Exhibit 99.1

 

 

Investor Contact Information:

Anthony V. Cosentino

Executive Vice President and

Chief Financial Officer

Tony.Cosentino@YourStateBank.com

 

SB Financial Group, Inc. Announces First-Quarter 2015 Results

 

6.2% year-over-year loan growth and 53% year-over-year earnings growth

 

DEFIANCE, Ohio, April 27, 2015 -- SB Financial Group, Inc. (NASDAQ: SBFG) (“SB Financial” or the “Company”), a diversified financial services company providing full-service community banking, mortgage banking, wealth management and item processing services, today reported earnings for the first quarter ended March 31, 2015.

 

First-quarter highlights include:

 

●

Net income of $1.5 million for the first quarter represented a 52.7 percent increase over the prior year first quarter

 

●

Loan growth up $29.9 million, or 6.2 percent, from the prior year

 

●

Fully tax equivalent (FTE) revenue up 23.2 percent from the prior year

 

●

Net interest margin (FTE) of 3.71 percent for the quarter was up 25 basis points from the prior year

 

●

Asset quality remained strong for the quarter, with the nonperforming asset ratio at 0.86 percent at March 31, 2015

 

●

Positive operating leverage for the Company, as expenses were up 9.3 percent from the prior year

 

Highlights*		Three Months Ended
(in $000’s except ratios and per share data)		Mar. 2015				Mar. 2014				% Change
Operating revenue (FTE)		$	9,221			$	7,482				23.2	%
Interest income (FTE)			6,268				5,839				7.4
Interest expense			643				916				(29.8	)
Net interest income (FTE)			5,625				4,923				14.3
Noninterest income			3,596				2,559				40.5
Noninterest expense			6,644				6,079				9.3
Net income			1,496				980				52.7
Earnings per diluted share			0.23				0.20				15.0
Net interest margin (FTE)			3.71	%			3.46	%			7.2
Return on assets			0.84	%			0.61	%			37.7
Return on equity			7.82	%			6.88	%			13.7

*Consolidated earnings for SB Financial include the results of the Company’s Banking Group, consisting primarily of The State Bank and Trust Company (“State Bank” or the “Bank”), and the Company’s data services subsidiary, Rurbanc Data Services, Inc. (dba RDSI Banking Systems) (“RDSI”).

 

“We are pleased with our solid first-quarter results,” said Mark Klein, President and Chief Executive Officer of SB Financial. “We are especially pleased with our revenue growth for the quarter, which outpaced expense growth by 2.5 times.”

 

 

Klein continued, “Our mortgage volume of $75 million for the quarter exceeded our expectations, and our secondary market sales for the quarter were the highest since the second quarter of 2013. Our gains in Small Business Administration (SBA) loan sales this quarter resulted from our concentrated calling efforts over the past year. In addition to our robust financial results, we opened our 17^th banking center on March 23, 2015, in Findlay, Ohio.”

 

RESULTS OF OPERATIONS

 

Consolidated Revenue

 

Total revenue, consisting of net interest income on a fully tax equivalent (FTE) basis and noninterest income, was up 23.2 percent from the first quarter of 2014, and up 5.2 percent from the linked quarter.

 

●

Net interest income (FTE) was up 14.3 percent for the first quarter, and up 0.5 percent compared to the linked quarter.

 

●

Net interest margin (FTE) was up 25 basis points for the first quarter, but down 2 basis points from the linked quarter.

 

●

Net interest margin was impacted by the payoff of our fixed rate trust preferred securities late in the third quarter of 2014. For the first quarter, this early payoff increased margin by 18 basis points.

 

●

Noninterest income was up 40.5 percent for the first quarter, and up 13.7 percent from the linked quarter.

 

Mortgage Loan Business

 

Mortgage loan originations for the first quarter of 2015 were $75.0 million, up $41.4 million, or 123.1 percent, from the year-ago first quarter.

 

Net mortgage banking income, consisting of gains on the sale of mortgage loans and net loan servicing fees, was $1.46 million for the first quarter of 2015, compared to $0.82 million for the year-ago quarter. The mortgage servicing valuation adjustment for the first-quarter 2015 was a negative $0.08 million. Our servicing valuation impairment ended the quarter at $0.49 million. The mortgage servicing portfolio at March 31, 2015, was $687.4 million, up $77.9 million, or 12.8 percent, from $609.4 million at March 31, 2014.

 

Mr. Klein noted, “Our mortgage origination and sales volumes for the quarter increased substantially from the prior year. We experienced a higher level of refinance volume this quarter, 25 percent of total volume, as the sustained low rates impacted customer behavior. Further, we are pleased by the immediate impact that our new Findlay team had in our success this quarter. The mortgage pipeline in all of our markets remains quite strong.”

 

Mortgage Banking ($000’s)
		Mar. 2015				Dec. 2014				Sep. 2014				Jun. 2014				Mar. 2014
Mortgage originations		$	74,955			$	52,058			$	67,502			$	66,563			$	33,602
Mortgage sales			64,360				43,542				60,982				49,091				27,961
Mortgage servicing portfolio			687,361				665,710				649,669				627,215				609,419
Mortgage servicing rights			5,860				5,704				5,720				5,375				5,228
Mortgage servicing revenue:
Loan servicing fees			420				410				400				387				380
OMSR amortization			(282	)			(174	)			(175	)			(147	)			(117	)
Net administrative fees			138				236				225				240				263
OMSR valuation adjustment			(80	)			(193	)			62				(83	)			(18	)
Net loan servicing fees			58				43				287				156				245
Gain on sale of mortgages			1,400				1,003				1,442				1,211				572
Mortgage banking revenue, net			1,458				1,046			$	1,729			$	1,368			$	817

 

 

Fee Income and Noninterest Expense

 

SB Financial’s fee income includes revenue from a diverse group of services, such as wealth management, deposit fees and income from bank-owned life insurance. Wealth management assets under management stood at $332.0 million as of March 31, 2015. For the first quarter of 2015, fee income as a percentage of total revenue was 39.4 percent, up from the prior year level of 34.7 percent.

 

For the first quarter of 2015, noninterest expense (NIE) was up $0.6 million, or 9.3 percent, compared to the first quarter of 2014. Compared to the linked quarter, NIE was up $0.3 million or 4.4 percent. The growth in expenses resulted from increased mortgage and SBA commissions and higher marketing costs related to customer and account acquisitions.

 

“Our fee income continues to be a competitive strength,” Mr. Klein stated. “Mortgage volume this quarter was enhanced by a number of SBA and Farm Service Agency (FSA) loan sale gains. We feel very confident about our SBA pipeline, as our lenders have been striving to find and deliver SBA qualified prospects. Wealth management put a number of structural changes in place over the past several months, and this line of business will be a key factor in our 2015 results.”

 

Fee Income / Noninterest Expense (000’s)
		Mar. 2015				Dec. 2014				Sep. 2014				Jun. 2014				Mar. 2014
Fee Income		$	3,596			$	3,164			$	3,809			$	3,295			$	2,559
Fee Income / Total Revenue			39.4	%			36.5	%			41.6	%			38.6	%			34.7	%
Fee Income / Average Assets			2.0	%			1.8	%			2.3	%			2.0	%			1.6	%
Noninterest Expense		$	6,644			$	6,364			$	6,888			$	6,627			$	6,079
Efficiency Ratio			72.2	%			72.8	%			74.6	%			76.0	%			80.6	%
NIE / Average Assets			3.7	%			3.7	%			4.1	%			4.0	%			3.8	%

 

Balance Sheet

 

Total assets as of March 31, 2015, were $717.6 million, up 11.0 percent from a year ago. Total equity as of March 31, 2015, was $77.1 million, up 34.2 percent from a year ago. Equity balances included the net impact of our capital raise completed in the fourth quarter of 2014, which added $14.0 million to total equity through the public offering of depository shares, each representing a 1/100^th interest in our 6.50 percent Noncumulative Convertible Preferred Shares, Series A.

 

Total loans held for investment were $511.8 million at March 31, 2015, up $29.9 million, or 6.2 percent, from March 31, 2014. Residential real estate loans accounted for the majority of growth, up $16.8 million, or 17.2 percent. Commercial real estate and agricultural loans rose $5.1 million, or 2.4 percent, and $5.2 million, or 13.4 percent, respectively.

 

The investment portfolio, including Federal Reserve Bank and Federal Home Loan Bank stock, of $97.8 million represented 13.6 percent of assets at March 31, 2015, and was up slightly from a year ago. Deposit balances of $578.3 million at March 31, 2015, increased by $27.4 million, or 5.0 percent since December 31, 2014. Growth from December 31, 2014, included $10.9 million in checking and $16.5 million in savings and time deposit balances.

 

 

Mr. Klein said, “We continued to see solid growth of loans and deposits in our markets with the improving economy. While we had some anticipated loan payoffs this quarter that held balances flat to the linked quarter, our pipeline is improving and we expect to show positive growth in the near term. Nonperforming assets were down from the prior year by 9.0 percent, and our 86 basis point level of nonperforming assets is certainly in the top quartile.”

 

Loan Portfolio ($000’s)		Mar. 2015				Dec. 2014				Sep. 2014				Jun. 2014				Mar. 2014				Variance YOY
Commercial		$	85,022			$	88,329			$	90,407			$	92,424			$	85,701			$	(679	)
% of Total			16.6	%			17.1	%			17.9	%			18.3	%			17.8	%			(0.8	%)
Commercial RE			217,610				217,030				212,964				215,824				212,502				5,108
% of Total			42.5	%			42.0	%			42.1	%			42.6	%			44.1	%			2.4	%
Agriculture			44,266				46,217				44,162				43,475				39,028				5,238
% of Total			8.7	%			9.0	%			8.7	%			8.6	%			8.1	%			13.4	%
Residential RE			114,702				113,214				107,712				105,054				97,857				16,845
% of Total			22.4	%			21.9	%			21.3	%			20.8	%			20.3	%			17.2	%
Consumer & Other			50,184				51,546				50,679				49,350				46,836				3,348
% of Total			9.8	%			10.0	%			10.0	%			9.7	%			9.7	%			7.2	%
Total Loans		$	511,784			$	516,336			$	505,924			$	506,127			$	481,924			$	29,860
Total Growth Percentage																							6.2	%

 

Deposit Bal. ($000’s)		Mar. 2015				Dec. 2014				Sep. 2014				Jun. 2014				Mar. 2014				Variance YOY
Non-Int DDA		$	96,638			$	97,853			$	90,261			$	87,706			$	84,265			$	12,373
% of Total			16.7	%			17.8	%			16.9	%			16.7	%			15.8	%			14.7	%
Interest DDA			133,145				121,043				119,805				116,765				126,520				6,625
% of Total			23.0	%			22.0	%			22.4	%			22.3	%			23.8	%			5.2	%
Savings			75,445				64,107				61,770				63,199				64,306				11,139
% of Total			13.1	%			11.6	%			11.5	%			12.1	%			12.1	%			17.3	%
Money Market			106,325				104,602				96,506				80,288				85,731				20,594
% of Total			18.4	%			19.0	%			18.0	%			15.3	%			16.1	%			24.0	%
Certificates			166,730				163,301				166,919				176,109				171,897				(5,167	)
% of Total			28.8	%			29.6	%			31.2	%			33.6	%			32.2	%			(3.0	%)
Total Deposits		$	578,283			$	550,906			$	535,261			$	524,067			$	532,719			$	45,564
Total Growth Percentage																							8.6	%

 

 

Asset Quality

 

SB Financial continues to maintain top-quartile asset quality, reporting nonperforming assets of $6.2 million as of March 31, 2015, down $0.6 million, or 9.3 percent, from the year-ago quarter. Already trending better than our peers’ key metrics, our 0.86 percent of nonperforming assets to total assets remains in the top quartile of our peer group. Our coverage of problem loans by the loan loss allowance was 114.3 percent at March 31, 2015, up from the 108.5 percent at March 31, 2014.

 

Summary of Nonperforming Assets ($000’s)
Nonperforming Loan Category		Mar. 2015				Dec. 2014				Sep. 2014				Jun. 2014				Mar. 2014
Commercial		$	1,413			$	1,566			$	1,397			$	1,485			$	1,818
% of Total Commercial loans			1.66	%			1.77	%			1.55	%			1.61	%			2.12	%
Commercial RE			1,932				2,092				616				699				753
% of Total CRE loans			0.89	%			0.96	%			0.29	%			0.32	%			0.35	%
Residential RE			967				992				1,015				1,534				1,555
% of Total Res. RE loans			0.84	%			0.88	%			0.94	%			1.46	%			1.59	%
Consumer & Other			138				138				174				288				280
% of Total Cons. & Other loans			0.27	%			0.27	%			0.34	%			0.58	%			0.60	%
Total Nonaccruing Loans			4,450				4,787				3,202				4,006				4,406
% of Total Loans			0.87	%			0.93	%			0.63	%			0.79	%			0.91	%
Accruing Restructured Loans			1,524				1,206				1,620				1,665				1,793
Total Nonaccruing & Restructured Loans		$	5,974			$	5,993			$	4,822			$	5,671			$	6,199
% of Total Loans			1.17	%			1.16	%			0.95	%			1.12	%			1.29	%
OREO & Repossessed Vehicles			207				285				540				516				615
Total Nonperforming Assets		$	6,181			$	6,278			$	5,362			$	6,187			$	6,814
% of Total Assets			0.86	%			0.92	%			0.81	%			0.93	%			1.05	%

 

Capitalization

 

Improving capital ratios remains an important focus of management. The tangible equity ratio improved by 20 basis points over the past year and stood at 6.6 percent as of March 31, 2015. All bank and holding company regulatory ratios remain in excess of "well-capitalized" levels. At March 31, 2015, SB Financial’s Total Risk-Based Capital was estimated to be $75.3 million, with a ratio level of 14.0 percent.

 

Webcast and Conference Call

 

The Company will hold a related conference call and webcast on April 28, 2015, at 3:00 p.m. EST. Interested parties may access the conference call by dialing 1-888-338-9469. The webcast can be accessed at http://www.yoursbfinancial.com/investorrelations.html. An audio replay of the call will be available on the SB Financial website.

 

About SB Financial Group

 

Headquartered in Defiance, Ohio, SB Financial is a diversified financial services holding company with two wholly-owned operating subsidiaries: State Bank and RDSI. State Bank provides a full range of financial services for consumers and small businesses, including wealth management, mortgage banking and commercial and agricultural lending, operating through 16 banking centers in eight northwestern Ohio counties and one center in Fort Wayne, Indiana, as well as two loan production offices located in Columbus, Ohio, and one in Angola, Indiana. RDSI provides item processing services to community banks located primarily in the Midwest. SB Financial’s common stock is listed on the NASDAQ Capital Market under the symbol “SBFG”.  SB Financial’s depository shares, each representing a 1/100^th interest in our preferred shares, Series A are listed on the NASDAQ Capital Market under the symbol “SBFGP”.  

 

 

Forward-Looking Statements

 

Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking industry, changes in economic conditions in the market areas in which SB Financial and its subsidiaries operate, changes in policies by regulatory agencies, changes in accounting standards and policies, changes in tax laws, fluctuations in interest rates, demand for loans in the market areas in SB Financial and its subsidiaries operate, increases in FDIC insurance premiums, changes in the competitive environment, losses of significant customers, geopolitical events, the loss of key personnel and other risks identified in SB Financial’s Annual Report on Form 10-K and documents subsequently filed by SB Financial with the Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made, and SB Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made, except as required by law. All subsequent written and oral forward-looking statements attributable to SB Financial or any person acting on its behalf are qualified by these cautionary statements.

 

Non-GAAP Financial Measures

 

In addition to results presented in accordance with GAAP, this release contains certain non-GAAP financial measures. Management believes that providing certain non-GAAP financial measures provides investors with information useful in understanding the Company’s financial performance, its performance trends and financial position. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results.

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED BALANCE SHEETS - (Unaudited)

 

		March				December				September				June				March
($ in Thousands)		2015				2014				2014				2014				2014
ASSETS
Cash and due from banks		$	49,765			$	28,197			$	21,870			$	13,778			$	14,860
Securities available for sale, at fair value			94,056				85,240				81,148				85,586				93,305
Other securities - FRB and FHLB Stock			3,748				3,748				3,748				3,748				3,748
Total investment securities			97,804				88,988				84,896				89,334				97,053
Loans held for sale			8,667				5,168				6,736				8,290				7,165
Loans, net of unearned income			511,784				516,336				505,924				506,127				481,924
Allowance for loan losses			(6,830	)			(6,771	)			(6,713	)			(6,568	)			(6,726	)
Net loans			504,954				509,565				499,211				499,559				475,198
Premises and equipment, net			15,407				13,604				13,256				13,281				13,414
Cash surrender value of life insurance			13,219				13,148				13,074				13,059				12,982
Goodwill			16,353				16,353				16,353				16,353				16,353
Core deposits and other intangibles			229				283				338				393				524
Foreclosed assets held for sale, net			207				285				540				516				615
Mortgage servicing rights			5,860				5,704				5,720				5,375				5,228
Accrued interest receivable			1,554				1,346				1,853				1,456				1,423
Other assets			3,536				1,587				709				1,106				1,487
Total assets		$	717,555			$	684,228			$	664,556			$	662,500			$	646,302
LIABILITIES AND EQUITY
Deposits
Non interest bearing demand		$	96,638			$	97,853			$	90,261			$	87,706			$	84,265
Interest bearing demand			133,145				121,043				119,805				116,765				126,520
Savings			75,445				64,107				61,770				63,199				64,306
Money market			106,325				104,602				96,506				80,288				85,731
Time deposits			166,730				163,301				166,919				176,109				171,897
Total deposits			578,283				550,906				535,261				524,067				532,719
Notes payable			-				-				7,000				-				-
Advances from Federal Home Loan Bank			30,000				30,000				30,000				37,000				14,000
Repurchase agreements			14,648				12,740				17,902				17,246				16,905
Trust preferred securities			10,310				10,310				10,310				20,620				20,620
Accrued interest payable			334				264				355				655				425
Other liabilities			6,880				4,325				3,462				3,902				4,198
Total liabilities			640,455				608,545				604,290				603,490				588,867
Equity
Preferred stock			13,983				13,983				-				-				-
Common stock			12,569				12,569				12,569				12,569				12,569
Additional paid-in capital			15,413				15,461				15,418				15,403				15,391
Retained earnings			35,429				34,379				33,075				31,757				30,708
Accumulated other comprehensive income			1,264				918				831				908				407
Treasury stock			(1,558	)			(1,627	)			(1,627	)			(1,627	)			(1,640	)
Total equity			77,100				75,683				60,266				59,010				57,435
Total liabilities and equity		$	717,555			$	684,228			$	664,556			$	662,500			$	646,302

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED STATEMENTS OF INCOME - (Unaudited)

 

($ in thousands, except share data)		Three Months Ended
		March				December				September				June				March
		2015				2014				2014				2014				2014
Interest income
Loans
Taxable		$	5,619			$	5,707			$	5,855			$	5,654			$	5,241
Nontaxable			6				6				9				13				16
Securities
Taxable			372				300				279				310				309
Nontaxable			177				177				178				179				175
Total interest income			6,174				6,190				6,321				6,156				5,741
Interest expense
Deposits			495				483				500				503				498
Repurchase Agreements & Other			5				53				23				4				11
Federal Home Loan Bank advances			92				95				94				71				74
Trust preferred securities			51				54				354				330				333
Total interest expense			643				685				971				908				916
Net interest income			5,531				5,505				5,350				5,248				4,825
Provision for loan losses			350				150				150				150				-
Net interest income after provision for loan losses			5,181				5,355				5,200				5,098				4,825
Noninterest income
Wealth Management Fees			659				679				670				649				632
Customer service fees			632				686				730				665				610
Gain on sale of mtg. loans & OMSR's			1,400				1,003				1,442				1,211				572
Mortgage loan servicing fees, net			58				43				287				156				245
Gain on sale of non-mortgage loans			254				143				71				84				23
Data service fees			317				324				337				322				306
Net gain on sales of securities			-				104				-				56				-
Gain/(loss) on sale/disposal of assets			(19	)			(15	)			(15	)			(15	)			(34	)
Other income			295				197				287				167				205
Total non-interest income			3,596				3,164				3,809				3,295				2,559
Noninterest expense
Salaries and employee benefits			3,477				3,179				3,435				3,451				3,120
Net occupancy expense			503				521				508				485				573
Equipment expense			565				625				616				645				639
Data processing fees			263				230				238				249				211
Professional fees			440				465				435				465				338
Marketing expense			149				166				105				170				123
Telephone and communication			90				91				94				107				112
Postage and delivery expense			234				197				195				187				204
State, local and other taxes			129				94				89				95				92
Employee expense			153				111				122				140				115
Intangible amortization expense			54				55				55				131				131
OREO Impairment			-				-				-				-				-
Other expenses			587				630				996				502				421
Total non-interest expense			6,644				6,364				6,888				6,627				6,079
Income before income tax expense			2,133				2,155				2,121				1,767				1,306
Income tax expense			637				631				607				521				326
Net income		$	1,496			$	1,524			$	1,513			$	1,246			$	980
Preferred Stock Dividends			225				-				-				-				-
Net income available to common			1,271				1,524				1,513				1,246				980
Common share data:
Basic earnings per common share		$	0.26			$	0.31			$	0.31			$	0.26			$	0.20
Diluted earnings per common share		$	0.23			$	0.30			$	0.31			$	0.25			$	0.20
Average shares outstanding ($ in thousands):
Basic:			4,879				4,875				4,875				4,874				4,871
Diluted:			6,379				5,044				4,900				4,893				4,894

 

 

SB FINANCIAL GROUP, INC.

CONSOLIDATED FINANCIAL HIGHLIGHTS - (Unaudited)

 

($ in thousands, except per share data)		At and for the Three Months Ended
		March				December				September				June				March
SUMMARY OF OPERATIONS		2015				2014				2014				2014				2014
Net interest income		$	5,531				5,505				5,350				5,248				4,825
Tax-equivalent adjustment		$	94				94				96				99				98
Tax-equivalent net interest income		$	5,625				5,599				5,446				5,347				4,923
Provision for loan loss		$	350				150				150				150				-
Noninterest income		$	3,596				3,164				3,809				3,295				2,559
Total revenue, tax-equivalent		$	9,221				8,763				9,255				8,642				7,482
Noninterest expense		$	6,644				6,364				6,888				6,627				6,079
Pre provision pretax income		$	2,483				2,305				2,271				1,917				1,306
Pretax income		$	2,133				2,155				2,121				1,767				1,306
Net income		$	1,496				1,524				1,513				1,246				980
Income available to common shareholders		$	1,271				1,524				1,513				1,246				980
PER SHARE INFORMATION:
Basic earnings per share		$	0.26				0.31				0.31				0.26				0.20
Diluted earnings per share		$	0.23				0.30				0.31				0.25				0.20
Common dividends		$	0.045				0.045				0.040				0.040				0.035
Book value per common share		$	12.18				11.96				12.36				12.10				11.78
Tangible book value per common share		$	9.53				9.24				8.94				8.67				8.32
Market price per common share		$	10.55				9.40				9.05				8.37				8.35
PERFORMANCE RATIOS:
Return on average assets			0.84	%			0.89	%			0.90	%			0.76	%			0.61	%
Return on average common equity			7.82	%			9.40	%			10.14	%			8.55	%			6.88	%
Return on avg. tangible common equity			13.03	%			13.03	%			14.09	%			12.01	%			9.89	%
Efficiency ratio			72.20	%			72.78	%			74.60	%			76.03	%			80.55	%
Earning asset yield			4.14	%			4.18	%			4.29	%			4.16	%			4.10	%
Cost of interest bearing liabilities			0.49	%			0.53	%			0.76	%			0.72	%			0.74	%
Net interest margin			3.64	%			3.66	%			3.58	%			3.53	%			3.39	%
Tax equivalent effect			0.07	%			0.07	%			0.06	%			0.07	%			0.07	%
Net interest margin - fully tax equivalent basis			3.71	%			3.73	%			3.64	%			3.60	%			3.46	%
ASSET QUALITY RATIOS:
Gross charge-offs		$	303				101				94				330				323
Recoveries		$	11				9				90				21				85
Net charge-offs		$	292				92				4				309				238
Nonaccruing loans/ Total loans			0.87	%			0.93	%			0.63	%			0.79	%			0.91	%
Nonperforming loans/ Total loans			1.17	%			1.16	%			0.95	%			1.12	%			1.29	%
Nonperforming assets/ Loans & OREO			1.21	%			1.22	%			1.06	%			1.22	%			1.41	%
Nonperforming assets/ Total assets			0.86	%			0.92	%			0.81	%			0.93	%			1.05	%
Allowance for loan loss/ Nonperforming loans			114.33	%			112.98	%			139.22	%			115.82	%			108.50	%
Allowance for loan loss/ Total loans			1.33	%			1.31	%			1.33	%			1.30	%			1.40	%
Net loan charge-offs/ Average loans (ann.)			0.23	%			0.07	%			N/M				0.25	%			0.20	%
Loan loss provision/ Net charge-offs			119.86	%			163.04	%			N/M				48.54	%			0.00	%
CAPITAL & LIQUIDITY RATIOS:
Loans/ Deposits			88.50	%			93.72	%			94.52	%			96.58	%			90.46	%
Equity/ Assets			10.74	%			11.06	%			9.07	%			8.91	%			8.89	%
Tangible equity/ Tangible assets			6.64	%			6.75	%			6.73	%			6.54	%			6.44	%
END OF PERIOD BALANCES
Total loans		$	511,784				516,336				505,924				506,127				481,924
Total assets		$	717,555				684,228				664,556				662,500				646,302
Deposits		$	578,283				550,906				535,261				524,067				532,719
Stockholders equity		$	77,100				75,683				60,266				59,010				57,435
Intangibles		$	16,582				16,636				16,691				16,746				16,877
Preferred equity		$	13,983				13,983				-				-				-
Tangible equity		$	46,535				45,064				43,575				42,264				40,558
Full-time equivalent employees			198				190				195				193				197
Period end basic shares outstanding			4,881				4,875				4,875				4,875				4,874
Period end outstanding (Series A Converted)			1,451				1,451				-				-				-
AVERAGE BALANCES
Total loans		$	516,004				516,517				512,151				500,167				476,553
Total earning assets		$	605,956				600,851				598,223				594,256				569,524
Total assets		$	711,100				687,674				673,213				658,108				646,864
Deposits		$	568,885				551,906				534,841				531,786				524,145
Stockholders equity		$	76,534				64,846				59,684				58,276				56,977
Intangibles		$	16,609				16,664				16,719				16,811				17,347
Preferred equity		$	13,983				1,398				-				-				-
Tangible equity		$	45,942				46,784				42,965				41,465				39,630
Average diluted shares outstanding			6,379				5,044				4,900				4,893				4,894

 

SB FINANCIAL GROUP, INC.

Rate Volume Analysis - (Unaudited)

For the Three Months Ended March 31, 2015 and 2014

 

($ in Thousands)		Three Months Ended March 31, 2015												Three Months Ended March 31, 2014
		Average								Average				Average								Average
		Balance				Interest				Rate				Balance				Interest				Rate
Assets
Taxable securities		$	71,884				372				2.07	%		$	75,686				309				1.63	%
Nontaxable securities			18,068				268				5.94	%			17,285				265				6.14	%
Federal funds sold			-				-				N/A				-				-				N/A
Loans, net			516,004				5,628				4.36	%			476,553				5,265				4.42	%
Total earning assets			605,956				6,268				4.14	%			569,524				5,839				4.10	%
Cash and due from banks			53,781												26,880
Allowance for loan losses			(6,845	)											(6,984	)
Premises and equipment			14,399												13,547
Other assets			43,809												43,897
Total assets		$	711,100											$	646,864
Liabilities
Savings and interest bearing demand		$	308,023				77				0.10	%		$	266,158				19				0.03	%
Time deposits			163,903				418				1.02	%			173,753				479				1.10	%
Repurchase agreements & Other			16,644				5				0.12	%			18,725				11				0.23	%
Advances from Federal Home Loan Bank			30,000				92				1.23	%			15,289				74				1.94	%
Trust preferred securities			10,310				51				1.98	%			20,620				333				6.46	%
Total interest bearing liabilities			528,880				643				0.49	%			494,545				916				0.74	%
Non interest bearing demand			96,959								0.41	%			84,234								0.63	%
Other liabilities			8,727												11,108
Total liabilities			634,566												589,887
Equity			76,534												56,977
Total liabilities and equity		$	711,100											$	646,864
Net interest income (tax equivalent basis)						$	5,625											$	4,923
Net interest income as a percent of average interest-earning assets											3.71	%											3.46	%

 

 

 

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