Evergreen Bank Group reports solid year-to-date asset and profit growth

OAK BROOK, Ill., October 25, 2022 /PRNewswire/ — Bancorp Financial, Inc. (the “Company”), the parent company of Evergreen Bank Group (the “Bank” or “Evergreen”), today announced its 2022 year-to-date results, highlighted with a solid income of $14.0 millionWhere $4.54 per diluted share. Return on average assets and return on average equity for 2022 were 1.51% and 13.64% respectively. “Year-to-date 2022 results reflect strong loan growth, higher net interest margin, strong asset quality metrics, and significant investment in technology,” said Jill VossExecutive Vice President and Chief Financial Officer.

(PRNewsfoto/Evergreen Bank Group)

Financial Highlights 2022

  • Total assets exceeded $1.40 billion at September 30, 2022i.e. an increase of 16.7% in 2022. This increase comes mainly from $200.8 million growth in National Motorsports Program loans, in addition to consumer loans and variable rate home equity loans to prime borrowers. This growth was funded by excess cash and organic retail promotions in our local markets, generating new customers and cross-selling opportunities.

  • Net interest income was $44.9 million, representing a net interest margin of 4.94%. The Bank’s national powersports portfolio continues to drive strong performance in earning assets. Some degree of margin compression is expected in the fourth quarter as deposit rates are expected to rise faster than lending rates.

  • The provision for loan losses has been $1.68 million for the first nine months of 2022 compared to $0.53 million for the same period of 2021. The increase is mainly due to the provision for additional loan growth. The provision for loan losses stands at 1.50%, still significantly higher than pre-pandemic levels.

  • Non-interest income was $1.67 million for the first nine months of 2022 compared to $2.50 million for the same period of 2021. While commission income received in 2022 is on the rise, in 2021 the Company received non-recurring BOLI income and recorded higher gains on the sale of repossessed vehicles.

  • Non-interest expenses were $26.45 million in 2022, against $22.79 million in 2021 due to additional investments in technology and people related to our balance sheet growth, digital transformation and CRM integration strategies. The Bank continued to maintain a strong efficiency ratio below 60%, at 56.83% despite these significant investments.

  • The Board of Directors declared a quarterly cash dividend of $0.20 per share to common shareholders of record at the close of business on September 30, 2022payable on October 14, 2022. This is the fourth consecutive quarter that our shareholders have received a dividend.

  • President and CEO Darin Campbell said, “We are very pleased with our financial performance in the first three quarters and we are well positioned to continue to deliver strong financial results in the fourth quarter. We remain focused on executing our strategy as a cutting-edge bank with a national footprint, making savings and loans easy and simple We have made great strides in accelerating our digital transformation as we are now positioned to open deposit accounts nationwide on our all-new digital platforms – offering customers the ability to open deposit accounts in just over two minutes. Our new digital solutions and other technology strategies planned over the next few quarters will rival any fintech or tech-savvy bank in the market. We remain very excited and optimistic about our future.

BANCORP FINANCIER, INC

BALANCE SHEET

Assets

Unaudited
09/30/2022

Checked
31/12/2021

Cash and cash equivalents

$107,549,967

$116,536,612

Investments

96,052,347

96 113 046

Loans, net

1,152,111,914

951 287 254

Bank-owned life insurance

12,915,651

12,680,356

other assets

33,164,559

24,179,299

Total assets

$1,401,794,438

$1,200,796,567

Liabilities and equity

Deposits

$1,200,527,698

$994,057,949

Notes payable

44,500,000

57,700,000

Other liabilities

20,821,555

14,510,993

Total responsibilities

$1,265,849,253

$1,066,268,942

Equity

$135,945,185

$134,527,625

Total Liabilities and Equity

$1,401,794,438

$1,200,796,567

Evergreen Bank Group Asset Quality Ratios:

Net charges to average loans (annualized)

0.35%

0.27%

Non-performing loans/total loans (annualized)

0.17%

0.18%

BANCORP FINANCIER, INC

INCOME STATEMENTS

Unaudited
September cumulative since the beginning of the year
2022

Unaudited
September cumulative since the beginning of the year
2021

Interest income on loans

47,723,123

48,930,093

Interest income on investments and cash at bank

$2,393,334

$1,384,872

Total interest income

$50,116,457

$50,314,965

Interest charges on deposits

4,454,750

4,820,733

Interest expense on debt

806 338

1,227,971

Total interest expense

$5,261,088

$6,048,704

Net interest income

$44,855,369

$44,266,261

Allowance for loan losses

1,675,000

525,000

Other non-interest income

1,672,221

2,495,666

Other non-interest expense

26,450,550

22,792,114

Net profit before tax

$18,402,040

$23,444,813

income tax expense

4,406,259

5,602,209

Net revenue

$13,995,781

$17,842,604

Average return on assets

1.51%

1.96%

return on average equity

13.64%

19.58%

NIM

4.94%

4.93%

About Evergreen

Evergreen Bank Group (the “Bank”) is a Illinois-chartered community bank wholly owned by Bancorp Financial, Inc., a Delaware company (the “Company”). The Bank was created in 1999 and became a subsidiary of the Company following a merger operation in 2007. The Bank has its registered office in oak stream, Ill. Evergreen is a technology-focused bank, lending in all 50 states and Porto Rico and is committed to delivering world-class experiences nationwide by making it simple and easy to borrow and save. Evergreen also offers banking services through its lending divisions, FreedomRoad Financial and Performance Finance – two of the most recognizable names in the national motorcycle and powersports lending space. https://evergreenbankgroup.com/

This document contains certain future-oriented statements as defined in applicable federal securities laws. These forward-looking statements describe future plans or strategies and may include the Company’s and the Bank’s expectations regarding future results. The ability of the Company and the Bank to predict the results or the effect of future plans or strategies or qualitative or quantitative changes is inherently uncertain. Actual results may differ materially from stated expectations.

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SOURCE Evergreen Bank Group

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