Trinity Bank Reports Return on Assets of 1.91%

Return on Equity 13.90%
Tier 1 Leverage Ratio 13.70%

FORT WORTH, TX / ACCESSWIRE / April 24, 2019 / Trinity Bank N.A. (OTC PINK: TYBT) today announced operating results for the three months ending March 31, 2019.

Results of Operations

Trinity Bank, N.A. reported Net Income After Taxes of $1,202,000 or $1.08 per diluted common share for the first quarter of 2019, compared to $1,129,000 or $1.00 per diluted common share for the first quarter of 2018, an increase of 8.0%.

Jeffrey M. Harp, President, stated, “First Quarter 2019 results were very good. Return on Assets of 1.91% reflects very favorably to the Peer Group average ROA of 1.19%, and Trinity Bank continues to operate with exceptional efficiency. The current economic environment is volatile (to say the least), but we look forward to meeting the challenge with the goal of producing exceptional results.”

Executive Vice President, Matt Opitz, stated, “We are pleased to announce that Travis Smart has accepted an offer to join the Trinity Bank team as Vice President of commercial banking. Travis brings with him a proven ability to generate and maintain quality commercial banking relationships. With the addition of Travis, Trinity Bank, in the last 18 months, has gone from two lenders (Barney Wiley and Jeff Harp) to five. We are excited about what five revenue producers will mean for Trinity’s goal to continue growing and expanding our customer base in the North Texas marketplace.”

Profitability

3/31/2019

3/31/2018

Return on Assets

1.91%

1.73%

Return on Equity

13.90%

14.34%

Average for Quarter Ending

3/31/2019

3/31/2018

(in 000’s)

Loans

$152,227

$137,942

10.4

Deposits

$216,220

$228,828

(5.5)

Trinity Bank First Quarter 2019

Actual for Quarter Ending

(in 000’s)

3/31/2019

3/31/2018

Net Interest Income

$2,420

$2,277

6.3

Non-Interest Income

123

129

(4.7)

Non-Interest Expense

(1,129)

(1,131)

(0.2)

Pretax Preprovision Income

$1,414

$1,275

10.9

Gain on Sale of Securities and Assets

(2)

N/M

Loan Loss Provision

(30)

N/M

Pre Tax Income

1,382

1,275

8.4

Income Tax

180

146

N/M

Net Income

$1,202

$1,129

6.5

Diluted Weighted Average Shares

1,118

1,125

Earnings per Share

$1.08

$1.00

8.0

Trinity Bank, N.A. is a commercial bank that began operations May 28, 2003. For a full financial statement, visit Trinity Bank’s website: www.trinitybk.com Regulatory reporting format is also available at www.fdic.gov.

For information contact:

Richard Burt
Executive Vice President
Trinity Bank
817-763-9966

This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding future financial conditions, results of operations and the Bank’s business operations. Such forward-looking statements involve risks, uncertainties and assumptions, including, but not limited to, monetary policy and general economic conditions in Texas and the greater Dallas-Fort Worth metropolitan area, the risks of changes in interest rates on the level and composition of deposits, loan demand and the values of loan collateral, securities and interest rate protection agreements, the actions of competitors and customers, the success of the Bank in implementing its strategic plan, the failure of the assumptions underlying the reserves for loan losses and the estimations of values of collateral and various financial assets and liabilities, that the costs of technological changes are more difficult or expensive than anticipated, the effects of regulatory restrictions imposed on banks generally, any changes in fiscal, monetary or regulatory policies and other uncertainties as discussed in the Bank’s Registration Statement on Form SB‑1 filed with the Office of the Comptroller of the Currency. Should one or more of these risks or uncertainties materialize, or should these underlying assumptions prove incorrect, actual outcomes may vary materially from outcomes expected or anticipated by the Bank. A forward-looking statement may include a statement of the assumptions or bases underlying the forward‑looking statement. The Bank believes it has chosen these assumptions or bases in good faith and that they are reasonable. However, the Bank cautions you that assumptions or bases almost always vary from actual results, and the differences between assumptions or bases and actual results can be material. The Bank undertakes no obligation to publicly update or otherwise revise any forward‑looking statements, whether as a result of new information, future events or otherwise, unless the securities laws require the Bank to do so.

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Quarter Ended

March 31

EARNINGS SUMMARY

2019

2018

Change

Interest income

$
2,814

$
2,486

13.2
%

Interest expense

394

209

88.5
%

Net Interest Income

2,420

2,277

6.3
%

Service charges on deposits

-4.8
%

Other income

-4.6
%

Total Non Interest Income

123

129

-4.7
%

Salaries and benefits expense

763

628

21.5
%

Occupancy and equipment expense

107

121

-11.6
%

Other expense

259

382

-32.2
%

Total Non Interest Expense

1,129

1,131

-0.2
%

Pretax pre-provision income

1,414

1,275

10.9
%

Gain on sale of securities

(2
)

N/M

Gain on sale of foreclosed assets

N/M

Gain on sale of assets

N/M

Provision for Loan Losses

N/M

Earnings before income taxes

1,382

1,275

8.4
%

Provision for income taxes

180

146

N/M

Net Earnings

$
1,202

$
1,129

6.5
%

Basic earnings per share

1.09

1.02

6.9
%

Basic weighted average shares

1,099

1,106

outstanding

Diluted earnings per share – estimate

1.08

1.00

8.0
%

Diluted weighted average shares outstanding

1,118

1,125

Average for Quarter

March 31

BALANCE SHEET SUMMARY

2019

2018

Change

Total loans

$
152,227

$
137,942

10.4
%

Total short term investments

12,728

23,035

-44.7
%

Total investment securities

79,278

92,926

-14.7
%

Earning assets

244,233

253,903

-3.8
%

Total assets

251,901

260,399

-3.3
%

Noninterest bearing deposits

73,881

82,622

-10.6
%

Interest bearing deposits

142,339

146,206

-2.6
%

Total deposits

216,220

228,828

-5.5
%

Fed Funds Purchased and Repurchase Agreements

1,187

N/M

Shareholders’ equity

$
33,940

$
31,308

8.4
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Average for Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

BALANCE SHEET SUMMARY

2019

2018

Total loans

$
152,227

$
144,801

$
145,280

$
147,227

$
137,942

Total short term investments

12,728

23,175

18,368

10,843

23,035

Total investment securities

79,278

79,700

80,509

84,981

92,926

Earning assets

244,233

247,676

244,157

243,051

253,903

Total assets

251,901

255,113

251,839

250,070

260,399

Noninterest bearing deposits

73,881

81,187

83,151

80,637

82,622

Interest bearing deposits

142,339

141,081

135,815

135,940

146,206

Total deposits

216,220

222,268

218,966

216,577

228,828

Fed Funds Purchased and Repurchase Agreements

1,187

1,566

Shareholders’ equity

$
33,940

$
31,948

$
32,151

$
31,236

$
31,308

Quarter Ended

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

HISTORICAL EARNINGS SUMMARY

2019

2018

Interest income

$
2,814

$
2,785

$
2,658

$
2,591

$
2,486

Interest expense

394

358

309

241

209

Net Interest Income

2,420

2,427

2,349

2,350

2,277

Service charges on deposits

Other income

101

111

100

Total Non Interest Income

123

132

149

137

129

Salaries and benefits expense

763

757

707

731

628

Occupancy and equipment expense

107

120

119

106

121

Other expense

259

289

272

302

382

Total Non Interest Expense

1,129

1,166

1,098

1,139

1,131

Pretax pre-provision income

1,414

1,393

1,400

1,348

1,275

Gain on sale of securities

(2
)

Gain on sale of foreclosed assets

Gain on sale of other assets

Provision for Loan Losses

Earnings before income taxes

1,382

1,366

1,374

1,325

1,275

Provision for income taxes

180

166

184

166

146

Net Earnings

$
1,202

$
1,200

$
1,190

$
1,159

$
1,129

Diluted earnings per share

$
1.08

$
1.07

$
1.03

$
1.00

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Ending Balance

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

HISTORICAL BALANCE SHEET

2019

2018

Total loans

$
160,028

$
154,184

$
143,846

$
150,833

$
142,848

Total short term investments

14,160

13,127

23,080

7,454

20,766

Total investment securities

75,906

81,896

79,234

78,840

93,034

Total earning assets

250,094

249,207

246,160

237,127

256,648

Allowance for loan losses

(1,703
)

(1,671
)

(1,664
)

(1,634
)

(1,604
)

Premises and equipment

2,613

2,627

2,652

2,729

2,725

Other Assets

5,506

7,018

5,892

7,582

5,046

Total assets

256,510

257,181

253,040

245,804

262,815

Noninterest bearing deposits

69,934

85,668

81,856

79,678

86,903

Interest bearing deposits

150,895

137,979

137,926

133,922

143,929

Total deposits

220,829

223,647

219,782

213,600

230,832

Fed Funds Purchased and Repurchase Agreements

Other Liabilities

1,158

701

1,311

610

1,143

Total liabilities

221,987

224,348

221,093

214,210

231,975

Shareholders’ Equity Actual

34,522

34,051

32,772

32,244

31,497

Unrealized Gain – AFS

(1,218
)

(825
)

(650
)

(657
)

Total Equity

$
34,523

$
32,833

$
31,947

$
31,594

$
30,840

Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

NONPERFORMING ASSETS

2019

2018

Nonaccrual loans

$
952

$
60

$
137

$
179

$
224

Restructured loans

$
0

Other real estate & foreclosed assets

$
0

Accruing loans past due 90 days or more

$
0

Total nonperforming assets

$
952

$
60

$
137

$
179

$
224

Accruing loans past due 30-89 days

$
477

$
0

$
456

$
458

$
0

Total nonperforming assets as a percentage

of loans and foreclosed assets

0.59
%

0.04
%

0.10
%

0.12
%

0.16
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Quarter Ending

ALLOWANCE FOR

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

LOAN LOSSES

2019

2018

Balance at beginning of period

$
1,671

$
1,664

$
1,634

$
1,604

$
1,600

Loans charged off

Loan recoveries

Net (charge-offs) recoveries

(23
)

Provision for loan losses

Balance at end of period

$
1,703

$
1,671

$
1,664

$
1,634

$
1,604

Allowance for loan losses

as a percentage of total loans

1.06
%

1.08
%

1.10
%

1.08
%

1.12
%

Allowance for loan losses

as a percentage of nonperforming assets

179
%

2785
%

930
%

913
%

716
%

Net charge-offs (recoveries) as a

percentage of average loans

-0.01
%

0.02
%

0.00
%

-0.01
%

Provision for loan losses

as a percentage of average loans

0.02
%

0.00
%

Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

SELECTED RATIOS

2019

2018

Return on average assets (annualized)

1.91
%

1.88
%

1.89
%

1.85
%

1.73
%

Return on average equity (annualized)

14.17
%

15.02
%

14.81
%

14.84
%

14.42
%

Return on average equity (excluding unrealized gain on investments)

13.90
%

14.39
%

14.53
%

14.51
%

14.34
%

Average shareholders’ equity to average assets

13.47
%

12.52
%

12.77
%

12.49
%

12.02
%

Yield on earning assets (tax equivalent)

4.86
%

4.75
%

4.59
%

4.53
%

4.19
%

Effective Cost of Funds

0.64
%

0.58
%

0.51
%

0.40
%

0.33
%

Net interest margin (tax equivalent)

4.22
%

4.17
%

4.08
%

4.13
%

3.86
%

Efficiency ratio (tax equivalent)

41.9
%

37.9
%

41.5
%

43.0
%

43.9
%

End of period book value per common share

$
31.44

$
29.85

$
29.07

$
28.13

$
27.88

End of period book value (excluding unrealized gain on investments)

$
31.44

$
30.96

$
29.82

$
29.31

$
28.48

End of period common shares outstanding (in 000’s)

1,098

1,100

1,099

1,100

1,106

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

3 Months Ending

March 31, 2019

March 31, 2018

Tax

Average

Equivalent

Average

Equivalent

YIELD ANALYSIS

Balance

Interest

Yield

Balance

Interest

Yield

Interest Earning Assets:

Short term investment

$
12,350

2.46
%

$
22,661

1.57
%

FRB Stock

378

6.00
%

374

6.00
%

Taxable securities

911

2.20
%

0.00
%

Tax Free securities

78,367

579

2.96
%

3.74
%

92,926

649

2.79
%

3.53
%

Loans

152,227

2,148

5.64
%

137,942

1,742

5.05
%

Total Interest Earning Assets

244,233

2,814

4.61
%

4.86
%

253,903

2,486

3.92
%

4.19
%

Noninterest Earning Assets:

Cash and due from banks

4,904

3,767

Other assets

4,447

4,333

Allowance for loan losses

(1,683
)

(1,604
)

Total Noninterest Earning Assets

7,668

6,496

Total Assets

$
251,901

$
260,399

Interest Bearing Liabilities:

Transaction and Money Market accounts

115,560

261

0.90
%

120,745

146

0.48
%

Certificates and other time deposits

26,779

124

1.85
%

25,461

0.99
%

Other borrowings

1,187

3.03
%

0.30
%

Total Interest Bearing Liabilities

143,526

394

1.10
%

146,206

209

0.57
%

Noninterest Bearing Liabilities:

Demand deposits

73,881

82,622

Other liabilities

554

263

Shareholders’ Equity

33,940

31,308

Total Liabilities and Shareholders Equity

$
251,901

$
260,399

Net Interest Income and Spread

2,420

3.51
%

3.76
%

2,277

3.34
%

3.62
%

Net Interest Margin

3.96
%

4.22
%

3.58
%

3.86
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

March 31

2019

2018

LOAN PORTFOLIO

Commercial and industrial

$
92,873

58.04
%

$
78,423

54.86
%

Real estate:

Commercial

24,424

15.26
%

20,664

14.46
%

Residential

16,895

10.56
%

24,766

17.33
%

Construction and development

25,215

15.76
%

18,552

12.98
%

Consumer

621

0.39
%

539

0.38
%

Total loans (gross)

160,028

100.00
%

142,944

100.00
%

Unearned discounts

0.00
%

Total loans (net)

$
160,028

100.00
%

$
142,944

100.00
%

March 31

2018

REGULATORY CAPITAL DATA

Tier 1 Capital

$
34,522

$
31,497

Total Capital (Tier 1 + Tier 2)

$
36,225

$
33,101

Total Risk-Adjusted Assets

$
174,228

$
160,648

Tier 1 Risk-Based Capital Ratio

19.81
%

19.61
%

Total Risk-Based Capital Ratio

20.79
%

20.60
%

Tier 1 Leverage Ratio

13.70
%

12.10
%

OTHER DATA

Full Time Equivalent

Employees (FTE’s)

Stock Price Range

(For the Three Months Ended):

High

$
65.50

$
59.83

Low

$
65.50

$
58.50

$
65.50

$
59.05

SOURCE: Trinity Bank N.A.

ReleaseID: 542895

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