Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K FILING DOCUMENT - HOME BANCSHARES INC | document.htm |
EXHIBIT 99.1
Home BancShares, Inc. Announces Record Quarterly Earnings of $14.3 Million
CONWAY, Ark., Oct. 20, 2011 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (Nasdaq:HOMB), parent company of Centennial Bank, today announced third quarter earnings of $14.3 million, or $0.48 diluted earnings per common share, compared to $9.6 million, or $0.31 diluted earnings per common share for the same quarter in 2010. The Company increased its third quarter net income by $4.8 million or 49.7% for the three months ended September 30, 2011 compared to the same period of the previous year.
Because acquisitions are growth and capital management strategies, earnings excluding amortization of intangibles after-tax are useful in evaluating the Company. Diluted earnings per common share excluding intangible amortization for the third quarter of 2011 was $0.50 compared to $0.33 diluted earnings per common share excluding intangible amortization for the same period in 2010.
"The Company has achieved yet another historically record quarter during the third quarter of 2011," said John Allison, Chairman. "Even with our repayment of TARP during the third quarter, our strong capital levels are sustained considerably above the regulators' capital requirements. With this in mind, we are able to maintain the position of taking advantage of opportunistic FDIC deals as they become available."
Randy Sims, Chief Executive Officer, added, "Not only did we see our net interest margin improve 40 basis points during the third quarter of 2011 over the third quarter of 2010, but we again reported marked improvements in the non-performing non-covered loans and non-performing non-covered assets when compared to those during 2010. Our Company is no doubt pleased with the continued success in the third quarter of 2011."
Operating Highlights
Net interest income for the third quarter of 2011 was a quarterly record for the Company, increasing 18.4% to $35.7 million compared to $30.2 million for the third quarter of 2010. For the third quarter of 2011, the effective yield on non-covered loans and covered loans was 6.49% and 7.20%, respectively. Net interest margin, on a fully taxable equivalent basis, was also a quarterly record at 4.75% for the quarter just ended compared to 4.35% in the third quarter of 2010, an increase of 40 basis points. The Company's ability to improve pricing on its loan portfolio and interest bearing deposits allowed the Company to improve net interest margin.
The Company reported $10.0 million of non-interest income for the third quarter of 2011, compared to $8.3 million for the third quarter of 2010. The most significant components of the third quarter non-interest income were $3.6 million from service charges on deposits accounts, $2.5 million from other service charges and fees, $1.3 million of accretion on the FDIC indemnification asset, $783,000 from mortgage lending income, $428,000 from insurance commissions, $323,000 increase in cash value of life insurance and $69,000 gain on sale of OREO. The Company increased third quarter non-interest income by $1.7 million, or 19.9%, for the three months ended September 30, 2011 compared to the same period of the previous year.
Non-interest expense for the third quarter of 2011 was $23.7 million compared to $21.3 million for the third quarter of 2010. This increase is primarily the result of increasing the asset size of our Company by 6.8% from the third quarter of 2010 to the third quarter of 2011. For the third quarter of 2011, our core efficiency ratio was 49.31% or 69 basis points better than our targeted goal of 50%.
Financial Condition
Total non-covered loans were $1.83 billion at September 30, 2011 compared to $1.89 billion at December 31, 2010. Total covered loans were $511.3 million at September 30, 2011 compared to $575.8 million at December 31, 2010. Total deposits were $2.89 billion at September 30, 2011 compared to $2.96 billion at December 31, 2010. Total assets were $3.62 billion at September 30, 2011 compared to $3.76 billion at December 31, 2010.
Non-performing non-covered loans were $27.9 million as of September 30, 2011, of which $19.2 million were located in Florida. Non-performing non-covered loans as a percent of total non-covered loans were 1.53% as of September 30, 2011 compared to 2.62% as of December 31, 2010. Non-performing non-covered assets were $44.6 million as of September 30, 2011, of which $24.2 million were located in Florida. Non-performing non-covered assets as a percent of total non-covered assets were 1.55% as of September 30, 2011 compared to the 2.08% reported for December 31, 2010.
The Company's allowance for loan losses was $54.5 million at September 30, 2011, or 2.98% of total non-covered loans, compared to $53.3 million, or 2.82% of total non-covered loans, at December 31, 2010. As of September 30, 2011, the Company's allowance for loan losses was 196% of its total non-performing non-covered loans compared to 108% as of December 31, 2010.
Stockholders' equity was $463.1 million at September 30, 2011 compared to $476.9 million at December 31, 2010, a decrease of $13.8 million. The decrease is due to the Company repaying the TARP funds during the third quarter of 2011. Common stockholders' equity was $463.1 million at September 30, 2011 compared to $427.5 million at December 31, 2010, an increase of $35.7 million. Book value per common share was $16.39 at September 30, 2011 compared to $15.02 at December 31, 2010.
Stock Repurchase Program
During the third quarter of 2011, the Company utilized a small portion of its previously approved stock repurchase program. This program authorized the repurchase of 1,188,000 shares of the Company's common stock. For the period beginning August 8, 2011 and ending September 30, 2011, the Company repurchased a total of 250,000 shares with a weighted average stock price of $22.15. The Company believes the stock repurchased at this price is an excellent investment. The repurchased shares will be used to fulfill a future restricted stock award program for the Company's management team. The third quarter earnings were used to fund this repurchase.
Branches
During the first nine months of 2011, the Company completed eight strategic branch closures in Florida. Those closed during the first quarter of 2011 include one branch in Port St. Joe, one grocery store branch in each of the Crawfordville and Blountstown locations and four branches associated with the acquisition of Gulf State Community Bank in 2010. The one branch closure completed during the second quarter of 2011 was also associated with the Gulf State acquisition.
Presently, the Company is evaluating opportunities but has no firm commitments for additional de novo branch locations.
Conference Call
Management will conduct a conference call to review this information at 1:00 p.m. CT (2:00 ET) on Thursday, October 20, 2011. Interested parties can listen to this call by calling 1-877-317-6789 and asking for the Home BancShares conference call. A replay of the call will be available by calling 1-877-344-7529, Passcode: 10004530, which will be available until October 26, 2011 at 8:00 a.m. CT (9:00 ET). Internet access to the call will be available live or in recorded version on the Company's website at www.homebancshares.com under "Investor Relations" for 12 months.
General
This release contains forward-looking statements regarding the Company's plans, expectations, goals and outlook for the future. Statements in this press release that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements of this type speak only as of the date of this news release. By nature, forward-looking statements involve inherent risk and uncertainties. Various factors, including, but not limited to, economic conditions, credit quality, interest rates, loan demand, estimates regarding impairment charges, the ability to recover some portion of the impaired indebtedness and changes in the assumptions used in making the forward-looking statements, could cause actual results to differ materially from those contemplated by the forward-looking statements. Additional information on factors that might affect Home BancShares, Inc.'s financial results are included in its Annual Report on Form 10-K for the year ended December 31, 2010 filed with the Securities and Exchange Commission.
Home BancShares, Inc. is a bank holding company, headquartered in Conway, Arkansas. Our wholly-owned subsidiary Centennial Bank provides a broad range of commercial and retail banking plus related financial services to businesses, real estate developers, investors, individuals and municipalities. Centennial Bank has locations in central Arkansas, north central Arkansas, southern Arkansas, the Florida Keys, southwestern Florida, central Florida, and the Florida Panhandle. The Company's common stock is traded through the NASDAQ Global Select Market under the symbol "HOMB."
| Home BancShares, Inc. | |||||
| Consolidated End of Period Balance Sheets | |||||
| (Unaudited) | |||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | |
| (In thousands) | 2011 | 2011 | 2011 | 2010 | 2010 |
| ASSETS | |||||
| Cash and due from banks | $ 48,748 | $ 48,207 | $ 58,123 | $ 49,927 | $ 39,894 |
| Interest-bearing deposits with other banks | 104,053 | 231,667 | 201,834 | 237,605 | 168,173 |
| Cash and cash equivalents | 152,801 | 279,874 | 259,957 | 287,532 | 208,067 |
| Federal funds sold | 3,670 | 7,595 | 1,175 | 27,848 | 800 |
| Investment securities - available for sale | 610,522 | 541,534 | 510,019 | 469,864 | 380,717 |
| Loans receivable not covered by loss share | 1,826,373 | 1,812,718 | 1,849,302 | 1,892,374 | 1,955,263 |
| Loans receivable covered by FDIC loss share | 511,326 | 548,236 | 566,463 | 575,776 | 408,239 |
| Allowance for loan losses | (54,508) | (56,784) | (53,591) | (53,348) | (43,784) |
| Loans receivable, net | 2,283,191 | 2,304,170 | 2,362,174 | 2,414,802 | 2,319,718 |
| Bank premises and equipment, net | 89,894 | 90,128 | 90,413 | 81,939 | 74,860 |
| Foreclosed assets held for sale not covered by loss share | 16,541 | 19,855 | 17,877 | 11,626 | 12,695 |
| Foreclosed assets held for sale covered by FDIC loss share | 32,183 | 21,941 | 21,079 | 21,568 | 18,563 |
| FDIC indemnification asset | 201,211 | 211,383 | 224,075 | 227,258 | 176,844 |
| Cash value of life insurance | 52,422 | 52,101 | 51,815 | 51,970 | 51,694 |
| Accrued interest receivable | 15,038 | 12,338 | 15,337 | 16,176 | 15,269 |
| Deferred tax asset, net | 21,998 | 22,265 | 21,420 | 18,586 | 13,080 |
| Goodwill | 59,663 | 59,663 | 59,663 | 59,663 | 59,663 |
| Core deposit and other intangibles | 9,325 | 10,030 | 10,734 | 11,447 | 8,402 |
| Other assets | 73,707 | 61,592 | 58,042 | 62,367 | 51,765 |
| Total assets | $ 3,622,166 | $ 3,694,469 | $ 3,703,780 | $ 3,762,646 | $ 3,392,137 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||
| Liabilities | |||||
| Deposits: | |||||
| Demand and non-interest-bearing | $ 479,512 | $ 462,275 | $ 447,245 | $ 392,622 | $ 368,822 |
| Savings and interest-bearing transaction accounts | 1,143,335 | 1,122,034 | 1,112,948 | 1,108,309 | 926,746 |
| Time deposits | 1,262,202 | 1,315,484 | 1,357,338 | 1,460,867 | 1,268,868 |
| Total deposits | 2,885,049 | 2,899,793 | 2,917,531 | 2,961,798 | 2,564,436 |
| Federal funds purchased | -- | -- | -- | -- | -- |
| Securities sold under agreements to repurchase | 62,407 | 65,632 | 69,834 | 74,459 | 73,015 |
| FHLB borrowed funds | 142,901 | 150,124 | 150,247 | 177,270 | 187,393 |
| Accrued interest payable and other liabilities | 24,339 | 30,140 | 33,512 | 27,863 | 24,494 |
| Subordinated debentures | 44,331 | 44,331 | 44,331 | 44,331 | 44,331 |
| Total liabilities | 3,159,027 | 3,190,020 | 3,215,455 | 3,285,721 | 2,893,669 |
| Stockholders' equity | |||||
| Preferred stock | -- | 49,547 | 49,502 | 49,456 | 49,411 |
| Common stock | 283 | 285 | 285 | 285 | 284 |
| Capital surplus | 425,852 | 433,306 | 433,130 | 432,962 | 432,668 |
| Retained earnings | 28,218 | 15,766 | 4,428 | (6,079) | 9,934 |
| Accumulated other comprehensive income (loss) | 8,786 | 5,545 | 980 | 301 | 6,171 |
| Total stockholders' equity | 463,139 | 504,449 | 488,325 | 476,925 | 498,468 |
| Total liabilities and stockholders' equity | $ 3,622,166 | $ 3,694,469 | $ 3,703,780 | $ 3,762,646 | $ 3,392,137 |
| Home BancShares, Inc. | |||||||
| Consolidated Statements of Income (Loss) | |||||||
| (Unaudited) | |||||||
| Quarter Ended | Nine Months Ended | ||||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | Sep. 30, | Sep. 30, | |
| (In thousands) | 2011 | 2011 | 2011 | 2010 | 2010 | 2011 | 2010 |
| Interest income | |||||||
| Loans | $ 39,199 | $ 39,690 | $ 38,955 | $ 39,187 | $ 35,673 | $ 117,844 | $ 98,675 |
| Investment securities | |||||||
| Taxable | 2,429 | 2,204 | 2,160 | 1,688 | 1,802 | 6,793 | 5,364 |
| Tax-exempt | 1,546 | 1,543 | 1,528 | 1,292 | 1,492 | 4,617 | 4,471 |
| Deposits - other banks | 84 | 142 | 105 | 150 | 92 | 331 | 258 |
| Federal funds sold | 1 | 1 | 7 | 24 | 3 | 9 | 13 |
| Total interest income | 43,259 | 43,580 | 42,755 | 42,341 | 39,062 | 129,594 | 108,781 |
| Interest expense | |||||||
| Interest on deposits | 5,638 | 5,986 | 6,260 | 6,816 | 6,319 | 17,884 | 17,486 |
| Federal funds purchased | -- | -- | -- | -- | -- | -- | -- |
| FHLB borrowed funds | 1,250 | 1,227 | 1,291 | 1,461 | 1,854 | 3,768 | 6,113 |
| Securities sold under | |||||||
| agreements to repurchase | 120 | 125 | 139 | 148 | 137 | 384 | 349 |
| Subordinated debentures | 539 | 543 | 538 | 539 | 599 | 1,620 | 1,796 |
| Total interest expense | 7,547 | 7,881 | 8,228 | 8,964 | 8,909 | 23,656 | 25,744 |
| Net interest income | 35,712 | 35,699 | 34,527 | 33,377 | 30,153 | 105,938 | 83,037 |
| Provision for loan losses | -- | -- | 1,250 | 63,000 | 3,000 | 1,250 | 9,850 |
| Net interest income (loss) after | |||||||
| provision for loan losses | 35,712 | 35,699 | 33,277 | (29,623) | 27,153 | 104,688 | 73,187 |
| Non-interest income | |||||||
| Service charges on deposit accounts | 3,638 | 3,639 | 3,151 | 3,325 | 3,551 | 10,428 | 10,275 |
| Other service charges and fees | 2,489 | 2,602 | 2,284 | 2,018 | 1,816 | 7,375 | 5,353 |
| Mortgage lending income | 783 | 661 | 645 | 1,289 | 760 | 2,089 | 1,822 |
| Mortgage servicing income | -- | -- | -- | -- | -- | -- | 314 |
| Insurance commissions | 428 | 470 | 607 | 276 | 248 | 1,505 | 904 |
| Income from title services | 126 | 110 | 91 | 110 | 98 | 327 | 353 |
| Increase in cash value of life insurance | 323 | 287 | 239 | 277 | 330 | 849 | 1,106 |
| Dividends from FHLB, FRB & bankers' bank | 184 | 181 | 141 | 142 | 151 | 506 | 419 |
| Gain on acquisitions | -- | -- | -- | 25,150 | -- | -- | 9,334 |
| Gain on sale of SBA loans | -- | -- | 259 | -- | -- | 259 | 18 |
| Gain (loss) on sale of premises & equip, net | 6 | 77 | (4) | (129) | 2 | 79 | 221 |
| Gain (loss) on OREO, net | 69 | (1,007) | (94) | 358 | (1,063) | (1,032) | (1,308) |
| Gain (loss) on securities, net | 5 | -- | -- | (3,606) | (37) | 5 | (37) |
| FDIC indemnification accretion | 1,314 | 1,463 | 1,837 | 1,877 | 1,895 | 4,614 | 2,631 |
| Other income | 595 | 644 | 884 | 790 | 556 | 2,123 | 1,767 |
| Total non-interest income | 9,960 | 9,127 | 10,040 | 31,877 | 8,307 | 29,127 | 33,172 |
| Non-interest expense | |||||||
| Salaries and employee benefits | 10,691 | 10,680 | 11,078 | 11,630 | 9,637 | 32,449 | 27,251 |
| Occupancy and equipment | 3,562 | 3,648 | 3,713 | 4,128 | 3,264 | 10,923 | 9,036 |
| Data processing expense | 1,185 | 1,137 | 1,285 | 972 | 848 | 3,607 | 2,664 |
| Other operating expenses | 8,298 | 8,391 | 7,785 | 9,432 | 7,545 | 24,474 | 19,888 |
| Total non-interest expense | 23,736 | 23,856 | 23,861 | 26,162 | 21,294 | 71,453 | 58,839 |
| Income (loss) before income taxes | 21,936 | 20,970 | 19,456 | (23,908) | 14,166 | 62,362 | 47,520 |
| Income tax expense (benefit) | 7,624 | 7,424 | 6,740 | (10,101) | 4,606 | 21,788 | 16,122 |
| Net income (loss) | 14,312 | 13,546 | 12,716 | (13,807) | 9,560 | 40,574 | 31,398 |
|
Preferred stock dividends & accretion of discount on preferred stock |
488 | 670 | 670 | 670 | 670 | 1,828 | 2,010 |
|
Net income (loss) available to common shareholders |
$ 13,824 | $ 12,876 | $ 12,046 | $ (14,477) | $ 8,890 | $ 38,746 | $ 29,388 |
| Home BancShares, Inc. | |||||||
| Selected Financial Information | |||||||
| (Unaudited) | |||||||
| Quarter Ended | Nine Months Ended | ||||||
| (Dollars and shares in thousands, | Sept. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sept. 30, | Sept. 30, | Sept. 30, |
| except per share data) | 2011 | 2011 | 2011 | 2010 | 2010 | 2011 | 2010 |
| PER SHARE DATA | |||||||
| Diluted earnings (loss) per common share | $ 0.48 | $ 0.45 | $ 0.42 | $ (0.51) | $ 0.31 | $ 1.35 | $ 1.03 |
|
Diluted earnings (loss) per common share excluding intangible amortization |
0.50 | 0.46 | 0.44 | (0.49) | 0.33 | 1.40 | 1.07 |
| Basic earnings (loss) per common share | 0.48 | 0.46 | 0.42 | (0.51) | 0.32 | 1.36 | 1.04 |
| Dividends per share - common | 0.0800 | 0.0540 | 0.0540 | 0.0540 | 0.0540 | 0.1880 | 0.1625 |
| Book value per common share | 16.39 | 15.96 | 15.41 | 15.02 | 15.79 | 16.39 | 15.79 |
| Tangible book value per common share | 13.95 | 13.52 | 12.93 | 12.52 | 13.40 | 13.95 | 13.40 |
| STOCK INFORMATION | |||||||
| Average common shares outstanding | 28,434 | 28,491 | 28,469 | 28,443 | 28,403 | 28,464 | 28,334 |
| Average diluted shares outstanding | 28,633 | 28,690 | 28,672 | 28,659 | 28,644 | 28,665 | 28,580 |
| End of period common shares outstanding | 28,259 | 28,496 | 28,483 | 28,452 | 28,434 | 28,259 | 28,434 |
| ANNUALIZED PERFORMANCE RATIOS | |||||||
| Return on average assets | 1.56% | 1.47% | 1.40% | -1.45% | 1.15% | 1.48% | 1.38% |
|
Return on average assets excluding intangible amortization |
1.64% | 1.54% | 1.47% | -1.43% | 1.22% | 1.55% | 1.46% |
| Return on average common equity | 12.00% | 11.64% | 11.35% | -12.77% | 7.81% | 11.67% | 9.06% |
|
Return on average tangible common equity excluding intangible amortization |
14.59% | 14.28% | 14.07% | -14.64% | 9.55% | 14.32% | 10.92% |
| Efficiency ratio | 49.23% | 50.39% | 50.68% | 38.27% | 52.14% | 50.09% | 47.82% |
| Core efficiency ratio | 49.31% | 49.39% | 51.19% | 52.24% | 47.20% | 49.95% | 48.58% |
| Net interest margin - FTE | 4.75% | 4.69% | 4.61% | 4.19% | 4.35% | 4.68% | 4.30% |
| Fully taxable equivalent adjustment | 1,112 | 1,117 | 1,108 | 950 | 1,084 | 3,337 | 3,201 |
| EARNINGS (LOSS) EXCLUDING | |||||||
| INTANGIBLE AMORTIZATION | |||||||
|
GAAP net income (loss) available to common shareholders |
$ 13,824 | $ 12,876 | $ 12,046 | $ (14,477) | $ 8,890 | $ 38,746 | $ 29,388 |
| Intangible amortization after-tax | 429 | 428 | 433 | 501 | 410 | 1,290 | 1,055 |
| Earnings (loss) excluding intangible amortization | $ 14,253 | $ 13,304 | $ 12,479 | $ (13,976) | $ 9,300 | $ 40,036 | $ 30,443 |
| GAAP diluted earnings (loss) per share | $ 0.48 | $ 0.45 | $ 0.42 | $ (0.51) | $ 0.31 | $ 1.35 | $ 1.03 |
| Intangible amortization after-tax | 0.02 | 0.01 | 0.02 | 0.02 | 0.02 | 0.05 | 0.04 |
|
Diluted earnings (loss) per share excluding intangible amortization |
$ 0.50 | $ 0.46 | $ 0.44 | $ (0.49) | $ 0.33 | $ 1.40 | $ 1.07 |
| OTHER OPERATING EXPENSES | |||||||
| Advertising | $ 1,033 | $ 1,015 | $ 998 | $ 682 | $ 532 | $ 3,046 | $ 1,351 |
| Merger and acquisition expenses | -- | -- | 11 | 2,195 | 1,653 | 11 | 2,970 |
| Amortization of intangibles | 705 | 704 | 713 | 825 | 674 | 2,122 | 1,736 |
| Amortization of mortgage servicing rights | -- | -- | -- | -- | -- | -- | 436 |
| Electronic banking expense | 682 | 697 | 659 | 506 | 495 | 2,038 | 1,468 |
| Directors' fees | 230 | 179 | 185 | 177 | 176 | 594 | 502 |
| Due from bank service charges | 119 | 119 | 140 | 104 | 142 | 378 | 335 |
| FDIC and state assessment | 1,062 | 1,058 | 1,093 | 884 | 908 | 3,213 | 2,792 |
| Insurance | 447 | 408 | 371 | 315 | 309 | 1,226 | 905 |
| Legal and accounting | 367 | 462 | 447 | 450 | 426 | 1,276 | 1,170 |
| Mortgage servicing expense | -- | -- | -- | (6) | 4 | -- | 164 |
| Other professional fees | 522 | 569 | 413 | 460 | 385 | 1,504 | 1,066 |
| Operating supplies | 260 | 322 | 289 | 270 | 226 | 871 | 619 |
| Postage | 243 | 242 | 245 | 194 | 167 | 730 | 481 |
| Telephone | 234 | 259 | 263 | 294 | 240 | 756 | 530 |
| Other expense | 2,394 | 2,357 | 1,958 | 2,082 | 1,208 | 6,709 | 3,363 |
| Total other operating expenses | $ 8,298 | $ 8,391 | $ 7,785 | $ 9,432 | $ 7,545 | $ 24,474 | $ 19,888 |
| Home BancShares, Inc. | |||||
| Selected Financial Information | |||||
| (Unaudited) | |||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | |
| (Dollars in thousands) | 2011 | 2011 | 2011 | 2010 | 2010 |
| BALANCE SHEET RATIOS | |||||
| Total loans to total deposits | 81.03% | 81.42% | 82.80% | 83.33% | 92.16% |
| Common equity to assets | 12.8% | 12.3% | 11.8% | 11.4% | 13.2% |
| Tangible common equity to tangible assets | 11.1% | 10.6% | 10.1% | 9.7% | 11.5% |
| ALLOWANCE FOR LOAN LOSSES | |||||
| Balance, beginning of period | $ 56,784 | $ 53,591 | $ 53,348 | $ 43,784 | $ 43,614 |
| Loans charged off | 6,370 | 1,560 | 1,622 | 53,634 | 3,047 |
| Recoveries of loans previously charged off | 4,094 | 4,753 | 615 | 198 | 217 |
| Net loans charged off | 2,276 | (3,193) | 1,007 | 53,436 | 2,830 |
| Provision for loan losses | -- | -- | 1,250 | 63,000 | 3,000 |
| Balance, end of period | $ 54,508 | $ 56,784 | $ 53,591 | $ 53,348 | $ 43,784 |
| Net charge-offs to average non-covered loans | 0.50% | -0.70% | 0.22% | 10.84% | 0.57% |
| Allowance for loan losses to total non-covered loans | 2.98% | 3.13% | 2.90% | 2.82% | 2.24% |
| NON-PERFORMING ASSETS | |||||
| NOT COVERED BY LOSS SHARE | |||||
| Non-performing non-covered loans | |||||
| Non-accrual non-covered loans | $ 25,373 | $ 29,773 | $ 33,524 | $ 48,924 | $ 41,412 |
| Non-covered loans past due 90 days or more | 2,481 | 1,456 | 9 | 578 | 162 |
| Total non-performing non-covered loans | 27,854 | 31,229 | 33,533 | 49,502 | 41,574 |
| Other non-performing non-covered assets | |||||
| Non-covered foreclosed assets held for sale, net | 16,541 | 19,855 | 17,877 | 11,626 | 12,695 |
| Other non-performing non-covered assets | 222 | 9 | 15 | 77 | 87 |
| Total other non-performing non-covered assets | 16,763 | 19,864 | 17,892 | 11,703 | 12,782 |
| Total non-performing non-covered assets | $ 44,617 | $ 51,093 | $ 51,425 | $ 61,205 | $ 54,356 |
|
Allowance for loan losses to non-performing non-covered loans |
195.69% | 181.83% | 159.82% | 107.77% | 105.32% |
|
Non-performing non-covered loans to total non-covered loans |
1.53% | 1.72% | 1.81% | 2.62% | 2.13% |
|
Non-performing non-covered assets to total non-covered assets |
1.55% | 1.75% | 1.78% | 2.08% | 1.95% |
| Home BancShares, Inc. | |||||
| Loan Information | |||||
| (Unaudited) | |||||
| Sep. 30, | Jun. 30, | Mar. 31, | Dec. 31, | Sep. 30, | |
| (Dollars in thousands) | 2011 | 2011 | 2011 | 2010 | 2010 |
| LOANS NOT COVERED BY LOSS SHARE | |||||
| Real estate | |||||
| Commercial real estate loans | |||||
| Non-farm/non-residential | $ 744,749 | $ 754,251 | $ 787,069 | $ 805,635 | $ 824,041 |
| Construction/land development | 366,926 | 363,310 | 351,704 | 348,768 | 366,302 |
| Agricultural | 26,683 | 26,826 | 25,760 | 26,798 | 27,019 |
| Residential real estate loans | |||||
| Residential 1-4 family | 353,110 | 348,402 | 359,714 | 371,381 | 377,843 |
| Multifamily residential | 59,974 | 48,803 | 55,987 | 59,319 | 59,032 |
| Total real estate | 1,551,442 | 1,541,592 | 1,580,234 | 1,611,901 | 1,654,237 |
| Consumer | 40,225 | 42,662 | 44,117 | 51,642 | 35,729 |
| Commercial and industrial | 170,695 | 173,285 | 175,969 | 184,014 | 215,245 |
| Agricultural | 35,238 | 25,929 | 18,746 | 16,549 | 23,177 |
| Other | 28,773 | 29,250 | 30,236 | 28,268 | 26,875 |
| Loans receivable not covered by loss share | $ 1,826,373 | $ 1,812,718 | $ 1,849,302 | $ 1,892,374 | $ 1,955,263 |
| LOANS COVERED BY LOSS SHARE | |||||
| Real estate | |||||
| Commercial real estate loans | |||||
| Non-farm/non-residential | $ 189,558 | $ 198,005 | $ 204,882 | $ 208,678 | $ 142,571 |
| Construction/land development | 117,143 | 128,015 | 129,562 | 127,340 | 111,850 |
| Agricultural | 3,413 | 4,108 | 5,808 | 5,454 | 1,805 |
| Residential real estate loans | |||||
| Residential 1-4 family | 158,701 | 166,136 | 171,281 | 180,914 | 110,271 |
| Multifamily residential | 9,010 | 9,113 | 9,173 | 9,176 | 12,014 |
| Total real estate | 477,825 | 505,377 | 520,706 | 531,562 | 378,511 |
| Consumer | 454 | 510 | 548 | 498 | 215 |
| Commercial and industrial | 32,183 | 41,423 | 44,038 | 42,443 | 29,136 |
| Agricultural | -- | -- | -- | 63 | 1 |
| Other | 864 | 926 | 1,171 | 1,210 | 376 |
| Loans receivable covered by loss share | $ 511,326 | $ 548,236 | $ 566,463 | $ 575,776 | $ 408,239 |
| Home BancShares, Inc. | ||||||
| Consolidated Net Interest Margin | ||||||
| (Unaudited) | ||||||
| Three Months Ended | ||||||
| September 30, 2011 | June 30, 2011 | |||||
| Average | Income/ | Yield/ | Average | Income/ | Yield/ | |
| (Dollars in thousands) | Balance | Expense | Rate | Balance | Expense | Rate |
| ASSETS | ||||||
| Earning assets | ||||||
| Interest-bearing balances due from banks | $ 147,296 | $ 84 | 0.23% | $ 234,497 | $ 142 | 0.24% |
| Federal funds sold | 1,895 | 1 | 0.21% | 2,030 | 1 | 0.20% |
| Investment securities - taxable | 431,913 | 2,429 | 2.23% | 374,163 | 2,204 | 2.36% |
| Investment securities - non-taxable - FTE | 148,995 | 2,506 | 6.67% | 148,566 | 2,500 | 6.75% |
| Loans receivable - FTE | 2,346,663 | 39,351 | 6.65% | 2,391,825 | 39,850 | 6.68% |
| Total interest-earning assets | 3,076,762 | 44,371 | 5.72% | 3,151,081 | 44,697 | 5.69% |
| Non-earning assets | 551,584 | 552,445 | ||||
| Total assets | $ 3,628,346 | $ 3,703,526 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
| Liabilities | ||||||
| Interest-bearing liabilities | ||||||
| Savings and interest-bearing transaction accounts | $ 1,126,746 | $ 1,214 | 0.43% | $ 1,127,525 | $ 1,384 | 0.49% |
| Time deposits | 1,288,919 | 4,424 | 1.36% | 1,348,513 | 4,602 | 1.37% |
| Total interest-bearing deposits | 2,415,665 | 5,638 | 0.93% | 2,476,038 | 5,986 | 0.97% |
| Federal funds purchased | -- | -- | 0.00% | -- | -- | 0.00% |
| Securities sold under agreement to repurchase | 66,562 | 120 | 0.72% | 68,235 | 125 | 0.73% |
| FHLB borrowed funds | 148,641 | 1,250 | 3.34% | 150,154 | 1,227 | 3.28% |
| Subordinated debentures | 44,331 | 539 | 4.82% | 44,331 | 543 | 4.91% |
| Total interest-bearing liabilities | 2,675,199 | 7,547 | 1.12% | 2,738,758 | 7,881 | 1.15% |
| Non-interest bearing liabilities | ||||||
| Non-interest bearing deposits | 464,760 | 441,371 | ||||
| Other liabilities | 28,823 | 30,256 | ||||
| Total liabilities | 3,168,782 | 3,210,385 | ||||
| Shareholders' equity | 459,564 | 493,141 | ||||
| Total liabilities and shareholders' equity | $ 3,628,346 | $ 3,703,526 | ||||
| Net interest spread | 4.60% | 4.54% | ||||
| Net interest income and margin - FTE | $ 36,824 | 4.75% | $ 36,816 | 4.69% | ||
| Home BancShares, Inc. | ||||||
| Consolidated Net Interest Margin | ||||||
| (Unaudited) | ||||||
| Nine Months Ended | ||||||
| September 30, 2011 | September 30, 2010 | |||||
| Average | Income/ | Yield/ | Average | Income/ | Yield/ | |
| (Dollars in thousands) | Balance | Expense | Rate | Balance | Expense | Rate |
| ASSETS | ||||||
| Earning assets | ||||||
| Interest-bearing balances due from banks | $ 188,456 | $ 331 | 0.23% | $ 153,071 | $ 258 | 0.23% |
| Federal funds sold | 6,735 | 9 | 0.18% | 12,835 | 13 | 0.14% |
| Investment securities - taxable | 382,011 | 6,793 | 2.38% | 207,867 | 5,364 | 3.45% |
| Investment securities - non-taxable - FTE | 150,587 | 7,480 | 6.64% | 140,301 | 7,228 | 6.89% |
| Loans receivable - FTE | 2,392,102 | 118,318 | 6.61% | 2,167,223 | 99,119 | 6.11% |
| Total interest-earning assets | 3,119,891 | 132,931 | 5.70% | 2,681,297 | 111,982 | 5.58% |
| Non-earning assets | 555,009 | 358,047 | ||||
| Total assets | $ 3,674,900 | $ 3,039,344 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
| Liabilities | ||||||
| Interest-bearing liabilities | ||||||
| Savings and interest-bearing transaction accounts | $ 1,120,279 | $ 4,045 | 0.48% | $ 837,181 | $ 3,777 | 0.60% |
| Time deposits | 1,346,247 | 13,839 | 1.37% | 1,027,432 | 13,709 | 1.78% |
| Total interest-bearing deposits | 2,466,526 | 17,884 | 0.97% | 1,864,613 | 17,486 | 1.25% |
| Federal funds purchased | -- | -- | 0.00% | 25 | -- | 0.00% |
| Securities sold under agreement to repurchase | 68,601 | 384 | 0.75% | 61,428 | 349 | 0.76% |
| FHLB borrowed funds | 152,619 | 3,768 | 3.30% | 234,152 | 6,113 | 3.49% |
| Subordinated debentures | 44,331 | 1,620 | 4.89% | 47,181 | 1,796 | 5.09% |
| Total interest-bearing liabilities | 2,732,077 | 23,656 | 1.16% | 2,207,399 | 25,744 | 1.56% |
| Non-interest bearing liabilities | ||||||
| Non-interest bearing deposits | 437,964 | 330,238 | ||||
| Other liabilities | 27,385 | 18,650 | ||||
| Total liabilities | 3,197,426 | 2,556,287 | ||||
| Shareholders' equity | 477,474 | 483,057 | ||||
| Total liabilities and shareholders' equity | $ 3,674,900 | $ 3,039,344 | ||||
| Net interest spread | 4.54% | 4.02% | ||||
| Net interest income and margin - FTE | $ 109,275 | 4.68% | $ 86,238 | 4.30% | ||
CONTACT: Brian S. Davis
Chief Accounting Officer &
Investor Relations Officer
Home BancShares, Inc.
(501) 328-4770