First Business Bank Reports Strong First Quarter 2022 Net Income of $8.7 Million

Rhea-AI Summary

First Business Financial Services, Inc. (FBIZ) posted a net income of $8.7 million, or $1.02 per diluted share, for Q1 2022, marking a slight increase from Q4 2021 and a decrease from Q1 2021. The Bank experienced a significant increase in loan growth, totaling $20.9 million, representing a 3.8% annualized growth from Q4 2021, and total in-market deposits grew by $83.1 million, or 17.2% annualized. Non-performing assets fell by 12.1% to $5.7 million. The Company also completed a $32.5 million private placement aimed at supporting growth and a share repurchase plan.

Positive

• Net interest income increased 2.4% to $21.4 million.
• Total in-market deposits grew by $83.1 million, or 17.2% annualized.
• Loans, excluding PPP, increased $20.9 million, or 3.8% annualized.
• Non-performing assets decreased 12.1% to $5.7 million, improving asset quality.

Negative

• Net income decreased year-over-year from $9.7 million in Q1 2021.
• Non-interest income dropped 2.4% to $7.4 million due to declines in several fee income streams.
• Operating expenses rose by 7.4%, primarily due to increased compensation costs.

-- Results include robust in-market deposit growth, strong asset quality metrics, and provision benefit --

MADISON, Wis.--(BUSINESS WIRE)-- First Business Financial Services, Inc. (the “Company”, the “Bank”, or “First Business Bank”) (Nasdaq:FBIZ) reported net income of $8.7 million, or $1.02 diluted earnings per share, in the first quarter of 2022. This compares to net income of $8.6 million, or $1.01 per share, in the fourth quarter of 2021 and $9.7 million, or $1.12 per share, in the first quarter of 2021.

“First Business Bank begins 2022 from a position of strength, with solid operating results, continued organic loan and deposit growth, and exceptional asset quality that again led to a loan loss provision benefit in the first quarter,” President and Chief Executive Officer Corey Chambas said. “Our record loan growth in late-2021 and continued loan production in early-2022 positioned us well, creating a larger earning-asset base that supported strong net interest income in the first quarter, despite elevated payoffs during the period. We remain confident in our ability to grow loans at a low double digit annual rate in 2022, given the strength of our team and the size of our pipelines heading into the second quarter. Together with our diversified fee income streams, the Bank generated solid top line revenue growth in the first quarter. Following the private placement of $32.5 million in new capital last month, we are well positioned for continued success in 2022 and beyond.”

Quarterly Highlights

• Continued Organic Loan Production. Loans, excluding Paycheck Protection Program (“PPP”) loans, grew $20.9 million, or 3.8% annualized, from the fourth quarter of 2021 and $265.5 million, or 13.5%, from the first quarter of 2021, as the Company continued to expand its traditional lending throughout its geographies. The first quarter of 2022 included elevated loan payoffs of nearly $90 million, compared to just over $30 million in the fourth quarter of 2021.

• Robust In-Market Deposit Growth. Total period-end in-market deposits grew by $83.1 million, or 17.2% annualized, from the fourth quarter of 2021 and $274.1 million, or 15.8%, from the first quarter of 2021. Period-end in-market deposits represented 84.3% of total Bank funding at March 31, 2022, compared to 82.9% at December 31, 2021 and 74.9% at March 31, 2021.

• Diversified Fee Income. Non-interest income of $7.4 million for the first quarter made up 25.6% of top line revenue, reflecting the Company’s diversified fee income streams. Revenue of $2.8 million from private wealth management was the leading contributor to non-interest income, while the Company also benefited from $1.4 million in revenue from its investments in mezzanine funds.

• Strong Asset Quality Metrics. Non-performing assets declined 12.1% to $5.7 million, or 0.21% of total assets, improving from 0.25% and 0.73% of total assets on December 31, 2021 and March 31, 2021, respectively. The Company had no active COVID-19 loan modifications as of March 31, 2022. The Company recorded a provision benefit of $855,000, compared to $508,000 in the fourth quarter of 2021 and $2.1 million in the first quarter of 2021.

• Capital Restructuring. The Company completed a private placement to institutional investors for $32.5 million in new capital consisting of a $20.0 million subordinated note and $12.5 million of preferred stock. A portion of the proceeds were used to redeem $10.3 million of higher cost trust preferred securities in the first quarter of 2022. Management plans to redeem an additional $9.1 million of subordinated notes in the second quarter of 2022. The remainder of the proceeds will be used for general corporate purposes, including to support the Bank’s growth strategy, and to fund the Company’s previously announced $5 million share repurchase plan.

Quarterly Financial Results

(Unaudited)		As of and for the Three Months Ended
(Dollars in thousands, except per share amounts)		March 31, 2022				December 31, 2021				March 31, 2021
Net interest income		$	21,426			$	20,924			$	20,863
Adjusted non-interest income (1)			7,386				7,569				7,195
Operating revenue (1)			28,812				28,493				28,058
Operating expense (1)			18,887				17,644				17,449
Pre-tax, pre-provision adjusted earnings (1)			9,925				10,849				10,609
Less:
Provision for loan and lease losses			(855	)			(508	)			(2,068	)
Net loss on foreclosed properties			12				7				3
Amortization of other intangible assets			—				2				8
SBA recourse benefit			(76	)			(122	)			(130	)
Income before income tax expense			10,844				11,470				12,796
Income tax expense			2,172				2,879				3,065
Net income		$	8,672			$	8,591			$	9,731
Earnings per share, diluted		$	1.02			$	1.01			$	1.12
Book value per share		$	27.46			$	27.48			$	24.83
Tangible book value per share (1)		$	26.02			$	26.03			$	23.43
Net interest margin (2)			3.39	%			3.39	%			3.44	%
Adjusted net interest margin (1)(2)			3.24	%			3.23	%			3.20	%
Fee income ratio (non-interest income / total revenue)			25.64	%			26.56	%			25.64	%
Efficiency ratio (1)			65.55	%			61.92	%			62.19	%
Return on average assets (2)			1.30	%			1.32	%			1.51	%
Pre-tax, pre-provision adjusted return on average assets (1)(2)			1.49	%			1.66	%			1.65	%
Return on average equity (2)			14.47	%			15.04	%			18.48	%
Period-end loans and leases receivable		$	2,251,249			$	2,239,408			$	2,235,112
Specialized lending as a percent of total loans and leases			19.22	%			19.76	%			15.65	%
Average loans and leases receivable		$	2,244,642			$	2,179,769			$	2,182,958
Period-end in-market deposits		$	2,011,373			$	1,928,285			$	1,737,226
Average in-market deposits		$	1,932,576			$	1,866,875			$	1,722,107
Allowance for loan and lease losses		$	23,669			$	24,336			$	28,982
Non-performing assets		$	5,734			$	6,522			$	19,023
Allowance for loan and lease losses as a percent of total gross loans and leases			1.05	%			1.09	%			1.29	%
Non-performing assets as a percent of total assets			0.21	%			0.25	%			0.73	%

(1)		This is a non-GAAP financial measure. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate financial performance, provide greater understanding of ongoing operations, and enhance comparability of results with prior periods. See the section titled Non-GAAP Reconciliations at the end of this release for a reconciliation of GAAP financial measures to non-GAAP financial measures.
(2)		Calculation is annualized.

Quarterly Financial Results - Excluding PPP Loans, Interest Income, and Fees

(Unaudited)		As of and for the Three Months Ended
(Dollars in thousands, except per share amounts)		March 31, 2022				December 31, 2021				March 31, 2021
Net interest income		$	21,125			$	19,898			$	18,048
Adjusted non-interest income (1)			7,386				7,569				7,195
Operating revenue (1)			28,511				27,467				25,243
Operating expense (1)			18,887				17,644				17,449
Pre-tax, pre-provision adjusted earnings (1)		$	9,624			$	9,823			$	7,794
Net interest margin (2)			3.37	%			3.29	%			3.31	%
Fee income ratio (non-interest income / total revenue)			25.91	%			27.56	%			28.50	%
Efficiency ratio (1)			66.24	%			64.24	%			69.12	%
Pre-tax, pre-provision adjusted return on average assets (1)(2)			1.46	%			1.53	%			1.34	%
Period-end loans and leases receivable		$	2,233,043			$	2,212,111			$	1,967,545
Specialized lending as a percent of total loans and leases			19.38	%			20.02	%			17.83	%
Average loans and leases receivable		$	2,223,707			$	2,126,846			$	1,940,716
Allowance for loan and lease losses as a percent of total gross loans and leases			1.06	%			1.10	%			1.47	%
Non-performing assets as a percent of total assets			0.21	%			0.25	%			0.81	%

(1)		This is a non-GAAP financial measure. Management believes these measures are meaningful because they reflect adjustments commonly made by management, investors, regulators, and analysts to evaluate financial performance, provide greater understanding of ongoing operations, and enhance comparability of results with prior periods. See the section titled Non-GAAP Reconciliations at the end of this release for a reconciliation of GAAP financial measures to non-GAAP financial measures.
(2)		Calculation is annualized.

First Quarter 2022 Compared to Fourth Quarter 2021

Net interest income increased $502,000, or 2.4%, to $21.4 million.

• Net interest income growth was driven by an increase in average loans and leases, partially offset by a reduction in fees in lieu of interest and the accelerated amortization of $236,000 in debt issuance costs related to the redemption of trust preferred securities. Average loans and leases receivable, excluding net PPP loans in both periods of comparison, increased $96.9 million, or 18.2% annualized, to $2.224 billion. Fees in lieu of interest, which can vary from quarter to quarter based on client-driven activity, totaled $1.3 million, compared to $1.7 million, and included $249,000 and $892,000 in PPP fees, respectively. Excluding fees in lieu of interest, interest income from PPP loans, and the aforementioned accelerated debt issuance costs, net interest income increased $1.2 million, or 25.7% annualized.

• The yield on average interest-earning assets increased three basis points to 3.84% from 3.81%. Excluding average net PPP loans, PPP loan interest income, and the aforementioned fees in lieu of interest, the yield earned on average interest-earning assets increased seven basis points to 3.66% from 3.59%. The rate paid for average total bank funding decreased two basis point to 0.31% from 0.33%. Total bank funding is defined as total deposits plus Federal Home Loan Bank (“FHLB”) advances.

• Net interest margin was 3.39% in both periods of comparison. Adjusted net interest margin was 3.24%, up one basis point compared to 3.23% in the linked quarter. The aforementioned accelerated debt issuance costs reduced first quarter 2022 net interest margin and adjusted net interest margin by four basis points. Adjusted net interest margin is a non-GAAP measure representing net interest income excluding fees in lieu of interest and other recurring but volatile components of net interest margin divided by average interest-earning assets less average net PPP loans and other recurring but volatile components of average interest-earning assets such as excess liquidity and non-accrual loans.

• The Bank continues to maintain an asset-sensitive balance sheet and ended the quarter appropriately positioned for net interest income to benefit from rising short-term interest rates.

The Company reported a net benefit to provision for loan and lease losses of $855,000, compared to a $508,000 benefit in the fourth quarter of 2021.

• The provision benefit in the first quarter of 2022 was primarily due to a $416,000 reduction due to qualitative risk factor improvements, a net decrease in specific reserves of $280,000, a $206,000 reduction in the general reserve from improving historical loss rates, and net recoveries of $188,000. These decreases were partially offset by a $235,000 increase in the general reserve due to loan growth.

Non-interest income decreased $183,000, or 2.4%, to $7.4 million.

• Private wealth management fee income decreased $33,000, or 1.1% to $2.8 million. Private wealth and trust assets under management and administration measured $2.834 billion at March 31, 2022, down $86.7 million, primarily due to a decrease in market valuations, which was partially offset by new business development.

• Gains on sale of SBA loans decreased $457,000 to $585,000. Management believes SBA 7a loan production, while variable based on timing of closings, will increase on an annual basis at a measured pace.

• Commercial loan interest rate swap fee income decreased $459,000 to $225,000. Swap fee income can vary from period to period based on client demand and the interest rate environment.

• Other fee income increased $817,000 to $2.1 million, compared to $1.3 million in the fourth quarter. The increase is primarily due to strong returns on the Company’s investments in mezzanine funds.

Non-interest expense increased $1.3 million, or 7.4%, to $18.8 million, while operating expense increased $1.2 million, or 7.0%, to $18.9 million.

• Compensation expense was $13.6 million, reflecting an increase of $1.2 million, or 9.6%, from the linked quarter primarily due to above average annual merit increases, reflecting the competitive job market, as well as payroll taxes paid in the quarter on a record annual cash bonus plan payout, and an expanded workforce. Management believes the increase in compensation expense will decline from this seasonally high rate and stabilize to a modestly lower rate during the remainder of the year. Average full-time equivalent employees (“FTE”) for the first quarter of 2022 were 310, up nine from 301 in the linked quarter.

• Professional fees were $1.2 million, increasing $237,000, or 25.4%, from the linked quarter primarily due to legal fees associated with tax credit investments, moderate increases in audit fees, and other professional and consulting services.

• FDIC insurance expense was $313,000, increasing $103,000, or 49.0%, from the linked quarter primarily due to an increase in both the assessment rate and the assessable base.

• Other non-interest expense decreased $269,000 to $513,000. During the linked quarter the Company recorded a $106,000 increase in the credit valuation adjustment (“CVA”) related to its commercial loan interest rate swap program, while no adjustment was recorded in the current period. The CVA can vary from period to period based on the size of the portfolio, credit metrics, and the interest rate environment in any given quarter. The remaining variance was mainly due to a seasonal increase in charitable donations in the linked quarter, as well as a current quarter increase in reimbursements received for loan expenses.

Income tax expense decreased $707,000. or 24.6%, to $2.2 million. The effective tax rate, excluding discrete items, was 23.5%, compared to 24.0% for the full year 2021. For 2022, the Corporation expects to report an effective tax rate of 23%-24%, excluding discrete items, as management intends to continue actively pursuing tax credit opportunities.

Total period-end loans and leases receivable, excluding net PPP loans in both periods of comparison, increased $20.9 million, or 3.8% annualized, to $2.233 billion. The first quarter of 2022 included elevated loan payoffs of nearly $90 million, compared to just over $30 million in the fourth quarter of 2021. These elevated levels of payoffs primarily stem from the sales of businesses and real estate properties, which can be variable depending on market conditions.

• Commercial real estate (“CRE”) loans increased by $15.1 million, or 4.1% annualized, to $1.470 billion, compared to $1.455 billion, as increases in construction financing and owner-occupied real estate offset payoffs and paydowns in multi-family and non-owner occupied loans.

• Commercial and industrial (“C&I”) loans decreased $10.1 million, primarily due to the aforementioned payoffs and PPP loan forgiveness. C&I loans, excluding net PPP loans, decreased $1.0 million.

Total period-end in-market deposits increased $83.1 million, or 17.2% annualized, to $2.011 billion, compared to $1.928 billion, and the average rate paid was 0.13% in both periods. The Bank’s deposit-centric sales strategy, led by treasury management sales, contributed to growth across all in-market deposit categories.

Period-end wholesale funding, including FHLB advances, brokered deposits, and deposits gathered through internet deposit listing services, decreased $24.7 million to $373.7 million.

• Wholesale deposits decreased $17.3 million to $12.3 million. The average rate paid on wholesale deposits increased 188 basis points to 2.91% and the weighted average original maturity of brokered certificates of deposit increased to 4.8 years from 3.8 years.

• FHLB advances decreased $7.4 million to $361.4 million. The average rate paid on FHLB advances decreased 22 basis point to 1.08% and the weighted average original maturity increased to 6.0 years from 5.9 years.

Non-performing assets decreased $788,000, or 12.1%, to $5.7 million, or 0.21% of total assets, compared to $6.5 million, or 0.25% of total assets. The reduction in non-performing assets was primarily due to loan payoffs and paydowns.

The allowance for loan and lease losses decreased $667,000, or 2.7%, as an increase in the general reserve from loan growth was more than offset by a decrease in the historical loss rates, qualitative risk factors, and specific reserves.

• The allowance for loan and lease losses as a percent of total gross loans and leases was 1.05%, compared to 1.09% as of December 31, 2021.

• Excluding net PPP loans, the allowance for loan and leases losses as a percent of total gross loans and leases was 1.06%, compared to 1.10% as of December 31, 2021.

First Quarter 2022 Compared to First Quarter 2021

Net interest income increased $563,000, or 2.7%, to $21.4 million.

• The increase in net interest income primarily reflects an increase in average gross loans and leases, partially offset by lower fees in lieu of interest and the accelerated amortization of $236,000 in debt issuance costs related to the redemption of trust preferred securities. Fees in lieu of interest decreased from $3.1 million to $1.3 million, primarily due to a $2.0 million reduction in PPP loan fee amortization. Excluding fees in lieu of interest, interest income from PPP loans, and the aforementioned accelerated debt issuance costs, net interest income increased $3.1 million, or 18.3%. Excluding net PPP loans, average gross loans and leases increased $283.0 million, or 14.6%.

• The yield on average interest-earning assets measured 3.84% compared to 3.93%. Excluding fees in lieu of interest, PPP loan interest income, and net PPP loans, the yield on average interest-earning assets measured 3.66%, compared to 3.69%. This decrease in yield was primarily due to the renewal of fixed-rate loans and reinvestment of cash flows from the securities portfolio at historically low interest rates. The rate paid for average total bank funding decreased nine basis points to 0.31% from 0.40%.

• Net interest margin decreased five basis points to 3.39% from 3.44%. Adjusted net interest margin increased four basis points to 3.24% from 3.20%.

The Company reported a net benefit to provision for loan and lease losses of $855,000, compared to provision benefit of $2.1 million in the first quarter of 2021. The reasons for the provision benefit are consistent with the explanations discussed above in the linked quarter comparison.

Non-interest income of $7.4 million increased by $191,000, or 2.7%, from $7.2 million in the prior year period.

• Private wealth management fee income increased $434,000, or 18.0%, to $2.8 million. Private wealth and trust assets under management and administration measured $2.834 billion at March 31, 2022, up $447.5 million, or 18.8%.

• Gains on sale of SBA loans decreased $493,000 to $585,000. Management believes SBA 7a loan production, while variable based on timing of closings, will increase on an annual basis at a measured pace.

• Loan fees of $652,000 increased by $107,000, or 19.6%, primarily due to an increase in conventional, SBA, and floorplan financing activity generating additional processing and service fee income.

• Commercial loan interest rate swap fee income was $225,000, compared to $684,000 in the prior year period. Swap fee income varies from period to period based on client demand and the interest rate environment in any given quarter.

• Other fee income increased $520,000, or 33.2%, to $2.1 million compared to $1.6 million, primarily due to higher returns from the Company’s investments in mezzanine funds.

Non-interest expense increased $1.5 million, or 8.6%, to $18.8 million. Operating expense increased $1.4 million, or 8.2%, to $18.9 million.

• Compensation expense increased $981,000, or 7.8%, to $13.6 million. Average FTEs were 310 in the first quarter of 2022, compared to 305 in the first quarter of 2021. The reasons for the increase in compensation expense are consistent with the explanations discussed above in the linked quarter analysis.

• Professional fees increased $304,000, or 35.1%, to $1.2 million, primarily due to an increase in legal expenses related to historic tax credit investments, an increase in audit expenses, and a general increase in other professional consulting services for various projects.

• Marketing expense increased $109,000, or 27.9%, to $500,000 mainly due to an increase in business development activities as the Company continues to return to pre-pandemic spending levels.

• Other non-interest expense increased $239,000, or 87.2%, to $513,000, partially due to an increase in travel expense. In addition, the first quarter of 2021 included a reduction in CVA related to the commercial loan interest rate swap program, while no adjustment was recorded in the current period.

Total period-end loans and leases receivable, excluding net PPP loans in both periods of comparison, increased $265.5 million, or 13.5%, to $2.233 billion.

• C&I loans, excluding net PPP loans, increased $185.8 million, or 35.9%, due to an increase in both conventional commercial lending, as well as specialized commercial lending, which represents 19.4% of total gross loans, up from 17.8% last year. Management believes this growth rate will moderate to lower double-digits as the Company’s specialized lending products scale over time.

• CRE loans increased $77.2 million, or 5.5%, primarily due to an increase in non-owner-occupied real estate and construction financing.

Total period-end in-market deposits increased $274.1 million, or 15.8%, to $2.011 billion and the average rate paid decreased three basis points to 0.13%. This increase in deposits was principally due to an $82.1 million and $174.9 million increase in transaction and money market accounts, respectively.

Period-end wholesale funding decreased $207.6 million to $373.7 million.

• Wholesale deposits decreased $153.2 million to $12.3 million, compared to $165.5 million, as the existing portfolio runoff was replaced by in-market deposits. The average rate paid on brokered certificates of deposit increased 215 basis points to 2.91% and the weighted average original maturity increased to 4.8 years from 3.9 years.

• FHLB advances decreased $54.4 million to $361.4 million. The average rate paid on FHLB advances decreased 28 basis points to 1.08% and the weighted average original maturity increased to 6.0 years from 5.7 years.

Non-performing assets decreased to $5.7 million, or 0.21% of total assets, compared to $19.0 million, or 0.73% of total assets. Excluding net PPP loans, non-performing assets decreased to 0.21% of total assets as of March 31, 2022 compared to 0.81% one year prior.

The allowance for loan and lease losses decreased $5.3 million to $23.7 million, compared to $29.0 million.

• The allowance for loan and lease losses as a percent of total gross loans and leases was 1.05% compared to 1.29%.

• Excluding net PPP loans, the allowance for loan and leases losses as a percent of total gross loans and leases was 1.06% as of March 31, 2022, compared to 1.47% one year prior.

Paycheck Protection Program

As of March 31, 2022, the Company had $18.5 million in gross PPP loans outstanding and deferred processing fees outstanding of $308,000. The processing fees are deferred and recognized over the contractual life of the loan, or accelerated at forgiveness, as an adjustment of yield using the interest method. During the three months ended March 31, 2022, the Company recognized $249,000 of PPP processing fees in interest income. The SBA provides a guaranty to the lender of 100% of principal and interest, unless the lender violated an obligation under the agreement. Since loan losses are expected to be immaterial, if at all, due to the government guarantee, management excluded the PPP loans from the allowance for loan and lease losses calculation. These short-term loans were funded primarily through a combination of excess cash held at the Federal Reserve and from an increase in in-market deposits.

Share Repurchase Program Update

As previously announced, effective March 4, 2022, the Company’s Board of Directors authorized the repurchase by the Company of shares of its common stock with a maximum aggregate purchase price of $5.0 million, effective March 4, 2022 through March 4, 2023. During March, the Company repurchased a total of 4,502 shares for approximately $148,000 at an average cost of $32.87 per share.

About First Business Financial Services, Inc.

First Business Financial Services, Inc., (Nasdaq: FBIZ) is the parent company of First Business Bank. First Business Bank specializes in Business Banking, including Commercial Banking and Specialized Lending, Private Wealth, and Bank Consulting services, and through its refined focus, delivers unmatched expertise, accessibility, and responsiveness. Specialized Lending solutions are delivered through First Business Bank’s wholly owned subsidiary First Business Specialty Finance, LLC. For additional information, visit www.firstbusiness.bank.

This release may include forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, which reflect First Business Bank’s current views with respect to future events and financial performance. Forward-looking statements are not based on historical information, but rather are related to future operations, strategies, financial results, or other developments. Forward-looking statements are based on management’s expectations as well as certain assumptions and estimates made by, and information available to, management at the time the statements are made. Those statements are based on general assumptions and are subject to various risks, uncertainties, and other factors that may cause actual results to differ materially from the views, beliefs, and projections expressed in such statements. Such statements are subject to risks and uncertainties, including among other things:

• Adverse changes in the economy or business conditions, either nationally or in our markets, including, without limitation, inflation, supply chain issues, labor shortages, and the adverse effects of the COVID-19 pandemic on the global, national, and local economy, which may effect the Corporation’s credit quality, revenue, and business operations.
• Competitive pressures among depository and other financial institutions nationally and in the Company’s markets.
• Increases in defaults by borrowers and other delinquencies.
• Management’s ability to manage growth effectively, including the successful expansion of our client service, administrative infrastructure, and internal management systems.
• Fluctuations in interest rates and market prices.
• Changes in legislative or regulatory requirements applicable to the Company and its subsidiaries.
• Changes in tax requirements, including tax rate changes, new tax laws, and revised tax law interpretations.
• Fraud, including client and system failure or breaches of our network security, including the Company’s internet banking activities.
• Failure to comply with the applicable SBA regulations in order to maintain the eligibility of the guaranteed portion of SBA loans.

For further information about the factors that could affect the Company’s future results, please see the Company’s annual report on Form 10-K for the year ended December 31, 2021 and other filings with the Securities and Exchange Commission.

SELECTED FINANCIAL CONDITION DATA

(Unaudited)		As of
(in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Assets
Cash and cash equivalents		$	95,603			$	57,110			$	110,624			$	389,977			$	58,874
Securities available-for-sale, at fair value			223,631				205,702				194,056				171,219				173,261
Securities held-to-maturity, at amortized cost			17,267				19,746				21,196				22,382				24,783
Loans held for sale			2,418				3,570				5,603				6,059				6,576
Loans and leases receivable			2,251,249				2,239,408				2,123,306				2,143,561				2,235,112
Allowance for loan and lease losses			(23,669	)			(24,336	)			(24,676	)			(25,675	)			(28,982	)
Loans and leases receivable, net			2,227,580				2,215,072				2,098,630				2,117,886				2,206,130
Premises and equipment, net			1,621				1,694				1,700				1,747				1,923
Foreclosed properties			117				164				172				179				31
Right-of-use assets			6,118				4,910				5,263				5,472				5,486
Bank-owned life insurance			53,974				53,600				53,244				52,887				52,537
Federal Home Loan Bank stock, at cost			12,863				13,336				12,351				13,451				14,941
Goodwill and other intangible assets			12,184				12,268				12,229				12,178				12,055
Derivatives			26,890				26,343				28,678				32,377				26,104
Accrued interest receivable and other assets			43,816				39,390				40,664				39,855				38,017
Total assets		$	2,724,082			$	2,652,905			$	2,584,410			$	2,865,669			$	2,620,718
Liabilities and Stockholders’ Equity
In-market deposits		$	2,011,373			$	1,928,285			$	1,829,644			$	2,016,215			$	1,737,226
Wholesale deposits			12,321				29,638				74,638				144,492				165,492
Total deposits			2,023,694				1,957,923				1,904,282				2,160,707				1,902,718
Federal Home Loan Bank advances and other borrowings			414,487				403,451				394,090				420,113				448,417
Junior subordinated notes			—				10,076				10,072				10,069				10,065
Lease liabilities			7,580				5,406				5,780				6,005				6,040
Derivatives			24,961				28,283				31,890				36,109				29,565
Accrued interest payable and other liabilities			8,309				15,344				13,016				11,214				9,422
Total liabilities			2,479,031				2,420,483				2,359,130				2,644,217				2,406,227
Total stockholders’ equity			245,051				232,422				225,280				221,452				214,491
Total liabilities and stockholders’ equity		$	2,724,082			$	2,652,905			$	2,584,410			$	2,865,669			$	2,620,718

STATEMENTS OF INCOME

(Unaudited)		As of and for the Three Months Ended
(Dollars in thousands, except per share amounts)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Total interest income		$	24,235			$	23,576			$	24,014			$	24,599			$	23,806
Total interest expense			2,809				2,652				2,791				2,947				2,943
Net interest income			21,426				20,924				21,223				21,652				20,863
Provision for loan and lease losses			(855	)			(508	)			(2,269	)			(958	)			(2,068	)
Net interest income after provision for loan and lease losses			22,281				21,432				23,492				22,610				22,931
Private wealth management service fees			2,841				2,874				2,759				2,744				2,407
Gain on sale of SBA loans			585				1,042				721				1,203				1,078
Service charges on deposits			999				1,023				956				941				917
Loan fees			652				679				713				569				545
Net gain on sale of securities			—				—				—				29				—
Swap fees			225				684				—				—				684
Other non-interest income			2,084				1,267				1,866				835				1,564
Total non-interest income			7,386				7,569				7,015				6,321				7,195
Compensation			13,638				12,447				13,351				13,255				12,657
Occupancy			555				551				544				533				552
Professional fees			1,170				933				1,024				913				866
Data processing			780				773				746				798				770
Marketing			500				548				572				511				391
Equipment			244				223				260				261				246
Computer software			1,082				1,017				999				1,129				1,115
FDIC insurance			313				210				291				280				362
Collateral liquidation cost			16				40				47				84				94
Net loss (gain) on foreclosed properties			12				7				6				(1	)			3
Other non-interest expense			513				782				650				421				274
Total non-interest expense			18,823				17,531				18,490				18,184				17,330
Income before income tax expense			10,844				11,470				12,017				10,747				12,796
Income tax expense			2,172				2,879				2,819				2,512				3,065
Net income		$	8,672			$	8,591			$	9,198			$	8,235			$	9,731
Per common share:
Basic earnings		$	1.02			$	1.01			$	1.07			$	0.95			$	1.12
Diluted earnings			1.02				1.01				1.07				0.95				1.12
Dividends declared			0.1975				0.18				0.18				0.18				0.18
Book value			27.46				27.48				26.56				25.70				24.83
Tangible book value			26.02				26.03				25.11				24.28				23.43
Weighted-average common shares outstanding(1)			8,232,142				8,228,311				8,340,042				8,385,069				8,429,149
Weighted-average diluted common shares outstanding(1)			8,232,142				8,228,311				8,340,042				8,385,069				8,429,149

(1)		Excluding participating securities.

NET INTEREST INCOME ANALYSIS

(Unaudited)		For the Three Months Ended
(Dollars in thousands)		March 31, 2022									December 31, 2021									March 31, 2021
		Average Balance			Interest			Average Yield/ Rate(4)			Average Balance			Interest			Average Yield/ Rate(4)			Average Balance			Interest			Average Yield/ Rate(4)
Interest-earning assets
Commercial real estate and other mortgage loans(1)		$	1,459,891		$	13,346		3.66	%		$	1,417,498		$	13,225		3.73	%		$	1,357,141		$	12,528		3.69	%
Commercial and industrial loans(1)			718,364			9,101		5.07	%			702,108			8,711		4.96	%			757,898			9,625		5.08	%
Direct financing leases(1)			16,540			189		4.57	%			17,662			200		4.53	%			22,271			244		4.38	%
Consumer and other loans(1)			49,847			436		3.50	%			42,501			376		3.54	%			45,648			398		3.49	%
Total loans and leases receivable(1)			2,244,642			23,072		4.11	%			2,179,769			22,512		4.13	%			2,182,958			22,795		4.18	%
Mortgage-related securities(2)			184,962			760		1.64	%			170,002			677		1.59	%			163,324			666		1.63	%
Other investment securities(3)			50,555			215		1.70	%			49,927			209		1.67	%			42,177			187		1.77	%
FHLB stock			14,002			172		4.91	%			12,345			155		5.02	%			12,465			152		4.88	%
Short-term investments			31,111			16		0.21	%			60,018			23		0.15	%			24,575			6		0.10	%
Total interest-earning assets			2,525,272			24,235		3.84	%			2,472,061			23,576		3.81	%			2,425,499			23,806		3.93	%
Non-interest-earning assets			140,969									140,844									151,665
Total assets		$	2,666,241								$	2,612,905								$	2,577,164
Interest-bearing liabilities
Transaction accounts		$	533,251			255		0.19	%		$	497,743			239		0.19	%		$	521,130			250		0.19	%
Money market			784,276			338		0.17	%			749,247			321		0.17	%			657,690			274		0.17	%
Certificates of deposit			52,519			55		0.42	%			42,507			36		0.34	%			57,424			177		1.23	%
Wholesale deposits			16,236			118		2.91	%			62,342			161		1.03	%			166,752			318		0.76	%
Total interest-bearing deposits			1,386,282			766		0.22	%			1,351,839			757		0.22	%			1,402,996			1,019		0.29	%
FHLB advances			385,080			1,036		1.08	%			353,637			1,149		1.30	%			366,670			1,249		1.36	%
Other borrowings			40,311			503		4.99	%			35,270			466		5.28	%			27,296			401		5.88	%
Junior subordinated notes(5)			9,850			504		20.47	%			10,073			280		11.12	%			10,063			274		10.89	%
Total interest-bearing liabilities			1,821,523			2,809		0.62	%			1,750,819			2,652		0.61	%			1,807,025			2,943		0.65	%
Non-interest-bearing demand deposit accounts			562,530									577,378									485,863
Other non-interest-bearing liabilities			42,537									56,280									73,695
Total liabilities			2,426,590									2,384,477									2,366,583
Stockholders’ equity			239,651									228,428									210,581
Total liabilities and stockholders’ equity		$	2,666,241								$	2,612,905								$	2,577,164
Net interest income					$	21,426								$	20,924								$	20,863
Interest rate spread								3.22	%								3.21	%								3.27	%
Net interest-earning assets		$	703,749								$	721,242								$	618,474
Net interest margin								3.39	%								3.39	%								3.44	%

(1)		The average balances of loans and leases include non-accrual loans and leases and loans held for sale. Interest income related to non-accrual loans and leases is recognized when collected. Interest income includes net loan fees collected in lieu of interest.
(2)		Includes amortized cost basis of assets available for sale and held to maturity.
(3)		Yields on tax-exempt municipal obligations are not presented on a tax-equivalent basis in this table.
(4)		Represents annualized yields/rates.
(5)		The calculation for the three months ended March 31, 2022 includes $236,000 in accelerated amortization of debt issuance costs.

PROVISION FOR LOAN AND LEASE LOSS COMPOSITION

(Unaudited)		For the Three Months Ended
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Change in general reserve due to subjective factor changes		$	(416	)		$	(805	)		$	(51	)		$	(652	)		$	1,082
Change in general reserve due to historical loss factor changes			(206	)			(862	)			(923	)			(1,687	)			(984	)
Charge-offs			22				106				364				2,894				144
Recoveries			(210	)			(274	)			(1,634	)			(545	)			(2,673	)
Change in specific reserves on impaired loans, net			(280	)			(64	)			(451	)			(1,466	)			(194	)
Change due to loan growth, net			235				1,391				426				498				557
Total provision for loan and lease losses		$	(855	)		$	(508	)		$	(2,269	)		$	(958	)		$	(2,068	)

PERFORMANCE RATIOS

		For the Three Months Ended
(Unaudited)		March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Return on average assets (annualized)		1.30	%		1.32	%		1.41	%		1.26	%		1.51	%
Return on average equity (annualized)		14.47	%		15.04	%		16.39	%		15.09	%		18.48	%
Efficiency ratio		65.55	%		61.92	%		65.68	%		64.17	%		62.19	%
Interest rate spread		3.22	%		3.21	%		3.27	%		3.31	%		3.27	%
Net interest margin		3.39	%		3.39	%		3.45	%		3.49	%		3.44	%
Average interest-earning assets to average interest-bearing liabilities		138.64	%		141.19	%		139.19	%		136.54	%		134.23	%

ASSET QUALITY RATIOS

(Unaudited)		As of
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Non-accrual loans and leases		$	5,617			$	6,358			$	7,433			$	11,422			$	18,992
Foreclosed properties			117				164				172				179				31
Total non-performing assets			5,734				6,522				7,605				11,601				19,023
Performing troubled debt restructurings			203				217				53				56				59
Total impaired assets		$	5,937			$	6,739			$	7,658			$	11,657			$	19,082
Non-accrual loans and leases as a percent of total gross loans and leases			0.25	%			0.28	%			0.35	%			0.53	%			0.85	%
Non-performing assets as a percent of total gross loans and leases plus foreclosed properties			0.25	%			0.29	%			0.36	%			0.54	%			0.85	%
Non-performing assets as a percent of total assets			0.21	%			0.25	%			0.29	%			0.40	%			0.73	%
Allowance for loan and lease losses as a percent of total gross loans and leases			1.05	%			1.09	%			1.16	%			1.20	%			1.29	%
Allowance for loan and lease losses as a percent of non-accrual loans and leases			421.38	%			382.76	%			331.98	%			224.79	%			152.60	%

ASSET QUALITY RATIOS - EXCLUDING NET PPP LOANS

(Unaudited)		As of
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Non-accrual loans and leases as a percent of total gross loans and leases			0.25	%			0.29	%			0.36	%			0.56	%			0.96	%
Non-performing assets as a percent of total gross loans and leases plus foreclosed properties			0.26	%			0.29	%			0.37	%			0.57	%			0.96	%
Non-performing assets as a percent of total assets			0.21	%			0.25	%			0.30	%			0.42	%			0.81	%
Allowance for loan and lease losses as a percent of total gross loans and leases			1.06	%			1.10	%			1.20	%			1.27	%			1.47	%
PPP loans outstanding, net		$	18,206			$	27,297			$	64,454			$	120,723			$	267,567

NET CHARGE-OFFS (RECOVERIES)

(Unaudited)		For the Three Months Ended
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Charge-offs		$	22			$	106			$	364			$	2,894			$	144
Recoveries			(210	)			(274	)			(1,634	)			(545	)			(2,673	)
Net (recoveries) charge-offs		$	(188	)		$	(168	)		$	(1,270	)		$	2,349			$	(2,529	)
Net (recoveries) charge-offs as a percent of average gross loans and leases (annualized)			(0.03	)%			(0.03	)%			(0.24	)%			0.42	%			(0.46	)%
Annualized (recoveries) charge-offs as a percent of average gross loans and leases, excluding average net PPP loans			(0.03	)%			(0.03	)%			(0.25	)%			0.47	%			(0.52	)%
Average PPP loans outstanding, net		$	20,935			$	52,923			$	87,517			$	229,165			$	242,242

CAPITAL RATIOS

		As of and for the Three Months Ended
(Unaudited)		March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Total capital to risk-weighted assets		11.87	%		10.82	%		11.14	%		11.22	%		11.52	%
Tier I capital to risk-weighted assets		9.27	%		8.94	%		9.14	%		9.14	%		9.24	%
Common equity tier I capital to risk-weighted assets		8.81	%		8.55	%		8.73	%		8.72	%		8.81	%
Tier I capital to adjusted assets		9.09	%		8.94	%		8.69	%		8.48	%		8.37	%
Tangible common equity to tangible assets		8.14	%		8.34	%		8.28	%		7.33	%		7.76	%
Tangible common equity to tangible assets, excluding net PPP loans		8.20	%		8.42	%		8.50	%		7.66	%		8.65	%

LOAN AND LEASE RECEIVABLE COMPOSITION

(Unaudited)		As of
(in thousands)		March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Commercial real estate:
Commercial real estate - owner occupied		$	254,237		$	235,589		$	241,977		$	253,600		$	256,812
Commercial real estate - non-owner occupied			656,185			661,423			639,423			614,289			592,090
Land development			40,092			42,792			39,119			45,056			46,544
Construction			200,472			179,841			139,933			139,943			151,345
Multi-family			302,494			320,072			313,787			319,351			322,384
1-4 family			16,198			14,911			13,487			19,769			23,319
Total commercial real estate			1,469,678			1,454,628			1,387,726			1,392,008			1,392,494
Commercial and industrial			720,695			730,819			681,065			695,442			784,305
Direct financing leases, net			14,551			15,743			16,810			18,142			19,616
Consumer and other:
Home equity and second mortgages			4,523			4,223			4,576			5,740			6,719
Other			43,066			35,518			35,645			36,567			38,266
Total consumer and other			47,589			39,741			40,221			42,307			44,985
Total gross loans and leases receivable			2,252,513			2,240,931			2,125,822			2,147,899			2,241,400
Less:
Allowance for loan and lease losses			23,669			24,336			24,676			25,675			28,982
Deferred loan fees			1,264			1,523			2,516			4,338			6,288
Loans and leases receivable, net		$	2,227,580		$	2,215,072		$	2,098,630		$	2,117,886		$	2,206,130

DEPOSIT COMPOSITION

(Unaudited)		As of
(in thousands)		March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Non-interest-bearing transaction accounts		$	600,987		$	589,559		$	526,047		$	774,253		$	496,877
Interest-bearing transaction accounts			539,492			530,225			517,248			511,698			561,466
Money market accounts			806,917			754,410			728,751			685,127			632,065
Certificates of deposit			63,977			54,091			57,598			45,137			46,818
Wholesale deposits			12,321			29,638			74,638			144,492			165,492
Total deposits		$	2,023,694		$	1,957,923		$	1,904,282		$	2,160,707		$	1,902,718

TRUST ASSETS COMPOSITION

(Unaudited)		As of
(in thousands)		March 31, 2022			December 31, 2021			September 30, 2021			June 30, 2021			March 31, 2021
Trust assets under management		$	2,636,896		$	2,711,760		$	2,545,089		$	2,362,257		$	2,195,804
Trust assets under administration			197,160			208,954			202,657			202,116			190,721
Total trust assets		$	2,834,056		$	2,920,714		$	2,747,746		$	2,564,373		$	2,386,525

NON-GAAP RECONCILIATIONS

Certain financial information provided in this release is determined by methods other than in accordance with generally accepted accounting principles (United States) (“GAAP”). Although the Company’s management believes that these non-GAAP financial measures provide a greater understanding of its business, these measures are not necessarily comparable to similar measures that may be presented by other companies.

TANGIBLE BOOK VALUE

“Tangible book value per share” is a non-GAAP measure representing tangible common equity divided by total common shares outstanding. “Tangible common equity” itself is a non-GAAP measure representing common stockholders’ equity reduced by intangible assets, if any. The Company’s management believes that this measure is important to many investors in the marketplace who are interested in period-to-period changes in book value per common share exclusive of changes in intangible assets. The information provided below reconciles tangible book value per share and tangible common equity to their most comparable GAAP measures.

(Unaudited)		As of
(Dollars in thousands, except per share amounts)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Common stockholders’ equity		$	233,059			$	232,422			$	225,280			$	221,452			$	214,491
Goodwill and other intangible assets			(12,184	)			(12,268	)			(12,229	)			(12,178	)			(12,055	)
Tangible common equity		$	220,875			$	220,154			$	213,051			$	209,274			$	202,436
Common shares outstanding			8,488,585				8,457,564				8,483,099				8,617,761				8,638,195
Book value per share		$	27.46			$	27.48			$	26.56			$	25.70			$	24.83
Tangible book value per share			26.02				26.03				25.11				24.28				23.43

TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS

“Tangible common equity to tangible assets” is defined as the ratio of common stockholders’ equity reduced by intangible assets, if any, divided by total assets reduced by intangible assets, if any. The Company’s management believes that this measure is important to many investors in the marketplace who are interested in the relative changes from period to period in common equity and total assets, each exclusive of changes in intangible assets. The information below reconciles tangible common equity and tangible assets to their most comparable GAAP measures.

(Unaudited)		As of
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Common stockholders’ equity		$	233,059			$	232,422			$	225,280			$	221,452			$	214,491
Goodwill and other intangible assets			(12,184	)			(12,268	)			(12,229	)			(12,178	)			(12,055	)
Tangible common equity		$	220,875			$	220,154			$	213,051			$	209,274			$	202,436
Total assets		$	2,724,082			$	2,652,905			$	2,584,410			$	2,865,669			$	2,620,718
Goodwill and other intangible assets			(12,184	)			(12,268	)			(12,229	)			(12,178	)			(12,055	)
Tangible assets		$	2,711,898			$	2,640,637			$	2,572,181			$	2,853,491			$	2,608,663
Tangible common equity to tangible assets			8.14	%			8.34	%			8.28	%			7.33	%			7.76	%
Period-end net PPP loans			18,206				27,297				64,454				120,722				267,567
Tangible assets, excluding net PPP loans		$	2,693,692			$	2,613,340			$	2,507,727			$	2,732,769			$	2,341,096
Tangible common equity to tangible assets, excluding net PPP loans			8.20	%			8.42	%			8.50	%			7.66	%			8.65	%

EFFICIENCY RATIO & PRE-TAX, PRE-PROVISION ADJUSTED EARNINGS

“Efficiency ratio” is a non-GAAP measure representing non-interest expense excluding the effects of the SBA recourse provision, impairment of tax credit investments, losses or gains on foreclosed properties, amortization of other intangible assets and other discrete items, if any, divided by operating revenue, which is equal to net interest income plus non-interest income less realized gains or losses on securities, if any. “Pre-tax, pre-provision adjusted earnings” is defined as operating revenue less operating expense. In the judgment of the Company’s management, the adjustments made to non-interest expense and non-interest income allow investors and analysts to better assess the Company’s operating expenses in relation to its core operating revenue by removing the volatility that is associated with certain one-time items and other discrete items. The information provided below reconciles the efficiency ratio and pre-tax, pre-provision adjusted earnings to its most comparable GAAP measure.

(Unaudited)		For the Three Months Ended
(Dollars in thousands)		March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Total non-interest expense		$	18,823			$	17,531			$	18,490			$	18,184			$	17,330
Less:
Net loss (gain) on foreclosed properties			12				7				6				(1	)			3
Amortization of other intangible assets			—				2				7				8				8
SBA recourse (benefit) provision			(76	)			(122	)			(69	)			245				(130	)
Total operating expense (a)		$	18,887			$	17,644			$	18,546			$	17,932			$	17,449
Net interest income		$	21,426			$	20,924			$	21,223			$	21,652			$	20,863
Total non-interest income			7,386				7,569				7,015				6,321				7,195
Less:
Net gain (loss) on sale of securities			—				—				—				29				—
Adjusted non-interest income			7,386				7,569				7,015				6,292				7,195
Total operating revenue (b)		$	28,812			$	28,493			$	28,238			$	27,944			$	28,058
Efficiency ratio			65.55	%			61.92	%			65.68	%			64.17	%			62.19	%
Pre-tax, pre-provision adjusted earnings (b - a)		$	9,925			$	10,849			$	9,692			$	10,012			$	10,609
Average total assets		$	2,666,241			$	2,612,905			$	2,608,198			$	2,621,340			$	2,577,164
Pre-tax, pre-provision adjusted return on average assets			1.49	%			1.66	%			1.49	%			1.53	%			1.65	%

ADJUSTED NET INTEREST MARGIN

“Adjusted Net Interest Margin” is a non-GAAP measure representing net interest income excluding the fees in lieu of interest and other recurring but volatile components of net interest margin divided by average interest-earning assets less average net PPP loans, if any, and other recurring but volatile components of average interest-earning assets. Fees in lieu of interest are defined as prepayment fees, asset-based loan fees, non-accrual interest, and loan fee amortization. In the judgment of the Company’s management, the adjustments made to net interest income allow investors and analysts to better assess the Company’s net interest income in relation to its core client-facing loan and deposit rate changes by removing the volatility that is associated with these recurring but volatile components. The information provided below reconciles the net interest margin to its most comparable GAAP measure.

(Unaudited)	For the Three Months Ended
(Dollars in thousands)	March 31, 2022				December 31, 2021				September 30, 2021				June 30, 2021				March 31, 2021
Interest income	$	24,235			$	23,576			$	24,014			$	24,599			$	23,806
Interest expense		2,809				2,652				2,791				2,947				2,943
Net interest income (a)		21,426				20,924				21,223				21,652				20,863
Less:
Fees in lieu of interest		1,293				1,700				2,839				3,536				3,085
PPP loan interest income		52				134				221				566				603
FRB interest income and FHLB dividend income		188				179				212				192				158
Adjusted net interest income (b)	$	19,893			$	18,911			$	17,951			$	17,358			$	17,017
Average interest-earning assets (c)	$	2,525,272			$	2,472,013			$	2,460,567			$	2,483,447			$	2,425,499
Less:
Average net PPP loans		20,935				52,923				87,517				229,165				242,242
Average FRB cash and FHLB stock		44,577				71,939				129,469				68,503				36,643
Average non-accrual loans and leases		6,195				6,796				11,298				16,744				22,069
Adjusted average interest-earning assets (d)	$	2,453,565			$	2,340,355			$	2,232,283			$	2,169,035			$	2,124,545
Net interest margin (a / c)		3.39	%			3.39	%			3.45	%			3.49	%			3.44	%
Adjusted net interest margin (b / d)		3.24	%			3.23	%			3.22	%			3.20	%			3.20	%

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20220428006011/en/

First Business Financial Services, Inc.

Edward G. Sloane, Jr.

Chief Financial Officer

608-232-5970

esloane@firstbusiness.bank

Source: First Business Financial Services, Inc.

FAQ

What was First Business Financial Services' net income for Q1 2022?

First Business Financial Services reported a net income of $8.7 million for Q1 2022.

How much did in-market deposits increase in Q1 2022 for FBIZ?

In-market deposits increased by $83.1 million, or 17.2% annualized, in Q1 2022.

What is FBIZ's earnings per share for Q1 2022?

FBIZ's earnings per share for Q1 2022 were $1.02 diluted.

Did FBIZ experience growth in loans in Q1 2022?

Yes, loans, excluding PPP loans, grew by $20.9 million, or 3.8% annualized, in Q1 2022.

What is the status of non-performing assets for FBIZ as of March 31, 2022?

Non-performing assets decreased by 12.1% to $5.7 million, representing 0.21% of total assets.