Financial Results - Quarterly Comparison February 2020

 ACBB FINANCIAL RESULTS for the Twelve Months Ending December 31, 2019 and 2018

FINANCIAL HIGHLIGHTS

BALANCE SHEET (in thousands) Unaudited Unaudited
ASSETS 12/31/19 12/31/18
Cash and Due from Banks $226,837 $148,971
Investment Securities

127,462

124,726

Federal Funds Sold

32,556

94,006

Loans, Net

359,454

339,283

Other Assets

47,789

45,299

Total Assets $794,098 $752,285
     
LIABILITIES AND CAPITAL    
Deposits $404,193 $415,147

Federal Funds Purchased

175,556

129,622

Other Borrowed Funds

95,911

96,321

Other Liabilities 12,762 9,213
Total Liabilities 688,422 650,303
     

Equity Capital

105,676 101,982
Total Liabilities and Capital $794,098 $752,285
     
  YTD  YTD

INCOME STATEMENT (in thousands)

12/31/19  12/31/2018

Interest Income

$25,717 $21,879
Interest Expense

9,331

6,113

Net Interest Income 16,386 15,766
     
Provision for Loan Losses 0 (350)
Realized Gains (Losses) on Securities 0  0
Non-interest Income 20,599 20,315
Operating Expenses 34,310 28,694
Income Tax Expense 461 1,513
Net Income $2,214

 

$6,224

 

 

 2019 YTD net income of $2,214,000 was $4,010,000 less than that of December 2018. Prior year results included a $350 credit to the provision for loan losses, recognition of income from a BOLI death benefit ($204 K), a gain from an OREO recovery ($157 K), and a purchase accounting gain ($171 K) resulting from the January 2018 acquisition of Bankers Bank Northeast. Net interest income was $620,000 higher than December 2018 YTD, including $416,000 in 2019 interest recoveries. The decrease in 2019 YTD net income was mainly due to a $5.6 million increase in operating expenses, which included $5.3 million of non-recurring consulting expense.

Strong Capital Levels:
Total Risk-Based Capital Ratio = 22.74%
Tier 1 Risk-Based Capital Ratio = 21.51%
Leverage Capital Ratio = 12.67%

Funding Diversification and Balance Sheet Composition:
Loan growth was strong: a net increase of $20.2 million, 5.9% above December 31, 2018.  Non-interest bearing deposits declined by $17.9 million year over year, partially offset by growth in certificates of deposit ($11.2 million), and money market deposit accounts ($3.0 million).  Fed Funds Purchased increased $45.9 million from December 31, 2018, which fueled the year over year growth in total assets of $41.8 million, an increase of 5.6%

Credit Quality:
Past due loans that are still accruing were 0.25% of gross loans as of December 31, 2019.
Robust loan loss allowance, as illustrated below:
● ALL to Total Non-Current Loans of 716.5%
● ALL to Total Loans of 2.19%
● Texas ratio of only .99%

Other Ratios:

Return on Average Assets       0.28%
Return on Average Equity       2.10%
ALL to Non-performing Loans* 716.5%

 Non-performing Assets to Total Assets

     0.14%

*Includes performing TDRs