Document
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________________

FORM 8-K
___________________
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
Date of Report (Date of earliest event reported): October 25, 2018




Investar Holding Corporation
(Exact name of registrant as specified in its charter)


 
Louisiana
001-36522
27-1560715
(State or other jurisdiction
of incorporation)
(Commission
File Number)
(I.R.S. Employer
Identification No.)
 
 
7244 Perkins Road
Baton Rouge, Louisiana 70808
 
 
(Address of principal executive offices) (Zip Code)
 
 
Registrant’s telephone number, including area code: (225) 227-2222


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
þ
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company þ

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. þ





Item 2.02
Results of Operations and Financial Condition.
On October 25, 2018, Investar Holding Corporation issued a press release announcing its financial results for the quarter ended September 30, 2018. A copy of the press release is furnished as exhibit 99.1 to this Current Report on Form 8-K.
The information contained in Item 2.02, including Exhibit 99.1 of this Current Report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act except as shall be expressly set forth by specific reference in such a filing.
Item 8.01
Other Events
The only information contained in this Form 8-K being filed for the purposes of Rule 425 of the Securities Act is the information relating solely to the proposed merger between the Company’s wholly owned subsidiary, Investar Bank, and Mainland Bank, Texas City, Texas, contained in the press release furnished herewith as Exhibit 99.1.
 
Item 9.01
Financial Statements and Exhibits.
(d) Exhibits

Exhibit Number
 
Description of Exhibit
 
 
 
 









SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
 
 
 
 
 
 
 
INVESTAR HOLDING CORPORATION
 
 
 
 
Date: October 26, 2018
 
 
 
By:
 
/s/ John J. D’Angelo
 
 
 
 
 
 
John J. D’Angelo
 
 
 
 
 
 
President and Chief Executive Officer




Exhibit
Exhibit 99.1
For Immediate Release

Investar Holding Corporation Announces 2018 Third Quarter Results

BATON ROUGE, LA (October 25, 2018) – Investar Holding Corporation (NASDAQ: ISTR) (the “Company”), the holding company for Investar Bank (the “Bank”), today announced financial results for the quarter ended September 30, 2018. The Company reported record net income of $4.0 million, or $0.41 per diluted common share, for the third quarter of 2018, compared to $3.8 million, or $0.39 per diluted common share, for the quarter ended June 30, 2018, and $2.1 million, or $0.24 per diluted common share, for the quarter ended September 30, 2017.

On a non-GAAP basis, core earnings per diluted common share for the third quarter were $0.41 compared to $0.40 for the second quarter of 2018 and $0.29 for the quarter ended September 30, 2017, respectively. Core earnings exclude certain non-operating items including, but not limited to, acquisition expense, non-routine legal charges related to acquired loans, and severance (refer to the Reconciliation of Non-GAAP Financial Measures table for a reconciliation of GAAP to non-GAAP metrics).
Investar Holding Corporation President and Chief Executive Officer John D’Angelo said:
“I am pleased to announce another successful quarter for Investar, as we continue to demonstrate our emphasis on creating long-term shareholder value. Net income has grown 90% to a record $4.0 million compared to the same quarter last year. We experienced solid organic loan growth of 4.5% during the quarter and have grown loans 7.9% year to date. Earnings were impacted by approximately $34 million of loan originations booked in the last ten days of the quarter for which we recorded approximately $0.3 million of provision expense with minimal benefit to interest income. However, we believe the strong loan growth during the quarter positions us for earnings growth in future quarters.
After the end of the quarter, we announced a definitive agreement to acquire Mainland Bank which will expand our footprint into the greater Houston area. We are excited to be a regional bank and believe this acquisition complements our strategy of increasing market share through partnerships with organizations having strong core deposit funding, solid commercial banking and credit practices, and exemplary customer service. We are enthusiastic about this partnership and look forward to welcoming Mainland Bank’s customers, shareholders and employees to the Investar family.”
Third Quarter Highlights
Total revenues, or interest and noninterest income, for the quarter ended September 30, 2018 totaled $20.0 million, an increase of $0.8 million, or 4.1%, compared to the quarter ended June 30, 2018, and an increase of $4.4 million, or 28.1%, compared to the quarter ended September 30, 2017.
Total loans increased $58.1 million, or 4.5% (18% annualized), to $1.36 billion at September 30, 2018, compared to $1.30 billion at June 30, 2018, while total deposits increased $64.7 million, or 5.3% (21% annualized) to $1.30 billion at September 30, 2018, compared to $1.23 billion at June 30, 2018.
The business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was $484.7 million at September 30, 2018, an increase of $51.8 million, or 12.0%, compared to the business lending portfolio of $432.9 million at June 30, 2018, and an increase of $142.1 million, or 41.5%, compared to the business lending portfolio of $342.6 million at September 30, 2017.
Return on assets improved to 0.94% for the quarter ended September 30, 2018 compared to 0.93% for the quarter ended June 30, 2018 and 0.59% for the quarter ended September 30, 2017.
Efficiency ratio improved to 65.72% for the quarter ended September 30, 2018, compared to 71.80% for the quarter ended September 30, 2017.
The Company repurchased 42,767 shares of its common stock through its stock repurchase program at an average price of $27.09 during the quarter ended September 30, 2018.
On October 10, 2018, the Company announced that it has entered into a definitive agreement to acquire Mainland Bank, Texas City, Texas. Pursuant to the agreement, the shareholders of Mainland Bank will be entitled to receive an aggregate of approximately 764,000 shares of Company common stock, subject to certain adjustments. It is expected that shareholders of Mainland Bank will own approximately 7.4% of the combined company following the acquisition. The transaction is expected to close in the first quarter of 2019 and is subject to customary closing conditions, including approval of Mainland Bank’s shareholders and bank regulatory authorities.



Loans
Total loans were $1.36 billion at September 30, 2018, an increase of $58.1 million, or 4.5%, compared to June 30, 2018, and an increase of $247.9 million, or 22.3%, compared to September 30, 2017. Compared to the second quarter of 2018, we experienced the majority of our third quarter loan growth in the commercial real estate and commercial and industrial portfolios as we remain focused on relationship banking and growing our commercial loan portfolio. Loan balances after September 30, 2017 reflect our acquisition of BOJ Bancshares, Inc. (“BOJ”) which occurred on December 1, 2017.
The following table sets forth the composition of the total loan portfolio as of the dates indicated (dollars in thousands).
 
 
 
 
 
 
 
 
Linked Quarter Change
 
Year/Year Change
 
Percentage of Total Loans
 
 
9/30/2018
 
6/30/2018
 
9/30/2017
 
$
 
%
 
$
 
%
 
9/30/2018
 
9/30/2017
Mortgage loans on real estate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction and development
 
$
160,921

 
$
165,395

 
$
122,501

 
$
(4,474
)
 
(2.7
)%
 
$
38,420

 
31.4
 %
 
11.9
%
 
11.0
%
1-4 Family
 
286,976

 
280,335

 
252,003

 
6,641

 
2.4

 
34,973

 
13.9

 
21.1

 
22.7

Multifamily
 
50,770

 
48,838

 
50,770

 
1,932

 
4.0

 

 

 
3.7

 
4.6

Farmland
 
20,902

 
20,144

 
14,130

 
758

 
3.8

 
6,772

 
47.9

 
1.5

 
1.3

Commercial real estate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Owner-occupied
 
291,168

 
287,320

 
217,369

 
3,848

 
1.3

 
73,799

 
34.0

 
21.4

 
19.6

Nonowner-occupied
 
301,828

 
292,946

 
245,053

 
8,882

 
3.0

 
56,775

 
23.2

 
22.2

 
22.0

Commercial and industrial
 
193,563

 
145,554

 
125,230

 
48,009

 
33.0

 
68,333

 
54.6

 
14.3

 
11.3

Consumer
 
52,284

 
59,779

 
83,465

 
(7,495
)
 
(12.5
)
 
(31,181
)
 
(37.4
)
 
3.9

 
7.5

Total loans
 
$
1,358,412

 
$
1,300,311

 
$
1,110,521

 
$
58,101

 
4.5
 %
 
$
247,891

 
22.3
 %
 
100
%
 
100
%
At September 30, 2018, the Company’s total business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was $484.7 million, an increase of $51.8 million, or 12.0%, compared to the business lending portfolio of $432.9 million at June 30, 2018, and an increase of $142.1 million, or 41.5%, compared to the business lending portfolio of $342.6 million at September 30, 2017. The increase in the business lending portfolio is mainly attributable to the growth in commercial and industrial loans primarily resulting from increased production of our new Commercial and Industrial Division. At September 30, 2018, the business lending portfolio included $56.0 million of loans acquired from Citizens Bancshares, Inc. (“Citizens”) in July 2017 and BOJ in December 2017.
Construction and development loans were $160.9 million at September 30, 2018, a decrease of $4.5 million, or 2.7%, compared to $165.4 million at June 30, 2018, and an increase of $38.4 million, or 31.4%, compared to $122.5 million at September 30, 2017. The increase in the construction and development portfolio at September 30, 2018 compared to September 30, 2017 is primarily a result of organic growth in the Company’s Baton Rouge market where our lenders have extensive experience and long-standing relationships with local developers. At September 30, 2018, the construction and development portfolio included $19.8 million of loans acquired from Citizens in July 2017 and BOJ in December 2017.
Consumer loans, including indirect auto loans of $35.9 million, totaled $52.3 million at September 30, 2018, a decrease of $7.5 million, or 12.5%, compared to $59.8 million, including indirect auto loans of $42.1 million, at June 30, 2018, and a decrease of $31.2 million, or 37.4%, compared to $83.5 million, including indirect auto loans of $64.1 million, at September 30, 2017. The decrease in consumer loans is mainly attributable to the scheduled paydowns of this portfolio and is consistent with our business strategy.
Credit Quality
Nonperforming loans were $6.3 million, or 0.47% of total loans, at September 30, 2018, an increase of $2.1 million compared to $4.2 million, or 0.33% of total loans, at June 30, 2018, and an increase of $4.1 million compared to $2.2 million, or 0.20% of total loans, at September 30, 2017. Included in nonperforming loans are loans acquired in 2017 with a balance of $3.5 million at September 30, 2018, or 54% of nonperforming loans, which is the primary reason for the increase in nonperforming loans compared to September 30, 2017.
The allowance for loan losses was $9.0 million, or 142.16% and 0.66% of nonperforming and total loans, respectively, at September 30, 2018, compared to $8.5 million, or 199.04% and 0.65%, respectively, at June 30, 2018, and $7.6 million, or 541.62% and 0.77%, respectively, at September 30, 2017. As a result of the acquisitions of Citizens and BOJ in 2017, the Company is holding acquired loans that are carried net of a fair value adjustment for credit and interest rate marks and are only included in the allowance calculation to the extent that the reserve requirement exceeds the remaining fair value adjustment.



The provision for loan losses was $0.8 million for the quarter ended September 30, 2018 compared to $0.6 million and $0.4 million for the quarters ended June 30, 2018 and September 30, 2017, respectively. The increase in the provision for loan losses is mainly a result of organic loan growth.
Deposits
Total deposits at September 30, 2018 were $1.30 billion, an increase of $64.7 million, or 5.3%, compared to June 30, 2018, and an increase of $194.3 million, or 17.6%, compared to September 30, 2017.

The following table sets forth the composition of deposits as of the dates indicated (dollars in thousands).
 
 
 
 
 
 
 
 
Linked Quarter Change
 
Year/Year Change
 
Percentage of
Total Deposits
 
 
9/30/2018
 
6/30/2018
 
9/30/2017
 
$
 
%
 
$
 
%
 
9/30/2018
 
9/30/2017
Noninterest-bearing demand deposits
 
$
214,190

 
$
222,570

 
$
175,130

 
$
(8,380
)
 
(3.8
)%
 
$
39,060

 
22.3
%
 
16.5
%
 
15.9
%
NOW accounts
 
245,569

 
231,987

 
192,503

 
13,582

 
5.9

 
53,066

 
27.6

 
19.0

 
17.5

Money market deposit accounts
 
179,071

 
151,510

 
147,096

 
27,561

 
18.2

 
31,975

 
21.7

 
13.8

 
13.3

Savings accounts
 
112,078

 
117,649

 
103,017

 
(5,571
)
 
(4.7
)
 
9,061

 
8.8

 
8.7

 
9.4

Time deposits
 
544,713

 
507,214

 
483,616

 
37,499

 
7.4

 
61,097

 
12.6

 
42.0

 
43.9

Total deposits
 
$
1,295,621

 
$
1,230,930

 
$
1,101,362

 
$
64,691

 
5.3
 %
 
$
194,259

 
17.6
%
 
100.0
%
 
100.0
%
Net Interest Income
Net interest income for the third quarter of 2018 totaled $14.4 million, an increase of $0.1 million, or 0.5%, compared to the second quarter of 2018, and an increase of $2.8 million, or 24.7%, compared to the third quarter of 2017. Included in net interest income for the quarters ended September 30, 2018, June 30, 2018 and September 30, 2017 is $0.6 million, $0.5 million and $0.2 million, respectively, of interest income accretion from the acquisition of loans. Also included in net interest income for the quarter ended June 30, 2018 is an interest recovery of $0.2 million on an acquired loan.
The increase in net interest income in the third quarter of 2018 compared to the same quarter last year was primarily driven by growth in loan and securities balances partially offset by an increase in interest expense as we funded the increase in interest-earning assets with increased deposits and borrowings. Net interest income for the third quarter of 2018 increased $2.9 million and $1.4 million due to increases in the volume and yield, respectively, of interest-earning assets. These increases were slightly offset by increases in interest expense of $0.7 million and $0.8 million due to increases in the volume and cost, respectively, of interest-bearing liabilities compared to the second quarter of 2017.
The Company’s net interest margin was 3.56% for the quarter ended September 30, 2018 compared to 3.70% for the quarter ended June 30, 2018 and 3.40% for the quarter ended September 30, 2017. The yield on interest-earning assets was 4.65% for the quarters ended September 30, 2018 and June 30, 2018 compared to 4.26% for the quarter ended September 30, 2017. The increase in net interest margin at September 30, 2018 compared to September 30, 2017 was driven by an increase in interest-earning assets and the yields earned on those assets as well as interest accretion on acquired loans, partially offset by an increase in the cost of funds required to fund the increase in assets. The decrease in net interest margin for the third quarter of 2018 compared to the second quarter is a result of the increase in the cost of funds, as the yield on interest-earning assets remained constant.
Exclusive of the interest income accretion from the acquisition of loans, discussed above, as well as the $0.2 million interest recovery in the quarter ended June 30, 2018, net interest margin would have been 3.42% for the quarter ended September 30, 2018 compared to 3.51% for the quarter ended June 30, 2018 and 3.34% for the quarter ended September 30, 2017, while the yield on interest-earning assets would have been 4.51% at September 30, 2018 compared to 4.46% and 4.20% for the quarters ended June 30, 2018 and September 30, 2017, respectively.



The cost of deposits increased 17 basis points to 1.14% for the quarter ended September 30, 2018 compared to 0.97% for the quarter ended June 30, 2018 and increased 23 basis points compared to 0.91% at September 30, 2017. The increase in the cost of deposits compared to the quarters ended June 30, 2018 and September 30, 2017 reflects the increased rates offered for our interest-bearing demand deposits and time deposits to remain competitive in our market in a rising interest rate environment and attract new deposits. We also made the strategic decision to get ahead of the rising interest rate curve in future quarters and increased our deposit rates during the third quarter. We experienced significant deposit growth at these higher rates which contributed to the increase in the cost of deposits in the third quarter. The overall costs of funds for the quarter ended September 30, 2018 increased 15 and 29 basis points to 1.34% compared to 1.19% and 1.05% for the quarters ended June 30, 2018 and September 30, 2017, respectively. The increase in the cost of funds at September 30, 2018 compared to June 30, 2018 and September 30, 2017 is mainly a result of an increase in the cost of borrowed funds used to finance loan and investment activity.
Noninterest Income
Noninterest income for the third quarter of 2018 totaled $1.2 million, an increase of $24,000, or 2.0%, compared to the second quarter of 2018, and an increase of $50,000, or 4.3%, compared to the third quarter of 2017. The increase in noninterest income compared to the quarter ended June 30, 2018 is mainly attributable to an increase in service charges on deposit accounts partially offset by a decrease in servicing fees and fee income on serviced loans. The increase in noninterest income compared to the third quarter of 2017 is primarily a result of a $0.3 million increase in other operating income partially offset by decreases in gain on sale of fixed assets and servicing fees and fee income on serviced loans. Other operating income includes, among other things, interchange fees, various operations fees, and income recognized on certain equity method investments.
Noninterest Expense
Noninterest expense for the third quarter of 2018 totaled $10.3 million, an increase of $0.1 million, or 0.9%, compared to the second quarter of 2018, and an increase of $1.1 million, or 12.4%, compared to the third quarter of 2017. Noninterest expense for the quarter ended September 30, 2018 includes $0.3 million of severance expense recognized as part of a staffing optimization plan focused on the operations of our recent acquisitions.
The increase in noninterest expense compared to the third quarter of 2017 is primarily attributable to the $1.5 million and $0.3 million increases in salaries and employee benefits and other operating expenses, respectively, partially offset by a $0.8 million decrease in acquisition expense. The increase in salaries and employee benefits compared to the third quarter of 2017 is mainly attributable to the increase in employees from both the BOJ acquisition, which occurred on December 1, 2017, and the addition of our new Commercial and Industrial Division in January 2018, which includes five new lenders and related support staff. Full-time equivalent employees increased by 26, or 11%, at September 30, 2018 compared to September 30, 2017.
Taxes
The Company recorded income tax expense of $0.5 million for the quarter ended September 30, 2018, which equates to an effective tax rate of 11.3%, a decrease from the effective tax rates of 20.2% and 32.6% for the quarters ended June 30, 2018 and September 30, 2017, respectively. The decrease is primarily a result of the Tax Cuts and Jobs Act, which lowered the federal corporate income tax rate to 21% from 35%, effective January 1, 2018. The Company also recorded a discrete tax benefit of $0.3 million during the third quarter related to return-to-provision adjustments. Management expects the Company’s effective tax rate to approximate 20% for the remainder of 2018.
Basic Earnings Per Share and Diluted Earnings Per Common Share
The Company reported basic and diluted earnings per common share of $0.42 and $0.41, respectively, for the quarter ended September 30, 2018, an increase of $0.03 and $0.02 compared to basic and diluted earnings per common share of $0.39 for the quarter ended June 30, 2018 and an increase of $0.18 and $0.17 compared to basic and diluted earnings per common share of $0.24 for the quarter ended September 30, 2017, respectively.
About Investar Holding Corporation
Investar Holding Corporation, headquartered in Baton Rouge, Louisiana, provides full banking services, excluding trust services, through its wholly-owned banking subsidiary, Investar Bank, a state chartered bank. The Company’s primary market is South Louisiana and it currently operates 20 full service banking offices located throughout its market. At September 30, 2018, the Company had 253 full-time equivalent employees.



Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with generally accepted accounting principles in the United States of America, or GAAP. These measures and ratios include “tangible common equity,” “tangible assets,” “tangible equity to tangible assets,” “tangible book value per common share,” “core noninterest income,” “core earnings before noninterest expense,” “core noninterest expense,” “core earnings before income tax expense,” “core income tax expense,” “core earnings,” “core efficiency ratio,” “core return on average assets,” “core return on average equity,” “core basic earnings per share,” and “core diluted earnings per share.” Management believes these non-GAAP financial measures provide information useful to investors in understanding the Company’s financial results, and the Company believes that its presentation, together with the accompanying reconciliations, provide a more complete understanding of factors and trends affecting the Company’s business and allow investors to view performance in a manner similar to management, the entire financial services sector, bank stock analysts and bank regulators. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results, and the Company strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names. A reconciliation of the non-GAAP financial measures disclosed in this press release to the comparable GAAP financial measures is included at the end of the financial statement tables.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views with respect to, among other things, future events and financial performance. The Company generally identifies forward-looking statements by terminology such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” or the negative version of those words or other comparable words. Any forward-looking statements contained in this press release are based on the historical performance of the Company and its subsidiaries or on the Company’s current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the Company that the future plans, estimates or expectations by the Company will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to the Company’s operations, financial results, financial condition, business prospects, growth strategy and liquidity. If one or more of these or other risks or uncertainties materialize, or if the Company’s underlying assumptions prove to be incorrect, the Company’s actual results may vary materially from those indicated in these statements. The Company does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. These factors include, but are not limited to, the following, any one or more of which could materially affect the outcome of future events:

business and economic conditions generally and in the financial services industry in particular, whether nationally, regionally or in the markets in which we operate;
our ability to achieve organic loan and deposit growth, and the composition of that growth;
changes (or the lack of changes) in interest rates, yield curves and interest rate spread relationships that affect our loan and deposit pricing;
the extent of continuing client demand for the high level of personalized service that is a key element of our banking approach as well as our ability to execute our strategy generally;
our dependence on our management team, and our ability to attract and retain qualified personnel;
changes in the quality or composition of our loan or investment portfolios, including adverse developments in borrower industries or in the repayment ability of individual borrowers;
inaccuracy of the assumptions and estimates we make in establishing reserves for probable loan losses and other estimates;
the concentration of our business within our geographic areas of operation in Louisiana;
concentration of credit exposure; and
the satisfaction of the conditions to closing the pending acquisition of Mainland Bank and the ability to subsequently integrate it effectively.

These factors should not be construed as exhaustive. Additional information on these and other risk factors can be found in Item 1A. “Risk Factors” and in the “Special Note Regarding Forward-Looking Statements” in Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, filed with the Securities and Exchange Commission.
Additional Information for Investors and Shareholders
The information contained herein does not constitute an offer to sell or a solicitation of an offer to buy any securities or a solicitation of any vote or approval. In connection with the proposed acquisition of Mainland Bank, the Company will file a registration statement on Form S-4 with the Securities and Exchange Commission (the “SEC”). The registration statement will include a proxy statement of



Mainland Bank, and will constitute a prospectus of the Company, which Mainland Bank will send to its shareholders. Investors and shareholders are advised to read the proxy statement/prospectus when it becomes available because it will contain important information about the Company, the Bank, Mainland Bank and the proposed transactions.
When filed, these and other documents relating to the merger filed by the Company can be obtained free of charge from the SEC’s website at www.sec.gov. These documents also can be obtained free of charge by accessing the “Investor Relations” section of the Company’s website at www.investarbank.com. Alternatively, these documents, when available, can be obtained free of charge from the Company upon written request to: Attn: Investor Relations, Investar Holding Corporation, P.O. Box 84207, Baton Rouge, Louisiana 70884-4207, or by calling (225) 227-2222.
The Company, the Bank, Mainland Bank and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of Mainland Bank in connection with the proposed merger transaction. Information about the Company’s participants and their interests may be found in the definitive proxy statement of the Company relating to its 2018 Annual Meeting of Shareholders filed with the SEC on April 12, 2018. The definitive proxy statement can be obtained free of charge from the sources indicated above.
This press release shall not constitute an offer to sell, a solicitation of an offer to sell, or the solicitation or an offer to buy any securities. There will be no sale of securities in any jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirement of Section 10 of the Securities Act of 1933, as amended.


For further information contact:
Investar Holding Corporation                
Chris Hufft
Chief Financial Officer
(225) 227-2215
Chris.Hufft@investarbank.com



INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
As of and for the three months ended
 
 
9/30/2018
 
6/30/2018
 
9/30/2017
 
Linked Quarter
 
Year/Year
EARNINGS DATA
 
 
 
 
 
 
 
 
 
 
Total interest income
 
$
18,777

 
$
18,009

 
$
14,442

 
4.3
 %
 
30.0
 %
Total interest expense
 
4,392

 
3,689

 
2,904

 
19.1

 
51.2

Net interest income
 
14,385

 
14,320

 
11,538

 
0.5

 
24.7

Provision for loan losses
 
785

 
567

 
420

 
38.4

 
86.9

Total noninterest income
 
1,217

 
1,193

 
1,167

 
2.0

 
4.3

Total noninterest expense
 
10,254

 
10,160

 
9,122

 
0.9

 
12.4

Income before income taxes
 
4,563

 
4,786

 
3,163

 
(4.7
)
 
44.3

Income tax expense
 
516

 
966

 
1,032

 
(46.6
)
 
(50.0
)
Net income
 
$
4,047

 
$
3,820

 
$
2,131

 
5.9

 
89.9

 
 
 
 
 
 
 
 
 
 
 
AVERAGE BALANCE SHEET DATA
 
 
 
 
 
 
 
 
 
 
Total assets
 
$
1,705,733

 
$
1,655,709

 
$
1,437,929

 
3.0
 %
 
18.6
 %
Total interest-earning assets
 
1,603,711

 
1,553,813

 
1,346,455

 
3.2

 
19.1

Total loans
 
1,311,158

 
1,269,894

 
1,073,800

 
3.2

 
22.1

Total interest-bearing deposits
 
1,045,326

 
1,001,037

 
927,014

 
4.4

 
12.8

Total interest-bearing liabilities
 
1,301,248

 
1,247,695

 
1,101,112

 
4.3

 
18.2

Total deposits
 
1,260,913

 
1,223,441

 
1,100,226

 
3.1

 
14.6

Total stockholders’ equity
 
178,735

 
175,801

 
152,186

 
1.7

 
17.4

 
 
 
 
 
 
 
 
 
 
 
PER SHARE DATA
 
 
 
 
 
 
 
 
 
 
Earnings:
 
 
 
 
 
 
 
 
 
 
Basic earnings per share
 
$
0.42

 
$
0.39

 
$
0.24

 
7.7
 %
 
75.0
 %
Diluted earnings per share
 
0.41

 
0.39

 
0.24

 
5.1

 
70.8

Core Earnings(1):
 
 
 
 
 
 
 
 
 
 
Core basic earnings per share(1)
 
0.42

 
0.40

 
0.29

 
5.0

 
44.8

Core diluted earnings per share(1)
 
0.41

 
0.40

 
0.29

 
2.5

 
41.4

Book value per share
 
18.69

 
18.50

 
17.56

 
1.0

 
6.4

Tangible book value per share(1)
 
16.60

 
16.42

 
16.04

 
1.1

 
3.5

Common shares outstanding
 
9,545,701

 
9,581,034

 
8,704,562

 
(0.4
)
 
9.7

Weighted average common shares outstanding - basic
 
9,563,550

 
9,558,873

 
8,702,559

 

 
9.9

Weighted average common shares outstanding - diluted
 
9,682,880

 
9,648,021

 
8,797,517

 
0.4

 
10.1

 
 
 
 
 
 
 
 
 
 
 
PERFORMANCE RATIOS
 
 
 
 
 
 
 
 
 
 
Return on average assets
 
0.94
%
 
0.93
%
 
0.59
%
 
1.1
 %
 
59.3
 %
Core return on average assets(1)
 
0.93

 
0.94

 
0.70

 
(1.1
)
 
32.9

Return on average equity
 
8.98

 
8.72

 
5.55

 
3.0

 
61.8

Core return on average equity(1)
 
8.88

 
8.85

 
6.61

 
0.3

 
34.3

Net interest margin
 
3.56

 
3.70

 
3.40

 
(3.8
)
 
4.7

Net interest income to average assets
 
3.35

 
3.47

 
3.18

 
(3.5
)
 
5.3

Noninterest expense to average assets
 
2.39

 
2.46

 
2.52

 
(2.8
)
 
(5.2
)
Efficiency ratio(2)
 
65.72

 
65.49

 
71.80

 
0.4

 
(8.5
)
Core efficiency ratio(1)
 
63.94

 
64.99

 
66.49

 
(1.6
)
 
(3.8
)
Dividend payout ratio
 
10.63

 
10.01

 
12.26

 
6.2

 
(13.3
)
Net charge-offs to average loans
 
0.02

 
0.02

 
0.01

 

 
100.0


 

 

 

 

 

(1) Non-GAAP financial measure. See reconciliation.
(2) Efficiency ratio represents noninterest expenses divided by the sum of net interest income (before provision for loan losses) and noninterest income.




INVESTAR HOLDING CORPORATION
SUMMARY FINANCIAL INFORMATION
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
As of and for the three months ended
 
 
9/30/2018
 
6/30/2018
 
9/30/2017
 
Linked Quarter
 
Year/Year
ASSET QUALITY RATIOS
 
 
 
 
 
 
 
 
 
 
Nonperforming assets to total assets
 
0.61
%
 
0.50
%
 
0.41
%
 
22.0
 %
 
48.8
 %
Nonperforming loans to total loans
 
0.47

 
0.33

 
0.20

 
42.4

 
135.0

Allowance for loan losses to total loans
 
0.66

 
0.65

 
0.77

 
1.5

 
(14.3
)
Allowance for loan losses to nonperforming loans
 
142.16

 
199.04

 
541.62

 
(28.6
)
 
(73.8
)
 
 
 
 
 
 
 
 
 
 
 
CAPITAL RATIOS
 
 
 
 
 
 
 
 
 
 
Investar Holding Corporation:
 
 
 
 
 
 
 
 
 
 
Total equity to total assets
 
10.28
%
 
10.44
%
 
10.35
%
 
(1.5
)%
 
(0.7
)%
Tangible equity to tangible assets(1)
 
9.24

 
9.38

 
9.54

 
(1.5
)
 
(3.1
)
Tier 1 leverage ratio
 
10.08

 
10.22

 
10.13

 
(1.4
)
 
(0.5
)
Common equity tier 1 capital ratio(2)
 
11.43

 
11.64

 
11.86

 
(1.8
)
 
(3.6
)
Tier 1 capital ratio(2)
 
11.88

 
12.11

 
12.15

 
(1.9
)
 
(2.2
)
Total capital ratio(2)
 
13.79

 
14.04

 
14.32

 
(1.8
)
 
(3.7
)
Investar Bank:
 
 
 
 
 
 
 
 
 
 
Tier 1 leverage ratio
 
10.98

 
11.14

 
11.21

 
(1.4
)
 
(2.1
)
Common equity tier 1 capital ratio(2)
 
12.96

 
13.21

 
13.46

 
(1.9
)
 
(3.7
)
Tier 1 capital ratio(2)
 
12.96

 
13.21

 
13.46

 
(1.9
)
 
(3.7
)
Total capital ratio(2)
 
13.59

 
13.82

 
14.10

 
(1.7
)
 
(3.6
)
 
 
 
 
 
 
 
 
 
 
 
(1) Non-GAAP financial measure. See reconciliation.
(2) Estimated for September 30, 2018.




INVESTAR HOLDING CORPORATION
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
September 30, 2018
 
June 30, 2018
 
September 30, 2017
ASSETS
 
 
 
 
 
 
Cash and due from banks
 
$
21,151

 
$
21,338

 
$
17,942

Interest-bearing balances due from other banks
 
3,352

 
13,483

 
30,566

Federal funds sold
 
285

 
10

 

Cash and cash equivalents
 
24,788

 
34,831

 
48,508

 
 
 
 
 
 
 
Available for sale securities at fair value (amortized cost of $238,443, $247,317, and $228,980, respectively)
 
230,747

 
241,587

 
227,562

Held to maturity securities at amortized cost (estimated fair value of $16,691, $17,064, and $19,311, respectively)
 
17,030

 
17,299

 
19,306

Loans, net of allowance for loan losses of $9,021, $8,451, and $7,605, respectively
 
1,349,391

 
1,291,860

 
1,102,916

Other equity securities
 
12,671

 
13,095

 
7,744

Bank premises and equipment, net of accumulated depreciation of $9,332, $8,805, and $7,362, respectively
 
39,831

 
39,253

 
33,705

Other real estate owned, net
 
4,227

 
4,225

 
3,830

Accrued interest receivable
 
5,073

 
4,842

 
4,147

Deferred tax asset
 
1,768

 
1,429

 
2,604

Goodwill and other intangible assets, net
 
19,902

 
19,952

 
13,271

Bank-owned life insurance
 
23,702

 
23,543

 
8,140

Other assets
 
6,185

 
5,555

 
4,690

Total assets
 
$
1,735,315

 
$
1,697,471

 
$
1,476,423

 
 
 
 
 
 
 
LIABILITIES
 
 
 
 
 
 
Deposits
 
 
 
 
 
 
Noninterest-bearing
 
$
214,190

 
$
222,570

 
$
175,130

Interest-bearing
 
1,081,431

 
1,008,360

 
926,232

Total deposits
 
1,295,621

 
1,230,930

 
1,101,362

Advances from Federal Home Loan Bank
 
208,083

 
237,075

 
162,700

Repurchase agreements
 
17,931

 
16,752

 
24,892

Subordinated debt
 
18,203

 
18,191

 
18,157

Junior subordinated debt
 
5,832

 
5,819

 
3,609

Accrued taxes and other liabilities
 
11,238

 
11,474

 
12,827

Total liabilities
 
1,556,908

 
1,520,241

 
1,323,547

 
 
 
 
 
 
 
STOCKHOLDERS’ EQUITY
 
 
 
 
 
 
Preferred stock, no par value per share; 5,000,000 shares authorized
 

 

 

Common stock, $1.00 par value per share; 40,000,000 shares authorized; 9,545,701, 9,581,034, and 8,704,562 shares outstanding, respectively
 
9,546

 
9,581

 
8,705

Surplus
 
131,333

 
132,166

 
113,458

Retained earnings
 
42,868

 
39,258

 
31,508

Accumulated other comprehensive loss
 
(5,340
)
 
(3,775
)
 
(795
)
Total stockholders’ equity
 
178,407

 
177,230

 
152,876

   Total liabilities and stockholders’ equity
 
$
1,735,315

 
$
1,697,471

 
$
1,476,423




INVESTAR HOLDING CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in thousands, except share data)
(Unaudited)

 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
For the nine months ended
 
 
September 30, 2018
 
June 30, 2018
 
September 30, 2017
 
September 30, 2018
 
September 30, 2017
INTEREST INCOME
 
 
 
 
 
 
 
 
 
 
Interest and fees on loans
 
$
16,905

 
$
16,223

 
$
12,893

 
$
48,754

 
$
33,456

Interest on investment securities
 
1,710

 
1,644

 
1,399

 
4,813

 
3,627

Other interest income
 
162

 
142

 
150

 
397

 
296

Total interest income
 
18,777

 
18,009

 
14,442

 
53,964

 
37,379

 
 
 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
 
 
Interest on deposits
 
2,994

 
2,426

 
2,137

 
7,673

 
5,817

Interest on borrowings
 
1,398

 
1,263

 
767

 
3,728

 
1,862

Total interest expense
 
4,392

 
3,689

 
2,904

 
11,401

 
7,679

Net interest income
 
14,385

 
14,320

 
11,538

 
42,563

 
29,700

 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
 
785

 
567

 
420

 
1,977

 
1,145

Net interest income after provision for loan losses
 
13,600

 
13,753

 
11,118

 
40,586

 
28,555

 
 
 
 
 
 
 
 
 
 
 
NONINTEREST INCOME
 
 
 
 
 
 
 
 
 
 
Service charges on deposit accounts
 
368

 
327

 
281

 
1,054

 
474

Gain on sale of investment securities, net
 
15

 
22

 
27

 
37

 
242

Gain (loss) on sale of fixed assets, net
 
9

 
(1
)
 
160

 
98

 
184

(Loss) gain on sale of other real estate owned, net
 

 
(4
)
 
37

 
(4
)
 
32

Servicing fees and fee income on serviced loans
 
232

 
253

 
352

 
773

 
1,153

Other operating income
 
593

 
596

 
310

 
1,524

 
768

Total noninterest income
 
1,217

 
1,193

 
1,167

 
3,482

 
2,853

Income before noninterest expense
 
14,817

 
14,946

 
12,285

 
44,068

 
31,408

 
 
 
 
 
 
 
 
 
 
 
NONINTEREST EXPENSE
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization
 
644

 
629

 
542

 
1,871

 
1,309

Salaries and employee benefits
 
6,646

 
6,495

 
5,136

 
19,189

 
13,195

Occupancy
 
337

 
335

 
317

 
1,052

 
826

Data processing
 
493

 
565

 
446

 
1,600

 
1,169

Marketing
 
71

 
44

 
124

 
153

 
271

Professional fees
 
281

 
228

 
263

 
764

 
726

Acquisition expenses
 

 

 
824

 
1,104

 
1,049

Other operating expenses
 
1,782

 
1,864

 
1,470

 
5,243

 
4,189

Total noninterest expense
 
10,254

 
10,160

 
9,122

 
30,976

 
22,734

Income before income tax expense
 
4,563

 
4,786

 
3,163

 
13,092

 
8,674

Income tax expense
 
516

 
966

 
1,032

 
2,823

 
2,756

Net income
 
$
4,047

 
$
3,820

 
$
2,131

 
$
10,269

 
$
5,918

 
 
 
 
 
 
 
 
 
 
 
EARNINGS PER SHARE
 
 
 
 
 
 
 
 
 
 
Basic earnings per share
 
$
0.42

 
$
0.39

 
$
0.24

 
$
1.06

 
$
0.72

Diluted earnings per share
 
$
0.41

 
$
0.39

 
$
0.24

 
$
1.05

 
$
0.71

Cash dividends declared per common share
 
$
0.05

 
$
0.04

 
$
0.03

 
$
0.12

 
$
0.07





INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
 
September 30, 2018
 
June 30, 2018
 
September 30, 2017
 
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
$
1,311,158

 
$
16,905

 
5.12
%
 
$
1,269,894

 
$
16,223

 
5.12
%
 
$
1,073,800

 
$
12,893

 
4.76
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
230,299

 
1,506

 
2.60

 
224,263

 
1,441

 
2.58

 
203,407

 
1,193

 
2.33

Tax-exempt
 
34,108

 
204

 
2.37

 
33,936

 
203

 
2.40

 
34,659

 
206

 
2.36

Interest-bearing balances with banks
 
28,146

 
162

 
2.29

 
25,720

 
142

 
2.20

 
34,589

 
150

 
1.72

Total interest-earning assets
 
1,603,711

 
18,777

 
4.65

 
1,553,813

 
18,009

 
4.65

 
1,346,455

 
14,442

 
4.26

Cash and due from banks
 
16,938

 
 
 
 
 
16,690

 
 
 
 
 
22,626

 
 
 
 
Intangible assets
 
19,926

 
 
 
 
 
20,064

 
 
 
 
 
13,283

 
 
 
 
Other assets
 
73,722

 
 
 
 
 
73,312

 
 
 
 
 
63,007

 
 
 
 
Allowance for loan losses
 
(8,564
)
 
 
 
 
 
(8,170
)
 
 
 
 
 
(7,442
)
 
 
 
 
Total assets
 
$
1,705,733

 
 
 
 
 
$
1,655,709

 
 
 
 
 
$
1,437,929

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand deposits
 
$
394,545

 
$
823

 
0.83

 
$
372,824

 
$
641

 
0.69

 
$
337,846

 
$
604

 
0.71

Savings deposits
 
117,795

 
140

 
0.47

 
121,174

 
138

 
0.46

 
102,331

 
139

 
0.54

Time deposits
 
532,986

 
2,031

 
1.51

 
507,039

 
1,647

 
1.30

 
486,837

 
1,394

 
1.14

Total interest-bearing deposits
 
1,045,326

 
2,994

 
1.14

 
1,001,037

 
2,426

 
0.97

 
927,014

 
2,137

 
0.91

Short-term borrowings
 
157,595

 
727

 
1.83

 
140,595

 
579

 
1.65

 
122,456

 
367

 
1.19

Long-term debt
 
98,327

 
671

 
2.71

 
106,063

 
684

 
2.59

 
51,642

 
400

 
3.07

Total interest-bearing liabilities
 
1,301,248

 
4,392

 
1.34

 
1,247,695

 
3,689

 
1.19

 
1,101,112

 
2,904

 
1.05

Noninterest-bearing deposits
 
215,587

 
 
 
 
 
222,404

 
 
 
 
 
173,212

 
 
 
 
Other liabilities
 
10,163

 
 
 
 
 
9,809

 
 
 
 
 
11,419

 
 
 
 
Stockholders’ equity
 
178,735

 
 
 
 
 
175,801

 
 
 
 
 
152,186

 
 
 
 
Total liability and stockholders’ equity
 
$
1,705,733

 
 
 
 
 
$
1,655,709

 
 
 
 
 
$
1,437,929

 
 
 
 
Net interest income/net interest margin
 
 
 
$
14,385

 
3.56
%
 
 
 
$
14,320

 
3.70
%
 
 
 
$
11,538

 
3.40
%





INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the nine months ended
 
 
September 30, 2018
 
September 30, 2017
 
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
Assets
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
$
1,280,883

 
$
48,754

 
5.09
%
 
$
960,868

 
$
33,456

 
4.66
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
220,514

 
4,200

 
2.55

 
173,273

 
3,044

 
2.35

Tax-exempt
 
34,243

 
613

 
2.39

 
31,540

 
583

 
2.47

Interest-bearing balances with banks
 
26,138

 
397

 
2.03

 
29,238

 
296

 
1.35

Total interest-earning assets
 
1,561,778

 
53,964

 
4.62

 
1,194,919

 
37,379

 
4.18

Cash and due from banks
 
16,871

 
 
 
 
 
13,180

 
 
 
 
Intangible assets
 
19,958

 
 
 
 
 
6,612

 
 
 
 
Other assets
 
73,491

 
 
 
 
 
58,401

 
 
 
 
Allowance for loan losses
 
(8,245
)
 
 
 
 
 
(7,265
)
 
 
 
 
Total assets
 
$
1,663,853

 
 
 
 
 
$
1,265,847

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand
 
$
376,214

 
$
2,044

 
0.73

 
$
307,369

 
$
1,616

 
0.70

Savings deposits
 
119,932

 
416

 
0.46

 
69,194

 
308

 
0.60

Time deposits
 
520,349

 
5,213

 
1.34

 
440,956

 
3,893

 
1.18

Total interest-bearing deposits
 
1,016,495

 
7,673

 
1.01

 
817,519

 
5,817

 
0.95

Short-term borrowings
 
147,330

 
1,813

 
1.64

 
127,081

 
1,000

 
1.05

Long-term debt
 
95,735

 
1,915

 
2.68

 
37,479

 
862

 
3.08

Total interest-bearing liabilities
 
1,259,560

 
11,401

 
1.21

 
982,079

 
7,679

 
1.05

Noninterest-bearing deposits
 
218,268

 
 
 
 
 
133,675

 
 
 
 
Other liabilities
 
10,005

 
 
 
 
 
10,166

 
 
 
 
Stockholders’ equity
 
176,020

 
 
 
 
 
139,927

 
 
 
 
Total liability and stockholders’ equity
 
$
1,663,853

 
 
 
 
 
$
1,265,847

 
 
 
 
Net interest income/net interest margin
 
 
 
$
42,563

 
3.64
%
 
 
 
$
29,700

 
3.32
%




INVESTAR HOLDING CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
September 30, 2018
 
June 30, 2018
 
September 30, 2017
Tangible common equity
 
 
 
 
 
 
Total stockholders’ equity
 
$
178,407

 
$
177,230

 
$
152,876

Adjustments:
 
 
 
 
 
 
Goodwill
 
17,424

 
17,358

 
11,357

Core deposit intangible
 
2,378

 
2,494

 
1,814

Trademark intangible
 
100

 
100

 
100

Tangible common equity
 
$