BOSTON, April 22, 2021 (GLOBE NEWSWIRE) -- Meridian Bancorp, Inc. (the “Company” or “Meridian”) (NASDAQ: EBSB), the holding company for East Boston Savings Bank (the “Bank”), announced net income of $24.3 million, or $0.48 per diluted share, for the quarter ended March 31, 2021, compared to $18.1 million, or $0.36 per diluted share for the quarter ended December 31, 2020, and $13.0 million, or $0.25 per diluted share, for the quarter ended March 31, 2020. The Company’s return on average assets was 1.46% for the quarter ended March 31, 2021, compared to 1.10% for the quarter ended December 31, 2020, and 0.82% for the quarter ended March 31, 2020. The Company’s return on average equity was 12.45% for the quarter ended March 31, 2021, compared to 9.51% for the quarter ended December 31, 2020, and 7.09% for the quarter ended March 31, 2020.
Richard J. Gavegnano, Chairman, President and Chief Executive Officer, said, “I am pleased to report record quarterly net income of $24.3 million for the first quarter of 2021, representing increases of $6.2 million, or 34.2% compared to the fourth quarter of 2020, and $11.3 million, or 87.4%, compared to the first quarter of 2020. These earnings reflect a 7.3% increase in net interest income for the first quarter of 2021 compared to the first quarter of 2020, improving the net interest margin to 3.07% from 2.99% over the same period, a result of management’s focus on maintaining loan yields while aggressively decreasing our cost of funds. Also, strong asset quality and changes in the volume and mix of our loan portfolio resulted in a decrease in our percentage of allowance to total loans to 1.20% at March 31, 2021, from 1.25% at December 31, 2020, due to a provision reversal of $5.2 million during the first quarter of 2021.”
The Company’s net interest income was $48.4 million for the quarter ended March 31, 2021, an increase of $3.3 million, or 7.3%, from the quarter ended March 31, 2020. The interest rate spread and net interest margin on a tax-equivalent basis were 2.91% and 3.07%, respectively, for the quarter ended March 31, 2021 compared to 2.67% and 2.99%, respectively, for the quarter ended March 31, 2020. Total interest and dividend income totaled $57.7 million for the quarter ended March 31, 2021, a decrease of $8.3 million, or 12.6% from the quarter ended March 31, 2020. The Company’s yield on interest-earning assets on a tax-equivalent basis was 3.65% for the quarter ended March 31, 2021, down 70 basis points from the quarter ended March 31, 2020. Total interest expense totaled $9.3 million for the quarter ended March 31, 2021, a decrease of $11.6 million, or 55.4%, from the quarter ended March 31, 2020. Interest expense on deposits decreased to $5.7 million for the quarter ended March 31, 2021, a decrease of $11.0 million, or 65.8%, from the quarter ended March 31, 2020 primarily due to a decrease in the cost of average total deposits to 0.45% from 1.38% for the quarter ended March 31, 2020. The Company’s total cost of funds was 0.65% for the quarter ended March 31, 2021, a decrease of 87 basis points from 1.52% for the quarter ended March 31, 2020.
The Company recognized a reversal of $5.2 million in its provision for credit losses for the quarter ended March 31, 2021, compared to a provision of $8.9 million for the quarter ended December 31, 2020 and $725,000 for the quarter ended March 31, 2020. The allowance for credit losses on loans was $63.4 million or 1.20% of total loans at March 31, 2021, compared to $68.8 million or 1.25% of total loans at December 31, 2020, and $50.9 million or 0.89% of total loans at March 31, 2020. Net charge-offs totaled $152,000 for the quarter ended March 31, 2021 and non-performing assets were $3.1 million, or 0.05% of total assets, at March 31, 2021, compared to $3.2 million, or 0.05% of total assets, at March 31, 2020.
Non-interest income was $4.9 million for the quarter ended March 31, 2021, an increase of $5.8 million from an $831,000 loss for the quarter ended March 31, 2020, due primarily to a $4.8 million in valuation increase on marketable equity securities, net, and $1.3 million in gains realized on marketable equity securities, net, sold during the period, partially offset by a decrease of $579,000 in loan fees. Non-interest expenses were $25.5 million, or 1.53% of average assets for the quarter ended March 31, 2021, compared to $26.3 million, or 1.66% of average assets for the quarter ended March 31, 2020, a decrease of $777,000, or 3.0%. The Company’s efficiency ratio was 49.55% for the quarter ended March 31, 2021 compared to 54.18% for the quarter ended March 31, 2020. The Company recorded a provision for income taxes of $8.7 million for the quarter ended March 31, 2021, reflecting an effective tax rate of 26.4%, compared to $4.2 million, or an effective tax rate of 24.6%, for the quarter ended March 31, 2020.
Total assets were $6.504 billion at March 31, 2021, down $115.6 million, or 1.8%, from $6.620 billion at December 31, 2020. Net loans were $5.224 billion at March 31, 2021 down $219.8 million, or 4.0%, from December 31, 2020, despite loan originations of $271.9 million during the quarter ended March 31, 2021. The net decrease in loans for the three months ended March 31, 2021 was primarily due to decreases of $105.5 million in construction loans, $79.9 million in commercial real estate loans and $46.7 million in one- to four-family loans, partially offset by a net increase of $14.4 million in commercial and industrial loans, which includes the origination of $52.4 million in PPP loans during the quarter ended March 31, 2021. The allowance for credit losses on loans decreased $5.4 million, or 7.8%, to $63.4 million during the quarter ended March 31, 2021 from $68.8 million at December 31, 2020, primarily due to changes in the volume and mix of the loan portfolio.
Total deposits were $5.097 billion at March 31, 2021, up $16.2 million, or 0.3%, from $5.081 billion at December 31, 2020. Core deposits, which exclude certificates of deposit, increased $74.8 million, or 1.9%, during the quarter ended March 31, 2021 to $3.937 billion, or 77.2% of total deposits, compared to 76.0% at December 31, 2020. Certificates of deposit decreased $58.6 million during the quarter ended March 31, 2021, inclusive of a $59.9 million decrease in brokered deposits. Total borrowings were $560.6 million at March 31, 2021, down $147.6 million, or 20.8%, from December 31, 2020, primarily due to the payoffs of $50.0 million in matured advances from the FHLB and all remaining funds from the Federal Reserve’s PPPLF program.
Total stockholders’ equity increased $20.2 million, or 2.6%, to $789.1 million at March 31, 2021 from $768.9 million at December 31, 2020. The increase for the quarter ended March 31, 2021 was primarily due to net income of $24.3 million, partially offset by dividends of $0.10 per share totaling $5.0 million. Stockholders’ equity to assets was 12.13% at March 31, 2021, compared to 11.61% at December 31, 2020. Tangible book value per share increased to $14.63 at March 31, 2021 from $14.25 at December 31, 2020. Market price per share increased 23.5% to $18.42 at March 31, 2021 from $14.91 at December 31, 2020. The Company and the Bank exceeded the minimum requirement to be considered well capitalized at March 31, 2021.
Meridian Bancorp, Inc. is the holding company for East Boston Savings Bank. East Boston Savings Bank, a Massachusetts-chartered stock savings bank founded in 1848, operates 43 branches in the greater Boston metropolitan area, including 42 full-service locations and one mobile branch. We offer a variety of deposit and loan products to individuals and businesses located in our primary market, which consists of Essex, Middlesex, Norfolk and Suffolk Counties, Massachusetts. For additional information, visit www.ebsb.com.
Forward Looking Statements
Certain statements herein constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of Meridian Bancorp, Inc.’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, general economic conditions, the effects of any health pandemic, changes in interest rates, regulatory considerations, and competition and the risk factors described in the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission. Should one or more of these risks materialize or should underlying beliefs or assumptions prove incorrect, Meridian Bancorp, Inc.’s actual results could differ materially from those discussed. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release.
MERIDIAN BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||
| (Dollars in thousands) | |||||||||||
| ASSETS | |||||||||||
| Cash and due from banks | $ | 1,034,107 | $ | 914,586 | $ | 457,048 | |||||
| Certificates of deposit | — | — | 247 | ||||||||
| Securities available for sale, at fair value | 10,518 | 11,326 | 13,820 | ||||||||
| Marketable equity securities, at fair value | 8,900 | 12,189 | 13,130 | ||||||||
| Federal Home Loan Bank stock, at cost | 28,447 | 30,658 | 33,278 | ||||||||
| Loans held for sale | 7,422 | 8,224 | 3,403 | ||||||||
| Loans: | |||||||||||
| One- to four-family | 517,442 | 564,146 | 657,245 | ||||||||
| Home equity lines of credit | 64,370 | 68,721 | 78,016 | ||||||||
| Multi-family | 878,331 | 880,552 | 972,122 | ||||||||
| Commercial real estate | 2,419,715 | 2,499,660 | 2,622,379 | ||||||||
| Construction | 625,961 | 731,432 | 716,477 | ||||||||
| Commercial and industrial | 779,603 | 765,195 | 638,695 | ||||||||
| Consumer | 10,307 | 10,707 | 11,888 | ||||||||
| Total loans | 5,295,729 | 5,520,413 | 5,696,822 | ||||||||
| Allowance for credit losses on loans | (63,436 | ) | (68,824 | ) | (50,946 | ) | |||||
| Net deferred loan origination fees | (8,298 | ) | (7,784 | ) | (6,021 | ) | |||||
| Loans, net | 5,223,995 | 5,443,805 | 5,639,855 | ||||||||
| Bank-owned life insurance | 42,138 | 41,877 | 41,061 | ||||||||
| Premises and equipment, net | 65,394 | 66,850 | 67,527 | ||||||||
| Accrued interest receivable | 22,498 | 23,173 | 13,868 | ||||||||
| Deferred tax asset, net | 21,418 | 21,355 | 16,782 | ||||||||
| Goodwill | 20,378 | 20,378 | 20,378 | ||||||||
| Core deposit intangible | 1,548 | 1,651 | 2,005 | ||||||||
| Other assets | 17,162 | 23,776 | 26,152 | ||||||||
| Total assets | $ | 6,503,925 | $ | 6,619,848 | $ | 6,348,554 | |||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||
| Deposits: | |||||||||||
| Non interest-bearing demand deposits | $ | 751,809 | $ | 711,573 | $ | 572,847 | |||||
| Interest-bearing demand deposits | 1,461,236 | 1,364,548 | 1,292,384 | ||||||||
| Money market deposits | 852,747 | 930,507 | 699,026 | ||||||||
| Regular savings and other deposits | 870,961 | 855,329 | 867,536 | ||||||||
| Certificates of deposit | 1,160,616 | 1,219,210 | 1,390,156 | ||||||||
| Total deposits | 5,097,369 | 5,081,167 | 4,821,949 | ||||||||
| Short-term borrowings | — | — | 25,000 | ||||||||
| Long-term debt | 560,625 | 708,245 | 720,873 | ||||||||
| Accrued expenses and other liabilities | 56,847 | 61,551 | 61,111 | ||||||||
| Total liabilities | 5,714,841 | 5,850,963 | 5,628,933 | ||||||||
| Stockholders' equity: | |||||||||||
| Preferred stock, $0.01 par value, 50,000,000 shares authorized; none issued | — | — | — | ||||||||
| Common stock, $0.01 par value, 100,000,000 shares authorized; 52,430,554, 52,415,061 and 52,402,395 shares issued at March 31, 2021, December 31, 2020 and March 31, 2020, respectively | 524 | 524 | 524 | ||||||||
| Additional paid-in capital | 364,751 | 363,995 | 360,901 | ||||||||
| Retained earnings | 439,593 | 420,297 | 374,712 | ||||||||
| Accumulated other comprehensive income (loss) | (131 | ) | (58 | ) | 19 | ||||||
| Unearned compensation - ESOP; 2,161,304, 2,191,745 and 2,283,068 shares at March 31, 2021, December 31, 2020 and March 31, 2020, respectively | (15,653 | ) | (15,873 | ) | (16,535 | ) | |||||
| Total stockholders' equity | 789,084 | 768,885 | 719,621 | ||||||||
| Total liabilities and stockholders' equity | $ | 6,503,925 | $ | 6,619,848 | $ | 6,348,554 | |||||
MERIDIAN BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF NET INCOME
(Unaudited)
| Three Months Ended | |||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||
| (Dollars in thousands, except per share amounts) | |||||||||||
| Interest and dividend income: | |||||||||||
| Interest and fees on loans | $ | 57,162 | $ | 61,599 | $ | 64,037 | |||||
| Interest on debt securities | 65 | 68 | 100 | ||||||||
| Dividends on marketable equity securities | 124 | 158 | 94 | ||||||||
| Interest on certificates of deposit | — | — | 1 | ||||||||
| Other interest and dividend income | 370 | 514 | 1,786 | ||||||||
| Total interest and dividend income | 57,721 | 62,339 | 66,018 | ||||||||
| Interest expense: | |||||||||||
| Interest on deposits | 5,729 | 6,883 | 16,769 | ||||||||
| Interest on borrowings | 3,591 | 4,001 | 4,151 | ||||||||
| Total interest expense | 9,320 | 10,884 | 20,920 | ||||||||
| Net interest income | 48,401 | 51,455 | 45,098 | ||||||||
| Provision (reversal) for credit losses | (5,236 | ) | 8,927 | 725 | |||||||
| Net interest income, after provision (reversal) for credit losses | 53,637 | 42,528 | 44,373 | ||||||||
| Non-interest income: | |||||||||||
| Customer service fees | 2,199 | 2,355 | 2,097 | ||||||||
| Loan fees (costs) | 95 | (422 | ) | 674 | |||||||
| Mortgage banking gains, net | 582 | 728 | 411 | ||||||||
| Gain (loss) on marketable equity securities, net | 1,785 | 2,853 | (4,344 | ) | |||||||
| Income from bank-owned life insurance | 261 | 271 | 297 | ||||||||
| Other income | 9 | 82 | 34 | ||||||||
| Total non-interest income | 4,931 | 5,867 | (831 | ) | |||||||
| Non-interest expenses: | |||||||||||
| Salaries and employee benefits | 15,516 | 14,704 | 15,914 | ||||||||
| Occupancy and equipment | 4,231 | 3,833 | 3,924 | ||||||||
| Data processing | 2,241 | 2,205 | 2,137 | ||||||||
| Marketing and advertising | 896 | 1,165 | 1,230 | ||||||||
| Professional services | 730 | 594 | 997 | ||||||||
| Deposit insurance | 513 | 404 | 669 | ||||||||
| Other general and administrative | 1,416 | 1,189 | 1,449 | ||||||||
| Total non-interest expenses | 25,543 | 24,094 | 26,320 | ||||||||
| Income before income taxes | 33,025 | 24,301 | 17,222 | ||||||||
| Provision for income taxes | 8,705 | 6,180 | 4,245 | ||||||||
| Net income | $ | 24,320 | $ | 18,121 | $ | 12,977 | |||||
| Earnings per share: | |||||||||||
| Basic | $ | 0.48 | $ | 0.36 | $ | 0.26 | |||||
| Diluted | $ | 0.48 | $ | 0.36 | $ | 0.25 | |||||
| Weighted average shares outstanding: | |||||||||||
| Basic | 50,239,611 | 50,201,720 | 50,634,983 | ||||||||
| Diluted | 50,565,459 | 50,295,295 | 50,920,259 | ||||||||
MERIDIAN BANCORP, INC. AND SUBSIDIARIES
NET INTEREST INCOME ANALYSIS
(Unaudited)
| Three Months Ended | |||||||||||||||||||||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||||||||||||||||||||
| Average Balance | Interest (1) | Yield/ Cost (1)(6) | Average Balance | Interest (1) | Yield/ Cost (1)(6) | Average Balance | Interest (1) | Yield/ Cost (1)(6) | |||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||||||||
| Assets: | |||||||||||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||||||||||
| Loans (2) | $ | 5,429,311 | $ | 57,954 | 4.33 | % | $ | 5,613,834 | $ | 62,400 | 4.42 | % | $ | 5,741,852 | $ | 64,758 | 4.54 | % | |||||||||||
| Securities and certificates of deposit | 20,839 | 208 | 4.05 | 25,855 | 258 | 3.97 | 29,290 | 211 | 2.90 | ||||||||||||||||||||
| Other interest-earning assets (3) | 1,057,264 | 370 | 0.14 | 777,307 | 514 | 0.26 | 400,315 | 1,786 | 1.79 | ||||||||||||||||||||
| Total interest-earning assets | 6,507,414 | 58,532 | 3.65 | 6,416,996 | 63,172 | 3.92 | 6,171,457 | 66,755 | 4.35 | ||||||||||||||||||||
| Noninterest-earning assets | 155,169 | 164,339 | 157,398 | ||||||||||||||||||||||||||
| Total assets | $ | 6,662,583 | $ | 6,581,335 | $ | 6,328,855 | |||||||||||||||||||||||
| Liabilities and stockholders' equity: | |||||||||||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||||||||||
| Interest-bearing demand deposits | $ | 1,462,239 | $ | 1,408 | 0.39 | $ | 1,362,686 | $ | 1,727 | 0.50 | $ | 1,280,003 | $ | 4,497 | 1.41 | ||||||||||||||
| Money market deposits | 877,613 | 780 | 0.36 | 839,992 | 1,026 | 0.49 | 691,897 | 2,055 | 1.19 | ||||||||||||||||||||
| Regular savings and other deposits | 861,439 | 536 | 0.25 | 851,711 | 729 | 0.34 | 906,100 | 2,531 | 1.12 | ||||||||||||||||||||
| Certificates of deposit | 1,223,333 | 3,005 | 1.00 | 1,221,585 | 3,401 | 1.11 | 1,475,016 | 7,686 | 2.10 | ||||||||||||||||||||
| Total interest-bearing deposits | 4,424,624 | 5,729 | 0.53 | 4,275,974 | 6,883 | 0.64 | 4,353,016 | 16,769 | 1.55 | ||||||||||||||||||||
| Borrowings | 666,856 | 3,591 | 2.18 | 787,406 | 4,001 | 2.02 | 654,740 | 4,151 | 2.55 | ||||||||||||||||||||
| Total interest-bearing liabilities | 5,091,480 | 9,320 | 0.74 | 5,063,380 | 10,884 | 0.86 | 5,007,756 | 20,920 | 1.68 | ||||||||||||||||||||
| Noninterest-bearing demand deposits | 734,316 | 700,341 | 535,182 | ||||||||||||||||||||||||||
| Other noninterest-bearing liabilities | 55,337 | 55,742 | 53,688 | ||||||||||||||||||||||||||
| Total liabilities | 5,881,133 | 5,819,463 | 5,596,626 | ||||||||||||||||||||||||||
| Total stockholders' equity | 781,450 | 761,872 | 732,229 | ||||||||||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 6,662,583 | $ | 6,581,335 | $ | 6,328,855 | |||||||||||||||||||||||
| Net interest-earning assets | $ | 1,415,934 | $ | 1,353,616 | $ | 1,163,701 | |||||||||||||||||||||||
| Fully tax-equivalent net interest income | 49,212 | 52,288 | 45,835 | ||||||||||||||||||||||||||
| Less: tax-equivalent adjustments | (811 | ) | (833 | ) | (737 | ) | |||||||||||||||||||||||
| Net interest income | $ | 48,401 | $ | 51,455 | $ | 45,098 | |||||||||||||||||||||||
| Interest rate spread (1)(4) | 2.91 | % | 3.06 | % | 2.67 | % | |||||||||||||||||||||||
| Net interest margin (1)(5) | 3.07 | % | 3.24 | % | 2.99 | % | |||||||||||||||||||||||
| Average interest-earning assets to average | |||||||||||||||||||||||||||||
| interest-bearing liabilities | 127.81 | % | 126.73 | % | 123.24 | % | |||||||||||||||||||||||
| Supplemental Information: | |||||||||||||||||||||||||||||
| Total deposits, including noninterest-bearing | |||||||||||||||||||||||||||||
| demand deposits | $ | 5,158,940 | $ | 5,729 | 0.45 | % | $ | 4,976,315 | $ | 6,883 | 0.55 | % | $ | 4,888,198 | $ | 16,769 | 1.38 | % | |||||||||||
| Total deposits and borrowings, including | |||||||||||||||||||||||||||||
| noninterest-bearing demand deposits | $ | 5,825,796 | $ | 9,320 | 0.65 | % | $ | 5,763,721 | $ | 10,884 | 0.75 | % | $ | 5,542,938 | $ | 20,920 | 1.52 | % | |||||||||||
| (1) | Income on debt securities, equity securities and revenue bonds included in commercial real estate loans, as well as resulting yields, interest rate spread and net interest margin, are presented on a tax-equivalent basis. The tax-equivalent adjustments are deducted from tax-equivalent net interest income to agree to amounts reported in the consolidated statements of net income. For the quarters ended March 31, 2021, December 31, 2020 and March 31, 2020, yields on loans before tax-equivalent adjustments were 4.27%, 4.37% and 4.49%, respectively, yields on securities and certificates of deposit before tax-equivalent adjustments were 3.68%, 3.48% and 2.68%, respectively, and yield on total interest-earning assets before tax-equivalent adjustments were 3.60%, 3.86% and 4.30%, respectively. Interest rate spread before tax-equivalent adjustments for the quarters ended March 31, 2021, December 31, 2020 and March 31, 2020 was 2.86%, 3.00% and 2.62%, respectively, while net interest margin before tax-equivalent adjustments for the three months ended March 31, 2021, December 31, 2020 and March 31, 2020 was 3.02%, 3.19% and 2.94%, respectively. | |
| (2) | Loans on non-accrual status are included in average balances. | |
| (3) | Includes Federal Home Loan Bank stock and associated dividends. | |
| (4) | Interest rate spread represents the difference between the tax-equivalent yield on interest-earning assets and the cost of interest-bearing liabilities. | |
| (5) | Net interest margin represents net interest income (tax-equivalent basis) divided by average interest-earning assets. | |
| (6) | Annualized. | |
MERIDIAN BANCORP, INC. AND SUBSIDIARIES
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
| Three Months Ended | ||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | ||||||
| Key Performance Ratios | ||||||||
| Return on average assets (1) | 1.46 | % | 1.10 | % | 0.82 | % | ||
| Return on average equity (1) | 12.45 | 9.51 | 7.09 | |||||
| Interest rate spread (1) (2) | 2.91 | 3.06 | 2.67 | |||||
| Net interest margin (1) (3) | 3.07 | 3.24 | 2.99 | |||||
| Non-interest expense to average assets (1) | 1.53 | 1.46 | 1.66 | |||||
| Efficiency ratio (4) | 49.55 | 44.23 | 54.18 | |||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||
| (Dollars in thousands) | |||||||||||
| Asset Quality | |||||||||||
| Non-accrual loans: | |||||||||||
| One- to four-family | $ | 2,466 | $ | 2,617 | $ | 2,846 | |||||
| Home equity lines of credit | 20 | 20 | 20 | ||||||||
| Commercial and industrial | 635 | 527 | 323 | ||||||||
| Total non-accrual loans | 3,121 | 3,164 | 3,189 | ||||||||
| Foreclosed assets | — | — | — | ||||||||
| Total non-performing assets | $ | 3,121 | $ | 3,164 | $ | 3,189 | |||||
| Allowance for credit losses on loans/total loans | 1.20 | % | 1.25 | % | 0.89 | % | |||||
| Allowance for credit losses on loans/non-accrual loans | 2,032.55 | 2,175.22 | 1,597.55 | ||||||||
| Non-accrual loans/total loans | 0.06 | 0.06 | 0.06 | ||||||||
| Non-accrual loans/total assets | 0.05 | 0.05 | 0.05 | ||||||||
| Non-performing assets/total assets | 0.05 | 0.05 | 0.05 | ||||||||
| Capital and Share Related | |||||||||||
| Stockholders' equity to total assets | 12.13 | % | 11.61 | % | 11.34 | % | |||||
| Book value per share | $ | 15.05 | $ | 14.67 | $ | 13.73 | |||||
| Tangible book value per share (5) | $ | 14.63 | $ | 14.25 | $ | 13.31 | |||||
| Market value per share | $ | 18.42 | $ | 14.91 | $ | 11.22 | |||||
| Shares outstanding | 52,430,554 | 52,415,061 | 52,402,395 | ||||||||
| (1) | Quarterly amounts are annualized. | |
| (2) | Interest rate spread represents the difference between the tax-equivalent yield on interest-earning assets and the cost of interest-bearing liabilities. | |
| (3) | Net interest margin represents net interest income (tax-equivalent basis) divided by average interest-earning assets. | |
| (4) | The efficiency ratio is a non-GAAP measure representing non-interest expense divided by the sum of net interest income and non-interest income excluding gains and losses on marketable equity securities. The efficiency ratio is a common measure used by banks to understand expenses related to the generation of revenue. We have removed gains and losses on marketable equity securities as management deems them to be either discretionary or market driven and not representative of operating performance. Presented on a basis including gains and losses on marketable equity securities and gains and losses on sale of assets the efficiency ratio was 47.89%, 42.03% and 59.46% for the quarters ended March 31, 2021, December 31, 2020, and March 31, 2020, respectively. | |
| (5) | Tangible book value per share represents total stockholders’ equity less goodwill and other intangible assets divided by the number of shares outstanding. | |
Contact: Richard J. Gavegnano, Chairman, President and Chief Executive Officer
(978) 977-2211