Attached files
| file | filename |
|---|---|
| 8-K - 8-K - FIRST SECURITY GROUP INC/TN | a20140805_earningsrelease8k.htm |
| EX-99.1 - EARNINGS RELEASE - FIRST SECURITY GROUP INC/TN | a20140805_pressrelease.htm |
| EX-99.3 - FINANCIAL STATEMENTS - FIRST SECURITY GROUP INC/TN | a20140805_financialstateme.htm |
First Security Group, Inc. and Subsidiary
Consolidated Financial Highlights
(unaudited)
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | Year-to-Date | |||||||||||||||||
2014 | 2014 | 2013 | 2013 | 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||||
(in thousands, except per share amounts and full-time equivalent employees) | ||||||||||||||||||||||
Earnings: | ||||||||||||||||||||||
Net interest income | $ | 7,545 | $ | 6,925 | $ | 6,478 | $ | 6,165 | $ | 5,486 | $ | 14,470 | $ | 10,726 | ||||||||
Credit for loan and lease losses | $ | (270 | ) | $ | (972 | ) | $ | (955 | ) | $ | (1,632 | ) | $ | (826 | ) | $ | (1,242 | ) | $ | (148 | ) | |
Non-interest income1 | $ | 3,030 | $ | 2,635 | $ | 2,188 | $ | 2,292 | $ | 2,190 | $ | 5,665 | $ | 4,204 | ||||||||
Non-interest expense1 | $ | 10,101 | $ | 10,445 | $ | 10,150 | $ | 11,197 | $ | 12,578 | $ | 20,546 | $ | 26,414 | ||||||||
Income tax provision (benefit) | $ | 131 | $ | 132 | $ | 119 | $ | 322 | $ | (83 | ) | $ | 263 | $ | 36 | |||||||
Dividends and accretion on preferred stock | $ | — | $ | — | $ | — | $ | — | $ | (858 | ) | $ | — | $ | (1,381 | ) | ||||||
Effect of exchange on preferred stock to common stock | $ | — | $ | — | $ | — | $ | — | $ | 26,179 | $ | — | $ | 26,179 | ||||||||
Net income available (loss allocated) to common stockholders | $ | 613 | $ | (45 | ) | $ | (648 | ) | $ | (1,430 | ) | $ | 21,328 | $ | 568 | $ | 13,426 | |||||
Per Share Data: | ||||||||||||||||||||||
Net income available (loss allocated) to common stockholders, basic | $ | 0.01 | $ | 0.00 | $ | (0.01 | ) | $ | (0.02 | ) | $ | 0.39 | $ | 0.01 | $ | 0.47 | ||||||
Net income available (loss allocated) to common stockholders, diluted | $ | 0.01 | $ | 0.00 | $ | (0.01 | ) | $ | (0.02 | ) | $ | 0.39 | $ | 0.01 | $ | 0.47 | ||||||
Book value per common share | $ | 1.30 | $ | 1.27 | $ | 1.26 | $ | 1.25 | $ | 1.39 | $ | 1.30 | $ | 1.39 | ||||||||
Performance Ratios: | ||||||||||||||||||||||
Return on average assets | 0.24 | % | (0.02 | )% | (0.26 | )% | (0.56 | )% | 7.97 | % | 0.06 | % | 1.26 | % | ||||||||
Return on average common equity | 2.86 | % | (0.21 | )% | (3.08 | )% | (7.21 | )% | 95.78 | % | 0.67 | % | 23.61 | % | ||||||||
Efficiency ratio | 95.52 | % | 109.26% | 117.12% | 132.40% | 163.86% | 102.04 | % | 176.92 | % | ||||||||||||
Non-interest income to net interest income and non-interest income | 28.65 | % | 27.56% | 25.25% | 27.10% | 28.53% | 28.14 | % | 28.16 | % | ||||||||||||
Capital: | ||||||||||||||||||||||
Total equity to total assets | 8.55 | % | 8.63% | 8.56% | 8.24% | 8.12% | 8.55 | % | 8.12 | % | ||||||||||||
Liquidity, Yields and Rates: | ||||||||||||||||||||||
Interest-bearing cash - average balance | $ | 8,997 | $ | 13,653 | $ | 34,075 | $ | 68,964 | $ | 122,499 | $ | 11,312 | $ | 161,343 | ||||||||
Investment securities - average balance | 247,459 | 272,563 | 330,094 | 329,385 | 322,747 | 259,941 | 268,872 | |||||||||||||||
Loans - average balance | 673,175 | 604,298 | 550,749 | 529,406 | 547,499 | 638,927 | 550,010 | |||||||||||||||
Average Earning Assets | $ | 929,631 | $ | 890,514 | $ | 914,918 | $ | 927,755 | $ | 992,745 | $ | 910,180 | $ | 980,225 | ||||||||
Pure deposits2 - average balance | $ | 455,407 | $ | 446,820 | $ | 452,495 | $ | 454,379 | $ | 431,988 | $ | 451,138 | $ | 420,824 | ||||||||
Core deposits3 - average balance | 622,636 | 624,365 | 640,177 | 653,044 | 648,373 | 623,496 | 643,482 | |||||||||||||||
Customer deposits4 - average balance | 757,704 | 773,336 | 801,827 | 829,926 | 847,007 | 765,477 | 843,596 | |||||||||||||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | Year-to-Date | |||||||||||||||||
2014 | 2014 | 2013 | 2013 | 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||||
(in thousands, except per share amounts and full-time equivalent employees) | ||||||||||||||||||||||
Brokered deposits - average balance | 84,021 | 70,204 | 84,143 | 90,323 | 111,801 | 77,150 | 138,245 | |||||||||||||||
Total deposits - average balance | $ | 841,725 | $ | 843,540 | $ | 885,970 | $ | 920,249 | $ | 958,808 | $ | 842,627 | $ | 981,841 | ||||||||
Total loans to total deposits | 76.01 | % | 71.85 | % | 68.02 | % | 58.76 | % | 56.59 | % | 76.01 | % | 56.59 | % | ||||||||
Yield on earning assets | 3.86 | % | 3.85 | % | 3.53 | % | 3.57 | % | 3.20 | % | 3.86 | % | 3.26 | % | ||||||||
Rate on customer deposits (including impact of non-interest bearing DDAs) | 0.37 | % | 0.41 | % | 0.48 | % | 0.56 | % | 0.63 | % | 0.39 | % | 0.66 | % | ||||||||
Cost of deposits | 0.59 | % | 0.65 | % | 0.74 | % | 0.84 | % | 0.94 | % | 0.62 | % | 0.99 | % | ||||||||
Rate on interest-bearing funding | 0.68 | % | 0.78 | % | 0.73 | % | 1.01 | % | 1.11 | % | 0.72 | % | 1.15 | % | ||||||||
Net interest margin, taxable equivalent | 3.30 | % | 3.21 | % | 2.89 | % | 2.71 | % | 2.27 | % | 3.26 | % | 2.26 | % | ||||||||
Non-Interest Income: | ||||||||||||||||||||||
Service Charges on Deposits | $ | 769 | $ | 741 | $ | 800 | $ | 798 | $ | 763 | $ | 1,510 | $ | 1,500 | ||||||||
POS Fees | 439 | 401 | 420 | 401 | 398 | 840 | 769 | |||||||||||||||
BOLI | 235 | 351 | 239 | 238 | 241 | 586 | 484 | |||||||||||||||
Mortgage Banking Income | 279 | 180 | 208 | 420 | 211 | 459 | 507 | |||||||||||||||
Trust | 235 | 200 | 188 | 193 | 187 | 435 | 334 | |||||||||||||||
Other | 376 | 369 | 165 | 242 | 236 | 745 | 456 | |||||||||||||||
Net Gains on Sales of Loans | 450 | 22 | — | — | — | 472 | — | |||||||||||||||
Net Gains on AFS sales | 247 | 371 | 168 | — | 154 | 618 | 154 | |||||||||||||||
Total Non-Interest Income | $ | 3,030 | $ | 2,635 | $ | 2,188 | $ | 2,292 | $ | 2,190 | $ | 5,665 | $ | 4,204 | ||||||||
Non-Interest Expense: | ||||||||||||||||||||||
Salaries and Benefits | $ | 5,225 | $ | 5,274 | $ | 5,503 | $ | 5,807 | $ | 5,665 | $ | 10,499 | $ | 11,274 | ||||||||
Occupancy | 776 | 820 | 799 | 891 | 794 | 1,596 | 1,612 | |||||||||||||||
Furniture and Fixtures | 520 | 557 | 544 | 656 | 595 | 1,077 | 1,144 | |||||||||||||||
Professional Fees | 690 | 599 | 417 | 533 | 706 | 1,289 | 1,307 | |||||||||||||||
FDIC insurance assessments | 336 | 311 | 150 | 150 | 1,000 | 647 | 2,000 | |||||||||||||||
Write-downs on OREO and repossessions | 76 | 309 | 375 | 374 | 309 | 385 | 1,623 | |||||||||||||||
Losses (Gains) on OREO, repossessions and fixed assets, net | (15 | ) | 10 | 57 | (116 | ) | (153 | ) | (5 | ) | (294 | ) | ||||||||||
Non-performing asset expenses, net | 184 | 221 | 450 | 488 | 1,142 | 405 | 3,018 | |||||||||||||||
Data processing | 506 | 588 | 517 | 628 | 503 | 1,094 | 1,069 | |||||||||||||||
Communications | 147 | 150 | 172 | 141 | 142 | 297 | 270 | |||||||||||||||
Debit card fees | 232 | 258 | 181 | 207 | 201 | 490 | 419 | |||||||||||||||
Intangible asset amortization | 49 | 48 | 57 | 67 | 71 | 97 | 145 | |||||||||||||||
Printing and supplies | 150 | 207 | 121 | 213 | 176 | 357 | 314 | |||||||||||||||
Advertising | 135 | 134 | 65 | 89 | 59 | 269 | 156 | |||||||||||||||
Insurance | 303 | 325 | 251 | 523 | 946 | 628 | 1,351 | |||||||||||||||
Other | 787 | 634 | 491 | 546 | 422 | 1,421 | 1,006 | |||||||||||||||
Total Non-Interest Expense | $ | 10,101 | $ | 10,445 | $ | 10,150 | $ | 11,197 | $ | 12,578 | $ | 20,546 | $ | 26,414 | ||||||||
Asset Quality: | ||||||||||||||||||||||
Net (recoveries) charge-offs | $ | (470 | ) | $ | 228 | $ | (754 | ) | $ | (32 | ) | $ | 374 | $ | (242 | ) | $ | 1,352 | ||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | Year-to-Date | |||||||||||||||||
2014 | 2014 | 2013 | 2013 | 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||||
(in thousands, except per share amounts and full-time equivalent employees) | ||||||||||||||||||||||
Net loan (recoveries) charged-offs to average loans, annualized | (0.14 | )% | 0.15 | % | (0.55 | )% | (0.02 | )% | 0.27 | % | (0.08 | )% | 0.50 | % | ||||||||
Non-accrual loans | $ | 4,891 | $ | 6,027 | $ | 7,203 | $ | 6,803 | $ | 8,628 | $ | 4,891 | $ | 8,628 | ||||||||
Other real estate owned and repossessed assets, net | $ | 7,725 | $ | 7,075 | $ | 8,213 | $ | 8,678 | $ | 10,549 | $ | 7,725 | $ | 10,549 | ||||||||
Loans 90 days past due | $ | 1,083 | $ | 854 | $ | 928 | $ | 509 | $ | 332 | $ | 1,083 | $ | 332 | ||||||||
Non-performing assets (NPA) | $ | 13,699 | $ | 13,956 | $ | 16,344 | $ | 15,990 | $ | 19,509 | $ | 13,699 | $ | 19,509 | ||||||||
NPA to total assets | 1.35 | % | 1.42 | % | 1.67 | % | 1.58 | % | 1.83 | % | 1.35 | % | 1.83 | % | ||||||||
Non-performing loans (NPL) | $ | 5,974 | $ | 6,881 | $ | 8,131 | $ | 7,312 | $ | 8,960 | $ | 5,974 | $ | 8,960 | ||||||||
NPL to total loans | 0.91 | % | 1.14 | % | 1.39 | % | 1.37 | % | 1.65 | % | 0.91 | % | 1.65 | % | ||||||||
Allowance for loan and lease losses to total loans | 1.43 | % | 1.52 | % | 1.80 | % | 2.00 | % | 2.27 | % | 1.43 | % | 2.27 | % | ||||||||
Allowance for loan and lease losses to NPL | 157.35 | % | 133.70 | % | 129.14 | % | 146.33 | % | 137.28 | % | 157.35 | % | 137.28 | % | ||||||||
Period End Balances: | ||||||||||||||||||||||
Loans, excluding HFS | $ | 659,539 | $ | 604,859 | $ | 583,097 | $ | 534,627 | $ | 542,019 | $ | 659,539 | $ | 542,019 | ||||||||
Allowance for loan and lease losses | $ | 9,400 | $ | 9,200 | $ | 10,500 | $ | 10,700 | $ | 12,300 | $ | 9,400 | $ | 12,300 | ||||||||
Intangible assets | $ | 233 | $ | 282 | $ | 330 | $ | 388 | $ | 455 | $ | 233 | $ | 455 | ||||||||
Assets | $ | 1,012,685 | $ | 980,505 | $ | 977,574 | $ | 1,011,855 | $ | 1,066,649 | $ | 1,012,685 | $ | 1,066,649 | ||||||||
Total deposits | $ | 867,709 | $ | 841,832 | $ | 857,268 | $ | 909,848 | $ | 957,811 | $ | 867,709 | $ | 957,811 | ||||||||
Common stockholders' equity | $ | 86,566 | $ | 84,654 | $ | 83,649 | $ | 83,388 | $ | 86,654 | $ | 86,566 | $ | 86,654 | ||||||||
Total stockholders' equity | $ | 86,566 | $ | 84,654 | $ | 83,649 | $ | 83,388 | $ | 86,654 | $ | 86,566 | $ | 86,654 | ||||||||
Common stock market capitalization | $ | 144,594 | $ | 138,601 | $ | 153,187 | $ | 138,534 | $ | 135,469 | $ | 144,594 | $ | 135,469 | ||||||||
Full-time equivalent employees | 264 | 275 | 285 | 313 | 327 | 264 | 327 | |||||||||||||||
Common shares outstanding | 66,633 | 66,635 | 66,603 | 66,603 | 62,428 | 66,633 | 62,428 | |||||||||||||||
Average Balances: | ||||||||||||||||||||||
Loans, including HFS | $ | 673,175 | $ | 604,298 | $ | 550,749 | $ | 529,406 | $ | 547,499 | $ | 638,927 | $ | 550,010 | ||||||||
Intangible assets | $ | 265 | $ | 313 | $ | 363 | $ | 405 | $ | 476 | $ | 289 | $ | 537 | ||||||||
Earning assets | $ | 929,631 | $ | 890,514 | $ | 914,918 | $ | 927,755 | $ | 992,745 | $ | 910,180 | $ | 980,225 | ||||||||
Assets | $ | 1,006,143 | $ | 967,624 | $ | 993,447 | $ | 1,016,919 | $ | 1,070,895 | $ | 986,988 | $ | 1,062,181 | ||||||||
Deposits | $ | 841,725 | $ | 843,540 | $ | 885,970 | $ | 920,249 | $ | 958,808 | $ | 842,627 | $ | 981,841 | ||||||||
Common stockholders' equity | $ | 85,613 | $ | 84,340 | $ | 84,125 | $ | 79,382 | $ | 89,069 | $ | 84,979 | $ | 56,870 | ||||||||
Total stockholders' equity | $ | 85,613 | $ | 84,340 | $ | 84,125 | $ | 79,382 | $ | 92,658 | $ | 84,979 | $ | 56,870 | ||||||||
Common shares outstanding, basic - wtd | 65,731 | 65,726 | 66,603 | 62,600 | 55,174 | 65,728 | 28,542 | |||||||||||||||
Common shares outstanding, diluted - wtd | 65,737 | 65,726 | 66,603 | 62,600 | 55,176 | 65,732 | 28,565 | |||||||||||||||
1 Certain amounts were reclassified between non-interest income and non-interest expense to conform with the current presentation. | ||||||||||||||||||||||
2 Pure deposits are all transaction-based accounts, including non-interest bearing DDAs, interest bearing DDAs, money market accounts and savings accounts. | ||||||||||||||||||||||
3 Core deposits are Pure deposits plus customer certificates of deposits less than $100,000. | ||||||||||||||||||||||
4 Customer deposits excluded brokered deposits. | ||||||||||||||||||||||
First Security Group, Inc. and Subsidiary
Consolidated Financial Highlights
Non-GAAP Reconciliation Table
(unaudited)
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | Year-to-Date | |||||||||||||||||
2014 | 2014 | 2013 | 2013 | 2013 | June 30, 2014 | June 30, 2013 | ||||||||||||||||
(in thousands, except per share data) | ||||||||||||||||||||||
Total stockholders' equity | $ | 86,566 | $ | 84,654 | $ | 83,649 | $ | 83,388 | $ | 86,654 | $ | 86,566 | $ | 86,654 | ||||||||
Effect of preferred stock | — | — | — | — | — | — | (32,660 | ) | ||||||||||||||
Common stockholders' equity | $ | 86,566 | $ | 84,654 | $ | 83,649 | $ | 83,388 | $ | 86,654 | $ | 86,566 | $ | 53,994 | ||||||||
Average total stockholders' equity | $ | 85,613 | $ | 84,340 | $ | 84,125 | $ | 79,382 | $ | 92,658 | $ | 84,979 | $ | 56,870 | ||||||||
Effect of average preferred stock | — | — | — | — | (3,589 | ) | — | (36,175 | ) | |||||||||||||
Average common stockholders' equity | $ | 85,613 | $ | 84,340 | $ | 84,125 | $ | 79,382 | $ | 89,069 | $ | 84,979 | $ | 20,695 | ||||||||