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The First Bancshares, Inc. Reports Results for First Quarter ended March 31, 2024
Highlights for the Quarter:
Net income available to common shareholders totaled $20.6 million for the quarter ended March 31, 2024, representing an increase of 86.7% when compared to $11.0 million for the quarter ended December 31, 2023. Several one-time items are detailed in the tables located in the appendix of this release. Excluding one-time items detailed in the tables located in the appendix of this release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1% to $20.6 million for the quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023. Total deposits increased $247.5 million for the quarter ended March 31, 2024 representing an increase of 3.8% as compared to the quarter ended December 31, 2023. Annualized net interest margin decreased 8 basis points to 3.20% for the quarter ended March 31, 2024 from 3.28% for the quarter ended December 31, 2023 due to the reduction of accretion income as well as increased deposit cost. Core net interest margin decreased 4 basis points during the quarter ended March 31, 2024 from 3.14% to 3.10%. Cost of deposits averaged 178 basis points for the first quarter of 2024 compared to 154 basis points for the fourth quarter 2023. Total loans decreased $30.1 million for the quarter ended March 31, 2024, representing net decrease of 2.3% on an annualized basis, as compared to the quarter ended December 31, 2023. SBA loan sales represented $23.1 million of the decrease. Past due loans to total loans were $13.4 million or 0.26% for the quarter ending March 31, 2024, compared to $11.7 million, or 0.23% for the quarter ending December 31, 2023, and $11.6 million, or 0.23% for the quarter ending March 31, 2023. Annualized quarter-to-date net charge-offs to total loans were $0.1 million, or 0.01% for the quarter ending March 31, 2024, compared to $0.8 million, or 0.06% for the quarter ending December 31, 2023 and $0.1 million, or 0.01% for the quarter ending March 31, 2023. Nonperforming assets to total assets were $18.4 million, or 0.23% for the quarter ending March 31, 2024, compared to $20.2 million, or 0.25% for the quarter ending December 31, 2023, and $22.5 million, 0.28% for the quarter ending March 31, 2023. For additional information, see the investor presentation filed and available under presentations and press releases included in the investor relations section of the Company's website: www.thefirstbank.com.
M. Ray "Hoppy" Cole, Jr., President and Chief Executive Officer, commented, "We are pleased with our overall results for the quarter. Operating income increased 10% quarter over quarter due to reduced operating expenses and some stabilization in the margin. Total deposits increased $42 million or 0.6% year over year and although loans were down at quarter end, pipelines actually grew and are in a strong position for this point in the year. Credit quality remains stable with low past dues and low non-performing assets. All in all, a solid quarter and good start to the year."
Quarterly Earnings
Net income available to common shareholders totaled $20.6 million for the quarter ended March 31, 2024, an increase of $9.6 million, or 86.7%, when compared to $11.0 million for the quarter ended December 31, 2023.
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1%, to $20.6 million for quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023. The increase in net earnings is attributable to a decrease in non-interest expense of $1.0 million and a decrease in provision for credit losses of $1.3 million.
The Company recorded no provision for credit losses for the quarter ended March 31, 2024 and $1.3 million for the quarter ended December 31, 2023.
Earnings Per Share
For the first quarter of 2024, diluted earnings per share were $0.65 compared to $0.35 for the fourth quarter of 2023 and $0.52 for the first quarter of 2023.
Diluted earnings per share, operating (non-GAAP) were $0.65 for the first quarter of 2024 compared to $0.59 for the fourth quarter of 2023 and $0.86 for the first quarter of 2023.
Balance Sheet
Consolidated assets decreased $35.6 million to $7.964 billion at March 31, 2024 from $7.999 billion at December 31, 2023. Loans decreased $30.1 million, or 0.6%, for the quarterly comparison.
Total loans were $5.140 billion for the quarter ended March 31, 2024, as compared to $5.170 billion for the quarter ended December 31, 2023, and $4.970 billion for the quarter ended March 31, 2023, representing a decrease of $30.1 million, or 0.6%, for the sequential quarter comparison, and an increase of $170.2 million, or 3.4%, for the prior year quarterly comparison.
Total deposits were $6.710 billion for the quarter ended March 31, 2024, as compared to $6.463 billion for the quarter ended December 31, 2023, and $6.668 billion for the quarter ended March 31, 2023, representing an increase of $247.5 million, or 3.8%, for the sequential quarter comparison, and an increase of $42.4 million, or 0.6%, for the prior year quarterly comparison.
Deposits increased $247.5 million, or 3.8% for the prior quarter comparison. Excluding an increase in public funds of $256.9 million, deposits decreased $9.4 million, or 0.2% for the prior quarter comparison.
Book value per share increased to $30.45 at March 31, 2024 from $30.22 at December 31, 2023.
Asset Quality
Nonperforming assets totaled $18.4 million at March 31, 2024, a decrease of $1.8 million compared to $20.2 million at December 31, 2023 and a decrease of $4.1 million compared to $22.5 million at March 31, 2023.
Nonaccrual loans totaled $11.0 million, an increase of $0.3 million as compared to December 31, 2023 and a decrease of $6.4 million as compared to March 31, 2023.
The ratio of the allowance for credit losses (ACL) to total loans was 1.05% at March 31, 2024, 1.05% at December 31, 2023 and 1.06% at March 31, 2023. The ratio of annualized net charge-offs to total loans was 0.01% for the quarter ended March 31, 2024 compared to 0.06% for the quarter ended December 31, 2023 and 0.01% for the quarter ended March 31, 2023.
First Quarter 2024 vs Fourth Quarter 2023 Earnings Comparison
Net income available to common shareholders for the first quarter of 2024 increased $9.6 million to $20.6 million compared to $11.0 million for the fourth quarter of 2023.
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1%, to $20.6 million for quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023. The increase in net earnings is attributable to a decrease in non-interest expense of $1.0 million and a decrease in provision for credit losses of $1.3 million.
Net interest income for the first quarter of 2024 was $57.3 million as compared to $57.7 million for the fourth quarter of 2023, a decrease of $0.3 million. The decrease was largely due to the decrease in accretion of purchase accounting adjustments of $0.6 million as well as increased interest expense of $3.3 million partially offset by an increase in interest income of $2.9 million.
First quarter 2024 net interest margin of 3.20% included 15 basis points related to purchase accounting adjustments compared to 3.28% for the fourth quarter in 2023, which included 19 basis points related to purchase accounting adjustments.
Core net interest margin decreased 4 basis points to 3.10% for the first quarter of 2024 from 3.14% for the fourth quarter of 2023.
Investment securities totaled $1.745 billion, or 21.9% of total assets at March 31, 2024, compared to $1.735 billion, or 21.7% of total assets at December 31, 2023. The average balance of investment securities decreased $11.0 million in sequential-quarter comparison. The average tax equivalent yield on investment securities (non-GAAP) increased 11 basis points to 2.48% from 2.37% in sequential-quarter comparison. The investment portfolio had a net unrealized loss of $127.6 million at March 31, 2024 as compared to a net unrealized loss of $121.9 million at December 31, 2023.
The average yield on all earning assets (non-GAAP) increased in sequential-quarter comparison from 5.04% to 5.12%. Interest expense on average interest bearing liabilities increased 18 basis points from 2.47% for the fourth quarter of 2023 to 2.65% for the first quarter of 2024.
Cost of all deposits averaged 178 basis points for the first quarter of 2024 compared to 154 basis points for the fourth quarter of 2023. This increase was a result of rising interest rates and competition for deposits.
Non-interest income increased $10.3 million from $2.3 million in the fourth quarter of 2023 to $12.7 million in the first quarter of 2024, primarily attributable to a $9.7 million loss on sales of available for sale investment securities in the fourth quarter for 2023.
Non-interest expense for the first quarter of 2024 was $43.4 million compared to $44.4 million for the fourth quarter of 2023, a decrease of $1.0 million.
First Quarter 2024 vs. First Quarter 2023 Earnings Comparison
Net income available to common shareholders for the first quarter of 2024 totaled $20.6 million compared to $16.3 million for the first quarter of 2023, an increase of $4.4 million or 26.8%.
Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) decreased $6.5 million, or 23.9%, to $20.6 million for quarter ended March 31, 2024, as compared to $27.1 million for the quarter ended March 31, 2023. This decrease is attributable to a decrease in net interest income of $7.6 million.
Net interest income for the first quarter of 2024 was $57.3 million, a decrease of $7.6 million or 11.7% when compared to the first quarter of 2023. Fully tax equivalent ("FTE") net interest income (non-GAAP) totaled $58.3 million and $65.9 million for the first quarter of 2024 and 2023, respectively. Purchase accounting adjustments increased $1.0 million for the first quarter comparisons. The decrease was largely due to increased interest expense due to increased competition for deposits.
First quarter of 2024 net interest margin was 3.20%, which included 15 basis points related to purchase accounting adjustments compared to 3.63% for the same quarter in 2023, which included 19 basis points related to purchase accounting adjustments. Excluding the purchase accounting adjustments, the core net interest margin (non-GAAP) decreased 38 basis points in prior year quarterly comparison primarily due to an increase in rates on interest bearing liabilities.
Non-interest income increased $0.1 million for the first quarter of 2024 as compared to the first quarter of 2023.
First quarter 2024 non-interest expense was $43.4 million, a decrease of $2.2 million, or 4.9% as compared to the first quarter of 2023. Excluding acquisition charges, non-interest expense increased $1.5 million of which salaries and employee benefits increased $ 1.0 million.
Investment securities totaled $1.745 billion, or 21.9% of total assets at March 31, 2024, compared to $1.962 billion, or 24.5% of total assets at March 31, 2023. For the first quarter of 2024 compared to the first quarter of 2023, the average balance of investment securities decreased $217.3 million. The average tax equivalent yield on investment securities (non-GAAP) increased 17 basis points to 2.48% from 2.31% in the prior year quarterly comparison. The investment portfolio had a net unrealized loss of $127.6 million at March 31, 2024 as compared to a net unrealized loss of $137.6 million at March 31, 2023.
The average yield on all earning assets increased 63 basis points in prior year quarterly comparison, from 4.49% for the first quarter of 2023 to 5.12% for the first quarter of 2024. Interest expense on average interest bearing liabilities increased 141 basis points from 1.24% for the first quarter of 2023 to 2.65% for the first quarter of 2024.
Cost of all deposits averaged 178 basis points for the first quarter of 2024 compared to 72 basis points for the first quarter of 2023.
Declaration of Cash Dividend
The Company announced that its Board of Directors declared a cash dividend of $0.25 per share to be paid on its common stock on May 23, 2024 to shareholders of record as of the close of business on May 7, 2024.
Conference Call
The Company will host a conference call for analysts and investors to discuss the Company's financial results at 10:00 a.m. Central Time on Thursday, April 25, 2024. Investors and analysts may participate by clicking on the Participant Conference Link: https://register.vevent.com/register/BIbc177289ae6b45cc8d010c66fc8b81d9. An audio archive of the conference call along with the transcript will be available within 24-48 hours after the call and placed in the Investor Relations section of our website.
About The First Bancshares, Inc.
The First Bancshares, Inc., headquartered in Hattiesburg, Mississippi, is the parent company of The First Bank ("The First"). Founded in 1996, The First has operations in Mississippi, Louisiana, Alabama, Florida and Georgia. The Company's stock is traded on the NASDAQ Global Market under the symbol FBMS. Information is available on the Company's website: www.thefirstbank.com.
Non-GAAP Financial Measures
Our accounting and reporting policies conform to generally accepted accounting principles ("GAAP") in the United States and prevailing practices in the banking industry. However, certain non-GAAP measures are used by management to supplement the evaluation of our performance. This press release includes pre-tax, pre-provision operating earnings, FTE net interest income, FTE net interest margin, core net interest margin, FTE average yield on investment securities, FTE average yield on all earning assets, total tangible common equity, tangible book value per common share, net earnings available to common shareholders, operating, diluted earnings per share, operating, efficiency ratio, operating and certain ratios derived from these non-GAAP financial measures. The Company believes that the non-GAAP financial measures included in this press release allow management and investors to understand and compare results in a more consistent manner for the periods presented in this press release. Fully-tax equivalent, or "FTE", financial metrics are measures used by management to evaluate the corresponding GAAP financial metrics in a manner that takes into account the tax benefits associated with income sources that are exempt from state or federal taxes. Core net interest margin is used by management to measure the net return on earnings assets, which includes investment securities, loans, and leases but excludes certain income and expense items that the Company's management considers to be non-core/adjusted in nature. Similarly, "operating" financial metrics, including operating efficiency ratio and operating earnings per share, are used by management to evaluate operating results exclusive of items that are not indicative of ongoing operations and impact period-to-period comparisons. Management uses "tangible" financial metrics, including tangible common equity and tangible book value, to measure the value of the Company's assets net of intangible assets, such as goodwill. Non-GAAP financial measures should be considered supplemental and not a substitute for the Company's results reported in accordance with GAAP for the periods presented, and other bank holding companies may define or calculate these measures differently. These non-GAAP financial measures should not be considered in isolation and do not purport to be an alternative to net income, earnings per share, net interest income, book value, net interest margin, common equity, net earnings available to common shareholders, diluted earnings per share, efficiency ratio, average yield on investment securities, average yield on all earning assets, or other GAAP financial measures as a measure of operating performance. A reconciliation of these non-GAAP financial measures to the most comparable GAAP measure is provided in this press release following the Condensed Consolidated Financial Information (unaudited).
Forward Looking Statements
This news release and certain of our other filings with the Securities and Exchange Commission contain statements that constitute "forward looking statements" within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
All statements other than statements of historical fact are forward-looking statements. Such statements can generally be identified by such words as "believes," "anticipates," "expects," "may," "will," "assumes," "should," "predicts," "could," "would," "intends," "targets," "estimates," "projects," "plans," "potential," "positioned" and other similar words and expressions of the future or otherwise regarding the outlook for the Company's future business and financial performance and/or the performance of the banking industry and economy in general. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risk and uncertainties which may cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are based on the information known to, and current beliefs and expectations of, the Company's management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by such forward-looking statements. Factors that might cause such differences include, but are not limited to: (1) competitive pressures among financial institutions increasing significantly; (2) prevailing, or changes in, economic or political conditions, either nationally or locally, particularly in areas in which the Company conducts operations, including the effects of declines in the real estate market, high unemployment rates, inflationary pressure, elevated interest rates and slowdowns in economic growth, as well as the financial stress on borrowers as a result of the foregoing; (3) interest rate risk, including the effects of rising interest rates; (4) developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; (5) changes in applicable laws, rules, or regulations; (6) risks related to the Company's recently completed acquisitions, including that the anticipated benefits from the recently completed acquisitions are not realized in the time frame anticipated or at all as a result of changes in general economic and market conditions or other unexpected factors or events; (7) changes in management's plans for the future; (8) credit risk associated with our lending activities; (9) changes in loan demand, real estate values, or competition; (10) changes in accounting principles, policies, or guidelines; (11) adverse results from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of the Company's participation in and execution of government programs related to the COVID-19 pandemic and related variants; (12) higher inflation and its impacts; (13) significant turbulence or disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities; (14) potential impacts of the adverse developments in the banking industry highlighted by high-profile bank failures, including impacts on customer confidence, deposit outflows, liquidity and the regulatory response thereto; (15) the effects of war or other conflicts including the impacts relating to or resulting from Russia's military action in Ukraine or the conflict in Israel and surrounding areas, and (16) other general competitive, economic, political, and market factors, including those affecting our business, operations, pricing, products, or services.
These and other factors that could cause results to differ materially from those described in the forward-looking statements, as well as a discussion of the risks and uncertainties that may affect our business, can be found in our Annual Report on Form 10-K and in other filings we make with the SEC, which are available on the SEC's website, http://www.sec.gov. Undue reliance should not be placed on forward-looking statements. The Company disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments.
THE FIRST BANCSHARES, INC and SUBSIDIARIES
Condensed Consolidated Financial Information (unaudited)
(Dollars in thousands except per share data)
EARNINGS DATA Quarter Quarter Quarter Quarter Quarter
Ended Ended Ended Ended Ended
3/31/24 12/31/23 9/30/23 6/30/23 3/31/23
------------------------------------------------------ -------------------------------------------------- -------------------------------------------------- -------------------------------------------------- --------------------------------------------------
$ 91,663 $ 88,720 $ 85,681 $ 86,194 $ 80,338
Total Interest Income
34,322 31,055 24,977 20,164 15,412
Total Interest Expense
-------------------- -------------- -------------------- -------------------- -------------------- ---------- -------------------- -------------------- -------------------- ---------- -------------------- -------------------- -------------------- ---------- -------------------- -------------------- -------------------- ---------- --------------------
57,341 57,665 60,704 66,030 64,926
Net Interest Income
-------------------- -------------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- --------------------
57,340 57,664 60,703 66,029 64,718
Net Interest Income excluding PPP Fee Income
-------------------- -------------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- --------------------
58,339 58,651 61,696 67,028 65,924
FTE net interest income*
-------------------- -------------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- --------------------
-- 1,250 1,000 1,250 11,000
Provision for credit losses
12,679 2,346 19,324 12,423 12,612
Non-interest income
43,425 44,433 47,724 46,899 45,670
Non-interest expense
-------------------- -------------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- --------------------
26,595 14,328 31,304 30,304 20,868
Earnings before income taxes
5,967 3,281 6,944 6,525 4,597
Income tax expense
-------------------- -------------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- -------------------- -------------------- ---------- --------------------
$ 20,628 $ 11,047 $ 24,360 $ 23,779 $ 16,271
Net income available to common shareholders
==================== ============== ==================== ==================== ========== ==================== ==================== ========== ==================== ==================== ========== ==================== ==================== ========== ====================
PER COMMON SHARE DATA
$ 0.66 $ 0.35 $ 0.78 $ 0.76 $ 0.52
Basic earnings per share
0.65 0.35 0.77 0.75 0.52
Diluted earnings per share
0.65 0.59 0.76 0.85 0.86
Diluted earnings per share, operating*
0.25 0.24 0.23 0.22 0.21
Quarterly dividends per share
30.45 30.22 28.57 28.64 28.58
Book value per common share at end of period
19.70 19.35 17.62 17.62 17.49
Tangible book value per common share at period end*
25.95 29.33 26.97 25.84 25.83
Market price at end of period
31,528,748 31,399,803 31,404,231 31,406,220 31,364,973
Shares outstanding at period end
Weighted average shares outstanding:
31,475,254 31,401,612 31,405,439 31,378,364 31,309,458
Basic
31,630,745 31,587,506 31,609,564 31,591,665 31,541,213
Diluted
AVERAGE BALANCE SHEET DATA
$ 8,005,574 $ 7,917,303 $ 7,873,345 $ 7,882,130 $ 8,003,254
Total assets
5,158,071 5,145,228 5,038,928 4,982,368 4,975,663
Loans and leases
6,599,287 6,440,774 6,466,141 6,501,372 6,816,473
Total deposits
952,708 901,530 905,070 901,499 868,995
Total common equity
612,470 558,889 560,071 554,792 538,903
Total tangible common equity*
SELECTED RATIOS
1.03 % 0.56 % 1.24 % 1.21 % 0.81 %
Annualized return on avg assets (ROA)
1.03 % 0.95 % 1.22 % 1.36 % 1.36 %
Annualized return on avg assets, operating*
1.33 % 1.31 % 1.62 % 1.81 % 1.78 %
Annualized pre-tax, pre-provision, operating*
8.66 % 8.32 % 10.63 % 11.91 % 12.48 %
Annualized return on avg common equity, operating*
13.48 % 13.41 % 17.17 % 19.35 % 20.13 %
Annualized return on avg tangible common equity, operating*
78.16 % 79.89 % 77.93 % 76.64 % 72.99 %
Average loans to average deposits
3.26 % 3.33 % 3.52 % 3.82 % 3.69 %
FTE Net Interest Margin*
61.15 % 72.84 % 58.90 % 59.02 % 58.15 %
Efficiency Ratio
61.14 % 62.00 % 56.06 % 53.87 % 53.32 %
Efficiency Ratio, operating*
*See reconciliation of non-GAAP financial measures
CREDIT QUALITY
1.05 % 1.05 % 1.05 % 1.05 % 1.06 %
Allowance for credit losses (ACL) as a % of total loans
2.72 % 3.05 % 3.69 % 3.57 % 3.73 %
Nonperforming assets to tangible equity + ACL
0.36 % 0.39 % 0.44 % 0.43 % 0.45 %
Nonperforming assets to total loans + OREO
0.006 % 0.061 % 0.004 % 0.070 % 0.010 %
Annualized QTD net charge-offs (recoveries) to total loans
THE FIRST BANCSHARES, INC and SUBSIDIARIES
Condensed Consolidated Financial Information (unaudited)
(in thousands)
BALANCE SHEET March 31, December 31, September 30, June 30, March 31,
2024 2023 2023 2023 2023
------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- -------------------------------------------------
Assets
$ 339,964 $ 355,147 $ 197,632 $ 194,050 $ 333,491
Cash and cash equivalents
1,088,568 1,042,365 1,141,971 1,199,103 1,249,791
Securities available for sale
622,574 654,539 658,524 663,473 678,161
Securities held to maturity
34,094 37,754 35,872 35,725 34,423
Other investments
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
1,745,236 1,734,658 1,836,367 1,898,301 1,962,375
Total investment securities
4,241 2,914 5,960 6,602 4,073
Loans held for sale
5,139,952 5,170,042 5,089,800 5,010,925 4,969,776
Total loans
(53,959 ) (54,032 ) (53,565 ) (52,614 ) (52,450 )
Allowance for credit losses
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
5,085,993 5,116,010 5,036,235 4,958,311 4,917,326
Loans, net
181,194 182,162 183,740 186,381 186,688
Premises and equipment
6,743 8,320 4,920 5,588 5,066
Other Real Estate Owned
338,946 341,332 343,869 346,104 347,777
Goodwill and other intangibles
261,442 258,802 275,562 266,771 260,520
Other assets
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
$ 7,963,759 $ 7,999,345 $ 7,884,285 $ 7,862,108 $ 8,017,316
Total assets
==================== ========= ==================== ==================== ========= ==================== ==================== ========= ==================== ==================== ========= ==================== ==================== ========= ====================
Liabilities and Shareholders' Equity
$ 1,836,952 $ 1,849,013 $ 1,967,661 $ 2,086,666 $ 2,082,441
Non-interest bearing deposits
4,873,403 4,613,859 4,512,364 4,405,601 4,585,515
Interest-bearing deposits
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
6,710,355 6,462,872 6,480,025 6,492,267 6,667,956
Total deposits
110,000 390,000 302,000 280,000 250,000
Borrowings
123,472 123,386 128,300 128,214 154,127
Subordinated debentures
60,020 74,053 76,739 62,181 48,806
Other liabilities
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
7,003,847 7,050,311 6,987,064 6,962,662 7,120,889
Total liabilities
959,912 949,034 897,221 899,446 896,427
Total shareholders' equity
-------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- -------------------- -------------------- --------- --------------------
$ 7,963,759 $ 7,999,345 $ 7,884,285 $ 7,862,108 $ 8,017,316
Total liabilities and shareholders' equity
==================== ========= ==================== ==================== ========= ==================== ==================== ========= ==================== ==================== ========= ==================== ==================== ========= ====================
THE FIRST BANCSHARES, INC and SUBSIDIARIES
Condensed Consolidated Financial Information (unaudited)
(in thousands except per share data)
EARNINGS STATEMENT Three Months Ended
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
12/31/2023 9/30/2023 6/30/2023 3/31/2023
------------------------------------------------------ ---------------------------------------------- ------------------------------------------------------ ----------------------------------------
Interest Income:
$ 76,172 $ 74,357 $ 70,349 $ 68,057 $ 64,264
Loans, including fees
11,248 10,803 10,614 10,815 11,707
Investment securities
2,627 3,235 4,277 6,533 3,469
Accretion of purchase accounting adjustments
1,616 325 441 789 898
Other interest income
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
91,663 88,720 85,681 86,194 80,338
Total interest income
Interest Expense:
29,182 24,489 19,314 14,613 12,183
Deposits
3,022 4,500 3,556 3,264 959
Borrowings
1,887 1,807 1,849 2,138 2,176
Subordinated debentures
231 259 258 149 94
Accretion of purchase accounting adjustments
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
34,322 31,055 24,977 20,164 15,412
Total interest expense
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
57,341 57,665 60,704 66,030 64,926
Net interest income
-- 1,250 1,000 1,250 11,000
Provision for credit losses
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
57,341 56,415 59,704 64,780 53,926
Net interest income after provision for credit losses
Non-interest Income:
3,367 3,447 3,646 3,425 3,657
Service charges on deposit accounts
704 582 878 773 633
Mortgage Income
4,195 4,593 5,280 4,543 4,498
Interchange Fee Income
(48 ) (9,670 ) 2 (48 ) --
Gain (Loss) on securities, net
-- -- 6,197 -- --
Treasury Awards
-- (524 ) (104 ) -- --
Loss on sale of premises and equipment
4,461 3,918 3,425 3,730 3,824
Other charges and fees
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
12,679 2,346 19,324 12,423 12,612
Total non-interest income
Non-interest expense:
24,508 23,717 22,807 23,315 23,572
Salaries and employee benefits
5,714 5,688 5,343 5,041 5,296
Occupancy expense
1,008 1,263 1,158 758 670
FDIC/OCC premiums
139 71 559 45 158
Marketing
2,385 2,385 2,385 2,391 2,402
Amortization of core deposit intangibles
1,833 2,309 1,499 1,570 1,068
Other professional services
8 593 588 4,101 3,793
Acquisition and charter conversion charges
7,830 8,407 13,385 9,678 8,711
Other non-interest expense
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
43,425 44,433 47,724 46,899 45,670
Total non-interest expense
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
26,595 14,328 31,304 30,304 20,868
Earnings before income taxes
5,967 3,281 6,944 6,525 4,597
Income tax expense
-------------------- -------------- -------------------- -------------------- -------------- -------------------- -------------------- ------ -------------------- -------------------- -------------- -------------------- -------------------- --------------
$ 20,628 $ 11,047 $ 24,360 $ 23,779 $ 16,271
Net income available to common shareholders
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$ 0.65 $ 0.35 $ 0.77 $ 0.75 $ 0.52
Diluted earnings per common share
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$ 0.65 $ 0.59 $ 0.76 $ 0.85 $ 0.86
Diluted earnings per common share, operating*
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THE FIRST BANCSHARES, INC and SUBSIDIARIES
Condensed Consolidated Financial Information (unaudited)
(in thousands except per share data)
EARNINGS STATEMENT Year to Date
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2023
Interest Income:
$ 76,171 $ 64,056
Loans, including fees
1 208
PPP loan fee income
11,248 11,707
Investment securities
2,627 3,469
Accretion of purchase accounting adjustments
1,616 898
Other interest income
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91,663 80,338
Total interest income
Interest Expense:
29,182 12,183
Deposits
3,022 959
Borrowings
1,887 2,176
Subordinated debentures
231 94
Amortization of purchase accounting adjustments
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34,322 15,412
Total interest expense
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57,341 64,926
Net interest income
-- 11,000
Provision for credit losses
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Net interes