Communities First Financial Corporation Earns a Record $4.20 Million for 1Q-2021, up 86% from $2.26 Million for 1Q-2020
Communities First Financial Corporation (OTCQX: CFST) reported a remarkable 86% increase in net income for Q1 2021, totaling $4.20 million or $1.37 per diluted share, compared to Q1 2020. Key highlights include a 51% growth in operating revenue to $11.02 million and a 75% increase in total assets, reaching $957.48 million. The bank's return on average equity stood at 24.37%, with nonperforming assets dropping to $1.49 million. The company's growth was bolstered by participation in the SBA's Paycheck Protection Program.
- Net income rose 86% to $4.20 million in Q1 2021.
- Operating revenue increased 51% to $11.02 million.
- Total assets grew 75% to $957.48 million.
- Total loans climbed 82% to $691.97 million.
- Total deposits increased 78% to $836.31 million.
- Return on average equity at 24.37%.
- Non-interest income decreased by 15% from the previous quarter.
- Provision for loan losses increased to $850,000, up from $400,000 a year ago.
FRESNO, Calif., April 20, 2021 (GLOBE NEWSWIRE) -- Communities First Financial Corporation (the “Company”) (OTCQX: CFST), the parent company of Fresno First Bank (the “Bank”), today reported net income increased
First Quarter 2021 Highlights: As of, or for the quarter ended March 31, 2021, compared to the quarter ended March 31, 2020:
- Pre-tax, pre-provision income increased
88% to$6.57 million . - Net income increased
86% to$4.20 million or$1.37 per diluted share. - Return on average equity of
24.37% . - Return on average assets of
1.87% . - Operating revenue (net interest income, before the provision for loan losses, plus non-interest income) increased by
51% to$11.02 million . - Total assets increased
75% reaching$957.48 million . - Total loans (ex. HFS) increased
82% to$691.97 million . - Total deposits increased
78% to$836.31 million . - Shareholder equity increased
25% to$70.92 million . - Book value increased
22% to$23.12 per share.
“Continuing the momentum of achieving record profits for 2020, we generated record earnings for the first quarter of 2021, supported by significantly higher fee and interest income, primarily as a result of our participation in the Small Business Administration’s (‘SBA’) Paycheck Protection Program (‘PPP’),” said Steve Miller, President and Chief Executive Officer. “Our one non-accrual loan that had been consistently paying down for almost three years, was paid off in full and contributed
“In addition to higher interest income, our continued loan and total deposit growth also contributed to the bottom line with noninterest-bearing deposits increasing
First Quarter 2021 non-recurring events that positively impacted earnings:
- The largest and only non-accrual loan relationship was paid off in full during the first quarter. As a result, the Company collected
$509,000 in non-accrual interest as well as$5,000 in recovered collection expenses which reduced operating expenses. $7.0 million of investment holdings sold during the first quarter, resulting in a gain on sale of$312,000 , increased non-interest income.
The result of these one-time events increased after-tax net income by
| Select Financial Information - Reconciliation of one-time events | |||||
| Financial Metric | Income as reported | Non-accrued interest recovery | Gain on sale of securities | Normalized run rate | |
| Net interest income | $ 9,239 | -$ 509 | $ 8,730 | ||
| Provision for loan losses | $ 850 | $ 850 | |||
| Net interest income after provision | $ 8,389 | $ 8,389 | |||
| Non-interest income | $ 1,778 | -$ 312 | $ 1,466 | ||
| Non-interest expense | $ 4,445 | $ 5 | $ 4,450 | ||
| Net income before tax | $ 5,722 | -$ 514 | -$ 312 | $ 4,896 | |
| Tax provision | $ 1,526 | -$ 137 | -$ 83 | $ 1,306 | |
| Net income after tax | $ 4,196 | -$ 377 | -$ 229 | $ 3,590 | |
| ROAA | - | - | |||
| ROAE | - | - | |||
| Net Interest Margin | - | N/A | |||
| Efficiency Ratio | N/A | ||||
“The pandemic lingering into 2021 is not what most people expected in early 2020,” said Miller. “Like all essential businesses, our team has had little relief and is weary at times, but I continue to be impressed by their commitment to each other and to our customers. It is a clear reminder that all great organizations start with their people and the values they embrace. Although we are otherwise optimistic about an improving economic outlook, and perhaps a summer turnaround, we continue to take necessary precautions in view of the ongoing uncertainty of the pandemic.”
“The Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act of 2020 is providing new COVID-19 stimulus relief, and it includes
COVID-19 Update
California aims to ‘fully reopen’ its economy by June 15, 2021, as long as COVID-19 vaccinations remain widely available and hospitalizations continues to be stable, the governor and public health officials said Tuesday, April 6, 2021. The lifting of restrictions in June will happen statewide rather than county by county.
The U.S. and California economies are expected to experience near-record growth in 2021 thanks to widespread vaccinations for COVID-19 and massive federal relief for struggling workers and businesses, UCLA forecasters predict.
Credit Risk as a Result of the Pandemic
The Bank’s loan portfolio is diverse, and management continues to monitor and evaluate the Bank’s exposure to potentially increased loan losses related to the COVID-19 pandemic in multiple ways. As a result of federal and state stimulus money, state and federally encouraged payment deferrals, together with the SBA making payments for many SBA loans, management continues to believe that normal metrics such as delinquencies may understate potential credit issues. Due to the potential distortion of traditional metrics, management and staff are actively monitoring other sources of data more frequently for early indications of distress within the portfolio such as average deposits, overdrafts, line of credit usage and guarantors’ credit history. Management has segmented the loan portfolio several ways and examines risk exposure based on quantitative and qualitative information. Management and staff actively communicate with borrowers and key deposit clients to understand and assess the health of, and the stress their business may be experiencing, as well as the pandemic’s effects on their customers and suppliers. In addition, management and staff are engaging with borrowers frequently to understand individual challenges and are obtaining regular data from borrowers, as well as updated financials.
The following is a recap of areas considered higher risk due to the pandemic and a status of customers with deferred loan payments.
Higher Risk Industries: Management has identified the following industry segments most at risk due to the effects of the pandemic, as of March 31, 2021. Exposure to higher risk industries comprises approximately
| Industry Segments Considered Higher Risk due to COVID | |||||||||||||||
| ($ in thousands) | |||||||||||||||
| # of Loans | Book Loan Balance | Govt. Guaranteed Balances | Net Exposure (Book - Govt. Gte.) | % of Total Loans less Govt. Gte. | Undisbursed | Exposure Including Undisbursed | % of Total Commitments less Govt. Gte. | ||||||||
| Higher Risk | |||||||||||||||
| Retail Sales | 39 | $ | 15,676 | $ | 4,621 | $ | 11,055 | 2.8 | % | $ | 2,259 | $ | 13,314 | 2.5 | % |
| Entertainment & Recreation | 2 | 364 | 283 | 81 | 0.0 | % | 0 | 81 | 0.0 | % | |||||
| Lodging & Travel | 8 | 11,431 | 618 | 10,813 | 2.7 | % | 162 | 10,975 | 2.1 | % | |||||
| Restaurants & Bars | 35 | 7,450 | 5,385 | 2,065 | 0.5 | % | 4,456 | 6,521 | 1.2 | % | |||||
| Total | 84 | $ | 34,921 | $ | 10,907 | $ | 24,014 | 6.0 | % | $ | 6,877 | $ | 30,890 | 5.9 | % |
| Total Loan Portfolio | 1,671 | $ | 691,966 | $ | 292,868 | $ | 399,098 | 100.0 | % | $ | 126,312 | $ | 525,369 | 100.0 | % |
Status of, and Requests for, Loan Payment Deferral
“We granted payment deferrals on 64 individual loans covering 41 borrowers,” added Miller. “Subsequently, several borrowers asked to be taken off deferral, 13 loans have paid off in full, and the majority have now returned to normal payment schedules.”
At March 31, 2021, three loans totaling
The following table(s) break down the status of loans granted payment deferrals.
| Trend of Loan Deferrals | |||
| Number of Loans on Deferral | Loan Balances ($ in thousands) | ||
| June 2020 | 57 | ||
| Sept. 2020 | 12 | ||
| Dec. 2020 | 8 | ||
| Mar. 2021 | 3 | ||
| Status of Loans given a deferral as of 3/31/2021 | Count | Balance ($ in thousands) | % of balance of all loans given a deferral | |||
| No longer in deferment and paid current | 43 | 74.9 | % | |||
| Loan provided a deferment - now paid off | 13 | 0.0 | % | |||
| No longer in deferment - past due at 3/31/2021 | 5 | 3.6 | % | |||
| Total no longer in deferment | 61 | 89.6 | % | |||
| Remaining in deferment | 0 | 0.0 | % | |||
| New deferment | 2 | 96.6 | % | |||
| 2nd deferment | 1 | 3.4 | % | |||
| Total in deferment as of 3/31/2021 | 3 | 10.4 | % | |||
| Grand Total | 64 | 27,351 | 100.0 | % | ||
| Currently scheduled end of deferral period | Count | Balance ($ in thousands) | % of balance loans remaining on deferral | |||
| Apr. | 2 | 16.1 | % | |||
| May | 0 | 0.0 | % | |||
| Jun. | 0 | 0.0 | % | |||
| Beyond Jun. | 1 | 83.9 | % | |||
| Grand Total | 3 | 100.0 | % | |||
| SBA vs. Non-SBA breakdown of current deferred | Count | Balance ($ in thousands) | % of balance loans remaining on deferral | |||
| Non-SBA | 3 | 100.0 | % | |||
| SBA | 0 | 0.0 | % | |||
| Grand Total | 3 | 100.0 | % | |||
| RE secured vs. Non-RE breakdown of current deferred | Count | Balance ($ in thousands) | % of balance loans remaining on deferral | |||
| RE Secured | 2 | 87.3 | % | |||
| Non-RE Secured | 1 | 12.7 | % | |||
| Grand Total | 3 | 100.0 | % | |||
Results of Operations
Operating revenue, consisting of net interest income and non-interest income, increased
Net interest income, before the provision for loan losses, increased
The Bank’s net interest margin (“NIM”), which excludes interest expense on holding company sub-debt, remained solid at a tax-equivalent yield of
The yield on earning assets was
Total non-interest income increased by
Revenue from merchant services increased
Total deposit fee income increased by
“We are pleased that non-interest income was up
Non-interest expense for the first quarter of 2021 was
The efficiency ratio improved to
Balance Sheet Review
Total assets increased
Total portfolio loans increased
The commercial and industrial (C&I) portfolio increased
The investment portfolio increased by
Total deposits increased
“With the holding company sub-debt raise last year we have a strong capital base to support our growth and allow us to further expand our payments business and/or pursue further opportunities as they might arise,” added Miller. “In February 2021, the Bank received approval from Visa to support High Brand Risk processing for ourselves, and our partners, which is expected to enhance revenue opportunities in several key payment verticals.” A key requirement by Visa was for the Bank to have
Net shareholders’ equity increased
Asset Quality
Nonperforming assets were
Past due loans 30-60 days totaled
The provision for loan losses was
The ratio of allowance for loan losses to total portfolio held for investment loans was
About Communities First Financial Corporation
Communities First Financial Corporation, a bank holding company established in 2014, is the parent company of Fresno First Bank, founded in 2005 in Fresno, California. Fresno First Bank is a leading SBA Lender in California’s Central Valley and has expanded into Southern California. The Bank is also a direct acquiring bank with VISA and MasterCard and processes payments for merchants across the country directly and through partners. In March 2021, S&P Global ranked the Bank the #20 best performing community bank under
Forward Looking Statements
This earnings release may contain forward-looking statements. Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance, nor should they be relied upon as representing management’s views as of any subsequent date. The forward-looking statements are based on managements’ expectations and are subject to a number of risks and uncertainties. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include, without limitation, our borrowers’ actual payment performance as loan deferrals related to the COVID-19 pandemic expire, changes to statutes, regulations, or regulatory policies or practices as a result of, or in response to COVID-19, including the potential adverse impact of loan modifications and payment deferrals implemented consistent with recent regulatory guidance, the Company’s ability to effectively execute its business plans; changes in general economic and financial market conditions; changes in interest rates; changes in the competitive environment; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; losses, customer bankruptcy, claims and assessments; changes in banking regulations or other regulatory or legislative requirements affecting the Company’s business; international developments; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies. The Company undertakes no obligation to release publicly the results of any revisions to the forward-looking statements included herein to reflect events or circumstances after today, or to reflect the occurrence of unanticipated events. The Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.
| SELECT FINANCIAL INFORMATION AND RATIOS (unaudited) | For the Quarter Ended: | Percentage Change From: | |||||||||||||
| Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2020 | Mar. 31, 2020 | |||||||||||
| BALANCE SHEET DATA - PERIOD END BALANCES: | |||||||||||||||
| Total assets | $ | 957,479 | $ | 871,347 | $ | 548,322 | 10 | % | 75 | % | |||||
| Total Loans | 691,966 | 620,766 | 381,092 | 11 | % | 82 | % | ||||||||
| Investment securities | 233,433 | 222,808 | 120,037 | 5 | % | 94 | % | ||||||||
| Total deposits | 836,309 | 726,254 | 470,528 | 15 | % | 78 | % | ||||||||
| Shareholders equity, net | $ | 70,915 | $ | 68,546 | $ | 56,804 | 3 | % | 25 | % | |||||
| SELECT INCOME STATEMENT DATA: | |||||||||||||||
| Gross revenue | $ | 11,017 | $ | 10,069 | $ | 7,285 | 9 | % | 51 | % | |||||
| Operating expense | 4,445 | 4,299 | 3,785 | 3 | % | 17 | % | ||||||||
| Pre-tax, pre-provision income | 6,572 | 5,770 | 3,500 | 14 | % | 88 | % | ||||||||
| Net income after tax | $ | 4,196 | $ | 3,253 | $ | 2,261 | 29 | % | 86 | % | |||||
| SHARE DATA: | |||||||||||||||
| Basic earnings per share | $ | 1.37 | $ | 1.08 | $ | 0.76 | 26 | % | 81 | % | |||||
| Fully diluted earnings per share | $ | 1.35 | $ | 1.07 | $ | 0.75 | 27 | % | 82 | % | |||||
| Book value per common share | $ | 23.12 | $ | 22.82 | $ | 19.00 | 1 | % | 22 | % | |||||
| Common shares outstanding | 3,067,907 | 3,004,331 | 2,989,524 | 2 | % | 3 | % | ||||||||
| Fully diluted shares | 3,097,834 | 3,038,743 | 3,033,809 | 2 | % | 2 | % | ||||||||
| CFST - Stock price | $ | 41.00 | $ | 31.01 | $ | 23.00 | 32 | % | 78 | % | |||||
| RATIOS: | |||||||||||||||
| Return on average assets | 1.87 | % | 1.50 | % | 1.72 | % | 25 | % | 9 | % | |||||
| Return on average equity | 24.37 | % | 19.73 | % | 16.98 | % | 24 | % | 44 | % | |||||
| Efficiency ratio | 41.52 | % | 42.70 | % | 52.39 | % | -3 | % | -21 | % | |||||
| Bank Yield on earning assets | 4.60 | % | 4.06 | % | 4.85 | % | 13 | % | -5 | % | |||||
| Bank Cost to fund earning assets | 0.10 | % | 0.11 | % | 0.24 | % | -3 | % | -56 | % | |||||
| Bank Net Interest Margin | 4.49 | % | 3.95 | % | 4.61 | % | 14 | % | -3 | % | |||||
| Equity to assets | 7.41 | % | 7.87 | % | 10.36 | % | -6 | % | -29 | % | |||||
| Loan to deposits ratio | 82.74 | % | 85.48 | % | 80.99 | % | -3 | % | 2 | % | |||||
| Full time equivalent employees | 62 | 58 | 55 | 7 | % | 13 | % | ||||||||
| BALANCE SHEET DATA - AVERAGES: | |||||||||||||||
| Total assets | $ | 910,728 | $ | 862,478 | $ | 529,257 | 6 | % | 72 | % | |||||
| Total loans | 653,894 | 595,544 | 369,888 | 10 | % | 77 | % | ||||||||
| Investment securities | 224,899 | 198,824 | 108,744 | 13 | % | 107 | % | ||||||||
| Deposits | 789,777 | 758,302 | 464,401 | 4 | % | 70 | % | ||||||||
| Shareholders equity, net | $ | 69,843 | $ | 65,570 | $ | 53,563 | 7 | % | 30 | % | |||||
| ASSET QUALITY: | |||||||||||||||
| Total delinquent accruing loans | $ | 7,493 | $ | 1,031 | $ | 2,291 | 627 | % | 227 | % | |||||
| Nonperforming assets | $ | 1,491 | $ | 1,689 | $ | 1,146 | -12 | % | 30 | % | |||||
| Non Accrual / Total Loans | .22 | % | .27 | % | .30 | % | -21 | % | -28 | % | |||||
| Nonperforming assets to total assets | .16 | % | .19 | % | .21 | % | -20 | % | -26 | % | |||||
| LLR / Total loans | 1.26 | % | 1.26 | % | 1.30 | % | -1 | % | -3 | % | |||||
| STATEMENT OF INCOME ($ in thousands) | For the Quarter Ended: | Percentage Change From: | ||||||||||
| (unaudited) | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2020 | Mar. 31, 2020 | |||||||
| Interest Income | ||||||||||||
| Loan interest income | $ | 8,349 | $ | 7,098 | $ | 5,318 | 18 | % | 57 | % | ||
| Investment income | 1,508 | 1,276 | 695 | 18 | % | 117 | % | |||||
| Int. on fed funds & CDs in other banks | 51 | 81 | 94 | -37 | % | -46 | % | |||||
| Dividends from non-marketable equity | 24 | 34 | 33 | -29 | % | -27 | % | |||||
| Interest income | 9,932 | 8,489 | 6,140 | 17 | % | 62 | % | |||||
| Int. on deposits | 228 | 229 | 273 | 0 | % | -16 | % | |||||
| Int. on short-term borrowings | 1 | 0 | 27 | 0 | % | -96 | % | |||||
| Int. on long-term debt | 464 | 295 | 0 | 57 | % | 0 | % | |||||
| Interest expense | 693 | 524 | 300 | 32 | % | 131 | % | |||||
| Net interest income | 9,239 | 7,965 | 5,840 | 16 | % | 58 | % | |||||
| Provision for loan losses | 850 | 1,350 | 400 | -37 | % | 113 | % | |||||
| Net interest income after provision | 8,389 | 6,615 | 5,440 | 27 | % | 54 | % | |||||
| Non-Interest Income: | ||||||||||||
| Total deposit fee income | 270 | 219 | 123 | 23 | % | 120 | % | |||||
| Debit / credit card interchange income | 101 | 90 | 66 | 12 | % | 53 | % | |||||
| Merchant services income | 961 | 1,009 | 699 | -5 | % | 37 | % | |||||
| Gain on sale of loans | 17 | 587 | 295 | -97 | % | -94 | % | |||||
| Other operating income | 429 | 199 | 262 | 116 | % | 64 | % | |||||
| Non-interest income | 1,778 | 2,104 | 1,445 | -15 | % | 23 | % | |||||
| Non-Interest Expense: | ||||||||||||
| Salaries & employee benefits | 2,606 | 2,928 | 2,255 | -11 | % | 16 | % | |||||
| Occupancy expense | 210 | 193 | 215 | 9 | % | -2 | % | |||||
| Other operating expense | 1,629 | 1,178 | 1,315 | 38 | % | 24 | % | |||||
| Non-interest expense | 4,445 | 4,299 | 3,785 | 3 | % | 17 | % | |||||
| Net income before tax | 5,722 | 4,420 | 3,100 | 29 | % | 85 | % | |||||
| Tax provision | 1,526 | 1,167 | 839 | 31 | % | 82 | % | |||||
| Net income after tax | $ | 4,196 | $ | 3,253 | $ | 2,261 | 29 | % | 86 | % | ||
| BALANCE SHEET ($ in thousands ) | End of Period: | Percentage Change From: | |||||||||||||
| (unaudited) | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2020 | Mar. 31, 2020 | ||||||||||
| ASSETS | |||||||||||||||
| Cash and due from banks | $ | 16,765 | $ | 9,788 | $ | 8,331 | 71 | % | 101 | % | |||||
| Fed funds sold and deposits in banks | 1,345 | 618 | 719 | 118 | % | 87 | % | ||||||||
| CDs in other banks | 2,237 | 9,175 | 9,914 | -76 | % | -77 | % | ||||||||
| Investment securities | 233,433 | 222,808 | 120,037 | 5 | % | 94 | % | ||||||||
| Loans held for sale | 0 | 0 | 17,534 | 0 | % | -100 | % | ||||||||
| Portfolio loans outstanding: | |||||||||||||||
| RE constr & land development | 20,631 | 15,754 | 20,070 | 31 | % | 3 | % | ||||||||
| Residential RE 1-4 Family | 16,646 | 13,507 | 13,709 | 23 | % | 21 | % | ||||||||
| Commercial Real Estate | 250,713 | 226,246 | 148,945 | 11 | % | 68 | % | ||||||||
| Agriculture | 37,484 | 33,026 | 31,419 | 13 | % | 19 | % | ||||||||
| Commercial and Industrial | 176,788 | 172,624 | 166,178 | 2 | % | 6 | % | ||||||||
| SBA PPP Loans | 189,485 | 159,491 | 0 | 19 | % | 0 | % | ||||||||
| Consumer and Other | 219 | 118 | 771 | 86 | % | -72 | % | ||||||||
| Total Portfolio Loans | 691,966 | 620,766 | 381,092 | 11 | % | 82 | % | ||||||||
| Deferred fees & discounts | (4,930 | ) | (3,728 | ) | 4 | 32 | % | Inf | |||||||
| Allowance for loan losses | (8,698 | ) | (7,848 | ) | (4,945 | ) | 11 | % | 76 | % | |||||
| Loans, net | 678,338 | 609,190 | 376,151 | 11 | % | 80 | % | ||||||||
| Non-marketable equity investments | 3,062 | 3,059 | 2,647 | 0 | % | 16 | % | ||||||||
| Cash value of life insurance | 8,247 | 8,198 | 8,043 | 1 | % | 3 | % | ||||||||
| Accrued interest and other assets | 14,052 | 8,511 | 4,946 | 65 | % | 184 | % | ||||||||
| Total assets | $ | 957,479 | $ | 871,347 | $ | 548,322 | 10 | % | 75 | % | |||||
| LIABILITIES AND EQUITY | |||||||||||||||
| Non-interest bearing deposits | $ | 511,497 | $ | 446,920 | $ | 292,449 | 14 | % | 75 | % | |||||
| Interest checking | 37,071 | 19,543 | 14,780 | 90 | % | 151 | % | ||||||||
| Savings | 91,282 | 56,949 | 43,910 | 60 | % | 108 | % | ||||||||
| Money market | 126,797 | 131,904 | 84,926 | -4 | % | 49 | % | ||||||||
| Certificates of deposits | 69,662 | 70,938 | 34,463 | -2 | % | 102 | % | ||||||||
| Total deposits | 836,309 | 726,254 | 470,528 | 15 | % | 78 | % | ||||||||
| Short-term borrowings | 5,000 | 31,000 | 17,000 | -84 | % | -71 | % | ||||||||
| Long-term debt | 39,165 | 39,126 | 0 | 0 | % | 0 | % | ||||||||
| Other liabilities | 6,090 | 6,421 | 3,990 | -5 | % | 53 | % | ||||||||
| Total liabilities | 886,564 | 802,801 | 491,518 | 10 | % | 80 | % | ||||||||
| Common stock & paid in capital | 31,753 | 30,997 | 30,571 | 2 | % | 4 | % | ||||||||
| Retained earnings | 37,618 | 33,421 | 24,170 | 13 | % | 56 | % | ||||||||
| Total equity | 69,371 | 64,418 | 54,741 | 8 | % | 27 | % | ||||||||
| Accumulated other comprehensive income | 1,544 | 4,128 | 2,063 | -63 | % | -25 | % | ||||||||
| Shareholders equity, net | 70,915 | 68,546 | 56,804 | 3 | % | 25 | % | ||||||||
| Total Liabilities and shareholders' equity | $ | 957,479 | $ | 871,347 | $ | 548,322 | 10 | % | 75 | % | |||||
| ASSET QUALITY ($ in thousands) | Period Ended: | ||||||||
| (unaudited) | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | ||||||
| Delinquent accruing loans 30-60 days | $ | 5,824 | $ | 1,021 | $ | 1,138 | |||
| Delinquent accruing loans 60-90 days | $ | 1,669 | $ | 10 | $ | 1,153 | |||
| Delinquent accruing loans 90+ days | $ | 0 | $ | 0 | $ | 0 | |||
| Total delinquent accruing loans | $ | 7,493 | $ | 1,031 | $ | 2,291 | |||
| Loans on non accrual | $ | 1,491 | $ | 1,689 | $ | 1,146 | |||
| Other real estate owned | $ | 0 | $ | 0 | $ | 0 | |||
| Nonperforming assets | $ | 1,491 | $ | 1,689 | $ | 1,146 | |||
| Performing restructured loans | $ | 0 | $ | 430 | $ | 547 | |||
| Delq 30-60 / Total Loans | .84 | % | .16 | % | .30 | % | |||
| Delq 60-90 / Total Loans | .24 | % | .00 | % | .30 | % | |||
| Delq 90+ / Total Loans | .00 | % | .00 | % | .00 | % | |||
| Delinquent Loans / Total Loans | 1.08 | % | .17 | % | .60 | % | |||
| Non Accrual / Total Loans | .22 | % | .27 | % | .30 | % | |||
| Nonperforming assets to total assets | .16 | % | .19 | % | .21 | % | |||
| Year-to-date charge-off activity | |||||||||
| Charge-offs | $ | 0 | $ | 40 | $ | 0 | |||
| Recoveries | $ | 0 | $ | 47 | $ | 3 | |||
| Net charge-offs | $ | 0 | $ | (7 | ) | $ | (3 | ) | |
| Annualized net loan losses (recoveries) to average loans | .00 | % | -.00 | % | -.00 | % | |||
| LOAN LOSS RESERVE RATIOS: | |||||||||
| Reserve for loan losses | $ | 8,698 | $ | 7,848 | $ | 4,945 | |||
| Total loans | $ | 691,966 | $ | 620,766 | $ | 381,092 | |||
| Purchased govt. guaranteed loans | $ | 43,931 | $ | 46,567 | $ | 55,707 | |||
| Originated govt. guaranteed loans | $ | 235,360 | $ | 200,083 | $ | 37,099 | |||
| LLR / Total loans | 1.26 | % | 1.26 | % | 1.30 | % | |||
| LLR / Loans less | 1.90 | % | 1.89 | % | 1.52 | % | |||
| LLR / Loans less all govt. guaranteed loans | 2.11 | % | 2.10 | % | 1.72 | % | |||
| LLR / Total assets | .91 | % | .90 | % | .90 | % | |||
| SELECT FINANCIAL TREND INFORMATION (unaudited) | For the Quarter Ended: | ||||||||||
| Mar. 31, 2021 | Dec. 31, 2020 | Sept. 30, 2020 | June 30, 2020 | Mar. 31, 2020 | |||||||
| BALANCE SHEET DATA - PERIOD END BALANCES: | |||||||||||
| Total assets | $ | 957,479 | $ | 871,347 | $ | 831,003 | $ | 756,739 | $ | 548,322 | |
| Loans held for sale | 0 | 0 | 28,294 | 18,306 | 17,534 | ||||||
| Loans held for investment ex. PPP | 502,481 | 461,275 | 404,980 | 388,544 | 381,092 | ||||||
| PPP Loans | 189,485 | 159,491 | 184,110 | 184,151 | 0 | ||||||
| Investment securities | 233,433 | 222,808 | 182,168 | 139,688 | 120,037 | ||||||
| Non-interest bearing deposits | 511,497 | 446,920 | 445,952 | 414,395 | 292,449 | ||||||
| Interest bearing deposits | 324,812 | 279,334 | 307,193 | 264,435 | 178,079 | ||||||
| Total deposits | 836,309 | 726,254 | 753,145 | 678,830 | 470,528 | ||||||
| Short-term borrowings | 5,000 | 31,000 | 10,000 | 11,761 | 17,000 | ||||||
| Long-term debt | 39,165 | 39,126 | 0 | 0 | 0 | ||||||
| Total equity | 69,371 | 64,418 | 61,028 | 57,863 | 54,741 | ||||||
| Accumulated other comprehensive income | 1,544 | 4,128 | 3,548 | 2,912 | 2,063 | ||||||
| Shareholders equity, net | $ | 70,915 | $ | 68,546 | $ | 64,576 | $ | 60,775 | $ | 56,804 | |
| INCOME STATEMENT - QUARTERLY VALUES: | |||||||||||
| Interest income | $ | 9,932 | $ | 8,489 | $ | 7,325 | $ | 6,781 | $ | 6,140 | |
| Int. on dep. & short-term borrowings | 229 | 229 | 232 | 234 | 300 | ||||||
| Int. on long-term debt | 464 | 295 | 0 | 0 | 0 | ||||||
| Interest expense | 693 | 524 | 232 | 234 | 300 | ||||||
| Net interest income | 9,239 | 7,965 | 7,093 | 6,547 | 5,840 | ||||||
| Non-interest income | 1,778 | 2,104 | 1,733 | 1,791 | 1,445 | ||||||
| Gross revenue | 11,017 | 10,069 | 8,826 | 8,338 | 7,285 | ||||||
| Provision for loan losses | 850 | 1,350 | 750 | 800 | 400 | ||||||
| Non-interest expense | 4,445 | 4,299 | 3,963 | 3,461 | 3,785 | ||||||
| Net income before tax | 5,722 | 4,420 | 4,113 | 4,077 | 3,100 | ||||||
| Tax provision | 1,526 | 1,167 | 1,091 | 1,099 | 839 | ||||||
| Net income after tax | $ | 4,196 | $ | 3,253 | $ | 3,022 | $ | 2,978 | $ | 2,261 | |
| BALANCE SHEET DATA - QUARTERLY AVERAGES: | |||||||||||
| Total assets | $ | 910,728 | $ | 862,478 | $ | 781,339 | $ | 697,443 | $ | 529,257 | |
| Loans held for sale | 0 | 9,934 | 23,677 | 17,213 | 14,902 | ||||||
| Loans held for investment ex. PPP | 473,185 | 422,505 | 386,819 | 380,025 | 369,888 | ||||||
| PPP Loans | 180,709 | 173,039 | 184,151 | 137,750 | 0 | ||||||
| Investment securities | 224,899 | 198,824 | 156,249 | 129,574 | 108,744 | ||||||
| Non-interest bearing deposits | 467,690 | 463,311 | 430,149 | 402,777 | 280,235 | ||||||
| Interest bearing deposits | 322,087 | 294,991 | 275,184 | 219,504 | 184,166 | ||||||
| Total deposits | 789,777 | 758,302 | 705,333 | 622,281 | 464,401 | ||||||
| Short-term borrowings | 6,182 | 8,223 | 10,277 | 13,566 | 8,193 | ||||||
| Long-term debt | 39,147 | 25,121 | 0 | 0 | 0 | ||||||
| Total equity | 66,429 | 62,258 | 58,927 | 54,812 | 52,878 | ||||||
| Accumulated other comprehensive income | 3,414 | 3,311 | 3,515 | 2,229 | 685 | ||||||
| Shareholders equity, net | $ | 69,843 | $ | 65,570 | $ | 62,441 | $ | 57,042 | $ | 53,563 | |
| Contact: | Steve Miller – President & CEO Steve Canfield – Executive Vice President & CFO (559) 439-0200 | |
FAQ
What were the net earnings of CFST for Q1 2021?
How much did total assets increase for CFST in Q1 2021?
What is the return on average equity for CFST in Q1 2021?
How did total loans change for CFST in Q1 2021?
What was the percentage growth in operating revenue for CFST in Q1 2021?
