Plumas Bancorp Reports Record Quarterly Earnings
Plumas Bancorp (Nasdaq:PLBC) reported record earnings of $4.3 million for Q4 2020, marking a 10% increase from the previous year. Earnings per share rose to $0.82.
However, annual net income decreased by 7% to $14.5 million, with EPS dropping to $2.77.
Total assets grew 28% to $1.1 billion, while total loans and deposits increased by 15% and 30%, respectively. The bank strengthened reserves amid COVID-19 challenges.
- Q4 2020 earnings of $4.3 million, up 10% YoY.
- EPS for Q4 2020 at $0.82, an increase from $0.74 in Q4 2019.
- Total assets rose by $246 million, or 28%, to $1.1 billion.
- Gross loans increased by $90 million, or 15%, totaling $710 million.
- Deposits increased by $227 million, or 30%, to $974 million.
- Book value per share rose by $2.97, or 18%, to $19.33.
- Annual net income decreased by $1.0 million, or 7%, to $14.5 million.
- EPS declined to $2.77 from $2.97 the previous year.
- Nonperforming loans increased by $0.5 million to $2.5 million.
QUINCY, Calif., Jan. 20, 2021 (GLOBE NEWSWIRE) -- Plumas Bancorp (Nasdaq:PLBC), the parent company of Plumas Bank (the “Bank”), today announced record earnings for the fourth quarter of 2020 of
Financial Highlights
December 31, 2020 compared to December 31, 2019
- Total assets increased by
$246 million , or28% , to$1.1 billion . - Gross loans increased by
$90 million , or15% , to$710 million . - Total deposits increased by
$227 million , or30% , to$974 million . - Total equity increased by
$15.6 million to a record level of$100 million . - Book value per share increased by
$2.97 , or18% , to$19.33 , up from$16.36 . - Nonperforming assets as a percentage of total assets declined to
0.27% . - The allowance for loan losses to total loans, excluding PPP loans, increased to
1.55%
President’s Comments
Reflecting on the past year, Andrew J. Ryback, director, president and chief executive officer of Plumas Bancorp and Plumas Bank, stated, “United by the challenges and successes of a year in which we experienced a global pandemic, region-wide fires and power outages, and economic recession, Plumas Bank stands together with our clients and communities to move forward in recovery and with resilience.
Throughout 2020 banks stabilized the economy by acting as conduits of stimulus funds and offering deferrals and other forms of fiscal support. Plumas Bank addressed the well-being of clients, personnel, and communities by offering non-contact services via our mobile and online banking technologies, enacting optional federal initiatives for pandemic-related leave and tax deferments, and donating
Looking ahead, Ryback commented, “We have strengthened our reserves and continue to evaluate opportunities in light of the low-rate environment. Additionally, we continue to assess and address risks, including increased fraud and cybersecurity threats, by investing in enhanced monitoring and protection systems. With the recent approval of a second stimulus package, Plumas Bank is prepared to assist existing and new clients in navigating the Paycheck Protection Program process.”
Ryback remarked, “As we conclude our 40th year, we would like to thank our shareholders, clients, team members, directors, and communities whose support and commitment have allowed us to deliver on our guiding principle, Plumas Bank - HERE. For Good.”
Loans, Deposits, Investments and Cash
Gross loans increased by
We have instituted loan forbearance programs to assist borrowers with managing cash flows disrupted due to COVID-19. As of December 31, 2020, there were 113 loan forbearance agreements outstanding which allow for the deferral of up to 6 months in payments representing approximately
The following table presents loans under forbearance programs by loan type as of December 31, 2020 with the expected month that payments are to resume, dollars in thousands.
Month Payments Resume | |||||||||||||
Loan Type | January | February | March | April | Other | Total | |||||||
Commercial | $ | 395 | $ | - | $ | 578 | $ | 240 | $ | 37 | $ | 1,250 | |
Real Estate - Residential | - | - | - | 2,274 | - | 2,274 | |||||||
Real Estate - Commercial | 11,968 | 3,283 | - | 15,568 | 366 | 31,185 | |||||||
Equity Lines of Credit | - | - | - | 197 | - | 197 | |||||||
Automobile | 74 | 480 | 673 | 600 | 493 | 2,320 | |||||||
Other | 9 | 4 | 14 | 24 | 76 | 127 | |||||||
Total | $ | 12,446 | $ | 3,767 | $ | 1,265 | $ | 18,903 | $ | 972 | $ | 37,353 |
Total deposits increased by
During November 2020 we eliminated our interest-bearing demand deposit products transferring these accounts to either money market accounts or non-interest bearing demand accounts based on product type. We made this change in order to simplify our product offerings in light of the changes to Federal Reserve Board Regulation D which no longer limits the number of transfers or withdrawals from Money Market or Savings accounts.
At December 31, 2020,
Total investment securities increased by
Asset Quality
Nonperforming assets (which are comprised of nonperforming loans, other real estate owned (“OREO”) and repossessed vehicle holdings) at December 31, 2020 totaled
The provision for loan losses increased from
Shareholders’ Equity
Total shareholders’ equity increased by
Net Interest Income and Net Interest Margin
Net interest income was
Net interest income for the year ended December 31, 2020 was
Non-Interest Income/Expense
During the three months ended December 31, 2020, non-interest income totaled
During the twelve months ended December 31, 2020, non-interest income totaled
Other significant increases in non-interest income were
During the three months ended December 31, 2020, total non-interest expense increased by
During the twelve months ended December 31, 2020, non-interest expense increased by
Founded in 1980, Plumas Bank is a locally owned and managed full-service community bank headquartered in Northeastern California. The Bank operates thirteen branches: eleven located in the northern California counties of Plumas, Lassen, Placer, Nevada, Modoc and Shasta and two branches located in the northern Nevada counties of Washoe and Carson City. The Bank also operates three loan production offices: two located in the northern California counties of Placer and Butte and one located in the southern Oregon county of Klamath. Plumas Bank offers a wide range of financial and investment services to consumers and businesses and has received nationwide Preferred Lender status with the United States Small Business Administration. For more information on Plumas Bancorp and Plumas Bank, please visit our website at www.plumasbank.com.
This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended and Plumas Bancorp intends for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Future events are difficult to predict, and the expectations described above are necessarily subject to risk and uncertainty that may cause actual results to differ materially and adversely.
Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” These forward-looking statements are not guarantees of future performance, nor should they be relied upon as representing management’s views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties and actual results may differ materially from those presented, either expressed or implied, in this news release. Factors that might cause such differences include, but are not limited to: the Company’s ability to successfully execute its business plans and achieve its objectives; changes in general economic and financial market conditions, either nationally or locally in areas in which the Company conducts its operations; changes in interest rates; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; increased competitive challenges and expanding product and pricing pressures among financial institutions; legislation or regulatory changes which adversely affect the Company’s operations or business; loss of key personnel; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies.
Contact: Jamie Huynh
Investor Relations
Plumas Bank
35 S. Lindan Avenue
Quincy, CA 95971
530.283.7305 ext.8908
investorrelations@plumasbank.com
PLUMAS BANCORP | ||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||
(In thousands) | ||||||||||||
(Unaudited) | ||||||||||||
As of December 31, | ||||||||||||
2020 | 2019 | Dollar Change | Percentage Change | |||||||||
ASSETS | ||||||||||||
Cash and due from banks | $ | 184,909 | $ | 46,942 | $ | 137,967 | 293.9 | % | ||||
Investment securities | 179,613 | 159,320 | 20,293 | 12.7 | % | |||||||
Loans, net of allowance for loan losses | 700,795 | 616,036 | 84,759 | 13.8 | % | |||||||
Premises and equipment, net | 14,016 | 14,629 | (613 | ) | -4.2 | % | ||||||
Bank owned life insurance | 13,526 | 13,184 | 342 | 2.6 | % | |||||||
Real estate acquired through foreclosure | 403 | 707 | (304 | ) | -43.0 | % | ||||||
Accrued interest receivable and other assets | 18,314 | 14,373 | 3,941 | 27.4 | % | |||||||
Total assets | $ | 1,111,576 | $ | 865,191 | $ | 246,385 | 28.5 | % | ||||
LIABILITIES AND | ||||||||||||
SHAREHOLDERS’ EQUITY | ||||||||||||
Deposits | $ | 973,974 | $ | 747,324 | $ | 226,650 | 30.3 | % | ||||
Accrued interest payable and other liabilities | 27,138 | 23,052 | 4,086 | 17.7 | % | |||||||
Junior subordinated deferrable interest debentures | 10,310 | 10,310 | - | 0.0 | % | |||||||
Total liabilities | 1,011,422 | 780,686 | 230,736 | 29.6 | % | |||||||
Common stock | 7,656 | 7,312 | 344 | 4.7 | % | |||||||
Retained earnings | 87,753 | 75,144 | 12,609 | 16.8 | % | |||||||
Accumulated other comprehensive income, net | 4,745 | 2,049 | 2,696 | 131.6 | % | |||||||
Shareholders’ equity | 100,154 | 84,505 | 15,649 | 18.5 | % | |||||||
Total liabilities and shareholders’ equity | $ | 1,111,576 | $ | 865,191 | $ | 246,385 | 28.5 | % | ||||
PLUMAS BANCORP | ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||
(In thousands, except per share data) | ||||||||||||
(Unaudited) | ||||||||||||
FOR THE YEAR ENDED DECEMBER 31, | 2020 | 2019 | Dollar Change | Percentage Change | ||||||||
Interest income | $ | 39,624 | $ | 39,302 | $ | 322 | 0.8 | % | ||||
Interest expense | 1,228 | 1,747 | (519 | ) | -29.7 | % | ||||||
Net interest income before provision for loan losses | 38,396 | 37,555 | 841 | 2.2 | % | |||||||
Provision for loan losses | 3,175 | 1,500 | 1,675 | 111.7 | % | |||||||
Net interest income after provision for loan losses | 35,221 | 36,055 | (834 | ) | -2.3 | % | ||||||
Non-interest income | 8,463 | 8,135 | 328 | 4.0 | % | |||||||
Non-interest expense | 23,732 | 22,810 | 922 | 4.0 | % | |||||||
Income before income taxes | 19,952 | 21,380 | (1,428 | ) | -6.7 | % | ||||||
Provision for income taxes | 5,477 | 5,868 | (391 | ) | -6.7 | % | ||||||
Net income | $ | 14,475 | $ | 15,512 | $ | (1,037 | ) | -6.7 | % | |||
Basic earnings per share | $ | 2.80 | $ | 3.01 | $ | (0.21 | ) | -7.0 | % | |||
Diluted earnings per share | $ | 2.77 | $ | 2.97 | $ | (0.20 | ) | -6.7 | % | |||
FOR THE THREE MONTHS ENDED DECEMBER 31, | 2020 | 2019 | Dollar Change | Percentage Change | ||||||||
Interest income | $ | 10,769 | $ | 9,849 | $ | 920 | 9.3 | % | ||||
Interest expense | 277 | 407 | (130 | ) | -31.9 | % | ||||||
Net interest income before provision for loan losses | 10,492 | 9,442 | 1,050 | 11.1 | % | |||||||
Provision for loan losses | 375 | 600 | (225 | ) | - | |||||||
Net interest income after provision for loan losses | 10,117 | 8,842 | 1,275 | 14.4 | % | |||||||
Non-interest income | 2,154 | 2,014 | 140 | 7.0 | % | |||||||
Non-interest expense | 6,362 | 5,508 | 854 | 15.5 | % | |||||||
Income before income taxes | 5,909 | 5,348 | 561 | 10.5 | % | |||||||
Provision for income taxes | 1,627 | 1,467 | 160 | 10.9 | % | |||||||
Net income | $ | 4,282 | $ | 3,881 | $ | 401 | 10.3 | % | ||||
Basic earnings per share | $ | 0.83 | $ | 0.75 | $ | 0.08 | 10.7 | % | ||||
Diluted earnings per share | $ | 0.82 | $ | 0.74 | $ | 0.08 | 10.8 | % |
PLUMAS BANCORP | |||||||||||||||
SELECTED FINANCIAL INFORMATION | |||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||
(Unaudited) | |||||||||||||||
Year Ended | Three Months Ended | ||||||||||||||
12/31/2020 | 12/31/2019 | 12/31/2018 | 12/31/2020 | 12/31/2019 | |||||||||||
EARNINGS PER SHARE | |||||||||||||||
Basic earnings per share | $ | 2.80 | $ | 3.01 | $ | 2.74 | $ | 0.83 | $ | 0.75 | |||||
Diluted earnings per share | $ | 2.77 | $ | 2.97 | $ | 2.68 | $ | 0.82 | $ | 0.74 | |||||
Weighted average shares outstanding | 5,177 | 5,155 | 5,108 | 5,182 | 5,163 | ||||||||||
Weighted average diluted shares outstanding | 5,230 | 5,228 | 5,219 | 5,234 | 5,231 | ||||||||||
Cash dividends paid per share1 | $ | 0.36 | $ | 0.46 | $ | 0.36 | $ | 0.12 | $ | 0.23 | |||||
PERFORMANCE RATIOS (annualized for the three months) | |||||||||||||||
Return on average assets | 1.43 | % | 1.82 | % | 1.83 | % | 1.50 | % | 1.76 | % | |||||
Return on average equity | 15.5 | % | 20.2 | % | 23.3 | % | 17.4 | % | 18.5 | % | |||||
Yield on earning assets | 4.15 | % | 4.97 | % | 4.87 | % | 4.00 | % | 4.79 | % | |||||
Rate paid on interest-bearing liabilities | 0.25 | % | 0.39 | % | 0.30 | % | 0.22 | % | 0.36 | % | |||||
Net interest margin | 4.02 | % | 4.75 | % | 4.70 | % | 3.90 | % | 4.60 | % | |||||
Noninterest income to average assets | 0.83 | % | 0.95 | % | 1.16 | % | 0.76 | % | 0.91 | % | |||||
Noninterest expense to average assets | 2.34 | % | 2.68 | % | 2.86 | % | 2.23 | % | 2.49 | % | |||||
Efficiency ratio2 | 50.6 | % | 49.9 | % | 52.0 | % | 50.3 | % | 48.1 | % | |||||
12/31/2020 | 12/31/2019 | 12/31/2018 | |||||||||||||
CREDIT QUALITY RATIOS AND DATA | |||||||||||||||
Allowance for loan losses | $ | 9,902 | $ | 7,243 | $ | 6,958 | |||||||||
Allowance for loan losses as a percentage of total loans | 1.39 | % | 1.17 | % | 1.23 | % | |||||||||
Nonperforming loans | $ | 2,536 | $ | 2,050 | $ | 1,117 | |||||||||
Nonperforming assets | $ | 2,970 | $ | 2,813 | $ | 2,340 | |||||||||
Nonperforming loans as a percentage of total loans | 0.36 | % | 0.33 | % | 0.20 | % | |||||||||
Nonperforming assets as a percentage of total assets | 0.27 | % | 0.33 | % | 0.28 | % | |||||||||
Net charge-offs | $ | 516 | $ | 1,215 | $ | 711 | |||||||||
Net charge-offs as a percentage of average | |||||||||||||||
loans | 0.07 | % | 0.21 | % | 0.14 | % | |||||||||
CAPITAL AND OTHER DATA | |||||||||||||||
Common shares outstanding at end of period | 5,182 | 5,166 | 5,137 | ||||||||||||
Shareholders' equity | $ | 100,154 | $ | 84,505 | $ | 66,932 | |||||||||
Book value per common share | $ | 19.33 | $ | 16.36 | $ | 13.03 | |||||||||
Tangible common equity3 | $ | 99,432 | $ | 83,584 | $ | 65,748 | |||||||||
Tangible book value per common share4 | $ | 19.19 | $ | 16.18 | $ | 12.80 | |||||||||
Tangible common equity to total assets | 8.9 | % | 9.7 | % | 8.0 | % | |||||||||
Gross loans to deposits | 72.9 | % | 82.9 | % | 77.9 | % | |||||||||
PLUMAS BANK REGULATORY CAPITAL RATIOS | |||||||||||||||
Tier 1 Leverage Ratio | 9.2 | % | 10.4 | % | 9.3 | % | |||||||||
Common Equity Tier 1 Ratio | 14.2 | % | 13.1 | % | 11.8 | % | |||||||||
Tier 1 Risk-Based Capital Ratio | 14.2 | % | 13.1 | % | 11.8 | % | |||||||||
Total Risk-Based Capital Ratio | 15.4 | % | 14.2 | % | 13.0 | % | |||||||||
(1) The Company paid quarterly dividends of 12 cents per share on May 15, 2020, August 14, 2020 and November 16, 2020 and it paid a semi-annual dividend of 23 cents per share on November 15, 2019 and May 15, 2019. | |||||||||||||||
(2) Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income). | |||||||||||||||
(3) Tangible common equity is defined as common equity less core deposit intangibles. | |||||||||||||||
(4) Tangible common book value per share is defined as tangible common equity divided by common shares outstanding. |
FAQ
What were Plumas Bancorp's earnings for Q4 2020?
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