Red River Bancshares, Inc. Reports First Quarter 2024 Financial Results
- Net income for the first quarter of 2024 was $8.2 million, a decrease from the previous quarter.
- Stock buyback transaction completed, quarterly dividend increased to $0.09 per share.
- Strong capital levels with stockholders' equity to assets ratio of 9.74%.
- Net income decreased from the first quarter of 2023.
- Decrease in deposits and assets compared to the previous quarter.
- Provision for credit losses increased due to potential economic challenges.
Insights
ALEXANDRIA, La., April 25, 2024 (GLOBE NEWSWIRE) -- Red River Bancshares, Inc. (the “Company”) (Nasdaq: RRBI), the holding company for Red River Bank (the “Bank”), announced today its unaudited financial results for the first quarter of 2024.
Net income for the first quarter of 2024 was
First Quarter 2024 Performance and Operational Highlights
In the first quarter of 2024, the Company had a consistent net interest margin and consistent earnings, higher loans, and slightly lower deposits and assets. A significant stock buyback transaction was completed, and the quarterly dividend was increased to
- Net income for the first quarter of 2024 was
$8.2 million compared to$8.3 million for the prior quarter. Net income in the first quarter benefited from approximately$800,000 of nonrecurring noninterest income payments and operating expense reduction items. - Net interest income and net interest margin fully tax equivalent (“FTE”) were fairly consistent between the first quarter of 2024 and the prior quarter. Net interest income for the first quarter of 2024 was
$21.4 million compared to$21.3 million for the prior quarter. Net interest margin FTE for the first quarter of 2024 was2.83% compared to2.82% for the prior quarter. These results were due to improved yields on securities and loans offset by higher deposit costs. - As of March 31, 2024, assets were
$3.07 billion , which was$55.5 million , or1.8% , lower than December 31, 2023. The decrease was due to a$56.0 million decrease in deposits. - Deposits totaled
$2.75 billion as of March 31, 2024, a decrease of$56.0 million , or2.0% , compared to$2.80 billion as of December 31, 2023. This decrease was mainly due to the seasonal outflow of funds from public entity customers. - As of March 31, 2024, loans held for investment (“HFI”) were
$2.04 billion , an increase of$45.2 million , or2.3% , compared to$1.99 billion as of December 31, 2023. The growth in loans HFI was primarily a result of new loan activity in various markets across Louisiana. - In the first quarter of 2024, average liquid assets, which are cash and cash equivalents, decreased
$26.6 million to$254.7 million , compared to$281.3 million for the fourth quarter of 2023. The liquid assets to assets ratio was7.48% as of March 31, 2024. - As of March 31, 2024, nonperforming assets (“NPA(s)”) were
$2.5 million , or0.08% of assets, and the allowance for credit losses (“ACL”) was$21.6 million , or1.06% of loans HFI. - We paid a quarterly cash dividend of
$0.09 per common share in the first quarter of 2024, up from$0.08 per common share for each quarter in 2023. - On March 13, 2024, the Company entered into a privately negotiated stock repurchase agreement for the purchase of 200,000 shares of the Company’s common stock for a total purchase price of
$10.0 million . This repurchase was supplemental to the Company’s stock repurchase program, and as of March 31, 2024, all$5.0 million of the 2024 stock repurchase program was available. The stock repurchase program is effective through December 31, 2024. - As of March 31, 2024, capital levels were strong with a stockholders’ equity to assets ratio of
9.74% , a leverage ratio of11.44% , and a total risk-based capital ratio of17.84% . - In January of 2024, Michael J. Brown, CFA, was appointed to the boards of directors of each the Company and the Bank. Mr. Brown’s most recent roles include serving as President of Regional Banking for First Horizon Bank and Chief Operating Officer for IBERIABANK.
- Recently, S&P Global Market Intelligence ranked the Bank 15th of the top 50 best-performing community banks in 2023 with assets between
$3.0 and$10.0 billion .
Blake Chatelain, President and Chief Executive Officer, stated, “The first quarter of 2024 was one of steady, consistent performance by the Company. Also, we were pleased to increase the quarterly cash dividend, complete a significant stock buyback transaction, and welcome Michael J. Brown, CFA to the board of directors.
“Our financial results included having a consistent net interest margin and earnings, solid loan growth, and strong capital ratios. Over the past three quarters, the net interest margin has slowly increased as we have improved loan yields while diligently managing deposit rate pressures and costs. Our bankers have done an outstanding job with providing lending services to new and existing customers. For the second quarter in a row, new loan activity has been solid, and loans HFI crossed the
“For the second year, Red River Bank was selected as a Top 50 Community Bank by S&P Market Intelligence. Our ranking of 15th for 2023 is an honor and reflection of our financial performance and strength.
“As we move through 2024, we believe we are well positioned for the year ahead. The Company is well capitalized, has consistent earnings, excellent asset quality, and plenty of opportunity to expand our services in the Louisiana markets that we serve. We look forward to taking care of our customers, employees, and shareholders.”
Net Interest Income and Net Interest Margin FTE
Net interest income and net interest margin FTE for the first quarter of 2024 were fairly consistent with the prior quarter. In the first quarter of 2024, improved yields on earning assets were offset by higher deposit costs. The Federal Open Market Committee (“FOMC”) kept the federal funds rate consistent between the third quarter of 2023 and the first quarter of 2024.
Net interest income for the first quarter of 2024 was
The net interest margin FTE increased one basis point (“bp(s)”) to
In the first quarter of 2024, the target range for the federal funds rate remained at
Provision for Credit Losses
The provision for credit losses for the first quarter of 2024 was
Noninterest Income
Noninterest income totaled
Equity securities are an investment in a Community Reinvestment Act (“CRA”) mutual fund consisting primarily of bonds. The gain or loss on equity securities is a fair value adjustment primarily driven by changes in the interest rate environment. Due to the fluctuations in market rates between quarters, equity securities had a loss of
Services charges on deposit accounts for the first quarter of 2024 were
Loan and deposit income totaled
SBIC income for the first quarter of 2024 was
Debit card income, net, totaled
Operating Expenses
Operating expenses for the first quarter of 2024 totaled
Loan and deposit expenses totaled (
Data processing expense totaled
Personnel expenses totaled
Other taxes totaled
Asset Overview
As of March 31, 2024, assets were
Securities
Total securities as of March 31, 2024, were
The estimated fair value of securities AFS totaled
As of March 31, 2024, equity securities, which is an investment in a CRA mutual fund consisting primarily of bonds, totaled
Loans
Loans HFI as of March 31, 2024, were
| Loans HFI by Category | ||||||||||||||||||||
| March 31, 2024 | December 31, 2023 | Change from December 31, 2023 to March 31, 2024 | ||||||||||||||||||
| (dollars in thousands) | Amount | Percent | Amount | Percent | $ Change | % Change | ||||||||||||||
| Real estate: | ||||||||||||||||||||
| Commercial real estate | $ | 870,085 | 42.7 | % | $ | 851,582 | 42.7 | % | $ | 18,503 | 2.2 | % | ||||||||
| One-to-four family residential | 608,617 | 29.9 | % | 599,487 | 30.1 | % | 9,130 | 1.5 | % | |||||||||||
| Construction and development | 116,181 | 5.7 | % | 125,238 | 6.3 | % | (9,057 | ) | (7.2 | %) | ||||||||||
| Commercial and industrial | 347,094 | 17.0 | % | 315,327 | 15.8 | % | 31,767 | 10.1 | % | |||||||||||
| Tax-exempt | 67,548 | 3.3 | % | 72,913 | 3.7 | % | (5,365 | ) | (7.4 | %) | ||||||||||
| Consumer | 28,547 | 1.4 | % | 28,311 | 1.4 | % | 236 | 0.8 | % | |||||||||||
| Total loans HFI | $ | 2,038,072 | 100.0 | % | $ | 1,992,858 | 100.0 | % | $ | 45,214 | 2.3 | % | ||||||||
Commercial real estate (“CRE”) loans are collateralized by owner occupied and non-owner occupied properties mainly in Louisiana. Non-owner occupied office loans were
Health care loans are our largest industry concentration and are made up of a diversified portfolio of health care providers. As of March 31, 2024, total health care loans were
Asset Quality and Allowance for Credit Losses
NPAs totaled
As of March 31, 2024, the ACL was
Deposits
As of March 31, 2024, deposits were
| Deposits by Account Type | ||||||||||||||||||||
| March 31, 2024 | December 31, 2023 | Change from December 31, 2023 to March 31, 2024 | ||||||||||||||||||
| (dollars in thousands) | Balance | % of Total | Balance | % of Total | $ Change | % Change | ||||||||||||||
| Noninterest-bearing demand deposits | $ | 895,439 | 32.6 | % | $ | 916,456 | 32.7 | % | $ | (21,017 | ) | (2.3 | %) | |||||||
| Interest-bearing deposits: | ||||||||||||||||||||
| Interest-bearing demand deposits | 132,523 | 4.9 | % | 138,380 | 5.0 | % | (5,857 | ) | (4.2 | %) | ||||||||||
| NOW accounts | 385,585 | 14.0 | % | 468,483 | 16.7 | % | (82,898 | ) | (17.7 | %) | ||||||||||
| Money market accounts | 557,139 | 20.3 | % | 541,607 | 19.3 | % | 15,532 | 2.9 | % | |||||||||||
| Savings accounts | 176,777 | 6.4 | % | 173,741 | 6.2 | % | 3,036 | 1.7 | % | |||||||||||
| Time deposits less than or equal to | 406,369 | 14.8 | % | 392,094 | 14.0 | % | 14,275 | 3.6 | % | |||||||||||
| Time deposits greater than | 192,059 | 7.0 | % | 171,127 | 6.1 | % | 20,932 | 12.2 | % | |||||||||||
| Total interest-bearing deposits | 1,850,452 | 67.4 | % | 1,885,432 | 67.3 | % | (34,980 | ) | (1.9 | %) | ||||||||||
| Total deposits | $ | 2,745,891 | 100.0 | % | $ | 2,801,888 | 100.0 | % | $ | (55,997 | ) | (2.0 | %) | |||||||
| Deposits by Customer Type | ||||||||||||||||||||
| March 31, 2024 | December 31, 2023 | Change from December 31, 2023 to March 31, 2024 | ||||||||||||||||||
| (dollars in thousands) | Balance | % of Total | Balance | % of Total | $ Change | % Change | ||||||||||||||
| Consumer | $ | 1,367,713 | 49.8 | % | $ | 1,343,448 | 47.9 | % | $ | 24,265 | 1.8 | % | ||||||||
| Commercial | 1,160,663 | 42.3 | % | 1,170,670 | 41.8 | % | (10,007 | ) | (0.9 | %) | ||||||||||
| Public | 217,515 | 7.9 | % | 287,770 | 10.3 | % | (70,255 | ) | (24.4 | %) | ||||||||||
| Total deposits | $ | 2,745,891 | 100.0 | % | $ | 2,801,888 | 100.0 | % | $ | (55,997 | ) | (2.0 | %) | |||||||
Deposits decreased in the first quarter of 2024, mainly as a result of the seasonal outflow of funds from public entity customers, partially offset by an increase in new consumer time deposit activity.
The Bank has a granular, diverse deposit portfolio with customers in a variety of industries throughout Louisiana. As of March 31, 2024, the average deposit account size was approximately
As of March 31, 2024, our estimated uninsured deposits, which are the portion of deposit accounts that exceed the FDIC insurance limit (currently
Stockholders’ Equity
Total stockholders’ equity as of March 31, 2024, was
Non-GAAP Disclosure
Our accounting and reporting policies conform to United States generally accepted accounting principles (“GAAP”) and the prevailing practices in the banking industry. Certain financial measures used by management to evaluate our operating performance are discussed as supplemental non-GAAP performance measures. In accordance with the Securities and Exchange Commission’s (“SEC”) rules, we classify a financial measure as being a non-GAAP financial measure if that financial measure excludes or includes amounts, or is subject to adjustments that have the effect of excluding or including amounts, that are included or excluded, as the case may be, in the most directly comparable measure calculated and presented in accordance with GAAP as in effect from time to time in the U.S.
Management and the board of directors review tangible book value per share, tangible common equity to tangible assets, and realized book value per share as part of managing operating performance. However, these non-GAAP financial measures should not be considered in isolation or as a substitute for the most directly comparable or other financial measures calculated in accordance with GAAP. Moreover, the manner in which we calculate the non-GAAP financial measures that are discussed may differ from that of other companies’ reporting measures with similar names. It is important to understand how such other banking organizations calculate and name their financial measures similar to the non-GAAP financial measures discussed by us when comparing such non-GAAP financial measures.
A reconciliation of non-GAAP financial measures to the comparable GAAP financial measures is included within the following financial statement tables.
About Red River Bancshares, Inc.
Red River Bancshares, Inc. is the bank holding company for Red River Bank, a Louisiana state-chartered bank established in 1999 that provides a fully integrated suite of banking products and services tailored to the needs of our commercial and retail customers. Red River Bank operates from a network of 27 banking centers throughout Louisiana and one combined loan and deposit production office in New Orleans, Louisiana. Banking centers are located in the following Louisiana markets: Central, which includes the Alexandria metropolitan statistical area (“MSA”); Northwest, which includes the Shreveport-Bossier City MSA; Capital, which includes the Baton Rouge MSA; Southwest, which includes the Lake Charles MSA; the Northshore, which includes Covington; Acadiana, which includes the Lafayette MSA; and New Orleans.
Forward-Looking Statements
Statements in this news release regarding our expectations and beliefs about our future financial performance and financial condition, as well as trends in our business and markets, are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements often include words such as “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” “project,” “outlook,” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” The forward-looking statements in this news release are based on current information and on assumptions that we make about future events and circumstances that are subject to a number of risks and uncertainties that are often difficult to predict and beyond our control. As a result of those risks and uncertainties, our actual financial results in the future could differ, possibly materially, from those expressed in or implied by the forward-looking statements contained in this news release and could cause us to make changes to our future plans. Additional information regarding these and other risks and uncertainties to which our business and future financial performance are subject is contained in the section titled “Risk Factors” in our most recent Annual Report on Form 10-K and any subsequent quarterly reports on Form 10-Q, and in other documents that we file with the SEC from time to time. In addition, our actual financial results in the future may differ from those currently expected due to additional risks and uncertainties of which we are not currently aware or which we do not currently view as, but in the future may become, material to our business or operating results. Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this news release or to make predictions based solely on historical financial performance. Any forward-looking statement speaks only as of the date on which it is made, and we do not undertake any obligation to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law. All forward-looking statements, express or implied, included in this news release are qualified in their entirety by this cautionary statement.
Contact:
Isabel V. Carriere, CPA, CGMA
Executive Vice President, Chief Financial Officer, and Assistant Corporate Secretary
318-561-4023
icarriere@redriverbank.net
| FINANCIAL HIGHLIGHTS (UNAUDITED) | ||||||||||||
| As of and for the Three Months Ended | ||||||||||||
| (dollars in thousands, except per share data) | March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| Net Income | $ | 8,188 | $ | 8,292 | $ | 9,598 | ||||||
| Per Common Share Data: | ||||||||||||
| Earnings per share, basic | $ | 1.16 | $ | 1.16 | $ | 1.34 | ||||||
| Earnings per share, diluted | $ | 1.16 | $ | 1.16 | $ | 1.33 | ||||||
| Book value per share | $ | 43.43 | $ | 42.85 | $ | 38.54 | ||||||
| Tangible book value per share(1) | $ | 43.20 | $ | 42.63 | $ | 38.33 | ||||||
| Realized book value per share(1) | $ | 52.52 | $ | 51.38 | $ | 48.09 | ||||||
| Cash dividends per share | $ | 0.09 | $ | 0.08 | $ | 0.08 | ||||||
| Shares outstanding | 6,892,448 | 7,091,637 | 7,177,650 | |||||||||
| Weighted average shares outstanding, basic | 7,050,048 | 7,128,988 | 7,182,782 | |||||||||
| Weighted average shares outstanding, diluted | 7,066,709 | 7,145,870 | 7,196,354 | |||||||||
| Summary Performance Ratios: | ||||||||||||
| Return on average assets | 1.07 | % | 1.08 | % | 1.28 | % | ||||||
| Return on average equity | 10.77 | % | 11.63 | % | 14.33 | % | ||||||
| Net interest margin | 2.80 | % | 2.78 | % | 3.07 | % | ||||||
| Net interest margin FTE | 2.83 | % | 2.82 | % | 3.13 | % | ||||||
| Efficiency ratio | 60.37 | % | 60.51 | % | 56.84 | % | ||||||
| Loans HFI to deposits ratio | 74.22 | % | 71.13 | % | 70.36 | % | ||||||
| Noninterest-bearing deposits to deposits ratio | 32.61 | % | 32.71 | % | 38.81 | % | ||||||
| Noninterest income to average assets | 0.64 | % | 0.67 | % | 0.58 | % | ||||||
| Operating expense to average assets | 2.07 | % | 2.08 | % | 2.06 | % | ||||||
| Summary Credit Quality Ratios: | ||||||||||||
| Nonperforming assets to assets | 0.08 | % | 0.08 | % | 0.08 | % | ||||||
| Nonperforming loans to loans HFI | 0.12 | % | 0.13 | % | 0.12 | % | ||||||
| Allowance for credit losses to loans HFI | 1.06 | % | 1.07 | % | 1.09 | % | ||||||
| Net charge-offs to average loans | 0.00 | % | 0.01 | % | 0.00 | % | ||||||
| Capital Ratios: | ||||||||||||
| Stockholders’ equity to assets | 9.74 | % | 9.71 | % | 9.13 | % | ||||||
| Tangible common equity to tangible assets(1) | 9.69 | % | 9.67 | % | 9.08 | % | ||||||
| Total risk-based capital to risk-weighted assets | 17.84 | % | 18.28 | % | 17.89 | % | ||||||
| Tier 1 risk-based capital to risk-weighted assets | 16.82 | % | 17.24 | % | 16.85 | % | ||||||
| Common equity Tier 1 capital to risk-weighted assets | 16.82 | % | 17.24 | % | 16.85 | % | ||||||
| Tier 1 risk-based capital to average assets | 11.44 | % | 11.56 | % | 11.02 | % | ||||||
(1) Non-GAAP financial measure. Calculations of this measure and reconciliations to GAAP are included in the schedules accompanying this release.
| RED RIVER BANCSHARES, INC. | |||||||||||||||||||
| CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||||||||||||||||||
| (in thousands) | March 31, 2024 | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | ||||||||||||||
| ASSETS | |||||||||||||||||||
| Cash and due from banks | $ | 19,401 | $ | 53,062 | $ | 42,413 | $ | 36,662 | $ | 34,491 | |||||||||
| Interest-bearing deposits in other banks | 210,404 | 252,364 | 279,786 | 185,409 | 194,727 | ||||||||||||||
| Securities available-for-sale, at fair value | 545,967 | 570,092 | 529,046 | 588,478 | 611,794 | ||||||||||||||
| Securities held-to-maturity, at amortized cost | 139,328 | 141,236 | 143,420 | 146,569 | 149,417 | ||||||||||||||
| Equity securities, at fair value | 2,934 | 2,965 | 2,833 | 3,946 | 4,010 | ||||||||||||||
| Nonmarketable equity securities | 2,261 | 2,239 | 2,190 | 4,330 | 3,506 | ||||||||||||||
| Loans held for sale | 1,653 | 1,306 | 2,348 | 4,586 | 2,046 | ||||||||||||||
| Loans held for investment | 2,038,072 | 1,992,858 | 1,948,606 | 1,947,631 | 1,921,850 | ||||||||||||||
| Allowance for credit losses | (21,564 | ) | (21,336 | ) | (21,183 | ) | (21,085 | ) | (20,854 | ) | |||||||||
| Premises and equipment, net | 57,539 | 57,088 | 56,466 | 55,566 | 55,065 | ||||||||||||||
| Accrued interest receivable | 9,995 | 9,945 | 8,778 | 8,239 | 8,397 | ||||||||||||||
| Bank-owned life insurance | 29,731 | 29,529 | 29,332 | 29,141 | 28,954 | ||||||||||||||
| Intangible assets | 1,546 | 1,546 | 1,546 | 1,546 | 1,546 | ||||||||||||||
| Right-of-use assets | 3,091 | 3,629 | 3,757 | 3,885 | 4,011 | ||||||||||||||
| Other assets | 32,940 | 32,287 | 36,815 | 32,291 | 31,622 | ||||||||||||||
| Total Assets | $ | 3,073,298 | $ | 3,128,810 | $ | 3,066,153 | $ | 3,027,194 | $ | 3,030,582 | |||||||||
| LIABILITIES | |||||||||||||||||||
| Noninterest-bearing deposits | $ | 895,439 | $ | 916,456 | $ | 972,155 | $ | 989,509 | $ | 1,060,042 | |||||||||
| Interest-bearing deposits | 1,850,452 | 1,885,432 | 1,787,738 | 1,674,674 | 1,671,343 | ||||||||||||||
| Total Deposits | 2,745,891 | 2,801,888 | 2,759,893 | 2,664,183 | 2,731,385 | ||||||||||||||
| Other borrowed funds | — | — | — | 60,000 | — | ||||||||||||||
| Accrued interest payable | 8,959 | 8,000 | 6,800 | 4,098 | 2,433 | ||||||||||||||
| Lease liabilities | 3,215 | 3,767 | 3,892 | 4,015 | 4,136 | ||||||||||||||
| Accrued expenses and other liabilities | 15,919 | 11,304 | 13,617 | 11,526 | 15,988 | ||||||||||||||
| Total Liabilities | 2,773,984 | 2,824,959 | 2,784,202 | 2,743,822 | 2,753,942 | ||||||||||||||
| COMMITMENTS AND CONTINGENCIES | — | — | — | — | — | ||||||||||||||
| STOCKHOLDERS’ EQUITY | |||||||||||||||||||
| Preferred stock, no par value | — | — | — | — | — | ||||||||||||||
| Common stock, no par value | 45,177 | 55,136 | 58,031 | 59,187 | 59,788 | ||||||||||||||
| Additional paid-in capital | 2,485 | 2,407 | 2,327 | 2,248 | 2,157 | ||||||||||||||
| Retained earnings | 314,352 | 306,802 | 299,079 | 291,630 | 283,236 | ||||||||||||||
| Accumulated other comprehensive income (loss) | (62,700 | ) | (60,494 | ) | (77,486 | ) | (69,693 | ) | (68,541 | ) | |||||||||
| Total Stockholders’ Equity | 299,314 | 303,851 | 281,951 | 283,372 | 276,640 | ||||||||||||||
| Total Liabilities and Stockholders’ Equity | $ | 3,073,298 | $ | 3,128,810 | $ | 3,066,153 | $ | 3,027,194 | $ | 3,030,582 | |||||||||
| RED RIVER BANCSHARES, INC. | ||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | ||||||||||||
| For the Three Months Ended | ||||||||||||
| (in thousands) | March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| INTEREST AND DIVIDEND INCOME | ||||||||||||
| Interest and fees on loans | $ | 25,893 | $ | 24,898 | $ | 21,764 | ||||||
| Interest on securities | 4,064 | 3,656 | 3,567 | |||||||||
| Interest on federal funds sold | — | — | 635 | |||||||||
| Interest on deposits in other banks | 3,039 | 3,438 | 1,738 | |||||||||
| Dividends on stock | 22 | 49 | 28 | |||||||||
| Total Interest and Dividend Income | 33,018 | 32,041 | 27,732 | |||||||||
| INTEREST EXPENSE | ||||||||||||
| Interest on deposits | 11,655 | 10,747 | 4,823 | |||||||||
| Total Interest Expense | 11,655 | 10,747 | 4,823 | |||||||||
| Net Interest Income | 21,363 | 21,294 | 22,909 | |||||||||
| Provision for credit losses | 300 | 250 | — | |||||||||
| Net Interest Income After Provision for Credit Losses | 21,063 | 21,044 | 22,909 | |||||||||
| NONINTEREST INCOME | ||||||||||||
| Service charges on deposit accounts | 1,368 | 1,459 | 1,393 | |||||||||
| Debit card income, net | 1,022 | 875 | 934 | |||||||||
| Mortgage loan income | 456 | 441 | 275 | |||||||||
| Brokerage income | 987 | 1,039 | 807 | |||||||||
| Loan and deposit income | 492 | 575 | 477 | |||||||||
| Bank-owned life insurance income | 202 | 197 | 179 | |||||||||
| Gain (Loss) on equity securities | (31 | ) | 132 | 31 | ||||||||
| SBIC income | 352 | 393 | 180 | |||||||||
| Other income (loss) | 80 | 76 | 64 | |||||||||
| Total Noninterest Income | 4,928 | 5,187 | 4,340 | |||||||||
| OPERATING EXPENSES | ||||||||||||
| Personnel expenses | 9,550 | 9,233 | 9,000 | |||||||||
| Occupancy and equipment expenses | 1,616 | 1,647 | 1,717 | |||||||||
| Technology expenses | 709 | 693 | 748 | |||||||||
| Advertising | 337 | 347 | 281 | |||||||||
| Other business development expenses | 475 | 537 | 436 | |||||||||
| Data processing expense | 347 | 631 | 400 | |||||||||
| Other taxes | 737 | 679 | 686 | |||||||||
| Loan and deposit expenses | (42 | ) | 256 | 205 | ||||||||
| Legal and professional expenses | 618 | 664 | 516 | |||||||||
| Regulatory assessment expenses | 404 | 423 | 406 | |||||||||
| Other operating expenses | 1,122 | 913 | 1,093 | |||||||||
| Total Operating Expenses | 15,873 | 16,023 | 15,488 | |||||||||
| Income Before Income Tax Expense | 10,118 | 10,208 | 11,761 | |||||||||
| Income tax expense | 1,930 | 1,916 | 2,163 | |||||||||
| Net Income | $ | 8,188 | $ | 8,292 | $ | 9,598 | ||||||
| RED RIVER BANCSHARES, INC. | |||||||||||||||||||||
| NET INTEREST INCOME AND NET INTEREST MARGIN (UNAUDITED) | |||||||||||||||||||||
| For the Three Months Ended | |||||||||||||||||||||
| March 31, 2024 | December 31, 2023 | ||||||||||||||||||||
| (dollars in thousands) | Average Balance Outstanding | Interest Income/Expense | Average Yield/ Rate | Average Balance Outstanding | Interest Income/Expense | Average Yield/ Rate | |||||||||||||||
| Assets | |||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||
| Loans(1,2) | $ | 2,015,063 | $ | 25,893 | 5.09 | % | $ | 1,973,513 | $ | 24,898 | 4.94 | % | |||||||||
| Securities - taxable | 569,600 | 3,048 | 2.14 | % | 568,147 | 2,634 | 1.85 | % | |||||||||||||
| Securities - tax-exempt | 197,817 | 1,016 | 2.05 | % | 199,480 | 1,022 | 2.05 | % | |||||||||||||
| Interest-bearing deposits in other banks | 224,301 | 3,039 | 5.42 | % | 250,483 | 3,438 | 5.41 | % | |||||||||||||
| Nonmarketable equity securities | 2,240 | 22 | 3.95 | % | 2,192 | 49 | 8.95 | % | |||||||||||||
| Total interest-earning assets | 3,009,021 | $ | 33,018 | 4.35 | % | 2,993,815 | $ | 32,041 | 4.20 | % | |||||||||||
| Allowance for credit losses | (21,402 | ) | (21,158 | ) | |||||||||||||||||
| Noninterest-earning assets | 100,486 | 82,225 | |||||||||||||||||||
| Total assets | $ | 3,088,105 | $ | 3,054,882 | |||||||||||||||||
| Liabilities and Stockholders’ Equity | |||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||
| Interest-bearing transaction deposits | $ | 1,261,361 | $ | 5,680 | 1.81 | % | $ | 1,219,766 | $ | 5,430 | 1.77 | % | |||||||||
| Time deposits | 582,847 | 5,975 | 4.12 | % | 556,815 | 5,317 | 3.79 | % | |||||||||||||
| Total interest-bearing deposits | 1,844,208 | 11,655 | 2.54 | % | 1,776,581 | 10,747 | 2.40 | % | |||||||||||||
| Other borrowings | — | — | — | % | — | — | — | % | |||||||||||||
| Total interest-bearing liabilities | 1,844,208 | $ | 11,655 | 2.54 | % | 1,776,581 | $ | 10,747 | 2.40 | % | |||||||||||
| Noninterest-bearing liabilities: | |||||||||||||||||||||
| Noninterest-bearing deposits | 913,114 | 968,715 | |||||||||||||||||||
| Accrued interest and other liabilities | 25,055 | 26,637 | |||||||||||||||||||
| Total noninterest-bearing liabilities | 938,169 | 995,352 | |||||||||||||||||||
| Stockholders’ equity | 305,728 | 282,949 | |||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 3,088,105 | $ | 3,054,882 | |||||||||||||||||
| Net interest income | $ | 21,363 | $ | 21,294 | |||||||||||||||||
| Net interest spread | 1.81 | % | 1.80 | % | |||||||||||||||||
| Net interest margin | 2.80 | % | 2.78 | % | |||||||||||||||||
| Net interest margin FTE(3) | 2.83 | % | 2.82 | % | |||||||||||||||||
| Cost of deposits | 1.70 | % | 1.55 | % | |||||||||||||||||
| Cost of funds | 1.56 | % | 1.42 | % | |||||||||||||||||
(1) Includes average outstanding balances of loans held for sale of
(2) Nonaccrual loans are included as loans carrying a zero yield.
(3) Net interest margin FTE includes an FTE adjustment using a
| RED RIVER BANCSHARES, INC. | |||||||||||||||||||||
| NET INTEREST INCOME AND NET INTEREST MARGIN (UNAUDITED) | |||||||||||||||||||||
| For the Three Months Ended March 31, | |||||||||||||||||||||
| 2024 | 2023 | ||||||||||||||||||||
| (dollars in thousands) | Average Balance Outstanding | Interest Income/Expense | Average Yield/ Rate | Average Balance Outstanding | Interest Income/Expense | Average Yield/ Rate | |||||||||||||||
| Assets | |||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||
| Loans(1,2) | $ | 2,015,063 | $ | 25,893 | 5.09 | % | $ | 1,918,336 | $ | 21,764 | 4.54 | % | |||||||||
| Securities - taxable | 569,600 | 3,048 | 2.14 | % | 641,237 | 2,533 | 1.59 | % | |||||||||||||
| Securities - tax-exempt | 197,817 | 1,016 | 2.05 | % | 205,512 | 1,034 | 2.01 | % | |||||||||||||
| Federal funds sold | — | — | — | % | 55,411 | 635 | 4.58 | % | |||||||||||||
| Interest-bearing deposits in other banks | 224,301 | 3,039 | 5.42 | % | 153,667 | 1,738 | 4.53 | % | |||||||||||||
| Nonmarketable equity securities | 2,240 | 22 | 3.95 | % | 3,478 | 28 | 3.24 | % | |||||||||||||
| Total interest-earning assets | 3,009,021 | $ | 33,018 | 4.35 | % | 2,977,641 | $ | 27,732 | 3.73 | % | |||||||||||
| Allowance for credit losses | (21,402 | ) | (20,885 | ) | |||||||||||||||||
| Noninterest-earning assets | 100,486 | 89,031 | |||||||||||||||||||
| Total assets | $ | 3,088,105 | $ | 3,045,787 | |||||||||||||||||
| Liabilities and Stockholders’ Equity | |||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||
| Interest-bearing transaction deposits | $ | 1,261,361 | $ | 5,680 | 1.81 | % | $ | 1,326,547 | $ | 3,029 | 0.93 | % | |||||||||
| Time deposits | 582,847 | 5,975 | 4.12 | % | 366,214 | 1,794 | 1.99 | % | |||||||||||||
| Total interest-bearing deposits | 1,844,208 | 11,655 | 2.54 | % | 1,692,761 | 4,823 | 1.16 | % | |||||||||||||
| Other borrowings | — | — | — | % | 1 | — | 5.08 | % | |||||||||||||
| Total interest-bearing liabilities | 1,844,208 | $ | 11,655 | 2.54 | % | 1,692,762 | $ | 4,823 | 1.16 | % | |||||||||||
| Noninterest-bearing liabilities: | |||||||||||||||||||||
| Noninterest-bearing deposits | 913,114 | 1,061,135 | |||||||||||||||||||
| Accrued interest and other liabilities | 25,055 | 20,219 | |||||||||||||||||||
| Total noninterest-bearing liabilities | 938,169 | 1,081,354 | |||||||||||||||||||
| Stockholders’ equity | 305,728 | 271,671 | |||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 3,088,105 | $ | 3,045,787 | |||||||||||||||||
| Net interest income | $ | 21,363 | $ | 22,909 | |||||||||||||||||
| Net interest spread | 1.81 | % | 2.57 | % | |||||||||||||||||
| Net interest margin | 2.80 | % | 3.07 | % | |||||||||||||||||
| Net interest margin FTE(3) | 2.83 | % | 3.13 | % | |||||||||||||||||
| Cost of deposits | 1.70 | % | 0.71 | % | |||||||||||||||||
| Cost of funds | 1.56 | % | 0.66 | % | |||||||||||||||||
(1) Includes average outstanding balances of loans held for sale of
(2) Nonaccrual loans are included as loans carrying a zero yield.
(3) Net interest margin FTE includes an FTE adjustment using a
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (UNAUDITED) | |||||||||||
| (dollars in thousands, except per share data) | March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||
| Tangible common equity | |||||||||||
| Total stockholders’ equity | $ | 299,314 | $ | 303,851 | $ | 276,640 | |||||
| Adjustments: | |||||||||||
| Intangible assets | (1,546 | ) | (1,546 | ) | (1,546 | ) | |||||
| Total tangible common equity (non-GAAP) | $ | 297,768 | $ | 302,305 | $ | 275,094 | |||||
| Realized common equity | |||||||||||
| Total stockholders’ equity | $ | 299,314 | $ | 303,851 | $ | 276,640 | |||||
| Adjustments: | |||||||||||
| Accumulated other comprehensive (income) loss | 62,700 | 60,494 | 68,541 | ||||||||
| Total realized common equity (non-GAAP) | $ | 362,014 | $ | 364,345 | $ | 345,181 | |||||
| Common shares outstanding | 6,892,448 | 7,091,637 | 7,177,650 | ||||||||
| Book value per share | $ | 43.43 | $ | 42.85 | $ | 38.54 | |||||
| Tangible book value per share (non-GAAP) | $ | 43.20 | $ | 42.63 | $ | 38.33 | |||||
| Realized book value per share (non-GAAP) | $ | 52.52 | $ | 51.38 | $ | 48.09 | |||||
| Tangible assets | |||||||||||
| Total assets | $ | 3,073,298 | $ | 3,128,810 | $ | 3,030,582 | |||||
| Adjustments: | |||||||||||
| Intangible assets | (1,546 | ) | (1,546 | ) | (1,546 | ) | |||||
| Total tangible assets (non-GAAP) | $ | 3,071,752 | $ | 3,127,264 | $ | 3,029,036 | |||||
| Total stockholders’ equity to assets | 9.74 | % | 9.71 | % | 9.13 | % | |||||
| Tangible common equity to tangible assets (non-GAAP) | 9.69 | % | 9.67 | % | 9.08 | % | |||||
FAQ
What was Red River Bancshares, Inc.'s net income for the first quarter of 2024?
What was the change in deposits for Red River Bancshares, Inc. in the first quarter of 2024?
What was the quarterly dividend per common share for Red River Bancshares, Inc. in the first quarter of 2024?
What was the stockholders' equity to assets ratio for Red River Bancshares, Inc. in the first quarter of 2024?
