|
|
6,996
|
Direct financing
leases
|
|
117,171
|
|
115,108
|
|
114,352
|
|
109,592
|
Consumer
|
|
13,257
|
|
13,101
|
|
12,550
|
|
13,534
|
|
|
|
|
|
|
|
|
|
Total loans and
leases
|
$
|
743,628
|
|
$
|
762,600
|
|
$
|
763,871
|
|
$
|
694,803
|
The following table summarizes information relating to deposit
balances at the dates indicated:
|
December
31,
|
|
September
30,
|
|
June
30,
|
|
December 31,
|
(In
thousands)
|
2020
|
|
2020
|
|
2020
|
|
2019
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
demand
|
$
|
98,725
|
|
$
|
88,714
|
|
$
|
89,922
|
|
60,297
|
Interest-bearing
demand
|
|
141,990
|
|
126,811
|
|
120,643
|
|
103,978
|
Savings and money
market
|
|
209,861
|
|
192,178
|
|
185,365
|
|
171,529
|
Non-brokered time
deposits
|
|
219,194
|
|
222,946
|
|
222,513
|
|
224,765
|
Brokered time
deposits
|
|
23,275
|
|
32,408
|
|
120,688
|
|
56,650
|
|
|
|
|
|
|
|
|
|
Total
deposits
|
$
|
693,045
|
|
$
|
663,057
|
|
$
|
739,131
|
|
617,219
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
|
|
2020
|
|
2019
|
|
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
|
|
(Dollars in
thousands)
|
Interest-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and
leases receivable
|
|
|
$
|
753,073
|
|
|
$
|
9,849
|
|
5.23
|
%
|
|
$
|
693,195
|
|
|
$
|
9,313
|
|
5.37
|
%
|
Securities
|
|
|
|
247,505
|
|
|
|
876
|
|
1.41
|
%
|
|
|
195,673
|
|
|
|
995
|
|
2.03
|
%
|
FHLB
stock
|
|
|
|
9,166
|
|
|
|
78
|
|
3.40
|
%
|
|
|
7,600
|
|
|
|
91
|
|
4.79
|
%
|
Cash and cash
equivalents and other
|
|
|
|
25,989
|
|
|
|
6
|
|
0.09
|
%
|
|
|
50,468
|
|
|
|
197
|
|
1.56
|
%
|
Total
interest-earning assets
|
|
|
|
1,035,733
|
|
|
|
10,809
|
|
4.17
|
%
|
|
|
946,936
|
|
|
|
10,596
|
|
4.48
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings and
money market accounts
|
|
|
|
215,984
|
|
|
|
274
|
|
0.51
|
%
|
|
|
171,938
|
|
|
|
314
|
|
0.73
|
%
|
Interest-bearing checking accounts
|
|
|
|
131,958
|
|
|
|
76
|
|
0.23
|
%
|
|
|
103,411
|
|
|
|
94
|
|
0.36
|
%
|
Certificate
accounts
|
|
|
|
247,810
|
|
|
|
959
|
|
1.55
|
%
|
|
|
285,604
|
|
|
|
1,584
|
|
2.22
|
%
|
Borrowings
|
|
|
|
173,391
|
|
|
|
737
|
|
1.70
|
%
|
|
|
145,995
|
|
|
|
714
|
|
1.96
|
%
|
Total
interest-bearing liabilities
|
|
|
|
769,143
|
|
|
|
2.046
|
|
1.06
|
%
|
|
|
706,948
|
|
|
|
2,706
|
|
1.53
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
|
|
|
$
|
8,763
|
|
|
|
|
|
|
|
|
$
|
7,890
|
|
|
|
Net earning
assets
|
|
|
$
|
266,590
|
|
|
|
|
|
|
|
|
$
|
239,988
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate
spread(1)
|
|
|
|
|
|
|
|
|
|
3.11
|
%
|
|
|
|
|
|
|
|
|
2.95
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin(2)
|
|
|
|
|
|
|
|
|
|
3.38
|
%
|
|
|
|
|
|
|
|
|
3.33
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
interest-earning assets to
average
interest-bearing liabilities
|
|
|
|
134.66
|
%
|
|
|
|
|
|
|
|
|
133.95
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Net interest rate
spread represents the difference between the weighted average yield
earned on interest-earning assets and the weighted average rate
paid on interest-bearing liabilities.
|
(2)
|
Net interest margin
represents net interest income divided by average total
interest-earning assets.
|
|
|
Year Ended December
31,
|
|
|
2020
|
|
2019
|
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
Average
Balance
Outstanding
|
|
Interest
Earned/
Paid
|
|
Yield/
Rate
|
|
|
(Dollars in
thousands)
|
Interest-earning
assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and
leases receivable
|
|
$
|
735,959
|
|
|
$
|
37,777
|
|
5.13
|
%
|
|
$
|
686,949
|
|
|
$
|
36,560
|
|
5.32
|
%
|
Securities
|
|
|
241,659
|
|
|
|
4,128
|
|
1.71
|
%
|
|
|
160,812
|
|
|
|
3,461
|
|
2.15
|
%
|
FHLB
stock
|
|
|
8,803
|
|
|
|
285
|
|
3.24
|
%
|
|
|
7,256
|
|
|
|
386
|
|
5.32
|
%
|
Cash and cash
equivalents and other
|
|
|
35,247
|
|
|
|
152
|
|
0.43
|
%
|
|
|
55,316
|
|
|
|
1,151
|
|
2.08
|
%
|
Total
interest-earning assets
|
|
|
1,021,668
|
|
|
|
42,342
|
|
4.14
|
%
|
|
|
910,333
|
|
|
|
41,558
|
|
4.57
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings and
money market accounts
|
|
|
188,379
|
|
|
|
1,062
|
|
0.56
|
%
|
|
|
169,941
|
|
|
|
1,227
|
|
0.72
|
%
|
Interest-bearing checking accounts
|
|
|
118,668
|
|
|
|
293
|
|
0.25
|
%
|
|
|
102,521
|
|
|
|
372
|
|
0.36
|
%
|
Certificate
accounts
|
|
|
278,018
|
|
|
|
5,028
|
|
1.81
|
%
|
|
|
302,735
|
|
|
|
6,419
|
|
2.12
|
%
|
Borrowings
|
|
|
175,060
|
|
|
|
3,010
|
|
1.72
|
%
|
|
|
144,201
|
|
|
|
3,138
|
|
2.18
|
%
|
Total
interest-bearing liabilities
|
|
|
760,125
|
|
|
|
9,393
|
|
1.24
|
%
|
|
|
719,398
|
|
|
|
11,156
|
|
1.55
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
|
|
$
|
32,949
|
|
|
|
|
|
|
|
|
$
|
30,402
|
|
|
|
Net earning
assets
|
|
$
|
261,543
|
|
|
|
|
|
|
|
|
$
|
190,935
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate
spread(1)
|
|
|
|
|
|
|
|
|
2.90
|
%
|
|
|
|
|
|
|
|
|
3.02
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
margin(2)
|
|
|
|
|
|
|
|
|
3.22
|
%
|
|
|
|
|
|
|
|
|
3.34
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
interest-earning assets to
average
interest-bearing liabilities
|
|
|
134.41
|
%
|
|
|
|
|
|
|
|
|
126.54
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Net interest rate
spread represents the difference between the weighted average yield
earned on interest-earning assets and the weighted average rate
paid on interest-bearing liabilities.
|
(2)
|
Net interest margin
represents net interest income divided by average total
interest-earning assets.
|
|
At and for the
Three Months Ended
|
|
December
31,
|
|
September
30,
|
|
June
30,
|
|
March
31,
|
|
December
31,
|
Selected Financial
Ratios and Other Data:
|
2020
|
|
2020
|
|
2020
|
|
2020
|
|
2019
|
Performance
ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets (annualized)
|
0.95
|
%
|
|
0.92
|
%
|
|
0.93
|
%
|
|
0.98
|
%
|
|
(5.17)
|
%
|
Return on average
equity (annualized)
|
5.26
|
%
|
|
5.22
|
%
|
|
5.15
|
%
|
|
5.15
|
%
|
|
(25.85)
|
%
|
Yield on
interest-earning assets
|
4.17
|
%
|
|
4.07
|
%
|
|
3.96
|
%
|
|
4.40
|
%
|
|
4.48
|
%
|
Rate paid on
interest-bearing liabilities
|
1.06
|
%
|
|
1.19
|
%
|
|
1.26
|
%
|
|
1.44
|
%
|
|
1.53
|
%
|
Average interest rate
spread
|
3.11
|
%
|
|
2.88
|
%
|
|
2.70
|
%
|
|
2.96
|
%
|
|
2.95
|
%
|
Net interest margin
(annualized)(1)
|
3.38
|
%
|
|
3.18
|
%
|
|
3.03
|
%
|
|
3.32
|
%
|
|
3.33
|
%
|
Operating expense to
average total assets (annualized)
|
2.57
|
%
|
|
2.18
|
%
|
|
2.10
|
%
|
|
2.22
|
%
|
|
10.35
|
%
|
Efficiency
ratio(2)
|
62.89
|
%
|
|
58.04
|
%
|
|
55.94
|
%
|
|
62.97
|
%
|
|
286.09
|
%
|
Average
interest-earning assets to average interest-bearing
liabilities
|
134.66
|
%
|
|
134.04
|
%
|
|
135.09
|
%
|
|
133.79
|
%
|
|
133.95
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset quality
ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing assets
to total assets(3)
|
0.45
|
%
|
|
0.32
|
%
|
|
0.38
|
%
|
|
0.43
|
%
|
|
0.39
|
%
|
Non-performing loans
and leases to total gross loans and leases(4)
|
0.65
|
%
|
|
0.44
|
%
|
|
0.57
|
%
|
|
0.61
|
%
|
|
0.55
|
%
|
Allowance for loan
and lease losses to non-performing loans and
leases(4)
|
220.57
|
%
|
|
290.88
|
%
|
|
197.47
|
%
|
|
171.23
|
%
|
|
185.97
|
%
|
Allowance for loan
and lease losses to total loans and leases
|
1.43
|
%
|
|
1.29
|
%
|
|
1.12
|
%
|
|
1.05
|
%
|
|
1.02
|
%
|
Net charge-offs
(annualized) to average outstanding loans and leases during the
period
|
0.09
|
%
|
|
0.01
|
%
|
|
0.06
|
%
|
|
0.00
|
%
|
|
0.40
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
ratios:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to total
assets at end of period
|
17.85
|
%
|
|
18.17
|
%
|
|
17.20
|
%
|
|
19.17
|
%
|
|
19.04
|
%
|
Average equity to
average assets
|
18.01
|
%
|
|
18.35
|
%
|
|
18.13
|
%
|
|
19.11
|
%
|
|
19.98
|
%
|
Common equity tier 1
capital (to risk weighted assets)(5)
|
20.64
|
%
|
|
18.89
|
%
|
|
18.98
|
%
|
|
18.20
|
%
|
|
18.54
|
%
|
Tier 1 leverage
(core) capital (to adjusted tangible
assets)(5)
|
14.28
|
%
|
|
13.87
|
%
|
|
13.43
|
%
|
|
14.31
|
%
|
|
14.56
|
%
|
Tier 1 risk-based
capital (to risk weighted assets)(5)
|
20.64
|
%
|
|
18.89
|
%
|
|
18.98
|
%
|
|
18.20
|
%
|
|
18.54
|
%
|
Total risk-based
capital (to risk weighted assets)(5)
|
21.90
|
%
|
|
20.13
|
%
|
|
20.07
|
%
|
|
19.14
|
%
|
|
19.46
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of
full-service offices
|
12
|
|
|
12
|
|
|
12
|
|
|
12
|
|
|
12
|
|
Full-time equivalent
employees
|
170
|
|
|
170
|
|
|
172
|
|
|
172
|
|
|
166
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Net interest income
divided by average interest earning assets.
|
|
(2)
|
Total other
(non-interest) expenses as a percentage of net interest income and
total other (non-interest) income, excluding net securities
transactions.
|
|
(3)
|
Non-performing assets
consist of non-accruing loans and leases, accruing loans and leases
more than 90 days past due and foreclosed assets.
|
|
(4)
|
Non-performing loans
and leases consist of non-accruing loans and leases and accruing
loans and leases more than 90 days past due.
|
|
(5)
|
Capital ratios are
for First Bank Richmond.
|
View original
content:http://www.prnewswire.com/news-releases/richmond-mutual-bancorporation-inc-announces-2020-fourth-quarter-and-full-year-financial-results-301217725.html
SOURCE Richmond Mutual Bancorporation, Inc.