Carolina Financial Corporation Reports Results for the Fourth Quarter of 2019
31 Januar 2020 - 10:10PM
Carolina Financial Corporation (the “Company”) (NASDAQ: CARO) today
announced financial results for the fourth quarter of 2019.
Financial highlights at and for the
three months ended December 31, 2019, include:
- Net income for Q4 2019 increased 6.8% to $16.5 million, or
$0.74 per diluted share, from $15.4 million, or $0.68 per diluted
share for Q4 2018.
- Operating earnings for Q4 2019, which exclude certain
non-operating income and expenses, increased 6.8% to $18.1 million,
or $0.81 per diluted share, from $16.9 million, or $0.75 per
diluted share, for Q4 2018.
- Operating earnings for Q4 2019 have been adjusted to eliminate
the following items:
- Merger-related expenses of $2.3 million.
- The fair value gain on interest rate swaps of approximately
$873,000.
- The loss on early extinguishment of debt of approximately
$77,000.
- Performance ratios for Q4 2019 compared to Q4 2018:
- Return on average assets was 1.66% compared to 1.67%.
- Operating return on average assets was 1.82% compared to
1.83%.
- Return on average tangible equity was 13.55% compared to
14.53%.
- Operating return on average tangible equity was 14.86% compared
to 15.92%.
- On December 31, 2019, the Company closed its acquisition of
Carolina Trust BancShares, Inc. (“Carolina Trust”). The acquisition
added $481.0 million of loans receivable, gross and $540.2 million
of deposits.
- Loans receivable, gross grew $703.6 million since December 31,
2018. Excluding the impact of loans acquired from Carolina Trust,
loans receivable, gross grew $222.6 million, or 8.8% since December
31, 2018.
- Total deposits increased $690.2 million since December 31,
2018. Excluding the impact of deposits acquired from Carolina
Trust, deposits increased $150.0 million since December 31,
2018.
- On December 3, 2018, the Company announced that the Board of
Directors had approved a plan to repurchase up to $25 million in
shares of the Company’s common stock through open market and
privately negotiated transactions over the next three years. The
Company began stock repurchases on December 4, 2018. During the
fourth quarter of 2019, the Company repurchased approximately 9,000
shares at an average price of $34.77. Cumulatively since December
4, 2018, the Company repurchased approximately 390,000 shares at an
average price of $32.01.
- On November 17, 2019, the Company announced the execution of an
agreement and plan of merger with United Bankshares, Inc.
(“United”) (NASDAQ: UBSI), pursuant to which the Company will merge
with and into United, with United as the surviving corporation of
the merger. Pursuant to the merger agreement, each outstanding
share of the Company’s common stock will be converted into the
right to receive 1.13 shares of United common stock, par value
$2.50 per share, resulting in an aggregate transaction value of
approximately $1.1 billion, based on closing price of a share of
United’s common stock as of that date. The transaction is
subject to customary regulatory and shareholder approvals.
Financial Results
Carolina Financial Corporation
- The Company reported net income for Q4 2019 of $16.5 million,
or $0.74 per diluted share, as compared to $15.4 million, or $0.68
per diluted share, for Q4 2018.
- Accretion income from acquired loans was $1.6 million for Q4
2019. Included in net income for Q4 2018 was a recovery of interest
income of $0.9 million related to a payoff of a purchased credit
impaired loan. Excluding the recovery, accretion income from
acquired loans was $1.9 million for Q4 2018.
- Operating earnings for Q4 2019, which exclude certain
non-operating income and expenses, increased 6.8% to $18.1 million,
or $0.81 per diluted share, from $16.9 million, or $0.75 per
diluted share, for Q4 2018.
- Included in net income for Q4 2019 were merger-related expenses
of $2.3 million, a fair value gain on interest rate swaps of
approximately $873,000 and a loss on early extinguishment of
debt of approximately $77,000.
- Included in net income for Q4 2018 was a fair value loss on
interest rate swaps of $2.2 million and a gain on sale of
securities of approximately $346,000.
- The Company reported net income for the year ended December 31,
2019 of $62.7 million or $2.80 per diluted share, as compared to
$49.7 million, or $2.26 per diluted share, for the year ended
December 31, 2018.
- Accretion income from acquired loans was $7.6 million for the
year ended December 31, 2019 compared to $9.8 million for the year
ended December 31, 2018. Provision for loan losses during the year
ended December 31, 2019 and 2018 was $2.6 million and $2.1 million,
respectively.
- Operating earnings for the year ended December 31, 2019, which
exclude certain non-operating income and expenses, increased to
$67.6 million, or $3.02 per diluted share compared to $62.8
million, or $2.86 per diluted share, for the same period of 2018.
- Included in net income for the year ended December 31, 2019 was
a fair value loss on interest rate swaps of $3.7 million, a
temporary impairment of mortgage servicing rights of $3.1 million,
a gain on sale of securities of $3.9 million, a loss on early
extinguishment of debt of approximately $178,000 and merger-related
expenses of $2.8 million.
- Included in net income for the year ended December 31, 2018 was
a fair value loss on interest rate swaps of approximately $340,000,
a loss on sale of securities of $1.9 million and merger-related
expenses of $15.2 million.
- The Company’s net interest margin-tax equivalent (NIM)
decreased to 3.94% for Q4 2019 compared to 4.23% for Q4 2018. Q4
2019 net interest income included accretion income from acquired
loans of $1.6 million (18 bps to NIM) and early payoff fees of
approximately $282,000 (3 bps to NIM). Q4 2018 accretion income
included a recovery of interest income of approximately $0.9
million (11 bps to NIM), accretion income from acquired loans of
$1.9 million (22 bps to NIM) and early payoff fees of approximately
$414,000 (6 bps to NIM).
- Excluding accretion income from acquired loans and early payoff
fees, Q4 2019 net interest margin was 3.73% compared to 3.84% in Q4
2018.
- The Company reported book value per common share of $30.14 and
$25.83 as of December 31, 2019 and 2018, respectively. Tangible
book value per common share was $22.00 and $19.36 as of December
31, 2019 and 2018, respectively.
- At December 31, 2019, the Company’s regulatory capital ratios
exceeded the minimum levels currently required. Stockholders’
equity totaled $743.4 million as of December 31, 2019 compared to
$575.3 million at December 31, 2018. Tangible equity to tangible
assets at December 31, 2019 was 12.04% compared to 11.83% at
December 31, 2018.
- During Q4 2019, the Company repurchased approximately 9,000
shares at an average price of $34.77.
Banking Segment
- Banking segment net income increased 3.1% to $15.9 million for
Q4 2019 compared to $15.4 million for Q4 2018. Accretion income
from acquired loans was $1.6 million for Q4 2019. Included in net
income for Q4 2018 was a recovery of interest income of $0.9
million related to a payoff of a purchased credit impaired loan.
Excluding the recovery, accretion income from acquired loans was
$1.9 million for Q4 2018.
- Banking segment net income increased 27.7% to $63.4 million for
the year ended December 31, 2019 compared to $49.6 million for the
year ended December 31, 2018. Accretion income from acquired loans
was $7.6 million for the year ended December 31, 2019 compared to
$9.8 million for the year ended December 31, 2018. Provision for
loan losses during the year ended December 31, 2019 and 2018 was
$2.6 million and $2.1 million, respectively.
- Banking segment operating earnings increased 3.5% to $17.5
million for Q4 2019 compared to $16.9 million for Q4 2018.
- Banking segment operating earnings increased 4.9% to $65.9
million for the year ended December 31, 2019 compared to $62.8
million for the year ended December 31, 2018.
- Provision for loan losses during Q4 2019 was $580,000.
Provision for loan losses during Q4 2018 was $750,000. The
provision for loan losses was primarily driven by the organic loan
growth.
- Non-performing assets were 0.59% and 0.35% of total assets at
December 31, 2019 and 2018, respectively. The increase in the NPA
ratio was primarily due to two fully collateralized lending
relationships.
- Loans receivable, gross grew $703.6 million since December 31,
2018. Excluding the impact of loans acquired from Carolina Trust,
loans receivable, gross grew $222.6 million, or 8.8% since December
31, 2018.
- Total deposits increased $690.2 million since December 31,
2018. Excluding the impact of deposits acquired from Carolina
Trust, deposits increased $150.0 million since December 31,
2018.
Wholesale Mortgage Banking
- Net income for the wholesale mortgage banking segment was
approximately $949,000 for Q4 2019 compared to net income of
approximately $599,000 for Q4 2018. Net income was $1.6 million for
the year ended December 31, 2019 compared to $2.3 million for the
year ended December 31, 2018.
- Included in net income for the year ended December 31, 2019 was
a temporary impairment of mortgage servicing rights (MSR) of $3.1
million. The Company does not hedge the mortgage servicing rights
positions and the impact of falling long-term interest rates
increased prepayment speed assumptions driving down the value of
the MSR asset. Excluding the impact of the temporary impairment of
mortgage servicing rights, operating earnings were $4.0 million for
the year ended December 31, 2019.
- Net margin was 2.03% for the three months ended December 31,
2019 compared to 1.84% for the three months ended December 31,
2018. Originations for Q4 2019 and Q4 2018 were $237.6 million and
$168.0 million, respectively.
- Net margin was 2.04% for the year ended December 31, 2019
compared to 1.74% for the year ended December 31, 2018.
Originations for the year ended December 31, 2019 and 2018 were
$800.0 million and $744.2 million, respectively.
Dividend Declared
On January 30, 2020, the Company declared a
$0.10 dividend per common share, payable on April 6, 2020 to
stockholders of record on March 16, 2020.
About Carolina Financial
Corporation
Carolina Financial Corporation (NASDAQ: CARO) is
the holding company of CresCom Bank, which also owns and
operates Atlanta-based Crescent Mortgage Company.
As of December 31, 2019, Carolina Financial
Corporation had approximately $4.7 billion in total
assets and Crescent Mortgage Company was approved to
originate loans in 48 states partnering with community banks,
credit unions and mortgage brokers.
Addendum to News Release – Use of
Certain Non-GAAP Financial Measures and Forward-Looking
Statements
This news release contains financial information
determined by methods other than in accordance with generally
accepted accounting principles (“GAAP”). Such statements should be
read along with the accompanying tables, which provide a
reconciliation of non-GAAP measures to GAAP measures. This news
release and the accompanying tables discuss financial measures,
including but not limited to, core deposits, tangible book value,
operating earnings and net income related to segments of the
Company, which are non-GAAP measures. We believe that such non-GAAP
measures are useful because they enhance the ability of investors
and management to evaluate and compare the Company’s operating
results from period to period in a meaningful manner. Non-GAAP
measures should not be considered as an alternative to any measure
of performance as promulgated under GAAP. Investors should consider
the Company’s performance and financial condition as reported under
GAAP and all other relevant information when assessing the
performance or financial condition of the company. Non-GAAP
measures have limitations as analytical tools, and investors should
not consider them in isolation or as a substitute for analysis of
the Company’s results or financial condition as reported under
GAAP.
Please refer to the Non-GAAP reconciliation
tables later in this release for additional
information.
Forward-Looking Statements
Certain statements in this news release contain
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995, such as statements
relating to future plans and expectations, and are thus
prospective. Such forward-looking statements include but
are not limited to statements with respect to our plans,
objectives, expectations and intentions and other statements that
are not historical facts, and other statements identified by words
such as “believes,” “expects,” “anticipates,” “estimates,”
“intends,” “plans,” “targets,” and “projects,” as well as similar
expressions. Such statements are subject to risks,
uncertainties, and other factors which could cause actual results
to differ materially from future results expressed or implied by
such forward-looking statements. Although we believe
that the assumptions underlying the forward-looking statements are
reasonable, any of the assumptions could prove to be inaccurate.
Therefore, we can give no assurance that the results
contemplated in the forward-looking statements will be
realized. The inclusion of this forward-looking
information should not be construed as a representation by the
Company or any person that the future events, plans, or
expectations contemplated by the Company will occur or be
achieved.
The following factors, among others, could cause
actual results to differ materially from the anticipated results or
other expectations expressed in the forward-looking statements: (1)
competitive pressures among depository and other financial
institutions may increase significantly and have an effect on
pricing, spending, third-party relationships and revenues; (2) the
strength of the United States economy in general and the strength
of the local economies in which we conduct operations may be
different than expected resulting in, among other things, a
deterioration in the credit quality or a reduced demand for credit,
including the resultant effect on the Company’s loan portfolio and
allowance for loan losses; (3) the rate of delinquencies and
amounts of charge-offs, the level of allowance for loan loss, the
rates of loan growth, or adverse changes in asset quality in our
loan portfolio, which may result in increased credit risk-related
losses and expenses; (4) the risk that the preliminary financial
information reported herein and our current preliminary analysis
will be different when our review is finalized; (5) changes in the
U.S. legal and regulatory framework including, but not limited to,
the Dodd-Frank Act and regulations adopted thereunder; (6) adverse
conditions in the stock market, the public debt market and other
capital markets (including changes in interest rate conditions)
could have a negative impact on the Company; (7) the business
related to acquisitions may not be integrated successfully or such
integration may take longer to accomplish than expected; (8) the
expected cost savings and any revenue synergies from acquisitions
may not be fully realized within expected timeframes; (9)
disruption from acquisitions may make it more difficult to maintain
relationships with clients, associates, or suppliers; and (10) the
impact of hurricanes and other natural disasters on our loan
portfolio and the economic prospects of our coastal
markets. Additional factors that could cause our results
to differ materially from those described in the forward-looking
statements can be found in our reports (such as our Annual Report
on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on
Form 8-K) filed with the SEC and available at the SEC’s Internet
site (http://www.sec.gov). All subsequent written and
oral forward-looking statements concerning the Company or any
person acting on its behalf are expressly qualified in their
entirety by the cautionary statements above. We do not undertake
any obligation to update any forward-looking statement to reflect
circumstances or events that occur after the date the
forward-looking statements are made.
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CAROLINA FINANCIAL CORPORATION |
|
CONDENSED CONSOLIDATED BALANCE SHEETS |
|
|
|
|
|
|
|
|
|
|
|
December 31, 2019 |
|
|
December 31, 2018 |
|
|
|
|
(Unaudited) |
|
|
(Audited) |
|
|
|
|
(In thousands) |
|
|
ASSETS |
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
41,411 |
|
|
|
28,857 |
|
|
Interest-bearing cash |
|
|
91,792 |
|
|
|
33,276 |
|
|
Cash and cash equivalents |
|
|
133,203 |
|
|
|
62,133 |
|
|
Securities available-for-sale |
|
|
879,235 |
|
|
|
842,801 |
|
|
Federal Home Loan Bank stock, at cost |
|
|
23,280 |
|
|
|
21,696 |
|
|
Other investments |
|
|
3,521 |
|
|
|
3,450 |
|
|
Derivative assets |
|
|
1,791 |
|
|
|
4,032 |
|
|
Loans held for sale |
|
|
31,282 |
|
|
|
16,972 |
|
|
Loans receivable, gross |
|
|
3,227,937 |
|
|
|
2,524,336 |
|
|
Allowance for loan losses |
|
|
(16,521 |
) |
|
|
(14,463 |
) |
|
Loans receivable, net |
|
|
3,211,416 |
|
|
|
2,509,873 |
|
| |
|
|
|
|
|
|
|
|
|
Premises and equipment, net |
|
|
70,702 |
|
|
|
60,866 |
|
|
Right of use operating lease asset |
|
|
17,163 |
|
|
|
— |
|
|
Accrued interest receivable |
|
|
14,951 |
|
|
|
13,494 |
|
|
Real estate acquired through foreclosure, net |
|
|
2,325 |
|
|
|
1,534 |
|
|
Deferred tax assets, net |
|
|
2,463 |
|
|
|
5,786 |
|
|
Mortgage servicing rights |
|
|
25,941 |
|
|
|
32,933 |
|
|
Cash value life insurance |
|
|
71,267 |
|
|
|
58,728 |
|
|
Core deposit intangible |
|
|
16,621 |
|
|
|
16,462 |
|
|
Goodwill |
|
|
184,259 |
|
|
|
127,592 |
|
|
Other assets |
|
|
19,453 |
|
|
|
12,396 |
|
|
Total assets |
|
$ |
4,708,873 |
|
|
|
3,790,748 |
|
| |
|
|
|
|
|
|
|
|
| LIABILITIES AND STOCKHOLDERS’
EQUITY |
|
|
|
|
|
|
|
|
| Liabilities: |
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
$ |
668,616 |
|
|
|
547,022 |
|
|
Interest-bearing deposits |
|
|
2,739,745 |
|
|
|
2,171,171 |
|
|
Total deposits |
|
|
3,408,361 |
|
|
|
2,718,193 |
|
|
Short-term borrowed funds |
|
|
449,814 |
|
|
|
405,500 |
|
|
Long-term debt |
|
|
42,761 |
|
|
|
59,436 |
|
|
Right of use operating lease liability |
|
|
17,593 |
|
|
|
— |
|
|
Derivative liabilities |
|
|
3,427 |
|
|
|
1,232 |
|
|
Drafts outstanding |
|
|
8,193 |
|
|
|
8,129 |
|
|
Advances from borrowers for insurance and taxes |
|
|
3,288 |
|
|
|
4,100 |
|
|
Accrued interest payable |
|
|
2,450 |
|
|
|
1,591 |
|
|
Reserve for mortgage repurchase losses |
|
|
892 |
|
|
|
1,292 |
|
|
Dividends payable to stockholders |
|
|
2,227 |
|
|
|
1,576 |
|
|
Accrued expenses and other liabilities |
|
|
26,427 |
|
|
|
14,414 |
|
|
Total liabilities |
|
|
3,965,433 |
|
|
|
3,215,463 |
|
| Stockholders’ equity: |
|
|
|
|
|
|
|
|
|
Preferred stock |
|
|
— |
|
|
|
— |
|
|
Common stock |
|
|
248 |
|
|
|
224 |
|
|
Additional paid-in capital |
|
|
514,272 |
|
|
|
408,224 |
|
|
Retained earnings |
|
|
221,103 |
|
|
|
167,173 |
|
|
Accumulated other comprehensive income (loss), net of tax |
|
|
7,817 |
|
|
|
(336 |
) |
|
Total stockholders’ equity |
|
|
743,440 |
|
|
|
575,285 |
|
|
Total liabilities and stockholders’ equity |
|
$ |
4,708,873 |
|
|
|
3,790,748 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAROLINA FINANCIAL CORPORATION |
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS |
|
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months |
|
|
For the Year |
|
|
|
|
Ended December 31, |
|
|
Ended December 31, |
|
|
|
|
2019 |
|
|
2018 |
|
|
2019 |
|
|
2018 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands, except share data) |
|
|
Interest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans |
|
$ |
37,769 |
|
|
|
35,214 |
|
|
|
147,921 |
|
|
|
133,252 |
|
|
Investment securities |
|
|
6,214 |
|
|
|
7,243 |
|
|
|
27,424 |
|
|
|
26,222 |
|
|
Dividends from Federal Home Loan Bank stock |
|
|
280 |
|
|
|
253 |
|
|
|
1,203 |
|
|
|
1,004 |
|
|
Other interest income |
|
|
123 |
|
|
|
209 |
|
|
|
568 |
|
|
|
580 |
|
|
Total interest income |
|
|
44,386 |
|
|
|
42,919 |
|
|
|
177,116 |
|
|
|
161,058 |
|
| Interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
6,882 |
|
|
|
5,808 |
|
|
|
27,106 |
|
|
|
18,727 |
|
|
Short-term borrowed funds |
|
|
1,652 |
|
|
|
1,576 |
|
|
|
8,328 |
|
|
|
6,064 |
|
|
Long-term debt |
|
|
539 |
|
|
|
643 |
|
|
|
2,432 |
|
|
|
2,457 |
|
|
Total interest expense |
|
|
9,073 |
|
|
|
8,027 |
|
|
|
37,866 |
|
|
|
27,248 |
|
| Net interest income |
|
|
35,313 |
|
|
|
34,892 |
|
|
|
139,250 |
|
|
|
133,810 |
|
| Provision for loan losses |
|
|
580 |
|
|
|
750 |
|
|
|
2,580 |
|
|
|
2,059 |
|
|
Net interest income after provision for loan losses |
|
|
34,733 |
|
|
|
34,142 |
|
|
|
136,670 |
|
|
|
131,751 |
|
| Noninterest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mortgage banking income |
|
|
5,527 |
|
|
|
3,593 |
|
|
|
19,326 |
|
|
|
15,295 |
|
|
Deposit service charges |
|
|
1,726 |
|
|
|
1,775 |
|
|
|
6,814 |
|
|
|
7,755 |
|
|
Net loss on extinguishment of debt |
|
|
(77 |
) |
|
|
— |
|
|
|
(178 |
) |
|
|
— |
|
|
Net gain (loss) on sale of securities |
|
|
— |
|
|
|
346 |
|
|
|
3,891 |
|
|
|
(1,946 |
) |
|
Fair value adjustments on interest rate swaps |
|
|
873 |
|
|
|
(2,222 |
) |
|
|
(3,659 |
) |
|
|
(340 |
) |
|
Net increase in cash value life insurance |
|
|
395 |
|
|
|
377 |
|
|
|
1,591 |
|
|
|
1,530 |
|
|
Mortgage loan servicing income |
|
|
2,413 |
|
|
|
2,624 |
|
|
|
10,107 |
|
|
|
9,052 |
|
|
Debit card income, net |
|
|
1,500 |
|
|
|
1,246 |
|
|
|
4,839 |
|
|
|
4,809 |
|
|
Other |
|
|
934 |
|
|
|
781 |
|
|
|
4,379 |
|
|
|
3,741 |
|
|
Total noninterest income |
|
|
13,291 |
|
|
|
8,520 |
|
|
|
47,110 |
|
|
|
39,896 |
|
| Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
|
13,559 |
|
|
|
12,857 |
|
|
|
53,822 |
|
|
|
53,517 |
|
|
Occupancy and equipment |
|
|
4,379 |
|
|
|
4,101 |
|
|
|
16,902 |
|
|
|
15,961 |
|
|
Marketing and public relations |
|
|
307 |
|
|
|
320 |
|
|
|
1,614 |
|
|
|
1,330 |
|
|
FDIC insurance |
|
|
— |
|
|
|
285 |
|
|
|
502 |
|
|
|
1,090 |
|
|
Recovery of mortgage loan repurchase losses |
|
|
(100 |
) |
|
|
(150 |
) |
|
|
(400 |
) |
|
|
(600 |
) |
|
Legal expense |
|
|
66 |
|
|
|
95 |
|
|
|
438 |
|
|
|
422 |
|
|
Other real estate expense (income), net |
|
|
92 |
|
|
|
(10 |
) |
|
|
422 |
|
|
|
(13 |
) |
|
Mortgage subservicing expense |
|
|
697 |
|
|
|
696 |
|
|
|
2,872 |
|
|
|
2,468 |
|
|
Amortization of mortgage servicing rights |
|
|
1,570 |
|
|
|
1,239 |
|
|
|
5,721 |
|
|
|
4,206 |
|
|
Impairment of mortgage servicing rights |
|
|
— |
|
|
|
— |
|
|
|
3,100 |
|
|
|
— |
|
|
Amortization of core deposit intangible |
|
|
706 |
|
|
|
763 |
|
|
|
2,910 |
|
|
|
3,139 |
|
|
Merger-related expenses |
|
|
2,270 |
|
|
|
— |
|
|
|
2,753 |
|
|
|
15,216 |
|
|
Other |
|
|
3,013 |
|
|
|
3,041 |
|
|
|
12,436 |
|
|
|
12,472 |
|
|
Total noninterest expense |
|
|
26,559 |
|
|
|
23,237 |
|
|
|
103,092 |
|
|
|
109,208 |
|
| Income before income
taxes |
|
|
21,465 |
|
|
|
19,425 |
|
|
|
80,688 |
|
|
|
62,439 |
|
| Income tax expense |
|
|
4,972 |
|
|
|
3,981 |
|
|
|
17,948 |
|
|
|
12,769 |
|
|
Net income |
|
$ |
16,493 |
|
|
|
15,444 |
|
|
|
62,740 |
|
|
|
49,670 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Earnings per common
share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.74 |
|
|
|
0.69 |
|
|
|
2.83 |
|
|
|
2.28 |
|
|
Diluted |
|
$ |
0.74 |
|
|
|
0.68 |
|
|
|
2.80 |
|
|
|
2.26 |
|
| Dividends declared per common
share |
|
$ |
0.10 |
|
|
|
0.07 |
|
|
|
0.36 |
|
|
|
0.25 |
|
| Weighted average common shares
outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
22,140,187 |
|
|
|
22,416,190 |
|
|
|
22,168,082 |
|
|
|
21,756,595 |
|
|
Diluted |
|
|
22,363,814 |
|
|
|
22,587,466 |
|
|
|
22,385,127 |
|
|
|
21,972,857 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAROLINA FINANCIAL CORPORATION |
|
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At or for the Three Months Ended |
|
| Selected Financial
Data: |
|
December 31, 2019 |
|
|
September 30, 2019 |
|
|
June 30, 2019 |
|
|
March 31, 2019 |
|
|
December 31, 2018 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands) |
|
| Selected Average
Balances: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total assets |
|
$ |
3,978,345 |
|
|
|
3,891,019 |
|
|
|
3,878,269 |
|
|
|
3,826,116 |
|
|
|
3,700,795 |
|
| Investment securities and FHLB
stock |
|
|
822,430 |
|
|
|
815,207 |
|
|
|
832,224 |
|
|
|
833,720 |
|
|
|
838,834 |
|
| Loans receivable, net |
|
|
2,711,061 |
|
|
|
2,639,921 |
|
|
|
2,610,394 |
|
|
|
2,535,192 |
|
|
|
2,428,603 |
|
| Loans held for sale |
|
|
31,436 |
|
|
|
29,733 |
|
|
|
21,905 |
|
|
|
13,754 |
|
|
|
20,120 |
|
| Deposits |
|
|
2,900,713 |
|
|
|
2,837,353 |
|
|
|
2,782,576 |
|
|
|
2,751,913 |
|
|
|
2,760,156 |
|
| Stockholders’ equity |
|
|
628,850 |
|
|
|
614,550 |
|
|
|
598,196 |
|
|
|
580,300 |
|
|
|
569,528 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Performance Ratios
(annualized): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Return on average
stockholders’ equity |
|
|
10.49 |
% |
|
|
10.82 |
% |
|
|
10.08 |
% |
|
|
10.03 |
% |
|
|
10.85 |
% |
| Return on average tangible
equity (Non-GAAP) |
|
|
13.55 |
% |
|
|
14.08 |
% |
|
|
13.24 |
% |
|
|
13.32 |
% |
|
|
14.53 |
% |
| Return on average assets |
|
|
1.66 |
% |
|
|
1.71 |
% |
|
|
1.55 |
% |
|
|
1.52 |
% |
|
|
1.67 |
% |
| Operating return on average
stockholders’ equity (Non-GAAP) |
|
|
11.50 |
% |
|
|
12.08 |
% |
|
|
10.87 |
% |
|
|
10.11 |
% |
|
|
11.88 |
% |
| Operating return on average
tangible equity (Non-GAAP) |
|
|
14.86 |
% |
|
|
15.72 |
% |
|
|
14.28 |
% |
|
|
13.44 |
% |
|
|
15.92 |
% |
| Operating return on average
assets (Non-GAAP) |
|
|
1.82 |
% |
|
|
1.91 |
% |
|
|
1.68 |
% |
|
|
1.53 |
% |
|
|
1.83 |
% |
| Average earning assets to
average total assets |
|
|
90.28 |
% |
|
|
90.13 |
% |
|
|
89.83 |
% |
|
|
89.72 |
% |
|
|
89.64 |
% |
| Average loans receivable to
average deposits |
|
|
93.46 |
% |
|
|
93.04 |
% |
|
|
93.81 |
% |
|
|
92.12 |
% |
|
|
87.99 |
% |
| Average stockholders’ equity
to average assets |
|
|
15.81 |
% |
|
|
15.79 |
% |
|
|
15.42 |
% |
|
|
15.17 |
% |
|
|
15.39 |
% |
| Net interest margin-tax
equivalent (1) |
|
|
3.94 |
% |
|
|
4.13 |
% |
|
|
3.99 |
% |
|
|
4.00 |
% |
|
|
4.23 |
% |
| Net charge-offs (recoveries)
to average loans receivable |
|
|
0.03 |
% |
|
|
0.05 |
% |
|
|
(0.03 |
)% |
|
|
0.02 |
% |
|
|
(0.02 |
)% |
| Nonperforming assets to period
end loans receivable |
|
|
0.85 |
% |
|
|
0.77 |
% |
|
|
0.54 |
% |
|
|
0.50 |
% |
|
|
0.53 |
% |
| Nonperforming assets to total
assets |
|
|
0.59 |
% |
|
|
0.52 |
% |
|
|
0.37 |
% |
|
|
0.34 |
% |
|
|
0.35 |
% |
| Nonperforming loans to total
loans |
|
|
0.78 |
% |
|
|
0.70 |
% |
|
|
0.50 |
% |
|
|
0.45 |
% |
|
|
0.47 |
% |
| Allowance for loan losses as a
percentage of gross loans receivable (end of period) (2) |
|
|
0.51 |
% |
|
|
0.59 |
% |
|
|
0.60 |
% |
|
|
0.58 |
% |
|
|
0.57 |
% |
| Allowance for loan losses as a
percentage of gross non-acquired loans receivable (Non-GAAP) |
|
|
0.74 |
% |
|
|
0.74 |
% |
|
|
0.77 |
% |
|
|
0.77 |
% |
|
|
0.79 |
% |
| Allowance for loan losses as a
percentage of nonperforming loans (2) |
|
|
65.44 |
% |
|
|
84.73 |
% |
|
|
120.51 |
% |
|
|
129.74 |
% |
|
|
123.13 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Nonperforming Assets,
excluding purchased credit impaired: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loans 90 days or more past due
and still accruing |
|
$ |
81 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
20 |
|
| Nonaccrual loans |
|
|
25,166 |
|
|
|
19,032 |
|
|
|
13,167 |
|
|
|
11,578 |
|
|
|
11,721 |
|
|
Total nonperforming loans |
|
|
25,247 |
|
|
|
19,032 |
|
|
|
13,167 |
|
|
|
11,578 |
|
|
|
11,741 |
|
| Real estate acquired through
foreclosure, net |
|
|
2,325 |
|
|
|
1,832 |
|
|
|
1,218 |
|
|
|
1,335 |
|
|
|
1,534 |
|
|
Total nonperforming assets |
|
$ |
27,572 |
|
|
|
20,864 |
|
|
|
14,385 |
|
|
|
12,913 |
|
|
|
13,275 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Net
interest margin-tax equivalent reflects tax-exempt income on a
tax-equivalent basis. |
| (2)
Acquired loans represent 30.7%, 20.2%, 22.7%, 24.9%, and
27.2%, of gross loans receivable at December 31, 2019,
September 30, 2019, June 30, 2019, March 31, 2019, and
December 31, 2018, respectively. |
| |
| |
|
Carolina Financial Corporation Segment
Information(Unaudited)(Dollars in
thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months |
|
|
For the Year |
|
|
Increase (Decrease) |
|
|
|
|
Ended December 31, |
|
|
Ended December 31, |
|
|
Three |
|
|
|
|
|
|
|
2019 |
|
|
2018 |
|
|
2019 |
|
|
2018 |
|
|
Months |
|
|
Year |
|
|
Segment net income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking |
|
$ |
15,933 |
|
|
|
15,449 |
|
|
|
63,382 |
|
|
|
49,624 |
|
|
|
484 |
|
|
|
13,758 |
|
| Wholesale mortgage
banking |
|
|
949 |
|
|
|
599 |
|
|
|
1,572 |
|
|
|
2,315 |
|
|
|
350 |
|
|
|
(743 |
) |
| Other |
|
|
(424 |
) |
|
|
(594 |
) |
|
|
(2,299 |
) |
|
|
(2,266 |
) |
|
|
170 |
|
|
|
(33 |
) |
| Eliminations |
|
|
35 |
|
|
|
(10 |
) |
|
|
85 |
|
|
|
(3 |
) |
|
|
45 |
|
|
|
88 |
|
| Total net income |
|
$ |
16,493 |
|
|
|
15,444 |
|
|
|
62,740 |
|
|
|
49,670 |
|
|
|
1,049 |
|
|
|
13,070 |
|
|
|
|
For the Three Months Ended |
|
|
|
|
December 31, 2019 |
|
|
September 30, 2019 |
|
|
June 30, 2019 |
|
|
March 31, 2019 |
|
|
December 31, 2018 |
|
|
Segment net income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking |
|
$ |
15,933 |
|
|
|
16,864 |
|
|
|
15,804 |
|
|
|
14,781 |
|
|
|
15,449 |
|
| Wholesale mortgage
banking |
|
|
949 |
|
|
|
325 |
|
|
|
(92 |
) |
|
|
390 |
|
|
|
599 |
|
| Other |
|
|
(424 |
) |
|
|
(582 |
) |
|
|
(657 |
) |
|
|
(636 |
) |
|
|
(594 |
) |
| Eliminations |
|
|
35 |
|
|
|
21 |
|
|
|
19 |
|
|
|
10 |
|
|
|
(10 |
) |
| Total net income |
|
$ |
16,493 |
|
|
|
16,628 |
|
|
|
15,074 |
|
|
|
14,545 |
|
|
|
15,444 |
|
|
|
|
For the Three Months Ended December 31, 2019 |
|
|
|
Community |
|
|
Mortgage |
|
|
|
|
|
|
|
|
|
|
|
|
Banking |
|
|
Banking |
|
|
Other |
|
|
Eliminations |
|
|
Total |
|
Interest income |
|
$ |
43,991 |
|
|
|
399 |
|
|
|
13 |
|
|
|
(17 |
) |
|
|
44,386 |
| Interest expense |
|
|
8,574 |
|
|
|
61 |
|
|
|
501 |
|
|
|
(63 |
) |
|
|
9,073 |
| Net interest income
(expense) |
|
|
35,417 |
|
|
|
338 |
|
|
|
(488 |
) |
|
|
46 |
|
|
|
35,313 |
| Provision for loan losses |
|
|
589 |
|
|
|
(9 |
) |
|
|
— |
|
|
|
— |
|
|
|
580 |
| Noninterest income from
external customers |
|
|
6,222 |
|
|
|
7,045 |
|
|
|
24 |
|
|
|
— |
|
|
|
13,291 |
| Intersegment noninterest
income |
|
|
242 |
|
|
|
— |
|
|
|
— |
|
|
|
(242 |
) |
|
|
— |
| Noninterest expense from
external customers |
|
|
20,423 |
|
|
|
5,924 |
|
|
|
212 |
|
|
|
— |
|
|
|
26,559 |
| Intersegment noninterest
expense |
|
|
— |
|
|
|
240 |
|
|
|
2 |
|
|
|
(242 |
) |
|
|
— |
| Income (loss) before income
taxes |
|
|
20,869 |
|
|
|
1,228 |
|
|
|
(678 |
) |
|
|
46 |
|
|
|
21,465 |
| Income tax expense
(benefit) |
|
|
4,936 |
|
|
|
279 |
|
|
|
(254 |
) |
|
|
11 |
|
|
|
4,972 |
| Net income (loss) |
|
$ |
15,933 |
|
|
|
949 |
|
|
|
(424 |
) |
|
|
35 |
|
|
|
16,493 |
|
|
|
For the Three Months Ended December 31, 2018 |
|
|
|
Community |
|
|
Mortgage |
|
|
|
|
|
|
|
|
|
|
|
|
Banking |
|
|
Banking |
|
|
Other |
|
|
Eliminations |
|
|
Total |
|
Interest income |
|
$ |
42,577 |
|
|
|
480 |
|
|
|
15 |
|
|
|
(153 |
) |
|
|
42,919 |
| Interest expense |
|
|
7,494 |
|
|
|
170 |
|
|
|
537 |
|
|
|
(174 |
) |
|
|
8,027 |
| Net interest income
(expense) |
|
|
35,083 |
|
|
|
310 |
|
|
|
(522 |
) |
|
|
21 |
|
|
|
34,892 |
| Provision for loan losses |
|
|
750 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
750 |
| Noninterest income from
external customers |
|
|
2,990 |
|
|
|
5,507 |
|
|
|
23 |
|
|
|
— |
|
|
|
8,520 |
| Intersegment noninterest
income |
|
|
242 |
|
|
|
36 |
|
|
|
— |
|
|
|
(278 |
) |
|
|
— |
| Noninterest expense from
external customers |
|
|
18,141 |
|
|
|
4,818 |
|
|
|
277 |
|
|
|
1 |
|
|
|
23,237 |
| Intersegment noninterest
expense |
|
|
— |
|
|
|
240 |
|
|
|
2 |
|
|
|
(242 |
) |
|
|
— |
| Income (loss) before income
taxes |
|
|
19,424 |
|
|
|
795 |
|
|
|
(778 |
) |
|
|
(16 |
) |
|
|
19,425 |
| Income tax expense
(benefit) |
|
|
3,975 |
|
|
|
196 |
|
|
|
(184 |
) |
|
|
(6 |
) |
|
|
3,981 |
| Net income (loss) |
|
$ |
15,449 |
|
|
|
599 |
|
|
|
(594 |
) |
|
|
(10 |
) |
|
|
15,444 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carolina Financial CorporationSegment
Information, Continued(Unaudited)(Dollars
in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended December 31, 2019 |
|
|
|
Community |
|
|
Mortgage |
|
|
|
|
|
|
|
|
|
|
|
|
Banking |
|
|
Banking |
|
|
Other |
|
|
Eliminations |
|
|
Total |
|
Interest income |
|
$ |
175,726 |
|
|
|
1,695 |
|
|
|
59 |
|
|
|
(364 |
) |
|
|
177,116 |
| Interest expense |
|
|
35,736 |
|
|
|
483 |
|
|
|
2,138 |
|
|
|
(491 |
) |
|
|
37,866 |
| Net interest income
(expense) |
|
|
139,990 |
|
|
|
1,212 |
|
|
|
(2,079 |
) |
|
|
127 |
|
|
|
139,250 |
| Provision for loan losses |
|
|
2,709 |
|
|
|
(129 |
) |
|
|
— |
|
|
|
— |
|
|
|
2,580 |
| Noninterest income from
external customers |
|
|
21,384 |
|
|
|
25,652 |
|
|
|
74 |
|
|
|
— |
|
|
|
47,110 |
| Intersegment noninterest
income |
|
|
966 |
|
|
|
17 |
|
|
|
— |
|
|
|
(983 |
) |
|
|
— |
| Noninterest expense from
external customers |
|
|
77,921 |
|
|
|
24,004 |
|
|
|
1,167 |
|
|
|
— |
|
|
|
103,092 |
| Intersegment noninterest
expense |
|
|
— |
|
|
|
960 |
|
|
|
6 |
|
|
|
(966 |
) |
|
|
— |
| Income (loss) before income
taxes |
|
|
81,710 |
|
|
|
2,046 |
|
|
|
(3,178 |
) |
|
|
110 |
|
|
|
80,688 |
| Income tax expense
(benefit) |
|
|
18,328 |
|
|
|
474 |
|
|
|
(879 |
) |
|
|
25 |
|
|
|
17,948 |
| Net income (loss) |
|
$ |
63,382 |
|
|
|
1,572 |
|
|
|
(2,299 |
) |
|
|
85 |
|
|
|
62,740 |
|
|
|
For the Year Ended December 31, 2018 |
|
|
|
Community |
|
|
Mortgage |
|
|
|
|
|
|
|
|
|
|
|
|
Banking |
|
|
Banking |
|
|
Other |
|
|
Eliminations |
|
|
Total |
|
Interest income |
|
$ |
159,483 |
|
|
|
1,841 |
|
|
|
56 |
|
|
|
(322 |
) |
|
|
161,058 |
| Interest expense |
|
|
25,227 |
|
|
|
414 |
|
|
|
2,025 |
|
|
|
(418 |
) |
|
|
27,248 |
| Net interest income
(expense) |
|
|
134,256 |
|
|
|
1,427 |
|
|
|
(1,969 |
) |
|
|
96 |
|
|
|
133,810 |
| Provision for loan losses |
|
|
2,034 |
|
|
|
25 |
|
|
|
— |
|
|
|
— |
|
|
|
2,059 |
| Noninterest income from
external customers |
|
|
18,680 |
|
|
|
21,106 |
|
|
|
110 |
|
|
|
— |
|
|
|
39,896 |
| Intersegment noninterest
income |
|
|
966 |
|
|
|
99 |
|
|
|
— |
|
|
|
(1,065 |
) |
|
|
— |
| Noninterest expense from
external customers |
|
|
89,459 |
|
|
|
18,631 |
|
|
|
1,117 |
|
|
|
1 |
|
|
|
109,208 |
| Intersegment noninterest
expense |
|
|
— |
|
|
|
960 |
|
|
|
6 |
|
|
|
(966 |
) |
|
|
— |
| Income (loss) before income
taxes |
|
|
62,409 |
|
|
|
3,016 |
|
|
|
(2,982 |
) |
|
|
(4 |
) |
|
|
62,439 |
| Income tax expense
(benefit) |
|
|
12,785 |
|
|
|
701 |
|
|
|
(716 |
) |
|
|
(1 |
) |
|
|
12,769 |
| Net income (loss) |
|
$ |
49,624 |
|
|
|
2,315 |
|
|
|
(2,266 |
) |
|
|
(3 |
) |
|
|
49,670 |
|
|
|
Loan Originations |
|
Mortgage Banking Income |
|
Margin |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended December 31, |
|
|
|
|
2019 |
|
2018 |
|
2019 |
|
2018 |
|
2019 |
|
|
2018 |
|
|
Additional segment information: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking |
|
$ |
24,473 |
|
16,935 |
|
706 |
|
509 |
|
2.88 |
% |
|
3.01 |
% |
| Wholesale mortgage
banking |
|
|
237,604 |
|
168,002 |
|
4,821 |
|
3,084 |
|
2.03 |
% |
|
1.84 |
% |
| Total |
|
$ |
262,077 |
|
184,937 |
|
5,527 |
|
3,593 |
|
2.11 |
% |
|
1.94 |
% |
|
|
|
Loan Originations |
|
Mortgage Banking Income |
|
Margin |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended December 31, |
|
|
|
|
2019 |
|
2018 |
|
2019 |
|
2018 |
|
2019 |
|
|
2018 |
|
|
Additional segment information: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking |
|
$ |
107,452 |
|
108,721 |
|
2,998 |
|
2,352 |
|
2.79 |
% |
|
2.16 |
% |
| Wholesale mortgage
banking |
|
|
799,975 |
|
744,208 |
|
16,328 |
|
12,943 |
|
2.04 |
% |
|
1.74 |
% |
| Total |
|
$ |
907,427 |
|
852,929 |
|
19,326 |
|
15,295 |
|
2.13 |
% |
|
1.79 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carolina Financial Corporation
Reconciliation of Non-GAAP Financial Measures -
Consolidated(Unaudited)(In thousands,
except share data) |
|
|
|
|
|
At the Month Ended |
|
|
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Noninterest-bearing demand
accounts |
|
$ |
668,616 |
|
|
|
611,959 |
|
|
|
616,823 |
|
|
|
575,990 |
|
|
|
547,022 |
|
| Interest-bearing demand
accounts |
|
|
651,577 |
|
|
|
587,963 |
|
|
|
561,094 |
|
|
|
581,424 |
|
|
|
566,527 |
|
| Savings accounts |
|
|
218,786 |
|
|
|
180,827 |
|
|
|
184,764 |
|
|
|
188,725 |
|
|
|
192,322 |
|
| Money market accounts |
|
|
590,916 |
|
|
|
428,867 |
|
|
|
437,716 |
|
|
|
458,575 |
|
|
|
431,246 |
|
|
Total core deposits (Non-GAAP) |
|
|
2,129,895 |
|
|
|
1,809,616 |
|
|
|
1,800,397 |
|
|
|
1,804,714 |
|
|
|
1,737,117 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Certificates of deposit: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Less than $250,000 |
|
|
1,159,978 |
|
|
|
948,218 |
|
|
|
921,309 |
|
|
|
923,709 |
|
|
|
875,749 |
|
| $250,000 or more |
|
|
118,488 |
|
|
|
85,380 |
|
|
|
84,403 |
|
|
|
88,647 |
|
|
|
105,327 |
|
|
Total certificates of deposit |
|
|
1,278,466 |
|
|
|
1,033,598 |
|
|
|
1,005,712 |
|
|
|
1,012,356 |
|
|
|
981,076 |
|
| Total deposits |
|
$ |
3,408,361 |
|
|
|
2,843,214 |
|
|
|
2,806,109 |
|
|
|
2,817,070 |
|
|
|
2,718,193 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Tangible book value
per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total stockholders’
equity |
|
$ |
743,440 |
|
|
|
621,595 |
|
|
|
605,579 |
|
|
|
589,150 |
|
|
|
575,285 |
|
| Less intangible assets |
|
|
(200,880 |
) |
|
|
(141,849 |
) |
|
|
(142,570 |
) |
|
|
(143,305 |
) |
|
|
(144,054 |
) |
| Tangible common equity
(Non-GAAP) |
|
$ |
542,560 |
|
|
|
479,746 |
|
|
|
463,009 |
|
|
|
445,845 |
|
|
|
431,231 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Issued and outstanding
shares |
|
|
24,777,608 |
|
|
|
22,249,424 |
|
|
|
22,284,981 |
|
|
|
22,296,372 |
|
|
|
22,387,009 |
|
| Less nonvested restricted
stock awards |
|
|
(112,549 |
) |
|
|
(115,933 |
) |
|
|
(109,728 |
) |
|
|
(111,578 |
) |
|
|
(117,966 |
) |
| Period end dilutive
shares |
|
|
24,665,059 |
|
|
|
22,133,491 |
|
|
|
22,175,253 |
|
|
|
22,184,794 |
|
|
|
22,269,043 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total stockholders’
equity |
|
$ |
743,440 |
|
|
|
621,595 |
|
|
|
605,579 |
|
|
|
589,150 |
|
|
|
575,285 |
|
| Divided by period end dilutive
shares |
|
|
24,665,059 |
|
|
|
22,133,491 |
|
|
|
22,175,253 |
|
|
|
22,184,794 |
|
|
|
22,269,043 |
|
| Common book value per
share |
|
$ |
30.14 |
|
|
|
28.08 |
|
|
|
27.31 |
|
|
|
26.56 |
|
|
|
25.83 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Tangible common equity
(Non-GAAP) |
|
$ |
542,560 |
|
|
|
479,746 |
|
|
|
463,009 |
|
|
|
445,845 |
|
|
|
431,231 |
|
| Divided by period end dilutive
shares |
|
|
24,665,059 |
|
|
|
22,133,491 |
|
|
|
22,175,253 |
|
|
|
22,184,794 |
|
|
|
22,269,043 |
|
| Tangible common book value per
share (Non-GAAP) |
|
$ |
22.00 |
|
|
|
21.68 |
|
|
|
20.88 |
|
|
|
20.10 |
|
|
|
19.36 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At the Month Ended |
|
|
|
|
December 31, |
|
|
September 30, |
|
|
June 30, |
|
|
March 31, |
|
|
December 31, |
|
|
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2018 |
|
| Acquired and
non-acquired loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Acquired loans receivable |
|
$ |
989,534 |
|
|
|
548,754 |
|
|
|
601,193 |
|
|
|
644,461 |
|
|
|
686,401 |
|
| Non-acquired gross loans
receivable |
|
|
2,238,403 |
|
|
|
2,173,427 |
|
|
|
2,050,043 |
|
|
|
1,946,149 |
|
|
|
1,837,935 |
|
| Total gross loans
receivable |
|
$ |
3,227,937 |
|
|
|
2,722,181 |
|
|
|
2,651,236 |
|
|
|
2,590,610 |
|
|
|
2,524,336 |
|
| % Acquired |
|
|
30.66 |
% |
|
|
20.16 |
% |
|
|
22.68 |
% |
|
|
24.88 |
% |
|
|
27.19 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Non-acquired loans |
|
$ |
2,238,403 |
|
|
|
2,173,427 |
|
|
|
2,050,043 |
|
|
|
1,946,149 |
|
|
|
1,837,935 |
|
| Allowance for loan losses |
|
|
16,521 |
|
|
|
16,125 |
|
|
|
15,867 |
|
|
|
15,021 |
|
|
|
14,463 |
|
| Allowance for loan losses to
non-acquired loans (Non-GAAP) |
|
|
0.74 |
% |
|
|
0.74 |
% |
|
|
0.77 |
% |
|
|
0.77 |
% |
|
|
0.79 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Total gross loans
receivable |
|
$ |
3,227,937 |
|
|
|
2,722,181 |
|
|
|
2,651,236 |
|
|
|
2,590,610 |
|
|
|
2,524,336 |
|
| Allowance for loan losses |
|
|
16,521 |
|
|
|
16,125 |
|
|
|
15,867 |
|
|
|
15,021 |
|
|
|
14,463 |
|
| Allowance for loan losses to
total gross loans receivable |
|
|
0.51 |
% |
|
|
0.59 |
% |
|
|
0.60 |
% |
|
|
0.58 |
% |
|
|
0.57 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended |
|
|
For the Year Ended |
|
|
|
|
December 31, 2019 |
|
|
September 30, 2019 |
|
|
June 30, 2019 |
|
|
March 31, 2019 |
|
|
December 31, 2018 |
|
|
December 31, 2019 |
|
|
December 31, 2018 |
|
|
Net interest margin - core: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net interest margin-tax
equivalent (1) |
|
$ |
35,672 |
|
|
|
36,539 |
|
|
|
34,661 |
|
|
|
33,899 |
|
|
|
35,349 |
|
|
|
140,773 |
|
|
|
135,122 |
|
| Purchased loan accretion and
early payoff |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
charges and deferred fees |
|
|
(1,916 |
) |
|
|
(3,209 |
) |
|
|
(1,521 |
) |
|
|
(1,617 |
) |
|
|
(3,283 |
) |
|
|
(8,264 |
) |
|
|
(11,491 |
) |
| Net interest margin - core (2)
(Non-GAAP) |
|
$ |
33,756 |
|
|
|
33,330 |
|
|
|
33,140 |
|
|
|
32,282 |
|
|
|
32,066 |
|
|
|
132,509 |
|
|
|
123,631 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loans receivable
interest income - core: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Loans receivable interest
income |
|
$ |
37,452 |
|
|
|
38,291 |
|
|
|
36,325 |
|
|
|
34,813 |
|
|
|
34,969 |
|
|
|
146,882 |
|
|
|
132,289 |
|
| Purchased loan accretion and
early payoff |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
charges and deferred fees |
|
|
(1,916 |
) |
|
|
(3,209 |
) |
|
|
(1,521 |
) |
|
|
(1,617 |
) |
|
|
(3,283 |
) |
|
|
(8,264 |
) |
|
|
(11,491 |
) |
| Loans receivable interest
income - core (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Non-GAAP) |
|
$ |
35,536 |
|
|
|
35,082 |
|
|
|
34,804 |
|
|
|
33,196 |
|
|
|
31,686 |
|
|
|
138,618 |
|
|
|
120,798 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) Net
interest margin-tax equivalent reflects tax-exempt income on a
tax-equivalent basis. |
| (2) Net
interest margin-core and yield on loans - core excludes the impact
of purchase accounting accretion, loan payoff charges and related
deferred fees recognized related to early loan repayments. |
| |
|
Carolina Financial
CorporationReconciliation of Non-GAAP Financial
Measures - Consolidated(Unaudited)(In
thousands, except share data) |
|
|
|
|
|
For the Three Months Ended |
|
|
For the Year Ended |
|
|
|
|
December 31, 2019 |
|
|
September 30, 2019 |
|
|
June 30, 2019 |
|
|
March 31, 2019 |
|
|
December 31, 2018 |
|
|
December 31, 2019 |
|
|
December 31, 2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| As
Reported: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Income before income
taxes |
|
$ |
21,465 |
|
|
21,372 |
|
|
19,356 |
|
|
18,495 |
|
|
19,425 |
|
|
80,688 |
|
|
62,439 |
|
| Tax expense |
|
|
4,972 |
|
|
4,744 |
|
|
4,282 |
|
|
3,950 |
|
|
3,981 |
|
|
17,948 |
|
|
12,769 |
|
| Net Income |
|
$ |
16,493 |
|
|
16,628 |
|
|
15,074 |
|
|
14,545 |
|
|
15,444 |
|
|
62,740 |
|
|
49,670 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Average equity |
|
$ |
628,850 |
|
|
614,550 |
|
|
598,196 |
|
|
580,300 |
|
|
569,528 |
|
|
605,629 |
|
|
526,701 |
|
| Average tangible equity
(Non-GAAP) |
|
|
486,716 |
|
|
472,349 |
|
|
455,270 |
|
|
436,630 |
|
|
425,105 |
|
|
462,902 |
|
|
381,110 |
|
| Average assets |
|
|
3,978,345 |
|
|
3,891,019 |
|
|
3,878,269 |
|
|
3,826,116 |
|
|
3,700,795 |
|
|
3,893,831 |
|
|
3,629,490 |
|
| Average loans receivable |
|
|
2,711,061 |
|
|
2,639,921 |
|
|
2,610,394 |
|
|
2,535,192 |
|
|
2,428,603 |
|
|
2,624,667 |
|
|
2,388,856 |
|
| Average interest earning
assets |
|
|
3,591,503 |
|
|
3,507,155 |
|
|
3,483,713 |
|
|
3,432,818 |
|
|
3,322,894 |
|
|
3,504,258 |
|
|
3,252,914 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Return on average assets |
|
|
1.66 |
% |
|
1.71 |
% |
|
1.55 |
% |
|
1.52 |
% |
|
1.67 |
% |
|
1.61 |
% |
|
1.37 |
% |
| Return on average equity |
|
|
10.49 |
% |
|
10.82 |
% |
|
10.08 |
% |
|
10.03 |
% |
|
10.85 |
% |
|
10.36 |
% |
|
9.43 |
% |
| Return on average tangible
equity (Non-GAAP) |
|
|
13.55 |
% |
|
14.08 |
% |
|
13.24 |
% |
|
13.32 |
% |
|
14.53 |
% |
|
13.55 |
% |
|
13.03 |
% |
| Tangible equity to tangible
assets (Non-GAAP) |
|
|
12.04 |
% |
|
12.50 |
% |
|
12.36 |
% |
|
12.05 |
% |
|
11.83 |
% |
|
12.04 |
% |
|
11.83 |
% |
| Net interest margin-tax
equivalent (1) |
|
|
3.94 |
% |
|
4.13 |
% |
|
3.99 |
% |
|
4.00 |
% |
|
4.23 |
% |
|
4.02 |
% |
|
4.15 |
% |
| Net interest margin-core (2)
(Non-GAAP) |
|
|
3.73 |
% |
|
3.77 |
% |
|
3.82 |
% |
|
3.81 |
% |
|
3.84 |
% |
|
3.78 |
% |
|
3.80 |
% |
| Yield on loans receivable-core
(2) (Non-GAAP) |
|
|
5.20 |
% |
|
5.27 |
% |
|
5.35 |
% |
|
5.31 |
% |
|
5.18 |
% |
|
5.28 |
% |
|
5.06 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average common shares
outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
22,140,187 |
|
|
22,149,567 |
|
|
22,189,508 |
|
|
22,193,861 |
|
|
22,416,190 |
|
|
22,168,082 |
|
|
21,756,595 |
|
|
Diluted |
|
|
22,363,814 |
|
|
22,336,383 |
|
|
22,372,273 |
|
|
22,381,809 |
|
|
22,587,466 |
|
|
22,385,127 |
|
|
21,972,857 |
|
| Earnings per common
share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.74 |
|
|
0.75 |
|
|
0.68 |
|
|
0.66 |
|
|
0.69 |
|
|
2.83 |
|
|
2.28 |
|
|
Diluted |
|
$ |
0.74 |
|
|
0.74 |
|
|
0.67 |
|
|
0.65 |
|
|
0.68 |
|
|
2.80 |
|
|
2.26 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating Earnings and
Performance Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Income before income
taxes |
|
$ |
21,465 |
|
|
21,372 |
|
|
19,356 |
|
|
18,495 |
|
|
19,425 |
|
|
80,688 |
|
|
62,439 |
|
| (Gain)/loss on sale of
securities |
|
|
— |
|
|
(756 |
) |
|
(1,941 |
) |
|
(1,194 |
) |
|
(346 |
) |
|
(3,891 |
) |
|
1,946 |
|
| Fair value adjustments on
interest rate swaps |
|
|
(873 |
) |
|
996 |
|
|
2,164 |
|
|
1,371 |
|
|
2,222 |
|
|
3,659 |
|
|
340 |
|
| Merger related expenses |
|
|
2,270 |
|
|
484 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,753 |
|
|
15,216 |
|
| Loss on extinguishment of
debt |
|
|
77 |
|
|
70 |
|
|
31 |
|
|
— |
|
|
— |
|
|
178 |
|
|
— |
|
| Impairment of mortgage
servicing rights |
|
|
— |
|
|
1,800 |
|
|
1,300 |
|
|
— |
|
|
— |
|
|
3,100 |
|
|
— |
|
| Operating earnings before
income taxes |
|
|
22,939 |
|
|
23,966 |
|
|
20,910 |
|
|
18,672 |
|
|
21,301 |
|
|
86,487 |
|
|
79,941 |
|
| Tax expense (3) |
|
|
4,858 |
|
|
5,400 |
|
|
4,653 |
|
|
4,001 |
|
|
4,379 |
|
|
18,868 |
|
|
17,105 |
|
| Operating earnings
(Non-GAAP) |
|
$ |
18,081 |
|
|
18,566 |
|
|
16,257 |
|
|
14,671 |
|
|
16,922 |
|
|
67,619 |
|
|
62,836 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Average equity |
|
$ |
628,850 |
|
|
614,550 |
|
|
598,196 |
|
|
580,300 |
|
|
569,528 |
|
|
605,629 |
|
|
526,701 |
|
| Less average intangible
assets |
|
|
(142,134 |
) |
|
(142,201 |
) |
|
(142,926 |
) |
|
(143,670 |
) |
|
(144,423 |
) |
|
(142,727 |
) |
|
(145,591 |
) |
| Average tangible common equity
(Non-GAAP) |
|
$ |
486,716 |
|
|
472,349 |
|
|
455,270 |
|
|
436,630 |
|
|
425,105 |
|
|
462,902 |
|
|
381,110 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Average assets |
|
$ |
3,978,345 |
|
|
3,891,019 |
|
|
3,878,269 |
|
|
3,826,116 |
|
|
3,700,795 |
|
|
3,893,831 |
|
|
3,629,490 |
|
| Less average intangible
assets |
|
|
(142,134 |
) |
|
(142,201 |
) |
|
(142,926 |
) |
|
(143,670 |
) |
|
(144,423 |
) |
|
(142,727 |
) |
|
(145,591 |
) |
| Average tangible assets
(Non-GAAP) |
|
$ |
3,836,211 |
|
|
3,748,818 |
|
|
3,735,343 |
|
|
3,682,446 |
|
|
3,556,372 |
|
|
3,751,104 |
|
|
3,483,899 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating return on average
assets (Non-GAAP) |
|
|
1.82 |
% |
|
1.91 |
% |
|
1.68 |
% |
|
1.53 |
% |
|
1.83 |
% |
|
1.74 |
% |
|
1.73 |
% |
| Operating return on average
stockholders’ equity (Non-GAAP) |
|
|
11.50 |
% |
|
12.08 |
% |
|
10.87 |
% |
|
10.11 |
% |
|
11.88 |
% |
|
11.17 |
% |
|
11.93 |
% |
| Operating return on average
tangible assets (Non-GAAP) |
|
|
1.89 |
% |
|
1.98 |
% |
|
1.74 |
% |
|
1.59 |
% |
|
1.90 |
% |
|
1.80 |
% |
|
1.80 |
% |
| Operating return on average
tangible equity (Non-GAAP) |
|
|
14.86 |
% |
|
15.72 |
% |
|
14.28 |
% |
|
13.44 |
% |
|
15.92 |
% |
|
14.61 |
% |
|
16.49 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average common shares
outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
22,140,187 |
|
|
22,149,567 |
|
|
22,189,508 |
|
|
22,193,861 |
|
|
22,416,190 |
|
|
22,168,082 |
|
|
21,756,595 |
|
|
Diluted |
|
|
22,363,814 |
|
|
22,336,383 |
|
|
22,372,273 |
|
|
22,381,809 |
|
|
22,587,466 |
|
|
22,385,127 |
|
|
21,972,857 |
|
| Operating earnings per common
share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic (Non-GAAP) |
|
$ |
0.82 |
|
|
0.84 |
|
|
0.73 |
|
|
0.66 |
|
|
0.75 |
|
|
3.05 |
|
|
2.89 |
|
|
Diluted (Non-GAAP) |
|
$ |
0.81 |
|
|
0.83 |
|
|
0.73 |
|
|
0.66 |
|
|
0.75 |
|
|
3.02 |
|
|
2.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Net interest margin-tax equivalent reflects tax-exempt
income on a tax-equivalent basis. |
|
(2) Net interest margin-core and yield on loans - core
excludes the impact of purchase accounting accretion, loan payoff
charges and related deferred fees recognized related to early loan
repayments. |
|
(3) Tax expense is determined using the effective tax rate
adjusted to eliminate the impact of the non-operating items. |
|
|
|
|
|
Carolina Financial
CorporationReconciliation of Non-GAAP Financial
Measures - Community Banking
Segment(Unaudited) (In thousands, except
share data) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended |
|
|
For the Year Ended |
|
|
|
|
December 31, 2019 |
|
|
September 30, 2019 |
|
|
June 30, 2019 |
|
|
March 31, 2019 |
|
|
December 31, 2018 |
|
|
December 31, 2019 |
|
|
December 31, 2018 |
|
|
Segment net income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking |
|
$ |
15,933 |
|
|
16,864 |
|
|
15,804 |
|
|
14,781 |
|
|
15,449 |
|
|
63,382 |
|
|
49,624 |
|
| Wholesale mortgage
banking |
|
|
949 |
|
|
325 |
|
|
(92 |
) |
|
390 |
|
|
599 |
|
|
1,572 |
|
|
2,315 |
|
| Other |
|
|
(424 |
) |
|
(582 |
) |
|
(657 |
) |
|
(636 |
) |
|
(594 |
) |
|
(2,299 |
) |
|
(2,266 |
) |
| Eliminations |
|
|
35 |
|
|
21 |
|
|
19 |
|
|
10 |
|
|
(10 |
) |
|
85 |
|
|
(3 |
) |
| Total net income |
|
$ |
16,493 |
|
|
16,628 |
|
|
15,074 |
|
|
14,545 |
|
|
15,444 |
|
|
62,740 |
|
|
49,670 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Community banking
segment operating earnings: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Income before income
taxes |
|
$ |
20,869 |
|
|
21,716 |
|
|
20,299 |
|
|
18,827 |
|
|
19,424 |
|
|
81,710 |
|
|
62,409 |
|
| Tax expense (1) |
|
|
4,936 |
|
|
4,852 |
|
|
4,495 |
|
|
4,046 |
|
|
3,975 |
|
|
18,328 |
|
|
12,785 |
|
| Bank segment net income |
|
$ |
15,933 |
|
|
16,864 |
|
|
15,804 |
|
|
14,781 |
|
|
15,449 |
|
|
63,382 |
|
|
49,624 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average common shares
outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
22,140,187 |
|
|
22,149,567 |
|
|
22,189,508 |
|
|
22,193,861 |
|
|
22,416,190 |
|
|
22,168,082 |
|
|
21,756,595 |
|
|
Diluted |
|
|
22,363,814 |
|
|
22,336,383 |
|
|
22,372,273 |
|
|
22,381,809 |
|
|
22,587,466 |
|
|
22,385,127 |
|
|
21,972,857 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Bank segment earnings per
common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.72 |
|
|
0.76 |
|
|
0.71 |
|
|
0.67 |
|
|
0.69 |
|
|
2.86 |
|
|
2.28 |
|
|
Diluted |
|
$ |
0.71 |
|
|
0.76 |
|
|
0.71 |
|
|
0.66 |
|
|
0.68 |
|
|
2.83 |
|
|
2.26 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Bank segment income before
taxes |
|
$ |
20,869 |
|
|
21,716 |
|
|
20,299 |
|
|
18,827 |
|
|
19,424 |
|
|
81,710 |
|
|
62,409 |
|
| (Gain)/loss on sale of
securities |
|
|
— |
|
|
(756 |
) |
|
(1,941 |
) |
|
(1,194 |
) |
|
(346 |
) |
|
(3,891 |
) |
|
1,941 |
|
| Fair value adjustments on
interest rate swaps |
|
|
(873 |
) |
|
996 |
|
|
2,164 |
|
|
1,371 |
|
|
2,222 |
|
|
3,659 |
|
|
388 |
|
| Loss on extinguishment of
debt |
|
|
77 |
|
|
70 |
|
|
31 |
|
|
— |
|
|
— |
|
|
178 |
|
|
— |
|
| Merger related expenses |
|
|
2,270 |
|
|
484 |
|
|
— |
|
|
— |
|
|
— |
|
|
2,753 |
|
|
15,216 |
|
| Operating earnings before
income taxes |
|
|
22,343 |
|
|
22,510 |
|
|
20,553 |
|
|
19,004 |
|
|
21,300 |
|
|
84,409 |
|
|
79,954 |
|
| Tax expense (1) |
|
|
4,821 |
|
|
5,043 |
|
|
4,566 |
|
|
4,096 |
|
|
4,371 |
|
|
18,513 |
|
|
17,117 |
|
| Operating bank segment
earnings (Non-GAAP) |
|
$ |
17,522 |
|
|
17,467 |
|
|
15,987 |
|
|
14,908 |
|
|
16,929 |
|
|
65,896 |
|
|
62,837 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating bank segment
earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic (Non-GAAP) |
|
$ |
0.79 |
|
|
0.79 |
|
|
0.72 |
|
|
0.67 |
|
|
0.76 |
|
|
2.97 |
|
|
2.89 |
|
|
Diluted (Non-GAAP) |
|
$ |
0.78 |
|
|
0.78 |
|
|
0.71 |
|
|
0.67 |
|
|
0.75 |
|
|
2.94 |
|
|
2.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Tax expense is determined using the effective tax rate
adjusted to eliminate the impact of the non-operating items. |
|
|
For More Information,
Contact:
William A. Gehman III, EVP and CFO,
843.723.7700
Carolina Financial (NASDAQ:CARO)
Historical Stock Chart
Von Okt 2024 bis Nov 2024
Carolina Financial (NASDAQ:CARO)
Historical Stock Chart
Von Nov 2023 bis Nov 2024
