DANVILLE, VA--(Marketwired - Oct 17, 2013) - American National Bankshares Inc. (
- Q3 net income of $4.2 million and diluted EPS of $0.54
- Net interest margin of 4.06% for Q3 2013
- Nonperforming assets 0.67% of total assets
- Tangible common equity to tangible assets 9.62%
American National Bankshares Inc. (
Net income for the first nine months of 2013 was $12,604,000 compared to $12,088,000 for the comparable period of 2012, a $516,000 or 4.3% increase. Diluted earnings per share were $1.60 for the 2013 period compared to $1.54 for the 2012 period.
Earnings for the 2013 and 2012 periods were favorably impacted by the July 2011 merger between American National and MidCarolina Financial Corporation ("MidCarolina").
Financial Performance and Overview
Jeffrey V. Haley, President and Chief Executive Officer, reported, "We are pleased that over the past year our loan portfolio has seen growth. This is the third consecutive quarter that our loan portfolio has grown, albeit modest growth. The growth was noteworthy because this is the first time since the July 2011 merger with MidCarolina that we've been able to report year-over-year loan growth. The bank's loan growth was driven by its North Carolina market.
"At September 30, 2013, American National had $798,996,000 in loans compared to $797,818,000 at September 30, 2012, an increase of $1,178,000 or 0.15%.
"At September 30, 2013, American National had $1,071,083,000 in deposits compared to $1,052,427,000 at September 30, 2012, an increase of $18,656,000 or 1.8%. This growth is concentrated in transaction accounts, which we consider core deposits. The struggle in this ongoing low, but likely transitioning, rate environment is to continue to grow core deposits, but do it in a cost effective and competitive manner. Our cost of deposits for the third quarter 2013 was 0.64%, down from 0.81% for the third quarter 2012.
"On the income statement side, our earnings for the third quarter were strong at $4,243,000. This is up $604,000 or 16.6% from the same quarter of 2012. On a diluted per share basis, earnings were $0.54 per share for the 2013 quarter compared to $0.46 per share for the 2012 quarter.
"The impact of the fair value accounting from the MidCarolina merger continues to be favorable and significant. We had a pretax benefit of $1,522,000 for the third quarter of 2013, compared to $1,281,000 for the third quarter of 2012. Accretion during the 2013 quarter was favorably impacted by $400,000 in recoveries of loans charged off by MidCarolina prior to the merger. Looking forward, we expect the merger benefit will continue to accrete rapidly to income.
"There was no provision for loan loss expense for the 2013 quarter, which is $333,000 lower than the comparable 2012 quarter. The need for provision expense has been positively impacted by continued improvement in asset quality and significant loan recoveries.
"In noninterest expense, our costs improved $425,000 compared to the comparable quarter of 2012. We realized substantial savings from reductions in full time equivalent employees, which are down 28 (8.8%) over the past year. These reductions were mostly the result of retirements and normal attrition."
Haley concluded, "We are pleased with our third quarter earnings and we are very pleased with the beginning of year-over-year growth in our primary earning asset, loans. As we move to the final quarter of 2013 and look forward to 2014, we continue to focus on our strategic priorities of credit quality with growth."
Capital
American National's capital ratios remain strong and exceed all regulatory requirements.
Average shareholders' equity was 12.48% of average assets at September 30, 2013, compared to 12.32% at September 30, 2012.
Book value per common share was $21.03 at September 30, 2013, compared to $20.66 at September 30, 2012.
Tangible book value per common share was $15.63 at September 30, 2013, compared to $15.03 at September 30, 2012.
Tangible common equity to tangible assets was 9.62% at September 30, 2013, compared to 9.35% at September 30, 2012.
Credit Quality Measurements
Non-performing assets, consisting of $4,647,000 of non-performing loans and $4,215,000 of foreclosed real estate, represented 0.67% of total assets at September 30, 2013, compared to 1.08% at September 30, 2012.
Annualized net charge-offs for the third quarter of 2013 were zero basis points (0.00%) of average loans, compared to net charge-offs of 22 basis points (0.22%) for the third quarter of 2012.
Annualized net (recoveries) charge-offs for the nine-month period ended September 30, 2013, were (0.05%) compared to 0.05% for the comparable period for 2012.
Net Interest Income
Net interest income before provision for loan losses decreased to $11,493,000 in the third quarter of 2013 from $11,500,000 in third quarter of 2012, a decrease of $7,000.
For the 2013 quarter, the net interest margin was 4.06% compared to 4.14% for the same quarter in 2012, a decrease of eight basis points (0.08%).
The small decline in net interest income and net interest margin was driven by falling yields on earning assets and lower levels of average outstanding loan balances. It was partially mitigated by higher accretion income and reduced cost of interest bearing liabilities.
Provision expense
Provision expense for the third quarter of 2013 was zero compared to $333,000 for the third quarter of 2012.
The allowance for loan losses as a percentage of total loans was 1.59% at September 30, 2013, compared to 1.50% at September 30, 2012.
Noninterest Income
Noninterest income totaled $2,767,000 in the third quarter of 2013, compared with $2,690,000 in the third quarter of 2012, an increase of $77,000 or 2.9%.
A variety of factors impacted noninterest income during the quarter. Increased trust income was offset by declines in mortgage banking income. Service charge income increased moderately during the quarter.
Noninterest Expense
Noninterest expense totaled $8,455,000 in the third quarter of 2013, compared to $8,880,000 in the third quarter of 2012, a decrease of $425,000 or 4.8%.
For the 2013 quarter compared to the 2012 quarter, there were significant cost reductions in personnel expense. Full time equivalent employees were reduced by 28 (8.8%) over the past year through a combination of retirements and normal attrition.
About American National
American National Bankshares Inc. is a multi-state bank holding company with total assets of approximately $1.3 billion. Headquartered in Danville, Virginia, American National is the parent company of American National Bank and Trust Company. American National Bank is a community bank serving southern and central Virginia and north central North Carolina with 25 banking offices and two loan production offices. American National Bank and Trust Company also manages an additional $607 million of trust, investment and brokerage assets in its Trust and Investment Services Division. Additional information about the company and the bank is available on the bank's website at www.amnb.com.
Shares of American National are traded on the NASDAQ Global Select Market under the symbol "AMNB."
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of federal securities laws. Certain of the statements involve significant risks and uncertainties. The statements herein are based on certain assumptions and analyses by American National and are factors it believes are appropriate in the circumstances. Actual results could differ materially from those contained in or implied by such statements for a variety of reasons including, but not limited to: changes in interest rates; changes in accounting principles, policies or guidelines; significant changes in the economic scenario; significant changes in regulatory requirements; significant changes in securities markets; and changes regarding acquisitions and dispositions. Consequently, all forward-looking statements made herein are qualified by these cautionary statements and the cautionary language in American National's most recent Form 10-K report and other documents filed with the Securities and Exchange Commission. American National Bankshares Inc. does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.
| American National Bankshares Inc. and Subsidiaries | ||||||||||
| Consolidated Balance Sheets | ||||||||||
| (Dollars in thousands, except share and per share data) | ||||||||||
| Unaudited | ||||||||||
| September 30 | ||||||||||
| ASSETS | 2013 | 2012 | ||||||||
| Cash and due from banks | $ | 24,071 | $ | 25,740 | ||||||
| Interest-bearing deposits in other banks | 54,198 | 41,900 | ||||||||
| Securities available for sale, at fair value | 347,618 | 327,994 | ||||||||
| Restricted stock, at cost | 4,885 | 5,284 | ||||||||
| Loans held for sale | 3,919 | 8,118 | ||||||||
| Loans | 798,996 | 797,818 | ||||||||
| Less allowance for loan losses | (12,684 | ) | (11,998 | ) | ||||||
| Net Loans | 786,312 | 785,820 | ||||||||
| Premises and equipment, net | 23,982 | 24,885 | ||||||||
| Other real estate owned, net | 4,215 | 6,259 | ||||||||
| Goodwill | 39,043 | 39,043 | ||||||||
| Core deposit intangibles, net | 3,489 | 5,081 | ||||||||
| Bank owned life insurance | 14,597 | 14,137 | ||||||||
| Accrued interest receivable and other assets | 17,856 | 21,446 | ||||||||
| Total assets | $ | 1,324,185 | $ | 1,305,707 | ||||||
| Liabilities | ||||||||||
| Demand deposits -- noninterest-bearing | $ | 231,583 | $ | 215,012 | ||||||
| Demand deposits -- interest-bearing | 170,641 | 152,706 | ||||||||
| Money market deposits | 181,559 | 164,266 | ||||||||
| Savings deposits | 85,016 | 78,665 | ||||||||
| Time deposits | 402,284 | 441,778 | ||||||||
| Total deposits | 1,071,083 | 1,052,427 | ||||||||
| Customer repurchase agreements | 44,026 | 45,761 | ||||||||
| Long-term borrowings | 9,983 | 10,111 | ||||||||
| Trust preferred capital notes | 27,394 | 27,292 | ||||||||
| Accrued interest payable and other liabilities | 5,873 | 8,071 | ||||||||
| Total liabilities | 1,158,359 | 1,143,662 | ||||||||
| Shareholders' equity | ||||||||||
| Preferred stock, $5 par, 2,000,000 shares authorized, none outstanding | - | - | ||||||||
| Common stock, $1 par, 20,000,000 shares authorized, 7,886,476 shares outstanding at September 30, 2013 and 7,843,221 shares outstanding at September 30, 2012 and | 7,886 | 7,843 | ||||||||
| Capital in excess of par value | 57,905 | 57,045 | ||||||||
| Retained earnings | 97,762 | 88,478 | ||||||||
| Accumulated other comprehensive income, net | 2,273 | 8,679 | ||||||||
| Total shareholders' equity | 165,826 | 162,045 | ||||||||
| Total liabilities and shareholders' equity | $ | 1,324,185 | $ | 1,305,707 | ||||||
| American National Bankshares Inc. and Subsidiaries | |||||||||||||||
| Consolidated Statements of Income | |||||||||||||||
| (Dollars in thousands, except share and per share data) | |||||||||||||||
| Unaudited | |||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||
| September 30 | September 30 | ||||||||||||||
| 2013 | 2012 | 2013 | 2012 | ||||||||||||
| Interest and Dividend Income: | |||||||||||||||
| Interest and fees on loans | $ | 11,100 | $ | 11,421 | $ | 33,853 | $ | 37,224 | |||||||
| Interest and dividends on securities: | |||||||||||||||
| Taxable | 845 | 995 | 2,574 | 3,130 | |||||||||||
| Tax-exempt | 1,056 | 1,059 | 3,153 | 3,218 | |||||||||||
| Dividends | 67 | 52 | 176 | 155 | |||||||||||
| Other interest income | 38 | 19 | 106 | 47 | |||||||||||
| Total interest and dividend income | 13,106 | 13,546 | 39,862 | 43,774 | |||||||||||
| Interest Expense: | |||||||||||||||
| Interest on deposits | 1,338 | 1,725 | 4,143 | 5,291 | |||||||||||
| Interest on short-term borrowings | 3 | 33 | 38 | 127 | |||||||||||
| Interest on long-term borrowings | 82 | 84 | 246 | 252 | |||||||||||
| Interest on trust preferred capital notes | 190 | 204 | 567 | 616 | |||||||||||
| Total interest expense | 1,613 | 2,046 | 4,994 | 6,286 | |||||||||||
| Net Interest Income | 11,493 | 11,500 | 34,868 | 37,488 | |||||||||||
| Provision for loan losses | - | 333 | 294 | 1,799 | |||||||||||
| Net Interest Income After Provision for Loan Losses | 11,493 | 11,167 | 34,574 | 35,689 | |||||||||||
| Noninterest Income: | |||||||||||||||
| Trust fees | 1,077 | 926 | 2,609 | 2,774 | |||||||||||
| Service charges on deposit accounts | 452 | 414 | 1,290 | 1,315 | |||||||||||
| Other fees and commissions | 471 | 421 | 1,393 | 1,323 | |||||||||||
| Mortgage banking income | 464 | 615 | 1,713 | 1,665 | |||||||||||
| Securities gains, net | 4 | - | 203 | 160 | |||||||||||
| Other | 299 | 314 | 1,015 | 1,487 | |||||||||||
| Total noninterest income | 2,767 | 2,690 | 8,223 | 8,724 | |||||||||||
| Noninterest Expense: | |||||||||||||||
| Salaries | 3,610 | 3,933 | 10,552 | 11,853 | |||||||||||
| Employee benefits | 856 | 780 | 2,622 | 2,657 | |||||||||||
| Occupancy and equipment | 933 | 929 | 2,721 | 2,942 | |||||||||||
| FDIC assessment | 163 | 84 | 485 | 530 | |||||||||||
| Bank franchise tax | 187 | 173 | 559 | 538 | |||||||||||
| Core deposit intangible amortization | 330 | 421 | 1,171 | 1,514 | |||||||||||
| Foreclosed real estate, net | 245 | 412 | 681 | 430 | |||||||||||
| Other | 2,131 | 2,148 | 6,410 | 7,176 | |||||||||||
| Total noninterest expense | 8,455 | 8,880 | 25,201 | 27,640 | |||||||||||
| Income Before Income Taxes | 5,805 | 4,977 | 17,596 | 16,773 | |||||||||||
| Income Taxes | 1,562 | 1,338 | 4,992 | 4,685 | |||||||||||
| Net Income | $ | 4,243 | $ | 3,639 | $ | 12,604 | $ | 12,088 | |||||||
| Net Income Per Common Share: | |||||||||||||||
| Basic | $ | 0.54 | $ | 0.46 | $ | 1.60 | $ | 1.54 | |||||||
| Diluted | $ | 0.54 | $ | 0.46 | $ | 1.60 | $ | 1.54 | |||||||
| Average Common Shares Outstanding: | |||||||||||||||
| Basic | 7,877,901 | 7,838,314 | 7,867,835 | 7,830,928 | |||||||||||
| Diluted | 7,892,015 | 7,855,537 | 7,878,961 | 7,846,659 | |||||||||||
| Net Interest Income Analysis | ||||||||||||||||||||
| For the Three Months Ended September 30, 2013 and 2012 | ||||||||||||||||||||
| (in thousands, except rates) | ||||||||||||||||||||
| Interest | ||||||||||||||||||||
| Average Balance | Income/Expense | Yield/Rate | ||||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||
| Loans: | ||||||||||||||||||||
| Commercial | $ | 126,745 | $ | 126,701 | $ | 1,511 | $ | 1,598 | 4.73 | % | 5.00 | % | ||||||||
| Real estate | 663,539 | 676,905 | 9,517 | 9,743 | 5.74 | 5.76 | ||||||||||||||
| Consumer | 5,671 | 6,844 | 104 | 119 | 7.28 | 6.90 | ||||||||||||||
| Total loans | 795,955 | 810,450 | 11,132 | 11,460 | 5.59 | 5.65 | ||||||||||||||
| Securities: | ||||||||||||||||||||
| Federal agencies & GSEs | 55,543 | 36,181 | 126 | 118 | 0.91 | 1.30 | ||||||||||||||
| Mortgage-backed & CMOs | 72,505 | 92,708 | 322 | 472 | 1.78 | 2.04 | ||||||||||||||
| State and municipal | 195,673 | 180,820 | 1,945 | 1,933 | 3.98 | 4.28 | ||||||||||||||
| Other | 15,861 | 13,846 | 116 | 121 | 2.93 | 3.50 | ||||||||||||||
| Total securities | 339,582 | 323,555 | 2,509 | 2,644 | 2.96 | 3.27 | ||||||||||||||
| Deposits in other banks | 54,307 | 32,567 | 38 | 19 | 0.28 | 0.23 | ||||||||||||||
| Total interest-earning assets | 1,189,844 | 1,166,572 | 13,679 | 14,123 | 4.59 | 4.84 | ||||||||||||||
| Non-earning assets | 117,503 | 131,126 | ||||||||||||||||||
| Total assets | $ | 1,307,347 | $ | 1,297,698 | ||||||||||||||||
| Deposits: | ||||||||||||||||||||
| Demand | $ | 163,825 | $ | 144,284 | 25 | 44 | 0.06 | 0.12 | ||||||||||||
| Money market | 184,428 | 168,212 | 83 | 126 | 0.18 | 0.30 | ||||||||||||||
| Savings | 84,390 | 78,808 | 17 | 29 | 0.08 | 0.15 | ||||||||||||||
| Time | 401,662 | 448,598 | 1,213 | 1,526 | 1.20 | 1.35 | ||||||||||||||
| Total deposits | 834,305 | 839,902 | 1,338 | 1,725 | 0.64 | 0.81 | ||||||||||||||
| Customer repurchase agreements | 46,712 | 46,297 | 3 | 33 | 0.03 | 0.28 | ||||||||||||||
| Long-term borrowings | 37,388 | 37,413 | 272 | 288 | 2.91 | 3.08 | ||||||||||||||
| Total interest-bearing liabilities | 918,405 | 923,612 | 1,613 | 2,046 | 0.70 | 0.88 | ||||||||||||||
| Noninterest bearing demand deposits | 218,819 | 204,532 | ||||||||||||||||||
| Other liabilities | 6,993 | 9,686 | ||||||||||||||||||
| Shareholders' equity | 163,130 | 159,868 | ||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 1,307,347 | $ | 1,297,698 | ||||||||||||||||
| Interest rate spread | 3.89 | % | 3.96 | % | ||||||||||||||||
| Net interest margin | 4.06 | % | 4.14 | % | ||||||||||||||||
| Net interest income (taxable equivalent basis) | 12,066 | 12,077 | ||||||||||||||||||
| Less: Taxable equivalent adjustment | 573 | 577 | ||||||||||||||||||
| Net interest income | $ | 11,493 | $ | 11,500 | ||||||||||||||||
| Net Interest Income Analysis | ||||||||||||||||||||
| For the Nine Months Ended September 30, 2013 and 2012 | ||||||||||||||||||||
| (in thousands, except rates) | ||||||||||||||||||||
| Interest | ||||||||||||||||||||
| Average Balance | Income/Expense | Yield/Rate | ||||||||||||||||||
| 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||
| Loans: | ||||||||||||||||||||
| Commercial | $ | 127,592 | $ | 129,821 | $ | 4,706 | $ | 5,136 | 4.95 | % | 5.29 | % | ||||||||
| Real estate | 660,698 | 679,375 | 28,927 | 31,720 | 5.84 | 6.23 | ||||||||||||||
| Consumer | 5,955 | 9,060 | 316 | 485 | 7.12 | 7.16 | ||||||||||||||
| Total loans | 794,245 | 818,256 | 33,949 | 37,341 | 5.70 | 6.09 | ||||||||||||||
| Securities: | ||||||||||||||||||||
| Federal agencies & GSEs | 51,668 | 36,179 | 368 | 435 | 0.95 | 1.60 | ||||||||||||||
| Mortgage-backed & CMOs | 76,286 | 97,057 | 1,040 | 1,487 | 1.82 | 2.04 | ||||||||||||||
| State and municipal | 192,113 | 181,393 | 5,804 | 5,884 | 4.03 | 4.33 | ||||||||||||||
| Other | 13,718 | 11,598 | 306 | 332 | 2.97 | 3.82 | ||||||||||||||
| Total securities | 333,785 | 326,227 | 7,518 | 8,138 | 3.00 | 3.33 | ||||||||||||||
| Deposits in other banks | 51,650 | 27,291 | 106 | 47 | 0.28 | 0.23 | ||||||||||||||
| Total interest-earning assets | 1,179,680 | 1,171,774 | 41,573 | 45,526 | 4.70 | 5.18 | ||||||||||||||
| Non-earning assets | 122,390 | 134,330 | ||||||||||||||||||
| Total assets | $ | 1,302,070 | $ | 1,306,104 | ||||||||||||||||
| Deposits: | ||||||||||||||||||||
| Demand | $ | 160,858 | $ | 141,682 | 85 | 154 | 0.07 | 0.15 | ||||||||||||
| Money market | 175,486 | 175,497 | 254 | 414 | 0.19 | 0.32 | ||||||||||||||
| Savings | 83,859 | 77,977 | 54 | 88 | 0.09 | 0.15 | ||||||||||||||
| Time | 408,826 | 448,014 | 3,750 | 4,635 | 1.23 | 1.38 | ||||||||||||||
| Total deposits | 829,029 | 843,170 | 4,143 | 5,291 | 0.67 | 0.84 | ||||||||||||||
| Customer repurchase agreements | 48,016 | 47,419 | 38 | 125 | 0.11 | 0.35 | ||||||||||||||
| Other short-term borrowings | - | 662 | - | 2 | - | 0.40 | ||||||||||||||
| Long-term borrowings | 37,393 | 37,418 | 813 | 868 | 2.90 | 3.09 | ||||||||||||||
| Total interest-bearing liabilities | 914,438 | 928,669 | 4,994 | 6,286 | 0.73 | 0.90 | ||||||||||||||
| Noninterest bearing demand deposits | 216,594 | 210,932 | ||||||||||||||||||
| Other liabilities | 6,443 | 9,180 | ||||||||||||||||||
| Shareholders' equity | 164,595 | 157,323 | ||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 1,302,070 | $ | 1,306,104 | ||||||||||||||||
| Interest rate spread | 3.97 | % | 4.28 | % | ||||||||||||||||
| Net interest margin | 4.14 | % | 4.47 | % | ||||||||||||||||
| Net interest income (taxable equivalent basis) | 36,579 | 39,240 | ||||||||||||||||||
| Less: Taxable equivalent adjustment | 1,711 | 1,752 | ||||||||||||||||||
| Net interest income | $ | 34,868 | $ | 37,488 | ||||||||||||||||
| American National Bankshares Inc. and Subsidiaries | |||||||||||||||||||||
| Financial Highlights | |||||||||||||||||||||
| (In thousands, except share, ratio and nonfinancial data, unaudited) | |||||||||||||||||||||
| 3rd Qtr | 2nd Qtr | 3rd Qtr | YTD | YTD | |||||||||||||||||
| 2013 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||
| EARNINGS | |||||||||||||||||||||
| Interest income | $ | 13,106 | $ | 13,347 | $ | 13,546 | $ | 39,862 | $ | 43,774 | |||||||||||
| Interest expense | 1,613 | 1,654 | 2,046 | 4,994 | 6,286 | ||||||||||||||||
| Net interest income | 11,493 | 11,693 | 11,500 | 34,868 | 37,488 | ||||||||||||||||
| Provision for loan losses | - | - | 333 | 294 | 1,799 | ||||||||||||||||
| Noninterest income | 2,767 | 2,686 | 2,690 | 8,223 | 8,724 | ||||||||||||||||
| Noninterest expense | 8,455 | 8,428 | 8,880 | 25,201 | 27,640 | ||||||||||||||||
| Income taxes | 1,562 | 1,741 | 1,338 | 4,992 | 4,685 | ||||||||||||||||
| Net income | 4,243 | 4,210 | 3,639 | 12,604 | 12,088 | ||||||||||||||||
| PER COMMON SHARE | |||||||||||||||||||||
| Earnings per share - basic | $ | 0.54 | $ | 0.54 | $ | 0.46 | $ | 1.60 | $ | 1.54 | |||||||||||
| Earnings per share - diluted | 0.54 | 0.53 | 0.46 | 1.60 | 1.54 | ||||||||||||||||
| Cash dividends paid | 0.23 | 0.23 | 0.23 | 0.69 | 0.69 | ||||||||||||||||
| Book value per share | 21.03 | 20.70 | 20.66 | 21.03 | 20.66 | ||||||||||||||||
| Book value per share - tangible (a) | 15.63 | 15.25 | 15.03 | 15.63 | 15.03 | ||||||||||||||||
| Closing market price | 23.20 | 23.24 | 22.59 | 23.20 | 22.59 | ||||||||||||||||
| FINANCIAL RATIOS | |||||||||||||||||||||
| Return on average assets | 1.30 | % | 1.29 | % | 1.12 | % | 1.29 | % | 1.23 | % | |||||||||||
| Return on average equity | 10.40 | 10.14 | 9.11 | 10.21 | 10.24 | ||||||||||||||||
| Return on average tangible equity (b) | 14.90 | 14.66 | 13.69 | 14.76 | 15.65 | ||||||||||||||||
| Average equity to average assets | 12.48 | 12.76 | 12.32 | 12.64 | 12.05 | ||||||||||||||||
| Tangible equity to tangible assets (a) | 9.62 | 9.60 | 9.35 | 9.62 | 9.35 | ||||||||||||||||
| Net interest margin, taxable equivalent | 4.06 | 4.16 | 4.14 | 4.14 | 4.47 | ||||||||||||||||
| Efficiency ratio | 57.43 | 57.06 | 62.00 | 56.02 | 58.20 | ||||||||||||||||
| Effective tax rate | 26.91 | 29.26 | 26.88 | 28.37 | 27.93 | ||||||||||||||||
| PERIOD-END BALANCES | |||||||||||||||||||||
| Securities | $ | 352,502 | $ | 345,015 | $ | 333,278 | $ | 352,502 | $ | 333,278 | |||||||||||
| Loans held for sale | 3,919 | 4,098 | 8,118 | 3,919 | 8,118 | ||||||||||||||||
| Loans, net of unearned income | 798,996 | 794,045 | 797,818 | 798,996 | 797,818 | ||||||||||||||||
| Goodwill and other intangibles | 42,532 | 42,862 | 44,124 | 42,532 | 44,124 | ||||||||||||||||
| Assets | 1,324,185 | 1,294,017 | 1,305,707 | 1,324,185 | 1,305,707 | ||||||||||||||||
| Assets - tangible (a) | 1,281,653 | 1,251,155 | 1,261,583 | 1,281,653 | 1,261,583 | ||||||||||||||||
| Deposits | 1,071,083 | 1,046,394 | 1,052,427 | 1,071,083 | 1,052,427 | ||||||||||||||||
| Customer repurchase agreements | 44,026 | 41,972 | 45,761 | 44,026 | 45,761 | ||||||||||||||||
| Long-term borrowings | 37,377 | 37,383 | 37,403 | 37,377 | 37,403 | ||||||||||||||||
| Shareholders' equity | 165,826 | 162,936 | 162,045 | 165,826 | 162,045 | ||||||||||||||||
| Shareholders' equity - tangible (a) | 123,294 | 120,074 | 117,921 | 123,294 | 117,921 | ||||||||||||||||
| AVERAGE BALANCES | |||||||||||||||||||||
| Securities | $ | 339,582 | $ | 335,246 | $ | 323,555 | $ | 333,785 | $ | 326,227 | |||||||||||
| Loans held for sale | 5,109 | 4,181 | 8,237 | 6,053 | 6,525 | ||||||||||||||||
| Loans, net of unearned income | 790,846 | 791,292 | 802,213 | 788,192 | 811,731 | ||||||||||||||||
| Interest-earning assets | 1,189,844 | 1,177,536 | 1,166,572 | 1,179,680 | 1,171,774 | ||||||||||||||||
| Goodwill and other intangibles | 42,731 | 43,124 | 44,561 | 43,133 | 45,027 | ||||||||||||||||
| Assets | 1,307,347 | 1,302,491 | 1,297,698 | 1,302,070 | 1,306,104 | ||||||||||||||||
| Assets - tangible (a) | 1,264,616 | 1,259,367 | 1,253,137 | 1,258,937 | 1,261,077 | ||||||||||||||||
| Interest-bearing deposits | 834,305 | 828,844 | 839,902 | 829,029 | 843,170 | ||||||||||||||||
| Deposits | 1,053,124 | 1,045,444 | 1,044,434 | 1,045,623 | 1,054,102 | ||||||||||||||||
| Customer repurchase agreements | 46,712 | 47,081 | 46,297 | 48,016 | 47,419 | ||||||||||||||||
| Other short-term borrowings | - | - | - | - | 662 | ||||||||||||||||
| Long-term borrowings | 37,388 | 37,393 | 37,413 | 37,393 | 37,418 | ||||||||||||||||
| Shareholders' equity | 163,130 | 166,150 | 159,868 | 164,595 | 157,323 | ||||||||||||||||
| Shareholders' equity - tangible (a) | 120,399 | 123,026 | 115,307 | 121,462 | 112,296 | ||||||||||||||||
| American National Bankshares Inc. and Subsidiaries | ||||||||||||||||||||||
| Financial Highlights | ||||||||||||||||||||||
| (In thousands, except share, ratio and nonfinancial data, unaudited) | ||||||||||||||||||||||
| 3rd Qtr | 2nd Qtr | 3rd Qtr | YTD | YTD | ||||||||||||||||||
| 2013 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
| CAPITAL | ||||||||||||||||||||||
| Average shares outstanding - basic | 7,877,901 | 7,867,222 | 7,838,314 | 7,867,835 | 7,830,928 | |||||||||||||||||
| Average shares outstanding - diluted | 7,892,015 | 7,876,969 | 7,855,537 | 7,878,961 | 7,846,659 | |||||||||||||||||
| ALLOWANCE FOR LOAN LOSSES | ||||||||||||||||||||||
| Beginning balance | $ | 12,676 | $ | 12,528 | $ | 12,099 | $ | 12,118 | $ | 10,529 | ||||||||||||
| Provision for loan losses | - | - | 333 | 294 | 1,799 | |||||||||||||||||
| Charge-offs | (162 | ) | (180 | ) | (614 | ) | (629 | ) | (1,682 | ) | ||||||||||||
| Recoveries | 170 | 328 | 180 | 901 | 1,352 | |||||||||||||||||
| Ending balance | $ | 12,684 | $ | 12,676 | $ | 11,998 | $ | 12,684 | $ | 11,998 | ||||||||||||
| LOANS | ||||||||||||||||||||||
| Construction and land development | $ | 43,386 | $ | 44,029 | $ | 50,688 | $ | 43,386 | $ | 50,688 | ||||||||||||
| Commercial real estate | 361,968 | 354,323 | 356,692 | 361,968 | 356,692 | |||||||||||||||||
| Residential real estate | 173,695 | 168,965 | 162,404 | 173,695 | 162,404 | |||||||||||||||||
| Home equity | 89,154 | 89,688 | 95,008 | 89,154 | 95,008 | |||||||||||||||||
| Commercial and industrial | 124,504 | 130,721 | 126,339 | 124,504 | 126,339 | |||||||||||||||||
| Consumer | 6,289 | 6,319 | 6,687 | 6,289 | 6,687 | |||||||||||||||||
| Total | $ | 798,996 | $ | 794,045 | $ | 797,818 | $ | 798,996 | $ | 797,818 | ||||||||||||
| NONPERFORMING ASSETS AT PERIOD-END | ||||||||||||||||||||||
| Nonperforming loans: | ||||||||||||||||||||||
| 90 days past due and accruing | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||
| Nonaccrual | 4,647 | 5,828 | 7,815 | 4,647 | 7,815 | |||||||||||||||||
| Foreclosed real estate | 4,215 | 5,569 | 6,259 | 4,215 | 6,259 | |||||||||||||||||
| Nonperforming assets | $ | 8,862 | $ | 11,397 | $ | 14,074 | $ | 8,862 | $ | 14,074 | ||||||||||||
| ASSET QUALITY RATIOS | ||||||||||||||||||||||
| Allowance for loan losses to total loans | 1.59 | 1.60 | 1.50 | 1.59 | 1.50 | |||||||||||||||||
| Allowance for loan losses to nonperforming loans | 272.95 | 217.50 | 153.53 | 272.95 | 153.53 | |||||||||||||||||
| Nonperforming assets to total assets | 0.67 | 0.88 | 1.08 | 0.67 | 1.08 | |||||||||||||||||
| Nonperforming loans to total loans | 0.58 | 0.73 | 0.98 | 0.58 | 0.98 | |||||||||||||||||
| Annualized net charge-offs (recoveries) to average loans | 0.00 | % | (0.07 | )% | 0.22 | % | (0.05 | )% | 0.05 | % | ||||||||||||
| OTHER DATA | ||||||||||||||||||||||
| Fiduciary assets at period-end (c) | $ | 430,853 | $ | 417,861 | $ | 391,055 | $ | 430,853 | $ | 391,055 | ||||||||||||
| Retail brokerage assets at period-end (c) | $ | 175,856 | $ | 167,785 | $ | 154,632 | $ | 175,856 | $ | 154,632 | ||||||||||||
| Number full-time equivalent employees (d) | 290 | 292 | 318 | 290 | 318 | |||||||||||||||||
| Number of full service offices | 25 | 25 | 25 | 25 | 25 | |||||||||||||||||
| Number of loan production offices | 2 | 2 | 2 | 2 | 2 | |||||||||||||||||
| Number of ATM's | 31 | 31 | 31 | 31 | 31 | |||||||||||||||||
| Notes: | |
| (a) - Excludes goodwill and other intangible assets | |
| (b) - Excludes amortization expense, net of tax, of intangible assets | |
| (c) - Market value | |
| (d) - Average for quarter | |
| (e) - The efficiency ratio is calculated by dividing noninterest expense excluding gains or losses on the sale of OREO by net interest income including tax equivalent income on nontaxable loans and securities and excluding (a) gains or losses on securities and (b) gains or losses on sale of premises and equipment. | |