RESTON, Va.--(BUSINESS WIRE)--John Marshall Bancorp, Inc. (OTCQB: JMSB) (the “Company”), parent company of John Marshall Bank (the “Bank”), reported net income of $7.7 million ($0.55 per diluted common share) for the quarter ended March 31, 2022.
Selected Highlights
- One-time Special Cash Dividend – On March 16, 2022, the Company declared a one-time, special cash dividend of $0.20 per outstanding share of common stock to be paid on May 24, 2022 to shareholders of record as of May 10, 2022.
- Thirteenth Consecutive Quarter of Record Earnings – The Company reported record net income of $7.7 million for the first quarter of 2022, a $2.6 million or 51.2% increase over the $5.1 million reported for the first quarter of 2021. Earnings per diluted share for the three months ended March 31, 2022 were $0.55, a 48.6% increase over the $0.37 reported for the three months ended March 31, 2021.
- Robust Returns – Annualized Return on Average Assets (“ROAA”) was 1.40% and Return on Average Equity (“ROAE”) was 14.76% for the three months ended March 31, 2022. ROAA and ROAE were 1.05% and 10.89%, respectively, for the three months ended March 31, 2021. Excluding 2010, when the Company realized a significant, non-recurring income tax benefit from the removal of the valuation allowance on its deferred tax assets in Q2 of that year, the ROAE represents a Company record.
- Strong Growth – Year-over-year total assets increased 11.9% or $239.6 million to $2.25 billion at March 31, 2022. Excluding Paycheck Protection Program (“PPP”) loans, gross loans net of unearned income grew $132.8 million or 8.9% from March 31, 2021 to March 31, 2022. Total deposits grew $221.7 million or 12.6% from March 31, 2021 to March 31, 2022. Non-interest bearing demand deposits grew $76.0 million or 18.1% from March 31, 2021 to March 31, 2022.
- Strong Operating Revenues – Revenues, defined as the sum of net interest income and non-interest income, increased 9.5% or $1.6 million to $18.3 million in the first quarter of 2022 as compared to $16.7 million for the first quarter of 2021.
- Cost Consciousness – The Company actively manages expenses while investing for future growth. The efficiency ratio for the first quarter of 2022 was 47.9% compared to 47.1% for the first quarter of 2021. The ratio of annualized non-interest expense to average assets was 1.61% for the first quarter of 2022 and 1.64% for the first quarter of 2021.
- Well-Capitalized, Liquid Balance Sheet – At March 31, 2022, the equity to assets ratio of the Bank was 10.2% and interest bearing cash and investment securities represented 26.1% of earning assets. We believe our loan pipeline to be strong and that we are well-positioned to redeploy this liquidity into higher yielding earning assets.
- Asset Quality Remains Pristine – For the tenth consecutive quarter, the Company had no non-performing loans, no loans 30 days or more past due, and no other real estate owned assets at March 31, 2022. The Company believes its allowance for loan losses is appropriate for the inherent risks and uncertainties associated with the portfolio.
Chris Bergstrom, President and Chief Executive Officer, commented, “We are proud to have achieved 13 consecutive quarters of record earnings leading to our first cash dividend in the Company’s history. However, we are not resting on our laurels. The outlook for our loan pipeline remains very good and our balance sheet liquidity and capitalization are primed to support future growth. As we have done in the past, we will continue to invest in personnel who we believe will augment our growth and earnings; stay vigilant on credit; and actively manage our expenses. We believe this model, in conjunction with the anticipated registration of our shares with the Securities and Exchange Commission and contemplated listing on the Nasdaq Capital Market will continue to create value for John Marshall Bancorp, Inc. shareholders.”
Balance Sheet and Credit Quality
Total assets were $2.25 billion at March 31, 2022, $2.15 billion at December 31, 2021 and $2.01 billion at March 31, 2021. Asset growth from March 31, 2021 to March 31, 2022 was $239.6 million or 11.9%. During the first quarter of 2022, assets increased $100.3 million or 18.9% annualized. Asset growth was primarily comprised of loans and securities available for sale.
Total loans, net of unearned income, increased by 1.6% to $1.63 billion at March 31, 2022, compared to $1.61 billion at March 31, 2021. Excluding PPP loans, total loans, net of unearned income, at March 31, 2022 grew 8.9% to $1.62 billion as compared to $1.49 billion at March 31, 2021. The year-over-year increase in the loan portfolio is primarily attributable to growth in the residential mortgage, investor real estate, and commercial owner-occupied real estate loan portfolios of $74.4 million, $50.2 million, and $32.0 million, respectively. At March 31, 2022, PPP loans totaled $7.8 million with $187 thousand of net deferred fees remaining to be realized.
Total loans, net of unearned income, decreased $35.2 million from $1.67 billion at December 31, 2022. Excluding PPP loans, total loans, net of unearned income, increased $24.9 million quarter-over-quarter primarily due to increases of $31.1 million and $13.8 million in the investor real estate and residential mortgage portfolios, respectively.
The Company’s portfolio of investments in fixed income securities was $402.3 million at March 31, 2022, $344.8 million at December 31, 2021, and $212.6 million at March 31, 2021. The increase in the fixed income securities portfolio was primarily driven by redeployment of PPP loan payoffs and deposit growth. All but $15.5 million of the fixed income portfolio is backed by the explicit or implicit guarantees of the United States Federal Government or one of its agencies.
Total deposits were $1.98 billion at March 31, 2022, $1.88 billion at December 31, 2021 and $1.76 billion at March 31, 2021. Deposit growth was 12.6% during the past twelve months, as saving deposits grew 58.7%, interest-bearing demand deposits grew 28.8% and non-interest bearing deposits grew 18.1%. Deposit growth was 5.4% during the past three months as interest-bearing demand deposits grew 19.9% and savings deposits grew 12.2%.
Shareholders’ equity was $204.9 million at March 31, 2022, an increase of $15.9 million or 8.4% from March 31, 2021. This increase year-over-year was due to net income of $28.1 million and the exercise of stock options totaling $2.8 million, partially offset by reductions in accumulated other comprehensive income of $12.2 million and dividends payable of $2.8 million. Tangible book value per share was $14.68 as of March 31, 2022 compared to $13.85 as of March 31, 2021. The change in tangible book value per share year-over-year was due to earnings, partially offset by increases in unrealized losses on our available-for-sale investment portfolio as a result of rising interest rates, shareholder option exercises, restricted share award issuances, and dividends payable. The Bank’s capital ratios remain well above regulatory thresholds for well-capitalized banks. As of March 31, 2022, the Bank’s total risk-based capital ratio was 15.4%, compared to 14.6% at March 31, 2021.
The Company recorded net charge-offs of $1 thousand for the first quarter of 2022, as compared to no net charge-offs in the fourth quarter of 2021 and $1 thousand during the first quarter of 2021. As of March 31, 2022, the Company had no non-accrual loans, no loans 30 days or more past due and no other real estate owned assets.
At March 31, 2022, the allowance for loan losses was $20.0 million or 1.23% of outstanding loans, net of unearned income, compared to $20.0 million or 1.20% of outstanding loans, net of unearned income, at December 31, 2021. Excluding PPP loans, the allowance for loan losses to outstanding loans, net of unearned income, decreased from 1.25% at December 31, 2021 to 1.23% at March 31, 2022. The Company does not have a reserve on PPP loan balances, as they are 100% guaranteed by the U.S. Small Business Administration. The decrease in the allowance to outstanding loans, net of unearned income, was primarily due to a decrease in the uncertainty of the COVID-19 pandemic’s estimated impact on the Company’s loan portfolio, which was partially offset by the estimated impact of rising inflation and the impact on the global economy due to the war in Ukraine.
Quarterly Results
Net income for the first quarter of 2022 increased $2.6 million or 51.2% to $7.7 million compared to $5.1 million for the first quarter of 2021 and net income increased $127 thousand or 1.7% compared to $7.6 million for the fourth quarter of 2021. The results for the current quarter reflect a combination of the impact of an increase in net interest income and decreased provision for loan loss expense, partially offset by growth in non-interest expense.
Net interest income for the first quarter of 2022 increased $1.6 million or 10.0% compared to the first quarter of 2021, driven primarily by growth in the Company’s loan and investment portfolios. The annualized net interest margin for the first quarter of 2022 was 3.33% as compared to 3.43% for the same quarter of the prior year. The yield on interest earning assets for the first quarter of 2022 was 3.67% compared to 3.95% for the same quarter of the prior year. The year-over-year decrease in net interest margin and yield on interest earning assets was primarily due to a lower yield on fixed rate investments purchased between the first quarter of 2021 and the first quarter of 2022. The cost of interest-bearing liabilities was 0.49% for the first quarter of 2022 compared to 0.74% for the same quarter of the prior year. The decrease in the cost of interest-bearing liabilities was primarily due to a 27 basis point reduction in the cost of interest-bearing deposits as a result of the repricing of the Company’s time deposits, partially offset by the accelerated amortization of $104 thousand in deferred issuance costs associated with our subordinated debt. Subject to market conditions, the Company intends to refinance its subordinated debt when it becomes callable in July 2022.
The Company did not record a provision for loan losses for the first quarter of 2022, compared to a $2.4 million provision for the first quarter of 2021. The decrease in the provision for loan losses as compared to the same period in 2021 primarily reflects changes in the Company’s evaluation of environmental factors impacting the Company’s loan portfolio during 2022. During 2021, the environmental or qualitative factor allocations within the allowance for loan losses were adjusted to account for the risks to certain industry subgroups and portfolio segments within our portfolio as a result of the continuing COVID-19 pandemic. The decrease in the provision for loan losses primarily reflects an estimated decrease in uncertainty as it relates to the estimated impact of the COVID-19 pandemic on the Company’s loan portfolio and the broader economy.
Non-interest income decreased $50 thousand or 10.8% during the current quarter compared to the same quarter of the prior year. The decrease in non-interest income was primarily due to a $150 thousand decrease in the mark-to-market adjustment on the investments in the Company’s nonqualified deferred compensation plans. During the first quarter of 2021, the Company realized a $10 thousand gain on the sale of certain investment securities. Excluding the impacts of the mark-to-market adjustments and gain on sales, non-interest income increased $111 thousand or 26.4% primarily due to increases in insurance commissions paid to the Company.
Non-interest expense increased $893 thousand or 11.3% during the current quarter compared to the same quarter of the prior year. The increase in non-interest expense was primarily due to an increase in salaries and employee benefits of $1.0 million or 20.8% driven by an increase in accrued incentive compensation tied to the Company’s performance. Incentive compensation accruals can fluctuate materially from quarter to quarter, based upon the Company’s financial performance and conditions measured against, among other evaluation criteria, our strategic plan and budget. At the end of each year, the ultimate determination of the incentive compensation is approved by the Board of Directors. The increase in non-interest expense was partially offset by a decrease in other operating expenses of $134 thousand or 6.5% primarily driven by lower FDIC insurance premiums and marketing expense.
For the three months ended March 31, 2022, annualized non-interest expense to average assets was 1.61% compared to 1.64% for the three months ended March 31, 2021. The decrease was primarily due to the renegotiation of certain vendor contracts coupled with the continued disciplined overhead management.
For the three months ended March 31, 2022, the annualized efficiency ratio was 47.9% compared to 47.1% for the three months ended March 31, 2021. The modest increase was primarily due to the increase in salaries and employee benefits.
About John Marshall Bancorp, Inc.
John Marshall Bancorp, Inc. is the bank holding company for John Marshall Bank. The Bank is a $2.25 billion bank headquartered in Reston, Virginia with eight full-service branches located in Alexandria, Arlington, Loudoun, Prince William, Reston, and Tysons, Virginia, as well as Rockville, Maryland, and Washington, D.C. with one loan production office in Arlington, Virginia. The Bank is dedicated to providing exceptional value, personalized service and convenience to local businesses and professionals in the Washington D.C. Metro area. The Bank offers a comprehensive line of sophisticated banking products and services that rival those of the largest banks along with experienced staff to help achieve customers’ financial goals. Dedicated Relationship Managers serve as direct points-of-contact, providing subject matter expertise in a variety of niche industries including Charter and Private Schools, Government Contractors, Health Services, Nonprofits and Associations, Professional Services, Property Management Companies, and Title Companies. Learn more at www.johnmarshallbank.com.
In addition to historical information, this press release contains forward-looking statements that are based on certain assumptions and describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” “will,” “should,” “may,” “view,” “opportunity,” “potential,” or similar expressions or expressions of confidence. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiary include, but are not limited to the following: changes in interest rates, general economic conditions, public health crises (such as the governmental, social and economic effects of COVID-19), levels of unemployment in the Bank’s lending area, real estate market values in the Bank’s lending area, future natural disasters, the level of prepayments on loans and mortgage-backed securities, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services in the Company’s market area, accounting principles and guidelines, and other conditions which by their nature are not susceptible to accurate forecast, and are subject to significant uncertainty. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. Annualized, pro forma, projected and estimated numbers are used for illustrative purpose only, are not forecasts and may not reflect actual results.
| John Marshall Bancorp, Inc. | ||||||||
| Financial Highlights (Unaudited) | ||||||||
| (Dollar amounts in thousands, except per share data) | ||||||||
| At or For the Three Months Ended | ||||||||
| March 31, | ||||||||
2022 |
2021 |
|||||||
| Selected Balance Sheet Data | ||||||||
| Cash and cash equivalents | $ |
182,361 |
|
$ |
161,397 |
|
||
| Total investment securities |
|
409,692 |
|
|
219,106 |
|
||
| Loans, net of unearned income |
|
1,631,260 |
|
|
1,605,783 |
|
||
| Allowance for loan losses |
|
20,031 |
|
|
19,381 |
|
||
| Total assets |
|
2,249,609 |
|
|
2,009,988 |
|
||
| Non-interest bearing demand deposits |
|
495,811 |
|
|
419,796 |
|
||
| Interest bearing deposits |
|
1,487,288 |
|
|
1,341,594 |
|
||
| Total deposits |
|
1,983,099 |
|
|
1,761,390 |
|
||
| Shareholders' equity |
|
204,855 |
|
|
188,904 |
|
||
| Summary Results of Operations | ||||||||
| Interest income | $ |
19,745 |
|
$ |
18,747 |
|
||
| Interest expense |
|
1,829 |
|
|
2,465 |
|
||
| Net interest income |
|
17,916 |
|
|
16,282 |
|
||
| Provision for loan losses |
|
- - |
|
|
2,365 |
|
||
| Net interest income after provision for loan losses |
|
17,916 |
|
|
13,917 |
|
||
| Non-interest income |
|
414 |
|
|
464 |
|
||
| Non-interest expense |
|
8,786 |
|
|
7,893 |
|
||
| Income before income taxes |
|
9,544 |
|
|
6,488 |
|
||
| Net income |
|
7,674 |
|
|
5,074 |
|
||
| Per Share Data and Shares Outstanding | ||||||||
| Earnings per share - basic | $ |
0.55 |
|
$ |
0.37 |
|
||
| Earnings per share - diluted | $ |
0.55 |
|
$ |
0.37 |
|
||
| Tangible book value per share | $ |
14.68 |
|
$ |
13.85 |
|
||
| Weighted average common shares (basic) |
|
13,783,034 |
|
|
13,557,779 |
|
||
| Weighted average common shares (diluted) |
|
13,991,692 |
|
|
13,809,751 |
|
||
| Common shares outstanding at end of period |
|
13,950,570 |
|
|
13,634,754 |
|
||
| Performance Ratios | ||||||||
| Return on average assets (annualized) |
|
1.40 |
% |
|
1.05 |
% |
||
| Return on average equity (annualized) |
|
14.76 |
% |
|
10.89 |
% |
||
| Net interest margin |
|
3.33 |
% |
|
3.43 |
% |
||
| Non-interest income as a percentage of average assets (annualized) |
|
0.08 |
% |
|
0.10 |
% |
||
| Non-interest expense to average assets (annualized) |
|
1.61 |
% |
|
1.64 |
% |
||
| Efficiency ratio |
|
47.9 |
% |
|
47.1 |
% |
||
| Asset Quality | ||||||||
| Non-performing assets to total assets |
|
0.00 |
% |
|
0.00 |
% |
||
| Non-performing loans to total loans |
|
0.00 |
% |
|
0.00 |
% |
||
| Allowance for loan losses to non-performing loans |
|
N/M |
|
|
N/M |
|
||
| Allowance for loan losses to total loans (1) |
|
1.23 |
% |
|
1.21 |
% |
||
| Net charge-offs (recoveries) to average loans (annualized) |
|
0.00 |
% |
|
0.00 |
% |
||
| Loans 30-89 days past due and accruing interest | $ |
- - |
|
$ |
- - |
|
||
| Non-accrual loans |
|
- - |
|
|
- - |
|
||
| Other real estate owned |
|
- - |
|
|
- - |
|
||
| Non-performing assets (2) |
|
- - |
|
|
- - |
|
||
| Troubled debt restructurings (total) |
|
542 |
|
|
589 |
|
||
| Performing in accordance with modified terms |
|
542 |
|
|
589 |
|
||
| Not performing in accordance with modified terms |
|
- - |
|
|
- - |
|
||
| Capital Ratios (Bank Level) | ||||||||
| Tangible equity / tangible assets |
|
10.2 |
% |
|
10.5 |
% |
||
| Total risk-based capital ratio |
|
15.4 |
% |
|
14.6 |
% |
||
| Tier 1 risk-based capital ratio |
|
14.2 |
% |
|
13.4 |
% |
||
| Leverage ratio |
|
10.8 |
% |
|
10.8 |
% |
||
| Common equity tier 1 ratio |
|
14.2 |
% |
|
13.4 |
% |
||
| Other Information | ||||||||
| Number of full time equivalent employees |
|
141 |
|
|
143 |
|
||
| # Full service branch offices |
|
8 |
|
|
8 |
|
||
| # Loan production or limited service branch offices |
|
1 |
|
|
1 |
|
||
(1) The allowance for loan losses to total loans, excluding PPP loans, net of unearned income, of $7.6 million, was 1.23% at March 31 2022. The allowance for loan losses to total loans, excluding PPP loans, net of unearned income, of $115.0 million, was 1.30% at March 31, 2021. PPP loans received no allocations in the allowance estimate due to the underlying guarantees. |
(2) Non-performing assets consist of non-accrual loans, loans 90 days or more past due and still accruing interest, and other real estate owned. Does not include troubled debt restructurings which were accruing interest at the date indicated. |
| John Marshall Bancorp, Inc. | ||||||||||||||||||
| Consolidated Balance Sheets | ||||||||||||||||||
| (Dollar amounts in thousands, except per share data) | ||||||||||||||||||
| % Change | ||||||||||||||||||
| March 31, | December 31, | March 31, | Last Three | Year Over | ||||||||||||||
|
2022 |
|
|
2021 |
|
|
2021 |
|
Months |
Year |
||||||||
| Assets | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||
| Cash and due from banks | $ |
6,189 |
|
$ |
2,920 |
|
$ |
6,868 |
|
112.0 |
% |
-9.9 |
% |
|||||
| Interest-bearing deposits in banks |
|
176,172 |
|
|
102,879 |
|
|
154,529 |
|
71.2 |
% |
14.0 |
% |
|||||
| Securities available-for-sale, at fair value |
|
298,103 |
|
|
239,300 |
|
|
212,562 |
|
24.6 |
% |
40.2 |
% |
|||||
| Securities held-to-maturity, fair value of $102,988 and $103,258 at 3/31/2022 and 12/31/2022, respectively. | 104,177 |
105,509 |
- - |
-1.3 |
% |
N/M |
||||||||||||
| Restricted securities, at cost |
|
5,088 |
|
|
4,951 |
|
|
5,089 |
|
2.8 |
% |
0.0 |
% |
|||||
| Equity securities, at fair value |
|
2,324 |
|
|
1,869 |
|
|
1,455 |
|
24.3 |
% |
59.7 |
% |
|||||
| Loans, net of unearned income |
|
1,631,260 |
|
|
1,666,469 |
|
|
1,605,783 |
|
-2.1 |
% |
1.6 |
% |
|||||
| Allowance for loan losses |
|
(20,031 |
) |
|
(20,032 |
) |
|
(19,381 |
) |
0.0 |
% |
3.4 |
% |
|||||
| Net loans |
|
1,611,229 |
|
|
1,646,437 |
|
|
1,586,402 |
|
-2.1 |
% |
1.6 |
% |
|||||
| Bank premises and equipment, net |
|
1,532 |
|
|
1,620 |
|
|
1,990 |
|
-5.4 |
% |
-23.0 |
% |
|||||
| Accrued interest receivable |
|
4,354 |
|
|
4,943 |
|
|
4,818 |
|
-11.9 |
% |
-9.6 |
% |
|||||
| Bank owned life insurance |
|
21,093 |
|
|
20,998 |
|
|
20,694 |
|
0.5 |
% |
1.9 |
% |
|||||
| Right of use assets |
|
4,567 |
|
|
4,913 |
|
|
5,611 |
|
-7.0 |
% |
-18.6 |
% |
|||||
| Other assets |
|
14,781 |
|
|
12,970 |
|
|
9,970 |
|
14.0 |
% |
48.3 |
% |
|||||
| Total assets | $ |
2,249,609 |
|
$ |
2,149,309 |
|
$ |
2,009,988 |
|
4.7 |
% |
11.9 |
% |
|||||
| Liabilities and Shareholders' Equity | ||||||||||||||||||
| Liabilities | ||||||||||||||||||
| Deposits: | ||||||||||||||||||
| Non-interest bearing demand deposits | $ |
495,811 |
|
$ |
488,838 |
|
$ |
419,796 |
|
1.4 |
% |
18.1 |
% |
|||||
| Interest-bearing demand deposits |
|
760,074 |
|
|
633,901 |
|
|
590,083 |
|
19.9 |
% |
28.8 |
% |
|||||
| Savings deposits |
|
114,427 |
|
|
101,376 |
|
|
72,102 |
|
12.9 |
% |
58.7 |
% |
|||||
| Time deposits |
|
612,787 |
|
|
657,438 |
|
|
679,409 |
|
-6.8 |
% |
-9.8 |
% |
|||||
| Total deposits |
|
1,983,099 |
|
|
1,881,553 |
|
|
1,761,390 |
|
5.4 |
% |
12.6 |
% |
|||||
| Federal Home Loan Bank advances |
|
18,000 |
|
|
18,000 |
|
|
22,000 |
|
0.0 |
% |
-18.2 |
% |
|||||
| Subordinated debt |
|
24,845 |
|
|
24,728 |
|
|
24,692 |
|
0.5 |
% |
0.6 |
% |
|||||
| Accrued interest payable |
|
477 |
|
|
843 |
|
|
692 |
|
-43.4 |
% |
-31.1 |
% |
|||||
| Lease liabilities |
|
4,830 |
|
|
5,182 |
|
|
5,873 |
|
-6.8 |
% |
-17.8 |
% |
|||||
| Dividends payable |
|
2,790 |
|
|
- - |
|
|
- - |
|
N/M |
|
N/M |
|
|||||
| Other liabilities |
|
10,713 |
|
|
10,533 |
|
|
6,437 |
|
1.7 |
% |
66.4 |
% |
|||||
| Total liabilities |
|
2,044,754 |
|
|
1,940,839 |
|
|
1,821,084 |
|
5.4 |
% |
12.3 |
% |
|||||
| Shareholders' Equity | ||||||||||||||||||
| Preferred stock, par value $0.01 per share; authorized | ||||||||||||||||||
| 1,000,000 shares; none issued |
|
- - |
|
|
- - |
|
|
- - |
|
- - |
|
- - |
|
|||||
| Common stock, nonvoting, par value $0.01 per share; authorized | ||||||||||||||||||
| 1,000,000 shares; none issued |
|
- - |
|
|
- - |
|
|
- - |
|
- - |
|
- - |
|
|||||
| Common stock, voting, par value $0.01 per share; authorized | ||||||||||||||||||
| 30,000,000 shares; issued and outstanding, 13,950,570 | ||||||||||||||||||
| at 3/31/2022 including 60,366 unvested shares, 13,745,598 | ||||||||||||||||||
| shares at 12/31/2021 including 75,826 unvested shares | ||||||||||||||||||
| and 13,634,754 at 3/31/2021, including 68,375 unvested shares |
|
139 |
|
|
137 |
|
|
136 |
|
1.5 |
% |
2.2 |
% |
|||||
| Additional paid-in capital |
|
93,135 |
|
|
91,107 |
|
|
90,295 |
|
2.2 |
% |
3.1 |
% |
|||||
| Retained earnings |
|
122,510 |
|
|
117,626 |
|
|
97,239 |
|
4.2 |
% |
26.0 |
% |
|||||
| Accumulated other comprehensive income (loss) |
|
(10,929 |
) |
|
(400 |
) |
|
1,234 |
|
-2,632.3 |
% |
985.7 |
% |
|||||
| Total shareholders' equity |
|
204,855 |
|
|
208,470 |
|
|
188,904 |
|
-1.7 |
% |
8.4 |
% |
|||||
| Total liabilities and shareholders' equity | $ |
2,249,609 |
|
$ |
2,149,309 |
|
$ |
2,009,988 |
|
4.7 |
% |
11.9 |
% |
|||||
| John Marshall Bancorp, Inc. | |||||||||||
| Consolidated Statements of Income | |||||||||||
| (Dollar amounts in thousands, except per share data) | |||||||||||
| Three Months Ended | |||||||||||
| March 31, | |||||||||||
|
2022 |
|
2021 |
% Change |
|||||||
| (Unaudited) | (Unaudited) | ||||||||||
| Interest and Dividend Income | |||||||||||
| Interest and fees on loans | $ |
18,184 |
|
$ |
17,839 |
1.9 |
% |
||||
| Interest on investment securities, taxable |
|
1,380 |
|
|
769 |
79.5 |
% |
||||
| Interest on investment securities, tax-exempt |
|
30 |
|
|
30 |
0.0 |
% |
||||
| Dividends |
|
60 |
|
|
65 |
-7.7 |
% |
||||
| Interest on deposits in banks |
|
91 |
|
|
44 |
106.8 |
% |
||||
| Total interest and dividend income |
|
19,745 |
|
|
18,747 |
5.3 |
% |
||||
| Interest Expense | |||||||||||
| Deposits |
|
1,323 |
|
|
2,060 |
-35.8 |
% |
||||
| Federal Home Loan Bank advances |
|
30 |
|
|
33 |
-9.1 |
% |
||||
| Subordinated debt |
|
476 |
|
|
372 |
28.0 |
% |
||||
| Total interest expense |
|
1,829 |
|
|
2,465 |
-25.8 |
% |
||||
| Net interest income |
|
17,916 |
|
|
16,282 |
10.0 |
% |
||||
| Provision for loan losses |
|
- - |
|
|
2,365 |
N/M |
|
||||
| Net interest income after provision for loan losses |
|
17,916 |
|
|
13,917 |
28.7 |
% |
||||
| Non-interest Income | |||||||||||
| Service charges on deposit accounts |
|
77 |
|
|
58 |
32.8 |
% |
||||
| Bank owned life insurance |
|
95 |
|
|
107 |
-11.2 |
% |
||||
| Other service charges and fees |
|
137 |
|
|
104 |
31.7 |
% |
||||
| Gain on sale of securities |
|
- - |
|
|
10 |
N/M |
|
||||
| Insurance commissions |
|
221 |
|
|
155 |
42.6 |
% |
||||
| Other income (loss) |
|
(116 |
) |
|
30 |
-486.7 |
% |
||||
| Total non-interest income |
|
414 |
|
|
464 |
-10.8 |
% |
||||
| Non-interest Expenses | |||||||||||
| Salaries and employee benefits |
|
6,027 |
|
|
4,989 |
20.8 |
% |
||||
| Occupancy expense of premises |
|
493 |
|
|
507 |
-2.8 |
% |
||||
| Furniture and equipment expenses |
|
325 |
|
|
322 |
0.9 |
% |
||||
| Other expenses |
|
1,941 |
|
|
2,075 |
-6.5 |
% |
||||
| Total non-interest expenses |
|
8,786 |
|
|
7,893 |
11.3 |
% |
||||
| Income before income taxes |
|
9,544 |
|
|
6,488 |
47.1 |
% |
||||
| Income tax expense |
|
1,870 |
|
|
1,414 |
32.2 |
% |
||||
| Net income | $ |
7,674 |
|
$ |
5,074 |
51.2 |
% |
||||
| Earnings Per Share | |||||||||||
| Basic | $ |
0.55 |
|
$ |
0.37 |
48.6 |
% |
||||
| Diluted | $ |
0.55 |
|
$ |
0.37 |
48.6 |
% |
||||
| John Marshall Bancorp, Inc. | |||||||||||||||||||
| Historical Trends - Quarterly Financial Data (Unaudited) | |||||||||||||||||||
| (Dollar amounts in thousands, except per share data) | |||||||||||||||||||
|
2022 |
|
2021 |
||||||||||||||||
| March 31 | December 31 | September 30 | June 30 | March 31 | |||||||||||||||
| Profitability for the quarter: | |||||||||||||||||||
| Interest income | $ |
19,745 |
|
$ |
18,703 |
|
$ |
18,042 |
|
$ |
18,627 |
|
$ |
18,747 |
|
||||
| Interest expense |
|
1,829 |
|
|
1,734 |
|
|
1,876 |
|
|
2,136 |
|
|
2,465 |
|
||||
| Net interest income |
|
17,916 |
|
|
16,969 |
|
|
16,166 |
|
|
16,491 |
|
|
16,282 |
|
||||
| Provision for loan losses |
|
- - |
|
|
325 |
|
|
325 |
|
|
90 |
|
|
2,365 |
|
||||
| Non-interest income |
|
414 |
|
|
513 |
|
|
325 |
|
|
417 |
|
|
464 |
|
||||
| Non-interest expense |
|
8,786 |
|
|
7,679 |
|
|
7,623 |
|
|
9,067 |
|
|
7,893 |
|
||||
| Income before income taxes |
|
9,544 |
|
|
9,478 |
|
|
8,543 |
|
|
7,751 |
|
|
6,488 |
|
||||
| Income tax expense |
|
1,870 |
|
|
1,931 |
|
|
1,782 |
|
|
1,672 |
|
|
1,414 |
|
||||
| Net income | $ |
7,674 |
|
$ |
7,547 |
|
$ |
6,761 |
|
$ |
6,079 |
|
$ |
5,074 |
|
||||
| Financial performance: | |||||||||||||||||||
| Return on average assets (annualized) |
|
1.40 |
% |
|
1.41 |
% |
|
1.30 |
% |
|
1.20 |
% |
|
1.05 |
% |
||||
| Return on average equity (annualized) |
|
14.76 |
% |
|
14.52 |
% |
|
13.35 |
% |
|
12.64 |
% |
|
10.89 |
% |
||||
| Net interest margin |
|
3.33 |
% |
|
3.22 |
% |
|
3.15 |
% |
|
3.31 |
% |
|
3.43 |
% |
||||
| Non-interest income as a percentage of average assets (annualized) |
|
0.08 |
% |
|
0.10 |
% |
|
0.06 |
% |
|
0.08 |
% |
|
0.10 |
% |
||||
| Non-interest expense to average assets (annualized) |
|
1.61 |
% |
|
1.44 |
% |
|
1.46 |
% |
|
1.79 |
% |
|
1.64 |
% |
||||
| Efficency ratio |
|
47.9 |
% |
|
43.9 |
% |
|
46.2 |
% |
|
53.6 |
% |
|
47.1 |
% |
||||
| Per share data: | |||||||||||||||||||
| Earnings per share - basic | $ |
0.55 |
|
$ |
0.55 |
|
$ |
0.50 |
|
$ |
0.45 |
|
$ |
0.37 |
|
||||
| Earnings per share - diluted | $ |
0.55 |
|
$ |
0.54 |
|
$ |
0.48 |
|
$ |
0.44 |
|
$ |
0.37 |
|
||||
| Tangible book value per share | $ |
14.68 |
|
$ |
15.17 |
|
$ |
14.82 |
|
$ |
14.32 |
|
$ |
13.85 |
|
||||
| Weighted average common shares (basic) |
|
13,783,034 |
|
|
13,581,586 |
|
|
13,580,538 |
|
|
13,572,779 |
|
|
13,557,779 |
|
||||
| Weighted average common shares (diluted) |
|
13,991,692 |
|
|
13,879,595 |
|
|
13,883,104 |
|
|
13,868,147 |
|
|
13,809,751 |
|
||||
| Common shares outstanding at end of period |
|
13,950,570 |
|
|
13,745,598 |
|
|
13,644,985 |
|
|
13,639,173 |
|
|
13,634,754 |
|
||||
| Dividends declared per share | $ |
0.20 |
|
$ |
- - |
|
$ |
- - |
|
$ |
- - |
|
$ |
- - |
|
||||
| Non-interest Income | |||||||||||||||||||
| Service charges on deposit accounts | $ |
77 |
|
$ |
74 |
|
$ |
70 |
|
$ |
60 |
|
$ |
58 |
|
||||
| Bank owned life insurance |
|
95 |
|
|
102 |
|
|
102 |
|
|
100 |
|
|
107 |
|
||||
| Other service charges and fees |
|
137 |
|
|
138 |
|
|
120 |
|
|
115 |
|
|
104 |
|
||||
| Gain on sale of securities |
|
- - |
|
|
- - |
|
|
- - |
|
|
- - |
|
|
10 |
|
||||
| Insurance commissions |
|
221 |
|
|
79 |
|
|
28 |
|
|
22 |
|
|
155 |
|
||||
| Other income (loss) |
|
(116 |
) |
|
120 |
|
|
5 |
|
|
120 |
|
|
30 |
|
||||
| Total non-interest income | $ |
414 |
|
$ |
513 |
|
$ |
325 |
|
$ |
417 |
|
$ |
464 |
|
||||
| Non-interest Expenses | |||||||||||||||||||
| Salaries and employee benefits | $ |
6,027 |
|
$ |
4,765 |
|
$ |
4,977 |
|
$ |
5,680 |
|
$ |
4,989 |
|
||||
| Occupancy expense of premises |
|
493 |
|
|
480 |
|
|
484 |
|
|
514 |
|
|
507 |
|
||||
| Furniture and equipment expenses |
|
325 |
|
|
363 |
|
|
373 |
|
|
378 |
|
|
322 |
|
||||
| Other expenses |
|
1,941 |
|
|
2,071 |
|
|
1,789 |
|
|
2,495 |
|
|
2,075 |
|
||||
| Total non-interest expenses | $ |
8,786 |
|
$ |
7,679 |
|
$ |
7,623 |
|
$ |
9,067 |
|
$ |
7,893 |
|
||||
| Balance Sheets at Quarter End | |||||||||||||||||||
| Total loans | $ |
1,631,260 |
|
$ |
1,666,469 |
|
$ |
1,602,377 |
|
$ |
1,567,112 |
|
$ |
1,605,783 |
|
||||
| Allowance for loan losses |
|
(20,031 |
) |
|
(20,032 |
) |
|
(19,706 |
) |
|
(19,381 |
) |
|
(19,381 |
) |
||||
| Investment securities |
|
409,692 |
|
|
351,629 |
|
|
348,742 |
|
|
306,030 |
|
|
219,106 |
|
||||
| Interest-earning assets |
|
2,217,553 |
|
|
2,121,407 |
|
|
2,062,000 |
|
|
2,032,235 |
|
|
1,979,848 |
|
||||
| Total assets |
|
2,249,609 |
|
|
2,149,309 |
|
|
2,095,504 |
|
|
2,065,895 |
|
|
2,009,988 |
|
||||
| Total deposits |
|
1,983,099 |
|
|
1,881,553 |
|
|
1,837,548 |
|
|
1,815,032 |
|
|
1,761,390 |
|
||||
| Total interest-bearing liabilities |
|
1,530,133 |
|
|
1,435,443 |
|
|
1,416,396 |
|
|
1,379,031 |
|
|
1,388,286 |
|
||||
| Total shareholders' equity |
|
204,855 |
|
|
208,470 |
|
|
202,222 |
|
|
195,246 |
|
|
188,904 |
|
||||
| Quarterly Average Balance Sheets | |||||||||||||||||||
| Total gross loans | $ |
1,620,533 |
|
$ |
1,629,124 |
|
$ |
1,580,695 |
|
$ |
1,602,125 |
|
$ |
1,575,847 |
|
||||
| Allowance for loan losses |
|
(20,032 |
) |
|
(19,889 |
) |
|
(19,525 |
) |
|
(19,530 |
) |
|
(17,816 |
) |
||||
| Investment securities |
|
376,608 |
|
|
356,007 |
|
|
325,027 |
|
|
256,671 |
|
|
180,180 |
|
||||
| Interest-earning assets |
|
2,183,897 |
|
|
2,090,052 |
|
|
2,038,384 |
|
|
1,996,555 |
|
|
1,922,835 |
|
||||
| Total assets |
|
2,216,131 |
|
|
2,121,980 |
|
|
2,069,143 |
|
|
2,027,364 |
|
|
1,954,088 |
|
||||
| Total deposits |
|
1,946,882 |
|
|
1,857,782 |
|
|
1,812,635 |
|
|
1,820,939 |
|
|
1,709,678 |
|
||||
| Total interest-bearing liabilities |
|
1,505,854 |
|
|
1,419,679 |
|
|
1,384,867 |
|
|
1,381,583 |
|
|
1,350,742 |
|
||||
| Total shareholders' equity |
|
210,900 |
|
|
206,237 |
|
|
200,990 |
|
|
192,918 |
|
|
188,995 |
|
||||
| Financial Measures | |||||||||||||||||||
| Average equity to average assets |
|
9.5 |
% |
|
9.7 |
% |
|
9.7 |
% |
|
9.5 |
% |
|
9.7 |
% |
||||
| Investment securities to earning assets |
|
18.5 |
% |
|
16.6 |
% |
|
16.9 |
% |
|
15.1 |
% |
|
11.1 |
% |
||||
| Loans to earning assets |
|
73.6 |
% |
|
78.6 |
% |
|
77.7 |
% |
|
77.1 |
% |
|
81.1 |
% |
||||
| Loans to assets |
|
72.5 |
% |
|
77.5 |
% |
|
76.5 |
% |
|
75.9 |
% |
|
79.9 |
% |
||||
| Loans to deposits |
|
82.3 |
% |
|
88.6 |
% |
|
87.2 |
% |
|
86.3 |
% |
|
91.2 |
% |
||||
| Capital Ratios (Bank Level) | |||||||||||||||||||
| Tangible equity / tangible assets |
|
10.2 |
% |
|
10.8 |
% |
|
10.8 |
% |
|
10.6 |
% |
|
10.5 |
% |
||||
| Total risk-based capital ratio |
|
15.4 |
% |
|
15.3 |
% |
|
15.2 |
% |
|
15.0 |
% |
|
14.6 |
% |
||||
| Tier 1 risk-based capital ratio |
|
14.2 |
% |
|
14.0 |
% |
|
14.0 |
% |
|
13.9 |
% |
|
13.4 |
% |
||||
| Leverage ratio |
|
10.8 |
% |
|
11.0 |
% |
|
10.8 |
% |
|
10.7 |
% |
|
10.8 |
% |
||||
| Common equity tier 1 ratio |
|
14.2 |
% |
|
14.0 |
% |
|
14.0 |
% |
|
12.3 |
% |
|
13.4 |
% |
||||
| John Marshall Bancorp, Inc. | ||||||||||||||||||||||||||
| Loan, Deposit and Borrowing Detail (Unaudited) | ||||||||||||||||||||||||||
| (Dollar amounts in thousands) | ||||||||||||||||||||||||||
2022 |
2021 |
|||||||||||||||||||||||||
| Loans | March 31 | December 31 | September 30 | June 30 | March 31 | |||||||||||||||||||||
$ Amount |
% of Total |
$ Amount |
% of Total |
$ Amount |
% of Total |
$ Amount |
% of Total |
$ Amount |
% of Total |
|||||||||||||||||
| Commercial business loans | $ |
52,569 |
|
3.2 |
% |
$ |
53,378 |
|
3.2 |
% |
$ |
53,166 |
|
3.3 |
% |
$ |
55,375 |
|
3.5 |
% |
$ |
60,637 |
|
3.8 |
% |
|
| Commercial PPP loans |
|
7,781 |
|
0.5 |
% |
|
69,567 |
|
4.2 |
% |
|
75,496 |
|
4.7 |
% |
|
82,190 |
|
5.2 |
% |
|
117,796 |
|
7.3 |
% |
|
| Commercial owner-occupied real estate loans |
|
339,933 |
|
20.9 |
% |
|
345,272 |
|
20.7 |
% |
|
326,585 |
|
20.4 |
% |
|
320,519 |
|
20.4 |
% |
|
307,918 |
|
19.2 |
% |
|
| Total business loans |
|
400,283 |
|
24.6 |
% |
|
468,217 |
|
28.1 |
% |
|
455,247 |
|
28.4 |
% |
|
458,084 |
|
29.2 |
% |
|
486,351 |
|
30.3 |
% |
|
| Investor real estate loans |
|
553,093 |
|
34.0 |
% |
|
523,038 |
|
31.4 |
% |
|
519,384 |
|
32.4 |
% |
|
505,605 |
|
32.3 |
% |
|
502,940 |
|
31.3 |
% |
|
| Construction & development loans |
|
219,160 |
|
13.4 |
% |
|
231,090 |
|
13.9 |
% |
|
228,993 |
|
14.3 |
% |
|
219,175 |
|
14.0 |
% |
|
250,208 |
|
15.6 |
% |
|
| Multi-family loans |
|
99,100 |
|
6.1 |
% |
|
100,132 |
|
6.0 |
% |
|
81,226 |
|
5.1 |
% |
|
92,203 |
|
5.9 |
% |
|
84,689 |
|
5.3 |
% |
|
| Total commercial real estate loans |
|
871,353 |
|
53.5 |
% |
|
854,260 |
|
51.3 |
% |
|
829,603 |
|
51.8 |
% |
|
816,983 |
|
52.1 |
% |
|
837,837 |
|
52.2 |
% |
|
| Residential mortgage loans |
|
356,331 |
|
21.9 |
% |
|
342,491 |
|
20.6 |
% |
|
316,549 |
|
19.8 |
% |
|
291,615 |
|
18.6 |
% |
|
281,964 |
|
17.5 |
% |
|
| Consumer loans |
|
513 |
|
0.0 |
% |
|
586 |
|
0.0 |
% |
|
631 |
|
0.0 |
% |
|
916 |
|
0.1 |
% |
|
793 |
|
0.0 |
% |
|
| Total loans | $ |
1,628,480 |
|
100.0 |
% |
$ |
1,665,554 |
|
100.0 |
% |
$ |
1,602,030 |
|
100.0 |
% |
$ |
1,567,598 |
|
100.0 |
% |
$ |
1,606,945 |
|
100.0 |
% |
|
| Less: Allowance for loan losses |
|
(20,031 |
) |
|
(20,032 |
) |
|
(19,706 |
) |
|
(19,381 |
) |
|
(19,381 |
) |
|||||||||||
| Net deferred loan costs (fees) |
|
2,780 |
|
|
915 |
|
|
347 |
|
|
(486 |
) |
|
(1,162 |
) |
|||||||||||
| Net loans | $ |
1,611,229 |
|
$ |
1,646,437 |
|
$ |
1,582,671 |
|
$ |
1,547,731 |
|
$ |
1,586,402 |
|
|||||||||||
2022 |
2021 |
|||||||||||||||||||||||||
| March 31 | December 31 | September 30 | June 30 | March 31 | ||||||||||||||||||||||
| Deposits | $ Amount | % of Total | $ Amount | % of Total | $ Amount | % of Total | $ Amount | % of Total | $ Amount | % of Total | ||||||||||||||||
| Non-interest bearing demand deposits | $ |
495,811 |
|
25.0 |
% |
$ |
488,838 |
|
26.0 |
% |
$ |
463,868 |
|
25.2 |
% |
$ |
478,705 |
|
26.4 |
% |
$ |
419,796 |
|
23.8 |
% |
|
| Interest-bearing demand deposits: | ||||||||||||||||||||||||||
| NOW accounts(1) |
|
345,087 |
|
17.4 |
% |
|
267,594 |
|
14.2 |
% |
|
294,261 |
|
16.0 |
% |
|
254,060 |
|
14.0 |
% |
|
245,274 |
|
13.9 |
% |
|
| Money market accounts(1) |
|
414,987 |
|
20.9 |
% |
|
366,306 |
|
19.4 |
% |
|
336,651 |
|
18.3 |
% |
|
333,818 |
|
18.4 |
% |
|
344,807 |
|
19.6 |
% |
|
| Savings accounts |
|
114,427 |
|
5.8 |
% |
|
101,376 |
|
5.4 |
% |
|
94,840 |
|
5.2 |
% |
|
79,119 |
|
4.4 |
% |
|
72,102 |
|
4.1 |
% |
|
| Certificates of deposit | ||||||||||||||||||||||||||
| $250,000 or more |
|
241,230 |
|
12.1 |
% |
|
250,204 |
|
13.3 |
% |
|
232,722 |
|
12.7 |
% |
|
243,662 |
|
13.4 |
% |
|
265,772 |
|
15.1 |
% |
|
| Less than $250,000 |
|
91,050 |
|
4.6 |
% |
|
103,084 |
|
5.5 |
% |
|
104,463 |
|
5.7 |
% |
|
112,991 |
|
6.2 |
% |
|
119,828 |
|
6.8 |
% |
|
| QwickRate® certificates of deposit |
|
23,136 |
|
1.2 |
% |
|
25,122 |
|
1.3 |
% |
|
28,998 |
|
1.6 |
% |
|
31,481 |
|
1.7 |
% |
|
38,565 |
|
2.2 |
% |
|
| IntraFi® certificates of deposit |
|
39,628 |
|
2.0 |
% |
|
61,281 |
|
3.3 |
% |
|
66,926 |
|
3.6 |
% |
|
60,761 |
|
3.3 |
% |
|
38,284 |
|
2.2 |
% |
|
| Brokered deposits |
|
217,743 |
|
11.0 |
% |
|
217,748 |
|
11.6 |
% |
|
214,819 |
|
11.7 |
% |
|
220,435 |
|
12.1 |
% |
|
216,962 |
|
12.3 |
% |
|
| Total deposits | $ |
1,983,099 |
|
100.0 |
% |
$ |
1,881,553 |
|
100.0 |
% |
$ |
1,837,548 |
|
100.0 |
% |
$ |
1,815,032 |
|
100.0 |
% |
$ |
1,761,390 |
|
100.0 |
% |
|
| Borrowings | ||||||||||||||||||||||||||
| Federal Home Loan Bank advances |
|
18,000 |
|
42.0 |
% |
$ |
18,000 |
|
42.1 |
% |
$ |
18,000 |
|
42.1 |
% |
$ |
18,000 |
|
42.2 |
% |
$ |
22,000 |
|
47.1 |
% |
|
| Subordinated debt |
|
24,845 |
|
58.0 |
% |
|
24,728 |
|
57.9 |
% |
|
24,716 |
|
57.9 |
% |
|
24,704 |
|
57.8 |
% |
|
24,692 |
|
52.9 |
% |
|
| Total borrowings | $ |
42,845 |
|
100.0 |
% |
$ |
42,728 |
|
100.0 |
% |
$ |
42,716 |
|
100.0 |
% |
$ |
42,704 |
|
100.0 |
% |
$ |
46,692 |
|
100.0 |
% |
|
| Total deposits and borrowings | $ |
2,025,944 |
|
$ |
1,924,281 |
|
$ |
1,880,264 |
|
$ |
1,857,736 |
|
$ |
1,808,082 |
|
|||||||||||
| Core customer funding sources (2) | $ |
1,742,220 |
|
87.1 |
% |
$ |
1,638,683 |
|
86.3 |
% |
$ |
1,593,731 |
|
85.9 |
% |
$ |
1,563,116 |
|
85.3 |
% |
$ |
1,505,863 |
|
84.4 |
% |
|
| Wholesale funding sources (3) |
|
258,879 |
|
12.9 |
% |
|
260,870 |
|
13.7 |
% |
|
261,817 |
|
14.1 |
% |
|
269,916 |
|
14.7 |
% |
|
277,527 |
|
15.6 |
% |
|
| Total funding sources | $ |
2,001,099 |
|
100.0 |
% |
$ |
1,899,553 |
|
100.0 |
% |
$ |
1,855,548 |
|
100.0 |
% |
$ |
1,833,032 |
|
100.0 |
% |
$ |
1,783,390 |
|
100.0 |
% |
|
| (1) Includes IntraFi® accounts. | ||||||||||||||||||||||||||
| (2) Includes reciprocal IntraFi Demand®, IntraFi Money Market® and IntraFi CD® deposits, which are maintained by customers. | ||||||||||||||||||||||||||
| (3) Consists of QwickRate® certificates of deposit, brokered deposits, federal funds purchased and Federal Home Loan Bank advances. | ||||||||||||||||||||||||||
| John Marshall Bancorp, Inc. | ||||||||||||||||||
| Average Balance Sheets, Interest and Rates (unaudited) | ||||||||||||||||||
| (Dollar amounts in thousands) | ||||||||||||||||||
| Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | |||||||||||||||||
| Interest | Average | Interest | Average | |||||||||||||||
| Average | Income- | Yields | Average | Income- | Yields | |||||||||||||
| Balance | Expense | /Rates | Balance | Expense | /Rates | |||||||||||||
| Assets | ||||||||||||||||||
| Securities | $ |
376,608 |
$ |
1,470 |
1.58 |
% |
$ |
180,180 |
$ |
864 |
1.94 |
% |
||||||
| Loans, net of unearned income |
|
1,620,533 |
|
18,184 |
4.55 |
% |
|
1,575,847 |
|
17,839 |
4.59 |
% |
||||||
| Interest-bearing deposits in other banks |
|
186,756 |
|
91 |
0.20 |
% |
|
166,808 |
|
44 |
0.11 |
% |
||||||
| Total interest-earning assets | $ |
2,183,897 |
$ |
19,745 |
3.67 |
% |
$ |
1,922,835 |
$ |
18,747 |
3.95 |
% |
||||||
| Other assets |
|
32,234 |
|
31,253 |
||||||||||||||
| Total assets | $ |
2,216,131 |
$ |
1,954,088 |
||||||||||||||
| Liabilities & Shareholders' equity | ||||||||||||||||||
| Interest-bearing deposits | ||||||||||||||||||
| NOW accounts | $ |
324,852 |
$ |
202 |
0.25 |
% |
$ |
238,993 |
$ |
198 |
0.34 |
% |
||||||
| Money market accounts |
|
392,389 |
|
350 |
0.36 |
% |
|
335,291 |
|
317 |
0.38 |
% |
||||||
| Savings accounts |
|
108,375 |
|
88 |
0.33 |
% |
|
67,248 |
|
65 |
0.39 |
% |
||||||
| Time deposits |
|
637,469 |
|
683 |
0.43 |
% |
|
665,003 |
|
1,480 |
0.90 |
% |
||||||
| Total interest-bearing deposits | $ |
1,463,085 |
$ |
1,323 |
0.37 |
% |
$ |
1,306,535 |
$ |
2,060 |
0.64 |
% |
||||||
| Federal funds purchased | $ |
- - |
$ |
- - |
0.00 |
% |
$ |
1 |
$ |
- - |
0.00 |
% |
||||||
| Subordinated debt |
|
24,769 |
|
476 |
7.79 |
% |
|
24,684 |
|
372 |
6.11 |
% |
||||||
| Other borrowed funds |
|
18,000 |
|
30 |
0.68 |
% |
|
19,522 |
|
33 |
0.69 |
% |
||||||
| Total interest-bearing liabilities | $ |
1,505,854 |
$ |
1,829 |
0.49 |
% |
$ |
1,350,742 |
$ |
2,465 |
0.74 |
% |
||||||
| Demand deposits |
|
483,797 |
|
403,143 |
||||||||||||||
| Other liabilities |
|
15,580 |
|
11,208 |
||||||||||||||
| Total liabilities | $ |
2,005,231 |
$ |
1,765,093 |
||||||||||||||
| Shareholders' equity |
|
210,900 |
|
188,995 |
||||||||||||||
| Total liabilities and shareholders' equity | $ |
2,216,131 |
$ |
1,954,088 |
||||||||||||||
| Interest rate spread | 3.17 |
% |
3.21 |
% |
||||||||||||||
| Net interest income and margin | $ |
17,916 |
3.33 |
% |
$ |
16,282 |
3.43 |
% |
||||||||||
