FVCBankcorp Inc. (OTCQX:FVCB) (the “Company”) today reported fourth quarter 2017 operating earnings of $3.0 million, or $0.25 diluted earnings per share, compared to $1.7 million, or $0.16 diluted earnings per share, for the quarterly period ended December 31, 2016. The Company’s fourth quarter 2017 operating earnings exclude the impact of a $2.0 million write down in its deferred tax asset as a result of the enactment of the Tax Cuts and Jobs Act (“TCJA”) in December 2017. Including the write down, net income per generally accepted accounting principles (“GAAP”) for the quarter ended December 31, 2017 is $1.0 million, or $0.08 per diluted share. For the year ended December 31, 2017, GAAP net income increased 10.9% to $7.7 million, or $0.67 per diluted earnings per share, compared to $6.9 million, or $0.63 per diluted earnings per share, for the year ended December 31, 2016. Operating earnings for the year ended December 31, 2017 was $9.7 million, excluding the TCJA impact, compared to $6.9 million for 2016.

On an operating basis, excluding the impact of the TCJA, return on average assets was 1.19% and return on average equity was 12.14% for the fourth quarter of 2017. For the year ended December 31, 2017, return on average assets and equity for the year ended December 31, 2017 was 1.01% and 10.88%, respectively, each excluding the impact of the TCJA. On a GAAP basis, the Company reported return on average assets of 0.40% and return on average equity of 4.06% for the fourth quarter of 2017 compared to a return on average assets of 0.81% and a return on average equity of 8.66% for the comparable 2016 quarterly period. For the year ended December 31, 2017 period on a GAAP basis, the Company reported return on average assets of 0.80% and return on average equity of 8.64% compared to a return on average assets of 0.88% and return on average equity of 8.91% for 2016.

Selected Highlights

  • Operating earnings for the fourth quarter of 2017 was $3.0 million, an increase of 73% from the year ago quarter. For the year ended December 31, 2017, operating earnings was $9.7 million, an increase of 40% compared to the full year December 31, 2016.
  • Total loans, net of deferred fees, increased $121 million, or 16%, from December 31, 2016 to December 31, 2017. Asset quality remains strong with nonperforming loans and loans past due 90 days or more as a percentage of total assets being 0.07% at December 31, 2017, compared to 0.03% at December 31, 2016.
  • Total deposits increased $152 million, or 20%, from December 31, 2016 to December 31, 2017. The Company’s increase in deposits is a result of several successful targeted promotions to continue its growth in core deposits.
  • Tangible book value per share at December 31, 2017 was $9.03, an increase from $7.83 at December 31, 2016.

“2017 was a year of great accomplishment for our Company. We celebrated our 10 year anniversary in November, achieved total assets of over $1.0 billion, and had record earnings growth,” stated David W. Pijor, Chairman and CEO. “Our results are indicative of our accomplishment in acquiring new customers who have experienced several bank consolidations this past year. We expect this momentum to carry into 2018 as we continue to focus on our market share and franchise value.”

Balance Sheet

Total assets increased to $1.05 billion compared to $909.3 million as of December 31, 2017 and 2016, respectively, an increase of $144 million, or 16%. The Company’s focus on its relationship banking strategy has resulted in increases in its loans receivable portfolio and total deposits.

Loans receivable, net of deferred fees, totaled $888.7 million as of December 31, 2017, compared to $768.1 million as of December 31, 2016, a year over year increase of $121 million, or 16%. For the fourth quarter of 2017, loans receivable, net of deferred fees, increased $62 million, or 32% on an annualized basis.

Total deposits increased to $928.2 million as of December 31, 2017 compared to $776.0 million as of December 31, 2016, an increase of $152 million, or 20%. Noninterest-bearing deposits increased 6% to $175.4 million at December 31, 2017, or 19% of total deposits, compared to $165.7 million at December 31, 2016. Core deposits, which include total deposits less wholesale deposits, increased $99 million or 14% year over year. Wholesale deposits totaled $115.5 million, or 12% of total deposits at December 31, 2017.

Income Statement

Net interest income totaled $8.5 million, an increase of $1.3 million, or 19%, for the quarter ended December 31, 2017, compared to the year ago quarter. The Company’s net interest margin was 3.43% and 3.38% for the quarters ended December 31, 2017 and 2016, respectively. For the year ended December 31, 2017, net interest income totaled $32.1 million compared to $27.2 million for 2016, an increase of 18%. Net interest margin was 3.45% and 3.53% for the years ended December 31, 2017 and 2016, respectively.

Noninterest income totaled $1.5 million and $295,000 for the quarters ended December 31, 2017 and 2016, respectively. During the fourth quarter of 2017, the Company recorded gains from other real estate owned of $1.1 million and gains on sales of investment securities of $30,000. The fourth quarter of 2016 did not have similar gains. For the year ended December 31, 2017 and 2016, noninterest income was $3.0 million and $1.2 million, respectively. The Company recorded noninterest income of $443,000 from a claim on the bank owned life insurance (“BOLI”) policies during the first quarter of 2017. Recurring fee income was $1.3 million, an increase of 12% for the year ended December 31, 2017 compared to 2016. The Company continues to enhance its fee income opportunities through ancillary services designed to serve its clients’ financial needs.

Noninterest expense totaled $4.9 million for the quarter ended December 31, 2017, compared to $4.3 million for the same three-month period of 2016. The increase in noninterest expense is primarily a result of the Company taking advantage of the bank consolidation occurring in its market by strategically hiring business development officers and back office staff to support the Company’s growth plans. Salary and compensation related expenses increased $403 thousand, or 16%, for the quarter ended December 31, 2017, compared to the same three-month period of 2016, primarily due to the above mentioned new hires. The efficiency ratio for the quarter ended December 31, 2017 was 55.9%, a decrease from 57.6% from the year ago quarter. For the year ended December 31, 2017 and 2016, noninterest expense was $19.3 million and $16.4 million, respectively. The efficiency ratio decreased to 57.2% from 58.0%, for the years ended December 31, 2017 and 2016, respectively.

Asset Quality

Asset quality remains strong as nonperforming loans and loans ninety days or more past due totaled $789,000, or 0.07% of total assets. Troubled debt restructurings (“TDR”) decreased to $1.5 million at December 31, 2017, compared to $11.5 million at December 31, 2016. During the fourth quarter of 2017, the Company foreclosed upon a property collateralizing a TDR loan which was included in nonperforming assets. As a result, the Company had other real estate owned of $3.9 million at December 31, 2017. Nonperforming assets (including TDRs) to total assets was 0.58% and 1.29% for the years ended December 31, 2017 and 2016, respectively. The allowance for loan losses to total loans was 0.87% at December 31, 2017, reflecting credit quality improvement in the loan portfolio and refinements to the loan loss allocation as the loan portfolio grows.

The Company maintains all regulatory capital ratios in excess of “well-capitalized” under the Basel III guidelines.

About FVCBankcorp Inc.

Celebrating 10 years of sound financial performance and continued growth, FVCbank commenced operations in November 2007 and is the wholly-owned subsidiary of FVCBankcorp Inc. FVCbank is a $1.05 billion Virginia-chartered community bank serving the banking needs of commercial businesses, nonprofit organizations, professional service entities, their owners and employees located in the greater Washington, D.C., metropolitan and Northern Virginia area. Locally owned and managed, it is based in Fairfax, Virginia, and has six full-service offices in Arlington, Ashburn, Fairfax, Manassas, Reston and Springfield, Virginia. Visit www.fvcbank.com for more information.

For more information on the Company’s 2017 selected financial information, please visit the Investor Relations page of FVCBankcorp Inc.’s website, www.fvcbank.com.

Caution about Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited, to statements about the Company’s plans, objectives, estimates, intentions and expectations as to future trends, plans, events or results of the Company’s operations and policies and regarding general economic conditions. These forward-looking statements are based on current beliefs that involve significant risks, uncertainties, and assumptions. Because of these uncertainties and the assumptions on which the forward-looking statements are based, actual operations and results in the future may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements.

       
FVCBankcorp, Inc.
Selected Financial Data
(Dollars in thousands, except share data and per share data)
 
 
For the quarters ended December 31, For the years ended December 31,
(Unaudited) (Unaudited)
(dollars in thousands, except per share data) 2017 2016   2017 2016
Selected Balances
Total assets $ 1,052,805 $ 909,305
Total investment securities 117,712 113,988
Total loans, net of deferred fees 888,677 768,101
Allowance for loan losses (7,725 ) (6,452 )
Total deposits 928,163 775,991
Subordinated debt 24,327 24,247
Other borrowings

-

27,000
Total shareholders’ equity 98,283 79,811
Summary Results of Operations
Interest income $ 10,801 $ 8,757 $ 40,302 $ 32,587
Interest expense 2,350 1,653 8,195 5,387
Net interest income 8,451 7,104 32,107 27,200
Provision for loan losses 435 561 1,200 1,471
Net interest income after provision for loan losses 8,016 6,543 30,907 25,729
Noninterest income - gains on securities sold 30

-

164 71
Noninterest income - service charges and other income 366 295 1,736 1,149
Noninterest income - gains on other real estate owned 1,076

-

1,075

-

Noninterest expense 4,925 4,263 19,346 16,446
Income before taxes 4,563 2,575 14,536 10,503
Income tax expense 3,558 835 6,846 3,571
Net income 1,005 1,740 7,690 6,932
Reconciliation of Net Income (GAAP) to Operating Earnings (Non-GAAP)
Net income (from above) $ 1,005 $ 1,740 $ 7,690 $ 6,932
TCJA revaluation of net deferred tax assets   2,003     -     2,003     -  
Net operating earnings $ 3,008   $ 1,740   $ 9,693   $ 6,932  
Net income, diluted, on an operating basis $ 0.25 $ 0.16 $ 0.84 $ 0.63
Return on average assets (non-GAAP operating earnings) 1.19 % 0.81 % 1.01 % 0.88 %
Return on average equity (non-GAAP operating earnings) 12.14 % 8.66 % 10.88 % 8.91 %
Per Share Data (2)
Net income, basic $ 0.09 $ 0.17 $ 0.74 $ 0.68
Net income, diluted $ 0.08 $ 0.16 $ 0.67 $ 0.63
Book value $ 9.04 $ 7.84
Tangible Book value $ 9.03 $ 7.83
Shares outstanding 10,868,984 10,178,909
Selected Ratios
Net interest margin 3.43 % 3.38 % 3.45 % 3.53 %
Return on average assets 0.40 % 0.81 % 0.80 % 0.88 %
Return on average equity 4.06 % 8.66 % 8.64 % 8.91 %
Efficiency (1) 55.86 % 57.62 % 57.16 % 58.01 %
Loans, net of deferred to total deposits 95.75 % 98.98 %
Noninterest-bearing deposits to total deposits 18.90 % 21.35 %
Capital Ratios
Tangible common equity (to tangible assets) 9.33 % 8.77 %
Total capital (to risk weighted assets) 13.00 % 13.16 %
Common equity tier 1 capital (to risk weighted assets) 12.21 % 12.37 %
Tier 1 capital (to risk weighted assets) 12.21 % 12.37 %
Tier 1 leverage (to average assets) 11.64 % 11.89 %
Asset Quality
Nonperforming loans and loans 90+ past due $ 789 $ 249
Troubled debt restructurings (TDRs) $ 1,657 $ 11,509
Other real estate owned $ 3,866 $ -
Nonperforming loans and loans 90+ past due to total assets (excl. TDRs) 0.07 %

0.03

%

 

Nonperforming assets to total assets 0.44 %

0.03

%

 

Nonperforming assets (including TDRs) to total assets

0.58 %

1.29

%

 

Allowance for loan losses to loans 0.87 %

0.84

%

 

Allowance for loan losses to nonperforming assets 979.09 %

2,588.24

%

 

Net charge-offs (recovery) $ (19 ) $

-

$ (73 ) $ 1,257
Net charge-offs (recovery) to average loans (0.01 )% - % (0.01 )% 0.19 %
 

(1)

  

Efficiency ratio is calculated as noninterest expense divided by the sum of net interest income and noninterest income, excluding gains on sales of investment securities and other real estate owned.

(2)

All per share data calculations have been retroactively adjusted for the five-for-four stock split declared September 2017.

 
         
FVCBankcorp, Inc.
Summary Consolidated Statements of Condition
(Dollars in thousands)
(Unaudited)
 
 
% Change % Change
Current From
12/31/2017 9/30/2017 Quarter 12/31/2016 Year Ago
 
Cash and due from banks $ 7,428 $ 7,144 4.0 % $ 5,174 43.6 %
Interest-bearing deposits at other financial institutions 15,139 22,126 -31.6 % 3,510 331.3 %
Investment securities 117,712 118,270 -0.5 % 113,988 3.3 %
Restricted stock, at cost 3,438 4,607 -25.4 % 4,432 -22.4 %
 
Loans, net of fees:
Commercial real estate 525,530 515,961 1.9 % 475,939 10.4 %
Commercial and industrial 98,049 89,129 10.0 % 112,038 -12.5 %
Commercial construction 122,730 99,413 23.5 % 52,867 132.1 %
Consumer residential 109,893 106,452 3.2 % 107,709 2.0 %
Consumer nonresidential   32,475     16,146   101.1 %   19,548   66.1 %
Total loans, net of fees 888,677 827,101 7.4 % 768,101 15.7 %
Allowance for loan losses   (7,725 )   (7,271 ) 6.2 %   (6,452 ) 19.7 %
Loans, net 880,952 819,830 7.5 % 761,649 15.7 %
 
Premises and equipment, net 1,236 1,254 -1.4 % 1,271 -2.8 %
Bank-owned life insurance 15,969 15,854 0.7 % 10,828 47.5 %
Other real estate owned 3,866 - 100.0 % - 100.0 %
Other assets   7,065     8,671   -18.5 %   8,453   -16.4 %
 
TOTAL ASSETS $ 1,052,805   $ 997,756   5.5 % $ 909,305   15.8 %
 
Deposits:
Noninterest-bearing $ 175,446 $ 178,989 -2.0 % $ 165,662 5.9 %
Interest-bearing checking 185,528 182,457 1.7 % 196,208 -5.4 %
Savings and money market 193,573 167,347 15.7 % 173,073 11.8 %
Time deposits 258,127 232,526 11.0 % 178,884 44.3 %
Wholesale deposits   115,489     85,535   35.0 %   62,164   85.8 %
Total deposits 928,163 846,854 9.6 % 775,991 19.6 %
 
Other borrowed funds - 27,600 -100.0 % 27,000 -100.0 %
Subordinated notes, net of issuance costs 24,327 24,307 0.1 % 24,247 0.3 %
Other liabilities 2,032 1,450 40.1 % 2,256 -9.9 %
 
Shareholders’ equity   98,283     97,545   0.8 %   79,811   23.1 %
 
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY $ 1,052,805   $ 997,756   5.5 % $ 909,305   15.8 %
 
         
FVCBankcorp, Inc.
Summary Consolidated Income Statements
(In thousands, except per share data)
(Unaudited)
 
 
For the Three Months Ended
% Change % Change
Current From
12/31/2017 9/30/2017 Quarter 12/31/2016 Year Ago
 
Net interest income $ 8,451 $ 8,170 3.4 % $ 7,104 19.0 %
Provision for loan losses   435     250   74.0 %   561   -22.5 %
Net interest income after provision for loan losses   8,016     7,920   1.2 %   6,543   22.5 %
 
Noninterest income:
Fees on Loans 29 19 52.6 % 21 38.1 %
Service charges on deposit accounts 145 146 -0.7 % 151 -4.0 %
Gains on sale of securities available-for-sale 30 15 100.0 % - 0.0 %
Gains on other real estate owned 1,076 - 100.0 % - 100.0 %
BOLI income 114 115 -0.9 % 75 52.0 %
Other fee income   78     58   34.5 %   48   62.5 %
Total noninterest income   1,472     353   317.0 %   295   399.0 %
 
Noninterest expense:
Salaries and employee benefits 2,861 2,950 -3.0 % 2,458 16.4 %
Occupancy and equipment expense 586 559 4.8 % 549 6.7 %
Data processing and network administration 285 261 9.2 % 240 18.8 %
State franchise taxes 252 252 0.0 % 187 34.8 %
Professional fees 161 123 30.9 % 110 46.4 %
Other operating expense   780     716   8.9 %   719   8.5 %
Total non-interest expense   4,925     4,861   1.3 %   4,263   15.5 %
Income before income taxes 4,563 3,412 33.7 % 2,575 77.2 %
Income tax expense   3,558     1,177   202.3 %   835   326.1 %
NET INCOME $ 1,005   $ 2,235   -55.0 % $ 1,740   -42.2 %
 
Earnings per common share - basic $ 0.09   $ 0.21   -56.6 % $ 0.17   -45.9 %
Earnings per common share - diluted $ 0.08   $ 0.19   -56.3 % $ 0.16   -48.1 %
 
 

Reconciliation of Net Income (GAAP) to Operating Earnings (Non-GAAP):

 
Net income (from above) $ 1,005 $ 2,235 -55.0 % $ 1,740 -42.2 %
TCJA revaluation of net deferred tax assets   2,003     -   100.0 %   -   100.0 %
Net operating earnings $ 3,008   $ 2,235   34.6 % $ 1,740   72.9 %
 

Diluted earnings per share, on an operating basis

$ 0.25 $ 0.19 30.9 % $ 0.16 55.4 %
 
Return on average assets (non-GAAP operating earnings) 1.19 % 0.93 % 0.81 %
Return on average equity (non-GAAP operating earnings) 12.14 % 9.83 % 8.66 %
 
     
FVCBankcorp, Inc.
Summary Consolidated Income Statements
(In thousands, except per share data)
(Unaudited)
 
 
For the Years Ended
% Change
From
12/31/2017 12/31/2016 Year Ago
 
Net interest income $ 32,107 $ 27,200 18.0 %
Provision for loan losses   1,200     1,471   -18.4 %
Net interest income after provision for loan losses   30,907     25,729   20.1 %
 
Noninterest income:
Fees on Loans 76 65 16.9 %
Service charges on deposit accounts 546 564 -3.2 %
Gains on sale of securities available-for-sale 164 71 131.0 %
Gains on other real estate owned 1,075 - 100.0 %
BOLI income 855 303 182.2 %
Other fee income   259     217   19.4 %
Total noninterest income   2,975     1,220   143.9 %
 
Noninterest expense:
Salaries and employee benefits 11,659 9,804 18.9 %
Occupancy and equipment expense 2,259 2,097 7.7 %
Data processing and network administration 1,017 911 11.6 %
State franchise taxes 1,041 748 39.2 %
Professional fees 513 376 36.4 %
Other operating expense   2,857     2,510   13.8 %
Total non-interest expense   19,346     16,446   17.6 %
Income before income taxes 14,536 10,503 38.4 %
Income tax expense   6,846     3,571   91.7 %
NET INCOME $ 7,690   $ 6,932   10.9 %
 
Earnings per common share - basic $ 0.74   $ 0.68   8.8 %
Earnings per common share - diluted $ 0.67   $ 0.63   6.0 %
 
 

Reconciliation of Net Income (GAAP) to Operating Earnings (Non-GAAP):

 
Net income (from above) $ 7,690 $ 6,932 10.9 %
TCJA revaluation of net deferred tax assets   2,003     -   100.0 %
Net operating earnings $ 9,693   $ 6,932   39.8 %
 

Diluted earnings per share, on an operating basis

$ 0.84 $ 0.63 32.8 %
 
Return on average assets (non-GAAP operating earnings) 1.01 % 0.88 %
Return on average equity (non-GAAP operating earnings) 10.88 % 8.91 %
 
           
FVCBankcorp, Inc.
Average Statements of Condition and Yields on Earning Assets and Interest-Bearing Liabilities
(Dollars in thousands)
(Unaudited)
 
 
For the Three Months Ended
12/31/2017 9/30/2017 12/31/2016
Average Average Average Average Average Average
Balance Yield Balance Yield Balance Yield
Interest-earning assets:
Loans receivable, net of fees
Commercial real estate $ 518,345 4.59 % $ 513,757 4.55 % $ 425,381 4.63 %
Commercial and industrial 89,031 5.14 % 85,883 5.19 % 90,767 4.98 %
Commercial construction 111,555 5.07 % 90,935 5.40 % 66,239 4.77 %
Consumer residential 108,204 4.00 % 104,656 4.24 % 105,279 3.65 %
Consumer nonresidential 23,988 4.47 % 16,670 3.94 % 20,306 3.55 %
Consumer construction   -   - %   -   - %   460   4.25 %
Total loans 851,123 4.63 % 811,901 4.63 % 708,432 4.51 %
 
Investment securities (1) 122,353 2.28 % 119,424 2.27 % 104,526 2.14 %
Interest-bearing deposits at other financial institutions   13,294   1.23 %   7,571   1.27 %   27,922   0.52 %
Total interest-earning assets 986,770 4.18 % 938,896 4.39 % 840,880 3.90 %
 
Non-interest earning assets:
Cash and due from banks 7,315 7,143 6,425
Premises and equipment, net 1,228 1,337 1,208
Accrued interest and other assets 25,160 24,167 18,431
Allowance for loan losses   (7,403 )   (7,125 )   (5,990 )
 
TOTAL ASSETS $ 1,013,070   $ 964,418   $ 860,954  
 
Interest-bearing liabilities:
Interest checking $ 193,896 0.86 % $ 195,721 0.85 % $ 204,832 0.77 %
Savings and money market 179,495 0.85 % 157,448 0.77 % 165,961 0.56 %
Time deposits 238,331 1.42 % 228,587 1.34 % 162,017 1.20 %
Wholesale deposits   82,094   1.29 %   81,465   1.09 %   52,634   0.90 %
Total interest-bearing deposits 693,816 1.11 % 663,221 1.04 % 585,444 0.85 %
 
Other borrowed funds 9,287 1.59 % 8,083 1.44 % 4,884 1.06 %
Subordinated notes, net of issuance costs   24,314   6.45 %   24,294   6.45 %   24,234   6.47 %
Total interest-bearing liabilities 727,417 1.29 % 695,598 1.23 % 614,562 1.08 %
 
Noninterest-bearing liabilities:
Noninterest-bearing deposits 184,665 175,106 163,987
Other liabilities 1,904 2,766 2,041
 
Shareholders’ equity   99,084     90,948     80,364  
 
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY $ 1,013,070   $ 964,418   $ 860,954  
 
NET INTEREST MARGIN (1) 3.43 % 3.48 % 3.38 %
 
   

(1)

 

The average yields for investment securities are reported on a fully taxable-equivalent basis at a rate of 34.5% for 2017 and 2016.

 
       
FVCBankcorp, Inc.
Average Statements of Condition and Yields on Earning Assets and Interest-Bearing Liabilities
(Dollars in thousands)
(Unaudited)
 
 
For the Years Ended
12/31/2017 12/31/2016
Average Average Average Average
Balance Yield Balance Yield
Interest-earning assets:
Loans receivable, net of fees
Commercial real estate $ 499,054 4.54 % $ 395,038 4.60 %
Commercial and industrial 91,327 4.99 % 85,994 4.92 %
Commercial construction 88,562 4.89 % 59,568 5.35 %
Consumer residential 106,959 4.03 % 98,724 3.71 %
Consumer nonresidential 19,283 3.94 % 19,721 3.50 %
Consumer construction   -   - %   3,251   4.42 %
Total loans 805,185 4.59 % 662,296 4.54 %
 
Investment securities (1) 117,964 2.29 % 88,939 2.13 %
Interest-bearing deposits at other financial institutions   8,237   1.09 %   19,889   0.51 %
Total interest-earning assets 931,386 4.23 % 771,124 3.09 %
 
Non-interest earning assets:
Cash and due from banks 7,087 6,444
Premises and equipment, net 1,367 1,324
Accrued interest and other assets 23,039 17,704
Allowance for loan losses   (6,987 )   (6,164 )
 
TOTAL ASSETS $ 955,892   $ 790,432  
 
Interest-bearing liabilities:
Interest checking $ 204,422 0.81 % $ 174,545 0.78 %
Savings and money market 162,127 0.73 % 156,713 0.55 %
Time deposits 210,093 1.32 % 156,493 1.15 %
Wholesale deposits   75,534   1.07 %   53,178   0.86 %
Total interest-bearing deposits 652,176 0.98 % 540,929 0.83 %
 
Other borrowed funds 16,565 1.20 % 8,446 0.85 %
Subordinated notes, net of issuance costs   24,285   6.51 %   12,937   6.50 %
Total interest-bearing liabilities 693,026 1.63 % 562,312 0.96 %
 
Noninterest-bearing liabilities:
Noninterest-bearing deposits 171,649 148,592
Other liabilities 2,161 1,699
 
Shareholders’ equity   89,056     77,829  
 
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY $ 955,892   $ 790,432  
 
NET INTEREST MARGIN (1) 3.45 % 3.53 %
 
   

(1)

 

The average yields for investment securities are reported on a fully taxable-equivalent basis at a rate of 34.5% for 2017 and 2016.