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): January 28, 2019




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 January 28, 2019, Investar Holding Corporation issued a press release announcing its financial results for the quarter ended December 31, 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: January 28, 2019
 
 
 
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 Fourth Quarter Results

BATON ROUGE, LA (January 28, 2019) – Investar Holding Corporation (NASDAQ: ISTR) (the “Company”), the holding company for Investar Bank (the “Bank”), today announced financial results for the quarter ended December 31, 2018. The Company reported net income of $3.3 million, or $0.34 per diluted common share, for the fourth quarter of 2018, compared to $4.0 million, or $0.41 per diluted common share, for the quarter ended September 30, 2018, and $2.3 million, or $0.25 per diluted common share, for the quarter ended December 31, 2017.

On a non-GAAP basis, core earnings per diluted common share for the fourth quarter were $0.45 compared to $0.41 for the third quarter of 2018 and $0.34 for the quarter ended December 31, 2017. Core earnings exclude certain non-operating items including, but not limited to, acquisition expense, severance, and discrete tax items (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:
“The board of directors and management were very pleased with Investar’s fourth quarter results. We experienced solid organic loan growth of 3.1% during the quarter and have grown loans 11.3% for the year. Deposits grew 5.1% for the quarter and 11.1% for the year. In the fourth quarter, our investments in people and infrastructure began to take hold as indicated by our quarterly and year-end results. Investar is positioned for a very constructive 2019 with good momentum going into the new year.
We continue to focus on our shareholders by increasing our dividend by 59% in 2018 and repurchasing 132,484 shares of our common stock. Investar is committed to providing long-term value to our dedicated shareholder base.
In October, we signed 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. The shareholders of Mainland Bank have approved the acquisition, and we expect to close the transaction in the first quarter of 2019. As we enter 2019, we continue to focus on quality loans and deposits and improving our return on assets and efficiency ratios, which will assist in delivering on our commitment of growing the franchise and increasing shareholder value.”
Fourth Quarter Highlights
Total revenues, or interest and noninterest income, for the quarter ended December 31, 2018 totaled $20.8 million, an increase of $0.8 million, or 3.9%, compared to the quarter ended September 30, 2018, and an increase of $3.8 million, or 22.7%, compared to the quarter ended December 31, 2017.
Total loans increased $42.4 million, or 3.1%, to $1.40 billion at December 31, 2018, compared to $1.36 billion at September 30, 2018, and increased $142.0 million, or 11.3% compared to $1.26 billion at December 31, 2017.
The business lending portfolio, which consists of loans secured by owner-occupied commercial real estate properties and commercial and industrial loans, was $509.1 million at December 31, 2018, an increase of $24.4 million, or 5.0%, compared to the business lending portfolio of $484.7 million at September 30, 2018, and an increase of $101.3 million, or 24.8%, compared to the business lending portfolio of $407.8 million at December 31, 2017.
Total deposits increased $66.1 million, or 5.1%, to $1.36 billion at December 31, 2018, compared to $1.30 billion at September 30, 2018, and increased $136.5 million, or 11.1%, compared to $1.23 billion at December 31, 2017.
The Bank opened its 21st full-service branch location in our Baton Rouge market as well as a freestanding Interactive Teller Machine (ITM) in Lake Charles, Louisiana, creating additional banking opportunities for existing and potential customers.
The Company repurchased 61,784 and 132,484 shares of its common stock through its stock repurchase program at an average price of $24.75 and $25.37 during the quarter and year ended December 31, 2018, respectively, leaving 86,240 shares available for repurchase.
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. Mainland Bank’s shareholders approved the transaction on January 14, 2019. The transaction is expected to close in the first quarter of 2019 and is subject to customary closing conditions, including approval of bank regulatory authorities.



Loans
Total loans were $1.40 billion at December 31, 2018, an increase of $42.4 million, or 3.1%, compared to September 30, 2018, and an increase of $142.0 million, or 11.3%, compared to December 31, 2017. We experienced the majority of our loan growth in the commercial real estate and commercial and industrial portfolios for both the quarter and year ended December 31, 2018 as we remain focused on relationship banking and growing our commercial loan portfolio.
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
 
 
12/31/2018
 
9/30/2018
 
12/31/2017
 
$
 
%
 
$
 
%
 
12/31/2018
 
12/31/2017
Mortgage loans on real estate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Construction and development
 
$
157,946

 
$
160,921

 
$
157,667

 
$
(2,975
)
 
(1.8
)%
 
$
279

 
0.2
 %
 
11.3
%
 
12.5
%
1-4 Family
 
287,137

 
286,976

 
276,922

 
161

 
0.1

 
10,215

 
3.7

 
20.5

 
22.0

Multifamily
 
50,501

 
50,770

 
51,283

 
(269
)
 
(0.5
)
 
(782
)
 
(1.5
)
 
3.6

 
4.1

Farmland
 
21,356

 
20,902

 
23,838

 
454

 
2.2

 
(2,482
)
 
(10.4
)
 
1.5

 
1.9

Commercial real estate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Owner-occupied
 
298,222

 
291,168

 
272,433

 
7,054

 
2.4

 
25,789

 
9.5

 
21.3

 
21.6

Nonowner-occupied
 
328,782

 
301,828

 
264,931

 
26,954

 
8.9

 
63,851

 
24.1

 
23.5

 
21.0

Commercial and industrial
 
210,924

 
193,563

 
135,392

 
17,361

 
9.0

 
75,532

 
55.8

 
15.0

 
10.8

Consumer
 
45,957

 
52,284

 
76,313

 
(6,327
)
 
(12.1
)
 
(30,356
)
 
(39.8
)
 
3.3

 
6.1

Total loans
 
$
1,400,825

 
$
1,358,412

 
$
1,258,779

 
$
42,413

 
3.1
 %
 
$
142,046

 
11.3
 %
 
100
%
 
100
%
At December 31, 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 $509.1 million, an increase of $24.4 million, or 5.0%, compared to the business lending portfolio of $484.7 million at September 30, 2018, and an increase of $101.3 million, or 24.8%, compared to the business lending portfolio of $407.8 million at December 31, 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.
Consumer loans, including indirect auto loans of $30.8 million, totaled $46.0 million at December 31, 2018, a decrease of $6.3 million, or 12.1%, compared to $52.3 million, including indirect auto loans of $35.9 million, at September 30, 2018, and a decrease of $30.4 million, or 39.8%, compared to $76.3 million, including indirect auto loans of $55.9 million, at December 31, 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 $5.9 million, or 0.42% of total loans, at December 31, 2018, a decrease of $0.4 million compared to $6.3 million, or 0.47% of total loans, at September 30, 2018, and an increase of $2.2 million compared to $3.7 million, or 0.29% of total loans, at December 31, 2017. Included in nonperforming loans are loans acquired in 2017 with a balance of $3.8 million at December 31, 2018, or 64% of nonperforming loans, which is the primary reason for the increase in nonperforming loans compared to December 31, 2017.
The allowance for loan losses was $9.5 million, or 158.94% and 0.67% of nonperforming and total loans, respectively, at December 31, 2018, compared to $9.0 million, or 142.16% and 0.66%, respectively, at September 30, 2018, and $7.9 million, or 214.43% and 0.63%, respectively, at December 31, 2017.
The provision for loan losses was $0.6 million for the quarter ended December 31, 2018 compared to $0.8 million and $0.4 million for the quarters ended September 30, 2018 and December 31, 2017, respectively. The provision for loan losses is primarily attributable to loan growth during each of the quarters.
Deposits
Total deposits at December 31, 2018 were $1.36 billion, an increase of $66.1 million, or 5.1%, compared to September 30, 2018, and an increase of $136.5 million, or 11.1%, compared to December 31, 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
 
 
12/31/2018
 
9/30/2018
 
12/31/2017
 
$
 
%
 
$
 
%
 
12/31/2018
 
12/31/2017
Noninterest-bearing demand deposits
 
$
217,457

 
$
214,190

 
$
216,599

 
$
3,267

 
1.5
 %
 
$
858

 
0.4
 %
 
16.0
%
 
17.7
%
Interest-bearing demand deposits
 
295,212

 
245,569

 
208,683

 
49,643

 
20.2

 
86,529

 
41.5

 
21.7

 
17.0

Money market deposit accounts
 
179,340

 
179,071

 
146,140

 
269

 
0.2

 
33,200

 
22.7

 
13.2

 
11.9

Savings accounts
 
104,146

 
112,078

 
117,372

 
(7,932
)
 
(7.1
)
 
(13,226
)
 
(11.3
)
 
7.6

 
9.6

Time deposits
 
565,576

 
544,713

 
536,443

 
20,863

 
3.8

 
29,133

 
5.4

 
41.5

 
43.8

Total deposits
 
$
1,361,731

 
$
1,295,621

 
$
1,225,237

 
$
66,110

 
5.1
 %
 
$
136,494

 
11.1
 %
 
100.0
%
 
100.0
%
Interest-bearing demand deposits increased $49.6 million, or 20.2% compared to September 30, 2018 and $86.5 million, or 41.5%, compared to December 31, 2017. Compared to September 30, 2018, approximately $15.0 million of the increase resulted from the transfer of funds from existing repurchase agreements into our new reciprocal deposit product introduced in the fourth quarter. The quarter and year to date growth in interest-bearing deposits is mainly attributable to our continued focus on relationship banking and growing our commercial relationships.
Net Interest Income
Net interest income for the fourth quarter of 2018 totaled $14.8 million, an increase of $0.4 million, or 2.9%, compared to the third quarter of 2018, and an increase of $2.0 million, or 15.5%, compared to the fourth quarter of 2017. Included in net interest income for the quarters ended December 31, 2018, September 30, 2018 and December 31, 2017 is $0.3 million, $0.6 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 December 31, 2018 is an interest recovery of $0.1 million on an acquired loan.
The increase in net interest income in the fourth quarter of 2018 compared to the same quarter last year was primarily driven by growth in loan and securities balances and the yields earned on those balances, partially offset by an increase in interest expense as we funded the increase in interest-earning assets with increased deposits and borrowings. Interest income for the fourth quarter of 2018 increased $2.7 million and $1.3 million due to increases in the volume and yield, respectively, of interest-earning assets. These increases were partially offset by increases in interest expense of $0.5 million and $1.5 million due to increases in the volume and cost, respectively, of interest-bearing liabilities compared to the fourth quarter of 2017.
The Company’s net interest margin was 3.53% for the quarter ended December 31, 2018 compared to 3.56% for the quarter ended September 30, 2018 and 3.55% for the quarter ended December 31, 2017. The yield on interest-earning assets was 4.75% for the quarter ended December 31, 2018 compared to 4.65% for the quarter ended September 30, 2018 and 4.42% for the quarter ended December 31, 2017. The decrease in net interest margin for the quarter ended December 31, 2018 compared to the quarters ended September 30, 2018 and December 31, 2017 was driven by an increase in the cost of funds required to fund the increase in assets.
Exclusive of the interest income accretion from the acquisition of loans, discussed above, as well as a $0.1 million interest recovery in the quarter ended December 31, 2018 and a $40,000 interest recovery in the quarter ended December 31, 2017, net interest margin would have been 3.43% for the quarter ended December 31, 2018 compared to 3.42% for the quarter ended September 30, 2018 and 3.48% for the quarter ended December 31, 2017, while the yield on interest-earning assets would have been 4.65% for the quarter ended December 31, 2018 compared to 4.51% and 4.35% for the quarters ended September 30, 2018 and December 31, 2017, respectively.
The cost of deposits increased 18 basis points to 1.32% for the quarter ended December 31, 2018 compared to 1.14% for the quarter ended September 30, 2018 and increased 40 basis points compared to 0.92% for the quarter ended December 31, 2017. The increase in the cost of deposits compared to the quarters ended September 30, 2018 and December 31, 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 of 2018. We experienced significant deposit growth in both the third and fourth quarters of 2018 at these higher rates, which contributed to the increase in the cost of deposits in the fourth quarter. The overall costs of funds for the quarter ended December 31, 2018 increased 16 and 43 basis points to 1.50% compared to 1.34% and 1.07% for the quarters ended September 30, 2018 and December 31, 2017, respectively. The increase in the cost of funds at December 31, 2018 compared to September 30, 2018 and December 31, 2017 is mainly a result of an increase in the cost of deposits but is also driven by the increased cost of borrowed funds used to finance loan and investment activity.



Noninterest Income
Noninterest income for the fourth quarter of 2018 totaled $0.8 million, a decrease of $0.4 million, or 31.3%, compared to the third quarter of 2018, and a decrease of $0.1 million, or 13.1%, compared to the fourth quarter of 2017. The decrease in noninterest income compared to the quarter ended September 30, 2018 is mainly attributable to a $0.3 million decrease in the fair value of equity securities.
The decrease in noninterest income compared to the fourth quarter of 2017 is primarily a result of a $0.3 million decrease in the fair value of equity securities and a $0.1 million decrease in servicing fees and fee income on serviced loans, partially offset by increases in service charges on deposit accounts and other operating income. Other operating income includes, among other things, various operations fees and income recognized on certain equity method investments.
Noninterest Expense
Noninterest expense for the fourth quarter of 2018 totaled $10.9 million, an increase of $0.7 million, or 6.4%, compared to the third quarter of 2018, and an increase of $1.3 million, or 13.5%, compared to the fourth quarter of 2017.
The increase in noninterest expense compared to the quarter ended September 30, 2018 is mainly attributable to the $0.6 million increase in other operating expenses. During the quarter ended December 31, 2018, a purchase agreement for a property held in other real estate owned (“OREO”) was executed, and the property was sold subsequent to the end of the quarter. A write-down of the property in the amount of $0.6 million was recorded during the quarter ended December 31, 2018 to reflect the amount of the purchase agreement less the cost to sell the property. Noninterest expense also increased due to a $0.3 million increase in acquisition expense recorded in relation to the pending acquisition of Mainland Bank, announced in October 2018. The increases in acquisition expense and other operating expenses were offset by a $0.4 million decrease in salaries and employee benefits, primarily a result of $0.3 million of severance expense recognized in the quarter ended September 30, 2018 as part of a staffing optimization plan focused on the operations of our recent acquisitions.
The increase in noninterest expense compared to the fourth quarter of 2017 is primarily attributable to the $0.8 million and $0.9 million increases in salaries and employee benefits and other operating expenses, respectively, partially offset by a $0.5 million decrease in acquisition expense. The increase in salaries and employee benefits compared to the fourth quarter of 2017 is mainly attributable to the staffing mix, including the addition of our new Commercial and Industrial Division, which includes five new lenders and related support staff. The increase in other operating expenses is primarily attributable to the $0.6 million write-down of an OREO property discussed above.
Taxes
The Company recorded income tax expense of $0.8 million for the quarter ended December 31, 2018, which equates to an effective tax rate of 19.5%, an increase from the effective tax rate of 11.3% and a decrease from the effective tax rate of 39.5% for the quarters ended September 30, 2018 and December 31, 2017, respectively. The decrease in the effective tax rate compared to the quarter ended December 31, 2017 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. In addition, the income tax expense for the quarter ended December 31, 2017 includes a one-time charge of $0.3 million as a result of the revaluation of the Company’s deferred tax assets and liabilities required following the enactment of the Tax Cuts and Jobs Act. The increase in the effective tax rate compared to the quarter ended September 30, 2018 is due to a discrete tax benefit of $0.3 million recorded during the third quarter related to return-to-provision adjustments. Management expects the Company’s effective tax rate to approximate 20% in 2019.
Basic and Diluted Earnings Per Common Share
The Company reported basic and diluted earnings per common share of $0.35 and $0.34, respectively, for the quarter ended December 31, 2018, a decrease of $0.07 compared to basic and diluted earnings per common share of $0.42 and $0.41, respectively, for the quarter ended September 30, 2018 and an increase of $0.10 and $0.09, respectively, compared to basic and diluted earnings per common share of $0.25 for the quarter ended December 31, 2017.
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 21 full service banking offices located throughout its market. At December 31, 2018, the Company had 255 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 (the “SEC”).



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 has filed a registration statement on Form S-4 with the SEC. The registration statement includes a proxy statement of Mainland Bank, and constitutes a prospectus of the Company, which Mainland Bank has provided to its shareholders. Investors and shareholders are advised to read the proxy statement/prospectus because it contains important information about the Company, the Bank, Mainland Bank and the proposed transactions.
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.
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
 
 
12/31/2018
 
9/30/2018
 
12/31/2017
 
Linked Quarter
 
Year/Year
EARNINGS DATA
 
 
 
 
 
 
 
 
 
 
Total interest income
 
$
19,927

 
$
18,777

 
$
15,967

 
6.1
 %
 
24.8
 %
Total interest expense
 
5,120

 
4,392

 
3,150

 
16.6

 
62.5

Net interest income
 
14,807

 
14,385

 
12,817

 
2.9

 
15.5

Provision for loan losses
 
593

 
785

 
395

 
(24.5
)
 
50.1

Total noninterest income
 
836

 
1,217

 
962

 
(31.3
)
 
(13.1
)
Total noninterest expense
 
10,906

 
10,254

 
9,608

 
6.4

 
13.5

Income before income taxes
 
4,144

 
4,563

 
3,776

 
(9.2
)
 
9.7

Income tax expense
 
807

 
516

 
1,492

 
56.4

 
(45.9
)
Net income
 
$
3,337

 
$
4,047

 
$
2,284

 
(17.5
)
 
46.1

 
 
 
 
 
 
 
 
 
 
 
AVERAGE BALANCE SHEET DATA
 
 
 
 
 
 
 
 
 
 
Total assets
 
$
1,766,094

 
$
1,705,733

 
$
1,534,917

 
3.5
 %
 
15.1
 %
Total interest-earning assets
 
1,663,816

 
1,603,711

 
1,434,164

 
3.7

 
16.0

Total loans
 
1,381,580

 
1,311,158

 
1,169,686

 
5.4

 
18.1

Total interest-bearing deposits
 
1,116,734

 
1,045,326

 
957,847

 
6.8

 
16.6

Total interest-bearing liabilities
 
1,350,743

 
1,301,248

 
1,171,884

 
3.8

 
15.3

Total deposits
 
1,342,145

 
1,260,913

 
1,147,782

 
6.4

 
16.9

Total stockholders’ equity
 
180,682

 
178,735

 
160,485

 
1.1

 
12.6

 
 
 
 
 
 
 
 
 
 
 
PER SHARE DATA
 
 
 
 
 
 
 
 
 
 
Earnings:
 
 
 
 
 
 
 
 
 
 
Basic earnings per common share
 
$
0.35

 
$
0.42

 
$
0.25

 
(16.7
)%
 
40.0
 %
Diluted earnings per common share
 
0.34

 
0.41

 
0.25

 
(17.1
)
 
36.0

Core Earnings(1):
 
 
 
 
 
 
 
 
 
 
Core basic earnings per common share(1)
 
0.46

 
0.42

 
0.35

 
9.5

 
31.4

Core diluted earnings per common share(1)
 
0.45

 
0.41

 
0.34

 
9.8

 
32.4

Book value per common share
 
19.22

 
18.69

 
18.15

 
2.8

 
5.9

Tangible book value per common share(1)
 
17.13

 
16.60

 
16.06

 
3.2

 
6.7

Common shares outstanding
 
9,484,219

 
9,545,701

 
9,514,926

 
(0.6
)
 
(0.3
)
Weighted average common shares outstanding - basic
 
9,519,470

 
9,563,550

 
8,981,014

 
(0.5
)
 
6.0

Weighted average common shares outstanding - diluted
 
9,623,636

 
9,682,880

 
9,052,213

 
(0.6
)
 
6.3

 
 
 
 
 
 
 
 
 
 
 
PERFORMANCE RATIOS
 
 
 
 
 
 
 
 
 
 
Return on average assets
 
0.75
%
 
0.94
%
 
0.59
%
 
(20.2
)%
 
27.1
 %
Core return on average assets(1)
 
0.98

 
0.92

 
0.81

 
6.5

 
21.0

Return on average equity
 
7.33

 
8.98

 
5.65

 
(18.4
)
 
29.7

Core return on average equity(1)
 
9.55

 
8.81

 
7.77

 
8.4

 
22.9

Net interest margin
 
3.53

 
3.56

 
3.55

 
(0.8
)
 
(0.6
)
Net interest income to average assets
 
3.33

 
3.35

 
3.31

 
(0.6
)
 
0.6

Noninterest expense to average assets
 
2.45

 
2.39

 
2.48

 
2.5

 
(1.2
)
Efficiency ratio(2)
 
69.72

 
65.72

 
69.73

 
6.1

 

Core efficiency ratio(1)
 
62.52

 
64.09

 
63.73

 
(2.4
)
 
(1.9
)
Dividend payout ratio
 
14.47

 
10.63

 
12.38

 
36.1

 
16.9

Net charge-offs to average loans
 
0.01

 
0.02

 
0.01

 
(50.0
)
 


 

 

 

 

 

(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
 
 
12/31/2018
 
9/30/2018
 
12/31/2017
 
Linked Quarter
 
Year/Year
ASSET QUALITY RATIOS
 
 
 
 
 
 
 
 
 
 
Nonperforming assets to total assets
 
0.54
%
 
0.61
%
 
0.46
%
 
(11.5
)%
 
17.4
 %
Nonperforming loans to total loans
 
0.42

 
0.47

 
0.29

 
(10.6
)
 
44.8

Allowance for loan losses to total loans
 
0.67

 
0.66

 
0.63

 
1.5

 
6.3

Allowance for loan losses to nonperforming loans
 
158.94

 
142.16

 
214.43

 
11.8

 
(25.9
)
 
 
 
 
 
 
 
 
 
 
 
CAPITAL RATIOS
 
 
 
 
 
 
 
 
 
 
Investar Holding Corporation:
 
 
 
 
 
 
 
 
 
 
Total equity to total assets
 
10.20
%
 
10.28
%
 
10.64
%
 
(0.8
)%
 
(4.1
)%
Tangible equity to tangible assets(1)
 
9.20

 
9.24

 
9.53

 
(0.4
)
 
(3.5
)
Tier 1 leverage ratio
 
9.81

 
10.08

 
10.66

 
(2.7
)
 
(8.0
)
Common equity tier 1 capital ratio(2)
 
11.15

 
11.36

 
11.75

 
(1.8
)
 
(5.1
)
Tier 1 capital ratio(2)
 
11.59

 
11.82

 
12.24

 
(1.9
)
 
(5.3
)
Total capital ratio(2)
 
13.46

 
13.71

 
14.22

 
(1.8
)
 
(5.3
)
Investar Bank:
 
 
 
 
 
 
 
 
 
 
Tier 1 leverage ratio
 
10.72

 
10.98

 
11.63

 
(2.4
)
 
(7.8
)
Common equity tier 1 capital ratio(2)
 
12.67

 
12.88

 
13.35

 
(1.6
)
 
(5.1
)
Tier 1 capital ratio(2)
 
12.67

 
12.88

 
13.35

 
(1.6
)
 
(5.1
)
Total capital ratio(2)
 
13.31

 
13.52

 
13.95

 
(1.6
)
 
(4.6
)
 
 
 
 
 
 
 
 
 
 
 
(1) Non-GAAP financial measure. See reconciliation.
(2) Estimated for December 31, 2018.




INVESTAR HOLDING CORPORATION
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
December 31, 2018
 
September 30, 2018
 
December 31, 2017
ASSETS
 
 
 
 
 
 
Cash and due from banks
 
$
15,922

 
$
21,151

 
$
19,619

Interest-bearing balances due from other banks
 
1,212

 
3,352

 
10,802

Federal funds sold
 
6

 
285

 

Cash and cash equivalents
 
17,140

 
24,788

 
30,421

 
 
 
 
 
 
 
Available for sale securities at fair value (amortized cost of $253,504, $238,443, and $220,077, respectively)
 
248,981

 
230,747

 
217,564

Held to maturity securities at amortized cost (estimated fair value of $15,805, $16,691, and $17,947, respectively)
 
16,066

 
17,030

 
17,997

Loans, net of allowance for loan losses of $9,454, $9,021, and $7,891, respectively
 
1,391,371

 
1,349,391

 
1,250,888

Other equity securities
 
13,562

 
12,671

 
9,798

Bank premises and equipment, net of accumulated depreciation of $9,898, $9,332, and $7,825, respectively
 
40,229

 
39,831

 
37,540

Other real estate owned, net
 
3,611

 
4,227

 
3,837

Accrued interest receivable
 
5,553

 
5,073

 
4,688

Deferred tax asset
 
1,145

 
1,768

 
1,294

Goodwill and other intangible assets, net
 
19,787

 
19,902

 
19,926

Bank-owned life insurance
 
23,859

 
23,702

 
23,231

Other assets
 
5,165

 
6,185

 
5,550

Total assets
 
$
1,786,469

 
$
1,735,315

 
$
1,622,734

 
 
 
 
 
 
 
LIABILITIES
 
 
 
 
 
 
Deposits
 
 
 
 
 
 
Noninterest-bearing
 
$
217,457

 
$
214,190

 
$
216,599

Interest-bearing
 
1,144,274

 
1,081,431

 
1,008,638

Total deposits
 
1,361,731

 
1,295,621

 
1,225,237

Advances from Federal Home Loan Bank
 
206,490

 
208,083

 
166,658

Repurchase agreements
 
1,999

 
17,931

 
21,935

Subordinated debt
 
18,215

 
18,203

 
18,168

Junior subordinated debt
 
5,845

 
5,832

 
5,792

Accrued taxes and other liabilities
 
9,927

 
11,238

 
12,215

Total liabilities
 
1,604,207

 
1,556,908

 
1,450,005

 
 
 
 
 
 
 
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; 9,484,219, 9,545,701, and 9,514,926 shares outstanding, respectively
 
9,484

 
9,546

 
9,515

Surplus
 
130,133

 
131,333

 
131,582

Retained earnings
 
45,721

 
42,868

 
33,203

Accumulated other comprehensive loss
 
(3,076
)
 
(5,340
)
 
(1,571
)
Total stockholders’ equity
 
182,262

 
178,407

 
172,729

   Total liabilities and stockholders’ equity
 
$
1,786,469

 
$
1,735,315

 
$
1,622,734





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

 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
For the twelve months ended
 
 
December 31, 2018
 
September 30, 2018
 
December 31, 2017
 
December 31, 2018
 
December 31, 2017
INTEREST INCOME
 
 
 
 
 
 
 
 
 
 
Interest and fees on loans
 
$
17,996

 
$
16,905

 
$
14,407

 
$
66,750

 
$
47,863

Interest on investment securities
 
1,795

 
1,710

 
1,428

 
6,608

 
5,055

Other interest income
 
136

 
162

 
132

 
533

 
428

Total interest income
 
19,927

 
18,777

 
15,967

 
73,891

 
53,346

 
 
 
 
 
 
 
 
 
 
 
INTEREST EXPENSE
 
 
 
 
 
 
 
 
 
 
Interest on deposits
 
3,721

 
2,994

 
2,233

 
11,394

 
8,050

Interest on borrowings
 
1,399

 
1,398

 
917

 
5,127

 
2,779

Total interest expense
 
5,120

 
4,392

 
3,150

 
16,521

 
10,829

Net interest income
 
14,807

 
14,385

 
12,817

 
57,370

 
42,517

 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
 
593

 
785

 
395

 
2,570

 
1,540

Net interest income after provision for loan losses
 
14,214

 
13,600

 
12,422

 
54,800

 
40,977

 
 
 
 
 
 
 
 
 
 
 
NONINTEREST INCOME
 
 
 
 
 
 
 
 
 
 
Service charges on deposit accounts
 
399

 
368

 
293

 
1,453

 
767

(Loss) Gain on sale of investment securities, net
 
(23
)
 
15

 
50

 
14

 
292

Gain (loss) on sale of fixed assets, net
 

 
9

 
(57
)
 
98

 
127

(Loss) gain on sale of other real estate owned, net
 
(20
)
 

 
(5
)
 
(24
)
 
27

Servicing fees and fee income on serviced loans
 
190

 
232

 
329

 
963

 
1,482

Interchange fees
 
247

 
239

 
168

 
932

 
537

Income from bank owned life insurance
 
157

 
159

 
91

 
628

 
245

Change in the fair value of equity securities
 
(306
)
 
36

 

 
(267
)
 

Other operating income
 
192

 
159

 
93

 
521

 
338

Total noninterest income
 
836

 
1,217

 
962

 
4,318

 
3,815

Income before noninterest expense
 
15,050

 
14,817

 
13,384

 
59,118

 
44,792

 
 
 
 
 
 
 
 
 
 
 
NONINTEREST EXPENSE
 
 
 
 
 
 
 
 
 
 
Depreciation and amortization
 
682

 
644

 
556

 
2,553

 
1,865

Salaries and employee benefits
 
6,280

 
6,646

 
5,486

 
25,469

 
18,681

Occupancy
 
326

 
337

 
324

 
1,378

 
1,150

Data processing
 
490

 
493

 
521

 
2,090

 
1,690

Marketing
 
84

 
71

 
151

 
237

 
422

Professional fees
 
287

 
281

 
224

 
1,051

 
950

Acquisition expenses
 
341

 

 
819

 
1,445

 
1,868

Other operating expenses
 
2,416

 
1,782

 
1,527

 
7,659

 
5,716

Total noninterest expense
 
10,906

 
10,254

 
9,608

 
41,882

 
32,342

Income before income tax expense
 
4,144

 
4,563

 
3,776

 
17,236

 
12,450

Income tax expense
 
807

 
516

 
1,492

 
3,630

 
4,248

Net income
 
$
3,337

 
$
4,047

 
$
2,284

 
$
13,606

 
$
8,202

 
 
 
 
 
 
 
 
 
 
 
EARNINGS PER SHARE
 
 
 
 
 
 
 
 
 
 
Basic earnings per common share
 
$
0.35

 
$
0.42

 
$
0.25

 
$
1.41

 
$
0.96

Diluted earnings per common share
 
$
0.34

 
$
0.41

 
$
0.25

 
$
1.39

 
$
0.96

Cash dividends declared per common share
 
$
0.05

 
$
0.05

 
$
0.03

 
$
0.17

 
$
0.10





INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended
 
 
December 31, 2018
 
September 30, 2018
 
December 31, 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
 
$
1,381,580

 
$
17,996

 
5.17
%
 
$
1,311,158

 
$
16,905

 
5.12
%
 
$
1,169,686

 
$
14,407

 
4.89
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
230,170

 
1,592

 
2.74

 
230,299

 
1,506

 
2.60

 
203,011

 
1,221

 
2.39

Tax-exempt
 
33,913

 
203

 
2.37

 
34,108

 
204

 
2.37

 
35,060

 
207

 
2.34

Interest-bearing balances with banks
 
18,153

 
136

 
2.97

 
28,146

 
162

 
2.29

 
26,407

 
132

 
1.98

Total interest-earning assets
 
1,663,816

 
19,927

 
4.75

 
1,603,711

 
18,777

 
4.65

 
1,434,164

 
15,967

 
4.42

Cash and due from banks
 
18,252

 
 
 
 
 
16,938

 
 
 
 
 
22,520

 
 
 
 
Intangible assets
 
19,835

 
 
 
 
 
19,926

 
 
 
 
 
15,655

 
 
 
 
Other assets
 
73,415

 
 
 
 
 
73,722

 
 
 
 
 
70,254

 
 
 
 
Allowance for loan losses
 
(9,224
)
 
 
 
 
 
(8,564
)
 
 
 
 
 
(7,676
)
 
 
 
 
Total assets
 
$
1,766,094

 
 
 
 
 
$
1,705,733

 
 
 
 
 
$
1,534,917

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand deposits
 
$
448,110

 
$
1,162

 
1.03

 
$
394,545

 
$
823

 
0.83

 
$
348,573

 
$
608

 
0.69

Savings deposits
 
106,492

 
151

 
0.56

 
117,795

 
140

 
0.47

 
105,896

 
138

 
0.52

Time deposits
 
562,132

 
2,408

 
1.70

 
532,986

 
2,031

 
1.51

 
503,378

 
1,487

 
1.17

Total interest-bearing deposits
 
1,116,734

 
3,721

 
1.32

 
1,045,326

 
2,994

 
1.14

 
957,847

 
2,233

 
0.92

Short-term borrowings
 
138,443

 
699

 
2.00

 
157,595

 
727

 
1.83

 
135,126

 
430

 
1.26

Long-term debt
 
95,566

 
700

 
2.91

 
98,327

 
671

 
2.71

 
78,911

 
487

 
2.45

Total interest-bearing liabilities
 
1,350,743

 
5,120

 
1.50

 
1,301,248

 
4,392

 
1.34

 
1,171,884

 
3,150

 
1.07

Noninterest-bearing deposits
 
225,411

 
 
 
 
 
215,587

 
 
 
 
 
189,935

 
 
 
 
Other liabilities
 
9,258

 
 
 
 
 
10,163

 
 
 
 
 
12,613

 
 
 
 
Stockholders’ equity
 
180,682

 
 
 
 
 
178,735

 
 
 
 
 
160,485

 
 
 
 
Total liability and stockholders’ equity
 
$
1,766,094

 
 
 
 
 
$
1,705,733

 
 
 
 
 
$
1,534,917

 
 
 
 
Net interest income/net interest margin
 
 
 
$
14,807

 
3.53
%
 
 
 
$
14,385

 
3.56
%
 
 
 
$
12,817

 
3.55
%





INVESTAR HOLDING CORPORATION
CONSOLIDATED AVERAGE BALANCE SHEET, INTEREST EARNED AND YIELD ANALYSIS
(Amounts in thousands)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the twelve months ended
 
 
December 31, 2018
 
December 31, 2017
 
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
 
Average
Balance
 
Interest
Income/
Expense
 
Yield/ Rate
Assets
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
Loans
 
$
1,306,264

 
$
66,750

 
5.11
%
 
$
1,013,502

 
$
47,863

 
4.72
%
Securities:
 
 
 
 
 
 
 
 
 
 
 
 
Taxable
 
222,948

 
5,793

 
2.60

 
180,769

 
4,265

 
2.36

Tax-exempt
 
34,159

 
815

 
2.39

 
32,427

 
790

 
2.44

Interest-bearing balances with banks
 
24,126

 
533

 
2.21

 
28,524

 
428

 
1.50

Total interest-earning assets
 
1,587,497

 
73,891

 
4.65

 
1,255,222

 
53,346

 
4.25

Cash and due from banks
 
17,219

 
 
 
 
 
15,534

 
 
 
 
Intangible assets
 
19,927

 
 
 
 
 
8,892

 
 
 
 
Other assets
 
73,472

 
 
 
 
 
61,387

 
 
 
 
Allowance for loan losses
 
(8,491
)
 
 
 
 
 
(7,368
)
 
 
 
 
Total assets
 
$
1,689,624

 
 
 
 
 
$
1,333,667

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and stockholders’ equity
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand
 
$
394,336

 
$
3,206

 
0.81

 
$
317,755

 
$
2,223

 
0.70

Savings deposits
 
116,544

 
567

 
0.49

 
78,444

 
446

 
0.57

Time deposits
 
530,881

 
7,621

 
1.44

 
456,690

 
5,381

 
1.18

Total interest-bearing deposits
 
1,041,761

 
11,394

 
1.09

 
852,889

 
8,050

 
0.94

Short-term borrowings
 
145,090

 
2,511

 
1.73

 
129,109

 
1,430

 
1.11

Long-term debt
 
95,692

 
2,616

 
2.73

 
47,922

 
1,349

 
2.81

Total interest-bearing liabilities
 
1,282,543

 
16,521

 
1.29

 
1,029,920

 
10,829

 
1.05

Noninterest-bearing deposits
 
220,068

 
 
 
 
 
147,856

 
 
 
 
Other liabilities
 
9,817

 
 
 
 
 
10,782

 
 
 
 
Stockholders’ equity
 
177,196

 
 
 
 
 
145,109

 
 
 
 
Total liability and stockholders’ equity
 
$
1,689,624

 
 
 
 
 
$
1,333,667

 
 
 
 
Net interest income/net interest margin
 
 
 
$
57,370

 
3.61
%
 
 
 
$
42,517

 
3.39
%




INVESTAR HOLDING CORPORATION
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Amounts in thousands, except share data)
(Unaudited)