Investar Holding Corporation Announces 2024 Fourth Quarter Results
Rhea-AI Summary
Investar Holding (NASDAQ:ISTR) announced its Q4 2024 financial results, reporting net income of $6.1 million ($0.61 per diluted share), up from $5.4 million ($0.54 per share) in Q3 2024 and $3.5 million ($0.36 per share) in Q4 2023.
Key highlights include:
- Return on average assets increased to 0.88% from 0.77% in Q3 2024
- Efficiency ratio improved to 71.00% from 75.61% in Q3 2024
- Total loans decreased by $30.8 million to $2.13 billion
- Total deposits increased by $58.5 million to $2.35 billion
- Credit quality remained solid with nonperforming loans at 0.42% of total loans
- Net interest margin was 2.65%, slightly down from 2.67% in Q3 2024
The company received $5.5 million in BOLI death benefit proceeds and redeemed $20 million in subordinated debt. The bank also repaid $109 million in borrowings under the Bank Term Funding Program, contributing to a decrease in overall cost of funds to 3.49%.
Positive
- Net income increased to $6.1M from $5.4M quarter-over-quarter
- Return on average assets improved to 0.88% from 0.77%
- Efficiency ratio improved to 71.00% from 75.61%
- Total deposits increased by $58.5M (2.6%)
- Cost of funds decreased by 12 basis points to 3.49%
Negative
- Total loans decreased by $30.8M (1.4%)
- Net interest margin declined to 2.65% from 2.67%
- Nonperforming loans increased to 0.42% from 0.19% of total loans
- Net interest income decreased by $0.4M (2.1%) quarter-over-quarter
News Market Reaction 1 Alert
On the day this news was published, ISTR declined 0.31%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
BATON ROUGE, LA / ACCESS Newswire / January 23, 2025 / Investar Holding Corporation ("Investar") (NASDAQ:ISTR), the holding company for Investar Bank, National Association (the "Bank"), today announced financial results for the quarter ended December 31, 2024. Investar reported net income of
On a non-GAAP basis, core earnings per diluted common share for the fourth quarter of 2024 were
Investar's President and Chief Executive Officer John D'Angelo commented:
"Over the past year, Investar has successfully implemented a strategy of consistent, quality earnings through the optimization of our balance sheet, and the fourth quarter results reflect our continued execution. Our net interest margin has begun to stabilize as our cost of funds has decreased. We remained focused on originating higher yielding loans and securing lower cost funding sources that are accretive to our margin. During the fourth quarter, in accordance with our strategy to remix the loan portfolio, we originated and renewed loans,
Credit quality remained very solid as nonperforming loans represented
We have closely managed our interest-earning assets and funding costs and are actively evaluating potential opportunities to further optimize our balance sheet mix to improve shareholder returns. Our liability sensitive balance sheet is well-positioned in the event of further rate cuts to benefit from the repricing of deposits and short-term borrowings.
As always, we remain focused on shareholder value and returning capital to shareholders. During the year, we paid quarterly dividends totaling
Fourth Quarter Highlights
Return on average assets increased to
0.88% for the quarter ended December 31, 2024 compared to0.77% for the quarter ended September 30, 2024. Core return on average assets, which includes the impact of BOLI death benefit proceeds, increased to0.93% for the quarter ended December 31, 2024 compared to0.63% for the quarter ended September 30, 2024.Efficiency ratio improved to
71.00% for the quarter ended December 31, 2024 compared to75.61% for the quarter ended September 30, 2024. Core efficiency ratio, which includes the impact of BOLI death benefit proceeds, improved to69.41% for the quarter ended December 31, 2024 compared to79.33% for the quarter ended September 30, 2024.Investar received BOLI death benefit proceeds totaling
$5.5 million , and recorded a related$3.1 million in nontaxable noninterest income from BOLI, during the quarter ended December 31, 2024.Noninterest expense decreased
$0.1 million to$16.1 million for the quarter ended December 31, 2024 compared to$16.2 million for the quarter ended September 30, 2024. Core noninterest expense remained flat at$15.9 million for the quarter ended December 31, 2024 compared to the quarter ended September 30, 2024.The overall cost of funds for the quarter ended December 31, 2024 decreased 12 basis points to
3.49% compared to3.61% for the quarter ended September 30, 2024. The cost of deposits decreased five basis points to3.40% for the quarter ended December 31, 2024 compared to3.45% for the quarter ended September 30, 2024.Credit quality remained solid with nonperforming loans comprising
0.42% of total loans at December 31, 2024 compared to0.19% at September 30, 2024.Variable-rate loans as a percentage of total loans was
32% at December 31, 2024 compared to30% at September 30, 2024. During the fourth quarter of 2024, we originated and renewed loans,84% of which were variable-rate loans, at an8.2% blended interest rate.Consistent with our strategy of optimizing the balance sheet, total loans decreased
$30.8 million , or1.4% , to$2.13 billion at December 31, 2024, compared to$2.16 billion at September 30, 2024. As a result of our strategy, we recognized the benefit of a$0.7 million negative provision for credit losses.Total deposits increased
$58.5 million , or2.6% , to$2.35 billion at December 31, 2024 compared to$2.29 billion at September 30, 2024.Investar redeemed all of the remaining
$20.0 million in principal amount of our5.125% Fixed-to-Floating Rate Subordinated Notes due 2029 (the "2029 Notes"). The 2029 Notes were to bear interest at a floating rate higher than the fixed rate beginning on December 31, 2024.During the fourth quarter of 2024, Investar repaid all of the remaining
$109.0 million in borrowings under the Federal Reserve's Bank Term Funding Program ("BTFP"), which contributed to the decrease in our overall cost of funds. The weighted average rate was4.76% for the quarter ended December 31, 2024.Investar's regulatory common equity tier 1 capital ratio increased to
10.85% , or5.0% at December 31, 2024 compared to10.33% at September 30, 2024.
Loans
Total loans were
The following table sets forth the composition of the total loan portfolio as of the dates indicated (dollars in thousands).
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| Linked Quarter Change |
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| Year/Year Change |
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| Percentage of Total Loans |
| |||||||||||||||||||
| 12/31/2024 |
|
| 9/30/2024 |
|
| 12/31/2023 |
|
| $ |
|
| % |
|
| $ |
|
| % |
|
| 12/31/2024 |
|
| 12/31/2023 |
| ||||||||||
Mortgage loans on real estate |
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| ||||||||
Construction and development |
| $ | 154,553 |
|
| $ | 166,954 |
|
| $ | 190,371 |
|
| $ | (12,401 | ) |
|
| (7.4) | % |
| $ | (35,818 | ) |
|
| (18.8) | % |
|
| 7.3 | % |
|
| 8.6 | % |
1-4 Family |
|
| 396,815 |
|
|
| 403,097 |
|
|
| 413,786 |
|
|
| (6,282 | ) |
|
| (1.6 | ) |
|
| (16,971 | ) |
|
| (4.1 | ) |
|
| 18.7 |
|
|
| 18.7 |
|
Multifamily |
|
| 84,576 |
|
|
| 85,283 |
|
|
| 105,946 |
|
|
| (707 | ) |
|
| (0.8 | ) |
|
| (21,370 | ) |
|
| (20.2 | ) |
|
| 4.0 |
|
|
| 4.8 |
|
Farmland |
|
| 6,977 |
|
|
| 7,173 |
|
|
| 7,651 |
|
|
| (196 | ) |
|
| (2.7 | ) |
|
| (674 | ) |
|
| (8.8 | ) |
|
| 0.3 |
|
|
| 0.4 |
|
Commercial real estate |
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Owner-occupied |
|
| 449,259 |
|
|
| 467,467 |
|
|
| 449,610 |
|
|
| (18,208 | ) |
|
| (3.9 | ) |
|
| (351 | ) |
|
| (0.1 | ) |
|
| 21.1 |
|
|
| 20.3 |
|
Nonowner-occupied |
|
| 495,289 |
|
|
| 499,274 |
|
|
| 488,098 |
|
|
| (3,985 | ) |
|
| (0.8 | ) |
|
| 7,191 |
|
|
| 1.5 |
|
|
| 23.3 |
|
|
| 22.1 |
|
Commercial and industrial |
|
| 526,928 |
|
|
| 515,273 |
|
|
| 543,421 |
|
|
| 11,655 |
|
|
| 2.3 |
|
|
| (16,493 | ) |
|
| (3.0 | ) |
|
| 24.8 |
|
|
| 24.6 |
|
Consumer |
|
| 10,687 |
|
|
| 11,325 |
|
|
| 11,736 |
|
|
| (638 | ) |
|
| (5.6 | ) |
|
| (1,049 | ) |
|
| (8.9 | ) |
|
| 0.5 |
|
|
| 0.5 |
|
Total loans |
| $ | 2,125,084 |
|
| $ | 2,155,846 |
|
| $ | 2,210,619 |
|
| $ | (30,762 | ) |
|
| (1.4) | % |
| $ | (85,535 | ) |
|
| (3.9) | % |
|
| 100 | % |
|
| 100 | % |
At December 31, 2024, Investar's total business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was
Nonowner-occupied loans totaled
Construction and development loans totaled
Credit Quality
Nonperforming loans were
The allowance for credit losses was
Investar recorded a negative provision for credit losses of
Deposits
Total deposits at December 31, 2024 were
The following table sets forth the composition of deposits as of the dates indicated (dollars in thousands).
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| Linked Quarter Change |
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| Year/Year Change |
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| Percentage of Total Deposits |
| |||||||||||||||||||
| 12/31/2024 |
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| 9/30/2024 |
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| 12/31/2023 |
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| $ |
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| % |
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| $ |
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| % |
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| 12/31/2024 |
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| 12/31/2023 |
| ||||||||||
Noninterest-bearing demand deposits |
| $ | 432,143 |
|
| $ | 437,734 |
|
| $ | 448,752 |
|
| $ | (5,591 | ) |
|
| (1.3 | )% |
| $ | (16,609 | ) |
|
| (3.7 | )% |
|
| 18.4 | % |
|
| 19.9 | % |
Interest-bearing demand deposits |
|
| 554,777 |
|
|
| 500,345 |
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|
| 489,604 |
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|
| 54,432 |
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|
| 10.9 |
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|
| 65,173 |
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|
| 13.3 |
|
|
| 23.7 |
|
|
| 21.7 |
|
Money market deposits |
|
| 191,548 |
|
|
| 196,710 |
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|
| 179,366 |
|
|
| (5,162 | ) |
|
| (2.6 | ) |
|
| 12,182 |
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|
| 6.8 |
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|
| 8.2 |
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|
| 8.0 |
|
Brokered demand deposits |
|
| 47,320 |
|
|
| - |
|
|
| - |
|
|
| 47,320 |
|
|
| - |
|
|
| 47,320 |
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|
| - |
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|
| 2.0 |
|
|
| - |
|
Savings deposits |
|
| 134,879 |
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|
| 128,241 |
|
|
| 137,606 |
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|
| 6,638 |
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|
| 5.2 |
|
|
| (2,727 | ) |
|
| (2.0 | ) |
|
| 5.7 |
|
|
| 6.1 |
|
Brokered time deposits |
|
| 245,520 |
|
|
| 271,684 |
|
|
| 269,102 |
|
|
| (26,164 | ) |
|
| (9.6 | ) |
|
| (23,582 | ) |
|
| (8.8 | ) |
|
| 10.5 |
|
|
| 11.9 |
|
Time deposits |
|
| 739,757 |
|
|
| 752,694 |
|
|
| 731,297 |
|
|
| (12,937 | ) |
|
| (1.7 | ) |
|
| 8,460 |
|
|
| 1.2 |
|
|
| 31.5 |
|
|
| 32.4 |
|
Total deposits |
| $ | 2,345,944 |
|
| $ | 2,287,408 |
|
| $ | 2,255,727 |
|
| $ | 58,536 |
|
|
| 2.6 | % |
| $ | 90,217 |
|
|
| 4.0 | % |
|
| 100 | % |
|
| 100 | % |
The increase in interest-bearing demand deposits and savings deposits at December 31, 2024 compared to September 30, 2024 is primarily the result of organic growth. The decrease in noninterest-bearing demand deposits and money market deposits at December 31, 2024 compared to September 30, 2024 is primarily due to customers drawing down on their existing deposit accounts. The decrease in time deposits at December 31, 2024 compared to September 30, 2024 is primarily due to a reduced emphasis on time deposits. Brokered time deposits decreased to
The increase in interest-bearing demand deposits, money market deposits, and time deposits at December 31, 2024 compared to December 31, 2023 is primarily the result of organic growth. The decrease in noninterest-bearing demand deposits and savings deposits at December 31, 2024 compared to December 31, 2023 is primarily due to customers drawing down on their existing deposit accounts and shifts into interest-bearing deposit products with higher rates.
Stockholders' Equity
Stockholders' equity was
Net Interest Income
Net interest income for the fourth quarter of 2024 totaled
Investar's net interest margin was
The yield on interest-earning assets was
Exclusive of the interest income accretion from the acquisition of loans and interest recoveries, discussed above, adjusted net interest margin decreased to
The cost of deposits decreased five basis points to
The cost of short-term borrowings decreased 68 basis points to
The overall cost of funds for the quarter ended December 31, 2024 decreased 12 basis points to
Noninterest Income
Noninterest income for the fourth quarter of 2024 totaled
The increase in noninterest income compared to the quarter ended September 30, 2024 is driven by a
The increase in noninterest income compared to the quarter ended December 31, 2023 is driven by a
Noninterest Expense
Noninterest expense for the fourth quarter of 2024 totaled
The decrease in noninterest expense for the quarter ended December 31, 2024 compared to the quarter ended September 30, 2024 was driven by a
The increase in noninterest expense for the quarter ended December 31, 2024 compared to the quarter ended December 31, 2023 was driven by a
Taxes
Investar recorded income tax expense of
Basic and Diluted Earnings Per Common Share
Investar reported basic and diluted earnings per common share of
About Investar Holding Corporation
Investar, headquartered in Baton Rouge, Louisiana, provides full banking services, excluding trust services, through its wholly-owned banking subsidiary, Investar Bank, National Association. The Bank currently operates 29 branch locations serving Louisiana, Texas, and Alabama. At December 31, 2024, the Bank had 331 full-time equivalent employees and total assets of
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with generally accepted accounting principles in the United States of America, or GAAP. These measures and ratios include "tangible common equity," "tangible assets," "tangible equity to tangible assets," "tangible book value per common share," "core noninterest income," "core earnings before noninterest expense," "core noninterest expense," "core earnings before income tax expense," "core income tax expense," "core earnings," "core efficiency ratio," "core return on average assets," "core return on average equity," "core basic earnings per share," and "core diluted earnings per share." We also present certain average loan, yield, net interest income and net interest margin data adjusted to show the effects of excluding interest recoveries and interest income accretion from the acquisition of loans. Management believes these non-GAAP financial measures provide information useful to investors in understanding Investar's financial results, and Investar believes that its presentation, together with the accompanying reconciliations, provide a more complete understanding of factors and trends affecting Investar's business and allow investors to view performance in a manner similar to management, the entire financial services sector, bank stock analysts and bank regulators. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results, and Investar strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. A reconciliation of the non-GAAP financial measures disclosed in this press release to the comparable GAAP financial measures is included at the end of the financial statement tables.
Forward-Looking and Cautionary Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect Investar's current views with respect to, among other things, future events and financial performance. Investar generally identifies forward-looking statements by terminology such as "outlook," "believes," "expects," "potential," "continues," "may," "will," "could," "should," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates," or the negative version of those words or other comparable words.
Any forward-looking statements contained in this press release are based on the historical performance of Investar and its subsidiaries or on Investar's current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by Investar that the future plans, estimates or expectations by Investar will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to Investar's operations, financial results, financial condition, business prospects, growth strategy and liquidity. If one or more of these or other risks or uncertainties materialize, or if Investar's underlying assumptions prove to be incorrect, Investar's actual results may vary materially from those indicated in these statements. Investar does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. These factors include, but are not limited to, the following, any one or more of which could materially affect the outcome of future events:
the significant risks and uncertainties for our business, results of operations and financial condition, as well as our regulatory capital and liquidity ratios and other regulatory requirements caused by business and economic conditions generally and in the financial services industry in particular, whether nationally, regionally or in the markets in which we operate;
changes in inflation, interest rates, yield curves and interest rate spread relationships that affect our loan and deposit pricing;
our ability to successfully execute our near-term strategy to pivot from primarily a growth strategy to a strategy primarily focused on consistent, quality earnings through the optimization of our balance sheet, and our ability to successfully execute a long-term growth strategy;
our ability to achieve organic loan and deposit growth, and the composition of that growth;
a reduction in liquidity, including as a result of a reduction in the amount of deposits we hold or other sources of liquidity, which may be caused by, among other things, disruptions in the banking industry similar to those that occurred in early 2023 that caused bank depositors to move uninsured deposits to other banks or alternative investments outside the banking industry;
our ability to identify and enter into agreements to combine with attractive acquisition candidates, finance acquisitions, complete acquisitions after definitive agreements are entered into, and successfully integrate and grow acquired operations;
our adoption on January 1, 2023 of ASU 2016-13, and inaccuracy of the assumptions and estimates we make in establishing reserves for credit losses and other estimates;
changes in the quality or composition of our loan or investment portfolios, including adverse developments in borrower industries or in the repayment ability of individual borrowers;
changes in the quality and composition of, and changes in unrealized losses in, our investment portfolio, including whether we may have to sell securities before their recovery of amortized cost basis and realize losses;
the extent of continuing client demand for the high level of personalized service that is a key element of our banking approach as well as our ability to execute our strategy generally;
our dependence on our management team, and our ability to attract and retain qualified personnel;
the concentration of our business within our geographic areas of operation in Louisiana, Texas and Alabama;
increasing costs of complying with new and potential future regulations;
new or increasing geopolitical tensions, including resulting from wars in Ukraine and Israel and surrounding areas;
the emergence or worsening of widespread public health challenges or pandemics including COVID-19;
concentration of credit exposure;
any deterioration in asset quality and higher loan charge-offs, and the time and effort necessary to resolve problem assets;
fluctuations in the price of oil and natural gas;
data processing system failures and errors;
risks associated with our digital transformation process, including increased risks of cyberattacks and other security breaches and challenges associated with addressing the increased prevalence of artificial intelligence;
risks of losses resulting from increased fraud attacks against us and others in the financial services industry;
our potential growth, including our entrance or expansion into new markets, and the need for sufficient capital to support that growth;
the impact of litigation and other legal proceedings to which we become subject;
competitive pressures in the commercial finance, retail banking, mortgage lending and consumer finance industries, as well as the financial resources of, and products offered by, competitors;
the impact of changes in laws and regulations applicable to us, including banking, securities and tax laws and regulations and accounting standards, as well as changes in the interpretation of such laws and regulations by our regulators;
changes in the scope and costs of FDIC insurance and other coverages;
governmental monetary and fiscal policies; and
hurricanes, tropical storms, tropical depressions, floods, winter storms, droughts and other adverse weather events, all of which have affected Investar's market areas from time to time; other natural disasters; oil spills and other man-made disasters; acts of terrorism; other international or domestic calamities; acts of God; and other matters beyond our control.
These factors should not be construed as exhaustive. Additional information on these and other risk factors can be found in Part I Item 1A. "Risk Factors" and in the "Special Note Regarding Forward-Looking Statements" in Part II Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Investar's Annual Report on Form 10-K for the year ended December 31, 2023 filed with the Securities and Exchange Commission.
For further information contact:
Investar Holding Corporation
John Campbell
Executive Vice President and Chief Financial Officer
(225) 227-2215
John.Campbell@investarbank.com
INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Amounts in thousands, except share data)
(Unaudited)
| As of and for the three months ended |
| ||||||||||||||||||
| 12/31/2024 |
|
| 9/30/2024 |
|
| 12/31/2023 |
|
| Linked Quarter |
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| Year/Year |
| ||||||
EARNINGS DATA |
|
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| |||||
Total interest income |
| $ | 35,505 |
|
| $ | 36,848 |
|
| $ | 36,668 |
|
|
| (3.6 | )% |
|
| (3.2 | )% |
Total interest expense |
|
| 18,022 |
|
|
| 18,992 |
|
|
| 18,177 |
|
|
| (5.1 | ) |
|
| (0.9 | ) |
Net interest income |
|
| 17,483 |
|
|
| 17,856 |
|
|
| 18,491 |
|
|
| (2.1 | ) |
|
| (5.5 | ) |
Provision for credit losses |
|
| (701 | ) |
|
| (945 | ) |
|
| 486 |
|
|
| 25.8 |
|
|
| (244.2 | ) |
Total noninterest income |
|
| 5,163 |
|
|
| 3,544 |
|
|
| 1,755 |
|
|
| 45.7 |
|
|
| 194.2 |
|
Total noninterest expense |
|
| 16,079 |
|
|
| 16,180 |
|
|
| 15,440 |
|
|
| (0.6 | ) |
|
| 4.1 |
|
Income before income tax expense |
|
| 7,268 |
|
|
| 6,165 |
|
|
| 4,320 |
|
|
| 17.9 |
|
|
| 68.2 |
|
Income tax expense |
|
| 1,161 |
|
|
| 784 |
|
|
| 782 |
|
|
| 48.1 |
|
|
| 48.5 |
|
Net income |
| $ | 6,107 |
|
| $ | 5,381 |
|
| $ | 3,538 |
|
|
| 13.5 |
|
|
| 72.6 |
|
|
|
|
|
|
|
|
|
|
|
|
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AVERAGE BALANCE SHEET DATA |
|
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|
|
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|
|
|
|
|
Total assets |
| $ | 2,763,734 |
|
| $ | 2,796,969 |
|
| $ | 2,817,388 |
|
|
| (1.2 | )% |
|
| (1.9 | )% |
Total interest-earning assets |
|
| 2,626,533 |
|
|
| 2,660,011 |
|
|
| 2,694,474 |
|
|
| (1.3 | ) |
|
| (2.5 | ) |
Total loans |
|
| 2,129,388 |
|
|
| 2,159,412 |
|
|
| 2,214,916 |
|
|
| (1.4 | ) |
|
| (3.9 | ) |
Total interest-bearing deposits |
|
| 1,881,297 |
|
|
| 1,813,775 |
|
|
| 1,824,318 |
|
|
| 3.7 |
|
|
| 3.1 |
|
Total interest-bearing liabilities |
|
| 2,054,561 |
|
|
| 2,093,260 |
|
|
| 2,119,724 |
|
|
| (1.8 | ) |
|
| (3.1 | ) |
Total deposits |
|
| 2,315,730 |
|
|
| 2,246,901 |
|
|
| 2,279,211 |
|
|
| 3.1 |
|
|
| 1.6 |
|
Total stockholders' equity |
|
| 247,230 |
|
|
| 238,778 |
|
|
| 212,454 |
|
|
| 3.5 |
|
|
| 16.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PER SHARE DATA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per common share |
| $ | 0.62 |
|
| $ | 0.55 |
|
| $ | 0.36 |
|
|
| 12.7 | % |
|
| 72.2 | % |
Diluted earnings per common share |
|
| 0.61 |
|
|
| 0.54 |
|
|
| 0.36 |
|
|
| 13.0 |
|
|
| 69.4 |
|
Core earnings(1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core basic earnings per common share(1) |
|
| 0.66 |
|
|
| 0.45 |
|
|
| 0.39 |
|
|
| 46.7 |
|
|
| 69.2 |
|
Core diluted earnings per common share(1) |
|
| 0.65 |
|
|
| 0.45 |
|
|
| 0.39 |
|
|
| 44.4 |
|
|
| 66.7 |
|
Book value per common share |
|
| 24.55 |
|
|
| 24.98 |
|
|
| 23.26 |
|
|
| (1.7 | ) |
|
| 5.5 |
|
Tangible book value per common share(1) |
|
| 20.31 |
|
|
| 20.73 |
|
|
| 18.92 |
|
|
| (2.0 | ) |
|
| 7.3 |
|
Common shares outstanding |
|
| 9,828,413 |
|
|
| 9,827,622 |
|
|
| 9,748,067 |
|
|
| 0.0 |
|
|
| 0.8 |
|
Weighted average common shares outstanding - basic |
|
| 9,828,146 |
|
|
| 9,828,776 |
|
|
| 9,754,617 |
|
|
| 0.0 |
|
|
| 0.8 |
|
Weighted average common shares outstanding - diluted |
|
| 9,993,790 |
|
|
| 9,902,448 |
|
|
| 9,763,296 |
|
|
| 0.9 |
|
|
| 2.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets |
|
| 0.88 | % |
|
| 0.77 | % |
|
| 0.50 | % |
|
| 14.3 | % |
|
| 76.0 | % |
Core return on average assets(1) |
|
| 0.93 |
|
|
| 0.63 |
|
|
| 0.54 |
|
|
| 47.6 |
|
|
| 72.2 |
|
Return on average equity |
|
| 9.83 |
|
|
| 8.97 |
|
|
| 6.61 |
|
|
| 9.6 |
|
|
| 48.7 |
|
Core return on average equity(1) |
|
| 10.40 |
|
|
| 7.40 |
|
|
| 7.16 |
|
|
| 40.5 |
|
|
| 45.3 |
|
Net interest margin |
|
| 2.65 |
|
|
| 2.67 |
|
|
| 2.72 |
|
|
| (0.7 | ) |
|
| (2.6 | ) |
Net interest income to average assets |
|
| 2.52 |
|
|
| 2.54 |
|
|
| 2.60 |
|
|
| (0.8 | ) |
|
| (3.1 | ) |
Noninterest expense to average assets |
|
| 2.31 |
|
|
| 2.30 |
|
|
| 2.17 |
|
|
| 0.4 |
|
|
| 6.5 |
|
Efficiency ratio(2) |
|
| 71.00 |
|
|
| 75.61 |
|
|
| 76.26 |
|
|
| (6.1 | ) |
|
| (6.9 | ) |
Core efficiency ratio(1) |
|
| 69.41 |
|
|
| 79.33 |
|
|
| 74.85 |
|
|
| (12.5 | ) |
|
| (7.3 | ) |
Dividend payout ratio |
|
| 16.94 |
|
|
| 19.09 |
|
|
| 27.78 |
|
|
| (11.3 | ) |
|
| (39.0 | ) |
Net charge-offs (recoveries) to average loans |
|
| 0.04 |
|
|
| (0.02 | ) |
|
| - |
|
|
| 300.0 |
|
|
| - |
|
(1) Non-GAAP financial measure. See reconciliation.
(2) Efficiency ratio represents noninterest expense divided by the sum of net interest income (before provision for credit losses) and noninterest income.
INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Unaudited)
| As of and for the three months ended |
| ||||||||||||||||||
| 12/31/2024 |
|
| 9/30/2024 |
|
| 12/31/2023 |
|
| Linked Quarter |
|
| Year/Year |
| ||||||
ASSET QUALITY RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Nonperforming assets to total assets |
|
| 0.52 | % |
|
| 0.32 | % |
|
| 0.36 | % |
|
| 62.5 | % |
|
| 44.4 | % |
Nonperforming loans to total loans |
|
| 0.42 |
|
|
| 0.19 |
|
|
| 0.26 |
|
|
| 121.1 |
|
|
| 61.5 |
|
Allowance for credit losses to total loans |
|
| 1.26 |
|
|
| 1.30 |
|
|
| 1.38 |
|
|
| (3.1 | ) |
|
| (8.7 | ) |
Allowance for credit losses to nonperforming loans |
|
| 302.77 |
|
|
| 682.03 |
|
|
| 529.32 |
|
|
| (55.6 | ) |
|
| (42.8 | ) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
CAPITAL RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investar Holding Corporation: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total equity to total assets |
|
| 8.86 | % |
|
| 8.76 | % |
|
| 8.06 | % |
|
| 1.1 | % |
|
| 9.9 | % |
Tangible equity to tangible assets(1) |
|
| 7.44 |
|
|
| 7.38 |
|
|
| 6.65 |
|
|
| 0.9 |
|
|
| 11.9 |
|
Tier 1 leverage capital |
|
| 9.27 |
|
|
| 8.95 |
|
|
| 8.35 |
|
|
| 3.6 |
|
|
| 11.0 |
|
Common equity tier 1 capital(2) |
|
| 10.85 |
|
|
| 10.33 |
|
|
| 9.51 |
|
|
| 5.0 |
|
|
| 14.1 |
|
Tier 1 capital(2) |
|
| 11.26 |
|
|
| 10.74 |
|
|
| 9.90 |
|
|
| 4.8 |
|
|
| 13.7 |
|
Total capital(2) |
|
| 13.14 |
|
|
| 13.48 |
|
|
| 12.99 |
|
|
| (2.5 | ) |
|
| 1.2 |
|
Investar Bank: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tier 1 leverage capital |
|
| 9.70 |
|
|
| 10.06 |
|
|
| 9.81 |
|
|
| (3.6 | ) |
|
| (1.1 | ) |
Common equity tier 1 capital(2) |
|
| 11.79 |
|
|
| 12.07 |
|
|
| 11.64 |
|
|
| (2.3 | ) |
|
| 1.3 |
|
Tier 1 capital(2) |
|
| 11.79 |
|
|
| 12.07 |
|
|
| 11.64 |
|
|
| (2.3 | ) |
|
| 1.3 |
|
Total capital(2) |
|
| 12.94 |
|
|
| 13.26 |
|
|
| 12.89 |
|
|
| (2.4 | ) |
|
| 0.4 |
|
(1) Non-GAAP financial measure. See reconciliation.
(2) Estimated for December 31, 2024.
INVESTAR HOLDING CORPORATION
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
(Unaudited)
| December 31, 2024 |
|
| September 30, 2024 |
|
| December 31, 2023 |
| ||||
ASSETS |
|
|
|
|
|
|
|
|
| |||
Cash and due from banks |
| $ | 26,623 |
|
| $ | 28,869 |
|
| $ | 28,285 |
|
Interest-bearing balances due from other banks |
|
| 1,299 |
|
|
| 57,471 |
|
|
| 3,724 |
|
Cash and cash equivalents |
|
| 27,922 |
|
|
| 86,340 |
|
|
| 32,009 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Available for sale securities at fair value (amortized cost of |
|
| 331,121 |
|
|
| 350,646 |
|
|
| 361,918 |
|
Held to maturity securities at amortized cost (estimated fair value of |
|
| 42,687 |
|
|
| 18,302 |
|
|
| 20,472 |
|
Loans |
|
| 2,125,084 |
|
|
| 2,155,846 |
|
|
| 2,210,619 |
|
Less: allowance for credit losses |
|
| (26,721 | ) |
|
| (28,103 | ) |
|
| (30,540 | ) |
Loans, net |
|
| 2,098,363 |
|
|
| 2,127,743 |
|
|
| 2,180,079 |
|
Equity securities at fair value |
|
| 2,593 |
|
|
| 2,434 |
|
|
| 1,180 |
|
Nonmarketable equity securities |
|
| 16,502 |
|
|
| 13,951 |
|
|
| 13,417 |
|
Bank premises and equipment, net of accumulated depreciation of |
|
| 40,705 |
|
|
| 41,795 |
|
|
| 44,183 |
|
Other real estate owned, net |
|
| 5,218 |
|
|
| 4,739 |
|
|
| 4,438 |
|
Accrued interest receivable |
|
| 14,423 |
|
|
| 14,324 |
|
|
| 14,366 |
|
Deferred tax asset |
|
| 17,120 |
|
|
| 14,719 |
|
|
| 16,910 |
|
Goodwill and other intangible assets, net |
|
| 41,696 |
|
|
| 41,844 |
|
|
| 42,320 |
|
Bank-owned life insurance |
|
| 59,703 |
|
|
| 61,667 |
|
|
| 58,797 |
|
Other assets |
|
| 24,759 |
|
|
| 24,069 |
|
|
| 25,066 |
|
Total assets |
| $ | 2,722,812 |
|
| $ | 2,802,573 |
|
| $ | 2,815,155 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
| $ | 432,143 |
|
| $ | 437,734 |
|
| $ | 448,752 |
|
Interest-bearing |
|
| 1,913,801 |
|
|
| 1,849,674 |
|
|
| 1,806,975 |
|
Total deposits |
|
| 2,345,944 |
|
|
| 2,287,408 |
|
|
| 2,255,727 |
|
Advances from Federal Home Loan Bank |
|
| 67,215 |
|
|
| 63,500 |
|
|
| 23,500 |
|
Borrowings under Bank Term Funding Program |
|
| - |
|
|
| 109,000 |
|
|
| 212,500 |
|
Repurchase agreements |
|
| 8,376 |
|
|
| 12,994 |
|
|
| 8,633 |
|
Subordinated debt, net of unamortized issuance costs |
|
| 16,697 |
|
|
| 36,494 |
|
|
| 44,320 |
|
Junior subordinated debt |
|
| 8,733 |
|
|
| 8,709 |
|
|
| 8,630 |
|
Accrued taxes and other liabilities |
|
| 34,551 |
|
|
| 38,926 |
|
|
| 35,077 |
|
Total liabilities |
|
| 2,481,516 |
|
|
| 2,557,031 |
|
|
| 2,588,387 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
STOCKHOLDERS' EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, no par value per share; 5,000,000 shares authorized |
|
| - |
|
|
| - |
|
|
| - |
|
Common stock, |
|
| 9,828 |
|
|
| 9,828 |
|
|
| 9,748 |
|
Surplus |
|
| 146,890 |
|
|
| 146,393 |
|
|
| 145,456 |
|
Retained earnings |
|
| 132,935 |
|
|
| 127,860 |
|
|
| 116,711 |
|
Accumulated other comprehensive loss |
|
| (48,357 | ) |
|
| (38,539 | ) |
|
| (45,147 | ) |
Total stockholders' equity |
|
| 241,296 |
|
|
| 245,542 |
|
|
| 226,768 |
|
Total liabilities and stockholders' equity |
| $ | 2,722,812 |
|
| $ | 2,802,573 |
|
| $ | 2,815,155 |
|
INVESTAR HOLDING CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in thousands, except share data)
(Unaudited)
| For the three months |
|
| For the twelve months |
| |||||||||||||||
| December 31, 2024 |
|
| September 30, 2024 |
|
| December 31, 2023 |
|
| December 31, 2024 |
|
| December 31, 2023 |
| ||||||
INTEREST INCOME |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Interest and fees on loans |
| $ | 31,438 |
|
| $ | 32,764 |
|
| $ | 33,128 |
|
| $ | 128,498 |
|
| $ | 117,892 |
|
Interest on investment securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 2,709 |
|
|
| 2,755 |
|
|
| 2,970 |
|
|
| 11,047 |
|
|
| 12,372 |
|
Tax-exempt |
|
| 569 |
|
|
| 228 |
|
|
| 253 |
|
|
| 1,249 |
|
|
| 693 |
|
Other interest income |
|
| 789 |
|
|
| 1,101 |
|
|
| 317 |
|
|
| 3,071 |
|
|
| 2,244 |
|
Total interest income |
|
| 35,505 |
|
|
| 36,848 |
|
|
| 36,668 |
|
|
| 143,865 |
|
|
| 133,201 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
|
| 16,071 |
|
|
| 15,729 |
|
|
| 14,584 |
|
|
| 61,510 |
|
|
| 42,072 |
|
Interest on borrowings |
|
| 1,951 |
|
|
| 3,263 |
|
|
| 3,593 |
|
|
| 12,602 |
|
|
| 16,609 |
|
Total interest expense |
|
| 18,022 |
|
|
| 18,992 |
|
|
| 18,177 |
|
|
| 74,112 |
|
|
| 58,681 |
|
Net interest income |
|
| 17,483 |
|
|
| 17,856 |
|
|
| 18,491 |
|
|
| 69,753 |
|
|
| 74,520 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for credit losses |
|
| (701 | ) |
|
| (945 | ) |
|
| 486 |
|
|
| (3,480 | ) |
|
| (2,000 | ) |
Net interest income after provision for credit losses |
|
| 18,184 |
|
|
| 18,801 |
|
|
| 18,005 |
|
|
| 73,233 |
|
|
| 76,520 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST INCOME |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
| 804 |
|
|
| 828 |
|
|
| 798 |
|
|
| 3,241 |
|
|
| 3,090 |
|
(Loss) gain on call or sale of investment securities, net |
|
| (371 | ) |
|
| 1 |
|
|
| (322 | ) |
|
| (753 | ) |
|
| (323 | ) |
(Loss) gain on sale or disposition of fixed assets, net |
|
| - |
|
|
| - |
|
|
| (39 | ) |
|
| 427 |
|
|
| (1,323 | ) |
(Loss) gain on sale of other real estate owned, net |
|
| (25 | ) |
|
| (4 | ) |
|
| - |
|
|
| 683 |
|
|
| (114 | ) |
Gain on sale of loans |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 75 |
|
Servicing fees and fee income on serviced loans |
|
| - |
|
|
| - |
|
|
| 2 |
|
|
| - |
|
|
| 14 |
|
Interchange fees |
|
| 407 |
|
|
| 403 |
|
|
| 417 |
|
|
| 1,615 |
|
|
| 1,697 |
|
Income from bank owned life insurance |
|
| 3,576 |
|
|
| 459 |
|
|
| 371 |
|
|
| 4,886 |
|
|
| 1,417 |
|
Change in the fair value of equity securities |
|
| 159 |
|
|
| 174 |
|
|
| 24 |
|
|
| 413 |
|
|
| (65 | ) |
Legal settlement |
|
| - |
|
|
| 1,122 |
|
|
| - |
|
|
| 1,122 |
|
|
| - |
|
Other operating income |
|
| 613 |
|
|
| 561 |
|
|
| 504 |
|
|
| 2,571 |
|
|
| 2,070 |
|
Total noninterest income |
|
| 5,163 |
|
|
| 3,544 |
|
|
| 1,755 |
|
|
| 14,205 |
|
|
| 6,538 |
|
Income before noninterest expense |
|
| 23,347 |
|
|
| 22,345 |
|
|
| 19,760 |
|
|
| 87,438 |
|
|
| 83,058 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NONINTEREST EXPENSE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
| 736 |
|
|
| 760 |
|
|
| 909 |
|
|
| 3,095 |
|
|
| 3,780 |
|
Salaries and employee benefits |
|
| 9,792 |
|
|
| 9,982 |
|
|
| 9,003 |
|
|
| 38,615 |
|
|
| 37,143 |
|
Occupancy |
|
| 647 |
|
|
| 652 |
|
|
| 706 |
|
|
| 2,576 |
|
|
| 2,994 |
|
Data processing |
|
| 901 |
|
|
| 880 |
|
|
| 892 |
|
|
| 3,611 |
|
|
| 3,482 |
|
Marketing |
|
| 136 |
|
|
| 121 |
|
|
| 68 |
|
|
| 370 |
|
|
| 302 |
|
Professional fees |
|
| 434 |
|
|
| 473 |
|
|
| 461 |
|
|
| 1,797 |
|
|
| 1,933 |
|
Loss (gain) on early extinguishment of subordinated debt |
|
| 210 |
|
|
| - |
|
|
| - |
|
|
| (292 | ) |
|
| - |
|
Other operating expenses |
|
| 3,223 |
|
|
| 3,312 |
|
|
| 3,401 |
|
|
| 13,260 |
|
|
| 12,996 |
|
Total noninterest expense |
|
| 16,079 |
|
|
| 16,180 |
|
|
| 15,440 |
|
|
| 63,032 |
|
|
| 62,630 |
|
Income before income tax expense |
|
| 7,268 |
|
|
| 6,165 |
|
|
| 4,320 |
|
|
| 24,406 |
|
|
| 20,428 |
|
Income tax expense |
|
| 1,161 |
|
|
| 784 |
|
|
| 782 |
|
|
| 4,154 |
|
|
| 3,750 |
|
Net income |
| $ | 6,107 |
|
| $ | 5,381 |
|
| $ | 3,538 |
|
| $ | 20,252 |
|
| $ | 16,678 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EARNINGS PER SHARE |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per common share |
| $ | 0.62 |
|
| $ | 0.55 |
|
| $ | 0.36 |
|
| $ | 2.06 |
|
| $ | 1.69 |
|
Diluted earnings per common share |
|
| 0.61 |
|
|
| 0.54 |
|
|
| 0.36 |
|
|
| 2.04 |
|
|
| 1.69 |
|
Cash dividends declared per common share |
|
| 0.105 |
|
|
| 0.105 |
|
|
| 0.10 |
|
|
| 0.41 |
|
|
| 0.395 |
|
INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
| For the three months ended |
| ||||||||||||||||||||||||||||||||||
| December |
|
| September |
|
| December |
| ||||||||||||||||||||||||||||
|
| Average |
|
| Interest |
|
|
|
|
|
|
|
| Interest |
|
|
|
|
|
|
|
| Interest |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Loans |
| $ | 2,129,388 |
|
| $ | 31,438 |
|
|
| 5.87 | % |
| $ | 2,159,412 |
|
| $ | 32,764 |
|
|
| 6.04 | % |
| $ | 2,214,916 |
|
| $ | 33,128 |
|
|
| 5.93 | % |
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 389,170 |
|
|
| 2,709 |
|
|
| 2.77 |
|
|
| 396,254 |
|
|
| 2,755 |
|
|
| 2.77 |
|
|
| 427,746 |
|
|
| 2,970 |
|
|
| 2.75 |
|
Tax-exempt |
|
| 44,544 |
|
|
| 569 |
|
|
| 5.08 |
|
|
| 24,552 |
|
|
| 228 |
|
|
| 3.68 |
|
|
| 28,807 |
|
|
| 253 |
|
|
| 3.50 |
|
Interest-bearing balances with banks |
|
| 63,431 |
|
|
| 789 |
|
|
| 4.95 |
|
|
| 79,793 |
|
|
| 1,101 |
|
|
| 5.49 |
|
|
| 23,005 |
|
|
| 317 |
|
|
| 5.46 |
|
Total interest-earning assets |
|
| 2,626,533 |
|
|
| 35,505 |
|
|
| 5.38 |
|
|
| 2,660,011 |
|
|
| 36,848 |
|
|
| 5.51 |
|
|
| 2,694,474 |
|
|
| 36,668 |
|
|
| 5.40 |
|
Cash and due from banks |
|
| 25,222 |
|
|
|
|
|
|
|
|
|
|
| 26,121 |
|
|
|
|
|
|
|
|
|
|
| 27,214 |
|
|
|
|
|
|
|
|
|
Intangible assets |
|
| 41,775 |
|
|
|
|
|
|
|
|
|
|
| 41,927 |
|
|
|
|
|
|
|
|
|
|
| 42,414 |
|
|
|
|
|
|
|
|
|
Other assets |
|
| 98,057 |
|
|
|
|
|
|
|
|
|
|
| 97,704 |
|
|
|
|
|
|
|
|
|
|
| 83,447 |
|
|
|
|
|
|
|
|
|
Allowance for credit losses |
|
| (27,853 | ) |
|
|
|
|
|
|
|
|
|
| (28,794 | ) |
|
|
|
|
|
|
|
|
|
| (30,161 | ) |
|
|
|
|
|
|
|
|
Total assets |
| $ | 2,763,734 |
|
|
|
|
|
|
|
|
|
| $ | 2,796,969 |
|
|
|
|
|
|
|
|
|
| $ | 2,817,388 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Liabilities and stockholders' equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand deposits |
| $ | 753,477 |
|
| $ | 4,342 |
|
|
| 2.29 | % |
| $ | 676,946 |
|
| $ | 3,440 |
|
|
| 2.02 | % |
| $ | 668,277 |
|
| $ | 2,873 |
|
|
| 1.71 | % |
Brokered demand deposits |
|
| 1,312 |
|
|
| 15 |
|
|
| 4.43 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
Savings deposits |
|
| 130,896 |
|
|
| 371 |
|
|
| 1.13 |
|
|
| 127,536 |
|
|
| 366 |
|
|
| 1.14 |
|
|
| 136,045 |
|
|
| 318 |
|
|
| 0.93 |
|
Brokered time deposits |
|
| 246,104 |
|
|
| 3,103 |
|
|
| 5.02 |
|
|
| 255,076 |
|
|
| 3,335 |
|
|
| 5.20 |
|
|
| 275,552 |
|
|
| 3,590 |
|
|
| 5.17 |
|
Time deposits |
|
| 749,508 |
|
|
| 8,240 |
|
|
| 4.37 |
|
|
| 754,217 |
|
|
| 8,588 |
|
|
| 4.53 |
|
|
| 744,444 |
|
|
| 7,803 |
|
|
| 4.16 |
|
Total interest-bearing deposits |
|
| 1,881,297 |
|
|
| 16,071 |
|
|
| 3.40 |
|
|
| 1,813,775 |
|
|
| 15,729 |
|
|
| 3.45 |
|
|
| 1,824,318 |
|
|
| 14,584 |
|
|
| 3.17 |
|
Short-term borrowings |
|
| 68,237 |
|
|
| 671 |
|
|
| 3.91 |
|
|
| 207,539 |
|
|
| 2,396 |
|
|
| 4.59 |
|
|
| 218,977 |
|
|
| 2,672 |
|
|
| 4.84 |
|
Long-term debt |
|
| 105,027 |
|
|
| 1,280 |
|
|
| 4.85 |
|
|
| 71,946 |
|
|
| 867 |
|
|
| 4.79 |
|
|
| 76,429 |
|
|
| 921 |
|
|
| 4.78 |
|
Total interest-bearing liabilities |
|
| 2,054,561 |
|
|
| 18,022 |
|
|
| 3.49 |
|
|
| 2,093,260 |
|
|
| 18,992 |
|
|
| 3.61 |
|
|
| 2,119,724 |
|
|
| 18,177 |
|
|
| 3.40 |
|
Noninterest-bearing deposits |
|
| 434,433 |
|
|
|
|
|
|
|
|
|
|
| 433,126 |
|
|
|
|
|
|
|
|
|
|
| 454,893 |
|
|
|
|
|
|
|
|
|
Other liabilities |
|
| 27,510 |
|
|
|
|
|
|
|
|
|
|
| 31,805 |
|
|
|
|
|
|
|
|
|
|
| 30,317 |
|
|
|
|
|
|
|
|
|
Stockholders' equity |
|
| 247,230 |
|
|
|
|
|
|
|
|
|
|
| 238,778 |
|
|
|
|
|
|
|
|
|
|
| 212,454 |
|
|
|
|
|
|
|
|
|
Total liability and stockholders' equity |
| $ | 2,763,734 |
|
|
|
|
|
|
|
|
|
| $ | 2,796,969 |
|
|
|
|
|
|
|
|
|
| $ | 2,817,388 |
|
|
|
|
|
|
|
|
|
Net interest income/net interest margin |
|
|
|
|
| $ | 17,483 |
|
|
| 2.65 | % |
|
|
|
|
| $ | 17,856 |
|
|
| 2.67 | % |
|
|
|
|
| $ | 18,491 |
|
|
| 2.72 | % |
INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
| For the twelve months ended |
| ||||||||||||||||||||||
| December |
|
| December |
| |||||||||||||||||||
| Average |
|
| Interest |
|
| Yield/ Rate |
|
| Average |
|
| Interest |
|
|
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Loans |
| $ | 2,163,161 |
|
| $ | 128,498 |
|
|
| 5.94 | % |
| $ | 2,123,234 |
|
| $ | 117,892 |
|
|
| 5.55 | % |
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 399,855 |
|
|
| 11,047 |
|
|
| 2.76 |
|
|
| 447,442 |
|
|
| 12,372 |
|
|
| 2.76 |
|
Tax-exempt |
|
| 29,930 |
|
|
| 1,249 |
|
|
| 4.17 |
|
|
| 22,051 |
|
|
| 693 |
|
|
| 3.14 |
|
Interest-bearing balances with banks |
|
| 56,851 |
|
|
| 3,071 |
|
|
| 5.40 |
|
|
| 38,561 |
|
|
| 2,244 |
|
|
| 5.82 |
|
Total interest-earning assets |
|
| 2,649,797 |
|
|
| 143,865 |
|
|
| 5.43 |
|
|
| 2,631,288 |
|
|
| 133,201 |
|
|
| 5.06 |
|
Cash and due from banks |
|
| 25,890 |
|
|
|
|
|
|
|
|
|
|
| 29,142 |
|
|
|
|
|
|
|
|
|
Intangible assets |
|
| 42,006 |
|
|
|
|
|
|
|
|
|
|
| 42,695 |
|
|
|
|
|
|
|
|
|
Other assets |
|
| 95,391 |
|
|
|
|
|
|
|
|
|
|
| 86,712 |
|
|
|
|
|
|
|
|
|
Allowance for credit losses |
|
| (28,933 | ) |
|
|
|
|
|
|
|
|
|
| (30,242 | ) |
|
|
|
|
|
|
|
|
Total assets |
| $ | 2,784,151 |
|
|
|
|
|
|
|
|
|
| $ | 2,759,595 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and stockholders' equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand deposits |
| $ | 692,390 |
|
| $ | 14,024 |
|
|
| 2.03 | % |
| $ | 688,786 |
|
| $ | 8,941 |
|
|
| 1.30 | % |
Brokered demand deposits |
|
| 455 |
|
|
| 22 |
|
|
| 4.76 |
|
|
| - |
|
|
| - |
|
|
| - |
|
Savings deposits |
|
| 130,553 |
|
|
| 1,418 |
|
|
| 1.09 |
|
|
| 134,817 |
|
|
| 534 |
|
|
| 0.40 |
|
Brokered time deposits |
|
| 249,668 |
|
|
| 12,878 |
|
|
| 5.16 |
|
|
| 163,873 |
|
|
| 8,224 |
|
|
| 5.02 |
|
Time deposits |
|
| 745,002 |
|
|
| 33,168 |
|
|
| 4.45 |
|
|
| 699,648 |
|
|
| 24,373 |
|
|
| 3.48 |
|
Total interest-bearing deposits |
|
| 1,818,068 |
|
|
| 61,510 |
|
|
| 3.38 |
|
|
| 1,687,124 |
|
|
| 42,072 |
|
|
| 2.49 |
|
Short-term borrowings |
|
| 189,912 |
|
|
| 8,699 |
|
|
| 4.58 |
|
|
| 260,730 |
|
|
| 12,845 |
|
|
| 4.93 |
|
Long-term debt |
|
| 81,152 |
|
|
| 3,903 |
|
|
| 4.81 |
|
|
| 82,844 |
|
|
| 3,764 |
|
|
| 4.54 |
|
Total interest-bearing liabilities |
|
| 2,089,132 |
|
|
| 74,112 |
|
|
| 3.55 |
|
|
| 2,030,698 |
|
|
| 58,681 |
|
|
| 2.89 |
|
Noninterest-bearing deposits |
|
| 430,433 |
|
|
|
|
|
|
|
|
|
|
| 489,175 |
|
|
|
|
|
|
|
|
|
Other liabilities |
|
| 28,986 |
|
|
|
|
|
|
|
|
|
|
| 21,220 |
|
|
|
|
|
|
|
|
|
Stockholders' equity |
|
| 235,600 |
|
|
|
|
|
|
|
|
|
|
| 218,502 |
|
|
|
|
|
|
|
|
|
Total liability and stockholders' equity |
| $ | 2,784,151 |
|
|
|
|
|
|
|
|
|
| $ | 2,759,595 |
|
|
|
|
|
|
|
|
|
Net interest income/net interest margin |
|
|
|
|
| $ | 69,753 |
|
|
| 2.63 | % |
|
|
|
|
| $ | 74,520 |
|
|
| 2.83 | % |
INVESTAR HOLDING CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
INTEREST EARNED AND YIELD ANALYSIS ADJUSTED FOR INTEREST RECOVERIES AND ACCRETION
(Amounts in thousands)
(Unaudited)
| For the three months ended |
| ||||||||||||||||||||||||||||||||||
| December |
|
| September |
|
| December |
| ||||||||||||||||||||||||||||
| Average |
|
| Interest |
|
| Yield/ Rate |
|
| Average |
|
| Interest |
|
| Yield/ Rate |
|
| Average |
|
| Interest |
|
| Yield/ Rate |
| ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
Loans |
| $ | 2,129,388 |
|
| $ | 31,438 |
|
|
| 5.87 | % |
| $ | 2,159,412 |
|
| $ | 32,764 |
|
|
| 6.04 | % |
| $ | 2,214,916 |
|
| $ | 33,128 |
|
|
| 5.93 | % |
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest recoveries |
|
|
|
|
|
| 11 |
|
|
|
|
|
|
|
|
|
|
| 79 |
|
|
|
|
|
|
|
|
|
|
| 1,105 |
|
|
|
|
|
Accretion |
|
|
|
|
|
| 11 |
|
|
|
|
|
|
|
|
|
|
| 13 |
|
|
|
|
|
|
|
|
|
|
| 25 |
|
|
|
|
|
Adjusted loans |
|
| 2,129,388 |
|
|
| 31,416 |
|
|
| 5.87 |
|
|
| 2,159,412 |
|
|
| 32,672 |
|
|
| 6.02 |
|
|
| 2,214,916 |
|
|
| 31,998 |
|
|
| 5.73 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
| 389,170 |
|
|
| 2,709 |
|
|
| 2.77 |
|
|
| 396,254 |
|
|
| 2,755 |
|
|
| 2.77 |
|
|
| 427,746 |
|
|
| 2,970 |
|
|
| 2.75 |
|
Tax-exempt |
|
| 44,544 |
|
|
| 569 |
|
|
| 5.08 |
|
|
| 24,552 |
|
|
| 228 |
|
|
| 3.68 |
|
|
| 28,807 |
|
|
| 253 |
|
|
| 3.50 |
|
Interest-bearing balances with banks |
|
| 63,431 |
|
|
| 789 |
|
|
| 4.95 |
|
|
| 79,793 |
|
|
| 1,101 |
|
|
| 5.49 |
|
|
| 23,005 |
|
|
| 317 |
|
|
| 5.46 |
|
Adjusted interest-earning assets |
|
| 2,626,533 |
|
|
| 35,483 |
|
|
| 5.37 |
|
|
| 2,660,011 |
|
|
| 36,756 |
|
|
| 5.50 |
|
|
| 2,694,474 |
|
|
| 35,538 |
|
|
| 5.23 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total interest-bearing liabilities |
|
| 2,054,561 |
|
|
| 18,022 |
|
|
| 3.49 |
|
|
| 2,093,260 |
|
|
| 18,992 |
|
|
| 3.61 |
|
|
| 2,119,724 |
|
|
| 18,177 |
|
|
| 3.40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Adjusted net interest income/adjusted net interest margin |
|
|
|
|
| $ | 17,461 |
|
|
| 2.64 | % |
|
|
|
|
| $ | 17,764 |
|
|
| 2.66 | % |
|
|
|
|
| $ | 17,361 |
|
|
| 2.56 | % |
INVESTAR HOLDING CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Amounts in thousands, except share data)
(Unaudited)
| December 31, 2024 |
|
| September 30, 2024 |
|
| December 31, 2023 |
| ||||
Tangible common equity |
|
|
|
|
|
|
|
|
| |||
Total stockholders' equity |
| $ | 241,296 |
|
| $ | 245,542 |
|
| $ | 226,768 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
| 40,088 |
|
|
| 40,088 |
|
|
| 40,088 |
|
Core deposit intangible |
|
| 1,508 |
|
|
| 1,656 |
|
|
| 2,132 |
|
Trademark intangible |
|
| 100 |
|
|
| 100 |
|
|
| 100 |
|
Tangible common equity |
| $ | 199,600 |
|
| $ | 203,698 |
|
| $ | 184,448 |
|
Tangible assets |
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
| $ | 2,722,812 |
|
| $ | 2,802,573 |
|
| $ | 2,815,155 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
| 40,088 |
|
|
| 40,088 |
|
|
| 40,088 |
|
Core deposit intangible |
|
| 1,508 |
|
|
| 1,656 |
|
|
| 2,132 |
|
Trademark intangible |
|
| 100 |
|
|
| 100 |
|
|
| 100 |
|
Tangible assets |
| $ | 2,681,116 |
|
| $ | 2,760,729 |
|
| $ | 2,772,835 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding |
|
| 9,828,413 |
|
|
| 9,827,622 |
|
|
| 9,748,067 |
|
Tangible equity to tangible assets |
|
| 7.44 | % |
|
| 7.38 | % |
|
| 6.65 | % |
Book value per common share |
| $ | 24.55 |
|
| $ | 24.98 |
|
| $ | 23.26 |
|
Tangible book value per common share |
|
| 20.31 |
|
|
| 20.73 |
|
|
| 18.92 |
|
INVESTAR HOLDING CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Amounts in thousands, except share data)
(Unaudited)
| For the three months ended |
| |||||||||||
| December 31, 2024 |
|
| September 30, 2024 |
|
| December 31, 2023 |
| |||||
Net interest income | (a) |
| $ | 17,483 |
|
| $ | 17,856 |
|
| $ | 18,491 |
|
Provision for credit losses |
|
| (701 | ) |
|
| (945 | ) |
|
| 486 |
| |
Net interest income after provision for credit losses |
|
| 18,184 |
|
|
| 18,801 |
|
|
| 18,005 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
Noninterest income | (b) |
|
| 5,163 |
|
|
| 3,544 |
|
|
| 1,755 |
|
Loss (gain) on call or sale of investment securities, net |
|
| 371 |
|
|
| (1 | ) |
|
| 322 |
| |
Loss on sale or disposition of fixed assets, net |
|
| - |
|
|
| - |
|
|
| 39 |
| |
Loss on sale of other real estate owned, net |
|
| 25 |
|
|
| 4 |
|
|
| - |
| |
Change in the fair value of equity securities |
|
| (159 | ) |
|
| (174 | ) |
|
| (24 | ) | |
Legal settlement(1) |
|
| - |
|
|
| (1,122 | ) |
|
| - |
| |
Change in the net asset value of other investments(2) |
|
| (25 | ) |
|
| (48 | ) |
|
| (43 | ) | |
Core noninterest income(3) | (d) |
|
| 5,375 |
|
|
| 2,203 |
|
|
| 2,049 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Core earnings before noninterest expense(3) |
|
| 23,559 |
|
|
| 21,004 |
|
|
| 20,054 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
Total noninterest expense | (c) |
|
| 16,079 |
|
|
| 16,180 |
|
|
| 15,440 |
|
Loss on early extinguishment of subordinated debt |
|
| (210 | ) |
|
| - |
|
|
| - |
| |
Severance(4) |
|
| (4 | ) |
|
| - |
|
|
| - |
| |
Loan purchase expense(5) |
|
| - |
|
|
| - |
|
|
| (66 | ) | |
Legal settlement expense(6) |
|
| - |
|
|
| (267 | ) |
|
| - |
| |
Core noninterest expense | (f) |
|
| 15,865 |
|
|
| 15,913 |
|
|
| 15,374 |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Core earnings before income tax expense(3) |
|
| 7,694 |
|
|
| 5,091 |
|
|
| 4,680 |
| |
Core income tax expense(7) |
|
| 1,231 |
|
|
| 647 |
|
|
| 847 |
| |
Core earnings(3) |
| $ | 6,463 |
|
| $ | 4,444 |
|
| $ | 3,833 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
Core basic earnings per common share(3) |
|
| 0.66 |
|
|
| 0.45 |
|
|
| 0.39 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
Diluted earnings per common share (GAAP) |
| $ | 0.61 |
|
| $ | 0.54 |
|
| $ | 0.36 |
| |
Loss (gain) on call or sale of investment securities, net |
|
| 0.03 |
|
|
| - |
|
|
| 0.03 |
| |
Loss on sale or disposition of fixed assets, net |
|
| - |
|
|
| - |
|
|
| - |
| |
Loss on sale of other real estate owned, net |
|
| - |
|
|
| - |
|
|
| - |
| |
Change in the fair value of equity securities |
|
| (0.01 | ) |
|
| (0.01 | ) |
|
| - |
| |
Legal settlement(1) |
|
| - |
|
|
| (0.10 | ) |
|
| - |
| |
Change in the net asset value of other investments(2) |
|
| - |
|
|
| - |
|
|
| - |
| |
Loss on early extinguishment of subordinated debt |
|
| 0.02 |
|
|
| - |
|
|
| - |
| |
Severance(4) |
|
| - |
|
|
| - |
|
|
| - |
| |
Loan purchase expense(5) |
|
| - |
|
|
| - |
|
|
| - |
| |
Legal settlement expense(6) |
|
| - |
|
|
| 0.02 |
|
|
| - |
| |
Core diluted earnings per common share(3) |
| $ | 0.65 |
|
| $ | 0.45 |
|
| $ | 0.39 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
Efficiency ratio | (c) / (a+b) |
|
| 71.00 | % |
|
| 75.61 | % |
|
| 76.26 | % |
Core efficiency ratio(3) | (f) / (a+d) |
|
| 69.41 |
|
|
| 79.33 |
|
|
| 74.85 |
|
Core return on average assets(3)(8) |
|
| 0.93 |
|
|
| 0.63 |
|
|
| 0.54 |
| |
Core return on average equity(3)(8) |
|
| 10.40 |
|
|
| 7.40 |
|
|
| 7.16 |
| |
Total average assets |
| $ | 2,763,734 |
|
| $ | 2,796,969 |
|
| $ | 2,817,388 |
| |
Total average stockholders' equity |
|
| 247,230 |
|
|
| 238,778 |
|
|
| 212,454 |
| |
(1)Adjustment to noninterest income directly attributable to income from a legal settlement related to one loan relationship that became impaired in the third quarter of 2021 as a result of Hurricane Ida.
(2)Change in the net asset value of other investments represents unrealized gains or losses on Investar's investments in Small Business Investment Companies and other investment funds and is included in other operating income in the accompanying consolidated statements of income.
(3)Core noninterest income, core earnings before noninterest expense, core earnings before income tax expense and core earnings include
(4)Severance is included in salaries and employee benefits in the accompanying consolidated statements of income.
(5)Adjustments to noninterest expense directly attributable to the purchase of loans, consisting of professional fees for legal and consulting services.
(6)Adjustments to noninterest expense directly attributable to the income from a legal settlement, consisting of professional fees for legal services and collection and repossession expenses included in other operating expenses in the accompanying consolidated statements of income.
(7)Core income tax expense is calculated using the effective tax rates of
(8)Core earnings used in calculation. No adjustments were made to average assets or average equity.
SOURCE: Investar Holding Corporation
View the original press release on ACCESS Newswire
FAQ
What was Investar's (ISTR) earnings per share in Q4 2024?
How much did ISTR's total deposits grow in Q4 2024?
What was ISTR's net interest margin in Q4 2024?
How did ISTR's loan portfolio perform in Q4 2024?
What was ISTR's cost of funds in Q4 2024?
