10/28/2024 | Press release | Distributed by Public on 10/28/2024 07:41
Three Months Ended | ||||||||||
(Dollars in thousands, except share and per share data; unaudited) |
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
|||||
Income Statement Data: | ||||||||||
Interest and dividend income | $ | 105,079 | $ | 97,487 | $ | 90,472 | $ | 88,243 | $ | 88,331 |
Interest expense | 32,892 | 31,250 | 29,536 | 28,586 | 26,102 | |||||
Net interest income | 72,187 | 66,237 | 60,936 | 59,657 | 62,229 | |||||
Provision for credit losses | 70,257 | 62,325 | 83,158 | 60,789 | 27,253 | |||||
Net interest (expense)/ income after
provision for credit losses
|
1,930 | 3,912 | (22,222) | (1,132) | 34,976 | |||||
Noninterest income | 80,068 | 69,918 | 86,955 | 64,694 | 34,579 | |||||
Noninterest expense | 65,616 | 58,809 | 56,018 | 51,703 | 56,501 | |||||
Provision for income tax | 2,926 | 3,425 | 1,915 | 2,847 | 2,784 | |||||
Net income | 13,456 | 11,596 | 6,800 | 9,012 | 10,270 | |||||
As of and for the Three Month Period | ||||||||||
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
||||||
Balance Sheet Data: | ||||||||||
Cash and cash equivalents | $ | 484,026 | $ | 487,245 | $ | 515,128 | $ | 483,128 | $ | 474,946 |
Investment securities | 48,620 | 49,213 | 50,090 | 150,364 | 141,489 | |||||
Loans held for sale | 7,565 | - | 797 | - | - | |||||
Loans receivable | 3,418,832 | 3,326,460 | 3,199,554 | 3,026,092 | 2,967,035 | |||||
Allowance for credit losses | (170,263) | (147,914) | (139,258) | (116,958) | (101,085) | |||||
Total assets | 4,065,821 | 3,961,546 | 3,865,258 | 3,753,366 | 3,678,265 | |||||
Interest bearing deposits | 3,047,861 | 2,949,643 | 2,888,867 | 2,735,161 | 2,637,914 | |||||
Noninterest bearing deposits | 579,427 | 593,789 | 574,112 | 625,202 | 651,786 | |||||
Core deposits (1)
|
3,190,869 | 3,528,339 | 3,447,864 | 3,342,004 | 3,269,082 | |||||
Total deposits | 3,627,288 | 3,543,432 | 3,462,979 | 3,360,363 | 3,289,700 | |||||
Total borrowings | 47,847 | 47,810 | 47,771 | 47,734 | 47,695 | |||||
Total shareholders' equity | 331,930 | 316,693 | 303,709 | 294,978 | 284,450 | |||||
Share and Per Share Data (2):
|
||||||||||
Earnings per share - basic | $ | 1.00 | $ | 0.86 | $ | 0.51 | $ | 0.68 | $ | 0.77 |
Earnings per share - diluted | $ | 0.97 | $ | 0.84 | $ | 0.50 | $ | 0.66 | $ | 0.75 |
Dividends per share | - | - | - | - | - | |||||
Book value per share (3)
|
$ | 24.51 | $ | 23.54 | $ | 22.65 | $ | 22.17 | $ | 21.38 |
Tangible book value per share (4)
|
$ | 24.51 | $ | 23.54 | $ | 22.65 | $ | 22.17 | $ | 21.38 |
Weighted avg outstanding shares - basic | 13,447,066 | 13,412,667 | 13,340,997 | 13,286,828 | 13,285,974 | |||||
Weighted avg outstanding shares - diluted | 13,822,270 | 13,736,508 | 13,676,917 | 13,676,513 | 13,675,833 | |||||
Shares outstanding at end of period | 13,543,282 | 13,453,805 | 13,407,320 | 13,304,339 | 13,302,449 | |||||
Stock options outstanding at end of period | 198,370 | 286,119 | 309,069 | 354,969 | 356,359 |
As of and for the Three Month Period | ||||||||||
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
||||||
Credit Quality Data: | ||||||||||
Nonperforming assets (5) to total assets
|
1.34 | % | 1.34 | % | 1.42 | % | 1.43 | % | 1.18 | % |
Nonperforming assets (5) to loans receivable and OREO
|
1.60 | % | 1.60 | % | 1.71 | % | 1.78 | % | 1.47 | % |
Nonperforming loans (5) to total loans receivable
|
1.60 | % | 1.60 | % | 1.71 | % | 1.78 | % | 1.47 | % |
Allowance for credit losses to nonperforming loans | 311.5 | % | 278.1 | % | 253.8 | % | 217.2 | % | 232.2 | % |
Allowance for credit losses to total loans receivable | 4.98 | % | 4.45 | % | 4.35 | % | 3.86 | % | 3.41 | % |
Gross charge-offs | $ | 53,305 | $ | 55,207 | $ | 58,994 | $ | 47,652 | $ | 37,879 |
Gross recoveries | $ | 4,069 | $ | 1,973 | $ | 1,776 | $ | 2,781 | $ | 1,045 |
Net charge-offs to average loans (6)
|
5.65 | % | 6.57 | % | 7.34 | % | 5.92 | % | 4.77 | % |
Capital Ratios: | ||||||||||
Company | ||||||||||
Tier 1 leverage capital | 8.40 | % | 8.31 | % | 8.24 | % | 8.10 | % | 8.03 | % |
Common equity Tier 1 risk-based capital | 9.26 | % | 9.03 | % | 8.98 | % | 9.10 | % | 9.00 | % |
Tier 1 risk-based capital | 9.35 | % | 9.13 | % | 9.08 | % | 9.20 | % | 9.11 | % |
Total risk-based capital | 11.90 | % | 11.70 | % | 11.70 | % | 11.87 | % | 11.80 | % |
Bank | ||||||||||
Tier 1 leverage capital | 9.29 | % | 9.24 | % | 9.19 | % | 9.06 | % | 8.99 | % |
Common equity Tier 1 risk-based capital | 10.36 | % | 10.15 | % | 10.14 | % | 10.30 | % | 10.21 | % |
Tier 1 risk-based capital | 10.36 | % | 10.15 | % | 10.14 | % | 10.30 | % | 10.21 | % |
Total risk-based capital | 11.65 | % | 11.44 | % | 11.43 | % | 11.58 | % | 11.48 | % |
Three Months Ended | ||||||||||
(unaudited) |
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
|||||
Return on average assets (1)
|
1.34 | % | 1.21 | % | 0.73 | % | 0.97 | % | 1.13 | % |
Return on average equity (1)
|
16.67 | % | 15.22 | % | 9.21 | % | 12.35 | % | 14.60 | % |
Yield on earnings assets (1)
|
10.79 | % | 10.49 | % | 10.07 | % | 9.77 | % | 10.08 | % |
Yield on loans receivable (1)
|
11.43 | % | 11.23 | % | 10.85 | % | 10.71 | % | 10.84 | % |
Cost of funds (1)
|
3.62 | % | 3.60 | % | 3.52 | % | 3.39 | % | 3.18 | % |
Cost of deposits (1)
|
3.59 | % | 3.58 | % | 3.49 | % | 3.36 | % | 3.14 | % |
Net interest margin (1)
|
7.41 | % | 7.13 | % | 6.78 | % | 6.61 | % | 7.10 | % |
Noninterest expense to average assets (1)
|
6.54 | % | 6.14 | % | 6.04 | % | 5.56 | % | 6.23 | % |
Noninterest income to average assets (1)
|
7.98 | % | 7.30 | % | 9.38 | % | 6.95 | % | 3.81 | % |
Efficiency ratio | 43.10 | % | 43.19 | % | 37.88 | % | 41.58 | % | 58.36 | % |
Loans receivable to deposits (2)
|
94.46 | % | 93.88 | % | 92.42 | % | 90.05 | % | 90.19 | % |
As of | |||
(unaudited) | September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
Active | 19 | 19 | 18 |
Friends and family / testing | 1 | 1 | 1 |
Implementation / onboarding | 1 | 1 | 1 |
Signed letters of intent | 1 | 0 | 1 |
Wind down - active but preparing to exit relationship | 0 | 0 | 1 |
Total CCBX relationships | 22 | 21 | 22 |
CCBX | As of | |||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||
(dollars in thousands; unaudited) | Balance | % to Total | Balance | % to Total | Balance | % to Total | ||||||
Commercial and industrial loans: | ||||||||||||
Capital call lines | $ | 103,924 | 6.8 | % | $ | 109,133 | 7.7 | % | $ | 114,174 | 9.6 | % |
All other commercial & industrial loans
|
36,494 | 2.4 | 41,731 | 3.0 | 58,869 | 5.0 | ||||||
Real estate loans: | ||||||||||||
Residential real estate loans | 265,402 | 17.5 | 287,950 | 20.4 | 251,775 | 21.3 | ||||||
Consumer and other loans: | ||||||||||||
Credit cards | 633,691 | 41.6 | 549,241 | 38.7 | 440,993 | 37.3 | ||||||
Other consumer and other loans | 482,228 | 31.7 | 426,809 | 30.2 | 316,987 | 26.8 | ||||||
Gross CCBX loans receivable | 1,521,739 | 100.0 | % | 1,414,864 | 100.0 | % | 1,182,798 | 100.0 | % | |||
Net deferred origination (fees) costs | (447) | (438) | (424) | |||||||||
Loans receivable | $ | 1,521,292 | $ | 1,414,426 | $ | 1,182,374 | ||||||
Loan Yield - CCBX (1)(2)
|
17.35 | % | 17.77 | % | 17.05 | % | ||||||
CCBX | As of | |||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||
(dollars in thousands; unaudited) | Balance | % to Total | Balance | % to Total | Balance | % to Total | ||||||
Demand, noninterest bearing | $ | 60,655 | 2.9 | % | $ | 62,234 | 3.0 | % | $ | 67,782 | 3.9 | % |
Interest bearing demand and money market |
1,991,858 | 94.6 | 1,989,105 | 96.7 | 1,679,921 | 95.9 | ||||||
Savings | 5,204 | 0.3 | 5,150 | 0.3 | 4,529 | 0.2 | ||||||
Total core deposits | 2,057,717 | 97.8 | 2,056,489 | 100.0 | 1,752,232 | 100.0 | ||||||
Other deposits | 47,046 | 2.2 | - | 0.0 | - | - | ||||||
Total CCBX deposits | $ | 2,104,763 | 100.0 | % | $ | 2,056,489 | 100.0 | % | $ | 1,752,232 | 100.0 | % |
Cost of deposits (1)
|
4.82 | % | 4.92 | % | 4.80 | % |
Community Bank | As of | |||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||
(dollars in thousands; unaudited) | Balance | % to Total | Balance | % to Total | Balance | % to Total | ||||||
Commercial and industrial loans | $ | 152,161 | 8.0 | % | $ | 144,436 | 7.5 | % | $ | 158,232 | 8.8 | % |
Real estate loans: | ||||||||||||
Construction, land and land development loans | 163,051 | 8.6 | 173,064 | 9.0 | 167,686 | 9.4 | ||||||
Residential real estate loans | 212,467 | 11.2 | 229,639 | 12.0 | 225,372 | 12.6 | ||||||
Commercial real estate loans | 1,362,452 | 71.5 | 1,357,979 | 70.8 | 1,237,849 | 69.1 | ||||||
Consumer and other loans: | ||||||||||||
Other consumer and other loans | 14,173 | 0.7 | 14,220 | 0.7 | 2,483 | 0.1 | ||||||
Gross Community Bank loans receivable | 1,904,304 | 100.0 | % | 1,919,338 | 100.0 | % | 1,791,622 | 100.0 | % | |||
Net deferred origination fees | (6,764) | (7,304) | (6,961) | |||||||||
Loans receivable | $ | 1,897,540 | $ | 1,912,034 | $ | 1,784,661 | ||||||
Loan Yield(1)
|
6.64 | % | 6.52 | % | 6.20 | % |
Community Bank | As of | |||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||
(dollars in thousands; unaudited) | Balance | % to Total | Balance | % to Total | Balance | % to Total | ||||||
Demand, noninterest bearing | $ | 518,772 | 34.1 | % | $ | 531,555 | 35.6 | % | $ | 584,004 | 37.9 | % |
Interest bearing demand and money market |
552,108 | 36.3 | 876,668 | 59.0 | 852,747 | 55.5 | ||||||
Savings | 62,272 | 4.1 | 63,627 | 4.3 | 80,099 | 5.2 | ||||||
Total core deposits | 1,133,152 | 74.5 | 1,471,850 | 98.9 | 1,516,850 | 98.6 | ||||||
Other deposits | 373,681 | 24.5 | 1 | 0.0 | 1 | 0.0 | ||||||
Time deposits less than $100,000 | 6,305 | 0.4 | 6,741 | 0.5 | 8,635 | 0.6 | ||||||
Time deposits $100,000 and over | 9,387 | 0.6 | 8,351 | 0.6 | 11,982 | 0.8 | ||||||
Total Community Bank deposits | $ | 1,522,525 | 100.0 | % | $ | 1,486,943 | 100.0 | % | $ | 1,537,468 | 100.0 | % |
Cost of deposits(1)
|
1.92 | % | 1.77 | % | 1.31 | % |
For the Three Months Ended | ||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||
Yield on
Loans (2)
|
Cost of
Deposits (2)
|
Yield on
Loans (2)
|
Cost of
Deposits (2)
|
Yield on
Loans (2)
|
Cost of
Deposits (2)
|
|
Community Bank | 6.64% | 1.92% | 6.52% | 1.77% | 6.20% | 1.31% |
CCBX (1)
|
17.35% | 4.82% | 17.77% | 4.92% | 17.05% | 4.80% |
Consolidated | 11.43% | 3.59% | 11.23% | 3.58% | 10.84% | 3.14% |
For the Three Months Ended | ||||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||
(dollars in thousands, unaudited) | Income / Expense |
Income / expense divided by average CCBX loans (2)
|
Income / Expense |
Income / expense divided by
average CCBX loans(2)
|
Income / Expense |
Income / expense divided by average CCBX loans (2)
|
||||||
BaaS loan interest income | $ | 67,692 | 17.35 | % | $ | 60,203 | 17.77 | % | $ | 56,279 | 17.05 | % |
Less: BaaS loan expense | 32,612 | 8.36 | % | 29,076 | 8.58 | % | 23,003 | 6.97 | % | |||
Net BaaS loan income (1)
|
$ | 35,080 | 8.99 | % | $ | 31,127 | 9.19 | % | $ | 33,276 | 10.08 | % |
Average BaaS Loans(3)
|
$ | 1,552,443 | $ | 1,362,343 | $ | 1,309,380 |
(unaudited) | Coastal Community Bank | Coastal Financial Corporation |
Minimum Well Capitalized Ratios under Prompt Corrective Action (1)
|
|||
Tier 1 Leverage Capital (to average assets) | 9.29 | % | 8.40 | % | 5.00 | % |
Common Equity Tier 1 Capital (to risk-weighted assets) | 10.36 | % | 9.26 | % | 6.50 | % |
Tier 1 Capital (to risk-weighted assets) | 10.36 | % | 9.35 | % | 8.00 | % |
Total Capital (to risk-weighted assets) | 11.65 | % | 11.90 | % | 10.00 | % |
As of September 30, 2024 | As of June 30, 2024 | As of September 30, 2023 | ||||||||||||||||
(dollars in thousands; unaudited) | Community Bank | CCBX | Total | Community Bank | CCBX | Total | Community Bank | CCBX | Total | |||||||||
Loans receivable | $ | 1,897,540 | $ | 1,521,292 | $ | 3,418,832 | $ | 1,912,034 | $ | 1,414,426 | $ | 3,326,460 | $ | 1,784,661 | $ | 1,182,374 | $ | 2,967,035 |
Allowance for credit losses |
(20,132) | (150,131) | (170,263) | (21,045) | (126,869) | (147,914) | (21,316) | (79,769) | (101,085) | |||||||||
Allowance for credit losses to total loans receivable |
1.06 | % | 9.87 | % | 4.98 | % | 1.10 | % | 8.97 | % | 4.45 | % | 1.19 | % | 6.75 | % | 3.41 | % |
Three Months Ended | ||||||||||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||||||||
(dollars in thousands; unaudited) | Community Bank | CCBX | Total | Community Bank | CCBX | Total | Community Bank | CCBX | Total | |||||||||
Gross charge-offs | $ | 398 | $ | 52,907 | $ | 53,305 | $ | 2 | $ | 55,205 | $ | 55,207 | $ | 3 | $ | 37,876 | $ | 37,879 |
Gross recoveries | (3) | (4,066) | (4,069) | (4) | (1,969) | (1,973) | (3) | (1,042) | (1,045) | |||||||||
Net charge-offs | $ | 395 | $ | 48,841 | $ | 49,236 | $ | (2) | $ | 53,236 | $ | 53,234 | $ | - | $ | 36,834 | $ | 36,834 |
Net charge-offs to
average loans (1)
|
0.08 | % | 12.52 | % | 5.65 | % | 0.00 | % | 15.72 | % | 6.57 | % | 0.00 | % | 11.16 | % | 4.77 | % |
Three Months Ended | ||||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Community bank | $ | (519) | $ | (341) | $ | 664 |
CCBX | 72,104 | 62,231 | 26,493 | |||
Total provision expense | $ | 71,585 | $ | 61,890 | $ | 27,157 |
Consolidated | As of | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Nonaccrual loans: | ||||||
Commercial and industrial loans | $ | 198 | $ | - | $ | 2 |
Real estate loans: | ||||||
Construction, land and land development | - | - | - | |||
Residential real estate | 44 | 213 | 176 | |||
Commercial real estate | 831 | 7,731 | 7,145 | |||
Consumer and other loans: | ||||||
Credit cards | 7,987 | - | - | |||
Total nonaccrual loans | 9,060 | 7,944 | 7,323 | |||
Accruing loans past due 90 days or more: | ||||||
Commercial & industrial loans
|
1,593 | 1,278 | 1,387 | |||
Real estate loans: | ||||||
Residential real estate loans | 3,025 | 2,722 | 1,462 | |||
Consumer and other loans: | ||||||
Credit cards | 34,562 | 36,465 | 24,807 | |||
Other consumer and other loans | 6,412 | 4,779 | 8,561 | |||
Total accruing loans past due 90 days or more | 45,592 | 45,244 | 36,217 | |||
Total nonperforming loans | 54,652 | 53,188 | 43,540 | |||
Real estate owned | - | - | - | |||
Repossessed assets | - | - | - | |||
Total nonperforming assets | $ | 54,652 | $ | 53,188 | $ | 43,540 |
Total nonaccrual loans to loans receivable | 0.27 | % | 0.24 | % | 0.25 | % |
Total nonperforming loans to loans receivable | 1.60 | % | 1.60 | % | 1.47 | % |
Total nonperforming assets to total assets | 1.34 | % | 1.34 | % | 1.18 | % |
CCBX | As of | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Nonaccrual loans: | ||||||
Consumer and other loans: | ||||||
Credit cards | $ | 7,987 | $ | - | $ | - |
Total nonaccrual loans | 7,987 | - | - | |||
Accruing loans past due 90 days or more: | ||||||
Commercial & industrial loans
|
1,593 | 1,278 | 1,387 | |||
Real estate loans: | ||||||
Residential real estate loans | 3,025 | 2,722 | 1,462 | |||
Consumer and other loans: | ||||||
Credit cards | 34,562 | 36,465 | 24,807 | |||
Other consumer and other loans | 6,412 | 4,779 | 8,561 | |||
Total accruing loans past due 90 days or more | 45,592 | 45,244 | 36,217 | |||
Total nonperforming loans | 53,579 | 45,244 | 36,217 | |||
Other real estate owned | - | - | - | |||
Repossessed assets | - | - | - | |||
Total nonperforming assets | $ | 53,579 | $ | 45,244 | $ | 36,217 |
Total CCBX nonperforming assets to total consolidated assets | 1.32 | % | 1.14 | % | 0.98 | % |
Community Bank | As of | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Nonaccrual loans: | ||||||
Commercial and industrial loans | $ | 198 | $ | - | $ | 2 |
Real estate: | ||||||
Construction, land and land development | - | - | - | |||
Residential real estate | 44 | 213 | 176 | |||
Commercial real estate | 831 | 7,731 | 7,145 | |||
Total nonaccrual loans | 1,073 | 7,944 | 7,323 | |||
Accruing loans past due 90 days or more: | ||||||
Total accruing loans past due 90 days or more | - | - | - | |||
Total nonperforming loans | 1,073 | 7,944 | 7,323 | |||
Other real estate owned | - | - | - | |||
Repossessed assets | - | - | - | |||
Total nonperforming assets | $ | 1,073 | $ | 7,944 | $ | 7,323 |
Total community bank nonperforming assets to total consolidated assets | 0.03 | % | 0.20 | % | 0.20 | % |
ASSETS | ||||||||||
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
||||||
Cash and due from banks | $ | 45,327 | $ | 59,995 | $ | 32,790 | $ | 31,345 | $ | 29,984 |
Interest earning deposits with other banks
|
438,699 | 427,250 | 482,338 | 451,783 | 444,962 | |||||
Investment securities, available for sale, at fair value |
38 | 39 | 41 | 99,504 | 98,939 | |||||
Investment securities, held to maturity, at amortized cost |
48,582 | 49,174 | 50,049 | 50,860 | 42,550 | |||||
Other investments | 10,757 | 10,664 | 10,583 | 10,227 | 11,898 | |||||
Loans held for sale | 7,565 | - | 797 | - | - | |||||
Loans receivable | 3,418,832 | 3,326,460 | 3,199,554 | 3,026,092 | 2,967,035 | |||||
Allowance for credit losses | (170,263) | (147,914) | (139,258) | (116,958) | (101,085) | |||||
Total loans receivable, net | 3,248,569 | 3,178,546 | 3,060,296 | 2,909,134 | 2,865,950 | |||||
CCBX credit enhancement asset | 167,251 | 143,485 | 137,276 | 107,921 | 91,867 | |||||
CCBX receivable | 16,060 | 11,520 | 10,369 | 9,088 | 10,623 | |||||
Premises and equipment, net | 25,833 | 24,526 | 22,995 | 22,090 | 20,543 | |||||
Lease right-of-use assets | 5,427 | 5,635 | 5,756 | 5,932 | 6,126 | |||||
Accrued interest receivable | 23,664 | 23,617 | 24,681 | 26,819 | 23,428 | |||||
Bank-owned life insurance, net | 13,255 | 13,132 | 12,991 | 12,870 | 12,970 | |||||
Deferred tax asset, net | 3,083 | 2,221 | 2,221 | 3,806 | 4,404 | |||||
Other assets | 11,711 | 11,742 | 12,075 | 11,987 | 14,021 | |||||
Total assets | $ | 4,065,821 | $ | 3,961,546 | $ | 3,865,258 | $ | 3,753,366 | $ | 3,678,265 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||
LIABILITIES | ||||||||||
Deposits | $ | 3,627,288 | $ | 3,543,432 | $ | 3,462,979 | $ | 3,360,363 | $ | 3,289,700 |
Subordinated debt, net | 44,256 | 44,219 | 44,181 | 44,144 | 44,106 | |||||
Junior subordinated debentures, net | 3,591 | 3,591 | 3,590 | 3,590 | 3,589 | |||||
Deferred compensation | 369 | 405 | 442 | 479 | 513 | |||||
Accrued interest payable | 1,070 | 999 | 1,061 | 892 | 1,056 | |||||
Lease liabilities | 5,609 | 5,821 | 5,946 | 6,124 | 6,321 | |||||
CCBX payable | 39,188 | 34,536 | 33,095 | 33,651 | 38,229 | |||||
Other liabilities | 12,520 | 11,850 | 10,255 | 9,145 | 10,301 | |||||
Total liabilities | 3,733,891 | 3,644,853 | 3,561,549 | 3,458,388 | 3,393,815 | |||||
SHAREHOLDERS' EQUITY | ||||||||||
Common Stock | 134,769 | 132,989 | 131,601 | 130,136 | 129,244 | |||||
Retained earnings | 197,162 | 183,706 | 172,110 | 165,311 | 156,299 | |||||
Accumulated other comprehensive loss, net of tax |
(1) | (2) | (2) | (469) | (1,093) | |||||
Total shareholders' equity | 331,930 | 316,693 | 303,709 | 294,978 | 284,450 | |||||
Total liabilities and shareholders' equity |
$ | 4,065,821 | $ | 3,961,546 | $ | 3,865,258 | $ | 3,753,366 | $ | 3,678,265 |
Three Months Ended | ||||||||||
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
||||||
INTEREST AND DIVIDEND INCOME | ||||||||||
Interest and fees on loans | $ | 99,590 | $ | 90,944 | $ | 84,621 | $ | 81,159 | $ | 83,652 |
Interest on interest earning deposits with other banks |
4,781 | 5,683 | 4,780 | 5,687 | 3,884 | |||||
Interest on investment securities | 675 | 686 | 1,034 | 1,225 | 766 | |||||
Dividends on other investments | 33 | 174 | 37 | 172 | 29 | |||||
Total interest income | 105,079 | 97,487 | 90,472 | 88,243 | 88,331 | |||||
INTEREST EXPENSE | ||||||||||
Interest on deposits | 32,083 | 30,578 | 28,867 | 27,916 | 25,451 | |||||
Interest on borrowed funds | 809 | 672 | 669 | 670 | 651 | |||||
Total interest expense | 32,892 | 31,250 | 29,536 | 28,586 | 26,102 | |||||
Net interest income | 72,187 | 66,237 | 60,936 | 59,657 | 62,229 | |||||
PROVISION FOR CREDIT LOSSES | 70,257 | 62,325 | 83,158 | 60,789 | 27,253 | |||||
Net interest income/(expense) after provision for credit losses |
1,930 | 3,912 | (22,222) | (1,132) | 34,976 | |||||
NONINTEREST INCOME | ||||||||||
Deposit service charges and fees | 952 | 946 | 908 | 957 | 998 | |||||
Loan referral fees | - | - | 168 | - | 1 | |||||
Gain on sales of loans, net | - | - | - | - | 107 | |||||
Unrealized gain (loss) on equity securities, net |
2 | 9 | 15 | 80 | 5 | |||||
Other income | 486 | 257 | 308 | 60 | 291 | |||||
Noninterest income, excluding BaaS program income and BaaS indemnification income
|
1,440 | 1,212 | 1,399 | 1,097 | 1,402 | |||||
Servicing and other BaaS fees | 1,044 | 1,525 | 1,131 | 1,015 | 997 | |||||
Transaction fees | 1,696 | 1,309 | 1,122 | 1,006 | 1,036 | |||||
Interchange fees | 1,853 | 1,625 | 1,539 | 1,272 | 1,216 | |||||
Reimbursement of expenses | 1,843 | 1,637 | 1,033 | 1,076 | 1,152 | |||||
BaaS program income | 6,436 | 6,096 | 4,825 | 4,369 | 4,401 | |||||
BaaS credit enhancements | 70,108 | 60,826 | 79,808 | 58,449 | 25,926 | |||||
BaaS fraud enhancements | 2,084 | 1,784 | 923 | 779 | 2,850 | |||||
BaaS indemnification income | 72,192 | 62,610 | 80,731 | 59,228 | 28,776 | |||||
Total noninterest income | 80,068 | 69,918 | 86,955 | 64,694 | 34,579 | |||||
NONINTEREST EXPENSE | ||||||||||
Salaries and employee benefits | 17,101 | 17,005 | 17,984 | 16,490 | 18,087 | |||||
Occupancy | 1,750 | 1,686 | 1,518 | 1,340 | 1,224 | |||||
Data processing and software licenses | 3,511 | 2,924 | 2,892 | 2,417 | 2,366 | |||||
Legal and professional expenses | 3,597 | 3,631 | 3,672 | 2,649 | 4,447 | |||||
Point of sale expense | 1,351 | 852 | 869 | 899 | 1,068 | |||||
Excise taxes | 762 | (706) | 320 | 449 | 541 | |||||
Federal Deposit Insurance Corporation ("FDIC") assessments |
740 | 690 | 683 | 665 | 694 | |||||
Director and staff expenses | 559 | 470 | 400 | 478 | 529 | |||||
Marketing | 67 | 14 | 53 | 138 | 169 | |||||
Other expense | 1,482 | 1,383 | 1,867 | 1,089 | 1,523 | |||||
Noninterest expense, excluding BaaS loan and BaaS fraud expense | 30,920 | 27,949 | 30,258 | 26,614 | 30,648 |
BaaS loan expense | 32,612 | 29,076 | 24,837 | 24,310 | 23,003 | |||||
BaaS fraud expense | 2,084 | 1,784 | 923 | 779 | 2,850 | |||||
BaaS loan and fraud expense | 34,696 | 30,860 | 25,760 | 25,089 | 25,853 | |||||
Total noninterest expense | 65,616 | 58,809 | 56,018 | 51,703 | 56,501 | |||||
Income before provision for income taxes |
16,382 | 15,021 | 8,715 | 11,859 | 13,054 | |||||
PROVISION FOR INCOME TAXES | 2,926 | 3,425 | 1,915 | 2,847 | 2,784 | |||||
NET INCOME | $ | 13,456 | $ | 11,596 | $ | 6,800 | $ | 9,012 | $ | 10,270 |
Basic earnings per common share | $ | 1.00 | $ | 0.86 | $ | 0.51 | $ | 0.68 | $ | 0.77 |
Diluted earnings per common share | $ | 0.97 | $ | 0.84 | $ | 0.50 | $ | 0.66 | $ | 0.75 |
Weighted average number of common shares outstanding: |
||||||||||
Basic | 13,447,066 | 13,412,667 | 13,340,997 | 13,286,828 | 13,285,974 | |||||
Diluted | 13,822,270 | 13,736,508 | 13,676,917 | 13,676,513 | 13,675,833 |
For the Three Months Ended | ||||||||||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||||||||
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
||||||||||
Assets | ||||||||||||||||||
Interest earning assets: | ||||||||||||||||||
Interest earning deposits with other banks |
$ | 350,915 | $ | 4,781 | 5.42 | % | $ | 418,165 | $ | 5,683 | 5.47 | % | $ | 285,596 | $ | 3,884 | 5.40 | % |
Investment securities, available for sale (2)
|
40 | - | - | 43 | - | 3.13 | 100,283 | 543 | 2.15 | |||||||||
Investment securities, held to maturity (2)
|
48,945 | 675 | 5.49 | 49,737 | 686 | 5.55 | 17,703 | 223 | 5.00 | |||||||||
Other investments | 11,140 | 33 | 1.18 | 10,592 | 174 | 6.61 | 11,943 | 29 | 0.96 | |||||||||
Loans receivable (3)
|
3,464,871 | 99,590 | 11.43 | 3,258,042 | 90,944 | 11.23 | 3,062,214 | 83,652 | 10.84 | |||||||||
Total interest earning assets | 3,875,911 | 105,079 | 10.79 | 3,736,579 | 97,487 | 10.49 | 3,477,739 | 88,331 | 10.08 | |||||||||
Noninterest earning assets: | ||||||||||||||||||
Allowance for credit losses | (151,292) | (138,472) | (100,329) | |||||||||||||||
Other noninterest earning assets | 268,903 | 255,205 | 220,750 | |||||||||||||||
Total assets | $ | 3,993,522 | $ | 3,853,312 | $ | 3,598,160 | ||||||||||||
Liabilities and Shareholders' Equity | ||||||||||||||||||
Interest bearing liabilities: | ||||||||||||||||||
Interest bearing deposits | $ | 2,966,527 | $ | 32,083 | 4.30 | % | $ | 2,854,575 | $ | 30,578 | 4.31 | % | $ | 2,515,093 | $ | 25,451 | 4.01 | % |
FHLB advances and other borrowings | 9,717 | 140 | 5.73 | 1,648 | 3 | 0.73 | - | - | - | |||||||||
Subordinated debt | 44,234 | 598 | 5.38 | 44,197 | 598 | 5.44 | 44,084 | 580 | 5.22 | |||||||||
Junior subordinated debentures | 3,591 | 71 | 7.87 | 3,590 | 71 | 7.95 | 3,589 | 71 | 7.85 | |||||||||
Total interest bearing liabilities | 3,024,069 | 32,892 | 4.33 | 2,904,010 | 31,250 | 4.33 | 2,562,766 | 26,102 | 4.04 | |||||||||
Noninterest bearing deposits | 588,178 | 584,661 | 698,532 | |||||||||||||||
Other liabilities | 60,101 | 58,267 | 57,865 | |||||||||||||||
Total shareholders' equity | 321,174 | 306,374 | 278,997 | |||||||||||||||
Total liabilities and shareholders' equity | $ | 3,993,522 | $ | 3,853,312 | $ | 3,598,160 | ||||||||||||
Net interest income | $ | 72,187 | $ | 66,237 | $ | 62,229 | ||||||||||||
Interest rate spread | 6.46 | % | 6.17 | % | 6.04 | % | ||||||||||||
Net interest margin (4)
|
7.41 | % | 7.13 | % | 7.10 | % |
For the Three Months Ended | ||||||||||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||||||||
(dollars in thousands, unaudited) |
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
|||||||||
Community Bank | ||||||||||||||||||
Assets | ||||||||||||||||||
Interest earning assets: | ||||||||||||||||||
Loans receivable (2)
|
$ | 1,912,428 | $ | 31,898 | 6.64 | % | $ | 1,895,699 | $ | 30,741 | 6.52 | % | $ | 1,752,834 | $ | 27,373 | 6.20 | % |
Total interest earning assets |
1,912,428 | 31,898 | 6.64 | 1,895,699 | 30,741 | 6.52 | 1,752,834 | 27,373 | 6.20 | |||||||||
Liabilities | ||||||||||||||||||
Interest bearing liabilities: | ||||||||||||||||||
Interest bearing deposits |
982,280 | 7,264 | 2.94 | % | 938,033 | 6,459 | 2.77 | % | 920,707 | 5,067 | 2.18 | % | ||||||
Intrabank liability | 406,641 | 5,540 | 5.42 | 429,452 | 5,836 | 5.47 | 223,221 | 3,036 | 5.40 | |||||||||
Total interest bearing liabilities |
1,388,921 | 12,804 | 3.67 | 1,367,485 | 12,295 | 3.62 | 1,143,928 | 8,103 | 2.81 | |||||||||
Noninterest bearing deposits |
523,507 | 528,214 | 608,906 | |||||||||||||||
Net interest income | $ | 19,094 | $ | 18,446 | $ | 19,270 | ||||||||||||
Net interest margin(3)
|
3.97 | % | 3.91 | % | 4.36 | % | ||||||||||||
CCBX | ||||||||||||||||||
Assets | ||||||||||||||||||
Interest earning assets: | ||||||||||||||||||
Loans receivable (2)(4)
|
$ | 1,552,443 | $ | 67,692 | 17.35 | % | $ | 1,362,343 | $ | 60,203 | 17.77 | % | $ | 1,309,380 | $ | 56,279 | 17.05 | % |
Intrabank asset | 496,475 | 6,764 | 5.42 | 610,646 | 8,299 | 5.47 | 374,632 | 5,095 | 5.40 | |||||||||
Total interest earning assets |
2,048,918 | 74,456 | 14.46 | 1,972,989 | 68,502 | 13.96 | 1,684,012 | 61,374 | 14.46 | |||||||||
Liabilities | ||||||||||||||||||
Interest bearing liabilities: | ||||||||||||||||||
Interest bearing deposits |
1,984,247 | 24,819 | 4.98 | % | 1,916,542 | 24,119 | 5.06 | % | 1,594,386 | 20,384 | 5.07 | % | ||||||
Total interest bearing liabilities |
1,984,247 | 24,819 | 4.98 | 1,916,542 | 24,119 | 5.06 | 1,594,386 | 20,384 | 5.07 | |||||||||
Noninterest bearing deposits |
64,671 | 56,447 | 89,626 | |||||||||||||||
Net interest income | $ | 49,637 | $ | 44,383 | $ | 40,990 | ||||||||||||
Net interest margin(3)
|
9.64 | % | 9.05 | % | 9.66 | % | ||||||||||||
Net interest margin, net
of Baas loan expense (5)
|
3.31 | % | 3.12 | % | 4.24 | % |
For the Three Months Ended | ||||||||||||||||||
September 30, 2024 | June 30, 2024 | September 30, 2023 | ||||||||||||||||
(dollars in thousands, unaudited) |
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
Average Balance |
Interest & Dividends |
Yield /
Cost (1)
|
|||||||||
Treasury & Administration | ||||||||||||||||||
Assets | ||||||||||||||||||
Interest earning assets: | ||||||||||||||||||
Interest earning deposits with other banks |
$ | 350,915 | $ | 4,781 | 5.42 | % | $ | 418,165 | $ | 5,683 | 5.47 | % | $ | 285,596 | $ | 3,884 | 5.40 | % |
Investment securities,
available for sale (6)
|
40 | - | - | 43 | - | 3.13 | 100,283 | 543 | 2.15 | |||||||||
Investment securities,
held to maturity (6)
|
48,945 | 675 | 5.49 | 49,737 | 686 | 5.55 | 17,703 | 223 | 5.00 | |||||||||
Other investments | 11,140 | 33 | 1.18 | 10,592 | 174 | 6.61 | 11,943 | 29 | 0.96 | |||||||||
Total interest earning assets |
411,040 | 5,489 | 5.31 | % | 478,537 | - | 6,543 | 5.50 | % | 415,525 | 4,679 | 4.47 | % | |||||
Liabilities | ||||||||||||||||||
Interest bearing liabilities: |
||||||||||||||||||
FHLB advances and borrowings |
$ | 9,717 | $ | 140 | 5.73 | % | 1,648 | 3 | 0.73 | % | - | - | - | % | ||||
Subordinated debt | 44,234 | 598 | 5.38 | % | 44,197 | 598 | 5.44 | % | 44,084 | 580 | 5.22 | % | ||||||
Junior subordinated debentures |
3,591 | 71 | 7.87 | 3,590 | 71 | 7.95 | 3,589 | 71 | 7.85 | |||||||||
Intrabank liability, net (7)
|
89,834 | 1,224 | 5.42 | 181,194 | 2,463 | 5.47 | 151,411 | 2,059 | 5.40 | |||||||||
Total interest bearing liabilities |
147,376 | 2,033 | 5.49 | 230,629 | 3,135 | 5.47 | 199,084 | 2,710 | 5.40 | |||||||||
Net interest income | $ | 3,456 | $ | 3,408 | $ | 1,969 | ||||||||||||
Net interest margin(3)
|
3.34 | % | 2.86 | % | 1.88 | % |
As of and for the Three Months Ended | ||||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Net BaaS loan income divided by average CCBX loans: | ||||||
CCBX loan yield (GAAP)(1)
|
17.35 | % | 17.77 | % | 17.05 | % |
Total average CCBX loans receivable | $ | 1,552,443 | $ | 1,362,343 | $ | 1,309,380 |
Interest and earned fee income on CCBX loans (GAAP) | 67,692 | 60,203 | 56,279 | |||
BaaS loan expense | (32,612) | (29,076) | (23,003) | |||
Net BaaS loan income | $ | 35,080 | $ | 31,127 | $ | 33,276 |
Net BaaS loan income divided by average CCBX loans (1)
|
8.99 | % | 9.19 | % | 10.08 | % |
Net interest margin, net of BaaS loan expense: | ||||||
CCBX interest margin (1)
|
9.64 | % | 9.05 | % | 9.66 | % |
CCBX earning assets | 2,048,918 | 1,972,989 | 1,684,012 | |||
Net interest income | 49,637 | 44,383 | 40,990 | |||
Less: BaaS loan expense | (32,612) | (29,076) | (23,003) | |||
Net interest income, net of BaaS
loan expense
|
$ | 17,025 | $ | 15,307 | $ | 17,987 |
CCBX net interest margin,
net of BaaS loan expense (1)
|
3.31 | % | 3.12 | % | 4.24 | % |
(dollars in thousands; unaudited) | Outstanding Balance | Available Loan Commitments | Total Outstanding Balance & Available Commitment |
% of Total Loans
(Outstanding Balance &
Available Commitment)
|
Average Loan Balance | Number of Loans | |||||
Apartments | $ | 382,498 | $ | 5,685 | $ | 388,183 | 6.8 | % | $ | 3,714 | 103 |
Hotel/Motel | 155,441 | 189 | 155,630 | 2.7 | 6,758 | 23 | |||||
Convenience Store | 142,366 | 614 | 142,980 | 2.5 | 2,296 | 62 | |||||
Office | 123,423 | 8,204 | 131,627 | 2.3 | 1,371 | 90 | |||||
Warehouse | 102,818 | 2,000 | 104,818 | 1.8 | 1,743 | 59 | |||||
Retail | 107,934 | 620 | 108,554 | 1.9 | 1,018 | 106 | |||||
Mixed use | 93,490 | 5,273 | 98,763 | 1.7 | 1,154 | 81 | |||||
Mini Storage | 79,395 | 14,330 | 93,725 | 1.7 | 3,452 | 23 | |||||
Strip Mall | 44,089 | - | 44,089 | 0.8 | 6,298 | 7 | |||||
Manufacturing | 34,599 | 1,200 | 35,799 | 0.6 | 1,193 | 29 | |||||
Groups < 0.70% of total | 96,393 | 3,392 | 99,785 | 1.8 | 1,205 | 80 | |||||
Total | $ | 1,362,446 | $ | 41,507 | $ | 1,403,953 | 24.6 | % | $ | 2,055 | 663 |
(dollars in thousands; unaudited) | Outstanding Balance | Available Loan Commitments |
Total Outstanding Balance & Available Commitment (1)
|
% of Total Loans
(Outstanding Balance &
Available Commitment)
|
Average Loan Balance | Number of Loans | |||||
CCBX consumer loans | |||||||||||
Credit cards | $ | 633,691 | $ | 1,055,684 | $ | 1,689,375 | 29.5 | % | $ | 1.7 | 369,404 |
Installment loans | 471,813 | 7,112 | 478,925 | 8.4 | 0.9 | 513,897 | |||||
Lines of credit | 1,362 | - | 1,362 | 0.0 | 2.4 | 558 | |||||
Other loans | 9,053 | - | 9,053 | 0.2 | - | 365,834 | |||||
Community bank consumer loans | |||||||||||
Installment loans | 1,291 | 1 | 1,292 | 0.0 | 51.6 | 25 | |||||
Lines of credit | 194 | 365 | 559 | 0.0 | 6.1 | 32 | |||||
Other loans | 12,688 | 3,000 | 15,688 | 0.3 | 32.5 | 390 | |||||
Total | $ | 1,130,092 | $ | 1,066,162 | $ | 2,196,254 | 38.4 | % | $ | 0.9 | 1,250,140 |
(dollars in thousands; unaudited) | Outstanding Balance | Available Loan Commitments |
Total Outstanding Balance & Available Commitment (1)
|
% of Total Loans
(Outstanding Balance &
Available Commitment)
|
Average Loan Balance | Number of Loans | |||||
CCBX residential real estate loans | |||||||||||
Home equity line of credit | $ | 265,402 | $ | 472,385 | $ | 737,787 | 12.9 | % | $ | 25 | 10,742 |
Community bank residential real estate loans | |||||||||||
Closed end, secured by first liens | 176,066 | 2,961 | 179,027 | 3.1 | 555 | 317 | |||||
Home equity line of credit | 25,427 | 46,515 | 71,942 | 1.3 | 106 | 239 | |||||
Closed end, second liens | 10,974 | 925 | 11,899 | 0.2 | 366 | 30 | |||||
Total | $ | 477,869 | $ | 522,786 | $ | 1,000,655 | 17.5 | % | $ | 42 | 11,328 |
(dollars in thousands; unaudited) | Outstanding Balance | Available Loan Commitments |
Total Outstanding Balance & Available Commitment (1)
|
% of Total Loans
(Outstanding Balance &
Available Commitment)
|
Average Loan Balance | Number of Loans | |||||
Consolidated C&I loans | |||||||||||
Capital Call Lines | $ | 103,924 | $ | 504,561 | $ | 608,485 | 10.6 | % | $ | 764 | 136 |
Construction/Contractor Services | 27,463 | 34,658 | 62,121 | 1.1 | 136 | 202 | |||||
Financial Institutions | 48,648 | - | 48,648 | 0.9 | 4,054 | 12 | |||||
Retail | 33,003 | 5,725 | 38,728 | 0.7 | 15 | 2,247 | |||||
Manufacturing | 6,124 | 5,460 | 11,584 | 0.2 | 149 | 41 | |||||
Medical / Dental / Other Care | 6,864 | 2,731 | 9,595 | 0.2 | 528 | 13 | |||||
Groups < 0.20% of total | 66,553 | 45,299 | 111,852 | 2.0 | 58 | 1,143 | |||||
Total | $ | 292,579 | $ | 598,434 | $ | 891,013 | 15.6 | % | $ | 77 | 3,794 |
(dollars in thousands; unaudited) | Outstanding Balance | Available Loan Commitments | Total Outstanding Balance & Available Commitment |
% of Total Loans
(Outstanding Balance &
Available Commitment)
|
Average Loan Balance | Number of Loans | |||||
Commercial construction | $ | 97,798 | $ | 41,521 | $ | 139,319 | 2.5 | % | $ | 7,523 | 13 |
Residential construction | 35,822 | 16,846 | 52,668 | 0.9 | 1,990 | 18 | |||||
Developed land loans | 14,863 | 723 | 15,586 | 0.3 | 743 | 20 | |||||
Undeveloped land loans | 8,606 | 4,086 | 12,692 | 0.2 | 574 | 15 | |||||
Land development | 5,968 | 345 | 6,313 | 0.1 | 597 | 10 | |||||
Total | $ | 163,057 | $ | 63,521 | $ | 226,578 | 4.0 | % | $ | 2,145 | 76 |
Outstanding Balance as of | ||||||||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
March 31, 2024 |
December 31, 2023 |
September 30, 2023 |
|||||
Commercial construction | $ | 97,798 | $ | 110,372 | $ | 102,099 | $ | 81,489 | $ | 91,396 |
Residential construction | 35,822 | 34,652 | 28,751 | 34,213 | 33,971 | |||||
Undeveloped land loans | 8,606 | 8,372 | 8,190 | 7,890 | 8,310 | |||||
Developed land loans | 14,863 | 13,954 | 14,307 | 20,515 | 21,369 | |||||
Land development | 5,968 | 5,714 | 7,515 | 12,993 | 12,640 | |||||
Total | $ | 163,057 | $ | 173,064 | $ | 160,862 | $ | 157,100 | $ | 167,686 |
Consolidated | ||
(dollars in thousands; unaudited) | As of September 30, 2024 | |
Commitments to extend credit: | ||
Commercial and industrial loans | $ | 93,873 |
Commercial and industrial loans - capital call lines | 504,561 | |
Construction - commercial real estate loans | 46,007 | |
Construction - residential real estate loans | 17,514 | |
Residential real estate loans | 522,786 | |
Commercial real estate loans | 41,507 | |
Credit cards | 1,055,684 | |
Consumer and other loans | 10,478 | |
Total commitments to extend credit | $ | 2,292,410 |
CCBX | ||||||||||
(dollars in thousands; unaudited) | Balance | Percent of CCBX loans receivable |
Available Commitments (1)
|
Maximum Portfolio Size |
Cash Reserve/Pledge Account Amount (2)
|
|||||
Commercial and industrial loans: | ||||||||||
Capital call lines | $ | 103,924 | 6.8 | % | $ | 504,561 | $ | 350,000 | $ | - |
All other commercial & industrial loans
|
36,494 | 2.4 | 16,922 | 285,153 | 675 | |||||
Real estate loans: | ||||||||||
Home equity lines of credit (3)
|
265,402 | 17.5 | 472,385 | 375,000 | 35,597 | |||||
Consumer and other loans: | ||||||||||
Credit cards - cash secured | 180 | - | - | |||||||
Credit cards - unsecured | 633,511 | 1,055,684 | 37,065 | |||||||
Credit cards - total | 633,691 | 41.6 | 1,055,684 | 807,263 | 37,065 | |||||
Installment loans - cash secured | 129,138 | 7,112 | - | |||||||
Installment loans - unsecured | 342,675 | - | 2,222 | |||||||
Installment loans - total | 471,813 | 31.0 | 7,112 | 1,630,027 | 2,222 | |||||
Other consumer and other loans | 10,415 | 0.7 | - | 7,557 | 383 | |||||
Gross CCBX loans receivable | 1,521,739 | 100.0 | % | 2,056,664 | 3,455,000 | $ | 75,942 | |||
Net deferred origination fees | (447) | |||||||||
Loans receivable | $ | 1,521,292 |
Loan income and related loan expense | Three Months Ended | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Yield on loans (1)
|
17.35 | % | 17.77 | % | 17.05 | % |
BaaS loan interest income | $ | 67,692 | $ | 60,203 | $ | 56,279 |
Less: BaaS loan expense | 32,612 | 29,076 | 23,003 | |||
Net BaaS loan income (2)
|
$ | 35,080 | $ | 31,127 | $ | 33,276 |
Net BaaS loan income divided by average BaaS loans (1)(2)
|
8.99 | % | 9.19 | % | 10.08 | % |
Interest income | Three Months Ended | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
Loan interest income | $ | 67,692 | $ | 60,203 | $ | 56,279 |
Total BaaS interest income | $ | 67,692 | $ | 60,203 | $ | 56,279 |
Interest expense | Three Months Ended | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
BaaS interest expense | $ | 24,819 | $ | 24,119 | $ | 20,384 |
Total BaaS interest expense | $ | 24,819 | $ | 24,119 | $ | 20,384 |
BaaS income | Three Months Ended | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
BaaS program income: | ||||||
Servicing and other BaaS fees | $ | 1,044 | $ | 1,525 | $ | 997 |
Transaction fees | 1,696 | 1,309 | 1,036 | |||
Interchange fees | 1,853 | 1,625 | 1,216 | |||
Reimbursement of expenses | 1,843 | 1,637 | 1,152 | |||
BaaS program income | 6,436 | 6,096 | 4,401 | |||
BaaS indemnification income: | ||||||
BaaS credit enhancements | 70,108 | 60,826 | 25,926 | |||
BaaS fraud enhancements | 2,084 | 1,784 | 2,850 | |||
BaaS indemnification income | 72,192 | 62,610 | 28,776 | |||
Total noninterest BaaS income | $ | 78,628 | $ | 68,706 | $ | 33,177 |
BaaS loan and fraud expense: | Three Months Ended | |||||
(dollars in thousands; unaudited) |
September 30, 2024 |
June 30, 2024 |
September 30, 2023 |
|||
BaaS loan expense | $ | 32,612 | $ | 29,076 | $ | 23,003 |
BaaS fraud expense | 2,084 | 1,784 | 2,850 | |||
Total BaaS loan and fraud expense | $ | 34,696 | $ | 30,860 | $ | 25,853 |