1st Capital Bank Announces Second Quarter 2019 Financial Results Record First Half Earnings

SALINAS, CA / ACCESSWIRE / August 2, 2019 / 1st Capital Bank (OTC Pink:FISB) reported unaudited net income of $1.64 million for the three months ended June 30, 2019, compared to net income of $1.51 million for the three months ended June 30, 2018 and net income of $1.78 million for the three months ended March 31, 2019, the immediately preceding quarter. Earnings per share were $0.31 (diluted), compared to $0.34 (diluted) for the prior quarter.

For the three months ended June 30, 2019, the Bank’s return on average assets was 1.08%, compared to 1.15% for the three months ended March 31, 2019, and 1.03% for the three months ended June 30, 2018. Return on average equity was 10.47% for the three months ended June 30, 2019, compared to 11.95% for the three months ended March 31, 2019, and 11.25% for the three months ended June 30, 2018.

“Our continued focus on our low cost deposit base has enabled us to maintain a disciplined credit culture resulting in excellent asset quality and a strong level of risk-adjusted profitability and shareholder returns,” said Thomas E. Meyer, president and chief executive officer. “Our recent additions of experienced relationship managers who are being integrated into the Bank’s culture are now developing additional lending opportunities for the second half of 2019.”

Unaudited net income for the six-month period ended June 30, 2019 increased 24.2% to $3.41 million, compared to $2.75 million for the six-month period ended June 30, 2018. Pre-tax income increased 23.1%, to $4.65 million for the six-month period ended June 30, 2019 from $3.78 million for the six-month period ended June 30, 2018. Quarterly net income increased $128 thousand, or 8.5%, year-over-year, compared to net income of $1.51 million recognized in the second quarter of 2018, and decreased $138 thousand, or 7.8%, sequentially, compared to net income of $1.78 million recognized for the first quarter of 2019.

Net interest margin increased from 3.84% in the second quarter of 2018 to 4.04% in the second quarter of 2019, but decreased slightly from 4.10% in the first quarter of 2019. The Bank’s average net loans-to-deposits ratio was relatively unchanged at 84.8% in the second quarter of 2018, 83.9% in the first quarter of 2019, and 84.6% in the second quarter of 2019. Average gross loans outstanding increased $25 million, or 5.4%, year-over-year, from $460 million to $485 million, but decreased $3.2 million, or 0.6%, sequentially. Net interest income before provision for loan losses for the three-month period ended June 30, 2019 was $5.97 million, a sequential decrease of $210 thousand, or 3.4%, compared to $6.18 million recognized in the three-month period ended March 31, 2019. The Bank’s cost of funds increased to 0.21% for the second quarter of 2019, compared to 0.13% for the second quarter of 2018 and 0.20% for the first quarter of 2019. On a year-over-year basis, quarterly net interest income before provision for loan losses increased $470 thousand, or 8.6%, from $5.50 million recognized in the second quarter of 2018.

In the second quarter of 2019, the gross loan portfolio decreased $1.6 million, or 0.3%, from $483.3 million as of March 31, 2019 to $481.7 million as of June 30, 2019. Year over year, the gross loan portfolio increased $7.6 million, or 1.6%, from $474.1 million as of June 30, 2018. The second quarter decrease resulted primarily from a $2.5 million, or 5.9%, reduction in commercial and industrial loans from $42.1 million as of March 31, 2019 to $39.6 million as of June 30, 2019; which yielded 6.02% in the second quarter compared to 5.87% in the first quarter of 2019. The payoff of an adversely graded credit contributed to the decrease in commercial and industrial loans. Commercial real estate loans were essentially unchanged during the quarter at $257.3 million as of June 30, 2019, compared to $257.8 million as of March 31, 2019; and yielded 4.93% during the second quarter of 2019 compared to 4.91% during the first quarter of 2019. The single-family residential portfolio, which consists primarily of purchased loans, and to a lesser extent home equity lines of credit, increased $3.8 million, or 2.6%, from $148.4 million as of March 31, 2019 to $152.2 million as of June 30, 2019. The Bank’s single-family residential loan portfolio yielded 3.49% in the first quarter of 2019, and 3.44% in second quarter of 2019, due to the accelerated amortization of premiums on purchased mortgages due to early payoffs. The yield on the loan portfolio increased from 4.44% in the second quarter of 2018 to 4.72% in the first quarter of 2019, but decreased to 4.61% in the second quarter of 2019.

Non-interest income for the six-month period ended June 30, 2019 increased 2.4% to $1.00 million, compared to $978 thousand for the six-month period ended June 30, 2018. Quarterly non-interest income decreased $69 thousand, or 11.6%, year-over-year to $528 thousand, compared to non-interest income of $597 thousand recognized in the second quarter of 2018, and increased $54 thousand, or 11.4%, sequentially, compared to non-interest income of $474 thousand recognized for the first quarter of 2019.

Non-interest expenses for the six-month period ended June 30, 2019 increased 7.8% to $8.50 million, compared to $7.89 million for the six-month period ended June 30, 2018. Quarterly non-interest expenses increased $257 thousand, or 6.4%, year-over-year to $4.26 million, compared to non-interest expenses of $4.01 million recognized in the second quarter of 2018, and increased $23 thousand, or 0.5%, sequentially, compared to non-interest expenses of $4.24 million recognized for the first quarter of 2019.

NET INTEREST INCOME BEFORE PROVISION FOR CREDIT LOSSES

Net interest income before provision for credit losses was $5.97 million in the second quarter of 2019, an increase of $470 thousand, or 8.6%, compared to $5.50 million in the second quarter of 2018, and a decrease of $210 thousand, or 3.4% compared to $6.18 million in the first quarter of 2019.

Average earning assets were $592 million during the second quarter of 2019, a decrease of 3.1% compared to $611 million in the first quarter of 2019 and an increase of 3.0% compared to $575 million in the second quarter of 2018. The yield on earning assets was 4.23% in the second quarter of 2019, compared to 3.96% in the second quarter of 2018 and 4.28% in the first quarter of 2019. The decrease in asset yield from the first quarter was primarily due to a decrease in the yield on average loans outstanding, which was 4.44%, 4.72% and 4.61%, in the second quarter of 2018, the first quarter of 2019, and the second quarter of 2019, respectively. The average balance of loans outstanding decreased 0.6% from $488 million in the first quarter of 2019 to $485 million in the second quarter of 2019, but increased 5.4% from a $460 million average in the second quarter of 2018. The average balance of the investment portfolio remained relatively constant at $70.5 million in the second quarter of 2018, $69.6 million in the first quarter of 2019, and $70.0 million in the second quarter of 2019, as contemplated by the Bank’s business plan. The yield on the investment portfolio increased from 2.18% in the second quarter of 2018 to 2.66% in the first quarter of 2019, but decreased slightly to 2.62% in the second quarter of 2019. The average balances of other interest-earnings assets (exclusive of Federal Home Loan Bank stock) declined from $41 million in the second quarter of 2018 and $51 million in the first quarter of 2019, to $34 million in the second quarter of 2019, while their yield was 1.38%, 2.08%, and 1.93% for the respective quarters.

The cost of interest-bearing liabilities increased from 0.24% in the second quarter of 2018 to 0.38% in the first quarter of 2019, and to 0.40% in the second quarter of 2019, while the average balance of interest-bearing liabilities decreased from $292 million in the second quarter of 2018 to $287 million in the first quarter of 2019, and to $280 million in the second quarter of 2019. During the past twelve months, the Bank managed its leverage ratio, primarily with Promontory Interfinancial Network’s Insured Cash Sweep (“ICS”) program, which had off-balance sheet quarter-end balances of $98 million, $113 million, and $106 million as of June 30, 2018, March 31, 2019, and June 30, 2019, respectively. The balances reflect a significant liquidity event experienced by a Bank depositor in early 2018, as well as continued interest on the part of large depositors in the program. These funds may be moved back into the Bank’s deposit portfolio at the Bank’s discretion, and reciprocal deposits on the Bank’s balance sheet as of June 30, 2018, March 31, 2019, and June 30, 2019 totaled $32 million, $20 million, and $20 million, respectively. The average balance of noninterest-bearing demand deposit accounts increased from $242 million, or 45.3% of total deposits, in the second quarter of 2018 to $276 million, or 49.0% of total deposits, in the first quarter of 2019, and decreased to $262 million, or 48.3% of total deposits, in the second quarter of 2019, consistent with the normal seasonal pattern of the Bank’s deposits. The Bank’s overall cost of funds increased from 0.13% in the second quarter of 2018 to 0.20% in the first quarter of 2019 and 0.21% in the second quarter of 2019.

“We are pleased to report that we succeeded in maintaining our superior cost of funds despite competitive pressures to increase rates on deposits during the first half of 2019,” said Michael J. Winiarski, chief financial officer. “In the second quarter, we entered into facilities leases that will provide a physical lending presence in Santa Cruz County and a more visible branch presence in San Luis Obispo to support our ongoing geographic expansion and additional access to low-cost funding sources.”

PROVISION FOR CREDIT LOSSES

The provision for credit losses is a charge against current earnings in an amount determined by management to be necessary to maintain the allowance for loan losses at a level sufficient to absorb management’s estimate of probable incurred credit losses inherent in the loan portfolio as of the balance sheet date in light of losses historically incurred by the Bank and adjusted for qualitative factors associated with the loan portfolio.

For the six-month period ended June 30, 2019 the Bank recorded no provision for loan losses, compared to a provision of $20 thousand in the six-month period ended June 30, 2018. The Bank recorded no provisions for loan losses in the second quarter of 2019, none in the first quarter of 2019, and none in the second quarter of 2018.

Changes in the provision reflect declines in the levels of problem assets, offset by the growth of the portfolio, changes in the mix of loan types within the portfolio and their respective loss histories, as well as management’s assessment of the amounts expected to be realized from certain loans identified as impaired. Impaired loans totaled $240 thousand as of June 30, 2019, compared to $279 thousand as of March 31, 2019, and $3.8 million as of June 30, 2018.

As of June 30, 2019, as well as of March 31, 2019, there were no non-performing loans in the Bank’s loan portfolio, compared to 0.04% at June 30, 2018. As of June 30, 2019, the allowance for loan losses was 1.36% of outstanding loans, compared to 1.35% as of June 30, 2018 and 1.36% at March 31, 2019, respectively. The Bank recorded net recoveries of $12 thousand in the second quarter of 2019, compared to net recoveries of $13 thousand and $12 thousand in the second quarter of 2018 and the first quarter of 2019, respectively.

NON-INTEREST INCOME

Year-to-date non-interest income increased $24 thousand, or 2.4%, from $978 thousand in the six-month period ended June 30, 2018 to $1,002 thousand in the six-month period ended June 30, 2019. Non-interest income recognized in the second quarter of 2019 was $528 thousand, compared to $597 thousand in the second quarter of 2018, which included $65 thousand in gain on sale of Small Business Administration (“SBA”) guaranteed loans, and $474 thousand in the first quarter of 2019, which included gain on sale of loans of $8 thousand. This represents a decrease of $69 thousand, or 11.6%, compared to the second quarter of 2018, and an increase of $54 thousand, or 11.4%, compared to the first quarter of 2019.

Management has been actively seeking to increase non-interest income across a range of sources, including account analysis fees, lockbox service fees, and mortgage brokerage fees. On a year-to-date basis, the increase in non-interest income included a 10.6% increase in service charges on deposits, including lockbox and analysis fees, from $143 thousand to $158 thousand; an 11.9% increase in mortgage referral fees from $58 thousand to $64 thousand; and a 28.5% increase in other income, from $412 thousand to $530 thousand, primarily attributable to increased participation in the ICS program, for the six-month periods ended June 30, 2018 and 2019, respectively.

NON-INTEREST EXPENSES

Non-interest expenses increased $23 thousand, or 0.5%, to $4.26 million in the second quarter of 2019, compared to $4.24 million for the first quarter of 2019, and increased $257 thousand, or 6.4%, compared to $4.01 million recognized in the second quarter of 2018.

Salaries and benefits increased $26 thousand, or 1.0%, to $2.70 million for the second quarter of 2019, compared to $2.67 million for the first quarter of 2019, and increased $117 thousand, or 4.5%, compared to $2.58 million recognized in the second quarter of 2018. The increase reflects a 4.5% increase in headcount from 85 employees as of June 30, 2018 to 89 employees as of June 30, 2019, primarily for new relationship managers and SBA loan production professionals. The increase in headcount, together with annual salary increases effective April 1, 2019, drove a $216 thousand, or 11.6%, increase in base salaries from $1.87 million in the second quarter of 2018 to $2.08 million in the second quarter of 2019. Sequentially, base salaries increased $207 thousand, or 11.0%, from $1.88 million in the first quarter of 2019 to $2.08 million in the second quarter. Accruals for stock-based and cash incentive compensation for employees totaled $365 thousand in the second quarter of 2019, a decrease of $17 thousand, or 4.5%, compared to $382 thousand in the second quarter of 2018 and a decrease of $19 thousand, or 5.0%, compared to $384 thousand in the first quarter of 2019.

The efficiency ratio (non-interest expenses divided by the sum of net interest income before provision for loan losses and non-interest income) was 65.6% for the second quarter of 2019, compared to 65.7% for the second quarter of 2018 and 63.7% for the first quarter of 2019. Annualized non-interest expenses as a percent of average total assets were 2.72%, 2.74%, and 2.80% for the second quarter of 2018, the first quarter of 2019, and the second quarter of 2019, respectively.

PROVISION FOR INCOME TAXES

The Bank’s effective book tax rate was 26.7% in the second quarter of 2019, compared to 27.8% for the second quarter of 2018 and 26.4% for the first quarter of 2019.

About 1st Capital Bank

The Bank’s primary target markets are commercial enterprises, professionals, real estate investors, family business entities, and residents along the Central Coast Region of California. The Bank provides a wide range of credit products, including loans under various government programs such as those provided through the U.S. Small Business Administration (“SBA”) and the U.S. Department of Agriculture (“USDA”). A full suite of deposit accounts is also furnished, complemented by robust cash management services. The Bank operates full service branch offices in Monterey, Salinas, King City, and San Luis Obispo and a loan production office in Santa Cruz County. The Bank’s corporate offices are located at 150 Main Street, Suite 150, Salinas, California 93901. The Bank’s website is 1stCapital.bank. The main telephone number is 831.264.4000. The primary facsimile number is 831.264.4001.

Member FDIC | Equal Opportunity Lender | Equal Housing Lender | SBA Preferred Lender

Forward-Looking Statements

Certain of the statements contained herein that are not historical facts are “forward-looking statements” within the meaning of and subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may contain words or phrases including, but not limited, to: “believe,” “expect,” “anticipate,” “intend,” “estimate,” “target,” “plans,” “may increase,” “may fluctuate,” “may result in,” “are projected,” and variations of those words and similar expressions. All such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that might cause such a difference include, among other matters, changes in interest rates; economic conditions including inflation and real estate values in California and the Bank’s market areas; governmental regulation and legislation; credit quality; competition affecting the Bank’s businesses generally; the risk of natural disasters and future catastrophic events including terrorist related incidents and other factors beyond the Bank’s control; and other factors. The Bank does not undertake, and specifically disclaims any obligation, to update or revise any forward-looking statements, whether to reflect new information, future events, or otherwise, except as required by law.

This news release is available at the 1stCapital.bank internet site for no charge.

For further information, please contact:

Thomas E. Meyer
President and Chief Executive Officer
831.264.4057 office
Tom.Meyer@1stCapitalBank.com

Michael J. Winiarski
Chief Financial Officer
831.264.4014 office
Michael.Winiarski@1stCapitalBank.com

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands, except per share data)

June 30,

March 31,

December 31,

June 30,

Financial Condition Data1

2019

2018

Assets

Cash and due from banks

$
5,994

$
6,569

$
6,476

$
5,078

Funds held at the Federal Reserve Bank2

56,057

60,979

45,625

45,124

Time deposits at other financial institutions

–

996

Available-for-sale securities, at fair value

70,396

69,320

70,263

71,102

Loans receivable held for sale

–

1,000

Loans receivable held for investment:

Construction / land (including farmland)

18,014

20,189

21,353

16,866

Residential 1 to 4 units

144,336

139,765

150,677

140,124

Home equity lines of credit

7,920

8,676

8,008

6,655

Multifamily

53,561

54,586

53,181

56,101

Owner occupied commercial real estate

61,242

61,775

62,976

64,048

Investor commercial real estate

142,533

141,452

139,261

128,289

Commercial and industrial

39,603

42,098

38,745

45,051

Other loans

14,468

14,724

13,189

16,956

Total loans

481,677

483,265

487,390

474,090

Allowance for loan losses

(6,572)

(6,560)

(6,548)

(6,423)

Net loans

475,105

476,705

480,842

467,667

Premises and equipment, net

2,192

1,996

2,087

2,239

Bank owned life insurance

7,968

7,916

7,866

7,759

Investment in FHLB3 stock, at cost

3,501

3,163

Accrued interest receivable and other assets

9,577

7,780

5,965

5,512

Total assets

$
630,790

$
634,428

$
622,287

$
609,640

Liabilities and shareholders’ equity

Deposits:

Noninterest bearing demand deposits

$
270,939

$
268,195

$
281,695

$
247,247

Interest bearing checking accounts

36,721

35,832

33,144

31,693

Money market deposits

134,108

134,044

129,064

144,069

Savings deposits

100,049

110,877

99,340

117,155

Time deposits

19,694

18,953

17,254

12,717

Total deposits

561,511

567,901

560,497

552,881

Accrued interest payable and other liabilities

5,305

4,818

2,625

2,093

Shareholders’ equity

63,974

61,709

59,165

54,666

Total liabilities and shareholders’ equity

$
630,790

$
634,428

$
622,287

$
609,640

Shares outstanding

5,124,892

5,118,759

5,105,784

5,035,423

Nominal and tangible book value per share

$
12.48

$
12.06

$
11.59

$
10.86

Ratio of net loans to total deposits

84.61
%

83.94
%

85.79
%

84.59
%

1 = Loans receivable held for investment are presented according to definitions applicable to the regulatory Call Report.
2 = Includes cash letters in the process of collection settled through the Federal Reserve Bank.
3 = Federal Home Loan Bank
4 = Some items in prior periods have been reclassified to conform to the current presentation.

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands, except per share data)

Three Months Ended

June 30,

March 31,

December 31,

June 30,

Operating Results Data

2019

2018

Interest and dividend income

Loans

$
5,570

$
5,681

$
5,611

$
5,093

Investment securities

457

456

436

382

Federal Home Loan Bank stock

107

Other

166

259

236

143

Total interest and dividend income

6,252

6,452

6,390

5,672

Interest expense

Interest bearing checking

Money market deposits

140

129

134

Savings deposits

Time deposits

Total interest expense on deposits

282

272

260

172

Interest expense on borrowings

–

Total interest expense

282

272

260

172

Net interest income

5,970

6,180

6,130

5,500

Provision for loan losses

–

100

–

Net interest income after provision

for loan losses

5,970

6,180

6,030

5,500

Noninterest income

Service charges on deposits

BOLI dividend income

Gain on sale of loans

–

Other

394

339

351

407

Total noninterest income

528

474

541

597

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands, except per share data)

Three Months Ended

June 30,

March 31,

December 31,

June 30,

2019

2018

Noninterest expenses

Salaries and benefits

2,700

2,674

2,523

2,583

Occupancy

326

306

292

288

Data and item processing

284

215

193

197

Furniture and equipment

142

157

116

123

Professional services

108

130

119

132

Provision for unfunded loan

commitments

(8
)

(15
)

–

Other

711

773

633

683

Total noninterest expenses

4,263

4,240

3,886

4,006

Income before provision for income taxes

2,235

2,414

2,685

2,091

Provision for income taxes

597

638

745

581

Net income

$
1,638

$
1,776

$
1,940

$
1,510

Common Share Data1

Earnings per common share

Basic

$
0.32

$
0.35

$
0.38

$
0.30

Diluted

$
0.31

$
0.34

$
0.38

$
0.29

Weighted average common shares outstanding

Basic

5,120,053

5,110,382

5,081,260

5,028,336

Diluted

5,207,230

5,186,796

5,166,613

5,130,832

1 = Earnings per common share and weighted average common shares outstanding have been restated to reflect the effect of the 7% stock dividend to shareholders of record November 21, 2018 and paid December 14, 2018.

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands, except per share data)

Six Months Ended

June 30,

Operating Results Data

2019

2018

Interest and dividend income

Loans

$
11,251

$
9,862

Investment securities

913

749

Federal Home Loan Bank stock

115

110

Other

425

317

Total interest and dividend income

12,704

11,038

Interest expense

Interest bearing checking

Money market deposits

269

153

Savings deposits

176

144

Time deposits

103

Total interest expense in deposits

554

327

Interest expense on borrowings

–

Total interest expense

554

330

Net interest income

12,150

10,708

Provision for loan losses

–

Net interest income after provision for loan losses

12,150

10,688

Noninterest income

Service charges on deposits

158

143

BOLI dividend income

103

105

Gain on sale of loans

135

Other

733

595

Total noninterest income

1,002

978

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands, except per share data)

Six Months Ended

June 30,

2019

2018

Noninterest expenses

Salaries and benefits

5,374

5,064

Occupancy

632

578

Data and item processing

499

393

Furniture and equipment

299

249

Professional services

238

270

Provision for unfunded loan commitments

(23
)

(6
)

Other

1,484

1,340

Total noninterest expenses

8,503

7,888

Income before provision for income taxes

4,649

3,778

Provision for income taxes

1,235

1,029

Net income

$
3,414

$
2,749

Common Share Data1

Earnings per common share

Basic

$
0.67

$
0.55

Diluted

$
0.66

$
0.54

Weighted average common shares outstanding

Basic

5,115,245

5,023,951

Diluted

5,197,069

5,109,499

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands)

June 30,

March 31,

December 31,

June 30,

Asset Quality

2019

2018

Loans past due 90 days or more and accruing

interest

$
–

Nonaccrual restructured loans

–

Other nonaccrual loans

–

2,711 198

198

Other real estate owned

–

$
–

$
2,711

$
198

Allowance for loan losses to total loans

1.36
%

1.34
%

1.35
%

Allowance for loan losses to nonperforming loans

n/a

241.53
%

3,243.94
%

Nonaccrual loans to total loans

0.00
%

0.56
%

0.04
%

Nonperforming assets to total assets

0.00
%

0.44
%

0.03
%

Regulatory Capital and Ratios

Common equity tier 1 capital

$
63,446

$
61,585

$
59,565

$
55,240

Tier 1 regulatory capital

$
63,446

$
61,585

$
59,565

$
55,240

Total regulatory capital

$
69,077

$
67,209

$
65,177

$
60,673

Tier 1 leverage ratio

10.40
%

9.79
%

9.55
%

9.35
%

Common equity tier 1 risk based capital ratio

14.12
%

13.72
%

13.30
%

12.74
%

Tier 1 risk based capital ratio

14.12
%

13.72
%

13.30
%

12.74
%

Total risk based capital ratio

15.37
%

14.97
%

14.55
%

14.00
%

Three Months Ended

June 30,

March 31,

December 31,

June 30,

Selected Financial Ratios1

2019

2018

Return on average total assets

1.08
%

1.15
%

1.24
%

1.03
%

Return on average shareholders’ equity

10.47
%

11.95
%

13.33
%

11.25
%

Net interest margin

4.04
%

4.10
%

4.01
%

3.84
%

Net interest income to average total assets

3.92
%

3.99
%

3.91
%

3.74
%

Efficiency ratio

65.58
%

63.73
%

58.26
%

65.70
%

1 = All Selected Financial Ratios are annualized other than the Efficiency Ratio.

Three Months Ended

June 30,

March 31,

December 31,

June 30,

Selected Average Balances

2019

2018

Gross loans

$
484,676

$
487,838

$
484,041

$
459,931

Investment securities

70,033

69,553

69,778

70,500

Federal Home Loan Bank stock

3,415

3,163

Other interest earning assets

34,233

50,778

49,212

41,454

Total interest earning assets

$
592,357

$
611,332

$
606,194

$
575,048

Total assets

$
610,453

$
628,320

$
622,259

$
590,041

Interest bearing checking accounts

$
36,569

$
34,268

$
36,273

$
34,207

Money market deposits

125,529

127,764

124,924

124,057

Savings deposits

99,517

107,158

106,889

120,962

Time deposits

18,759

18,099

16,828

12,763

Total interest bearing deposits

280,374

287,289

284,914

291,989

Noninterest bearing demand deposits

262,225

275,956

276,866

241,852

Total deposits

$
542,599

$
563,245

$
561,780

$
533,841

Borrowings

$
–

Shareholders’ equity

$
62,740

$
60,286

$
57,751

$
53,844

1ST CAPITAL BANK
CONDENSED FINANCIAL DATA
(Unaudited)
(Dollars in thousands)

Six Months Ended

June 30,

Selected Financial Ratios

2019

2018

Return on average total assets

1.11
%

0.94
%

Return on average shareholders’ equity

11.19
%

10.39
%

Net interest margin

4.07
%

3.77
%

Net interest income to average total assets

3.96
%

3.68
%

Efficiency ratio

64.65
%

67.50
%

1 = All Selected Financial Ratios are annualized other than the Efficiency Ratio.

Six Months Ended

June 30,

Selected Average Balances

2019

2018

Gross loans

$
486,248

$
450,552

Investment securities

69,794

72,180

Federal Home Loan Bank stock

3,290

3,163

Other interest earning assets

42,460

47,082

Total interest earning assets

$
601,792

$
572,977

Total assets

$
619,337

$
587,558

Interest bearing checking accounts

$
35,425

$
34,934

Money market deposits

126,638

119,746

Savings deposits

103,316

120,644

Time deposits

18,431

12,654

Total interest bearing deposits

283,881

287,978

Noninterest bearing demand deposits

269,053

243,460

Total deposits

$
552,864

$
531,438

Borrowings

$
–

$
464

Shareholders’ equity

$
61,520

$
53,337

SOURCE: 1st Capital Bank

ReleaseID: 554488

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