U.S. Century Bank (the “Company”) (NASDAQ: USCB) today announced 2021 second quarter financial results for the quarter ended June 30, 2021.
“We are thrilled to have completed our initial public offering and to be trading publicly. This milestone will help support the Company’s growth strategy as part of our long-term strategic expansion plan,” said Luis de la Aguilera, President and Chief Executive Officer.
The Company reported net income of $4.1 million or $0.64 per diluted share of Class A common stock and $0.13 per diluted share of Class B common stock, for the quarter ended June 30, 2021, from net income of $1.4 million or $0.13 per diluted share of Class A common stock and $0.03 per diluted share of Class B common stock, for the quarter ended June 30, 2020.
Financial Highlights
Balance Sheet
Total assets were $1.7 billion at June 30, 2021, representing an increase of $33.6 million or 2.1% from the immediately preceding quarter ended March 31, 2021. The significant contributing factors to the overall increase included:
Deposits totaled $1.4 billion at June 30, 2021, representing an increase of $34.5 million, or 2.5%, from the immediately preceding quarter ended March 31, 2021. The average cost of total deposits continued to decline, dropping by 8 basis points to 0.26% for the quarter ended June 30, 2021 from 0.34% for the immediately preceding quarter ended March 31, 2021, and 0.73% for the quarter ended June 30, 2020.
Asset Quality
Non-performing assets decreased by $0.7 million or 97.0% for the three months ended June 30, 2021 compared to the immediately preceding quarter ended March 31, 2021 and decreased $5.6 million or 99.6% from the second quarter ended June 30, 2020. For the three months ended June 30, 2021, non-performing assets to total assets was less than 0.01%, representing a decrease of nearly 0.04% or 97.1% from the immediately preceding quarter ended March 31, 2021.
The allowance for loan losses was $14.8 million at June 30, 2021, down from $15.0 million for the immediately preceding quarter ended March 31, 2021, and from $15.3 million for the quarter ended June 30, 2020.
Non-interest Income and Non-interest Expense
Non-interest income totaled $1.5 million for the three months ended June 30, 2021, representing an increase of approximately $0.6 million or 58.4% compared to the same period in 2020. The increase was primarily driven by higher service charges on deposits and gains on sale of loans held for sale.
Non-interest expense was $8.7 million for the three months ended June 30, 2021 compared to $8.2 million for the same period in 2020. The increase was primarily driven by higher employee headcount and professional fees.
About U.S. Century Bank
Established in 2002, U.S. Century Bank is one of the largest community banks headquartered in Miami, and one of the largest community banks in the state, with assets of $1.7 billion. U.S. Century is rated 5-star by BauerFinancial, the nation’s leading independent bank rating firm. Through its network of 11 branch locations and its online banking platform, U.S. Century Bank offers customers a wide range of financial products and services. U.S. Century Bank has received awards and accolades from numerous organizations for its philanthropic support and leadership, including the Beacon Council, Greater Miami Chamber of Commerce, South Florida Hispanic Chamber of Commerce and others. For more information or to find a U.S. Century branch near you, please call (305) 715-5200 or visit www.uscentury.com.
Forward-Looking Statements
Statements included in this earning release that are not historical in nature are intended to be, and are hereby identified as, forward-looking statements for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended. The words “may,” “will,” “anticipate,” “should,” “would,” “believe,” “contemplate,” “expect,” “aim,” “plan,” “estimate,” “continue,” “may” and “intend,” as well as other similar words and expressions of the future, are intended to identify forward-looking statements. These forward-looking statements include statements related to our projected growth, anticipated future financial performance, and management’s long-term performance goals, as well as statements relating to the anticipated effects on results of operations and financial condition from expected developments or events, or business and growth strategies, including anticipated internal growth.
These forward-looking statements involve significant risks and uncertainties that could cause our actual results to differ materially from those anticipated in such statements. Potential risks and uncertainties include, but are not limited to:
All forward-looking statements are necessarily only estimates of future results, and there can be no assurance that actual results will not differ materially from expectations. Therefore, you are cautioned not to place undue reliance on any forward-looking statements. Further, forward-looking statements included in this presentation are made only as of the date hereof, and we undertake no obligation to update or revise any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events, unless required to do so under the federal securities laws. You should also review the risk factors we describe in the reports we will file from time to time with the FDIC.
Non-GAAP Financial Measures
This earning release includes financial information determined by methods other than in accordance with generally accepted accounting principles (“GAAP”). This financial information includes certain operating performance measures. Management has included these non-GAAP measures because it believes these measures may provide useful supplemental information for evaluating the Company’s underlying performance trends. Further, management uses these measures in managing and evaluating the Company’s business and intends to refer to them in discussions about our operations and performance. Operating performance measures should be viewed in addition to, and not as an alternative to or substitute for, measures determined in accordance with GAAP, and are not necessarily comparable to non-GAAP measures that may be presented by other companies. To the extent applicable, reconciliations of these non-GAAP measures to the most directly comparable GAAP measures can be found in the ‘Non-GAAP Reconciliation Tables’ included in the exhibits to this earning release.
U.S. CENTURY BANK AND SUBSIDIARIES (UNAUDITED) | |||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||
Three Months Ended |
|
Six Months Ended |
|||||||||||
June 30, |
|
June 30, |
|||||||||||
2021 |
|
2020 |
|
2021 |
|
2020 |
|||||||
Interest income: | |||||||||||||
Loans, including fees | $ |
11,538 |
$ |
11,974 |
$ |
23,406 |
|
$ |
23,710 |
||||
Investment securities |
|
1,968 |
|
1,218 |
|
3,812 |
|
|
2,482 |
||||
Interest-bearing deposits in financial institutions |
|
23 |
|
67 |
|
39 |
|
|
209 |
||||
Total interest income |
|
13,529 |
|
13,259 |
|
27,257 |
|
|
26,401 |
||||
Interest expense: | |||||||||||||
Interest-bearing deposits |
|
15 |
|
44 |
|
29 |
|
|
90 |
||||
Savings and money markets accounts |
|
523 |
|
763 |
|
1,071 |
|
|
1,890 |
||||
Time deposits |
|
379 |
|
1,306 |
|
933 |
|
|
2,718 |
||||
Federal Home Loan Bank advances |
|
138 |
|
275 |
|
275 |
|
|
718 |
||||
Total interest expense |
|
1,055 |
|
2,388 |
|
2,308 |
|
|
5,416 |
||||
Net interest income before provision for loan losses |
|
12,474 |
|
10,871 |
|
24,949 |
|
|
20,985 |
||||
Provision for (recovery of) loan losses |
|
- |
|
1,750 |
|
(160 |
) |
|
3,250 |
||||
Net interest income after provision for loan losses |
|
12,474 |
|
9,121 |
|
25,109 |
|
|
17,735 |
||||
Non-interest income: | |||||||||||||
Service fees |
|
903 |
|
581 |
|
1,792 |
|
|
1,459 |
||||
Gain on sale of securities available for sale, net |
|
187 |
|
5 |
|
249 |
|
|
423 |
||||
Gain on sale of loans held for sale, net |
|
23 |
|
- |
|
987 |
|
|
228 |
||||
Other non-interest income |
|
403 |
|
371 |
|
809 |
|
|
758 |
||||
Total non-interest income |
|
1,516 |
|
957 |
|
3,837 |
|
|
2,868 |
||||
Non-interest expense: | |||||||||||||
Salaries and employee benefits |
|
5,213 |
|
4,792 |
|
10,491 |
|
|
9,862 |
||||
Occupancy |
|
1,411 |
|
1,436 |
|
2,798 |
|
|
2,835 |
||||
Regulatory assessment and fees |
|
195 |
|
165 |
|
373 |
|
|
341 |
||||
Consulting and legal fees |
|
373 |
|
270 |
|
558 |
|
|
429 |
||||
Network and information technology services |
|
332 |
|
412 |
|
840 |
|
|
749 |
||||
Other operating |
|
1,150 |
|
1,090 |
|
2,291 |
|
|
2,175 |
||||
Total non-interest expense |
|
8,674 |
|
8,165 |
|
17,351 |
|
|
16,391 |
||||
Net income before income tax expense |
|
5,316 |
|
1,913 |
|
11,595 |
|
|
4,212 |
||||
Income tax expense |
|
1,263 |
|
469 |
|
2,761 |
|
|
1,033 |
||||
Net income |
|
4,053 |
|
1,444 |
|
8,834 |
|
|
3,179 |
||||
Preferred stock dividend |
|
754 |
|
782 |
|
1,535 |
|
|
1,563 |
||||
Net income available to common stockholders | $ |
3,299 |
$ |
662 |
$ |
7,299 |
|
$ |
1,616 |
||||
Per share information: | |||||||||||||
Class A common stock (1) | |||||||||||||
Basic net income per share of common stock | $ |
0.65 |
$ |
0.13 |
$ |
1.43 |
|
$ |
0.32 |
||||
Diluted net income per share of common stock | $ |
0.64 |
$ |
0.13 |
$ |
1.41 |
|
$ |
0.31 |
||||
Class B common stock | |||||||||||||
Basic net income per share of common stock | $ |
0.13 |
$ |
0.03 |
$ |
0.29 |
|
$ |
0.06 |
||||
Diluted net income per share of common stock | $ |
0.13 |
$ |
0.03 |
$ |
0.29 |
|
$ |
0.06 |
||||
Weighted average shares outstanding: | |||||||||||||
Class A common stock (1) | |||||||||||||
Basic |
|
3,889,469 |
|
3,887,469 |
|
3,889,469 |
|
|
3,887,469 |
||||
Diluted |
|
3,933,636 |
|
3,944,455 |
|
3,933,636 |
|
|
3,944,455 |
||||
Class B common stock | |||||||||||||
Basic |
|
6,121,052 |
|
6,121,052 |
|
6,121,052 |
|
|
6,121,052 |
||||
Diluted |
|
6,121,052 |
|
6,121,052 |
|
6,121,052 |
|
|
6,121,052 |
||||
(1) On June 16, 2021, the Company effected a 1 for 5 reverse stock split of all the Class A common stock $1.00 par value. As of the effective date of June 16, 2021, each five shares of the Company's Class A common stock was combined into one fully paid share of Class A common stock. Any fractional shares resulting from this reverse stock split were rounded up to one whole share. |
U.S. CENTURY BANK AND SUBSIDIARIES (UNAUDITED) | ||||||||||||||||||||
SELECTED FINANCIAL DATA | ||||||||||||||||||||
(Dollars in thousands, except per share data) | ||||||||||||||||||||
As of and for the three months ended | ||||||||||||||||||||
6/30/2021 | 3/31/2021 | 12/31/2020 | 9/30/2020 | 6/30/2020 | ||||||||||||||||
Income Statement Data: | ||||||||||||||||||||
Net interest income | $ |
12,474 |
|
$ |
12,475 |
|
$ |
11,499 |
|
$ |
11,113 |
|
$ |
10,871 |
|
|||||
Provision for (recovery of) loan losses |
|
- |
|
|
(160 |
) |
|
- |
|
|
- |
|
|
1,750 |
|
|||||
Net interest income after provision for loan losses |
|
12,474 |
|
|
12,635 |
|
|
11,499 |
|
|
11,113 |
|
|
9,121 |
|
|||||
Service fees |
|
903 |
|
|
889 |
|
|
1,030 |
|
|
777 |
|
|
581 |
|
|||||
Gain on sale of securities available for sale, net |
|
187 |
|
|
62 |
|
|
11 |
|
|
- |
|
|
5 |
|
|||||
Gain (loss) on sale of loans held for sale, net |
|
23 |
|
|
964 |
|
|
(1 |
) |
|
612 |
|
|
- |
|
|||||
Other income |
|
403 |
|
|
406 |
|
|
414 |
|
|
386 |
|
|
371 |
|
|||||
Total non-interest income |
|
1,516 |
|
|
2,321 |
|
|
1,454 |
|
|
1,775 |
|
|
957 |
|
|||||
Salaries and employee benefits |
|
5,213 |
|
|
5,278 |
|
|
4,435 |
|
|
4,907 |
|
|
4,792 |
|
|||||
Occupancy |
|
1,411 |
|
|
1,387 |
|
|
1,402 |
|
|
1,419 |
|
|
1,436 |
|
|||||
Regulatory assessment and fees |
|
195 |
|
|
178 |
|
|
171 |
|
|
179 |
|
|
165 |
|
|||||
Consulting and legal fees |
|
373 |
|
|
185 |
|
|
274 |
|
|
342 |
|
|
270 |
|
|||||
Network and information technology services |
|
332 |
|
|
508 |
|
|
380 |
|
|
407 |
|
|
412 |
|
|||||
Other operating |
|
1,150 |
|
|
1,141 |
|
|
1,603 |
|
|
1,126 |
|
|
1,090 |
|
|||||
Total non-interest expense |
|
8,674 |
|
|
8,677 |
|
|
8,265 |
|
|
8,380 |
|
|
8,165 |
|
|||||
Net income before income tax expense |
|
5,316 |
|
|
6,279 |
|
|
4,688 |
|
|
4,508 |
|
|
1,913 |
|
|||||
Income tax expense |
|
1,263 |
|
|
1,498 |
|
|
449 |
|
|
1,106 |
|
|
469 |
|
|||||
Net income |
|
4,053 |
|
|
4,781 |
|
|
4,239 |
|
|
3,402 |
|
|
1,444 |
|
|||||
Preferred stock dividend |
|
754 |
|
|
781 |
|
|
782 |
|
$ |
782 |
|
|
782 |
|
|||||
Net income available to common stockholders | $ |
3,299 |
|
$ |
4,000 |
|
$ |
3,457 |
|
$ |
2,620 |
|
$ |
662 |
|
|||||
Class A common stock (1) | ||||||||||||||||||||
Net income per share, basic | $ |
0.65 |
|
$ |
0.78 |
|
$ |
0.68 |
|
$ |
0.51 |
|
$ |
0.13 |
|
|||||
Net income per share, diluted | $ |
0.64 |
|
$ |
0.78 |
|
$ |
0.67 |
|
$ |
0.51 |
|
$ |
0.13 |
|
|||||
Class B common stock | ||||||||||||||||||||
Net income per share, basic | $ |
0.13 |
|
$ |
0.16 |
|
$ |
0.14 |
|
$ |
0.10 |
|
$ |
0.03 |
|
|||||
Net income per share, diluted | $ |
0.13 |
|
$ |
0.16 |
|
$ |
0.14 |
|
$ |
0.10 |
|
$ |
0.03 |
|
|||||
Balance Sheet Data (at period end): | ||||||||||||||||||||
Cash and cash equivalents | $ |
47,117 |
|
$ |
105,940 |
|
$ |
47,734 |
|
$ |
177,411 |
|
$ |
116,567 |
|
|||||
Securities available-for-sale | $ |
395,804 |
|
$ |
341,344 |
|
$ |
334,322 |
|
$ |
189,507 |
|
$ |
178,393 |
|
|||||
Loans held for investment (2) | $ |
1,145,095 |
|
$ |
1,103,981 |
|
$ |
1,038,504 |
|
$ |
1,042,106 |
|
$ |
1,054,148 |
|
|||||
Allowance for loan losses | $ |
(14,848 |
) |
$ |
(15,009 |
) |
$ |
(15,086 |
) |
$ |
(15,207 |
) |
$ |
(15,323 |
) |
|||||
Total assets | $ |
1,667,005 |
|
$ |
1,633,359 |
|
$ |
1,501,742 |
|
$ |
1,491,036 |
|
$ |
1,432,126 |
|
|||||
Non-interest-bearing deposits | $ |
555,993 |
|
$ |
516,550 |
|
$ |
442,467 |
|
$ |
416,564 |
|
$ |
416,572 |
|
|||||
Interest-bearing deposits | $ |
882,783 |
|
$ |
887,681 |
|
$ |
830,935 |
|
$ |
836,058 |
|
$ |
780,275 |
|
|||||
Federal Home Loan Bank advances and other borrowings | $ |
36,000 |
|
$ |
36,000 |
|
$ |
36,000 |
|
$ |
41,000 |
|
$ |
44,000 |
|
|||||
Total liabilities | $ |
1,500,703 |
|
$ |
1,462,934 |
|
$ |
1,330,741 |
|
$ |
1,322,450 |
|
$ |
1,266,511 |
|
|||||
Total stockholders' equity | $ |
166,302 |
|
$ |
170,425 |
|
$ |
171,001 |
|
$ |
168,586 |
|
$ |
165,615 |
|
|||||
Capital ratios: | ||||||||||||||||||||
Tier 1 leverage ratio |
|
7.91 |
% |
|
8.57 |
% |
|
8.61 |
% |
|
8.73 |
% |
|
8.80 |
% |
|||||
Common equity tier 1 RWA* |
|
9.24 |
% |
|
9.47 |
% |
|
9.71 |
% |
|
9.68 |
% |
|
9.43 |
% |
|||||
Tier 1 capital to RWA* |
|
11.44 |
% |
|
12.54 |
% |
|
12.99 |
% |
|
13.08 |
% |
|
12.89 |
% |
|||||
Total capital to RWA* |
|
12.69 |
% |
|
13.80 |
% |
|
14.24 |
% |
|
14.34 |
% |
|
14.14 |
% |
|||||
* RWA = risk weighted assets | ||||||||||||||||||||
(1) Adjusted for the 1 for 5 reverse stock split for all periods shown. | ||||||||||||||||||||
(2) Loan amounts include deferred fees/costs. |
U.S. CENTURY BANK AND SUBSIDIARIES (UNAUDITED) | ||||||||||||||||||||
AVERAGE BALANCES, RATIOS, AND OTHER | ||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
As of and for the three months ended | ||||||||||||||||||||
6/30/2021 | 3/31/2021 | 12/31/2020 | 9/30/2020 | 6/30/2020 | ||||||||||||||||
Average balance sheet data: | ||||||||||||||||||||
Cash and cash equivalents | $ |
108,028 |
|
$ |
86,157 |
|
$ |
154,415 |
|
$ |
159,230 |
|
$ |
103,997 |
|
|||||
Securities available-for-sale | $ |
382,990 |
|
$ |
334,723 |
|
$ |
251,294 |
|
$ |
187,096 |
|
$ |
173,467 |
|
|||||
Loans held for investment | $ |
1,088,492 |
|
$ |
1,071,782 |
|
$ |
1,036,249 |
|
$ |
1,032,264 |
|
$ |
1,038,869 |
|
|||||
Total assets | $ |
1,660,060 |
|
$ |
1,573,881 |
|
$ |
1,522,735 |
|
$ |
1,460,732 |
|
$ |
1,404,417 |
|
|||||
Interest-bearing deposits | $ |
896,271 |
|
$ |
861,300 |
|
$ |
854,206 |
|
$ |
813,031 |
|
$ |
770,869 |
|
|||||
Total deposits | $ |
1,432,165 |
|
$ |
1,343,676 |
|
$ |
1,291,427 |
|
$ |
1,222,900 |
|
$ |
1,166,490 |
|
|||||
Federal Home Loan Bank advances and other borrowings | $ |
36,000 |
|
$ |
36,000 |
|
$ |
37,522 |
|
$ |
43,935 |
|
$ |
48,835 |
|
|||||
Total liabilities | $ |
1,493,129 |
|
$ |
1,402,305 |
|
$ |
1,353,424 |
|
$ |
1,293,905 |
|
$ |
1,240,630 |
|
|||||
Total stockholders' equity | $ |
166,931 |
|
$ |
171,576 |
|
$ |
169,311 |
|
$ |
166,827 |
|
$ |
163,787 |
|
|||||
Performance ratios: | ||||||||||||||||||||
Return on average assets (1) |
|
0.98 |
% |
|
1.23 |
% |
|
1.11 |
% |
|
0.93 |
% |
|
0.41 |
% |
|||||
Return on average equity (1) |
|
9.74 |
% |
|
11.30 |
% |
|
9.96 |
% |
|
8.11 |
% |
|
3.55 |
% |
|||||
Net interest margin (1) |
|
3.14 |
% |
|
3.35 |
% |
|
3.14 |
% |
|
3.17 |
% |
|
3.28 |
% |
|||||
Non-interest income to average assets (1) |
|
0.37 |
% |
|
0.60 |
% |
|
0.38 |
% |
|
0.48 |
% |
|
0.27 |
% |
|||||
Efficiency ratio (2) |
|
62.00 |
% |
|
58.64 |
% |
|
63.81 |
% |
|
65.02 |
% |
|
69.03 |
% |
|||||
Loans by type (at period end):(3) | ||||||||||||||||||||
Residential real estate |
|
213,575 |
|
|
231,554 |
|
|
232,754 |
|
|
247,620 |
|
|
268,123 |
|
|||||
Commercial real estate |
|
673,944 |
|
|
650,762 |
|
|
606,425 |
|
|
603,544 |
|
|
599,315 |
|
|||||
Commercial and industrial |
|
155,440 |
|
|
174,546 |
|
|
157,330 |
|
|
159,882 |
|
|
158,735 |
|
|||||
Foreign banks |
|
62,042 |
|
|
45,659 |
|
|
38,999 |
|
|
27,847 |
|
|
25,694 |
|
|||||
Consumer and other |
|
43,979 |
|
|
5,627 |
|
|
5,507 |
|
|
6,356 |
|
|
6,036 |
|
|||||
Asset quality data: | ||||||||||||||||||||
Allowance for loan losses to total loans |
|
1.30 |
% |
|
1.36 |
% |
|
1.45 |
% |
|
1.46 |
% |
|
1.45 |
% |
|||||
Allowance for loan losses to non-performing loans |
|
74240 |
% |
|
2214 |
% |
|
956 |
% |
|
930 |
% |
|
273 |
% |
|||||
Non-accrual loans less TDRs |
|
20 |
|
|
228 |
|
|
303 |
|
|
4 |
|
|
2,609 |
|
|||||
Trouble debt restructurings |
|
- |
|
|
450 |
|
|
1,275 |
|
|
1,632 |
|
|
355 |
|
|||||
Loans - over 90 days past due and accruing |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|
2,647 |
|
|||||
Total non-performing loans (4) |
|
20 |
|
|
678 |
|
|
1,578 |
|
|
1,636 |
|
|
5,611 |
|
|||||
Non-performing loans to total loans |
|
0.00 |
% |
|
0.06 |
% |
|
0.15 |
% |
|
0.16 |
% |
|
0.53 |
% |
|||||
Non-performing assets to total assets |
|
0.00 |
% |
|
0.04 |
% |
|
0.11 |
% |
|
0.11 |
% |
|
0.39 |
% |
|||||
Net charge-offs (recovery of) loan losses to average loans (1) |
|
0.06 |
% |
|
-0.03 |
% |
|
0.05 |
% |
|
0.04 |
% |
|
0.02 |
% |
|||||
Net charge-offs (recovery of) loan losses |
|
160 |
|
|
(83 |
) |
|
121 |
|
|
116 |
|
|
48 |
|
|||||
Interest rates and yields: | ||||||||||||||||||||
Loans |
|
4.19 |
% |
|
4.43 |
% |
|
4.36 |
% |
|
4.48 |
% |
|
4.56 |
% |
|||||
Investment securities |
|
2.04 |
% |
|
2.19 |
% |
|
2.35 |
% |
|
2.68 |
% |
|
2.76 |
% |
|||||
Total interest-earning assets |
|
3.41 |
% |
|
3.69 |
% |
|
3.57 |
% |
|
3.75 |
% |
|
4.00 |
% |
|||||
Deposits |
|
0.26 |
% |
|
0.34 |
% |
|
0.44 |
% |
|
0.59 |
% |
|
0.73 |
% |
|||||
Borrowings and repurchase agreements |
|
1.52 |
% |
|
1.52 |
% |
|
1.55 |
% |
|
1.84 |
% |
|
2.23 |
% |
|||||
Total interest-bearing liabilities |
|
0.45 |
% |
|
0.57 |
% |
|
0.71 |
% |
|
0.94 |
% |
|
1.17 |
% |
|||||
Other information: | ||||||||||||||||||||
Full-time equivalent employees |
|
183 |
|
|
186 |
|
|
179 |
|
|
178 |
|
|
170 |
|
|||||
(1) Annualized. | ||||||||||||||||||||
(2) Efficiency ratio is defined as total non-interest expense divided by sum of net interest income and total non-interest income. | ||||||||||||||||||||
(3) Loan amounts exclude deferred fees/costs. | ||||||||||||||||||||
(4) The amounts for total non-performing loans and total non-performing assets are the same for the periods presented since there were no impaired investments or other real estate owned (OREO) recorded. |
U.S. CENTURY BANK AND SUBSIDIARIES (UNAUDITED) | ||||||||||||||||||
NET INTEREST INCOME | ||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Three Months Ended June 30, |
||||||||||||||||||
2021 |
|
2020 |
||||||||||||||||
Average
|
|
Interest |
|
Yield/Rate (1) |
|
Average
|
|
Interest |
|
Yield/Rate (1) |
||||||||
Assets | ||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||
Loans (2) | $ |
1,088,492 |
$ |
11,538 |
4.19 |
% |
$ |
1,038,869 |
$ |
11,974 |
4.56 |
% |
||||||
Investment securities |
|
385,090 |
|
1,968 |
2.04 |
% |
|
176,744 |
|
1,218 |
2.76 |
% |
||||||
Other interest earnings assets |
|
101,134 |
|
23 |
0.09 |
% |
|
95,464 |
|
67 |
0.28 |
% |
||||||
Total interest-earning assets |
|
1,574,716 |
|
13,529 |
3.41 |
% |
|
1,311,077 |
|
13,259 |
4.00 |
% |
||||||
Allowance for loan losses |
|
85,344 |
|
93,340 |
||||||||||||||
Total assets | $ |
1,660,060 |
$ |
1,404,417 |
||||||||||||||
Liabilities and stockholders' equity | ||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||
Interest-bearing demand deposits | $ |
52,620 |
|
15 |
0.11 |
% |
$ |
43,480 |
|
44 |
0.41 |
% |
||||||
Saving and money market deposits |
|
607,752 |
|
523 |
0.35 |
% |
|
440,505 |
|
763 |
0.69 |
% |
||||||
Time deposits |
|
235,899 |
|
379 |
0.65 |
% |
|
286,884 |
|
1,306 |
1.83 |
% |
||||||
Total interest-bearing deposits |
|
896,271 |
|
917 |
0.41 |
% |
|
770,869 |
|
2,113 |
1.10 |
% |
||||||
Borrowings and repurchase agreements |
|
36,000 |
|
138 |
1.52 |
% |
|
48,835 |
|
275 |
2.23 |
% |
||||||
Total interest-bearing liabilities |
|
932,271 |
|
1,055 |
0.45 |
% |
|
819,704 |
|
2,388 |
1.17 |
% |
||||||
Non-interest bearing demand deposits |
|
535,894 |
|
395,621 |
||||||||||||||
Other non-interest-bearing liabilities |
|
24,964 |
|
25,305 |
||||||||||||||
Total liabilities |
|
1,493,129 |
|
1,240,630 |
||||||||||||||
Stockholders' equity |
|
166,931 |
|
163,787 |
||||||||||||||
Total liabilities and stockholders' equity | $ |
1,660,060 |
$ |
1,404,417 |
||||||||||||||
Net interest income | $ |
12,474 |
$ |
10,871 |
||||||||||||||
Net interest spread (3) | 2.95 |
% |
2.84 |
% |
||||||||||||||
Net interest margin (4) | 3.14 |
% |
3.28 |
% |
||||||||||||||
(1) Annualized. | ||||||||||||||||||
(2) Average loan balances include non-accrual loans. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs. | ||||||||||||||||||
(3) Net interest spread is the average yield on total interest-earning assets minus the average rate on total interest-bearing liabilities. | ||||||||||||||||||
(4) Net interest margin is the ratio of net interest income to total interest-earning assets. |
U.S. CENTURY BANK AND SUBSIDIARIES (UNAUDITED) | ||||||||||||||||||||
NON-GAAP FINANCIAL MEASURES | ||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
As of and for the three months ended | ||||||||||||||||||||
6/30/2021 | 3/31/2021 | 12/31/2020 | 9/30/2020 | 6/30/2020 | ||||||||||||||||
PTPP Income: | ||||||||||||||||||||
Net Income | $ |
4,053 |
|
$ |
4,781 |
|
$ |
4,239 |
|
$ |
3,402 |
|
$ |
1,444 |
|
|||||
Plus: Provision for income taxes |
|
1,263 |
|
|
1,498 |
|
|
449 |
|
|
1,106 |
|
|
469 |
|
|||||
Plus: Provision for (recovery of) loan losses |
|
- |
|
|
(160 |
) |
|
- |
|
|
- |
|
|
1,750 |
|
|||||
PTPP income | $ |
5,316 |
|
$ |
6,119 |
|
$ |
4,688 |
|
$ |
4,508 |
|
$ |
3,663 |
|
|||||
PTPP Return on Average Assets: | ||||||||||||||||||||
PTPP income | $ |
5,316 |
|
$ |
6,119 |
|
$ |
4,688 |
|
$ |
4,508 |
|
$ |
3,663 |
|
|||||
Average assets | $ |
1,660,060 |
|
$ |
1,573,881 |
|
$ |
1,522,735 |
|
$ |
1,460,732 |
|
$ |
1,404,417 |
|
|||||
PTPP return on average assets (1) |
|
1.28 |
% |
|
1.58 |
% |
|
1.22 |
% |
|
1.23 |
% |
|
1.05 |
% |
|||||
Operating Net Income: | ||||||||||||||||||||
Net income | $ |
4,053 |
|
$ |
4,781 |
|
$ |
4,239 |
|
$ |
3,402 |
|
$ |
1,444 |
|
|||||
Less: Net gains on sale of securities |
|
187 |
|
|
62 |
|
|
11 |
|
|
- |
|
|
5 |
|
|||||
Less: Tax effect on sale of securities |
|
(46 |
) |
|
(15 |
) |
|
(3 |
) |
|
- |
|
|
(1 |
) |
|||||
Operating net income | $ |
3,912 |
|
$ |
4,734 |
|
$ |
4,231 |
|
$ |
3,402 |
|
$ |
1,440 |
|
|||||
Operating PTPP Income: | ||||||||||||||||||||
PTPP income | $ |
5,316 |
|
$ |
6,119 |
|
$ |
4,688 |
|
$ |
4,508 |
|
$ |
3,663 |
|
|||||
Less: Net gains on sale of securities |
|
187 |
|
|
62 |
|
|
11 |
|
|
- |
|
|
5 |
|
|||||
Operating PTPP Income | $ |
5,129 |
|
$ |
6,057 |
|
$ |
4,677 |
|
$ |
4,508 |
|
$ |
3,658 |
|
|||||
Operating PTPP Return on Average Assets: | ||||||||||||||||||||
Operating PTPP income | $ |
5,129 |
|
$ |
6,057 |
|
$ |
4,677 |
|
$ |
4,508 |
|
$ |
3,658 |
|
|||||
Average assets | $ |
1,660,060 |
|
$ |
1,573,881 |
|
$ |
1,522,735 |
|
$ |
1,460,732 |
|
$ |
1,404,417 |
|
|||||
Operating PTPP Return on average assets (1) |
|
1.24 |
% |
|
1.56 |
% |
|
1.22 |
% |
|
1.23 |
% |
|
1.05 |
% |
|||||
Operating Return on Average Asset: | ||||||||||||||||||||
Operating net income | $ |
3,912 |
|
$ |
4,734 |
|
$ |
4,231 |
|
$ |
3,402 |
|
$ |
1,440 |
|
|||||
Average assets | $ |
1,660,060 |
|
$ |
1,573,881 |
|
$ |
1,522,735 |
|
$ |
1,460,732 |
|
$ |
1,404,417 |
|
|||||
Operating return on average assets (1) |
|
0.95 |
% |
|
1.22 |
% |
|
1.11 |
% |
|
0.93 |
% |
|
0.41 |
% |
|||||
(1) Annualized. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20210730005530/en/
Investor Relations
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Media Relations
Martha Guerra-Kattou
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(305) 715-5141