(PRNewsfoto/INSBANK)

(PRNewsfoto/INSBANK)

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NASHVILLE, Tenn., July 28, 2021 /PRNewswire/ -- InsCorp, parent company to INSBANK (OTCQX:IBTN), today reported second quarter earnings of $1,369,000, or $0.47 per share compared to $549,000 and $.19 per share for the same period in 2020. Year-to-date earnings were $2,659,000, or $0.91 per share, which was a 107.6% increase over the prior year of $1,281,000 for the six months ended June 30, 2020. Net interest margin improved for the third consecutive quarter, as repricing liabilities drove a decrease in the bank's cost of funding. "Our team made steady progress on both short and long-term goals this quarter," said Jim Rieniets, President and CEO of INSBANK. "Growth, margin enhancement, and reduction in non-performing assets all contributed to a double-digit return for our shareholders."

Driven by a variety of on-going technology initiatives, in the second quarter INSBANK also surpassed some of its own peak performance ratios. On a year-to-date basis the bank's efficiency ratio improved to 51%, while assets per employee continued to grow, eclipsing $14 million for the first time ever. "Fintech is rapidly changing the banking landscape, as market share and capital are migrating to institutions capable of both meeting the customer digitally as well as employing technology to operate efficiently," said Rieniets. "Driven by a culture that embraces continuous improvement, our team is meeting the technology challenge as evidenced by these operating metrics," Rieniets continued.   

Highlights of the quarter and year-over-year include (Peer data is as of March 31, 2021):

  • Total assets grew $66.5 million year over year or 11.2% as of June 30, 2021.
  • Non-interest bearing deposits grew $14.6 million or 21.9% during the 12 months ended June 30, 2021.
  • Loans generated through the government's SBA-PPP Phase II program totaled $19 million.
  • Deferred loan fees related to the PPP loans is approximately $770,000 at June 30, 2021.
  • Efficiency ratio was 51.1% at June 30, 2021, comparing favorably to the bank's FDIC peer group average of 60.7%.
  • Non-Interest Expense to Total Average Assets was 1.64% for the six months ended June 30, 2021, slightly lower than 1.78% for the same period in 2020 and compared favorably to the bank's FDIC peer group average of 2.43%.
  • Cost of all interest-bearing funding was .98% for the three months ended June 30, 2021 decreasing from 1.63% for the same period in 2020.
  • Assets per employee remained strong at $14.3 million, compared to the FDIC peer group of $6.6 million.
  • The bank's tier 1 capital ratio was 12.1%, while total risk-based capital was 13.3%.
  • The allowance for loan and lease losses was 1.45% exclusive of PPP loan balances and 1.35% including PPP balances, slightly lower than the bank's FDIC peer group average of 1.37%.
  • Annualized return on tangible common equity for the year was 10.09% for the six months ended June 30, 2021
  • Tangible book value increased $0.80 to $18.04 during the quarter primarily by virtue of retained earnings less a dividend of $.12 per share.

About INSBANK 

Since 2000, INSBANK has offered its clients highly personal services provided by experienced relationship managers, and has utilized technologies to deliver those services efficiently and conveniently. TMA Medical Banking and Medquity are both divisions of INSBANK.  TMA Medical Banking provides banking services to members of the Tennessee Medical Association, while Medquity offers healthcare banking solutions to individuals beyond the scope of Tennessee, whether they are still in residency, practicing or entering retirement. INSBANK is owned by InsCorp, Inc., a Tennessee bank holding company. The bank has offices in Nashville at 2106 Crestmoor Road, and in Brentwood at 5614 Franklin Pike Circle. For more information, please visit www.insbank.com

InsCorp, Inc.

Consolidated Balance Sheets

(000's)

(unaudited)



















June 30,



December 31,



June 30,





2021



2020



2020

Assets













Cash and Cash Equivalents

$                       15,785



$                                8,219



$                         4,986

Interest Bearing Deposits

57,637



33,356



32,297

Securities



16,093



17,039



23,508















Loans



534,574



525,235



500,025

  Allowance for Loan Losses

(7,225)



(7,365)



(6,480)

Net Loans



527,349



517,870



493,545















Premises and Equipment, net

13,437



13,630



13,831

Bank Owned Life Insurance

12,486



10,115



9,989

Restricted Equity Securities

8,630



7,612



6,299

Goodwill and Related Intangibles, net

1,091



1,091



1,091

Other Assets

7,640



8,298



8,090















  Total Assets

$                     660,148



$                            617,230



$                     593,636















Liabilities and Shareholders' Equity











Liabilities













  Deposits















Non-interest-bearing

$                       81,376



$                              52,665



$                       66,773



Interest-bearing

452,422



417,731



397,941



Total Deposits

533,798



470,396



464,714















  Federal Home Loan Bank Advances

40,000



50,000



49,000

  Paycheck Protection Program Liquidity Fund

14,070



18,412



8,400

  Subordinated Debentures

15,000



15,000



15,000

  Federal Funds Purchased

-



7,000



-

  Other Liabilities

3,190



5,328



6,079

Total Liabilities

606,058



566,136



543,193















Shareholders' Equity













Common Stock

31,585



31,190



31,155



Treasury Stock

(663)



(681)



-



Accumulated Retained Earnings

22,666



20,377



18,948



Accumulated Other Comprehensive Income

502



208



340



Total Stockholders' Equity

54,090



51,094



50,443

Total Liabilities & Shareholders' Equity

$                     660,148



$                            617,230



$                     593,636















Tangible Book Value

$                         18.04



$                                17.24



$                         16.85

 

InsCorp, Inc.

Consolidated Statements of Income

(000's)

(Unaudited)



















Six Months Ended



Twelve Months Ended



Six Months Ended





June 30, 2021



December 31, 2020



June 30, 2021















Interest Income

$                       11,998



$                              22,694



$                       11,780

Interest Expense

2,672



7,221



3,975

Net Interest Income

9,326



15,473



7,805

Provision for Loan Losses

1,025



2,400



1,100

Non-Interest Income













Service Charges on Deposit Accounts

119



212



103



Bank Owned Life Insurance

121



251



124



Gain on Interest Rate Hedges and Security sales

307



-



-



Other

583



705



383

Non-Interest Expense













Salaries and Benefits

3,356



6,200



3,137



Occupancy and equipment

644



1,233



584



Data Processing

293



553



270



Marketing and Advertising

208



349



152



Other

1,011



1,843



983

Net income from Operations

3,919



4,063



2,189















Interest Expense-Subordinated Debt

478



956



478

Income Before Income Taxes

3,441



3,107



1,711

Income Tax Expense

(782)



(674)



(430)

Net Income

$                         2,659



$                                2,433



$                         1,281















Return on Weighted Average Common Shares

$                            0.91



$                                   0.83



$                            0.44

 

SOURCE INSBANK

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