Exhibit 99.1

 

 

Investor Contact Information:

Anthony V. Cosentino

Executive Vice President and

Chief Financial Officer

Tony.Cosentino@YourStateBank.com

 

SB Financial Group, Inc. Announces First-Quarter 2016 Results

 

Year-over-year earnings growth of 13% and loan growth of 13%

 

DEFIANCE, Ohio, April 21, 2016 -- SB Financial Group, Inc. (NASDAQ: SBFG) (“SB Financial” or the “Company”), a diversified financial services company providing full-service community banking, mortgage banking, wealth management, item and statement processing services, today reported earnings for the first quarter ended March 31, 2016.

 

First-quarter 2016 highlights over prior year first quarter include:

 

●

Diluted earnings per share (EPS) of $0.26, an increase of 13.0 percent

 

●

Net income of $1.7 million, an increase of 10.6 percent

 

●

Return on average assets of 0.87 percent, up from 0.84 percent

 

●

Loan growth from the prior year of $65.4 million, or 12.8 percent

 

●

Fully tax equivalent (FTE) revenue, up 4.5 percent

 

●

Net interest margin (FTE) of 3.75 percent, up 4 basis points

 

●

Mortgage origination volume of $71.9 million

 

●

Positive operating leverage for the Company; expenses up 3.8 percent

 

●

Loan growth from the linked quarter of $19.5 million, or 3.5 percent

 

Highlights		Three Months Ended
($000’s except ratios and share data)		Mar. 2016				Mar. 2015				% Change
Operating revenue (FTE)		$	9,636			$	9,221				4.5	%
Interest income (FTE)			6,912				6,268				10.3
Interest expense			715				643				11.2
Net interest income (FTE)			6,197				5,625				10.2
Noninterest income			3,439				3,596				(4.4	)
Noninterest expense			6,895				6,644				3.8
Net income			1,655				1,496				10.6
Net income available to common			1,411				1,271				11.0
Earnings per diluted share			0.26				0.23				13.0
Net interest margin (FTE)			3.75	%			3.71	%			1.1
Return on assets			0.87	%			0.84	%			3.6
Return on equity			8.03	%			7.82	%			2.7

 

“I am extremely pleased to report our strong operating results for the first quarter of 2016,” said Mark Klein, Chairman, President and CEO of SB Financial. “For the quarter, our EPS of $0.26 is up 13 percent compared to $0.23 from the prior year quarter. Further, we had $19 million of loan growth from the linked quarter, and from the prior year, we were up $65 million, or 13 percent.”

 

 

RESULTS OF OPERATIONS

 

Consolidated Revenue

 

Total operating revenue, consisting of net interest income (FTE) and noninterest income, was up 4.5 percent from the first quarter of 2015, but down 1.5 percent from the linked quarter.

 

●

Net interest income (FTE) was up 10.2 percent from the year-ago quarter, and up 2.1 percent over the linked quarter.

 

●

Net interest margin (FTE) was up 4 basis points from the year-ago quarter, but down 1 basis point from the linked quarter.

 

●

Noninterest income was down 4.4 percent from the year-ago quarter, and down 7.5 percent from the linked quarter.

 

Mortgage Loan Business

 

Mortgage loan originations for the first quarter of 2016 were $71.9 million, down $3.0 million, or 4.0 percent, from the year-ago quarter. Total sales of originated loans were $59.4 million, down $5.0 million, or 7.7 percent from the year-ago quarter.

 

Net mortgage banking income, consisting of gains on the sale of mortgage loans and net loan servicing fees, was $0.94 million for the first quarter of 2016, compared to $1.5 million for the year-ago quarter, or a 35.9 percent decline. The mortgage servicing valuation adjustment for the first-quarter 2016 was a negative $0.8 million, with the aggregate servicing valuation impairment ending the quarter at $1.1 million. The mortgage servicing portfolio at March 31, 2016, was $792.7 million, up $108.3 million, or 15.8 percent, from $684.4 million at March 31, 2015.

 

Mr. Klein noted, “The first quarter represented another quarter of solid mortgage production with a total of $72 million. This quarter, our new money production accounted for 88 percent of our volume, and our gain on sale was 2.3 percent. Our positive performance was offset by the 50 basis point decline in the 10-year Treasury, which resulted in a $800 thousand impairment to our servicing rights.”

 

Mortgage Banking ($000’s)
		Mar. 2016				Dec. 2015				Sep. 2015				Jun. 2015				Mar. 2015
Mortgage originations		$	71,941			$	67,149			$	86,965			$	93,605			$	74,955
Mortgage sales			59,383				56,302				70,081				79,806				64,360
Mortgage servicing portfolio			792,666				772,533				750,958				723,100				684,390
Mortgage servicing rights			6,608				7,152				6,798				6,548				5,860
Mortgage servicing revenue:
Loan servicing fees			491				476				459				438				420
OMSR amortization			(170	)			(157	)			(223	)			(219	)			(282	)
Net administrative fees			321				319				236				219				138
OMSR valuation adjustment			(767	)			64				(138	)			268				(80	)
Net loan servicing fees			(446	)			383				98				487				58
Gain on sale of mortgages			1,383				1,372				1,687				1,805				1,400
Mortgage banking revenue, net		$	937			$	1,755			$	1,785			$	2,292			$	1,458

 

 

Fee Income and Noninterest Expense

 

SB Financial’s fee income includes revenue from a diverse group of services, such as wealth management, deposit fees and from sales of small business loans (SBA). Wealth management assets managed for our 900 clients stood at $357.5 million as of March 31, 2016. For the first quarter of 2016, fee income as a percentage of total revenue was 36.0 percent. The servicing rights impairment negatively impacted the quarter by $0.7 million, compared to the prior year quarter. SBA loan sale gains were $0.4 million for the first quarter of 2016, up $0.2 million from the prior year.

 

For the first quarter of 2016, noninterest expense (NIE) was up $0.3 million, or 3.8 percent, compared to the same quarter last year. Total staffing levels were up 10.1 percent, due to our new branch locations and increased support in our compliance and mortgage divisions. Compared to the linked quarter, NIE was up $0.1 million, or 0.8 percent.

 

Mr. Klein stated, “Total fee income, while slightly down from the linked quarter due to the servicing rights impairment, still represented more than 36 percent of total revenue. We are especially pleased with our mortgage production, and with the growing traction from our SBA lending group, which increased loan-sale-gains by 93 percent on a year-over-year basis.”

 

Fee Income / Noninterest Expense ($000’s)
		Mar. 2016				Dec. 2015				Sep. 2015				Jun. 2015				Mar. 2015
Fee Income		$	3,439			$	3,716			$	3,952			$	4,443			$	3,596
Fee Income / Total Revenue			36.0	%			38.3	%			39.4	%			43.5	%			39.4	%
Fee Income / Average Assets			1.8	%			2.0	%			2.2	%			2.5	%			2.0	%
Noninterest Expense		$	6,895			$	6,839			$	6,626			$	6,818			$	6,644
Efficiency Ratio			72.2	%			70.2	%			65.6	%			66.3	%			72.2	%
NIE / Average Assets			3.6	%			3.7	%			3.7	%			3.8	%			3.7	%

 

Balance Sheet

 

Total assets as of March 31, 2016, were $774.8 million, up $57.3 million, or 8.0 percent, from a year ago. Total equity as of March 31, 2016, was $83.1 million, up 7.7 percent, from a year ago, and was at 10.7 percent of total assets.

 

Total loans held for investment were $577.1 million at March 31, 2016, up $65.4 million, or 12.8 percent, from March 31, 2015. Commercial real estate loans accounted for the majority of growth, up $38.9 million, or 17.9 percent. Residential real estate and commercial loans also rose $17.9 million and $7.1 million, or 15.6 percent and 8.3 percent, respectively.

 

The investment portfolio, including Federal Reserve Bank and Federal Home Loan Bank stock, of $101.7 million represented 13.1 percent of assets at March 31, 2016, and was up 4.0 percent from the year ago period. Deposit balances of $638.0 million at March 31, 2016, increased by $59.7 million, or 10.3 percent, since March 31, 2015. Growth from the prior year included $20.7 million in checking and $39.0 million in savings and time deposit balances.

 

 

Mr. Klein said, “Loan volume accelerated during the first quarter, and represented balance growth from the linked quarter of $19.5 million, or 14 percent annualized. The quarter followed the equally strong fourth quarter of 2015, which had $16.8 million of loan growth. Nonperforming assets were flat from the linked quarter, but up compared to the prior year, as we continue to manage one large commercial real estate credit.”

 

Loan Portfolio ($000’s)		Mar. 2016				Dec. 2015				Sep. 2015				Jun. 2015				Mar. 2015				Variance YOY
Commercial		$	92,086			$	86,586			$	83,741			$	84,297			$	85,022			$	7,064
% of Total			16.0	%			15.5	%			15.5	%			16.0	%			16.6	%			8.3	%
Commercial RE			256,461				242,208				231,249				223,994				217,610				38,851
% of Total			44.4	%			43.4	%			42.8	%			42.9	%			42.5	%			17.9	%
Agriculture			42,467				43,835				46,102				45,724				44,266				(1,799	)
% of Total			7.4	%			7.9	%			8.5	%			8.8	%			8.7	%			(4.1	%)
Residential RE			132,627				130,806				126,840				116,944				114,702				17,925
% of Total			23.0	%			23.5	%			23.5	%			22.4	%			22.4	%			15.6	%
Consumer & Other			53,493				54,224				52,957				51,444				50,184				3,309
% of Total			9.3	%			9.7	%			9.7	%			9.9	%			9.8	%			6.6	%
Total Loans		$	577,134			$	557,659			$	540,889			$	522,403			$	511,784			$	65,350
Total Growth Percentage																							12.8	%

 

Deposit Bal. ($000’s)		Mar. 2016				Dec. 2015				Sep. 2015				Jun. 2015				Mar. 2015				Variance YOY
Non-Int DDA		$	112,209			$	113,113			$	102,460			$	96,322			$	96,638			$	15,571
% of Total			17.6	%			19.3	%			17.9	%			17.1	%			16.7	%			16.1	%
Interest DDA			138,235				126,443				126,816				127,362				133,145				5,090
% of Total			21.7	%			21.6	%			22.1	%			22.6	%			23.0	%			3.8	%
Savings			86,038				83,447				77,809				78,729				75,445				10,593
% of Total			13.5	%			14.2	%			13.6	%			14.0	%			13.1	%			14.0	%
Money Market			120,672				104,412				107,538				100,315				106,325				14,347
% of Total			18.9	%			17.8	%			18.7	%			17.8	%			18.4	%			13.5	%
Certificates			180,874				159,038				158,945				160,198				166,730				14,144
% of Total			28.4	%			27.1	%			27.7	%			28.5	%			28.8	%			8.5	%
Total Deposits		$	638,028			$	586,453			$	573,568			$	562,926			$	578,283			$	59,745
Total Growth Percentage																							10.3	%

 

Asset Quality

 

SB Financial continues to maintain above peer median asset quality, reporting nonperforming assets of $8.5 million as of March 31, 2016, up $2.3 million, or 37.1 percent, from the year-ago quarter, but slightly down from the linked quarter. The increase from the prior year was the result of an existing delinquent commercial real estate credit that has moved to foreclosure. The Company feels the valuation of the property will approximate the loan commitment when the situation is resolved. SB Financial’s 1.1 percent of nonperforming assets to total assets remains near the top quartile in its 65-bank peer group. The coverage of problem loans by the loan loss allowance was 89.3 percent at March 31, 2016, down from the 114.3 percent at March 31, 2015.

 

 

Summary of Nonperforming Assets ($000’s)
Nonperforming Category		Mar. 2016				Dec. 2015				Sep. 2015				Jun. 2015				Mar. 2015				Variance YOY
Commercial & Agriculture		$	164			$	196			$	453			$	702			$	1,413			$	(1,249	)
% of Total Com. & Ag. loans			0.12	%			0.15	%			0.35	%			0.54	%			1.09	%			(88.4	%)
Commercial RE			5,218				5,670				5,393				2,023				1,932				3,286
% of Total CRE loans			2.03	%			2.34	%			2.33	%			0.90	%			0.89	%			170.1	%
Residential RE			1,156				749				795				772				967				189
% of Total Res. RE loans			0.87	%			0.57	%			0.63	%			0.66	%			0.84	%			19.5	%
Consumer & Other			46				32				101				112				138				(92	)
% of Total Cons. & Oth. loans			0.09	%			0.06	%			0.20	%			0.22	%			0.28	%			(66.7	%)
Total Nonaccruing Loans			6,584				6,646				6,742				3,609				4,450				2,134
% of Total Loans			1.14	%			1.19	%			1.25	%			0.69	%			0.87	%			48.0	%
Accruing Restructured Loans			1,482				1,500				1,576				1,595				1,524
Total Nonaccruing & Restructured Loans		$	8,066			$	8,146			$	8,318			$	5,204			$	5,974			$	2,092
% of Total Loans			1.40	%			1.46	%			1.54	%			1.00	%			1.17	%			35.0	%
Foreclosed Assets			406				286				188				180				207
Total Nonperforming Assets		$	8,472			$	8,432			$	8,506			$	5,384			$	6,181			$	2,291
% of Total Assets			1.09	%			1.15	%			1.18	%			0.76	%			0.86	%			37.1	%

 

Webcast and Conference Call

 

The Company will hold a related conference call and webcast on April 22, 2016, at 11:00 a.m. EDT. Interested parties may access the conference call by dialing 1-888-338-9469. The webcast can be accessed at http://www.yoursbfinancial.com/investorrelations.html. An audio replay of the call will be available on the SB Financial website.

 

About SB Financial Group

 

Headquartered in Defiance, Ohio, SB Financial is a diversified financial services holding company with two operating subsidiaries: State Bank and DCM. State Bank provides a full range of financial services for consumers and small businesses, including wealth management, mortgage banking and commercial and agricultural lending, operating through a total of 19 banking centers; 18 in nine Ohio counties and one center in Fort Wayne, Indiana, and 22 full-service ATMs. The Company has four loan production offices located throughout the Tri-State region of Ohio, Indiana and Michigan. DCM provides item processing services to community banks located primarily in the Midwest. SB Financial’s common stock is listed on the NASDAQ Capital Market under the symbol “SBFG”.  SB Financial’s preferred stock is listed on the NASDAQ Capital Market under the symbol “SBFGP”.  

 

In May 2015, SB Financial was ranked #163 on the American Banker Magazine’s list of Top 200 Publicly Traded Community Banks and Thrifts based on three-year average return on equity (“ROE”).

 

 

Forward-Looking Statements

 

Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which SB Financial and its subsidiaries operate, changes in policies by regulatory agencies, changes in accounting standards and policies, changes in tax laws, fluctuations in interest rates, demand for loans in the market areas in SB Financial and its subsidiaries operate, increases in FDIC insurance premiums, changes in the competitive environment, losses of significant customers, geopolitical events, the loss of key personnel and other risks identified in SB Financial’s Annual Report on Form 10-K and documents subsequently filed by SB Financial with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made, and SB Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made, except as required by law. All subsequent written and oral forward-looking statements attributable to SB Financial or any person acting on its behalf are qualified by these cautionary statements.

 

Non-GAAP Financial Measures

 

In addition to results presented in accordance with GAAP, this release contains certain non-GAAP financial measures. Management believes that providing certain non-GAAP financial measures provides investors with information useful in understanding the Company’s financial performance, its performance trends and financial position. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results.

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED BALANCE SHEETS - (Unaudited)

 

		March				December				September				June				March
($ in Thousands)		2016				2015				2015				2015				2015
ASSETS
Cash and due from banks		$	35,529				20,459				18,372				21,709				49,765
Securities available for sale, at fair value			97,990				89,789				95,482				98,786				94,056
Other securities - FRB and FHLB Stock			3,748				3,748				3,748				3,748				3,748
Total investment securities			101,738				93,537				99,230				102,534				97,804
Loans held for sale			6,890				7,516				8,517				10,067				8,667
Loans, net of unearned income			577,134				557,659				540,889				522,403				511,784
Allowance for loan losses			(7,205	)			(6,990	)			(7,076	)			(7,006	)			(6,830	)
Net loans			569,929				550,669				533,813				515,397				504,954
Premises, equipment and software, net			18,994				19,010				17,619				16,432				15,407
Cash surrender value of life insurance			13,509				13,437				13,364				13,291				13,219
Goodwill & other intangibles			16,432				16,435				16,473				16,527				16,582
Foreclosed assets held for sale, net			406				286				188				180				207
Mortgage servicing rights			6,608				7,152				6,798				6,548				5,860
Accrued interest receivable			1,489				1,260				1,817				1,506				1,554
Other assets			3,296				3,310				3,046				3,017				3,536
Total assets		$	774,820				733,071				719,237				707,208				717,555
LIABILITIES AND EQUITY
Deposits
Non interest bearing demand		$	112,209				113,113				102,460				96,322				96,638
Interest bearing demand			138,235				126,443				126,816				127,362				133,145
Savings			86,038				83,447				77,809				78,729				75,445
Money market			120,672				104,412				107,538				100,315				106,325
Time deposits			180,874				159,038				158,945				160,198				166,730
Total deposits			638,028				586,453				573,568				562,926				578,283
Advances from Federal Home Loan Bank			21,000				35,000				30,000				34,000				30,000
Repurchase agreements			14,524				12,406				16,911				15,169				14,648
Trust preferred securities			10,310				10,310				10,310				10,310				10,310
Accrued interest payable			343				264				341				289				334
Other liabilities			7,564				7,397				7,782				6,391				6,880
Total liabilities			691,769				651,830				638,912				629,085				640,455
Equity
Preferred stock			13,983				13,983				13,983				13,983				13,983
Common stock			12,569				12,569				12,569				12,569				12,569
Additional paid-in capital			15,365				15,438				15,444				15,424				15,413
Retained earnings			41,199				40,059				38,705				36,930				35,429
Accumulated other comprehensive income			1,296				650				1,157				750				1,264
Treasury stock			(1,361	)			(1,458	)			(1,533	)			(1,533	)			(1,558	)
Total equity			83,051				81,241				80,325				78,123				77,100
Total liabilities and equity		$	774,820				733,071				719,237				707,208				717,555

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED STATEMENTS OF INCOME - (Unaudited)

 

($ in thousands - except share data)		At and for the Three Months Ended
		March				December				September				June				March
Interest income		2016				2015				2015				2015				2015
Loans
Taxable		$	6,260				6,086				6,152				5,835				5,619
Nontaxable			9				10				10				9				6
Securities
Taxable			402				357				382				395				372
Nontaxable			156				169				173				175				177
Total interest income			6,827				6,622				6,717				6,414				6,174
Interest expense
Deposits			545				492				492				500				495
Repurchase Agreements & Other			5				3				5				4				5
Federal Home Loan Bank advances			106				95				94				94				92
Trust preferred securities			59				56				53				53				51
Total interest expense			715				646				644				651				643
Net interest income			6,112				5,976				6,073				5,763				5,531
Provision for loan losses			250				150				100				500				350
Net interest income after provision for loan losses			5,862				5,826				5,973				5,263				5,181
Noninterest income
Wealth Management Fees			633				645				636				666				659
Customer service fees			680				711				734				702				632
Gain on sale of mtg. loans & OMSR's			1,383				1,372				1,687				1,805				1,400
Mortgage loan servicing fees, net			(446	)			383				98				486				58
Gain on sale of non-mortgage loans			449				75				296				288				288
Data service fees			277				273				294				306				317
Net gain on sales of securities			111				-				-				-				-
Gain/(loss) on sale/disposal of assets			22				38				-				(1	)			(19	)
Other income			330				219				207				191				261
Total non-interest income			3,439				3,716				3,952				4,443				3,596
Noninterest expense
Salaries and employee benefits			3,779				3,855				3,650				3,935				3,477
Net occupancy expense			565				479				481				480				503
Equipment expense			595				566				568				524				565
Data processing fees			305				264				286				247				263
Professional fees			316				381				416				426				440
Marketing expense			171				157				146				142				149
Telephone and communication			99				103				96				98				90
Postage and delivery expense			197				168				198				201				234
State, local and other taxes			99				130				130				128				129
Employee expense			118				126				126				138				153
Intangible amortization expense			3				37				54				55				54
Other expenses			648				573				475				444				587
Total non-interest expense			6,895				6,839				6,626				6,818				6,644
Income before income tax expense			2,406				2,703				3,299				2,888				2,133
Income tax expense			751				835				1,035				897				637
Net income		$	1,655				1,868				2,264				1,991				1,496
Preferred Stock Dividends			244				244				244				244				225
Net income available to common shares			1,411				1,624				2,020				1,747				1,271
Common share data:
Basic earnings per common share		$	0.29				0.33				0.41				0.36				0.26
Diluted earnings per common share		$	0.26				0.29				0.35				0.31				0.23
Average shares outstanding ($ in thousands):
Basic:			4,896				4,890				4,884				4,884				4,879
Diluted:			6,401				6,396				6,390				6,382				6,379

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED FINANCIAL HIGHLIGHTS - (Unaudited)

 

($ in thousands, except per share data)		At and for the Three Months Ended
		March				December				September				June				March
SUMMARY OF OPERATIONS		2016				2015				2015				2015				2015
Net interest income		$	6,112				5,976				6,073				5,763				5,531
Tax-equivalent adjustment		$	85				92				94				95				94
Tax-equivalent net interest income		$	6,197				6,068				6,167				5,858				5,625
Provision for loan loss		$	250				150				100				500				350
Noninterest income		$	3,439				3,716				3,952				4,443				3,596
Total revenue, tax-equivalent		$	9,636				9,784				10,119				10,301				9,221
Noninterest expense		$	6,895				6,839				6,626				6,818				6,644
Pre-tax pre-provision income		$	2,656				2,853				3,399				3,388				2,483
Pretax income		$	2,406				2,703				3,299				2,888				2,133
Net income		$	1,655				1,868				2,264				1,991				1,496
Income available to common shareholders		$	1,411				1,624				2,020				1,747				1,271
PER SHARE INFORMATION:
Basic earnings per share		$	0.29				0.33				0.41				0.36				0.26
Diluted earnings per share		$	0.26				0.29				0.35				0.31				0.23
Common dividends		$	0.055				0.055				0.050				0.050				0.045
Book value per common share		$	13.08				12.81				12.68				12.33				12.18
Tangible book value per common share		$	10.74				10.39				10.21				9.75				9.53
Market price per common share		$	10.31				11.14				10.27				10.59				10.55
Market price per preferred share		$	11.19				12.65				13.00				11.75				11.90
PERFORMANCE RATIOS:
Return on average assets (ROAA)			0.87	%			1.02	%			1.26	%			1.11	%			0.84	%
Pre-tax pre-provision ROAA			1.40	%			1.56	%			1.89	%			1.89	%			1.40	%
Return on average equity			8.03	%			9.23	%			11.42	%			10.26	%			7.82	%
Return on average tangible equity			12.74	%			14.80	%			18.55	%			16.90	%			13.03	%
Efficiency ratio			72.16	%			70.18	%			65.56	%			66.26	%			72.20	%
Earning asset yield			4.18	%			4.17	%			4.27	%			4.18	%			4.14	%
Cost of interest bearing liabilities			0.51	%			0.49	%			0.49	%			0.49	%			0.49	%
Net interest margin			3.69	%			3.71	%			3.81	%			3.70	%			3.64	%
Tax equivalent effect			0.06	%			0.05	%			0.06	%			0.06	%			0.07	%
Net interest margin, tax equivalent			3.75	%			3.76	%			3.87	%			3.76	%			3.71	%
Non interest income/Average assets			1.81	%			2.03	%			2.20	%			2.48	%			2.02	%
Non interest expense/Average assets			3.62	%			3.74	%			3.69	%			3.81	%			3.74	%
Net noninterest expense/Average assets			1.82	%			1.71	%			1.49	%			1.33	%			1.71	%
ASSET QUALITY RATIOS:
Gross charge-offs		$	94				241				58				350				303
Recoveries		$	59				5				29				26				11
Net charge-offs		$	35				236				29				324				292
Nonaccruing loans/ Total loans			1.14	%			1.19	%			1.25	%			0.69	%			0.87	%
Nonperforming loans/ Total loans			1.40	%			1.46	%			1.54	%			1.00	%			1.17	%
Nonperforming assets/ Loans & OREO			1.47	%			1.51	%			1.57	%			1.03	%			1.21	%
Nonperforming assets/ Total assets			1.09	%			1.15	%			1.18	%			0.76	%			0.86	%
Allowance for loan loss/ Nonperforming loans			89.33	%			85.81	%			85.07	%			134.63	%			114.33	%
Allowance for loan loss/ Total loans			1.25	%			1.25	%			1.31	%			1.34	%			1.33	%
Net loan charge-offs/ Average loans (ann.)			0.02	%			0.17	%			0.02	%			0.25	%			0.23	%
Loan loss provision/ Net charge-offs			714.29	%			63.56	%			344.83	%			154.32	%			119.86	%
CAPITAL & LIQUIDITY RATIOS:
Loans/ Deposits			90.46	%			95.09	%			94.30	%			92.80	%			88.50	%
Equity/ Assets			10.72	%			11.08	%			11.17	%			11.05	%			10.74	%
Tangible equity/ Tangible assets			6.94	%			7.09	%			7.10	%			6.89	%			6.64	%
Tangible equity adjusted for conversion			8.78	%			9.04	%			9.09	%			8.92	%			8.63	%
END OF PERIOD BALANCES
Total loans		$	577,134				557,659				540,889				522,403				511,784
Total assets		$	774,820				733,071				719,237				707,208				717,555
Deposits		$	638,028				586,453				573,568				562,926				578,283
Stockholders equity		$	83,051				81,241				80,325				78,123				77,100
Goodwill & intangibles		$	16,432				16,435				16,473				16,527				16,582
Preferred equity		$	13,983				13,983				13,983				13,983				13,983
Tangible equity		$	52,636				50,823				49,869				47,613				46,535
Mortgage servicing portfolio		$	792,666				772,533				750,958				723,100				684,390
Wealth/Brokerage assets under care		$	357,531				353,488				347,136				361,310				367,272
Total assets under care		$	1,925,017				1,859,092				1,817,331				1,791,618				1,769,217
Full-time equivalent employees			218				214				209				207				198
Period end basic shares outstanding			4,899				4,891				4,884				4,884				4,881
Period end outstanding (Series A Converted)			1,452				1,451				1,451				1,451				1,451
AVERAGE BALANCES
Total loans		$	568,925				549,877				538,646				521,477				516,004
Total earning assets		$	661,891				644,783				638,266				622,643				605,956
Total assets		$	761,143				731,198				718,591				716,736				711,100
Deposits		$	616,124				585,922				572,801				576,250				568,885
Stockholders equity		$	82,378				80,911				79,301				77,649				76,534
Intangibles		$	16,434				16,450				16,500				16,555				16,609
Preferred equity		$	13,983				13,983				13,983				13,983				13,983
Tangible equity		$	51,961				50,478				48,818				47,111				45,942
Average basic shares outstanding			4,896				4,890				4,884				4,884				4,879
Average diluted shares outstanding			6,401				6,396				6,390				6,382				6,379

 

 

SB FINANCIAL GROUP, INC.

Rate Volume Analysis - (Unaudited)

At and for the Three Months Ended March 31, 2016 and 2015

 

($ in Thousands)		Three Months Ended March 31, 2016												Three Months Ended March 31, 2015
		Average								Average				Average								Average
		Balance				Interest				Rate				Balance				Interest				Rate
Assets
Taxable securities		$	76,617				402				2.10	%		$	71,884				372				2.07	%
Nontaxable securities			16,349				236				5.78	%			18,068				268				5.94	%
Loans, net			568,925				6,274				4.41	%			516,004				5,628				4.36	%
Total earning assets			661,891				6,912				4.18	%			605,956				6,268				4.14	%
Cash and due from banks			43,297												53,781
Allowance for loan losses			(7,120	)											(6,845	)
Premises and equipment			19,407												14,399
Other assets			43,668												43,809
Total assets		$	761,143											$	711,100
Liabilities
Savings and interest bearing demand		$	336,864				113				0.13	%		$	308,023				77				0.10	%
Time deposits			167,296				432				1.03	%			163,903				418				1.02	%
Repurchase agreements & Other			16,519				5				0.12	%			16,644				5				0.12	%
Advances from Federal Home Loan Bank			27,049				106				1.57	%			30,000				92				1.23	%
Trust preferred securities			10,310				59				2.29	%			10,310				51				1.98	%
Total interest bearing liabilities			558,038				715				0.51	%			528,880				643				0.49	%
Non interest bearing demand			111,964												96,959
Total funding			670,002								0.43	%			625,839								0.41	%
Other liabilities			8,763												8,727
Total liabilities			678,765												634,566
Equity			82,378												76,534
Total liabilities and equity		$	761,143											$	711,100
Net interest income (tax equivalent basis)						$	6,197											$	5,625
Net interest income as a percent of average interest-earning assets											3.75	%											3.71	%

 

 

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