2020 Annual Report

income on loans includes the effects of net deferred loan origination fees and costs accounted for as yield adjustments. These tables are presented on a tax-equivalent basis, if applicable.

December 31, 2020

December 31, 2019

December 31, 2018

Average Interest Balance & Fees Rate Yield/

Average Interest Balance & Fees Rate Yield/

Average Interest Yield/ Balance & Fees Rate

(dollars in thousands) Interest Earning Assets: Cash Investments. . . . . . . . . . . . $ 80,113 $ 170 0.21 % $ 46,366 $ 755 1.63 % $ 22,962 $ 250 1.09 % Investment Securities: Taxable Investment Securities . . . . . . . . . . . . . . . . 234,873 5,712 2.43 149,967 4,354 2.90 129,486 2,878 2.22 Tax-Exempt Investment Securities (1) . . . . . . . . . . . . . . 87,587 3,807 4.35 101,012 4,327 4.28 116,557 4,830 4.14 Total Investment Securities . . . . . . . . . . . . 322,460 9,519 2.95 250,979 8,681 3.46 246,043 7,708 3.13 Paycheck Protection Program Loans (2) . . . . . . . . . . 122,240 4,143 3.39 — — — — — — Loans (1)(2) . . . . . . . . . . . . . . . . . 2,032,180 101,469 4.99 1,785,937 94,852 5.31 1,491,166 78,033 5.23 Total Loans . . . . . . . . . . . . 2,154,420 105,612 4.90 1,785,937 94,852 5.31 1,491,166 78,033 5.23 Federal Home Loan Bank Stock. . . . . . . . . . . . . . . 8,866 444 5.01 7,916 398 5.03 6,321 249 3.94 Total Interest Earning Assets . . . . . . . . 2,565,859 115,745 4.51 % 2,091,198 104,686 5.01 % 1,766,492 86,240 4.88 % Noninterest Earning Assets. . . . . 51,720 23,013 11,100 Total Assets. . . . . . . . . . . . $ 2,617,579 $ 2,114,211 $ 1,777,592 Interest Bearing Liabilities: Deposits: Interest Bearing Transaction Deposits . . . . . . . 295,036 1,626 0.55 % 223,376 1,634 0.73 % 177,335 635 0.36 % Savings and Money Market Deposits . . . . . . . . . . . 523,520 5,341 1.02 447,040 7,747 1.73 381,318 4,681 1.23 Time Deposits . . . . . . . . . . . . . . 374,195 7,806 2.09 349,148 8,379 2.40 300,021 5,731 1.91 Brokered Deposits . . . . . . . . . . . 348,126 5,040 1.45 261,023 6,236 2.39 232,022 4,924 2.12 Total Interest Bearing Deposits . . . . . . 1,540,877 19,813 1.29 1,280,587 23,996 1.87 1,090,696 15,971 1.46 Federal Funds Purchased . . . . . . 7,239 111 1.53 7,433 186 2.50 29,671 637 2.15 Notes Payable . . . . . . . . . . . . . . 11,749 439 3.73 13,750 501 3.64 15,750 594 3.77 FHLB Advances . . . . . . . . . . . . 148,524 3,390 2.28 133,968 3,407 2.54 82,562 1,718 2.08 Subordinated Debentures . . . . . . 50,954 3,109 6.10 24,686 1,556 6.30 24,582 1,568 6.38 Total Interest Bearing Liabilities . . . . . 1,759,343 26,862 1.53 % 1,460,424 29,646 2.03 % 1,243,261 20,488 1.65 % Noninterest Bearing Liabilities: Noninterest Bearing Transaction Deposits . . . . . . . 579,595 414,377 330,898 Other Noninterest Bearing Liabilities . . . . . . . . . 19,905 6,871 9,350 Total Noninterest Bearing Liabilities . . . . . 599,500 421,248 340,248 Shareholders' Equity . . . . . . . . . 258,736 232,539 194,083 Total Liabilities and Shareholders' Equity. . . . . . . . $ 2,617,579 $ 2,114,211 $ 1,777,592 Net Interest Income / Interest Rate Spread . . . . . . . . 88,883 2.98 % 75,040 2.98 % 65,752 3.23 % Net Interest Margin (3) . . . . . . . . 3.46 % 3.59 % 3.72 % Taxable Equivalent Adjustment: Tax-Exempt Investment Securities . . . . (919) (908) (1,014) Net Interest Income . . . . . . . . . . $ 87,964 $ 74,132 $ 64,738

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