Calvin B. Taylor Bankshares, Inc. (OTCQX: TYCB), Parent Company of Calvin B. Taylor Bank, Reports First Quarter 2022 Financial Results
Calvin B. Taylor Bankshares, Inc. (OTCQX: TYCB) reported net income of $2.29 million for 1Q22, down 11.8% from $2.60 million in 1Q21. The decline was primarily due to a $346 thousand decrease in income from bank-owned life insurance. Despite this, the bank saw organic loan growth of 6.8% since December 2021 and a 3.9% increase in net interest income to $5.27 million. Total assets surged 20.5% year-over-year to $905.2 million. The quarterly dividend rose 3.45% to $0.30 per share.
- Organic loan growth of $29.5 million or 6.8% since December 31, 2021.
- Net interest income increased by $197 thousand or 3.9% year-over-year.
- Total assets grew by $153.8 million or 20.5% year-over-year.
- Net income decreased by 11.8% year-over-year from $2.60 million to $2.29 million.
- Net interest margin decreased to 2.50% from 3.05% in 1Q21.
- Noninterest income declined by $304 thousand or 22.7% year-over-year.
BERLIN, MD, May 16, 2022 (GLOBE NEWSWIRE) -- via NewMediaWire – Calvin B. Taylor Bankshares, Inc. (the “Company”) (OTCQX: TYCB), parent company of Calvin B. Taylor Bank, today reported net income of
- Organic loan growth continued in 1Q22 with loans growing
$29.5 million , or6.8% , since December 31, 2021. - Repayments of Paycheck Protection Program (“PPP”) loans by the Small Business Administration (“SBA”) associated with loan forgiveness were
$3.5 million in 1Q22 and$40.8 million in the twelve months ended March 31, 2022. - Loans, excluding SBA PPP loans, have increased
$47.9 million , or11.6% , in the twelve months ended March 31, 2022. - Net interest income increased in 1Q22 by
$197 thousand , or3.9% , as compared to 1Q21. - Organic deposit growth during the previous 12 months resulted in total assets growing by
$153.8 million , or20.5% , since March 31, 2021. - Nontaxable income related to bank owned life insurance death proceeds decreased by
$346 thousand in 1Q22 as compared to 1Q21. - Net interest margin was
2.50% in 1Q22, as compared to3.05% in 1Q21 and2.63% in 4Q21. Decreases in net interest margin are attributable to growth in deposits and assets associated with the COVID-19 pandemic and decreases in loan interest revenue from SBA PPP loans. - Quarterly dividend increased
3.45% in 1Q22, as compared to 4Q21.
Quarterly Results of Operations
Loan interest revenue, including fees, decreased to
Net interest income increased
Increases in underlying balances and higher market interest rates in 1Q22 contributed to an increase in interest revenue on debt securities and interest bearing deposits. Net interest income decreased
The provision for loan losses was
Noninterest income was
Noninterest expense increased to
Company’s efficiency ratio increased to
Net income decreased
Net income increased
Financial Condition
Total assets were
Nonaccrual loans and loans past due 30 days or more totaled
Average assets grew by
Calvin B. Taylor Bankshares, Inc. & Subsidiary | |||||||||||||||||||||||
Financial Highlights | |||||||||||||||||||||||
Three Months Ended | Three Months Ended | ||||||||||||||||||||||
March 31, | % | March 31, | December 31, | % | |||||||||||||||||||
Results of Operations | 2022 | 2021 | Change | 2022 | 2021 | Change | |||||||||||||||||
Net interest income | $ | 5,272,960 | $ | 5,076,193 | 3.9 | % | $ | 5,272,960 | $ | 5,721,130 | -7.8 | % | |||||||||||
Provision for loan losses | $ | 75,000 | $ | 125,000 | -40.0 | % | $ | 75,000 | $ | - | #DIV/0! | ||||||||||||
Noninterest income | $ | 1,039,798 | $ | 1,344,561 | -22.7 | % | $ | 1,039,798 | $ | 888,386 | 17.0 | % | |||||||||||
Noninterest expense | $ | 3,274,382 | $ | 3,040,326 | 7.7 | % | $ | 3,274,382 | $ | 3,850,768 | -15.0 | % | |||||||||||
Net income | $ | 2,288,876 | $ | 2,595,428 | -11.8 | % | $ | 2,288,876 | $ | 2,140,748 | 6.9 | % | |||||||||||
Net income per share | $ | 0.83 | $ | 0.94 | -11.4 | % | $ | 0.83 | $ | 0.78 | 6.3 | % | |||||||||||
Dividend per share | $ | 0.30 | $ | 0.29 | 3.4 | % | $ | 0.30 | $ | 0.29 | 3.4 | % | |||||||||||
Dividend payout ratio | 36.18 | % | 36.18 | % | 37.40 | % | |||||||||||||||||
Average assets | $ | 899,241,664 | $ | 723,070,974 | 24.4 | % | $ | 899,243,294 | $ | 912,897,726 | -1.5 | % | |||||||||||
Average loans | $ | 442,185,321 | $ | 440,383,147 | 0.4 | % | $ | 442,185,321 | $ | 435,123,740 | 1.6 | % | |||||||||||
Average deposits | $ | 796,738,068 | $ | 625,914,322 | 27.3 | % | $ | 796,738,068 | $ | 810,312,556 | -1.7 | % | |||||||||||
Average loans to average deposits | 55.50 | % | 55.50 | % | 53.70 | % | |||||||||||||||||
Average stockholders' equity | $ | 98,602,948 | $ | 95,784,422 | 2.9 | % | $ | 98,604,578 | $ | 99,523,881 | -0.9 | % | |||||||||||
Average stockholders' equity to average assets | 10.97 | % | 10.97 | % | 10.90 | % | |||||||||||||||||
Ratios | |||||||||||||||||||||||
Net interest margin | 2.50 | % | 2.50 | % | 2.63 | % | |||||||||||||||||
Return on average assets | 1.02 | % | 1.02 | % | 0.94 | % | |||||||||||||||||
Return on average stockholders' equity | 9.29 | % | 9.29 | % | 8.58 | % | |||||||||||||||||
Efficiency ratio | 51.87 | % | 51.87 | % | 58.21 | % | |||||||||||||||||
Stock Repurchased | |||||||||||||||||||||||
Number of shares | - | 7,480 | -100.0 | % | - | 4,404 | -100.0 | % | |||||||||||||||
Repurchase amount | $ | - | $ | 253,572 | -100.0 | % | $ | - | $ | 158,254 | -100.0 | % | |||||||||||
Average price per share | $ | - | $ | 33.90 | -100.0 | % | $ | - | $ | 35.93 | -100.0 | % | |||||||||||
March 31, | March 31, | % | March 31, | December 31, | % | ||||||||||||||||||
Financial Condition | 2022 | 2021 | Change | 2022 | 2021 | Change | |||||||||||||||||
Assets | $ | 905,246,571 | $ | 751,416,895 | 20.5 | % | $ | 905,246,571 | $ | 904,478,786 | 0.1 | % | |||||||||||
Loans | $ | 464,355,936 | $ | 455,677,254 | 1.9 | % | $ | 464,355,936 | $ | 434,866,477 | 6.8 | % | |||||||||||
Deposits | $ | 806,461,546 | $ | 653,484,299 | 23.4 | % | $ | 806,461,546 | $ | 803,245,622 | 0.4 | % | |||||||||||
Stockholders' equity | $ | 94,533,066 | $ | 95,735,742 | -1.3 | % | $ | 94,533,066 | $ | 99,088,916 | -4.6 | % | |||||||||||
Common stock - shares outstanding | 2,760,760 | 2,765,452 | -0.2 | % | 2,760,760 | 2,760,760 | 0.0 | % | |||||||||||||||
Book value per share | $ | 34.24 | $ | 34.62 | -1.1 | % | $ | 34.24 | $ | 35.89 | -4.6 | % | |||||||||||
Loans to deposits | 57.58 | % | 57.58 | % | 54.14 | % | |||||||||||||||||
Equity to assets | 10.44 | % | 10.44 | % | 10.96 | % | |||||||||||||||||
Calvin B. Taylor Bankshares, Inc. and Subsidiary | |||||
Consolidated Balance Sheets | |||||
(unaudited) | (unaudited) | ||||
March 31, | December 31, | March 31, | |||
2022 | 2021 | 2021 | |||
Assets | |||||
Cash and cash equivalents | |||||
Cash and due from banks | | | | ||
Federal funds sold and interest bearing deposits | 210,292,063 | 280,331,067 | 164,416,904 | ||
Total cash and cash equivalents | 221,368,515 | 290,262,791 | 175,176,035 | ||
Time deposits in other financial institutions | 2,476,920 | 3,478,221 | 8,732,396 | ||
Debt securities available for sale, at fair value | 149,860,671 | 128,654,564 | 78,437,955 | ||
Debt securities held to maturity, at amortized cost | 28,376,618 | 13,967,244 | 3,515,601 | ||
Equity securities, at cost | 1,212,533 | 1,103,833 | 1,103,733 | ||
Loans | 464,355,936 | 434,866,477 | 455,677,254 | ||
Less: allowance for loan losses | (2,052,567) | (1,998,728) | (1,955,434) | ||
Net loans | 462,303,369 | 432,867,749 | 453,721,820 | ||
Accrued interest receivable | 1,609,199 | 1,701,446 | 2,123,934 | ||
Prepaid expenses | 486,050 | 645,725 | 521,291 | ||
Other real estate owned | - | - | - | ||
Premises and equipment, net | 12,822,077 | 12,904,446 | 12,827,221 | ||
Computer software | 314,486 | 342,148 | 365,169 | ||
Deferred income taxes | 2,079,257 | - | - | ||
Bank owned life insurance and annuities | 21,491,536 | 18,223,348 | 13,491,712 | ||
Other assets | 845,340 | 327,271 | 1,400,028 | ||
Total assets | | | | ||
Liabilities and Stockholders' Equity | |||||
Deposits | |||||
Non-interest bearing | | | | ||
Interest bearing | 527,563,420 | 520,148,789 | 420,797,862 | ||
Total deposits | 806,461,546 | 803,245,622 | 653,484,299 | ||
Accrued interest payable | 26,202 | 26,029 | 26,079 | ||
Dividends payable | 828,228 | 800,620 | 801,981 | ||
Securities purchase payable | 1,922,575 | - | - | ||
Accrued expenses | 274,570 | 623,132 | 249,640 | ||
Non-qualified deferred compensation | 636,316 | 645,716 | 519,539 | ||
Deferred income taxes | - | 6,759 | 534,278 | ||
Other liabilities | 564,068 | 41,992 | 65,337 | ||
Total liabilities | 810,713,505 | 805,389,870 | 655,681,153 | ||
Stockholders' equity | |||||
Common stock, par value | |||||
authorized 10,000,000 shares; issued and outstanding | 2,760,760 | 2,760,760 | 2,765,452 | ||
Additional paid-in capital | 2,398,533 | 2,398,533 | 2,562,103 | ||
Retained earnings | 96,131,635 | 94,670,987 | 90,190,247 | ||
Accumulated other comprehensive income (loss), net of tax | (6,757,862) | (741,364) | 217,940 | ||
Total stockholders' equity | 94,533,066 | 99,088,916 | 95,735,742 | ||
Total liabilities and stockholders' equity | | | | ||
Calvin B. Taylor Bankshares, Inc. and Subsidiary | |||
Consolidated Statements of Comprehensive Income (unaudited) | |||
For the three months ended | |||
March 31, 2022 | March 31, 2021 | ||
Interest revenue | |||
Loans, including fees | | | |
U. S. Treasury and government agency debt securities | 141,407 | 57,228 | |
Mortgage-backed debt securities | 327,605 | 116,772 | |
State and municipal debt securities | 79,636 | 51,003 | |
Federal funds sold and interest bearing deposits | 95,490 | 35,932 | |
Time deposits in other financial institutions | 12,161 | 44,674 | |
Total interest revenue | 5,485,720 | 5,263,363 | |
Interest expense | |||
Deposits | 212,760 | 187,170 | |
Net interest income | 5,272,960 | 5,076,193 | |
Provision for loan losses | 75,000 | 125,000 | |
Net interest income after provision for loan losses | 5,197,960 | 4,951,193 | |
Noninterest income | |||
Debit card and ATM | 345,659 | 316,116 | |
Service charges on deposit accounts | 215,453 | 179,087 | |
Merchant payment processing | 56,317 | 13,517 | |
Increase in cash surrender value of bank owned life insurance | 73,279 | 85,933 | |
Income from bank owned life insurance death proceeds | 272,111 | 618,463 | |
Dividends | 3,310 | 4,595 | |
Gain on disposition of debt securities | 645 | 60,453 | |
Loss on disposition of fixed assets | - | (4,931) | |
Miscellaneous | 73,024 | 71,328 | |
Total noninterest income | 1,039,798 | 1,344,561 | |
Noninterest expenses | |||
Salaries | 1,359,240 | 1,248,957 | |
Employee benefits | 338,327 | 399,265 | |
Occupancy | 240,760 | 227,368 | |
Furniture and equipment | 220,793 | 203,685 | |
Data processing | 213,985 | 166,115 | |
ATM and debit card | 141,123 | 112,250 | |
Marketing | 86,536 | 35,614 | |
Directors fees | 80,150 | 75,100 | |
Telecommunication services | 86,663 | 82,145 | |
Deposit insurance premiums | 59,543 | 49,895 | |
Other operating | 447,262 | 439,932 | |
Total noninterest expenses | 3,274,382 | 3,040,326 | |
Income before income taxes | 2,963,376 | 3,255,428 | |
Income taxes | 674,500 | 660,000 | |
Net income | 2,288,876 | 2,595,428 | |
Other comprehensive loss, net of tax | |||
Unrealized losses on available for sale debt securities | |||
arising during the period, net of tax | (6,016,498) | (589,263) | |
Comprehensive income | | | |
Earnings per common share - basic and diluted | | | |
About Calvin B. Taylor Banking Company
Calvin B. Taylor Banking Company, the bank subsidiary of Calvin B. Taylor Bankshares, Inc. (OTCQX: TYCB), founded in 1890, offers a wide range of loan, deposit, and ancillary banking services through both physical and digital delivery channels. The Company has 12 banking locations within the eastern coastal area of the Delmarva Peninsula including Worcester County, Maryland, Sussex County, Delaware and Accomack County, Virginia.
Contact
M. Dean Lewis, Senior Vice President and Chief Financial Officer
410-641-1700, taylorbank.com
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