Landmark Bancorp, Inc. Announces Second Quarter Earnings Per Share of $0.55


Declares Cash Dividend of $0.21 per Share

Manhattan, KS, Aug. 05, 2024 (GLOBE NEWSWIRE) -- Landmark Bancorp, Inc. (“Landmark”; Nasdaq: LARK) reported diluted earnings per share of $0.55 for the three months ended June 30, 2024, compared to $0.51 per share in the first quarter of 2024 and $0.61 per share in the same quarter last year. Net earnings for the second quarter of 2024 amounted to $3.0 million, compared to $2.8 million in the prior quarter and $3.4 million for the second quarter of 2023. For the three months ended June 30, 2024, the return on average assets was 0.78%, the return on average equity was 9.72%, and the efficiency ratio was 67.9%.

For the first six months of 2024, diluted earnings per share totaled $1.06 compared to $1.23 during the same period in 2023. Net earnings for the six months of 2024 totaled $5.8 million, compared to $6.7 million in the first six months of 2023. For the six months ended June 30, 2024, the return on average assets was 0.75%, the return on average equity was 9.30%, and the efficiency ratio was 70.0%.

In making this announcement, Abby Wendel, President and Chief Executive Officer of Landmark, said, “During the second quarter, we continued to see good growth in loans coupled with solid credit quality. Also, both our net interest income and our fee-based income grew nicely this quarter. During the second quarter 2024, non-interest expense grew by $544,000 but included a $979,000 valuation adjustment on a former branch facility that is currently under contract to be sold. Excluding these adjustments, non-interest expense would have declined by $306,000, or 2.9% from the prior quarter. This quarter total loans grew $16.5 million, or 6.9% annualized, driven mainly by strong growth in residential mortgage and construction loans. Additionally, net interest income grew 2.1%, to $11.0 million, as higher interest on loans exceeded interest costs on deposits and our net interest margin expanded by nine basis points and totaled 3.21%. Non-interest income also increased $320,000 over the prior quarter mainly due to higher fees and service charges along with higher gains on sales of mortgage loans. Excluding a decline in brokered deposits on the last day of the quarter, deposit balances were stable during the second quarter while average interest-bearing deposits increased slightly from the prior quarter.”

Ms. Wendel continued, “Loan credit quality remains excellent. Landmark recorded net loan recoveries of $52,000 in the second quarter of 2024 compared to net loan charge-offs of $7,000 in the first quarter of 2024 and $68,000 in the second quarter of 2023. The ratio of net loan charge-offs to loans remains low. No provision for credit losses was recorded in the second quarter 2024. Non-accrual loans totaled $5.0 million, or 0.51%, of gross loans at June 30, 2024 while the balance of loans past due 30 to 89 days totaled $1.9 million, or 0.19%, of gross loans at June 30, 2024. The allowance for credit losses totaled $10.9 million at June 30, 2024, or 1.11% of period end gross loans. At the end of the second quarter 2024 our equity to assets ratio grew to 8.22% while our loans to deposits ratio totaled 77.5% and reflects strong liquidity for future loan growth.”

Landmark’s Board of Directors declared a cash dividend of $0.21 per share, to be paid September 4, 2024, to common stockholders of record as of the close of business on August 21, 2024.

Management will host a conference call to discuss the Company’s financial results at 10:00 a.m. (Central time) on Tuesday, August 6, 2024. Investors may participate via telephone by dialing (833) 470-1428 and using access code 974885. A replay of the call will be available through September 5, 2024, by dialing (866) 813-9403 and using access code 416026.

SUMMARY OF SECOND QUARTER RESULTS

Net earnings in the second quarter of 2024 increased 8.4% to $3.0 million compared to the first quarter 2024 but decreased $350,000 from the same period last year. As previously mentioned, the current quarter included a valuation adjustment on a former branch under a sales contract which after tax reduced net income by $739,000, or $0.14 per share. During the second quarter, loans grew 6.9% annualized, and both net interest income and non-interest income increased over the first quarter. Non-interest expense, excluding the valuation adjustment, declined and no provision for credit losses was taken.

Net Interest Income

Net interest income in the second quarter of 2024 amounted to $11.0 million representing an increase of $227,000, or 2.1%, compared to the previous quarter. The increase in net interest income was due mainly to growth in interest income on loans, but partially offset by higher interest expense on deposits. The net interest margin increased to 3.21% during the second quarter from 3.12% during the prior quarter. Compared to the previous quarter, interest income on loans increased $532,000, or 3.7%, to $15.0 million due to both higher average balances and rates. The average tax-equivalent yield on the loan portfolio increased 17 basis points to 6.33%. Interest expense on deposits increased $216,000, or 4.0%, in the second quarter 2024, compared to the prior quarter, mainly due to higher rates on interest-bearing deposits. The average rate on interest-bearing deposits increased in the second quarter to 2.44% compared to 2.35% in the prior quarter. Interest on borrowed funds declined slightly due to a small decline in average balances.

Non-Interest Income

Non-interest income totaled $3.7 million for the second quarter of 2024, an increase of $320,000, or 9.4%, from the previous quarter. The increase in non-interest income compared to the first quarter of 2024 was primarily the result of increases of $230,000 in fees and service charges and $136,000 in gains on sales of one-to-four family residential real estate loans.

Non-Interest Expense

During the second quarter of 2024, non-interest expense totaled $11.1 million, an increase of $544,000, or 5.2%, compared to the prior quarter. As mentioned above, the increase in non-interest expense this quarter was primarily related to a valuation allowance of $979,000 recorded on a former branch facility that is currently under contract to be sold. A valuation allowance of $129,000 on this facility was also recorded in the first quarter of 2024. Excluding these valuation allowances, non-interest expense totaled $10.1 million in the second quarter of 2024 compared to $10.4 million in the first quarter of 2024, a decline of $306,000, or 2.9%. Compensation and benefits, occupancy and equipment and amortization of mortgage servicing rights and other intangibles were all lower this quarter.

Income Tax Expense

Landmark recorded income tax expense of $587,000 in the second quarter of 2024 compared to $518,000 in the prior quarter. The effective tax rate was 16.3% in the second quarter of 2024 compared to 15.7% in the first quarter of 2024. The increase in the effective tax rate was primarily due to higher earnings before taxes as tax-exempt income was consistent between the periods.

Balance Sheet Highlights

As of June 30, 2024, gross loans totaled $980.6 million, an increase of $16.5 million, or 6.9% annualized since March 31, 2024. During the quarter, loan growth was primarily comprised of one-to-four family residential real estate (growth of $19.3 million) and construction and land (growth of $5.7 million) loans. The increase in one-to-four family residential real estate loans is primarily related to continued demand for adjustable-rate mortgage loans which are retained in our portfolio. Investment securities decreased $16.8 million during the second quarter of 2024, while pre-tax unrealized net losses on these investment securities increased slightly from $24.4 million at March 31, 2024 to $24.8 million at June 30, 2024.

Period end deposit balances decreased $43.0 million to $1.3 billion at June 30, 2024. The decrease in deposits was mainly driven by declines in money market and checking (decrease of $36.9 million) non-interest-bearing demand (decrease of $3.8 million) and savings (decrease of $3.0 million) in the second quarter. The decrease in money market and checking accounts was mainly driven by a decline in brokered deposits on the last day of the quarter. Average interest-bearing deposits increased slightly this quarter compared to the first quarter. Total borrowings increased $49.5 million during the second quarter 2024. The increase was due to increased borrowing on our FHLB line of credit which was primarily related to the decline in brokered deposits. Average borrowings, including FHLB advances and repurchase agreements decreased $2.6 million this quarter compared to the first quarter. At June 30, 2024, the loan to deposits ratio was 77.5% compared to 73.6% in the prior quarter.

Stockholders’ equity increased to $128.3 million (book value of $23.45 per share) as of June 30, 2024, from $126.7 million (book value of $23.14 per share) as of March 31, 2024. The ratio of equity to total assets increased to 8.22% on June 30, 2024, from 8.16% on March 31, 2024.

The allowance for credit losses totaled $10.9 million, or 1.11% of total gross loans on June 30, 2024, compared to $10.9 million, or 1.13% of total gross loans on March 31, 2024. Net loan recoveries totaled $52,000 in the second quarter of 2024, compared to net loan charge-offs of $7,000 during the first quarter of 2024. No provision for credit losses was recorded in the second quarter of 2024 compared to a provision for credit losses of $300,000 in the first quarter of 2024.

Non-performing loans totaled $5.0 million, or 0.51% of gross loans at June 30, 2024 compared to $3.6 million, or 0.38% of gross loans at March 31, 2024. Loans 30-89 days delinquent totaled $1.9 million, or 0.19% of gross loans, as of June 30, 2024, compared to $3.9 million, or 0.42% of gross loans, as of March 31, 2024. Foreclosed real estate owned totaled $428,000 at June 30, 2024.

About Landmark

Landmark Bancorp, Inc., the holding company for Landmark National Bank, is listed on the Nasdaq Global Market under the symbol “LARK.” Headquartered in Manhattan, Kansas, Landmark National Bank is a community banking organization dedicated to providing quality financial and banking services. Landmark National Bank has 30 locations in 24 communities across Kansas: Manhattan (2), Auburn, Dodge City (2), Fort Scott (2), Garden City, Great Bend (2), Hoisington, Iola, Junction City, Kincaid, La Crosse, Lawrence (2), Lenexa, Louisburg, Mound City, Osage City, Osawatomie, Overland Park, Paola, Pittsburg, Prairie Village, Topeka (2), Wamego and Wellsville, Kansas. Visit www.banklandmark.com for more information.

Contact:
Mark A. Herpich
Chief Financial Officer
(785) 565-2000

Special Note Concerning Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of Landmark. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “plan,” “intend,” “estimate,” “may,” “will,” “would,” “could,” “should” or other similar expressions. Additionally, all statements in this press release, including forward-looking statements, speak only as of the date they are made, and Landmark undertakes no obligation to update any statement in light of new information or future events. A number of factors, many of which are beyond our ability to control or predict, could cause actual results to differ materially from those in our forward-looking statements. These factors include, among others, the following: (i) the strength of the local, national and international economies, including the effects of inflationary pressures and supply chain constraints on such economies; (ii) changes in state and federal laws, regulations and governmental policies concerning banking, securities, consumer protection, insurance, monetary, trade and tax matters, including any changes in response to the recent failures of other banks; (iii) changes in interest rates and prepayment rates of our assets; (iv) increased competition in the financial services sector and the inability to attract new customers, including from non-bank competitors such as credit unions and “fintech” companies; (v) timely development and acceptance of new products and services; (vi) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (vii) our risk management framework; (viii) interruptions in information technology and telecommunications systems and third-party services; (ix) changes and uncertainty in benchmark interest rates, including the timing of rate changes, if any, by the Federal Reserve; (x) the effects of severe weather, natural disasters, widespread disease or pandemics, or other external events; (xi) the loss of key executives or employees; (xii) changes in consumer spending; (xiii) integration of acquired businesses; (xiv) unexpected outcomes of existing or new litigation; (xv) changes in accounting policies and practices, such as the implementation of the current expected credit losses accounting standard; (xvi) the economic impact of past and any future terrorist attacks, acts of war, including the current Israeli-Palestinian conflict and the conflict in Ukraine, or threats thereof, and the response of the United States to any such threats and attacks; (xvii) the ability to manage credit risk, forecast loan losses and maintain an adequate allowance for loan losses; (xviii) fluctuations in the value of securities held in our securities portfolio; (xix) concentrations within our loan portfolio, large loans to certain borrowers, and large deposits from certain clients; (xx) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and may withdraw deposits to diversify their exposure; (xxi) the level of non-performing assets on our balance sheets; (xxii) the ability to raise additional capital; (xxiii) cyber-attacks; (xxiv) declines in real estate values; (xxv) the effects of fraud on the part of our employees, customers, vendors or counterparties; and (xxvi) any other risks described in the “Risk Factors” sections of reports filed by Landmark with the Securities and Exchange Commission. These risks and uncertainties should be considered in evaluating forward-looking statements, and undue reliance should not be placed on such statements. Additional information concerning Landmark and its business, including additional risk factors that could materially affect Landmark’s financial results, is included in our filings with the Securities and Exchange Commission.

LANDMARK BANCORP, INC. AND SUBSIDIARIES
Consolidated Balance Sheets (unaudited)

(Dollars in thousands) June 30,  March 31,  December 31,  September 30,  June 30, 
  2024  2024  2023  2023  2023 
Assets                    
Cash and cash equivalents $23,889  $16,468  $27,101  $23,821  $20,038 
Interest-bearing deposits at other banks  4,881   4,920   4,918   5,904   8,336 
Investment securities available-for-sale, at fair value:                    
U.S. treasury securities  89,325   93,683   95,667   118,341   121,480 
Municipal obligations, tax exempt  114,047   118,445   120,623   115,706   124,451 
Municipal obligations, taxable  74,588   75,371   79,083   73,993   77,713 
Agency mortgage-backed securities  142,499   149,777   157,396   148,817   160,734 
Total investment securities available-for-sale  420,459   437,276   452,769   456,857   484,378 
Investment securities held-to-maturity  3,613   3,584   3,555   3,525   3,496 
Bank stocks, at cost  9,647   7,850   8,123   8,009   9,445 
Loans:                    
One-to-four family residential real estate  332,090   312,833   302,544   289,571   259,655 
Construction and land  30,480   24,823   21,090   21,657   22,016 
Commercial real estate  318,850   323,397   320,962   323,427   314,889 
Commercial  178,876   181,945   180,942   185,831   181,424 
Agriculture  84,523   86,808   89,680   84,560   84,345 
Municipal  6,556   5,690   4,507   3,200   2,711 
Consumer  29,200   28,544   28,931   29,180   28,219 
Total gross loans  980,575   964,040   948,656   937,426   893,259 
Net deferred loan (fees) costs and loans in process  (583)  (578)  (429)  (396)  (261)
Allowance for credit losses  (10,903)  (10,851)  (10,608)  (10,970)  (10,449)
Loans, net  969,089   952,611   937,619   926,060   882,549 
Loans held for sale, at fair value  2,513   2,697   853   1,857   3,900 
Bank owned life insurance  38,826   38,578   38,333   38,090   37,764 
Premises and equipment, net  20,986   20,696   19,709   23,911   24,027 
Goodwill  32,377   32,377   32,377   32,377   32,199 
Other intangible assets, net  2,900   3,071   3,241   3,414   3,612 
Mortgage servicing rights  2,997   2,977   3,158   3,368   3,514 
Real estate owned, net  428   428   928   934   934 
Other assets  28,149   29,684   28,988   29,459   25,148 
Total assets $1,560,754  $1,553,217  $1,561,672  $1,557,586  $1,539,340 
                     
Liabilities and Stockholders’ Equity                    
Liabilities:                    
Deposits:                    
Non-interest-bearing demand  360,631   364,386   367,103   395,046   382,410 
Money market and checking  546,385   583,315   613,613   586,651   606,474 
Savings  150,996   154,000   152,381   157,112   160,426 
Certificates of deposit  192,470   191,823   183,154   169,225   131,661 
Total deposits  1,250,482   1,293,524   1,316,251   1,308,034   1,280,971 
FHLB and other borrowings  131,330   74,716   64,662   82,569   84,520 
Subordinated debentures  21,651   21,651   21,651   21,651   21,651 
Repurchase agreements  8,745   15,895   12,714   12,590   13,958 
Accrued interest and other liabilities  20,292   20,760   19,480   23,185   20,887 
Total liabilities  1,432,500   1,426,546   1,434,758   1,448,029   1,421,987 
Stockholders’ equity:                    
Common stock  55   55   55   52   52 
Additional paid-in capital  89,469   89,364   89,208   84,568   84,475 
Retained earnings  57,774   55,912   54,282   57,280   55,498 
Treasury stock, at cost  (330)  (249)  (75)  -   - 
Accumulated other comprehensive (loss) income  (18,714)  (18,411)  (16,556)  (32,343)  (22,672)
Total stockholders’ equity  128,254   126,671   126,914   109,557   117,353 
Total liabilities and stockholders’ equity $1,560,754  $1,553,217  $1,561,672  $1,557,586  $1,539,340 


LANDMARK BANCORP, INC. AND SUBSIDIARIES
Consolidated Statements of Earnings (unaudited)

(Dollars in thousands, except per share amounts) Three months ended,  Six months ended, 
  June 30,  March 31,  June 30,  June 30,  June 30, 
  2024  2024  2023  2024  2023 
Interest income:                    
Loans $15,022  $14,490  $12,623  $29,512  $23,999 
Investment securities:                    
Taxable  2,359   2,428   2,379   4,787   4,696 
Tax-exempt  759   764   775   1,523   1,561 
Interest-bearing deposits at banks  40   63   49   103   147 
Total interest income  18,180   17,745   15,826   35,925   30,403 
Interest expense:                    
Deposits  5,673   5,457   3,452   11,130   5,991 
FHLB and other borrowings  1,027   1,022   1,027   2,049   1,594 
Subordinated debentures  418   412   387   830   751 
Repurchase agreements  88   107   127   195   287 
Total interest expense  7,206   6,998   4,993   14,204   8,623 
Net interest income  10,974   10,747   10,833   21,721   21,780 
Provision for credit losses  -   300   250   300   299 
Net interest income after provision for credit losses  10,974   10,447   10,583   21,421   21,481 
Non-interest income:                    
Fees and service charges  2,691   2,461   2,481   5,152   4,839 
Gains on sales of loans, net  648   512   830   1,160   1,523 
Bank owned life insurance  248   245   223   493   441 
Other  133   182   295   315   521 
Total non-interest income  3,720   3,400   3,829   7,120   7,324 
Non-interest expense:                    
Compensation and benefits  5,504   5,532   5,572   11,036   11,114 
Occupancy and equipment  1,294   1,390   1,394   2,684   2,763 
Data processing  492   481   431   973   1,020 
Amortization of mortgage servicing rights and other intangibles  256   412   472   668   933 
Professional fees  649   647   607   1,296   1,098 
Valuation allowance on real estate held for sale  979   129   -   1,108   - 
Other  1,921   1,960   1,873   3,881   3,764 
Total non-interest expense  11,095   10,551   10,349   21,646   20,692 
Earnings before income taxes  3,599   3,296   4,063   6,895   8,113 
Income tax expense  587   518   701   1,105   1,394 
Net earnings $3,012  $2,778  $3,362  $5,790  $6,719 
                     
Net earnings per share (1)                    
Basic $0.55  $0.51  $0.61  $1.06  $1.23 
Diluted  0.55   0.51   0.61   1.06   1.23 
Dividends per share (1)  0.21   0.21   0.20   0.42   0.40 
Shares outstanding at end of period (1)  5,469,566   5,473,867   5,476,354   5,469,566   5,476,354 
Weighted average common shares outstanding - basic (1)  5,471,724   5,469,954   5,476,354   5,470,839   5,475,075 
Weighted average common shares outstanding - diluted (1)  5,474,336   5,474,852   5,480,528   5,474,602   5,480,748 
                     
Tax equivalent net interest income $11,167  $10,925  $11,021  $22,075  $22,165 
                     

(1) Share and per share values at or for the period ended June 30, 2023 have been adjusted to give effect to the 5% stock dividend paid during December 2023.

LANDMARK BANCORP, INC. AND SUBSIDIARIES
Select Ratios and Other Data (unaudited)

(Dollars in thousands, except per share amounts) As of or for the
three months ended,
  As of or for the
six months ended,
 
  June 30,  March 31,  June 30,  June 30,  June 30, 
  2024  2024  2023  2024  2023 
Performance ratios:                    
Return on average assets (1)  0.78%  0.72%  0.88%  0.75%  0.89%
Return on average equity (1)  9.72%  8.88%  11.52%  9.30%  11.77%
Net interest margin (1)(2)  3.21%  3.12%  3.21%  3.16%  3.26%
Effective tax rate  16.3%  15.7%  17.3%  16.0%  17.2%
Efficiency ratio (3)  67.9%  72.1%  69.2%  70.0%  69.7%
Non-interest income to total income (3)  25.3%  24.1%  26.1%  24.7%  25.2%
                     
Average balances:                    
Investment securities $437,136  $456,933  $495,456  $447,034  $497,486 
Loans  955,104   945,737   873,910   950,420   862,186 
Assets  1,545,816   1,555,662   1,525,589   1,550,739   1,518,373 
Interest-bearing deposits  936,237   935,417   882,726   935,827   877,841 
FHLB and other borrowings  72,875   72,618   77,176   72,747   61,285 
Subordinated debentures  21,651   21,651   21,651   21,651   21,651 
Repurchase agreements  11,524   14,371   16,909   12,947   22,199 
Stockholders’ equity $124,624  $125,846  $117,038  $125,235  $115,087 
                     
Average tax equivalent yield/cost (1):                    
Investment securities  3.04%  2.96%  2.70%  2.99%  2.69%
Loans  6.33%  6.16%  5.80%  6.25%  5.62%
Total interest-bearing assets  5.29%  5.11%  4.66%  5.20%  4.53%
Interest-bearing deposits  2.44%  2.35%  1.57%  2.39%  1.38%
FHLB and other borrowings  5.67%  5.66%  5.34%  5.66%  5.25%
Subordinated debentures  7.76%  7.65%  7.17%  7.71%  6.99%
Repurchase agreements  3.07%  2.99%  3.01%  3.03%  2.61%
Total interest-bearing liabilities  2.78%  2.70%  2.01%  2.74%  1.77%
                     
Capital ratios:                    
Equity to total assets  8.22%  8.16%  7.62%        
Tangible equity to tangible assets (3)  6.09%  6.01%  5.42%        
Book value per share $23.45  $23.14  $21.43         
Tangible book value per share (3) $17.00  $16.67  $14.89         
                     
Rollforward of allowance for credit losses (loans):                    
Beginning balance $10,851  $10,608  $10,267  $10,608  $8,791 
Adoption of CECL  -   -   -   -   1,523 
Charge-offs  (119)  (141)  (158)  (260)  (266)
Recoveries  171   134   90   305   151 
Provision for credit losses for loans  -   250   250   250   250 
Ending balance $10,903  $10,851  $10,449  $10,903  $10,449 
                     
Allowance for unfunded loan commitments $300  $300  $200         
                     
Non-performing assets:                    
Non-accrual loans $5,007  $3,621  $2,784         
Accruing loans over 90 days past due  -   -   -         
Real estate owned  428   428   934         
Total non-performing assets $5,435  $4,049  $3,718         
                     
Loans 30-89 days delinquent $1,872  $4,064  $614         
                     
Other ratios:                    
Loans to deposits  77.50%  73.64%  68.90%        
Loans 30-89 days delinquent and still accruing to gross loans outstanding  0.19%  0.42%  0.07%        
Total non-performing loans to gross loans outstanding  0.51%  0.38%  0.31%        
Total non-performing assets to total assets  0.35%  0.26%  0.24%        
Allowance for credit losses to gross loans outstanding  1.11%  1.13%  1.17%        
Allowance for credit losses to total non-performing loans  217.76%  299.67%  375.32%        
Net loan charge-offs to average loans (1)  -0.02%  0.00%  0.03%  0.00%  0.01%
                     

(1) Information is annualized.
(2) Net interest margin is presented on a fully tax equivalent basis, using a 21% federal tax rate.
(3) Non-GAAP financial measures. See the “Non-GAAP Financial Measures” section of this press release for a reconciliation to the most comparable GAAP equivalent.

LANDMARK BANCORP, INC. AND SUBSIDIARIES
Non-GAAP Finacials Measures (unaudited)

(Dollars in thousands, except per share amounts) As of or for the
three months ended,
  As of or for the
six months ended,
 
  June 30,  March 31,  June 30,  June 30,  June 30, 
  2024  2024  2023  2024  2023 
                
Non-GAAP financial ratio reconciliation:                    
Total non-interest expense $11,095  $10,551  $10,349  $21,646  $20,692 
Less: foreclosure and real estate owned expense  39   (50)  (3)  (11)  (20)
Less: amortization of other intangibles  (171)  (170)  (198)  (341)  (395)
Less: valuation allowance on real estate held for sale  (979)  (129)  -   (1,108)  - 
Adjusted non-interest expense (A)  9,984   10,202   10,148   20,186   20,277 
                     
Net interest income (B)  10,974   10,747   10,833   21,721   21,780 
                     
Non-interest income  3,720   3,400   3,829   7,120   7,324 
Less: losses (gains) on sales of investment securities, net  -   -   -   -   - 
Less: gains on sales of premises and equipment and foreclosed assets  -   9   -   9   (1)
Adjusted non-interest income (C) $3,720  $3,409  $3,829  $7,129  $7,323 
                     
Efficiency ratio (A/(B+C))  67.9%  72.1%  69.2%  70.0%  69.7%
Non-interest income to total income (C/(B+C))  25.3%  24.1%  26.1%  24.7%  25.2%
                     
Total stockholders’ equity $128,254  $126,671  $117,353         
Less: goodwill and other intangible assets  (35,277)  (35,448)  (35,811)        
Tangible equity (D) $92,977  $91,223  $81,542         
                     
Total assets $1,560,754  $1,553,217  $1,539,340         
Less: goodwill and other intangible assets  (35,277)  (35,448)  (35,811)        
Tangible assets (E) $1,525,477  $1,517,769  $1,503,529         
                     
Tangible equity to tangible assets (D/E)  6.09%  6.01%  5.42%        
                     
Shares outstanding at end of period (F)  5,469,566   5,473,867   5,476,354         
                     
Tangible book value per share (D/F) $17.00  $16.67  $14.89