LOS ANGELES, CA / ACCESSWIRE / January 27, 2020 / Three months ago, Los Angeles based artist, georgiaxx, released her debut single, Svnteen. The song feels like an electro pop dream with its fusion of multilayered sounds that tread between grooviness and chillness. Each rhythm is filled with sadness and vulnerability that express clearly to the listener what the song is about.

(Photo by Tommy Yanez)

georgiaxx met co-writer and producer Cameron Nadler at a show in the months following her move to Los Angeles. The two started working together and wrote Svnteen in a session that started with a chord progression and melodic idea in Logic, (georgiaxx's daw of choice), and evolved into the sonically rich production that it is today.

Recently, georgiaxx dropped the visuals for her debut single Svnteen, and they will leave you speechless. Her music video will bring you back to the first time you fell in love with its array of artistic visuals and sensual beats.

Filmed at a warehouse in downtown Los Angeles, this Garrett Brockschmitt and Charles Schaefer-directed video is visually stunning. Conceptually, the video uses a bold visual palette to trigger a visceral reaction from the audience. A single figure silhouetted against a dramatic red hue cues the opening of the video. As the song progresses, a silvery purple and blue atmosphere is introduced. By the end of the track, the video cuts between the two juxtaposed scenes. The dramatic contrasts in light and color reinforce the underlying message of the song.

Svnteen is a coming of age anthem about the exhilaration of falling in love and its aftermath. Metaphorically, the chorus "nicotine at seventeen" refers to the allure for something or someone that isn't always in your best interest and the process of learning to live without the crutch of "nicotine" and being comfortable with yourself.

georgiaxx has introduced herself and what's to come with visually stunning MV: she belongs in the spotlight. Just like her newest single Svnteen, you need to get ready for an emotional vulnerability we can all relate to.

georgiaxx is an artist, songwriter, and singer currently based in Los Angeles, California. The quad-lingual artist received her formal training at NYU, the New School, and the University of Pittsburgh. She speaks Spanish, Italian, and Portuguese.

Some venues that she has performed at include Fat Baby, M5 showroom, and Lovecraft bar in NYC, Mr. Smalls Showroom, Tiki Lounge and Club Diesel (now Foxtail) in Pittsburgh, as well as the The Republic of Pie in Los Angeles.

Her song Svnteen is now available for streaming on Spotify, Amazon Music, and Apple.

Connect with georgiaxx (Phone:(412) 995-8506)  on Facebook, Twitter, and Instagram @georgiaxxmusic or contact via email hellogeorgiaxxmusic.com

SOURCE: georgiaxx 

ReleaseID: 574106

Business consultant Jeff Nock outlines the importance of employing a so-called scorecard, or balanced scorecard, in business.

IOWA CITY, IA / ACCESSWIRE / January 27, 2020 / A business scorecard, balanced scorecard, or simply a scorecard is, in business, vital, according to marketing and product development specialist Jeff Nock from Iowa City, Iowa. An experienced executive and business consultant with a demonstrated history of growing startups, nonprofits, and established companies alike, Nock explains more about the process.

"A strategy performance management tool, a business scorecard, balanced scorecard, or simply a scorecard is a semi-standard structured report," explains Jeff Nock, "that can be used to keep track of essential or otherwise important activities within a company or other organization."

So-called business scorecards can be used, he says, by company owners and managers to monitor the execution of important activities by their staff. "The same semi-standard structured reporting process," adds the Iowa-City based expert, "can then be used to determine the consequences of these activities or other actions."

The term balanced scorecard, according to Jeff Nock, stems from the fact that the reporting process can be used-by a company owner, business manager, management team, or other executives-to assess either strategy implementation management or operational management in equal measure.

This, says business consultant Jeff Nock, is demonstrated in 2GC Active Management's annual Balanced Scorecard Usage Survey. "Last year's survey found that approximately half of respondents reported using business scorecards for strategy implementation management," Nock reveals, "while half reported using them for operational management."

Founded in 1999 and headquartered in Berkshire, England, 2GC Active Management's mission, they say, is to understand and solve strategic and operational performance management issues for public, non-profit, private, and NGO sector organizations.

"Interestingly, their most recent survey also reported a number of individuals using a business scorecard to track personal performance," reveals Nock, "although only 15 percent of respondents were found to use business scorecards or balanced scorecards in this way."

Around twice as many, however, did report using corporate business scorecard elements to inform so-called personal goal setting and incentive calculations, the survey points out, according to the expert.

Iowa City-based business consultant Jeff Nock says that the critical characteristics that define a business or balanced scorecard are threefold, and include, first and foremost, a focus on the strategic agenda of the company or organization concerned.

"Elsewhere, the two other critical characteristics that define a business scorecard are," he adds, wrapping up, "the selection of a limited number of data items to monitor, and a mix of both financial and non-financial data items, in that order."

CONTACT:

Caroline Hunter
Web Presence, LLC
+1 7862338220

SOURCE: Web Presence, LLC

ReleaseID: 574262

VANCOUVER, BC / ACCESSWIRE / January 27, 2020 / First Mining Gold Corp. ("First Mining" or the "Company") (TSX:FF) (OTCQX:FFMGF) (FRANKFURT:FMG) is pleased to announce that it has entered into a binding term sheet with Auteco Minerals Ltd ("Auteco") (ASX: AUT) whereby Auteco may earn up to an 80% interest in First Mining's Pickle Crow Gold Project ("Pickle Crow" or the "Project") located in Ontario, Canada. Auteco can earn a full 80% interest in the Project by incurring a total of $10 million in exploration expenditures over five years, making cash payments to First Mining totaling $4.1 million, and issuing 125 million shares of Auteco to First Mining. First Mining will also retain a 2% Net Smelter Return ("NSR") Royalty, 1% of which can be bought back for US$2.5 million. Further details are set out under "Earn-in Details".

Transaction Highlights

Partners First Mining with a highly skilled management team with a track record of discovery success.

Auteco's management team is comprised of a number of the key individuals that advanced Bellevue Gold Ltd ("Bellevue") (ASX: BGL). Bellevue has had strong market success on the back of advancing the historic Bellevue Gold Mine in Western Australia, where they acquired a past-producing, high-grade gold project and defined a JORC compliant Inferred gold resource of 1.8 million ounces at 11.1 g/t gold in less than 18 months.

Pickle Crow to benefit from modern exploration techniques and a new geological review.
First Mining to retain meaningful exposure to the potential upside at Pickle Crow through project interest, equity exposure to Auteco, and a 2% NSR royalty.

Dan Wilton, CEO of First Mining, stated "We are excited to be partnering with such an accomplished group to advance Pickle Crow. Auteco has a strong technical team with a track record of generating value through exploration success. Their team is backed by the same key individuals involved with Bellevue who had recent success in revitalizing a past-producing district, and the project similarities are why we believe Auteco is one of the best positioned teams to advance and unlock the potential at Pickle Crow. This agreement also demonstrates the value in First Mining's broader asset portfolio. This agreement allows the Company and our shareholders to retain an interest in Pickle Crow's advancement as the Auteco team work to define the project potential through drilling and exploration, while First Mining's near-term focus remains on advancing our Springpole and Goldlund gold projects. We look forward to working with our new partners at Auteco, and believe this partnership delivers the intellectual and financial capital needed to surface value at the Pickle Lake gold camp, one of Canada's historic high-grade mining camps."

Ray Shorrocks, Auteco's Executive Chairman, commented "I was recently fortunate enough to have been involved in one of Australia's modern day high-grade gold discoveries with Bellevue Gold Ltd (ASX: BGL) and from what I can see so far and along with the rest of the Auteco team that the historic Pickle Crow Gold Project has the hallmark for being able to replicate significant discovery success again. The Auteco team and I are looking forward to working closely with our Canadian partners at First Mining who we hope will benefit greatly along with our Auteco shareholders and all other stakeholders as we commence systematic and effective exploration to advance the Pickle Crow Gold Project."

The Pickle Crow Gold Project is located in northwestern Ontario and is one of Canada's highest-grade historical gold mines. The mine operated from 1935 until 1966, during which time it reportedly produced almost 1.5 million ounces of gold at an average grade of 16.14 g/t. The property consists of ~190 km2 (19,000 hectares) of tenure covering a major gold province. First Mining acquired the Project in November 2015 through its acquisition of PC Gold Inc.

There has been limited exploration of Pickle Crow since mining ceased in 1966. The most recent work conducted was focused on developing small remnant resources proximal to the old mine infrastructure. Auteco intends to return to first principles at the project, with a focus on discovering and developing new project-scale, high-grade, near-surface gold resources. There are a number of high-priority targets that have either not been followed up or have had little or no modern exploration work undertaken on them. These include multiple unmined lode positions surrounding the historic underground workings, including potential new high-grade gold lodes as well as a number of shallow, near-surface broad mineralized zones that require exploration testing regionally across the 190 km2 (19,000 hectare) project area.

Auteco's strong technical exploration skillset along with their track record of having access to capital provides an opportunity to unlock the potential value of this historical region. Auteco is led by Sam Brooks (Technical Director), a geologist who is currently the Chief Geologist of Bellevue, and was previously involved with Gryphon Minerals Limited, which was acquired by Teranga Gold in 2016. The Auteco team is comprised of several additional individuals who have been involved with Bellevue, including Ray Shorrocks (Executive Chairman), Steve Parsons (Non-Executive Director) and Michael Naylor (Non-Executive Director).

First Mining believes that Bellevue and the Auteco team's success in advancing the Bellevue Gold Mine are a strong analogy for the potential advancement of the Pickle Crow Gold Project. The similarities between the two projects include:

Both assets were high-grade historic past-producing mines that have not benefited from modern exploration and development advancements; and
Pickle Crow and Bellevue are both located in proven gold regions with a number of projects (both historic and current) in close proximity.

Earn-In Details

Auteco has entered into a conditional binding term sheet to acquire up to 80% of Pickle Crow from First Mining. The key terms are as follows:

Cash on Signing

With the binding term sheet having been executed, First Mining will receive:

$50,000 cash within three business days.

Formal Agreement

Upon execution of a formal agreement (expected to be finalized within 45 days), First Mining will receive:

$50,000 cash; and
25,000,000 shares of Auteco.

Stage 1 Earn-In (51% earn-in)

Three-year initial earn-in period to acquire a 51% interest in the Project by:

Spending $5 million on exploration, with a commitment to spend $750,000 of that total within the first 12 months; and
Issuing 100,000,000 shares of Auteco to First Mining.

Stage 2 Earn-In (additional 19% to earn-in to 70%)

Upon completion of the stage 1 earn-in, Auteco will have a two-year follow-on period to acquire an additional 19% interest in the Project by:

Spending a further $5 million on exploration;
Making a $1 million cash payment to First Mining within 90 days of completing the additional exploration spend; and
Issuing First Mining a 2% NSR royalty on the Project (1% of which can be bought back for US$2.5 million) (issued upon completion of the stage 2 earn-in).

Buy-In (additional 10% to earn-in to 80%)

Upon completion of the stage 2 earn-in, Auteco will have an option to acquire an additional 10%, exercisable any time post the stage 2 earn-in, by:

Paying First Mining $3 million in cash.

Additional Terms

First Mining and Auteco will form a joint venture upon completion of the stage 1 earn-in.
First Mining will be free carried, at a 20% interest, to a decision to mine.
Auteco will require shareholder approval to issue its shares. First Mining may terminate the transaction if such shareholder approval is not obtained.

First Mining believes that this earn-in structure provides for a variety of value-generating components: exploration expenditure requirements to advance Pickle Crow with First Mining having a carried interest, shares in Auteco, cash consideration, and retention of a direct interest in the Project along with a 2% NSR.

About Auteco

Auteco Minerals Limited (ASX: AUT) is an emerging mineral exploration company currently focused on advancing high-grade gold resources at the Pickle Crow Gold Project in the world class Uchi Sub-province of Ontario, Canada. The Auteco Board of Directors and Technical Management team has a proven track record of discovering gold and creating wealth for shareholders and all stakeholders in recent years.

Qualified Person

Hazel Mullin, P.Geo., Director, Data Management and Technical Services of First Mining, is a "Qualified Person" for the purposes of NI 43-101, and she has reviewed and approved the scientific and technical disclosure contained in this news release.

About First Mining Gold Corp.

First Mining Gold Corp. is an emerging development company with a diversified portfolio of gold projects in North America. Having assembled a large resource base of 7.4 million ounces of gold in the Measured and Indicated categories and 3.8 million ounces of gold in the Inferred category in mining friendly jurisdictions of eastern Canada, First Mining is now focused on advancing its material assets towards a construction decision and, ultimately, to production. The Company currently holds a portfolio of 24 mineral assets in Canada, Mexico and the United States.

ON BEHALF OF FIRST MINING GOLD CORP.

Daniel W. Wilton
Chief Executive Officer and Director

For further information, please contact:

Mal Karwowska | Vice President, Corporate Development & Investor Relations
Direct: 604.639.8824 | Toll Free: 1.844.306.8827 | Email: info@firstmininggold.com
www.firstmininggold.com

Cautionary Note Regarding Forward-Looking Statements

This news release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable Canadian and United States securities legislation including the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of this news release. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "plans", "projects", "intends", "estimates", "envisages", "potential", "possible", "strategy", "goals", "objectives", or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions.

Forward-looking statements in this news release relate to future events or future performance and reflect current estimates, predictions, expectations or beliefs regarding future events and include, but are not limited to, statements with respect to: (i) the timing of any cash and share payments set out in the binding term sheet that the Company has signed with Auteco; (ii) the timing for completion of all earn-in stages under the binding term sheet; (iii) the timing of the grant of a 2% NSR to First Mining over the Pickle Crow Gold Project; (iv) the timing for completion of all exploration expenditures required under the binding term sheet; (v) the potential for Auteco discovering and developing new project scale, high-grade, near surface gold resources at the Pickle Crow Gold Project; (vi) First Mining's belief that Bellevue and the Auteco team's success in advancing the Bellevue Gold Mine are a strong analogy for the potential of the Pickle Crow Gold Project; and (vii) funding by Auteco to conduct exploration. All forward-looking statements are based on First Mining's or its consultants' current beliefs as well as various assumptions made by them and information currently available to them. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: regulatory approvals; shareholder approval from Auteco shareholders; receipt of necessary financing by Auteco; the presence of and continuity of metals at the Pickle Crow Gold Project at estimated grades; success in realizing proposed drilling programs; fluctuations in the spot and forward price of gold, silver, base metals or certain other commodities; fluctuations in the currency markets (such as the Canadian dollar versus the U.S. dollar); changes in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration and exploration drilling programs, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding); the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities, indigenous populations and other stakeholders; availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development; title to properties.; and the additional risks described in the Company's Annual Information Form for the year ended December 31, 2018 filed with the Canadian securities regulatory authorities under the Company's SEDAR profile at www.sedar.com, and in the Company's Annual Report on Form 40-F filed with the SEC on EDGAR.

First Mining cautions that the foregoing list of factors that may affect future results is not exhaustive. When relying on our forward-looking statements to make decisions with respect to First Mining, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. First Mining does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by the Company or on our behalf, except as required by law.

Cautionary Note to United States Investors

This news release has been prepared in accordance with the requirements of the securities laws in effect in Canada, which differ from the requirements of U.S. securities laws. Unless otherwise indicated, all resource and reserve estimates included in this news release have been prepared in accordance with NI 43-101 and the Canadian Institute of Mining, Metallurgy, and Petroleum 2014 Definition Standards on Mineral Resources and Mineral Reserves. NI 43-101 is a rule developed by the Canadian Securities Administrators which establishes standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. Canadian standards, including NI 43-101, differ significantly from the requirements of the SEC, and mineral resource and reserve information contained herein may not be comparable to similar information disclosed by U.S. companies. In particular, and without limiting the generality of the foregoing, the term "resource" does not equate to the term "reserves". Under U.S. standards, mineralization may not be classified as a "reserve" unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made. The SEC's disclosure standards normally do not permit the inclusion of information concerning "measured mineral resources", "indicated mineral resources" or "inferred mineral resources" or other descriptions of the amount of mineralization in mineral deposits that do not constitute "reserves" by U.S. standards in documents filed with the SEC. Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves. U.S. investors should also understand that "inferred mineral resources" have a great amount of uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an "inferred mineral resource" will ever be upgraded to a higher category. Under Canadian rules, estimated "inferred mineral resources" may not form the basis of feasibility or pre-feasibility studies except in rare cases. Investors are cautioned not to assume that all or any part of an "inferred mineral resource" exists or is economically or legally mineable. Disclosure of "contained ounces" in a resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in-place tonnage and grade without reference to unit measures. The requirements of NI 43-101 for identification of "reserves" are also not the same as those of the SEC, and reserves reported by the Company in compliance with NI 43-101 may not qualify as "reserves" under SEC standards. Accordingly, information concerning mineral deposits set forth herein may not be comparable with information made public by companies that report in accordance with U.S. standards.

SOURCE: First Mining Gold Corp.

ReleaseID: 574222

VANCOUVER, BC and KNOXVILLE, TN / ACCESSWIRE / January 27, 2020 / Solar Alliance Energy Inc. ("Solar Alliance" or the "Company") (TSXV:SOLR)(OTC:SAENF) has applied to the TSX Venture Exchange (the ‘Exchange') to amend the expiry dates of three groups of outstanding common share purchase warrants ("Warrants'). The exercise price on the Warrants will not change from $0.05. Group one is 2,783,333 outstanding Warrants issued pursuant to a private placement that closed on February 28, 2019. The original expiry date of these Warrants would have been February 28, 2020 and the amended expiry date will be February 28, 2022. Group two is 1,070,000 outstanding Warrants issued pursuant to a private placement that closed on March 14, 2019. The original expiry date of these Warrants would have been March 14, 2020 and the amended expiry date will be March 14, 2022. The third group is 11,121,265 outstanding Warrants issued pursuant to a private placement that closed on April 8, 2019. The original expiry date of these Warrants would have been April 8, 2020 and the amended expiry date will be April 8, 2022

The proposed amendments are subject to the acceptance by the Exchange.

In addition, the Company will seek Exchange approval to issue a total of 2,233,333 common shares, at a price of $0.05 per share, to two companies controlled by officers of the Company as settlement of $36,666.65 consulting fees for the two months ending September 30, 2019 and $75,000 consulting fees for the six months ending January 31, 2020 for an aggregate of $111,666.65.

With effect on February 1, 2020, Solar Alliance has engaged Marrelli Support Services Inc. ("Marrelli") for CFO services and their affiliate DSA Corporate Services Inc. ("DSA") for corporate secretarial services. The Board of Directors has appointed Christina Wu to the role of Chief Financial Officer and Monique Hutchins to the role of Corporate Secretary to replace Dan O'Brien and Doris Meyer of Golden Oak Corporate Services Ltd. in those roles.

Myke Clark, CEO

For more information:

Solar Alliance Sales
(865) 309-4674

Solar Alliance
Myke Clark, CEO
604-288-9051
mclark@solaralliance.com

About Solar Alliance Energy Inc. (www.solaralliance.com)

Solar Alliance is an energy solutions provider focused on residential, commercial and industrial solar installations. The Company operates in California, Tennessee, North/South Carolina and Kentucky and has an expanding pipeline of solar projects. Since it was founded in 2003, the Company has developed wind and solar projects with a combined capital cost exceeding $1 billion that provide enough electricity to power 150,000 homes. Our passion is improving life through ingenuity, simplicity and freedom of choice. Solar Alliance reduces or eliminates customers' vulnerability to rising energy costs, offers an environmentally-friendly source of electricity generation, and provides affordable, turnkey clean energy solutions.

Statements in this news release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute Forward-looking statements. The words "would", "will", "expected" and "estimated" or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory and political competitive developments and technological or operational difficulties. Consequently, actual results may vary materially from those described in the forward-looking statements.

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

SOURCE: Solar Alliance Energy Inc.

ReleaseID: 574214

McKINNEY, TX / ACCESSWIRE / January 27, 2020 / Independent Bank Group, Inc. (NASDAQ:IBTX), the holding company for Independent Bank, today announced net income of $50.2 million, or $1.17 per diluted share, for the quarter ended December 31, 2019 compared to $34.0 million, or $1.11 per diluted share, for the quarter ended December 31, 2018 and $55.6 million, or $1.30 per diluted share, for the quarter ended September 30, 2019.

For the year ended December 31, 2019, the Company reported net income of $192.7 million, or $4.46 per diluted share, compared to $128.3 million, or $4.33 per diluted share, for the year ended December 31, 2018, a 50.3% dollar increase.

Highlights

Continued solid financial performance in the fourth quarter:

Earnings of $50.2 million, or $1.17 per diluted share and adjusted (non-GAAP) net income of $56.8 million, or $1.32 per diluted share
Return on average assets of 1.32% and adjusted (non-GAAP) return on average assets of 1.49%
Return on average equity of 8.57%, (non-GAAP) return on tangible equity of 16.20% and adjusted (non-GAAP) return on tangible equity of 18.32%

Strong organic deposit growth of 10.4% and disciplined organic loan growth of 4.8% in 2019
Continued strong credit quality with metrics remaining at low levels
Announced an all-stock merger of equals with Texas Capital Bancshares, Inc. to create a premier Texas-based bank

Independent Bank Group Chairman and CEO David R. Brooks said, "This was another great year for our company with record earnings, disciplined growth, and an emphasis on maintaining our superior credit quality metrics. Our continued strong financial performance allowed us to enhance value for shareholders last year through reporting strong ROA and ROE, strategic share repurchases, and an increased dividend." Brooks continued, "We were pleased to announce our merger of equals with Texas Capital, and we look forward to embarking on the next phase of our company's growth with enhanced capabilities to serve our customers and communities. We believe that this complementary merger of equals and our continued focus on execution in our core markets position us for a successful 2020."

Fourth Quarter 2019 Operating Results

Net Interest Income

Net interest income was $128.1 million for fourth quarter 2019 compared to $87.1 million for fourth quarter 2018 and $125.4 million for third quarter 2019. The increase in net interest income from the previous year was primarily due to increased average earning assets and purchase accounting accretion resulting primarily from the acquisition of Guaranty Bancorp. The increase from the linked quarter is primarily due to decreased interest expense as a result of a declining interest rate environment.
The average balance of total interest-earning assets grew by $4.6 billion and totaled $13.3 billion for the quarter ended December 31, 2019 compared to $8.7 billion for the quarter ended December 31, 2018 and increased $355.8 million from $13.0 billion for the quarter ended September 30, 2019. The increase from the prior year was primarily due to $3.4 billion in earning assets acquired in the Guaranty transaction as well as organic growth. The increase from the linked quarter is primarily related to an increase in average loan balances including mortgage warehouse purchase loans.
The yield on interest-earning assets was 4.90% for fourth quarter 2019 compared to 5.15% for fourth quarter 2018 and 5.06% for third quarter 2019. The decrease from the prior year was due primarily to lower rates on interest-earning assets due to decreases in the Fed Funds rate during the last half of 2019, off-set by increased acquired loan accretion due to the Guaranty acquisition. The decrease from the linked quarter is primarily due to lower loan yields, which decreased 15 basis points excluding accretion, offset by a slight increase in loan accretion from the linked quarter.
The cost of interest-bearing liabilities, including borrowings, was 1.54% for fourth quarter 2019 compared to 1.64% for fourth quarter 2018 and 1.72% for third quarter 2019. The decrease from the prior year and linked quarter is primarily due to lower rates offered on our deposits, primarily commercial money market accounts, resulting from decreases in interest rates on deposit products tied to Fed Funds rates, as well as rate decreases on short-term FHLB advances and our other debt.
The net interest margin was 3.81% for fourth quarter 2019 compared to 3.98% for fourth quarter 2018 and 3.84% for third quarter 2019. The adjusted (non-GAAP) net interest margin, which excludes unexpected accretion on loans acquired with deteriorated credit quality, was 3.79% for fourth quarter 2019 compared to 3.93% for fourth quarter 2018 and 3.82% for third quarter 2019. The decrease in net interest margin from the prior year and linked quarter was primarily due to the three decreases in the Fed funds rate during the last half of the 2019. In addition, the quarter ended December 31, 2019 includes $10.8 million of loan accretion versus $9.9 million in third quarter 2019. The net interest margin excluding all loan accretion decreased five basis points to 3.49% for fourth quarter 2019 compared to 3.54% in third quarter 2019 primarily as a result of lower loan yields.

Noninterest Income

Total noninterest income increased $8.3 million compared to fourth quarter 2018 and decreased $9.1 million compared to third quarter 2019.
The increase from the prior year primarily reflects increases of $2.3 million in service charges, $2.1 million in investment advisory and trust services, $548 thousand in earnings on bank owned life insurance and $1.4 million in other noninterest income all resulting primarily from the additional accounts acquired in the Guaranty transaction. Additionally, the increase reflects a $1.3 million gain on sale of the trust business, which was sold in October 2019.
The decrease from the linked quarter primarily reflects decreases of $982 thousand in mortgage banking and $8.3 million in gains from the sales of two loan pools and a branch recorded in third quarter offset by the trust sale in fourth quarter noted above. The decrease in mortgage revenue is primarily a result of seasonality in the market demand.

Noninterest Expense

Total noninterest expense increased $28.5 million compared to fourth quarter 2018 and increased $3.4 million compared to third quarter 2019.
The increase in noninterest expense compared to fourth quarter 2018 is due primarily to increases of $12.5 million in salaries and benefits, $3.2 million in occupancy expenses, $1.5 million in data processing, $1.7 million in amortization of other intangibles, $2.0 million in professional fees, $4.8 million in acquisition expense, and $2.0 million in other noninterest expense. The overall increase in salaries and benefits, occupancy, data processing, amortization of other intangibles and other noninterest expense from the prior year is reflective of additional headcount, branch locations and accounts acquired in the January 2019 Guaranty transaction as well as organic growth during the year. Salaries and benefits also includes a $3.0 million expense related to the separation arrangement with a former executive officer. Professional fees increased due to higher legal expenses related to ongoing acquired litigation, and increased consulting expenses related to various projects and new system implementations. The increase in acquisition expense is primarily a result of investment banker and due diligence-related costs totaling $5.0 million related to the announced merger of equals with Texas Capital Bancshares, Inc.

The increase from the linked quarter is primarily related to increases of $4.5 million in salaries and benefits, $3.1 million in FDIC assessment, $1.1 million in professional fees offset by decreases of $4.2 million in acquisition expense and $1.7 million in other noninterest expense. The increase in salaries and benefits expense is primarily a result of the executive separation arrangement discussed above as well as increases in contract labor and incentives for deposit growth. The increase in FDIC assessment is related to a $3.2 million Small Bank Assessment Credit recorded in third quarter 2019. The increase in professional fees is due to higher legal and consulting expenses discussed above. Acquisition expense was elevated in the third quarter due to contract terminations and other expense related to the Guaranty deal. The decrease in other noninterest expense is primarily due to $1.2 million of impairments on other assets related to a CRA SBIC fund and a lease right-of-use asset on a closed branch recognized in third quarter 2019.

Provision for Loan Losses

Provision for loan loss was $1.6 million for fourth quarter 2019, a decrease of $1.3 million compared to $2.9 million for fourth quarter 2018 and a decrease of $3.6 million compared to $5.2 million for third quarter 2019. Provision expense is primarily reflective of organic loan growth as well as charge-offs or specific reserves taken during the respective period. The decrease from prior year and the linked quarter was mainly due to a decline in loan growth during fourth quarter 2019. In addition, provision expense was elevated in third quarter 2019 due to two commercial credits which were charged-off during third quarter in excess of the specific reserves placed on them in previous periods.
The allowance for loan losses was $51.5 million, or 0.47% of total loans held for investment, net of mortgage warehouse purchase loans, at December 31, 2019, compared to $44.8 million, or 0.58% at December 31, 2018, and compared to $50.4 million, or 0.46% at September 30, 2019. The dollar increase from prior year is primarily due to additional general reserves for organic loan growth. In addition, the decrease in the allowance for loan losses as a percentage of loans from prior year reflects that loans acquired in the Guaranty transaction were recorded at fair value without an allowance at the respective acquisition date.

Income Taxes

Federal income tax expense of $14.1 million was recorded for the quarter ended December 31, 2019, an effective rate of 21.9% compared to tax expense of $8.3 million and an effective rate of 19.6% for the quarter ended December 31, 2018 and tax expense of $14.9 million and an effective rate of 21.1% for the quarter ended September 30, 2019. The increase in the effective tax rate compared to prior year is a result of increased state income tax expense.

Fourth Quarter 2019 Balance Sheet Highlights

Loans

Total loans held for investment, net of mortgage warehouse purchase loans, were $10.9 billion at December 31, 2019 and September 30, 2019 and $7.7 billion at December 31, 2018. Despite flat balances in fourth quarter 2019, loans held for investment increased $3.2 billion from December 31, 2018, or 41.6%, $2.8 billion of which was acquired in the Guaranty acquisition, and $505.3 million of which was organic growth, or 4.8% for the year over year period, offset by $792 thousand of loans transferred with the branch sale.
Average mortgage warehouse purchase loans were $575.0 million for the quarter ended December 31, 2019 compared to $434.1 million for the quarter ended September 30, 2019, representing an increase of $140.8 million, or 32.4% for the quarter, and compared to $120.9 million for the quarter ended December 31, 2018, an increase of $454.0 million, or 375.5% year over year. The change from the linked quarter and prior year quarter is reflective of the Company's focused attention to grow the warehouse line of business during the respective periods.

Commercial real estate (CRE) loans were $5.9 billion at December 31, 2019 and September 30, 2019, and $4.1 billion at December 31, 2018, or 50.4%, 51.0% and 52.3% of total loans, respectively.

Asset Quality

Total nonperforming assets increased to $31.5 million, or 0.21% of total assets at December 31, 2019, compared to $18.4 million or 0.12% of total assets at September 30, 2019, and increased from $16.9 million, or 0.17% of total assets at December 31, 2018.
Total nonperforming loans increased to $26.6 million, or 0.24% of total loans at December 31, 2019, from $11.9 million, or 0.11% of total loans at September 30, 2019, and increased from $12.6 million, or 0.16% of total loans at December 31, 2018.
The increase in nonperforming loans and nonperforming assets from the linked quarter and prior year is primarily due to a $14.5 million commercial energy loan that has matured and is pending workout at the end of fourth quarter 2019. The net increase in nonperforming assets from the linked quarter was also offset from a partial write down and subsequent sale of a $1.5 million other real estate owned property.
Charge-offs were 0.02% annualized in the fourth quarter 2019 compared to 0.21% annualized in the linked quarter and 0.01% annualized in the prior year quarter. Charge-offs were elevated in third quarter 2019 due to charge-offs totaling $5.6 million on two commercial credits.

Deposits and Borrowings

Total deposits were $11.9 billion at December 31, 2019 compared to $11.7 billion at September 30, 2019 and compared to $7.7 billion at December 31, 2018. The increase in deposits from the linked quarter is primarily due to $213.5 million of organic growth, or 7.2% for the quarter, annualized. The increase in deposits from the prior year is due to $3.1 billion of deposits acquired in the Guaranty acquisition, as well as organic growth of $1.1 billion, or 10.4%, for the year over year period, offset by $27.7 million of deposits transferred with the branch sale.
Total borrowings (other than junior subordinated debentures) were $527.3 million at December 31, 2019, a decrease of $240.4 million from September 30, 2019 and an increase of $99.9 million from December 31, 2018. The change in the linked quarter and prior year reflects the use of short-term FHLB advances as needed for liquidity and to fund mortgage warehouse purchase loans. The change from the prior year also reflects the addition of $40 million in subordinated debt assumed in the Guaranty acquisition as well as $24.5 million in borrowings against the Company's unsecured revolving line of credit with an unrelated commercial bank.

Capital

Independent Bank Group is well capitalized under regulatory guidelines. At December 31, 2019, our estimated common equity Tier 1 to risk-weighted assets, Tier 1 capital to average assets, Tier 1 capital to risk-weighted assets and total capital to risk-weighted asset ratios were 9.76%, 9.32%, 10.19% and 11.83%, respectively, compared to 9.42%, 9.21%, 9.85%, and 11.49%, respectively, at September 30, 2019.

Subsequent Events

The Company is required, under generally accepted accounting principles, to evaluate subsequent events through the filing of its consolidated financial statements for the quarter ended December 31, 2019 on Form 10-Q. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates made as of December 31, 2019 and will adjust amounts preliminarily reported, if necessary.

About Independent Bank Group

Independent Bank Group, through its wholly owned subsidiary, Independent Bank, provides a wide range of relationship-driven commercial banking products and services tailored to meet the needs of businesses, professionals and individuals. Independent Bank Group operates in four market regions located in the Dallas/Fort Worth, Austin and Houston areas in Texas and the Colorado Front Range area, including Denver, Colorado Springs and Fort Collins.

Conference Call

A conference call covering Independent Bank Group's fourth quarter earnings announcement will be held on Tuesday, January 28, 2020 at 8:30 a.m. (EDT) and can be accessed by the webcast link, https://webcasts.eqs.com/indepbankgroup20200128 or by calling 1-877-407-0989 and by identifying the meeting number 13697820 or by identifying "Independent Bank Group Fourth Quarter 2019 Earnings Conference Call." The conference materials will also be available by accessing the Investor Relations page of our website, www.ibtx.com. A recording of the conference call and the conference materials will be available from January 28, 2020 through February 4, 2020 on our website.

Forward-Looking Statements

The numbers as of and for the quarter ended December 31, 2019 are unaudited. From time to time, our comments and releases may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act") that are subject to risks and uncertainties and are made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can be identified by words such as "believes," "anticipates," "expects," "forecast," "guidance," "intends," "targeted," "continue," "remain," "should," "may," "plans," "estimates," "will," "will continue," "will remain," variations on such words or phrases, or similar references to future occurrences or events in future periods; however, such words are not the exclusive means of identifying such statements. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, and other financial items; (ii) statements of plans, objectives, and expectations of the Company or its management or Board of Directors; (iii) statements of future economic performance; and (iv) statements of assumptions underlying such statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. The Company's actual results may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Many possible events or factors could affect the Company's future financial results and performance and could cause such results or performance to differ materially from those expressed in forward looking statements. These factors include, but are not limited to, the following: (1) the Company's ability to sustain its current internal growth rate and total growth rate; (2) changes in geopolitical, business and economic events, occurrences and conditions, including changes in rates of inflation or deflation, nationally, regionally and in the Company's target markets, particularly in Texas and Colorado; (3) worsening business and economic conditions nationally, regionally and in the Company's target markets, particularly in Texas and Colorado, and the geographic areas in those states in which the Company operates; (4) the Company's dependence on its management team and its ability to attract, motivate and retain qualified personnel; (5) the concentration of the Company's business within its geographic areas of operation in Texas and Colorado; (6) changes in asset quality, including increases in default rates on loans and higher levels of nonperforming loans and loan charge-offs; (7) concentration of the loan portfolio of Independent Bank, before and after the completion of acquisitions of financial institutions, in commercial and residential real estate loans and changes in the prices, values and sales volumes of commercial and residential real estate; (8) the ability of Independent Bank to make loans with acceptable net interest margins and levels of risk of repayment and to otherwise invest in assets at acceptable yields and presenting acceptable investment risks; (9) inaccuracy of the assumptions and estimates that the managements of Independent Bank and the financial institutions that it acquires make in establishing reserves for probable loan losses and other estimates; (10) lack of liquidity, including as a result of a reduction in the amount and sources of liquidity that the Company currently has; (11) material increases or decreases in the amount of deposits held by Independent Bank or other financial institutions that the Company acquires and the cost of those deposits; (12) the Company's access to the debt and equity markets and the overall cost of funding its operations; (13) regulatory requirements to maintain minimum capital levels or maintenance of capital at levels sufficient to support the Company's anticipated growth; (14) changes in market interest rates that affect the pricing of the loans and deposits of each of Independent Bank and the financial institutions that the Company acquires and the net interest income of each of Independent Bank and the financial institutions that the Company acquires; (15) fluctuations in the market value and liquidity of the securities the Company holds for sale, including as a result of changes in market interest rates; (16) effects of competition from a wide variety of local, regional, national and other providers of financial, investment and insurance services; (17) the institution and outcome of, and costs associated with, litigation and other legal proceedings against one of more of the Company, Independent Bank and financial institutions that the Company acquires or to which any of such entities is subject; (18) the occurrence of market conditions adversely affecting the financial industry generally; (19) the impact of recent and future legislative and regulatory changes, including changes in banking, securities and tax laws and regulations and their application by the Company's regulators, and changes in federal government policies, as well as changes in regulatory requirements applicable to, and resulting from regulatory supervision of, the Company and Independent Bank as a financial institution with total assets greater than $10 billion; (20) changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the SEC and the Public Company Accounting Oversight Board, or PCAOB, as the case may be; (21) governmental monetary and fiscal policies; (22) changes in the scope and cost of FDIC insurance and other coverage; (23) the effects of war or other conflicts, acts of terrorism (including cyber attacks) or other catastrophic events, including storms, droughts, tornadoes, hurricanes and flooding, that may affect general economic conditions; (24) the Company's actual cost savings resulting from previous or future acquisitions are less than expected, it is unable to realize those cost savings as soon as expected, or it incurs additional or unexpected costs; (25) the Company's revenues after previous or future acquisitions are less than expected; (26) the liquidity of, and changes in the amounts and sources of liquidity available to, the Company, before and after the acquisition of any financial institutions that the Company acquires; (27) deposit attrition, operating costs, customer loss and business disruption before and after the Company's completed acquisitions, including, without limitation, difficulties in maintaining relationships with employees, may be greater than the Company expected; (28) the effects of the combination of the operations of financial institutions that the Company acquired in the recent past or may acquire in the future with the Company's operations and the operations of Independent Bank, the effects of the integration of such operations being unsuccessful, and the effects of such integration being more difficult, time-consuming or costly than expected or not yielding the cost savings that the Company expects; (29) the impact of investments that the Company or Independent Bank may have made or may make and the changes in the value of those investments; (30) the quality of the assets of financial institutions and companies that the Company has acquired in the recent past or may acquire in the future being different than the Company determined or determine in its due diligence investigation in connection with the acquisition of such financial institutions and any inadequacy of loan loss reserves relating to, and exposure to unrecoverable losses on, loans acquired; (31) the Company's ability to continue to identify acquisition targets and successfully acquire desirable financial institutions to sustain its growth, to expand its presence in its markets and to enter new markets; (32) the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the parties to terminate the definitive merger agreement between the Company and Texas Capital Bancshares, Inc. ("TCBI"); (33) the outcome of any legal proceedings that may be instituted against the Company or TCBI, delays in completing the transaction; (34) the failure to obtain necessary regulatory approvals (and the risk that such approvals may result in the imposition of conditions that could adversely affect the combined company or the expected benefits of the transaction) and shareholder approvals or to satisfy any of the other conditions to the transaction on a timely basis or at all; (35) the possibility that the anticipated benefits of the transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the two companies or as a result of the strength of the economy and competitive factors in the areas where the Company and TCBI do business; (36) the possibility that the transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events, diversion of management's attention from ongoing business operations and opportunities, potential adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the transaction; (37) the ability to complete the transaction and integration of the Company and TCBI successfully; (38) the dilution caused by the Company's issuance of additional shares of its capital stock in connection with the transaction; (39) technology-related changes are harder to make or are more expensive than expected; (40) attacks on the security of, and breaches of, the Company or Independent Bank's digital information systems, the costs the Company or Independent Bank incur to provide security against such attacks and any costs and liability the Company or Independent Bank incurs in connection with any breach of those systems; (41) the potential impact of technology and "FinTech" entities on the banking industry generally; (42) our success at managing the risks involved in the foregoing items; and (43) the other factors that are described in the Company's Annual Report on Form 10-K filed on February 28, 2019, under the heading "Risk Factors," and other reports and statements filed by the Company with the SEC as well as those described in TCBI's Annual Report on Form 10-K filed on February 14, 2019, and other reports and statements filed by TCBI with the SEC. Any forward-looking statement made by the Company in this document speaks only as of the date on which it is made. Factors or events that could cause the Company's actual results to differ may emerge from time to time, and it is not possible for the Company to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

Non-GAAP Financial Measures

In addition to results presented in accordance with GAAP, this press release contains certain non-GAAP financial measures. These measures and ratios include "adjusted net income," "adjusted earnings," "tangible book value," "tangible book value per common share," "adjusted efficiency ratio," "tangible common equity to tangible assets," "adjusted net interest margin," "return on tangible equity," "adjusted return on average assets" and "adjusted return on average equity" and are supplemental measures that are not required by, or are not presented in accordance with, accounting principles generally accepted in the United States. We consider the use of select non-GAAP financial measures and ratios to be useful for financial operational decision making and useful in evaluating period-to-period comparisons. We believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding certain expenditures or assets that we believe are not indicative of our primary business operating results. We believe that management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting, analyzing and comparing past, present and future periods.

We believe that these measures provide useful information to management and investors that is supplementary to our financial condition, results of operations and cash flows computed in accordance with GAAP; however we acknowledge that our financial measures have a number of limitations relative to GAAP financial measures. Certain non-GAAP financial measures exclude items of income, expenditures, expenses, assets, or liabilities, including provisions for loan losses and the effect of goodwill, other intangible assets and income from accretion on acquired loans arising from purchase accounting adjustments, that we believe cause certain aspects of our results of operations or financial condition to be not indicative of our primary operating results. All of these items significantly impact our financial statements. Additionally, the items that we exclude in our adjustments are not necessarily consistent with the items that our peers may exclude from their results of operations and key financial measures and therefore may limit the comparability of similarly named financial measures and ratios. We compensate for these limitations by providing the equivalent GAAP measures whenever we present the non-GAAP financial measures and by including a reconciliation of the impact of the components adjusted for in the non- GAAP financial measure so that both measures and the individual components may be considered when analyzing our performance.

CONTACTS:

Analysts/Investors:

Paul Langdale
Senior Vice President, Director of Corporate Development
(972) 562-9004
plangdale@ibtx.com

Michelle Hickox
Executive Vice President, Chief Financial Officer
(972) 562-9004
mhickox@ibtx.com

Media:

James Tippit
Executive Vice President, Head of Corporate Responsibility
(972) 562-9004
jtippit@ibtx.com

Independent Bank Group, Inc. and Subsidiaries
Consolidated Financial Data
Three Months Ended December 31, 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018
(Dollars in thousands, except for share data)
(Unaudited)

 
As of and for the Quarter Ended
 

 
December 31,
2019
 
 
September 30,
2019
 
 
June 30,
2019
 
 
March 31,
2019
 
 
December 31,
2018
 

Selected Income Statement Data

Interest income

 
$ 
164,386
 
 
$ 
165,307
 
 
$ 
167,663
 
 
$ 
155,576
 
 
$ 
112,805
 

Interest expense

 
 
36,317
 
 
 
39,914
 
 
 
38,020
 
 
 
33,924
 
 
 
25,697
 

Net interest income

 
 
128,069
 
 
 
125,393
 
 
 
129,643
 
 
 
121,652
 
 
 
87,108
 

Provision for loan losses

 
 
1,609
 
 
 
5,233
 
 
 
4,739
 
 
 
3,224
 
 
 
2,910
 

Net interest income after provision for loan losses

 
 
126,460
 
 
 
120,160
 
 
 
124,904
 
 
 
118,428
 
 
 
84,198
 

Noninterest income

 
 
18,229
 
 
 
27,324
 
 
 
16,199
 
 
 
16,424
 
 
 
9,887
 

Noninterest expense

 
 
80,343
 
 
 
76,948
 
 
 
77,978
 
 
 
86,595
 
 
 
51,848
 

Income tax expense

 
 
14,110
 
 
 
14,903
 
 
 
13,389
 
 
 
11,126
 
 
 
8,273
 

Net income

 
 
50,236
 
 
 
55,633
 
 
 
49,736
 
 
 
37,131
 
 
 
33,964
 

Adjusted net income (1)

 
 
56,799
 
 
 
57,827
 
 
 
52,928
 
 
 
52,028
 
 
 
34,120
 

Per Share Data (Common Stock)

Earnings:

Basic

 
$ 
1.17
 
 
$ 
1.30
 
 
$ 
1.15
 
 
$ 
0.85
 
 
$ 
1.11
 

Diluted

 
 
1.17
 
 
 
1.30
 
 
 
1.15
 
 
 
0.85
 
 
 
1.11
 

Adjusted earnings:

Basic (1)

 
 
1.32
 
 
 
1.35
 
 
 
1.22
 
 
 
1.19
 
 
 
1.12
 

Diluted (1)

 
 
1.32
 
 
 
1.35
 
 
 
1.22
 
 
 
1.19
 
 
 
1.12
 

Dividends

 
 
0.25
 
 
 
0.25
 
 
 
0.25
 
 
 
0.25
 
 
 
0.14
 

Book value

 
 
54.48
 
 
 
53.52
 
 
 
52.37
 
 
 
51.17
 
 
 
52.50
 

Tangible book value (1)

 
 
28.99
 
 
 
27.89
 
 
 
26.66
 
 
 
25.84
 
 
 
27.44
 

Common shares outstanding

 
 
42,950,228
 
 
 
42,952,642
 
 
 
42,953,818
 
 
 
43,665,793
 
 
 
30,600,582
 

Weighted average basic shares outstanding (3)

 
 
42,951,701
 
 
 
42,950,749
 
 
 
43,331,988
 
 
 
43,759,348
 
 
 
30,503,062
 

Weighted average diluted shares outstanding (3)

 
 
42,951,701
 
 
 
42,950,749
 
 
 
43,331,988
 
 
 
43,759,348
 
 
 
30,503,062
 

Selected Period End Balance Sheet Data

Total assets

 
$ 
14,958,207
 
 
$ 
14,959,127
 
 
$ 
14,708,922
 
 
$ 
14,145,383
 
 
$ 
9,849,965
 

Cash and cash equivalents

 
 
565,170
 
 
 
570,101
 
 
 
579,447
 
 
 
431,799
 
 
 
130,779
 

Securities available for sale

 
 
1,085,936
 
 
 
1,083,816
 
 
 
1,104,520
 
 
 
1,074,310
 
 
 
685,350
 

Loans, held for sale

 
 
35,645
 
 
 
32,929
 
 
 
106,489
 
 
 
22,598
 
 
 
32,727
 

Loans, held for investment, excluding mortgage warehouse purchase loans

 
 
10,928,653
 
 
 
10,936,136
 
 
 
10,784,041
 
 
 
10,692,183
 
 
 
7,717,510
 

Mortgage warehouse purchase loans

 
 
687,317
 
 
 
660,650
 
 
 
453,492
 
 
 
251,258
 
 
 
170,290
 

Allowance for loan losses

 
 
51,461
 
 
 
50,447
 
 
 
51,075
 
 
 
46,505
 
 
 
44,802
 

Goodwill and other intangible assets

 
 
1,094,762
 
 
 
1,100,876
 
 
 
1,104,187
 
 
 
1,105,705
 
 
 
766,839
 

Other real estate owned

 
 
4,819
 
 
 
6,392
 
 
 
10,972
 
 
 
6,018
 
 
 
4,200
 

Noninterest-bearing deposits

 
 
3,240,185
 
 
 
3,218,055
 
 
 
3,153,001
 
 
 
3,089,794
 
 
 
2,145,930
 

Interest-bearing deposits

 
 
8,701,151
 
 
 
8,509,830
 
 
 
8,377,586
 
 
 
8,149,632
 
 
 
5,591,864
 

Borrowings (other than junior subordinated debentures)

 
 
527,251
 
 
 
767,642
 
 
 
792,534
 
 
 
538,425
 
 
 
427,316
 

Junior subordinated debentures

 
 
53,824
 
 
 
53,775
 
 
 
53,725
 
 
 
53,676
 
 
 
27,852
 

Total stockholders' equity

 
 
2,339,773
 
 
 
2,298,932
 
 
 
2,249,342
 
 
 
2,234,202
 
 
 
1,606,433
 

Independent Bank Group, Inc. and Subsidiaries
Consolidated Financial Data
Three Months Ended December 31, 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018
(Dollars in thousands, except for share data)
(Unaudited)

 
As of and for the Quarter Ended
 

 
December 31,
2019
 
 
September 30,
2019
 
 
June 30,
2019
 
 
March 31,
2019
 
 
December 31,
2018
 

Selected Performance Metrics

Return on average assets

 
 
1.32
%
 
 
1.50
%
 
 
1.39
%
 
 
1.08
%
 
 
1.34
%

Return on average equity

 
 
8.57
 
 
 
9.68
 
 
 
8.90
 
 
 
6.78
 
 
 
8.51
 

Return on tangible equity (4)

 
 
16.20
 
 
 
18.74
 
 
 
17.52
 
 
 
13.55
 
 
 
16.52
 

Adjusted return on average assets (1)

 
 
1.49
 
 
 
1.56
 
 
 
1.47
 
 
 
1.51
 
 
 
1.35
 

Adjusted return on average equity (1)

 
 
9.69
 
 
 
10.06
 
 
 
9.47
 
 
 
9.51
 
 
 
8.55
 

Adjusted return on tangible equity (1) (4)

 
 
18.32
 
 
 
19.48
 
 
 
18.65
 
 
 
18.98
 
 
 
16.60
 

Net interest margin

 
 
3.81
 
 
 
3.84
 
 
 
4.11
 
 
 
4.05
 
 
 
3.98
 

Adjusted net interest margin (2)

 
 
3.79
 
 
 
3.82
 
 
 
4.03
 
 
 
4.01
 
 
 
3.93
 

Efficiency ratio

 
 
52.75
 
 
 
48.27
 
 
 
51.25
 
 
 
60.37
 
 
 
51.91
 

Adjusted efficiency ratio (1)

 
 
46.44
 
 
 
42.98
 
 
 
47.39
 
 
 
47.05
 
 
 
51.26
 

Credit Quality Ratios (5)

Nonperforming assets to total assets

 
 
0.21
%
 
 
0.12
%
 
 
0.19
%
 
 
0.12
%
 
 
0.17
%

Nonperforming loans to total loans held for investment (6)

 
 
0.24
 
 
 
0.11
 
 
 
0.16
 
 
 
0.10
 
 
 
0.16
 

Nonperforming assets to total loans held for investment and other real estate (6)

 
 
0.29
 
 
 
0.17
 
 
 
0.26
 
 
 
0.16
 
 
 
0.22
 

Allowance for loan losses to nonperforming loans

 
 
193.35
 
 
 
424.17
 
 
 
302.15
 
 
 
433.82
 
 
 
354.73
 

Allowance for loan losses to total loans held for investment (6)

 
 
0.47
 
 
 
0.46
 
 
 
0.47
 
 
 
0.43
 
 
 
0.58
 

Net charge-offs to average loans outstanding (annualized)

 
 
0.02
 
 
 
0.21
 
 
 
0.01
 
 
 
0.06
 
 
 
0.01
 

Capital Ratios

Estimated common equity Tier 1 capital to risk-weighted assets

 
 
9.76
%
 
 
9.42
%
 
 
9.22
%
 
 
9.60
%
 
 
10.05
%

Estimated tier 1 capital to average assets

 
 
9.32
 
 
 
9.21
 
 
 
9.06
 
 
 
9.33
 
 
 
9.57
 

Estimated tier 1 capital to risk-weighted assets

 
 
10.19
 
 
 
9.85
 
 
 
9.66
 
 
 
10.07
 
 
 
10.41
 

Estimated total capital to risk-weighted assets

 
 
11.83
 
 
 
11.49
 
 
 
11.51
 
 
 
11.96
 
 
 
12.58
 

Total stockholders' equity to total assets

 
 
15.64
 
 
 
15.37
 
 
 
15.29
 
 
 
15.79
 
 
 
16.31
 

Tangible common equity to tangible assets (1)

 
 
8.98
 
 
 
8.65
 
 
 
8.42
 
 
 
8.65
 
 
 
9.24
 

(1) Non-GAAP financial measure. See reconciliation.
(2) Non-GAAP financial measure. Excludes unexpected income recognized on credit impaired acquired loans of $791, $618, $2,695, $1,016 and $967, respectively.
(3) Total number of shares includes participating shares (those with dividend rights).
(4) Non-GAAP financial measure. Excludes average balance of goodwill and net other intangible assets.
(5) Nonperforming loans and assets excludes loans acquired with deteriorated credit quality.
(6) Excludes mortgage warehouse purchase loans.

Independent Bank Group, Inc. and Subsidiaries
Annual Selected Financial Information
Years Ended December 31, 2019 and 2018
(Unaudited)

 
Years Ended
December 31,
 

 
2019
 
 
2018
 

Per Share Data

Net income – basic

 
$ 
4.46
 
 
$ 
4.33
 

Net income – diluted

 
 
4.46
 
 
 
4.33
 

Cash dividends

 
 
1.00
 
 
 
0.54
 

Book value

 
 
54.48
 
 
 
52.50
 

Outstanding Shares

Period-end shares

 
 
42,950,228
 
 
 
30,600,582
 

Weighted average shares – basic(1)

 
 
43,245,418
 
 
 
29,599,119
 

Weighted average shares – diluted(1)

 
 
43,245,418
 
 
 
29,599,119
 

Selected Annual Ratios

Return on average assets

 
 
1.32
%
 
 
1.35
%

Return on average equity

 
 
8.50
 
 
 
8.69
 

Net interest margin

 
 
3.95
 
 
 
3.97
 

(1) Total number of shares includes participating shares (those with dividend rights).

Independent Bank Group, Inc. and Subsidiaries
Consolidated Statements of Income
Three Months and Years Ended December 31, 2019 and 2018
(Dollars in thousands)
(Unaudited)

 
Three Months Ended
December 31,
 
 
Years Ended
December 31,
 

 
2019
 
 
2018
 
 
2019
 
 
2018
 

Interest income:

Interest and fees on loans

 
$ 
153,963
 
 
$ 
106,798
 
 
$ 
611,589
 
 
$ 
384,791
 

Interest on taxable securities

 
 
5,223
 
 
 
3,763
 
 
 
21,324
 
 
 
14,007
 

Interest on nontaxable securities

 
 
2,056
 
 
 
1,105
 
 
 
8,482
 
 
 
4,580
 

Interest on interest-bearing deposits and other

 
 
3,144
 
 
 
1,139
 
 
 
11,537
 
 
 
3,912
 

Total interest income

 
 
164,386
 
 
 
112,805
 
 
 
652,932
 
 
 
407,290
 

Interest expense:

Interest on deposits

 
 
30,834
 
 
 
20,761
 
 
 
123,384
 
 
 
60,767
 

Interest on FHLB advances

 
 
1,849
 
 
 
2,410
 
 
 
10,173
 
 
 
10,264
 

Interest on other borrowings and repurchase agreements

 
 
2,916
 
 
 
2,099
 
 
 
11,590
 
 
 
8,398
 

Interest on junior subordinated debentures

 
 
718
 
 
 
427
 
 
 
3,028
 
 
 
1,609
 

Total interest expense

 
 
36,317
 
 
 
25,697
 
 
 
148,175
 
 
 
81,038
 

Net interest income

 
 
128,069
 
 
 
87,108
 
 
 
504,757
 
 
 
326,252
 

Provision for loan losses

 
 
1,609
 
 
 
2,910
 
 
 
14,805
 
 
 
9,860
 

Net interest income after provision for loan losses

 
 
126,460
 
 
 
84,198
 
 
 
489,952
 
 
 
316,392
 

Noninterest income:

Service charges on deposit accounts

 
 
5,891
 
 
 
3,617
 
 
 
24,500
 
 
 
14,224
 

Investment management and trust

 
 
2,092
 
 
 
–
 
 
 
9,330
 
 
 
–
 

Mortgage banking revenue

 
 
3,842
 
 
 
3,378
 
 
 
15,461
 
 
 
15,512
 

Gain on sale of loans

 
 
–
 
 
 
–
 
 
 
6,779
 
 
 
–
 

Gain on sale of branch

 
 
–
 
 
 
–
 
 
 
1,549
 
 
 
–
 

Gain on sale of trust business

 
 
1,319
 
 
 
–
 
 
 
1,319
 
 
 
–
 

Gain on sale of other real estate

 
 
24
 
 
 
56
 
 
 
875
 
 
 
269
 

Gain (loss) on sale of securities available for sale

 
 
10
 
 
 
(232
)
 
 
275
 
 
 
(581
)

(Loss) gain on sale and disposal of premises and equipment

 
 
–
 
 
 
–
 
 
 
(585
)
 
 
123
 

Increase in cash surrender value of BOLI

 
 
1,390
 
 
 
842
 
 
 
5,525
 
 
 
3,170
 

Other

 
 
3,661
 
 
 
2,226
 
 
 
13,148
 
 
 
9,507
 

Total noninterest income

 
 
18,229
 
 
 
9,887
 
 
 
78,176
 
 
 
42,224
 

Noninterest expense:

Salaries and employee benefits

 
 
42,126
 
 
 
29,625
 
 
 
162,683
 
 
 
111,697
 

Occupancy

 
 
9,676
 
 
 
6,491
 
 
 
37,654
 
 
 
24,786
 

Data processing

 
 
4,415
 
 
 
2,893
 
 
 
17,103
 
 
 
10,754
 

FDIC assessment

 
 
994
 
 
 
1,093
 
 
 
1,065
 
 
 
3,306
 

Advertising and public relations

 
 
585
 
 
 
607
 
 
 
2,527
 
 
 
1,907
 

Communications

 
 
1,235
 
 
 
809
 
 
 
5,145
 
 
 
3,353
 

Other real estate owned expenses, net

 
 
116
 
 
 
47
 
 
 
418
 
 
 
318
 

Impairment of other real estate

 
 
377
 
 
 
–
 
 
 
1,801
 
 
 
85
 

Amortization of other intangible assets

 
 
3,175
 
 
 
1,496
 
 
 
12,880
 
 
 
5,739
 

Professional fees

 
 
3,165
 
 
 
1,129
 
 
 
7,936
 
 
 
4,556
 

Acquisition expense, including legal

 
 
5,270
 
 
 
486
 
 
 
33,445
 
 
 
6,157
 

Other

 
 
9,209
 
 
 
7,172
 
 
 
39,207
 
 
 
25,961
 

Total noninterest expense

 
 
80,343
 
 
 
51,848
 
 
 
321,864
 
 
 
198,619
 

Income before taxes

 
 
64,346
 
 
 
42,237
 
 
 
246,264
 
 
 
159,997
 

Income tax expense

 
 
14,110
 
 
 
8,273
 
 
 
53,528
 
 
 
31,738
 

Net income

 
$ 
50,236
 
 
$ 
33,964
 
 
$ 
192,736
 
 
$ 
128,259
 

Independent Bank Group, Inc. and Subsidiaries
Consolidated Balance Sheets
As of December 31, 2019 and 2018
(Dollars in thousands)
(Unaudited)

 
December 31,
 

Assets

 
2019
 
 
2018
 

Cash and due from banks

 
$ 
186,299
 
 
$ 
102,024
 

Interest-bearing deposits in other banks

 
 
378,871
 
 
 
28,755
 

Cash and cash equivalents

 
 
565,170
 
 
 
130,779
 

Certificates of deposit held in other banks

 
 
5,719
 
 
 
1,225
 

Securities available for sale, at fair value

 
 
1,085,936
 
 
 
685,350
 

Loans held for sale

 
 
35,645
 
 
 
32,727
 

Loans, net

 
 
11,562,814
 
 
 
7,839,695
 

Premises and equipment, net

 
 
242,874
 
 
 
167,866
 

Other real estate owned

 
 
4,819
 
 
 
4,200
 

Federal Home Loan Bank (FHLB) of Dallas stock and other restricted stock

 
 
30,052
 
 
 
26,870
 

Bank-owned life insurance (BOLI)

 
 
215,081
 
 
 
129,521
 

Deferred tax asset

 
 
6,943
 
 
 
13,180
 

Goodwill

 
 
994,021
 
 
 
721,797
 

Other intangible assets, net

 
 
100,741
 
 
 
45,042
 

Other assets

 
 
108,392
 
 
 
51,713
 

Total assets

 
$ 
14,958,207
 
 
$ 
9,849,965
 

Liabilities and Stockholders' Equity

Deposits:

Noninterest-bearing

 
$ 
3,240,185
 
 
$ 
2,145,930
 

Interest-bearing

 
 
8,701,151
 
 
 
5,591,864
 

Total deposits

 
 
11,941,336
 
 
 
7,737,794
 

FHLB advances

 
 
325,000
 
 
 
290,000
 

Other borrowings

 
 
202,251
 
 
 
137,316
 

Junior subordinated debentures

 
 
53,824
 
 
 
27,852
 

Other liabilities

 
 
96,023
 
 
 
50,570
 

Total liabilities

 
 
12,618,434
 
 
 
8,243,532
 

Commitments and contingencies

Stockholders' equity:

Preferred stock

 
 
–
 
 
 
–
 

Common stock

 
 
430
 
 
 
306
 

Additional paid-in capital

 
 
1,926,359
 
 
 
1,317,616
 

Retained earnings

 
 
393,674
 
 
 
296,816
 

Accumulated other comprehensive income (loss)

 
 
19,310
 
 
 
(8,305
)

Total stockholders' equity

 
 
2,339,773
 
 
 
1,606,433
 

Total liabilities and stockholders' equity

 
$ 
14,958,207
 
 
$ 
9,849,965
 

Independent Bank Group, Inc. and Subsidiaries
Consolidated Average Balance Sheet Amounts, Interest Earned and Yield Analysis
Three Months Ended December 31, 2019 and 2018
(Dollars in thousands)
(Unaudited)

The analysis below shows average interest-earning assets and interest-bearing liabilities together with the average yield on the interest-earning assets and the average cost of the interest-bearing liabilities for the periods presented.

 
Three Months Ended December 31,
 

 
2019
 
 
2018
 

 
Average Outstanding Balance
 
 
Interest
 
 
Yield/Rate (4)
 
 
Average Outstanding Balance
 
 
Interest
 
 
Yield/Rate (4)
 

Interest-earning assets:

Loans (1)

 
$ 
11,566,271
 
 
$ 
153,963
 
 
 
5.28
%
 
$ 
7,762,950
 
 
$ 
106,798
 
 
 
5.46
%

Taxable securities

 
 
756,669
 
 
 
5,223
 
 
 
2.74
 
 
 
591,259
 
 
 
3,763
 
 
 
2.53
 

Nontaxable securities

 
 
321,377
 
 
 
2,056
 
 
 
2.54
 
 
 
164,687
 
 
 
1,105
 
 
 
2.66
 

Interest-bearing deposits and other

 
 
674,247
 
 
 
3,144
 
 
 
1.85
 
 
 
173,999
 
 
 
1,139
 
 
 
2.60
 

Total interest-earning assets

 
 
13,318,564
 
 
 
164,386
 
 
 
4.90
 
 
 
8,692,895
 
 
 
112,805
 
 
 
5.15
 

Noninterest-earning assets

 
 
1,772,818
 
 
 
 
 
 
 
 
 
 
 
1,333,256
 
 
 
 
 
 
 
 
 

Total assets

 
$ 
15,091,382
 
 
 
 
 
 
 
 
 
 
$ 
10,026,151
 
 
 
 
 
 
 
 
 

Interest-bearing liabilities:

Checking accounts

 
$ 
4,106,716
 
 
$ 
11,332
 
 
 
1.09
%
 
$ 
2,888,198
 
 
$ 
8,039
 
 
 
1.10
%

Savings accounts

 
 
568,007
 
 
 
331
 
 
 
0.23
 
 
 
299,670
 
 
 
241
 
 
 
0.32
 

Money market accounts

 
 
2,112,390
 
 
 
9,262
 
 
 
1.74
 
 
 
1,297,603
 
 
 
7,305
 
 
 
2.23
 

Certificates of deposit

 
 
1,873,835
 
 
 
9,909
 
 
 
2.10
 
 
 
1,136,868
 
 
 
5,176
 
 
 
1.81
 

Total deposits

 
 
8,660,948
 
 
 
30,834
 
 
 
1.41
 
 
 
5,622,339
 
 
 
20,761
 
 
 
1.46
 

FHLB advances

 
 
457,880
 
 
 
1,849
 
 
 
1.60
 
 
 
426,630
 
 
 
2,410
 
 
 
2.24
 

Other borrowings and repurchase agreements

 
 
203,888
 
 
 
2,916
 
 
 
5.67
 
 
 
137,278
 
 
 
2,099
 
 
 
6.07
 

Junior subordinated debentures

 
 
53,807
 
 
 
718
 
 
 
5.29
 
 
 
27,835
 
 
 
427
 
 
 
6.09
 

Total interest-bearing liabilities

 
 
9,376,523
 
 
 
36,317
 
 
 
1.54
 
 
 
6,214,082
 
 
 
25,697
 
 
 
1.64
 

Noninterest-bearing checking accounts

 
 
3,277,539
 
 
 
 
 
 
 
 
 
 
 
2,194,848
 
 
 
 
 
 
 
 
 

Noninterest-bearing liabilities

 
 
111,144
 
 
 
 
 
 
 
 
 
 
 
34,361
 
 
 
 
 
 
 
 
 

Stockholders' equity

 
 
2,326,176
 
 
 
 
 
 
 
 
 
 
 
1,582,860
 
 
 
 
 
 
 
 
 

Total liabilities and equity

 
$ 
15,091,382
 
 
 
 
 
 
 
 
 
 
$ 
10,026,151
 
 
 
 
 
 
 
 
 

Net interest income

 
 
 
 
 
$ 
128,069
 
 
 
 
 
 
 
 
 
 
$ 
87,108
 
 
 
 
 

Interest rate spread

 
 
 
 
 
 
 
 
 
 
3.36
%
 
 
 
 
 
 
 
 
 
 
3.51
%

Net interest margin (2)

 
 
 
 
 
 
 
 
 
 
3.81
 
 
 
 
 
 
 
 
 
 
 
3.98
 

Net interest income and margin (tax equivalent basis) (3)

 
 
 
 
 
$ 
129,057
 
 
 
3.84
 
 
 
 
 
 
$ 
87,613
 
 
 
4.00
 

Average interest-earning assets to interest-bearing liabilities

 
 
 
 
 
 
 
 
 
 
142.04
 
 
 
 
 
 
 
 
 
 
 
139.89
 

(1) Average loan balances include nonaccrual loans.
(2) Net interest margins for the periods presented represent: (i) the difference between interest income on interest-earning assets and the interest expense on interest-bearing liabilities, divided by (ii) average interest-earning assets for the period.
(3) A tax-equivalent adjustment has been computed using a federal income tax rate of 21%.
(4) Yield and rates for the three month periods are annualized.

Independent Bank Group, Inc. and Subsidiaries
Consolidated Average Balance Sheet Amounts, Interest Earned and Yield Analysis
For The Years Ended December 31, 2019 and 2018
(Dollars in thousands)
(Unaudited)

The analysis below shows average interest-earning assets and interest-bearing liabilities together with the average yield on the interest-earning assets and the average cost of the interest-bearing liabilities for the periods presented.

 
For The Years Ended December 31,
 

 
2019
 
 
2018
 

 
Average Outstanding Balance
 
 
Interest
 
 
Yield/Rate
 
 
Average Outstanding Balance
 
 
Interest
 
 
Yield/Rate
 

Interest-earning assets:

Loans (1)

 
$ 
11,179,161
 
 
$ 
611,589
 
 
 
5.47
%
 
$ 
7,254,635
 
 
$ 
384,791
 
 
 
5.30
%

Taxable securities

 
 
770,927
 
 
 
21,324
 
 
 
2.77
 
 
 
603,474
 
 
 
14,007
 
 
 
2.32
 

Nontaxable securities

 
 
329,687
 
 
 
8,482
 
 
 
2.57
 
 
 
177,348
 
 
 
4,580
 
 
 
2.58
 

Interest-bearing deposits and other

 
 
504,309
 
 
 
11,537
 
 
 
2.29
 
 
 
179,411
 
 
 
3,912
 
 
 
2.18
 

Total interest-earning assets

 
 
12,784,084
 
 
 
652,932
 
 
 
5.11
 
 
 
8,214,868
 
 
 
407,290
 
 
 
4.96
 

Noninterest-earning assets

 
 
1,771,231
 
 
 
 
 
 
 
 
 
 
 
1,264,066
 
 
 
 
 
 
 
 
 

Total assets

 
$ 
14,555,315
 
 
 
 
 
 
 
 
 
 
$ 
9,478,934
 
 
 
 
 
 
 
 
 

Interest-bearing liabilities:

Checking accounts

 
$ 
3,953,986
 
 
$ 
44,171
 
 
 
1.12
%
 
$ 
2,943,519
 
 
$ 
26,593
 
 
 
0.90
%

Savings accounts

 
 
540,741
 
 
 
1,335
 
 
 
0.25
 
 
 
290,325
 
 
 
703
 
 
 
0.24
 

Money market accounts

 
 
2,047,554
 
 
 
40,837
 
 
 
1.99
 
 
 
998,916
 
 
 
19,043
 
 
 
1.91
 

Certificates of deposit

 
 
1,795,391
 
 
 
37,041
 
 
 
2.06
 
 
 
1,009,644
 
 
 
14,428
 
 
 
1.43
 

Total deposits

 
 
8,337,672
 
 
 
123,384
 
 
 
1.48
 
 
 
5,242,404
 
 
 
60,767
 
 
 
1.16
 

FHLB advances

 
 
464,404
 
 
 
10,173
 
 
 
2.19
 
 
 
515,479
 
 
 
10,264
 
 
 
1.99
 

Other borrowings and repurchase agreements

 
 
201,066
 
 
 
11,590
 
 
 
5.76
 
 
 
137,549
 
 
 
8,398
 
 
 
6.11
 

Junior subordinated debentures

 
 
53,733
 
 
 
3,028
 
 
 
5.64
 
 
 
27,761
 
 
 
1,609
 
 
 
5.80
 

Total interest-bearing liabilities

 
 
9,056,875
 
 
 
148,175
 
 
 
1.64
 
 
 
5,923,193
 
 
 
81,038
 
 
 
1.37
 

Noninterest-bearing checking accounts

 
 
3,139,805
 
 
 
 
 
 
 
 
 
 
 
2,052,675
 
 
 
 
 
 
 
 
 

Noninterest-bearing liabilities

 
 
91,532
 
 
 
 
 
 
 
 
 
 
 
26,378
 
 
 
 
 
 
 
 
 

Stockholders' equity

 
 
2,267,103
 
 
 
 
 
 
 
 
 
 
 
1,476,688
 
 
 
 
 
 
 
 
 

Total liabilities and equity

 
$ 
14,555,315
 
 
 
 
 
 
 
 
 
 
$ 
9,478,934
 
 
 
 
 
 
 
 
 

Net interest income

 
 
 
 
 
$ 
504,757
 
 
 
 
 
 
 
 
 
 
$ 
326,252
 
 
 
 
 

Interest rate spread

 
 
 
 
 
 
 
 
 
 
3.47
%
 
 
 
 
 
 
 
 
 
 
3.59
%

Net interest margin (2)

 
 
 
 
 
 
 
 
 
 
3.95
 
 
 
 
 
 
 
 
 
 
 
3.97
 

Net interest income and margin (tax equivalent basis) (3)

 
 
 
 
 
$ 
508,498
 
 
 
3.98
 
 
 
 
 
 
$ 
328,090
 
 
 
3.99
 

Average interest-earning assets to interest-bearing liabilities

 
 
 
 
 
 
 
 
 
 
141.15
 
 
 
 
 
 
 
 
 
 
 
138.69
 

(1) Average loan balances include nonaccrual loans.
(2) Net interest margins for the periods presented represent: (i) the difference between interest income on interest-earning assets and the interest expense on interest-bearing liabilities, divided by (ii) average interest-earning assets for the period.
(3) A tax-equivalent adjustment has been computed using a federal income tax rate of 21%.

Independent Bank Group, Inc. and Subsidiaries
Loan Portfolio Composition
As of December 31, 2019 and 2018
(Dollars in thousands)
(Unaudited)

Totals loans by category

 
December 31,
2019
 
 
December 31,
2018
 

 
Amount
 
 
% of Total
 
 
Amount
 
 
% of Total
 

Commercial (1)

 
$ 
2,482,356
 
 
 
21.3
%
 
$ 
1,361,104
 
 
 
17.2
%

Real estate:

Commercial real estate

 
 
5,872,653
 
 
 
50.4
 
 
 
4,141,356
 
 
 
52.3
 

Commercial construction, land and land development

 
 
1,236,623
 
 
 
10.6
 
 
 
905,421
 
 
 
11.4
 

Residential real estate (2)

 
 
1,550,872
 
 
 
13.3
 
 
 
1,082,248
 
 
 
13.7
 

Single-family interim construction

 
 
378,120
 
 
 
3.2
 
 
 
331,748
 
 
 
4.2
 

Agricultural

 
 
97,767
 
 
 
0.9
 
 
 
66,638
 
 
 
0.8
 

Consumer

 
 
32,603
 
 
 
0.3
 
 
 
31,759
 
 
 
0.4
 

Other

 
 
621
 
 
 
–
 
 
 
253
 
 
 
–
 

Total loans

 
 
11,651,615
 
 
 
100.0
%
 
 
7,920,527
 
 
 
100.0
%

Deferred loan fees

 
 
(1,695
)
 
 
 
 
 
 
(3,303
)
 
 
 
 

Allowance for loan losses

 
 
(51,461
)
 
 
 
 
 
 
(44,802
)
 
 
 
 

Total loans, net

 
$ 
11,598,459
 
 
 
 
 
 
$ 
7,872,422
 
 
 
 
 

(1) Includes mortgage warehouse purchase loans of $687,317 and $170,290 at December 31, 2019 and December 31, 2018, respectively.
(2) Includes loans held for sale of $35,645 and $32,727 at December 31, 2019 and December 31, 2018, respectively.

Independent Bank Group, Inc. and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Three Months Ended December 31, 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018
(Dollars in thousands, except for share data)
(Unaudited)

 
For the Three Months Ended
 

 
December 31, 2019
 
 
September 30,
2019
 
 
June 30,
2019
 
 
March 31,
2019
 
 
December 31,
2018
 

ADJUSTED NET INCOME

Net Interest Income – Reported

(a)

 
$ 
128,069
 
 
$ 
125,393
 
 
$ 
129,643
 
 
$ 
121,652
 
 
$ 
87,108
 

Unexpected income recognized on credit impaired acquired loans

 
 
(791
)
 
 
(618
)
 
 
(2,695
)
 
 
(1,016
)
 
 
(967
)

Adjusted Net Interest Income

(b)

 
 
127,278
 
 
 
124,775
 
 
 
126,948
 
 
 
120,636
 
 
 
86,141
 

Provision Expense – Reported

(c)

 
 
1,609
 
 
 
5,233
 
 
 
4,739
 
 
 
3,224
 
 
 
2,910
 

Noninterest Income – Reported

(d)

 
 
18,229
 
 
 
27,324
 
 
 
16,199
 
 
 
16,424
 
 
 
9,887
 

Gain on sale of acquired loan pools

 
 
–
 
 
 
(6,779
)
 
 
–
 
 
 
–
 
 
 
–
 

Gain on sale of branch

 
 
–
 
 
 
(1,549
)
 
 
–
 
 
 
–
 
 
 
–
 

Gain on sale of trust business

 
 
(1,319
)
 
 
–
 
 
 
–
 
 
 
–
 
 
 
–
 

Gain on sale of other real estate

 
 
(24
)
 
 
(539
)
 
 
(312
)
 
 
–
 
 
 
(56
)

(Gain) loss on sale of securities available for sale

 
 
(10
)
 
 
–
 
 
 
(20
)
 
 
(245
)
 
 
232
 

Loss (gain) on sale and disposal of premises and equipment

 
 
–
 
 
 
315
 
 
 
279
 
 
 
(9
)
 
 
–
 

Recoveries on loans charged off prior to acquisition

 
 
(425
)
 
 
(107
)
 
 
(258
)
 
 
(1,311
)
 
 
(109
)

Adjusted Noninterest Income

(e)

 
 
16,451
 
 
 
18,665
 
 
 
15,888
 
 
 
14,859
 
 
 
9,954
 

Noninterest Expense – Reported

(f)

 
 
80,343
 
 
 
76,948
 
 
 
77,978
 
 
 
86,595
 
 
 
51,848
 

Separation expense

 
 
(3,421
)
 
 
–
 
 
 
–
 
 
 
–
 
 
 
–
 

OREO impairment

 
 
(377
)
 
 
–
 
 
 
(988
)
 
 
(436
)
 
 
–
 

Impairment of assets

 
 
–
 
 
 
(1,173
)
 
 
–
 
 
 
–
 
 
 
–
 

Acquisition expense (4)

 
 
(6,619
)
 
 
(10,885
)
 
 
(6,069
)
 
 
(19,171
)
 
 
(1,094
)

Adjusted Noninterest Expense

(g)

 
 
69,926
 
 
 
64,890
 
 
 
70,921
 
 
 
66,988
 
 
 
50,754
 

Adjusted Net Income (1)

(b) – (c) + (e) – (g)

 
$ 
56,799
 
 
$ 
57,827
 
 
$ 
52,928
 
 
$ 
52,028
 
 
$ 
34,120
 

ADJUSTED PROFITABILITY

Adjusted Return on Average Assets (2)

 
 
1.49
%
 
 
1.56
%
 
 
1.47
%
 
 
1.51
% 
 
 
1.35
% 

Adjusted Return on Average Equity (2)

 
 
9.69
%
 
 
10.06
%
 
 
9.47
%
 
 
9.51
%
 
 
8.5
%

Adjusted Return on Tangible Equity (2)

 
 
18.32
%
 
 
19.48
%
 
 
18.65
%
 
 
18.98
%
 
 
16.60
%

Total Average Assets

 
$ 
15,091,382
 
 
$ 
14,742,618
 
 
$ 
14,397,852
 
 
$ 
13,975,192
 
 
$ 
10,026,151
 

Total Average Stockholders' Equity

 
$ 
2,326,176
 
 
$ 
2,279,878
 
 
$ 
2,241,512
 
 
$ 
2,219,533
 
 
$ 
1,582,860
 

Total Average Tangible Stockholders' Equity (3)

 
$ 
1,230,344
 
 
$ 
1,177,851
 
 
$ 
1,138,340
 
 
$ 
1,111,668
 
 
$ 
815,533
 

EFFICIENCY RATIO

Amortization of other intangible assets

(h)

 
$ 
3,175
 
 
$ 
3,235
 
 
$ 
3,235
 
 
$ 
3,235
 
 
$ 
1,496
 

Reported Efficiency Ratio

(f – h) / (a + d)

 
 
52.75
%
 
 
48.27
%
 
 
51.25
%
 
 
60.37
%
 
 
51.91
%

Adjusted Efficiency Ratio

(g – h) / (b + e)

 
 
46.44
%
 
 
42.98
%
 
 
47.39
%
 
 
47.05
%
 
 
51.26
%

(1) Assumes an adjusted effective tax rate of 21.3%, 21.1%, 21.2%, 20.3%, and 19.6% for the quarters ended December 31, 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018, respectively.
(2) Calculated using adjusted net income.
(3) Excludes average balance of goodwill and net other intangible assets.
(4) Acquisition expenses include $1,349, $1,420, $2,346, $4,184 and $608, of compensation related expenses in addition to $5,270, $9,465, $3,723, $14,987 and $486 of merger-related expenses for the quarters ended December 31, 2019, September 30, 2019, June 30, 2019, March 31, 2019 and December 31, 2018, respectively.

Independent Bank Group, Inc. and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
As of December 31, 2019 and 2018
(Dollars in thousands, except per share information)
(Unaudited)

Tangible Book Value & Tangible Common Equity To Tangible Asset Ratio

 
December 31,
 

 
2019
 
 
2018
 

Tangible Common Equity

Total common stockholders' equity

 
$ 
2,339,773
 
 
$ 
1,606,433
 

Adjustments:

Goodwill

 
 
(994,021
)
 
 
(721,797
)

Other intangible assets, net

 
 
(100,741
)
 
 
(45,042
)

Tangible common equity

 
$ 
1,245,011
 
 
$ 
839,594
 

Tangible Assets

Total assets

 
$ 
14,958,207
 
 
$ 
9,849,965
 

Adjustments:

Goodwill

 
 
(994,021
)
 
 
(721,797
)

Other intangible assets, net

 
 
(100,741
)
 
 
(45,042
)

Tangible assets

 
$ 
13,863,445
 
 
$ 
9,083,126
 

Common shares outstanding

 
 
42,950,228
 
 
 
30,600,582
 

Tangible common equity to tangible assets

 
 
8.98
%
 
 
9.24
%

Book value per common share

 
$ 
54.48
 
 
$ 
52.50
 

Tangible book value per common share

 
 
28.99
 
 
 
27.44
 

SOURCE: Independent Bank Group, Inc.

ReleaseID: 574246

TAMPA, FL / ACCESSWIRE / January 27, 2020 / The Mosaic Company (NYSE:MOS) plans to release 2019 full year and fourth quarter earnings results on Wednesday, February 19, 2020 after the market close of the New York Stock Exchange. The company will issue a news wire alert when the earnings materials are publicly available on the company's website at www.mosaicco.com/investor/financialdata. Historical performance data, in a tabular form, is available on Mosaic's website.

The company will host a conference call to discuss the results on Thursday, February 20, 2020 beginning at 9:00 a.m. Eastern Time. The conference call webcast will be available on Mosaic's website.

About The Mosaic Company
The Mosaic Company is one of the world's leading producers and marketers of concentrated phosphate and potash crop nutrients. Mosaic is a single source provider of phosphates and potash fertilizers and feed ingredients for the global agriculture industry. More information on the company is available at www.mosaicco.com.

Contacts:

The Mosaic Company
Media:
Ben Pratt, 813-775-4206
ben.pratt@mosaicco.com
or
Investors:
Laura Gagnon, 813-775-4214
Lucy Terrill, 813-775-4219
investor@mosaicco.com

SOURCE: The Mosaic Company

ReleaseID: 574265

RICHARDSON, TX / ACCESSWIRE / January 27, 2020 / Optex Systems Holdings, Inc. (OTCQB:OPXS), a leading manufacturer of precision optical sighting systems for domestic and worldwide military and commercial applications, today announced a multi-year Indefinite Delivery Indefinite Quantity (IDIQ) award from Defense Logistics Agency Land and Maritime for periscopes for up to $3.6 million over a five-year period.

Danny Schoening, CEO of Optex Systems Holdings Inc., commented, "Optex continues to be the supplier of choice for periscopes by the Department of Defense and the major prime contractors producing Armored Vehicles. Optex continues to support our customers with product for new production and spares for those units in the field or currently undergoing refurbishment."

With this order, Optex's current backlog stands at over $23 Million.

ABOUT OPTEX SYSTEMS

Optex, which was founded in 1987, is a Richardson, Texas based ISO 9001:2015 certified concern, which manufactures optical sighting systems and assemblies, primarily for Department of Defense (DOD) applications. Its products are installed on various types of U.S. military land vehicles, such as the Abrams and Bradley fighting vehicles, Light Armored and Armored Security Vehicles, and have been selected for installation on the Stryker family of vehicles. Optex also manufactures and delivers numerous periscope configurations, rifle and surveillance sights, and night vision optical assemblies. Optex delivers its products both directly to the military services and to prime contractors. For additional information, please visit the Company's website at www.optexsys.com.

Safe Harbor Statement

This press release contains certain forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including those relating to the products and services described herein. You can identify these statements by the use of the words "may," "will," "could," "should," "would," "plans," "expects," "anticipates," "continue," "estimate," "project," "intend," "likely," "forecast," "probable," and similar expressions. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. Such risks and uncertainties include, but are not limited to, continued funding of defense programs and military spending, the timing of such funding, general economic and business conditions, including unforeseen weakness in the Company's markets, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing engineering and manufacturing programs, changes in customer order patterns, changes in product mix, continued success in technological advances and delivering technological innovations, changes in the U.S. Government's interpretation of federal procurement rules and regulations, changes in spending due to policy changes in any new federal presidential administration, market acceptance of the Company's products, shortages in components, production delays due to performance quality issues with outsourced components, inability to fully realize the expected benefits from acquisitions and restructurings or delays in realizing such benefits, challenges in integrating acquired businesses and achieving anticipated synergies, changes to export regulations, increases in tax rates, changes to generally accepted accounting principles, difficulties in retaining key employees and customers, unanticipated costs under fixed-price service and system integration engagements, changes in the market for microcap stocks regardless of growth and value and various other factors beyond our control.

You must carefully consider any such statement and should understand that many factors could cause actual results to differ from the Company's forward-looking statements. These factors include inaccurate assumptions and a broad variety of other risks and uncertainties, including some that are known and some that are not. No forward-looking statement can be guaranteed and actual future results may vary materially. The Company does not assume the obligation to update any forward-looking statement. You should carefully evaluate such statements in light of factors described in the Company's filings with the SEC, especially on Forms 10-K, 10-Q and 8-K. In various filings the Company has identified important factors that could cause actual results to differ from expected or historic results. You should understand that it is not possible to predict or identify all such factors. Consequently, you should not consider any such list to be a complete list of all potential risks or uncertainties.

Contact:

IR@optexsys.com
(972) 764-5718

SOURCE: Optex Systems Holdings, Inc.

ReleaseID: 574266

LOS ANGELES, CA / ACCESSWIRE / January 27, 2020 / MjLink.com Inc. a wholly owned subsidiary of Social Life Network, Inc. (OTCQB:WDLF), is pleased to announce FluroTech Ltd. (OTCQB:FLURF)(TSX:TEST), as a Featured Presenter at their MjMicro Virtual Investor Conference hosted by MjInvest on Wednesday, January 29th at 2:30pm ET.

The MjMicro Virtual Investor Conference, hosted by MjInvest.com, provides a platform for both public and private cannabis companies to pitch and present their stories to investors through an online virtual conference, while providing a unique opportunity for private and institutional investors access and deal-flow to the best-in-class cannabis companies in the world. The MjInvest digital platform also allows companies and investors the ability to communicate after the conference concludes through chat features and direct messaging capabilities.

During the virtual conference, Robert Achtymichuk, Director of Capital Markets from FluroTech, will host a featured presentation to update investors and analysts. FluroTech is a technology company that is changing how people view the cannabis testing industry. FluroTech is providing cannabis cultivators with a fast, accurate and cost-effective alternative to traditional laboratory testing. Our flagship technology, CompleTestTM uses fluorescence spectroscopy technology to provide cultivators with a portable, accurate, and efficient way to measure the THC and CBD in their product.

CLICK HERE to add the FluroTech online presentation to your calendar.

To access FluroTech's Virtual Presentation through the MjInvest Platform, please click this link on Wednesday, January 29th, 2020 at 11:30am PST / 2:30pm EST. https://www.mjinvest.com/flurotech-presentation

About MjLink.com, Inc.

MjLink.com Inc. a wholly owned subsidiary of Social Life Network, Inc. and is a cloud-based cannabis social network and digital media company based in Denver, Colorado. MjLink operates as a multinational cannabis technology and digital media organization with four industry specific social networks: WeedLife.com, a consumer-to-consumer social network, MjLink.com, a business-to-business social network, HempTalk.com, a business-to-consumer social network, and MjInvest.com, a cannabis industry investor network that produces the MjMicro Capital Conference.

For more information about Social Life Network, visit www.SocialNetwork.ai

Disclaimer

This news release may include forward-looking statements within the meaning of section 27A of the United States Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, with respect to achieving corporate objectives, developing additional project interests, the company's analysis of opportunities in the acquisition and development of various project interests and certain other matters. No information in this press release should be construed as any indication whatsoever of the Company's or MjLink's future financial results, revenues or stock price. These statements are made under the "Safe Harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein.

CONTACT:

Investor Relations
IR@Social-Life-Network.com
855-933-3277

SOURCE: Social Life Network, Inc.

ReleaseID: 574260

LOS ANGELES, CA / ACCESSWIRE / January 27, 2020 / The Schall Law Firm, a national shareholder rights litigation firm, announces the filing of a class action lawsuit against Mattel, Inc. ("Mattel" or "the Company") (NASDAQ:MAT) for violations of 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.

Investors who purchased the Company's securities between October 26, 2017 and August 8, 2019, inclusive (the ''Class Period''), are encouraged to contact the firm before February 24, 2020.

If you are a shareholder who suffered a loss, click here to participate.

We also encourage you to contact Brian Schall of the Schall Law Firm, 1880 Century Park East, Suite 404, Los Angeles, CA 90067, at 424-303-1964, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at brian@schallfirm.com.

The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.

According to the Complaint, the Company made false and misleading statements to the market. Mattel failed to maintain effective financial controls and internal disclosures. The Company was forced to amend its 2018 annual report on Form 10-K restating its financial results for the third and fourth quarter of 2017. Based on these facts, the Company's public statements were false and materially misleading throughout the class period. When the market learned the truth about Mattel investors suffered damages.

Join the case to recover your losses.

The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.

CONTACT:

The Schall Law Firm
Brian Schall, Esq.
www.schallfirm.com
Office: 310-301-3335
Cell: 424-303-1964
info@schallfirm.com

SOURCE: The Schall Law Firm

ReleaseID: 574243

LOS ANGELES, CA / ACCESSWIRE / January 27, 2020 / The Schall Law Firm, a national shareholder rights litigation firm, announces the filing of a class action lawsuit against Green Dot Corporation ("Green Dot" or "the Company") (NYSE:GDOT) for violations of 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.

Investors who purchased the Company's securities between May 9, 2018 and November 7, 2019, inclusive (the ''Class Period''), are encouraged to contact the firm before February 17, 2020.

If you are a shareholder who suffered a loss, click here to participate.

We also encourage you to contact Brian Schall of the Schall Law Firm, 1880 Century Park East, Suite 404, Los Angeles, CA 90067, at 424-303-1964, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at brian@schallfirm.com.

The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.

According to the Complaint, the Company made false and misleading statements to the market. Green Dot's focus on attracting "high value" consumer banking customers came at the expense of so-called "low value" or "one-time use" customers, which are an important part of the Company's revenue stream. During the November 7, 2019, conference call following the release of its financial results for the third quarter ending September 30, 2019, the company's CEO admitted a continuing decline of active accounts which were mostly "one-time use accounts." Based on these facts, the Company's public statements were false and materially misleading throughout the class period. When the market learned the truth about Green Dot, investors suffered damages.

Join the case to recover your losses.

The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.

CONTACT:

The Schall Law Firm
Brian Schall, Esq.,
www.schallfirm.com
Office: 310-301-3335
Cell: 424-303-1964
info@schallfirm.com

SOURCE: The Schall Law Firm

ReleaseID: 574247