BELOIT, WI / ACCESSWIRE / April 19, 2018 / Blackhawk Bancorp, Inc. (OTCQX: BHWB) reported net income of $1.45 million for the quarter ended March 31, 2018, a 6% increase over the $1.37 million earned the previous quarter, and a 26% increase over the $1.15 million earned the first quarter of 2017. Fully diluted earnings per share for the first quarter increased $0.02 to $0.44 compared to $0.42 the quarter ended December 31, 2017, and decreased by $0.02 compared to $0.46 for the quarter ended March 31, 2017.
"We have continued to add staff and resources to pursue growth within our current footprint and to expand into contiguous markets," said Rick Bastian, the company's Chairman & CEO. "While the increasing expense structure has slowed our earnings growth in the short run, the investments in increased capacity have positioned the company for substantial growth going forward," he added.
Total assets increased by $21.6 million, or 3%, to $742.2 million at March 31, 2018 compared to $720.6 million as of December 31, 2017. Net loans grew by $17.3 million, or 4%, during the first quarter to $497.6 million compared to $480.3 million at the end of the prior year. Total deposits increased by $39.1 million, or 6%, to $656.1 million compared to $617.0 million at the end of 2017.
The following table summarizes the net income and the key ratios for the last five quarters:
|
Quarter Ended
|
||||||||||||||||||||
|
(dollars in thousands, except per share data)
|
Mar 31,
2018
|
Dec 31,
2017
|
Sep 30,
2017
|
Jun 30,
2017
|
Mar 31,
2017
|
|||||||||||||||
|
Net income
|
$ | 1,452 | $ | 1,371 | $ | 1,932 | $ | 1,745 | $ | 1,151 | ||||||||||
|
Diluted EPS
|
$ | 0.44 | $ | 0.42 | $ | 0.59 | $ | 0.53 | $ | 0.46 | ||||||||||
|
ROAA
|
.81 | % | .77 | % | 1.09 | % | 1.01 | % | .70 | % | ||||||||||
|
ROAE
|
7.59 | % | 7.66 | % | 10.01 | % | 9.38 | % | 8.49 | % | ||||||||||
|
Net interest margin (1)
|
3.83 | % | 3.79 | % | 3.77 | % | 3.68 | % | 3.55 | % | ||||||||||
|
Efficiency ratio (1) (2)
|
72.8 | % | 72.6 | % | 65.9 | % | 66.3 | % | 74.7 | % | ||||||||||
(1) Net interest margin and efficiency ratio are calculated on a tax-equivalent basis
(2) Efficiency ratio is calculated excluding net securities gains (losses) and other gains (losses)
Net Interest Income
Net interest income for the first quarter totaled $6.28 million, increasing $230 thousand, or 4%, compared to $6.05 million for the quarter ended December 31, 2017, and by $1.08 million, or 21%, compared to $5.20 million for the first quarter last year. The net interest margin for the quarter ended March 31, 2018 was 3.83%, a four basis point increase compared to 3.79% for the quarter ended December 31, 2017 and a twenty-eight basis point increase over the 3.55% net interest margin for the first quarter of last year.
Compared to the most recent quarter ended December 31, 2017 average total loans increased $11.5 million, or 2%, to $485.3 million, and average total deposits increased $28.2 million, or 5%, to $640.6 million. Compared to the first quarter of 2017 average total loans increased by $69.8 million, or 17%, to $485.3 million. Average total deposits increased $52.8 million, or 9%, to $640.6 million.
Provision for Loan Losses and Credit Quality
The provision for loan losses for the quarter ended March 31, 2018 totaled $510 thousand, compared to $710 thousand for quarter ended December 31, 2017 and $360 thousand for the first quarter of 2017.
Total nonperforming assets, which include troubled debt restructures that are performing in accordance with their modified terms, equaled $8.62 million as of March 31, 2018 compared to $8.65 million as of December 31, 2017 and $14.6 million at March 31, 2017. At March 31, 2018, the ratio of nonperforming assets to total assets equaled 1.16% compared to 1.20% at December 31, 2017 and 2.17% at March 31, 2017.
While total nonperforming assets are substantially unchanged from the most recent quarter, credit quality continues to improve. The company realized net recoveries of $136 thousand during the first quarter. The net recoveries combined with the $510 thousand provision for loan losses increased the ratio of the allowance for loan losses to total loans to 1.22% as of March 31, 2018 compared to 1.13% at December 31, 2017. The ratio of the allowance for loan losses to nonperforming loans increased to 75.9% as of March 31, 2018 compared to 67.2% at December 31, 2017.
Non-Interest Income and Operating Expenses
Non-interest income for the quarter ended March 31, 2018 totaled $2.49 million, a $40 thousand decrease compared to $2.53 million for the quarter ended December 31, 2017 and a $300 thousand increase over $2.19 million for the first quarter of 2017. The decrease from the most recent quarter included a $225 thousand decrease in gain on sale of loans, which was offset be a $165 thousand increase in net gain (loss) on sale of securities. The increase in non-interest income compared to the first quarter of 2017 includes growth in deposit service charges, gain on sale of loans and debit card revenue.
Operating expenses for the quarter ended March 31, 2018 totaled $6.56 million, increasing by $53 thousand compared to the quarter ended December 31, 2017, and by $880 thousand, or 16%, compared to the first quarter of 2017. The increase in expenses compared to the first quarter of last year included a $685 thousand increase in salary and benefits and a $226 thousand increase in occupancy and equipment expense. The increases are the result of talent added to increase capacity in the company's business and mortgage banking areas. The increase also includes costs related to the Janesville, Wisconsin full service branch, which opened in the fourth 2017 and the Elgin, Illinois loan production office, which opened during the first quarter of 2018.
Income Taxes
The provision for income taxes increased $257 thousand to $254 thousand dollars for the first quarter of 2017 compared to a net tax benefit of $3 thousand dollars for the quarter ended December 31, 2017. During the fourth quarter of 2017 the company reversed a valuation allowance related to a state net operating loss carryover, reducing the provision for income taxes by $310 thousand. The tax benefit from the reversal of the valuation allowance was partially offset by a charge of $92,000 as a result of the enactment of The Tax Cuts and Jobs Act of 2017. The provision for income taxes for the quarter increased by $49,000 compared to $205 thousand the first quarter of 2017. The company realized approximately $90,000 in tax savings in the first quarter of 2017 due to the reduction in tax rates.
Capital
As of March 31, 2018, the company's tier 1 leverage and total risk based capital ratios were 10.79% and 14.62%, compared to 11.05% and 14.74%, respectively, at December 31, 2017.
Outlook
Blackhawk expects to grow by pursuing creditworthy and profitable business and consumer relationships in its Wisconsin and Illinois markets, emphasizing the value of its personal attention and service that remains unmatched by larger competitors. Growth, combined with ongoing strengthening of the company's credit quality, is expected to lead to improved earnings. Growth and earnings could however be tempered by uncertain economic conditions, competitive pressures, regulatory burden and the interest rate environment.
About Blackhawk Bancorp
Blackhawk Bancorp, Inc. is headquartered in Beloit, Wisconsin and is the parent company of Blackhawk Bank, which operates eight banking centers in south central Wisconsin and north central Illinois, along the I-90 corridor from Belvidere, Illinois to Janesville, Wisconsin. Blackhawk's locations serve individuals and small businesses, primarily with fewer than 200 employees. The company offers a variety of value-added consultative services to small businesses and their employees related to the financial products it provides.
Forward-Looking Statements
When used in this communication, the words "believes," "expects," and similar expressions are intended to identify forward-looking statements. The company's actual results may differ materially from those described in the forward-looking statements. Factors which could cause such a variance to occur include, but are not limited to: heightened competition; adverse state and federal regulation; failure to obtain new or retain existing customers; ability to attract and retain key executives and personnel; changes in interest rates; unanticipated changes in industry trends; unanticipated changes in credit quality and risk factors, including general economic conditions; success in gaining regulatory approvals when required; changes in the Federal Reserve Board monetary policies; unexpected outcomes of new and existing litigation in which Blackhawk or its subsidiaries, officers, directors or employees is named defendants; technological changes; changes in accounting principles generally accepted in the United States; changes in assumptions or conditions affecting the application of "critical accounting policies"; inability to recover previously recorded losses as anticipated, and the inability of third party vendors to perform critical services for the company or its customers.
Further information is available on the company's website at www.blackhawkbank.com.
For further information:
Blackhawk Bancorp, Inc.
R. Richard Bastian, III, Chairman & CEO
[email protected]
Todd J. James, EVP & CFO
[email protected]
Phone: (608) 364-8911
BLACKHAWK BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
MARCH 31, 2018 AND DECEMBER 31, 2017
(UNAUDITED)
|
March 31,
|
December 31,
|
|||||||
|
Assets
|
2018
|
2017
|
||||||
|
(Amounts in thousands, except
|
||||||||
|
share and per share data)
|
||||||||
|
Cash and due from banks
|
$ | 16,727 | $ | 19,326 | ||||
|
Interest-bearing deposits in banks and other
|
13,503 | 2,215 | ||||||
|
Total cash and cash equivalents
|
30,230 | 21,541 | ||||||
|
Securities available-for-sale
|
171,814 | 176,350 | ||||||
|
Loans held for sale
|
2,959 | 747 | ||||||
|
Federal Home Loan Bank stock, at cost
|
492 | 654 | ||||||
|
Loans, less allowance for loan losses of $6,149 and $5,093
|
||||||||
|
at March 31, 2018 and December 31, 2017, respectively
|
494,671 | 479,539 | ||||||
|
Premises and equipment, net
|
11,646 | 11,120 | ||||||
|
Goodwill
|
5,037 | 5,037 | ||||||
|
Mortgage Servicing rights
|
2,528 | 2,508 | ||||||
|
Cash surrender value of bank-owned life insurance
|
10,594 | 10,512 | ||||||
|
Other assets
|
12,483 | 12,613 | ||||||
|
Total assets
|
$ | 742,454 | $ | 720,621 | ||||
|
Liabilities and Stockholders' Equity
|
||||||||
|
Liabilities
|
||||||||
|
Deposits:
|
||||||||
|
Noninterest-bearing
|
$ | 120,907 | $ | 115,724 | ||||
|
Interest-bearing
|
535,207 | 501,271 | ||||||
|
Total deposits
|
656,114 | 616,995 | ||||||
|
Subordinated debentures and notes (including $1,031 at fair value at
|
||||||||
|
March 31, 2018 and December 31, 2017)
|
5,155 | 5,155 | ||||||
|
Other borrowings
|
- | 16,228 | ||||||
|
Other liabilities
|
3,185 | 4,109 | ||||||
|
Total liabilities
|
664,454 | 642,487 | ||||||
|
Stockholders’ equity
|
||||||||
|
Common stock, $0.01 par value, 10,000,000 shares authorized;
|
||||||||
|
3,364,092 and 3,347,552 shares issued as of March 31, 2018 and
|
||||||||
|
December 31, 2017, respectively
|
34 | 34 | ||||||
|
Additional paid-in capital
|
33,025 | 32,874 | ||||||
|
Retained earnings
|
46,276 | 45,114 | ||||||
|
Treasury stock, 91,043 and 95,065 shares at cost as of March 31, 2018
|
||||||||
|
and December 31, 2017, respectively
|
(1,015) | (1,124) | ||||||
|
Accumulated other comprehensive income (loss)
|
(320) | 1,236 | ||||||
|
Total stockholders' equity
|
78,000 | 78,134 | ||||||
|
Total liabilities and stockholders' equity
|
$ | 742,454 | $ | 720,621 | ||||
BLACKHAWK BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
|
Three months ended March 31,
|
||||||||
|
2018
|
2017
|
|||||||
|
(Amounts in thousands, except per share data)
|
||||||||
|
Interest Income:
|
||||||||
|
Interest and fees on loans
|
$ | 5,875 | $ | 4,688 | ||||
|
Interest on available-for-sale securities:
|
||||||||
|
Taxable
|
772 | 764 | ||||||
|
Tax-exempt
|
375 | 371 | ||||||
|
Interest on interest-bearing deposits and other
|
73 | 14 | ||||||
|
Total interest income
|
7,095 | 5,837 | ||||||
|
Interest Expense:
|
||||||||
|
Interest on deposits
|
752 | 401 | ||||||
|
Interest on subordinated debentures and notes
|
53 | 162 | ||||||
|
Interest on senior secured term note
|
- | 67 | ||||||
|
Interest on other borrowings
|
12 | 9 | ||||||
|
Total interest expense
|
817 | 639 | ||||||
|
Net interest income before provision for loan losses
|
6,278 | 5,198 | ||||||
|
Provision for loan losses
|
510 | 360 | ||||||
|
Net interest income after provision for loan losses
|
5,768 | 4,838 | ||||||
|
Noninterest Income:
|
||||||||
|
Service charges on deposits accounts
|
741 | 668 | ||||||
|
Net gain on sale of loans
|
470 | 378 | ||||||
|
Net loan servicing income
|
177 | 192 | ||||||
|
Debit card interchange fees
|
695 | 576 | ||||||
|
Net gains (losses) on sales of securities available-for-sale
|
6 | - | ||||||
|
Net other gains (losses)
|
(6) | (14) | ||||||
|
Increase in cash surrender value of bank-owned life insurance
|
81 | 83 | ||||||
|
Other
|
330 | 311 | ||||||
|
Total noninterest income
|
2,494 | 2,194 | ||||||
|
Noninterest Expenses:
|
||||||||
|
Salaries and employee benefits
|
3,867 | 3,182 | ||||||
|
Occupancy and equipment
|
832 | 606 | ||||||
|
Data processing
|
395 | 398 | ||||||
|
Debit card processing and issuance
|
293 | 272 | ||||||
|
Advertising and marketing
|
153 | 101 | ||||||
|
Professional fees
|
256 | 259 | ||||||
|
Office Supplies
|
110 | 81 | ||||||
|
Telephone
|
124 | 112 | ||||||
|
Other
|
526 | 665 | ||||||
|
Total noninterest expenses
|
6,556 | 5,676 | ||||||
|
Income before income taxes
|
1,706 | 1,356 | ||||||
|
Provision for income taxes
|
254 | 205 | ||||||
|
Net income
|
$ | 1,452 | $ | 1,151 | ||||
|
Key Ratios
|
||||||||
|
Basic Earnings Per Common Share
|
$ | 0.44 | $ | 0.46 | ||||
|
Diluted Earnings Per Common Share
|
0.44 | 0.46 | ||||||
|
Dividends Per Common Share
|
0.08 | 0.04 | ||||||
|
Net Interest Margin (1)
|
3.83 | % | 3.55 | % | ||||
|
Efficiency Ratio (1)(2)
|
73.84 | % | 74.68 | % | ||||
|
Return on Assets
|
0.81 | % | 0.70 | % | ||||
|
Return on Common Equity
|
7.59 | % | 8.49 | % | ||||
(1) Net interest margin and the efficiency ratio are calculated on a taxable-equivalent basis
(2) Efficiency ratio is calculated excluding net securities gains (losses) and other gains (losses)
BLACKHAWK BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
|
For the Quarter Ended
|
||||||||||||||||||||
|
March 31,
|
December 31,
|
September 30,
|
June 30,
|
March 31,
|
||||||||||||||||
|
2018
|
2017
|
2017
|
2017
|
2017
|
||||||||||||||||
|
(Amounts in thousands, except per share data)
|
||||||||||||||||||||
|
Interest Income:
|
||||||||||||||||||||
|
Interest and fees on loans
|
$ | 5,875 | $ | 5,659 | $ | 5,357 | $ | 4,980 | $ | 4,688 | ||||||||||
|
Interest on available-for-sale securities:
|
||||||||||||||||||||
|
Taxable
|
772 | 685 | 806 | 802 | 764 | |||||||||||||||
|
Tax-exempt
|
375 | 402 | 384 | 389 | 371 | |||||||||||||||
|
Interest on interest-bearing deposits and other
|
73 | 13 | 44 | 45 | 14 | |||||||||||||||
|
Total interest income
|
7,095 | 6,759 | 6,591 | 6,216 | 5,837 | |||||||||||||||
|
Interest Expense:
|
||||||||||||||||||||
|
Interest on deposits
|
752 | 635 | 527 | 438 | 401 | |||||||||||||||
|
Interest on subordinated debentures and notes
|
53 | 47 | 47 | 85 | 162 | |||||||||||||||
|
Interest on senior secured term note
|
- | - | - | - | 67 | |||||||||||||||
|
Interest on other borrowings
|
12 | 29 | 44 | 32 | 9 | |||||||||||||||
|
Total interest expense
|
817 | 711 | 618 | 555 | 639 | |||||||||||||||
|
Net interest income before provision for loan losses
|
6,278 | 6,048 | 5,973 | 5,661 | 5,198 | |||||||||||||||
|
Provision for loan losses
|
510 | 710 | 360 | 360 | 360 | |||||||||||||||
|
Net interest income after provision for loan losses
|
5,768 | 5,338 | 5,613 | 5,301 | 4,838 | |||||||||||||||
|
Noninterest Income:
|
||||||||||||||||||||
|
Service charges on deposits accounts
|
741 | 787 | 791 | 730 | 668 | |||||||||||||||
|
Net gain on sale of loans
|
470 | 695 | 687 | 679 | 378 | |||||||||||||||
|
Net loan servicing income
|
177 | 175 | 179 | 186 | 192 | |||||||||||||||
|
Debit card interchange fees
|
695 | 623 | 608 | 605 | 576 | |||||||||||||||
|
Net gains on sales of securities available-for-sale
|
6 | (159) | 104 | (13) | - | |||||||||||||||
|
Net other gains (losses)
|
(6) | 1 | (7) | (12) | (14) | |||||||||||||||
|
Increase in cash surrender value of bank-owned life insurance
|
81 | 74 | 74 | 74 | 83 | |||||||||||||||
|
Other
|
330 | 337 | 344 | 303 | 311 | |||||||||||||||
|
Total noninterest income
|
2,494 | 2,533 | 2,780 | 2,552 | 2,194 | |||||||||||||||
|
Noninterest Expenses:
|
||||||||||||||||||||
|
Salaries and employee benefits
|
3,867 | 3,828 | 3,355 | 3,129 | 3,182 | |||||||||||||||
|
Occupancy and equipment
|
832 | 709 | 637 | 625 | 606 | |||||||||||||||
|
Data processing
|
395 | 362 | 382 | 374 | 398 | |||||||||||||||
|
Debit card processing and issuance
|
293 | 300 | 309 | 301 | 272 | |||||||||||||||
|
Advertising and marketing
|
153 | 180 | 111 | 101 | 101 | |||||||||||||||
|
Professional fees
|
256 | 305 | 305 | 250 | 259 | |||||||||||||||
|
Office Supplies
|
110 | 82 | 66 | 59 | 81 | |||||||||||||||
|
Telephone
|
124 | 122 | 118 | 116 | 112 | |||||||||||||||
|
Other
|
526 | 615 | 560 | 644 | 665 | |||||||||||||||
|
Total noninterest expenses
|
6,556 | 6,503 | 5,843 | 5,599 | 5,676 | |||||||||||||||
|
Income before income taxes
|
1,706 | 1,368 | 2,550 | 2,254 | 1,356 | |||||||||||||||
|
Provision for income taxes
|
254 | (3) | 618 | 509 | 205 | |||||||||||||||
|
Net income
|
$ | 1,452 | $ | 1,371 | $ | 1,932 | $ | 1,745 | $ | 1,151 | ||||||||||
|
Key Ratios
|
||||||||||||||||||||
|
Basic Earnings Per Common Share
|
$ | 0.44 | $ | 0.42 | $ | 0.59 | $ | 0.53 | $ | 0.46 | ||||||||||
|
Diluted Earnings Per Common Share
|
0.44 | 0.42 | 0.59 | 0.53 | 0.46 | |||||||||||||||
|
Dividends Per Common Share
|
0.08 | 0.08 | 0.08 | 0.08 | 0.04 | |||||||||||||||
|
Net Interest Margin (1)
|
3.83 | % | 3.79 | % | 3.77 | % | 3.68 | % | 3.55 | % | ||||||||||
|
Efficiency Ratio (1)(2)
|
73.84 | % | 72.57 | % | 65.88 | % | 66.29 | % | 74.68 | % | ||||||||||
|
Return on Assets
|
0.81 | % | 0.77 | % | 1.09 | % | 1.01 | % | 0.70 | % | ||||||||||
|
Return on Common Equity
|
7.59 | % | 7.66 | % | 10.01 | % | 9.38 | % | 8.49 | % | ||||||||||
(1) Net interest margin and the efficiency ratio are calculated on a taxable-equivalent basis
(2) Efficiency ratio is calculated excluding net securities gains (losses) and other gains (losses)
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
|
As of
|
||||||||||||||||||||
|
March 31,
|
December 31,
|
September 30,
|
June 30,
|
March 31,
|
||||||||||||||||
|
2018
|
2017
|
2017
|
2017
|
2017
|
||||||||||||||||
|
(Amounts in thousands, except per share data)
|
||||||||||||||||||||
|
Cash and due from banks
|
$ | 16,727 | $ | 19,326 | $ | 16,633 | $ | 17,251 | $ | 18,863 | ||||||||||
|
Interest-bearing deposits in banks and other
|
13,503 | 2,215 | 7,415 | 7,368 | 13,448 | |||||||||||||||
|
Securities
|
171,814 | 176,350 | 177,702 | 195,409 | 191,928 | |||||||||||||||
|
Net loans/leases
|
497,630 | 480,286 | 460,684 | 428,827 | 407,425 | |||||||||||||||
|
Goodwill
|
5,037 | 5,037 | 5,037 | 5,037 | 5,037 | |||||||||||||||
|
Other assets
|
37,743 | 37,407 | 37,165 | 36,561 | 35,998 | |||||||||||||||
|
Total assets
|
$ | 742,454 | $ | 720,621 | $ | 704,636 | $ | 690,453 | $ | 672,699 | ||||||||||
|
Deposits
|
$ | 656,114 | $ | 616,995 | $ | 606,539 | $ | 591,949 | $ | 585,116 | ||||||||||
|
Subordinated debentures
|
5,155 | 5,155 | 5,155 | 5,155 | 11,255 | |||||||||||||||
|
Borrowings
|
- | 16,228 | 11,858 | 14,583 | 311 | |||||||||||||||
|
Other liabilities
|
3,185 | 4,109 | 3,815 | 3,120 | 2,906 | |||||||||||||||
|
Stockholders' equity
|
78,000 | 78,134 | 77,269 | 75,646 | 73,111 | |||||||||||||||
|
Total liabilities and stockholders' equity
|
$ | 742,454 | $ | 720,621 | $ | 704,636 | $ | 690,453 | $ | 672,699 | ||||||||||
ASSET QUALITY DATA
(Amounts in Thousands)
|
March 31,
|
December 31,
|
September 30,
|
June 30,
|
March 31,
|
||||||||||||||||
|
2018
|
2017
|
2017
|
2017
|
2017
|
||||||||||||||||
|
Non-accrual loans
|
$ | 3,511 | $ | 3,657 | $ | 5,852 | $ | 5,679 | $ | 8,867 | ||||||||||
|
Accruing loans past due 90 days or more
|
139 | - | - | - | 15 | |||||||||||||||
|
Troubled debt restructures - accruing
|
4,456 | 4,527 | 4,886 | 5,177 | 5,125 | |||||||||||||||
|
Total nonperforming loans
|
$ | 8,106 | $ | 8,184 | $ | 10,738 | $ | 10,856 | $ | 14,007 | ||||||||||
|
Other real estate owned
|
511 | 470 | 343 | 442 | 597 | |||||||||||||||
|
Total nonperforming assets
|
$ | 8,617 | $ | 8,654 | $ | 11,081 | $ | 11,298 | $ | 14,604 | ||||||||||
|
Total loans
|
$ | 503,779 | $ | 485,789 | $ | 465,929 | $ | 434,657 | $ | 412,695 | ||||||||||
|
Allowance for loan losses
|
$ | 6,149 | $ | 5,503 | $ | 5,864 | $ | 5,613 | $ | 5,307 | ||||||||||
|
Nonperforming Assets to total Assets
|
1.16 | % | 1.20 | % | 1.57 | % | 1.64 | % | 2.17 | % | ||||||||||
|
Nonperforming loans to total loans
|
1.61 | % | 1.68 | % | 2.30 | % | 2.50 | % | 3.39 | % | ||||||||||
|
Allowance for loan losses to total loans
|
1.22 | % | 1.13 | % | 1.26 | % | 1.29 | % | 1.29 | % | ||||||||||
|
Allowance for loan losses to nonperforming loans
|
75.9 | % | 67.2 | % | 54.6 | % | 51.7 | % | 37.9 | % | ||||||||||
|
For the Quarter Ended
|
||||||||||||||||||||
|
March 31,
|
December 31,
|
September 30,
|
June 30,
|
March 31,
|
||||||||||||||||
|
ROLLFORWARD OF ALLOWANCE
|
2018
|
2017
|
2017
|
2017
|
2017
|
|||||||||||||||
|
Beginning Balance
|
$ | 5,503 | $ | 5,864 | $ | 5,613 | $ | 5,307 | $ | 5,093 | ||||||||||
|
Provision
|
510 | 710 | 360 | 360 | 360 | |||||||||||||||
|
Loans charged off
|
52 | 1326 | 156 | 224 | 199 | |||||||||||||||
|
Loan recoveries
|
188 | 255 | 47 | 170 | 53 | |||||||||||||||
|
Net charge-offs
|
-136 | 1071 | 109 | 54 | 146 | |||||||||||||||
|
Ending Balance
|
$ | 6,149 | $ | 5,503 | $ | 5,864 | $ | 5,613 | $ | 5,307 | ||||||||||
BLACKHAWK BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEET WITH RESULTANT INTEREST AND RATES
Average Balance Sheet with Resultant Interest and Rates
(Amounts in thousands)
(Yields on a tax-equivalent basis)
|
For the Quarter Ended
|
||||||||||||||||||||||||||||||||||||
|
March 31, 2018
|
December 31, 2017
|
March 31, 2017
|
||||||||||||||||||||||||||||||||||
|
Average
|
Average
|
Average
|
Average
|
Average
|
Average
|
|||||||||||||||||||||||||||||||
|
Balance
|
Interest
|
Rate
|
Balance
|
Interest
|
Rate
|
Balance
|
Interest
|
Rate
|
||||||||||||||||||||||||||||
|
Interest Earning Assets:
|
||||||||||||||||||||||||||||||||||||
|
Interest-bearing deposits and other
|
$ | 20,001 | $ | 73 | 1.48 | % | $ | 4,259 | $ | 13 | 1.24 | % | $ | 8,209 | $ | 14 | 0.74 | % | ||||||||||||||||||
|
Investment securities:
|
||||||||||||||||||||||||||||||||||||
|
Taxable investment securities
|
120,523 | 772 | 2.60 | % | 124,189 | 685 | 2.19 | % | 141,702 | 764 | 2.18 | % | ||||||||||||||||||||||||
|
Tax-exempt investment securities
|
51,004 | 375 | 3.83 | % | 55,044 | 402 | 4.61 | % | 50,876 | 371 | 4.53 | % | ||||||||||||||||||||||||
|
Total Investment securities
|
171,527 | 1,147 | 2.96 | % | 179,233 | 1,087 | 2.93 | % | 192,578 | 1,135 | 2.80 | % | ||||||||||||||||||||||||
|
Loans
|
485,284 | 5,875 | 4.91 | % | 473,820 | 5,659 | 4.74 | % | 415,517 | 4,688 | 4.58 | % | ||||||||||||||||||||||||
|
Total Earning Assets
|
$ | 676,812 | $ | 7,095 | 4.32 | % | $ | 657,312 | $ | 6,759 | 4.22 | % | $ | 616,304 | $ | 5,837 | 3.97 | % | ||||||||||||||||||
|
Allowance for loan losses
|
(5,800) | (5,945) | (5,162) | |||||||||||||||||||||||||||||||||
|
Cash and due from banks
|
18,080 | 16,608 | 17,807 | |||||||||||||||||||||||||||||||||
|
Other assets
|
41,378 | 33,951 | 39,947 | |||||||||||||||||||||||||||||||||
|
Total Assets
|
$ | 730,470 | $ | 701,926 | $ | 668,896 | ||||||||||||||||||||||||||||||
| Interest Bearing Liabilities: | ||||||||||||||||||||||||||||||||||||
|
Interest bearing checking accounts
|
$ | 224,529 | $ | 241 | 0.43 | % | $ | 191,654 | $ | 199 | 0.41 | % | $ | 209,202 | $ | 147 | 0.28 | % | ||||||||||||||||||
|
Savings and money market deposits
|
207,427 | 250 | 0.49 | % | 200,754 | 172 | 0.34 | % | 175,849 | 70 | 0.16 | % | ||||||||||||||||||||||||
|
Time deposits
|
90,261 | 261 | 1.17 | % | 97,037 | 264 | 1.08 | % | 85,794 | 184 | 0.87 | % | ||||||||||||||||||||||||
|
Total interest bearing deposits
|
522,217 | 752 | 0.58 | % | 489,445 | 635 | 0.51 | % | 470,845 | 401 | 0.35 | % | ||||||||||||||||||||||||
|
Subordinated debentures and notes
|
5,155 | 53 | 4.16 | % | 5,155 | 47 | 3.64 | % | 11,255 | 162 | 5.84 | % | ||||||||||||||||||||||||
|
Borrowings
|
3,242 | 12 | 1.55 | % | 8,851 | 29 | 1.26 | % | 11,076 | 76 | 2.80 | % | ||||||||||||||||||||||||
|
Total Interest-Bearing Liabilities
|
$ | 530,614 | $ | 817 | 0.62 | % | $ | 503,451 | $ | 711 | 0.56 | % | $ | 493,176 | $ | 639 | 0.53 | % | ||||||||||||||||||
|
Interest Rate Spread
|
3.70 | % | 3.66 | % | 3.44 | % | ||||||||||||||||||||||||||||||
|
Noninterest checking accounts
|
118,376 | 122,981 | 116,990 | |||||||||||||||||||||||||||||||||
|
Other liabilities
|
3,935 | 4,455 | 3,778 | |||||||||||||||||||||||||||||||||
|
Total liabilities
|
652,925 | 630,887 | 613,944 | |||||||||||||||||||||||||||||||||
|
Total Stockholders' equity
|
77,545 | 71,039 | 54,952 | |||||||||||||||||||||||||||||||||
|
Total Liabilities and
|
||||||||||||||||||||||||||||||||||||
|
Stockholders' Equity
|
$ | 730,470 | $ | 701,926 | $ | 668,896 | ||||||||||||||||||||||||||||||
| Net Interest Income/Margin | $ | 6,278 | 3.83 | % | $ | 6,048 | 3.79 | % | $ | 5,198 | 3.55 | % | ||||||||||||||||||||||||
SOURCE: Blackhawk Bancorp, Inc.