Affinity Bancshares, Inc. Announces Fourth Quarter and Full Year 2023 Financial Results
- Net income of $1.5 million for the three months ended December 31, 2023
- Total assets increased to $843.3 million
- Total gross loans increased to $659.9 million
- Efficiency ratio stood at 74.30% for the three months ended December 31, 2023
- Non-performing loans increased to $7.4 million
- Decrease in net interest margin
- Net loan charge-offs were $404,000 for the year ended December 31, 2023
Insights
The reported net income decline for Affinity Bancshares, Inc. from $1.7 million to $1.5 million for the quarter ending December 31, 2023, indicates a contraction in profitability year-over-year. A key driver of this contraction is the increased deposit interest expense, which has outpaced the growth in interest income. This could be a reflection of rising interest rates and the bank's need to offer more competitive rates for deposits to attract and retain customers.
Moreover, the year-over-year decrease in net interest margin from 3.85% to 3.32% for the quarter and from 4.14% to 3.35% for the full year suggests a tightening of the spread between the interest income generated by the bank and the amount of interest paid out to depositors. It is essential to consider how these factors might influence the bank's future interest income and expense management strategies, particularly in an environment where the Federal Reserve is adjusting rates.
The increase in total assets to $843.3 million, coupled with a rise in total gross loans, reflects Affinity Bancshares' growth in its lending portfolio and suggests a strategic focus on expanding its credit offerings. The bank's liquidity position, indicated by the increase in cash and cash equivalents, is a positive sign for its operational flexibility. However, the shift in deposit composition, with a significant increase in certificates of deposits, may reflect a broader market trend where customers seek higher yields in a rising interest rate environment.
It is also noteworthy that the bank has increased its borrowings to enhance liquidity, which may indicate a proactive approach to managing its balance sheet amid uncertain market conditions. The increment in brokered deposits and their associated interest rates should be monitored for their impact on the bank's cost of funds and overall financial stability.
Asset quality is an essential indicator of a bank's health and risk profile. The increase in non-performing loans from $6.7 million to $7.4 million is a concern as it may signal potential issues in loan repayments. The decrease in the allowance for credit losses as a percentage of non-performing loans from 138.8% to 120.1% suggests that the bank has a lower reserve relative to the risk of default, which could be a point of vulnerability if loan performance deteriorates further.
Additionally, the shift from net recoveries to net loan charge-offs year-over-year should be carefully evaluated for its implications on the bank's credit risk management practices and the quality of its loan portfolio. Stakeholders should consider the potential impact of these risk factors on the bank's financial health and the effectiveness of its strategies to mitigate credit risk.
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At or for the three months ended, |
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Performance Ratios: |
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December 31, 2023 |
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September 30, 2023 |
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June 30, 2023 |
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March 31, 2023 |
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December 31, 2022 |
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Net income (in thousands) |
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$ |
1,514 |
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$ |
1,623 |
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$ |
1,590 |
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$ |
1,722 |
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$ |
1,699 |
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Diluted earnings per share |
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0.23 |
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0.25 |
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|
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0.24 |
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0.26 |
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0.26 |
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Common book value per share |
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18.94 |
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18.50 |
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18.34 |
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18.02 |
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17.73 |
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Tangible book value per share (1) |
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16.08 |
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15.63 |
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15.47 |
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15.20 |
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14.92 |
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Total assets (in thousands) |
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843,258 |
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855,431 |
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876,905 |
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932,302 |
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791,283 |
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Return on average assets |
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0.70 |
% |
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0.74 |
% |
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0.71 |
% |
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0.84 |
% |
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0.84 |
% |
Return on average equity |
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5.03 |
% |
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5.42 |
% |
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5.37 |
% |
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5.90 |
% |
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5.78 |
% |
Equity to assets |
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14.41 |
% |
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13.85 |
% |
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13.45 |
% |
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12.69 |
% |
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14.80 |
% |
Tangible equity to tangible assets (1) |
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12.50 |
% |
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11.95 |
% |
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11.59 |
% |
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10.92 |
% |
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12.75 |
% |
Net interest margin |
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3.32 |
% |
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3.36 |
% |
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3.17 |
% |
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3.58 |
% |
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3.85 |
% |
Efficiency ratio |
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74.30 |
% |
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71.78 |
% |
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71.68 |
% |
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69.73 |
% |
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71.38 |
% |
(1) Non-GAAP measure - see “Explanation of Certain Unaudited Non-GAAP Financial Measures” for more information and reconciliation to GAAP. |
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Net Income
-
Net income was
$1.5 million $1.7 million -
Net income was
$6.4 million $7.1 million
Results of Operations
-
Net interest income was
$6.7 million $7.3 million -
Net interest income was
$27.2 million $29.8 million -
Net interest margin for the three months ended December 31, 2023 decreased to
3.32% from3.85% for the three months ended December 31, 2022. Net interest margin for the year ended December 31, 2023 decreased to3.35% from4.14% for the year ended December 31, 2022. The decreases in the margin relate to increases in our costs of funds exceeding our increases in our yield on interest-earning assets. The decrease in the margin for the year ended December 31, 2023 was also impacted by the fair value mark on the FHLB advances from acquisition that was recognized upon payoff during the first quarter of 2022.-
Adjusted net interest margin for the year ended December 31, 2023 (see Non-GAAP reconciliation) decreased 65 basis points from
4.00% for the year ended December 31, 2022 to3.35% .
-
Adjusted net interest margin for the year ended December 31, 2023 (see Non-GAAP reconciliation) decreased 65 basis points from
-
Noninterest income increased
$40,000 $606,000 $64,000 $2.5 million -
Non-interest expense decreased
$209,000 $5.4 million $808,000 $21.3 million
Financial Condition
-
Total assets increased
$52.0 million $843.3 million $791.3 million -
Total gross loans increased
$13.6 million $659.9 million $646.2 million -
Non-owner occupied office loans totaled
$26.7 million 41.0% , including-
$11.0 million -
$15.7 million
-
-
Investment securities held-to-maturity unrealized losses were
$277,000 $6.3 million -
Cash and cash equivalents increased
$23.7 million $50.0 million $26.3 million -
Deposits increased by
$17.2 million $674.4 million $657.2 million $95.0 million $77.7 million $72.4 million 4.87% . -
Uninsured deposits were approximately
$95.5 million 14.0% of total deposits, excluding deposits collateralized by public funds and internal accounts. -
Borrowings increased by
$30.0 million $40.0 million $10.0 million
Asset Quality
-
Non-performing loans increased to
$7.4 million $6.7 million -
The allowance for credit losses as a percentage of non-performing loans was
120.1% at December 31, 2023, as compared to138.8% at December 31, 2022. -
Allowance for credit losses to total loans decreased to
1.35% at December 31, 2023 from1.46% at December 31, 2022. -
Net loan charge-offs were
$404,000 $62,000
About Affinity Bancshares, Inc.
The Company is a
Forward-Looking Statements
In addition to historical information, this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which describe the future plans, strategies and expectations of the Company. Forward-looking statements can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “assume,” “plan,” “seek,” “expect,” “will,” “may,” “should,” “indicate,” “would,” “contemplate,” “continue,” “target” and words of similar meaning. Forward-looking statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Accordingly, you should not place undue reliance on such statements. We are under no duty to and do not take any obligation to update any forward-looking statements after the date of this report. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to, changes in general economic conditions, interest rates and inflation; changes in asset quality; our ability to access cost-effective funding; fluctuations in real estate values; changes in laws or regulations; changes in liquidity, including the size and composition of our deposit portfolio and the percentage of uninsured deposits in the portfolio; changes in technology; failures or breaches of our IT security systems; our ability to introduce new products and services and capitalize on growth opportunities; changes in the value of our goodwill and other intangible assets; our ability to successfully integrate acquired operations or assets; changes in accounting policies and practices; our ability to retain key employees; the effects of any pandemic; and the effects of natural disasters and geopolitical events, including terrorism, conflict and acts of war. These risks and other uncertainties are further discussed in the reports that the Company files with the Securities and Exchange Commission.
Average Balance Sheets
The following tables set forth average balance sheets, average annualized yields and costs, and certain other information for the periods indicated. No tax-equivalent yield adjustments have been made, as the effects would be immaterial. All average balances are monthly average balances. Non-accrual loans were included in the computation of average balances. The yields set forth below include the effect of deferred fees, discounts, and premiums that are amortized or accreted to interest income or interest expense.
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For the Three Months Ended December 31, |
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2023 |
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2022 |
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Average
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Interest |
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Average
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Average
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Interest |
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Average
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(Dollars in thousands) |
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Interest-earning assets: |
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Loans |
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$ |
661,913 |
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$ |
9,290 |
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|
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5.57 |
% |
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$ |
650,922 |
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$ |
8,032 |
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4.90 |
% |
Investment securities held-to-maturity |
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34,194 |
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528 |
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6.13 |
% |
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8,809 |
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|
130 |
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5.85 |
% |
Investment securities available-for-sale |
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|
47,268 |
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|
|
473 |
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|
3.97 |
% |
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|
42,653 |
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|
323 |
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3.00 |
% |
Interest-earning deposits and federal funds |
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|
53,442 |
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|
|
709 |
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5.26 |
% |
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|
53,238 |
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|
|
485 |
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|
|
3.61 |
% |
Other investments |
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|
5,177 |
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|
83 |
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|
6.36 |
% |
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|
758 |
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|
8 |
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|
4.19 |
% |
Total interest-earning assets |
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|
801,994 |
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|
|
11,083 |
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|
5.48 |
% |
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|
756,380 |
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|
|
8,978 |
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|
|
4.71 |
% |
Non-interest-earning assets |
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|
52,938 |
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|
|
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50,538 |
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Total assets |
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$ |
854,932 |
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|
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$ |
806,918 |
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Interest-bearing liabilities: |
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Interest-bearing checking accounts |
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$ |
90,298 |
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$ |
99 |
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|
0.43 |
% |
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$ |
95,200 |
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$ |
42 |
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|
0.18 |
% |
Money market accounts |
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|
143,312 |
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|
|
1,069 |
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|
2.96 |
% |
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|
161,901 |
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|
|
470 |
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|
|
1.15 |
% |
Savings accounts |
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|
76,732 |
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|
|
558 |
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|
|
2.89 |
% |
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|
103,772 |
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|
|
499 |
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|
|
1.91 |
% |
Certificates of deposit |
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|
221,817 |
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|
|
2,352 |
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|
|
4.21 |
% |
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|
117,102 |
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|
|
610 |
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|
|
2.07 |
% |
Total interest-bearing deposits |
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|
532,159 |
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|
|
4,078 |
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|
|
3.04 |
% |
|
|
477,975 |
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|
|
1,621 |
|
|
|
1.35 |
% |
FHLB advances and other borrowings |
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|
29,348 |
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|
300 |
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|
4.06 |
% |
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|
2,717 |
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|
20 |
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|
|
2.92 |
% |
Total interest-bearing liabilities |
|
|
561,507 |
|
|
|
4,378 |
|
|
|
3.09 |
% |
|
|
480,692 |
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|
|
1,641 |
|
|
|
1.35 |
% |
Non-interest-bearing liabilities |
|
|
174,077 |
|
|
|
|
|
|
|
|
|
209,683 |
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|
|
|
|
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Total liabilities |
|
|
735,584 |
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|
|
|
|
|
|
|
|
690,375 |
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|
|
|
|
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Total stockholders' equity |
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|
119,348 |
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|
|
|
|
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|
116,543 |
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Total liabilities and stockholders' equity |
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$ |
854,932 |
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|
|
|
|
|
|
|
$ |
806,918 |
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|
|
|
|
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|
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Net interest rate spread |
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|
|
|
|
|
|
|
2.39 |
% |
|
|
|
|
|
|
|
|
3.36 |
% |
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Net interest income |
|
|
|
|
$ |
6,705 |
|
|
|
|
|
|
|
|
$ |
7,337 |
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|
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|
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Net interest margin |
|
|
|
|
|
|
|
|
3.32 |
% |
|
|
|
|
|
|
|
|
3.85 |
% |
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For the Year Ended December 31, |
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|
2023 |
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2022 |
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Average
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Interest |
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Average
|
|
|
Average
|
|
|
Interest |
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Average
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|
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(Dollars in thousands) |
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Interest-earning assets: |
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
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Loans |
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$ |
660,045 |
|
|
$ |
35,422 |
|
|
|
5.37 |
% |
|
$ |
624,908 |
|
|
$ |
30,045 |
|
|
|
4.81 |
% |
Investment securities held-to-maturity |
|
|
33,850 |
|
|
|
2,078 |
|
|
|
6.14 |
% |
|
|
2,220 |
|
|
|
130 |
|
|
|
5.86 |
% |
Investment securities available-for-sale |
|
|
49,024 |
|
|
|
1,772 |
|
|
|
3.61 |
% |
|
|
45,594 |
|
|
|
1,150 |
|
|
|
2.52 |
% |
Interest-earning deposits and federal funds |
|
|
65,333 |
|
|
|
3,236 |
|
|
|
4.95 |
% |
|
|
45,674 |
|
|
|
771 |
|
|
|
1.69 |
% |
Other investments |
|
|
3,014 |
|
|
|
192 |
|
|
|
6.37 |
% |
|
|
1,027 |
|
|
|
38 |
|
|
|
3.70 |
% |
Total interest-earning assets |
|
|
811,266 |
|
|
|
42,700 |
|
|
|
5.26 |
% |
|
|
719,423 |
|
|
|
32,134 |
|
|
|
4.47 |
% |
Non-interest-earning assets |
|
|
51,987 |
|
|
|
|
|
|
|
|
|
51,397 |
|
|
|
|
|
|
|
||||
Total assets |
|
$ |
863,253 |
|
|
|
|
|
|
|
|
$ |
770,820 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Interest-bearing checking accounts |
|
$ |
92,030 |
|
|
$ |
271 |
|
|
|
0.29 |
% |
|
$ |
96,892 |
|
|
$ |
176 |
|
|
|
0.18 |
% |
Money market accounts |
|
|
140,630 |
|
|
|
3,542 |
|
|
|
2.52 |
% |
|
|
154,237 |
|
|
|
752 |
|
|
|
0.49 |
% |
Savings accounts |
|
|
85,555 |
|
|
|
2,238 |
|
|
|
2.62 |
% |
|
|
89,015 |
|
|
|
856 |
|
|
|
0.96 |
% |
Certificates of deposit |
|
|
211,285 |
|
|
|
8,042 |
|
|
|
3.81 |
% |
|
|
97,948 |
|
|
|
1,449 |
|
|
|
1.48 |
% |
Total interest-bearing deposits |
|
|
529,500 |
|
|
|
14,093 |
|
|
|
2.66 |
% |
|
|
438,092 |
|
|
|
3,233 |
|
|
|
0.74 |
% |
FHLB advances and other borrowings |
|
|
32,808 |
|
|
|
1,409 |
|
|
|
4.29 |
% |
|
|
9,887 |
|
|
|
(854 |
) |
|
|
(8.64 |
)% |
Total interest-bearing liabilities |
|
|
562,308 |
|
|
|
15,502 |
|
|
|
2.76 |
% |
|
|
447,979 |
|
|
|
2,379 |
|
|
|
0.53 |
% |
Non-interest-bearing liabilities |
|
|
182,144 |
|
|
|
|
|
|
|
|
|
204,842 |
|
|
|
|
|
|
|
||||
Total liabilities |
|
|
744,452 |
|
|
|
|
|
|
|
|
|
652,821 |
|
|
|
|
|
|
|
||||
Total stockholders' equity |
|
|
118,801 |
|
|
|
|
|
|
|
|
|
117,999 |
|
|
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
|
$ |
863,253 |
|
|
|
|
|
|
|
|
$ |
770,820 |
|
|
|
|
|
|
|
||||
Net interest rate spread |
|
|
|
|
|
|
|
|
2.50 |
% |
|
|
|
|
|
|
|
|
3.94 |
% |
||||
Net interest income |
|
|
|
|
$ |
27,198 |
|
|
|
|
|
|
|
|
$ |
29,755 |
|
|
|
|
||||
Net interest margin |
|
|
|
|
|
|
|
|
3.35 |
% |
|
|
|
|
|
|
|
|
4.14 |
% |
||||
AFFINITY BANCSHARES, INC. Consolidated Balance Sheets |
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|
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|
||
|
|
December 31, 2023 |
|
|
December 31, 2022 |
|
||
|
|
(Dollars in thousands except per share amounts) |
|
|||||
Assets |
|
|||||||
Cash and due from banks |
|
$ |
6,030 |
|
|
$ |
2,928 |
|
Interest-earning deposits in other depository institutions |
|
|
43,995 |
|
|
|
23,396 |
|
Cash and cash equivalents |
|
|
50,025 |
|
|
|
26,324 |
|
Investment securities available-for-sale |
|
|
48,561 |
|
|
|
46,200 |
|
Investment securities held-to-maturity (estimated fair value of |
|
|
34,206 |
|
|
|
26,527 |
|
Other investments |
|
|
5,434 |
|
|
|
1,082 |
|
Loans |
|
|
659,876 |
|
|
|
646,234 |
|
Allowance for credit loss on loans |
|
|
(8,921 |
) |
|
|
(9,325 |
) |
Net loans |
|
|
650,955 |
|
|
|
636,909 |
|
Other real estate owned |
|
|
2,850 |
|
|
|
2,901 |
|
Premises and equipment, net |
|
|
3,797 |
|
|
|
4,257 |
|
Bank owned life insurance |
|
|
16,086 |
|
|
|
15,724 |
|
Intangible assets |
|
|
18,366 |
|
|
|
18,558 |
|
Other assets |
|
|
12,978 |
|
|
|
12,801 |
|
Total assets |
|
$ |
843,258 |
|
|
$ |
791,283 |
|
|
|
|
|
|
|
|
||
Liabilities and Stockholders' Equity |
|
|||||||
|
|
|
|
|
|
|
||
Liabilities: |
|
|
|
|
|
|
||
Non-interest-bearing checking |
|
$ |
154,689 |
|
|
$ |
190,297 |
|
Interest-bearing checking |
|
|
85,362 |
|
|
|
91,167 |
|
Money market accounts |
|
|
138,673 |
|
|
|
148,097 |
|
Savings accounts |
|
|
74,768 |
|
|
|
101,622 |
|
Certificates of deposit |
|
|
220,951 |
|
|
|
125,989 |
|
Total deposits |
|
|
674,443 |
|
|
|
657,172 |
|
Federal Home Loan Bank advances and other borrowings |
|
|
40,000 |
|
|
|
10,025 |
|
Accrued interest payable and other liabilities |
|
|
7,299 |
|
|
|
6,983 |
|
Total liabilities |
|
|
721,742 |
|
|
|
674,180 |
|
Stockholders' equity: |
|
|
|
|
|
|
||
Common stock (par value |
|
|
64 |
|
|
|
66 |
|
Preferred stock (10,000,000 shares authorized, no shares outstanding) |
|
|
— |
|
|
|
— |
|
Additional paid in capital |
|
|
61,026 |
|
|
|
63,130 |
|
Unearned ESOP shares |
|
|
(4,587 |
) |
|
|
(4,795 |
) |
Retained earnings |
|
|
71,345 |
|
|
|
65,357 |
|
Accumulated other comprehensive loss |
|
|
(6,332 |
) |
|
|
(6,655 |
) |
Total stockholders' equity |
|
|
121,516 |
|
|
|
117,103 |
|
Total liabilities and stockholders' equity |
|
$ |
843,258 |
|
|
$ |
791,283 |
|
AFFINITY BANCSHARES, INC. Consolidated Statements of Income (unaudited) |
|||||||||||||||||
|
|
|
Three Months Ended December 31, |
|
|
Year Ended December 31, |
|
||||||||||
|
|
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
||||
|
|
|
(Dollars in thousands except per share amounts) |
|
|||||||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Loans, including fees |
|
|
$ |
9,290 |
|
|
$ |
8,032 |
|
|
$ |
35,422 |
|
|
$ |
30,045 |
|
Investment securities |
|
|
|
1,084 |
|
|
|
461 |
|
|
|
4,042 |
|
|
|
1,318 |
|
Interest-earning deposits |
|
|
|
709 |
|
|
|
485 |
|
|
|
3,236 |
|
|
|
771 |
|
Total interest income |
|
|
|
11,083 |
|
|
|
8,978 |
|
|
|
42,700 |
|
|
|
32,134 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits |
|
|
|
4,078 |
|
|
|
1,621 |
|
|
|
14,093 |
|
|
|
3,233 |
|
FHLB advances and other borrowings |
|
|
|
300 |
|
|
|
20 |
|
|
|
1,409 |
|
|
|
(854 |
) |
Total interest expense |
|
|
|
4,378 |
|
|
|
1,641 |
|
|
|
15,502 |
|
|
|
2,379 |
|
Net interest income before provision for credit losses |
|
|
|
6,705 |
|
|
|
7,337 |
|
|
|
27,198 |
|
|
|
29,755 |
|
Provision for credit losses |
|
|
|
(49 |
) |
|
|
50 |
|
|
|
(42 |
) |
|
|
704 |
|
Net interest income after provision for credit losses |
|
|
|
6,754 |
|
|
|
7,287 |
|
|
|
27,240 |
|
|
|
29,051 |
|
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Service charges on deposit accounts |
|
|
|
398 |
|
|
|
406 |
|
|
|
1,620 |
|
|
|
1,611 |
|
Other |
|
|
|
208 |
|
|
|
160 |
|
|
|
846 |
|
|
|
791 |
|
Total noninterest income |
|
|
|
606 |
|
|
|
566 |
|
|
|
2,466 |
|
|
|
2,402 |
|
Noninterest expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Salaries and employee benefits |
|
|
|
3,205 |
|
|
|
3,002 |
|
|
|
12,252 |
|
|
|
12,221 |
|
Occupancy |
|
|
|
584 |
|
|
|
725 |
|
|
|
2,503 |
|
|
|
2,523 |
|
Data processing |
|
|
|
520 |
|
|
|
471 |
|
|
|
2,025 |
|
|
|
1,947 |
|
FHLB prepayment penalties |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
647 |
|
Other |
|
|
|
1,123 |
|
|
|
1,443 |
|
|
|
4,538 |
|
|
|
4,788 |
|
Total noninterest expenses |
|
|
|
5,432 |
|
|
|
5,641 |
|
|
|
21,318 |
|
|
|
22,126 |
|
Income before income taxes |
|
|
|
1,928 |
|
|
|
2,212 |
|
|
|
8,388 |
|
|
|
9,327 |
|
Income tax expense |
|
|
|
414 |
|
|
|
513 |
|
|
|
1,940 |
|
|
|
2,193 |
|
Net income |
|
|
$ |
1,514 |
|
|
$ |
1,699 |
|
|
$ |
6,448 |
|
|
$ |
7,134 |
|
Weighted average common shares outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
|
|
6,406,156 |
|
|
|
6,628,847 |
|
|
|
6,476,767 |
|
|
|
6,669,389 |
|
Diluted |
|
|
|
6,486,442 |
|
|
|
6,708,922 |
|
|
|
6,557,053 |
|
|
|
6,761,771 |
|
Basic earnings per share |
|
|
$ |
0.24 |
|
|
$ |
0.26 |
|
|
$ |
1.00 |
|
|
$ |
1.07 |
|
Diluted earnings per share |
|
|
$ |
0.23 |
|
|
$ |
0.26 |
|
|
$ |
0.98 |
|
|
$ |
1.06 |
|
Explanation of Certain Unaudited Non-GAAP Financial Measures
Reported amounts are presented in accordance with GAAP. Additionally, the Company believes the following information is utilized by regulators and market analysts to evaluate a company’s financial condition and, therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures which may be presented by other companies. Refer to the Non-GAAP Reconciliation tables below for details on the earnings impact of these items.
|
|
For the Three Months Ended |
|
|||||||||||||||||
Non-GAAP Reconciliation |
|
December 31, 2023 |
|
|
September 30, 2023 |
|
|
June 30, 2023 |
|
|
March 31, 2023 |
|
|
December 31, 2022 |
|
|||||
Tangible book value per common share reconciliation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Book Value per common share (GAAP) |
|
$ |
18.94 |
|
|
$ |
18.50 |
|
|
$ |
18.34 |
|
|
$ |
18.02 |
|
|
$ |
17.73 |
|
Effect of goodwill and other intangibles |
|
|
(2.86 |
) |
|
|
(2.87 |
) |
|
|
(2.87 |
) |
|
|
(2.82 |
) |
|
|
(2.81 |
) |
Tangible book value per common share |
$ |
16.08 |
|
|
$ |
15.63 |
|
|
$ |
15.47 |
|
|
$ |
15.20 |
|
|
$ |
14.92 |
|
|
Tangible equity to tangible assets reconciliation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Equity to assets (GAAP) |
|
14.41 |
% |
|
|
13.85 |
% |
|
|
13.45 |
% |
|
|
12.69 |
% |
|
|
14.80 |
% |
|
Effect of goodwill and other intangibles |
|
|
(1.91 |
)% |
|
|
(1.90 |
)% |
|
|
(1.86 |
)% |
|
|
(1.77 |
)% |
|
|
(2.05 |
)% |
Tangible equity to tangible assets (1) |
|
|
12.50 |
% |
|
|
11.95 |
% |
|
|
11.59 |
% |
|
|
10.92 |
% |
|
|
12.75 |
% |
(1) Tangible assets is total assets less intangible assets. Tangible equity is total equity less intangible assets. |
||||||||||||||||||||
|
For the |
|
||||||
|
|
Year Ended December 31, |
|
|||||
|
|
2023 |
|
|
2022 |
|
||
Operating net income reconciliation |
|
|
|
|
|
|
||
Net income (GAAP) |
|
$ |
6,448 |
|
|
$ |
7,134 |
|
FHLB mark from called borrowings |
|
|
— |
|
|
|
(988 |
) |
FHLB prepayment penalties |
|
|
— |
|
|
|
647 |
|
Income tax expense |
|
|
— |
|
|
|
87 |
|
Operating net income |
$ |
6,448 |
|
|
$ |
6,880 |
|
|
Weighted average diluted shares |
|
|
6,557,053 |
|
|
|
6,761,771 |
|
Adjusted diluted earnings per share |
|
$ |
0.98 |
|
|
$ |
1.02 |
|
|
|
|
|
|
|
|
||
Net interest income |
|
$ |
27,198 |
|
|
$ |
29,755 |
|
FHLB mark from called borrowings |
|
|
— |
|
|
|
(988 |
) |
Adjusted Net interest income |
$ |
27,198 |
|
|
$ |
28,767 |
|
|
Adjusted Net interest income reconciliation |
|
|
|
|
|
|
||
Net interest margin (GAAP) |
|
|
3.35 |
% |
|
|
4.14 |
% |
Effect of FHLB mark from called borrowings |
|
|
0.00 |
|
|
|
(0.14 |
) |
Adjusted Net interest margin |
|
|
3.35 |
% |
|
|
4.00 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240201215970/en/
Edward J. Cooney
Chief Executive Officer
(678) 742-9990
Source: Affinity Bancshares, Inc.
FAQ
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