White River Bancshares Co. Earns $639,000, or $0.64 Per Diluted Share, in Third Quarter 2023; Highlighted by Double Digit Loan and Deposit Growth Year-Over-year

FAYETTEVILLE, Ark., Oct. 16, 2023 (GLOBE NEWSWIRE) -- White River Bancshares Company (OTCQX: WRIV), (the “Company”) the holding company for Signature Bank of Arkansas (the “Bank”), today reported net income of $639,000, or $0.64 per diluted share, in the third quarter of 2023, compared to $1.33 million, or $1.34 per diluted share, in the third quarter of 2022. In the preceding quarter, the Company earned $779,000, or $0.78 per diluted share. In the first nine months of 2023, net income was $1.76 million, or $1.76 per diluted share, compared to $4.19 million, or $4.22 per diluted share, in the first nine months of 2022. All financial results are unaudited.

“We can credit our performance in the third quarter to substantial growth in deposits and loans,” said Gary Head, Chairman and Chief Executive Officer. “A year ago, we invested in an expansion of our brand. We opened new locations in Harrison and Jonesboro, in addition to our new bilingual banking offering, Banco Sí! Today, we’re seeing 15.0% loan growth and 16.7% deposit growth year-over year. While the rapid rise in funding costs continues to impact our bottom line, we are encouraged by how much of an impact our new market locations are having on new customer relationships. By the way, it’s also worth noting the substantial impact the jobs and economic development from Walmart’s new world headquarters is having on our operations. We are in phenomenal locations, and now have the infrastructure, the right leadership team, and the technology in place to get to where we want to be over the next three years.”

“Our deposit gathering strategy centers on acquiring new accounts and fostering new client relationships. Whether it’s a small business account or a household account, an operating account is an integral piece to a longstanding banking relationship,” said Scott Sandlin, Chief Strategy Officer. “When entering these new markets in 2022, our goal was to build out our deposit base to fund new loan activity. While rising rates changed the deposit mix as customers pursued higher yielding accounts, demand and non-interest-bearing deposits remained strong at 25.3% of total deposits, while savings and interest-bearing transaction accounts represented 36.3% of total deposits at September 30, 2023. In addition to our deposit goals, we are also focused on strengthening our loan to deposit ratio. As of September 30, 2023, our loan to deposit ratio was 97%, and we are aiming to reduce this ratio over the next several quarters. New customer relationships are fueling loan and deposit growth, and we expect this trajectory to continue as we mature in our new market locations.”

Third Quarter 2023 Financial Highlights:

• Third quarter net income was $639,000, or $0.64 per diluted share, compared to $1.33 million, or $1.34 per diluted share, in the third quarter of 2022.
• Third quarter net interest margin (“NIM”) was 2.88%, compared to 3.88% in the third quarter a year ago.
• The Company recorded a $325,000 provision for credit losses in the third quarter of 2023, compared to a $410,000 provision in the third quarter of 2022.
• Net loans increased 15.0% to $897.2 million at September 30, 2023, compared to $780.5 million at September 30, 2022.
• Nonperforming assets totaled $125,000, or 0.01% of total assets at September 30, 2023, compared to $153,000, or 0.02% of total assets, at September 30, 2022.
• Total deposits increased 16.7% to $923.9 million at September 30, 2023, compared to $791.5 million a year ago.
• Core deposits (demand and non-interest-bearing, and savings and interest-bearing transaction accounts) represent 61.6% of total deposits at September 30, 2023.
• The Bank’s uninsured/unpledged deposits totaled approximately 32.9% of total deposits at September 30, 2023.
• Available borrowing capacity totaled $340 million at September 30, 2023, compared to $364.8 million at June 30, 2023.
• Total risk-based capital ratio was 12.13% and the Tier 1 leverage ratio was 9.81% for the Bank at September 30, 2023.
• Tangible book value per common share was $73.61 at September 30, 2023, compared to $76.61 a year ago.
  

Income Statement

“Higher funding costs outpaced asset yields during the quarter, resulting in a 14 basis-point reduction in NIM during the third quarter, compared to the preceding quarter,” said Brant Ward, President. “We anticipate NIM compression could be more muted over the next few quarters if interest rates start to stabilize.” The Company’s NIM was 2.88% in the third quarter of 2023, compared to 3.02% in the preceding quarter and 3.88% in the third quarter of 2022. In the first nine months of 2023, the NIM was 3.01%, compared to 3.79% in the first nine months of 2022.

Net interest income was $7.3 million in the third quarter of 2023, compared to $8.6 million in the third quarter of 2022. Total interest income increased 35.7% to $13.3 million in the third quarter of 2023, compared to $9.8 million in the third quarter of 2022. Largely due to the increase in deposit costs, total interest expense increased to $6.0 million in the third quarter of 2023, from $1.2 million in the third quarter of 2022. In the first nine months of 2023, net interest income was $22.1 million, compared to $24.1 million in the first nine months of 2022.

Noninterest income increased 18.8% to $1.6 million in the third quarter of 2023, compared to $1.4 million in the third quarter a year ago. Higher wealth management fee income more than offset lower secondary market fee income during the third quarter of 2023. In the first nine months of the year, noninterest income was $4.3 million, which was unchanged compared to the first nine months of 2022.

Noninterest expense increased 2.3% to $7.8 million in the third quarter of 2023, compared to $7.6 million in the third quarter of 2022. Higher data processing and marketing and business development fees during the third quarter of 2023 more than offset the decline in salaries and employee benefits during the same period. In the first nine months of the year, noninterest expense increased to $23.6 million, compared to $22.3 million in the first nine months of 2022.

Balance Sheet

Total assets increased 16.3% to a record $1.087 billion at September 30, 2023, from $935.0 million at September 30, 2022, and increased 3.1% compared to $1.054 billion at June 30, 2023. Cash and cash equivalents totaled $32.3 million at September 30, 2023, compared to $16.5 million a year ago. Investment securities totaled $97.5 million at September 30, 2023, from $95.2 million a year ago.

Loans, net of allowance for credit losses, increased 15.0% to $897.2 million at September 30, 2023, compared to $780.5 million a year ago, and increased 3.9% compared to $863.5 million three months earlier.

Total deposits increased 16.7% to $923.9 million at September 30, 2023, compared to $791.5 million a year ago and increased 4.0% compared to $888.2 million at June 30, 2023. Time deposits account for the majority of the deposit growth year-over-year.

FHLB advances increased to $37.9 million at September 30, 2023, from $22.8 million at September 30, 2022, and decreased modestly compared to $38.0 million at June 30, 2023. Total stockholders’ equity was $75.3 million at September 30, 2023, compared to $75.3 million at September 30, 2022 and $76.2 million at June 30, 2023. Tangible book value per common share was $73.61 at September 30, 2023, from $76.61 at September 30, 2022, and $74.36 at June 30, 2023. The decrease in total stockholders’ equity and tangible book value per share at September 30, 2023 compared to a year ago was primarily due to a $9.8 million decrease in accumulated other comprehensive income (“AOCI”) related to an increase in the unrealized loss on available for sale securities reflecting the increase in interest rates during the current quarter. Excluding AOCI, tangible book value per share was $85.46 at September 30, 2023.

Credit Quality

“Asset quality remains strong, as we continue to be optimistic regarding the strength of the loan portfolio,” said Jeff Maland, Chief Risk Officer.

Beginning January 1, 2023, the Company adopted the Current Expected Credit Losses (“CECL”) methodology, which replaced the former “incurred loss” model for recognizing credit losses with an “expected loss” model. Utilizing CECL may have an impact on the Company’s allowance for credit losses going forward and may result in a lack of comparability between 2023 and 2022 quarterly periods.

The Company recorded a $325,000 provision for credit losses in the third quarter of 2023. This compared to a $225,000 provision in the second quarter of 2023, and a $410,000 provision in the third quarter of 2022.

Nonperforming assets totaled $125,000, and represented only 0.01% of total assets at September 30, 2023, compared to $93,000, or 0.01% at June 30, 2023. Nonperforming assets totaled $154,000, or 0.02% of total assets a year ago.

The allowance for credit losses was $10.9 million, or 1.20% of total loans, at September 30, 2023, compared to $10.6 million, or 1.21% of total loans, at June 30, 2023, and $8.7 million, or 1.11% of total loans, at September 30, 2022. Net loan recoveries were $5,000 in the third quarter of 2023, compared to net loan recoveries of $12,000 in the second quarter of 2023, and net loan recoveries of $43,000 in the third quarter of 2022.

Capital

The Bank’s capital ratios continued to exceed regulatory “well-capitalized” requirements, with a Total risk-based capital ratio estimate of 12.13% and Tier 1 leverage ratio of 9.81%, at September 30, 2023.

Recent Developments

The Company launched a new initiative, Banco Sí, to focus on and serve the Hispanic and Latino community. This new market was formed as a division of Signature Bank of Arkansas during the third quarter of 2022, and its initial location opened in downtown Rogers in a historic building at 114 S. 1st St. Banco Sí was launched to create economic growth and access to banking services, capital, and funds for small and midsize businesses in the Latino community.

During the first quarter of 2022, the Company opened its seventh market, located at 111 East Jackson Avenue in Jonesboro. This facility will serve as a temporary location for the market and marks the Company’s entry into Craighead County. According to the 2020 Census, Jonesboro had a population of 78,576 and is the fifth-largest city in Arkansas. Ground was broken on the permanent facility at 502 E. Washington on September 22, 2023.

In the second quarter of 2022, the Company held its grand opening of the sixth market, Harrison, which had been operating in a temporary space for several months while the permanent space was under construction. The entry to Boone County was a new, but familiar market to the Company, as many of its shareholders reside in and around the Harrison area. According to the 2020 Census, Harrison had a population of 13,124.

About White River Bancshares Company

White River Bancshares Company is the single bank holding company for Signature Bank of Arkansas, headquartered in Fayetteville, Arkansas. The Bank has locations in Fayetteville, Springdale, Bentonville, Rogers, Brinkley, Harrison and Jonesboro, Arkansas. Founded in 2005, Signature Bank of Arkansas provides a full line of financial services to small businesses, families and farms. White River Bancshares Company (OTCQX: WRIV), trades on the OTCQX Best Market.  

About the Region

White River Bancshares Company is headquartered in thriving Northwest Arkansas in the Fayetteville-Springdale-Rogers MSA. The region is home to the corporate headquarters for Walmart Stores Inc, Sam’s Club, Tyson Foods, Simmons Foods, and J.B. Hunt Transport. Hundreds of other market-leading companies including Procter & Gamble, Johnson & Johnson, Coca-Cola and Rubbermaid maintain offices in the region in order to maintain their relationships with the locally-based Fortune 500 companies. Northwest Arkansas is also home to the state’s flagship public educational institution, The University of Arkansas and its Sam M. Walton College of Business. The region has seen significant growth in its medical and arts infrastructures with the continued expansion of Washington Regional Medical System, Northwest Medical System, Mercy Health System of Northwest Arkansas and Arkansas Children’s Hospital Northwest. Crystal Bridges Museum of American Art and the Walton Arts Center have led the expansion of the arts. Northwest Arkansas has been repeatedly recognized in recent years as one of the best places to live in the country and remains one of the nation’s fastest-growing regions.

The Company has expanded eastward, with new markets in Jonesboro and Harrison. Jonesboro, located in Craighead County, is a city located on Crowley’s Ridge in the northeastern corner of Arkansas. It is the home of Arkansas State University and the cultural and economic center of Northeast Arkansas. Jonesboro also houses the region’s hospital network. U.S. Steel Corp. announced that it would locate a new $3 billion steel factory in Northeast Arkansas in Osceola, a move expected to create 900 jobs with an average pay over $100,000 annually, making it the largest capital investment project in Arkansas history. Dubbed “Project Blueprint,” the steel mill began construction in early 2022. Harrison sits below Branson, Missouri, which is a family tourist destination and outdoor recreation, and is well known as an entertainment destination.

The Company currently operates out of nine locations; two in Washington County; three in Benton County; two in Monroe County; one in Boone County; and one in Craighead County.

The housing market in Washington and Benton counties remains robust. According to the Northwest Arkansas Board of Realtors, the average home in Washington County sold for $385,000, up 4.9% in August 2023, compared to a year ago, with an average of 84 days on the market. For Benton County, the average house sold for $426,000, up 5.4% from a year ago with an average of 87 days on the market.

Washington County’s population is projected to grow 5.96% from 2023 through 2028, and median household income is projected to increase by 11.12% during the same time frame. Benton County’s population is projected to grow 8.05% from 2023 through 2028, and median household income is projected to increase by 11.31%. Monroe County’s population is projected to decrease by 6.07% from 2023 through 2028 and median household income is projected to increase by 15.34%. Boone County’s population is projected to grow 1.66% from 2023 through 2028 and median household income is projected to increase by 13.62%. Craighead County’s population is projected to grow 4.40% from 2023 through 2028, and the median household income is projected to increase by 17.69%.

Sources:

http://www.nwarealtors.org/market-statistics/
https://www.capitaliq.spglobal.com/

Forward Looking Statements

This press release contains statements about future events. These forward-looking statements, which are based on certain assumptions of management of the Company and the Bank and describe our future plans, strategies and expectations, can generally be identified by use of forward-looking terminology such as “may,” “will,” “believe,” “plan,” “expect,” “intend,” “anticipate,” “estimate,” “project,” or similar expressions or the negative of those terms. Our ability to predict results of future events and the actual effect of future plans or strategies are inherently uncertain and actual results may differ materially from those predicted in such forward-looking statements. Factors that could have a material adverse effect on our operations and future prospects or that could affect the outcome of such forward-looking statements include, but are not limited to, changes in interest rates; the economic health of the local real estate market; general economic conditions; credit deterioration in our loan portfolio that would cause us to increase our allowance for loan losses; legislative or regulatory changes; technological developments; monetary and fiscal policies of the U.S. government, including policies of the U.S. Treasury and the Federal Reserve Board; the quality or composition of our loan and securities portfolios; demand for loan products in our market areas; deposit flows and costs of capital; competition; retention and recruitment of qualified personnel; demand for financial services in our market areas; and changes in accounting principles, policies, and guidelines. 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 declines any obligation to publicly release the result of any revisions that 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.

Contact:
Scott Sandlin, Chief Strategy Officer
479-684-3754

WHITE RIVER BANCSHARES COMPANY
CONSOLIDATED BALANCE SHEETS
(Unaudited)
		September 30, 2023				June 30, 2023				September 30, 2022
ASSETS
Cash and cash equivalents		$	32,312,380			$	32,325,899			$	16,452,466
Investment securities			97,523,688				98,506,257				95,169,822
Loans held for sale			562,500				1,590,000				1,682,618
Loans, net of allowance for credit losses			897,245,750				863,509,798				780,452,305
Premises and equipment, net			29,425,104				29,790,308				28,317,468
Foreclosed assets held for sale			-				-				-
Accrued interest receivable			3,928,509				3,099,653				2,804,238
Bank owned life insurance			9,374,336				9,292,654				1,058,617
Deferred income taxes			5,628,076				4,987,791				4,631,813
Other investments			7,151,204				7,066,522				3,226,173
Intangible assets, net			2,068,423				2,121,458				-
Other assets			2,170,842				2,000,439				1,155,722
TOTAL ASSETS		$	1,087,390,812			$	1,054,290,779			$	934,951,242
LIABILITIES & STOCKHOLDERS’ EQUITY
Deposits:
Demand and non-interest-bearing		$	233,500,987			$	243,548,686			$	257,288,208
Savings and interest-bearing transaction accounts			335,602,053				314,057,615				354,185,035
Time deposits			354,828,320				330,591,356				179,985,925
Total deposits			923,931,360				888,197,657				791,459,168
Federal Home Loan Bank advances			37,932,481				38,017,682				22,769,235
Notes payable			26,303,355				26,286,079				25,385,663
Lease right-of-use liability			16,521,696				16,707,291				15,559,747
Reserve for losses on unfunded commitments			1,558,000				1,558,000				-
Accrued interest payable			2,062,419				1,936,295				505,504
Other liabilities			3,803,220				5,384,308				3,917,657
TOTAL LIABILITIES			1,012,112,531				978,087,312				859,596,974
Stockholders’ equity:
Common stock			10,084				10,084				10,039
Surplus			90,335,815				90,118,719				89,416,483
Accumulated deficit			(4,412,565	)			(5,051,992	)			(4,708,340	)
Treasury stock, at cost			(929,517	)			(820,717	)			(563,441	)
Accumulated other comprehensive loss			(9,725,536	)			(8,052,627	)			(8,800,473	)
TOTAL STOCKHOLDERS’ EQUITY			75,278,281				76,203,467				75,354,268
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY		$	1,087,390,812			$	1,054,290,779			$	934,951,242

WHITE RIVER BANCSHARES COMPANY
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
		For the Three Months Ended
		September 30,			June 30,			September 30,
		2023			2023			2022
INTEREST INCOME
Loans, including fees		$	12,381,749		$	11,302,782		$	9,067,631
Investment securities			706,441			780,362			574,963
Federal funds sold and other			175,691			431,607			129,443
Total interest income			13,263,881			12,514,751			9,772,037
INTEREST EXPENSE
Deposits			5,202,219			4,265,275			781,647
Federal Home Loan Bank advances			399,306			459,605			70,336
Notes payable			398,017			394,464			362,254
Federal funds purchased and other			14,302			-			7,603
Total interest expense			6,013,844			5,119,344			1,221,840
NET INTERST INCOME			7,250,037			7,395,407			8,550,197
Provision for credit losses			325,000			225,000			410,000
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES			6,925,037			7,170,407			8,140,197
NON-INTEREST INCOME
Service charges and fees on deposits			151,016			146,434			136,156
Wealth management fee income			896,768			638,436			559,358
Secondary market fee income			70,960			140,961			231,012
Bank owned-life insurance income			81,682			79,956			1,823
Loss on sales and write-downs of foreclosed assets			-			-			-
Other non-interest income			425,791			438,134			440,568
TOTAL NON-INTEREST INCOME			1,626,217			1,443,921			1,368,917
NON-INTEREST EXPENSE
Salaries and benefits			4,507,559			4,494,027			5,009,832
Occupancy and equipment			968,060			950,581			886,450
Data processing			833,755			745,330			577,219
Marketing and business development			444,957			523,460			320,613
Professional services			604,962			479,291			533,614
Amortization of other intangible assets			53,036			-			-
Other non-interest expense			414,613			401,090			320,179
TOTAL NON-INTEREST EXPENSE			7,826,942			7,593,779			7,647,907
Income before income taxes			724,312			1,020,549			1,861,207
Income tax provision			84,885			242,019			526,576
NET INCOME		$	639,427		$	778,530		$	1,334,631
EARNINGS PER SHARE
Basic		$	0.64		$	0.78		$	1.34
Diluted		$	0.64		$	0.78		$	1.34

WHITE RIVER BANCSHARES COMPANY
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
			Nine Months Ended
			September 30,
			2023				2022
INTEREST INCOME
Loans, including fees			$	34,357,109		$	25,389,852
Investment securities				2,115,340			1,400,298
Federal funds sold and other				884,037			277,233
Total Interest Income				37,356,486			27,067,383
INTEREST EXPENSE
Deposits				12,433,746			2,085,235
Federal Home Loan Bank advances				1,556,488			195,724
Notes payable				1,188,741			698,002
Federal funds purchased and other				47,727			7,603
Total interest expense				15,226,702			2,986,564
NET INTERST INCOME				22,129,784			24,080,819
Provision for credit losses				700,000			410,000
NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES				21,429,784			23,670,819
NON-INTEREST INCOME
Service charges and fees on deposits				448,493			389,702
Wealth management fee income				2,052,718			1,816,651
Secondary market fee income				278,694			1,030,612
Bank owned life insurance income				240,012			5,549
Loss on sales and write-downs of foreclosed assets				-			(151,480	)
Other non-interest income				1,279,291			1,195,038
TOTAL NON-INTEREST INCOME				4,299,208			4,286,072
NON-INTEREST EXPENSE
Salaries and benefits				14,260,082			14,583,074
Occupancy and equipment				2,810,621			2,464,542
Data processing				2,237,196			1,834,815
Marketing and business development				1,442,126			992,715
Professional services				1,590,152			1,418,768
Amortization of other intangible asset				53,036			-
Other non-interest expense				1,197,719			989,203
TOTAL NON-INTEREST EXPENSE				23,590,932			22,283,117
Income before income taxes				2,138,060			5,673,774
Income tax provision				380,591			1,479,215
NET INCOME			$	1,757,469		$	4,194,559
EARNINGS PER SHARE
Basic			$	1.76		$	4.22
Diluted			$	1.76		$	4.22

WHITE RIVER BANCSHARES COMPANY
SUPPLEMENTAL INFORMATION
		(Unaudited)
		Three Months Ended
		September 30,				June 30,				September 30,
		2023				2023				2022
FOR THE PERIOD
Net income		$	639,427			$	778,530			$	1,334,631
Net income before taxes			724,312				1,020,549				1,861,207
Dividends declared per share			-				1.00				-
PERIOD END BALANCE
Total assets		$	1,087,390,812			$	1,054,290,779			$	934,951,242
Total investments			97,523,688				98,506,257				95,169,822
Total loans, net			897,245,750				863,509,798				780,452,305
Allowance for credit losses			(10,928,875	)			(10,608,962	)			(8,738,473	)
Total deposits			923,931,360				888,197,657				791,459,168
Stockholders’ equity			75,278,281				76,203,467				75,354,268
RATIO ANALYSIS
Return on average assets (annualized)			0.24	%			0.30	%			0.58	%
Return on average equity (annualized)			3.25	%			3.94	%			6.87	%
Net loans/Deposits			97.11	%			97.22	%			98.61	%
Total Shareholders’ Equity/Total assets			6.92	%			7.23	%			8.06	%
Net loan losses/Total loans			-0.01	%			0.00	%			-0.01	%
Uninsured & unpledged deposits			32.92	%			30.35	%			29.10	%
PER SHARE DATA
Shares outstanding			994,596				996,196				994,996
Weighted average shares outstanding			995,674				997,567				994,996
Diluted weighted average shares outstanding			995,723				997,585				995,687
Basic earnings		$	0.64			$	0.78			$	1.34
Diluted earnings			0.64				0.78				1.34
Book value			75.69				76.49				75.73
Tangible book value			73.61				74.36				76.61
ASSET QUALITY
Net (recoveries) charge-offs		$	(5,087	)		$	(12,410	)		$	(43,488	)
Classified assets			910,428				1,687,091				411,636
Nonperforming loans			124,672				92,618				153,362
Nonperforming assets			124,672				92,618				153,362
Total nonperforming loans/Total loans			0.01	%			0.01	%			0.02	%
Total nonperforming loans/Total assets			0.01	%			0.01	%			0.02	%
Total nonperforming assets/Total assets			0.01	%			0.01	%			0.02	%
Allowance for credit losses/Total loans			1.20	%			1.21	%			1.11	%

WHITE RIVER BANCSHARES COMPANY
INTEREST INCOME AND EXPENSE
(Unaudited)
		Three Months Ended
		September 30,									June 30,									September 30,
		2023									2023									2022
		Average						Average			Average						Average			Average						Average
		Balance			Interest			Yield/Rate			Balance			Interest			Yield/Rate			Balance			Interest			Yield/Rate
Interest-earning assets
Federal funds sold and other		$	13,590,719		$	175,691		5.13	%		$	33,668,022		$	431,607		5.14	%		$	23,960,268		$	129,443		2.14	%
Investment securities			104,185,411			706,441		2.69	%			98,944,071			780,362		3.16	%			99,741,280			574,963		2.29	%
Loans receivable			879,512,966			12,381,749		5.59	%			850,747,374			11,302,782		5.33	%			750,079,728			9,067,631		4.80	%
Total interest-earning assets			997,289,096		$	13,263,881		5.28	%			983,359,467		$	12,514,751		5.10	%			873,781,276		$	9,772,037		4.44	%
Noninterest-earning assets			63,042,922									67,618,864									34,911,606
Total assets		$	1,060,332,018								$	1,050,978,331								$	908,692,882
Interest-bearing liabilities:
Interest-bearing deposits		$	666,059,040		$	5,202,219		3.10	%		$	648,067,147		$	4,265,275		2.64	%		$	534,033,840		$	781,647		0.58	%
FHLB advances and federal funds purchased			38,935,770			413,608		4.21	%			40,650,920			459,605		4.53	%			13,285,949			77,939		2.33	%
Notes payable			26,297,283			398,017		6.00	%			25,459,394			394,464		6.21	%			21,587,065			362,254		6.66	%
Total interest-bearing liabilities			731,292,093		$	6,013,844		3.26	%			714,177,461		$	5,119,344		2.88	%			568,906,854		$	1,221,840		0.85	%
Noninterest-bearing liabilities			250,898,403									257,452,327									262,673,429
Total liabilities			982,190,496									971,629,788									831,580,283
Stockholders’ equity			78,141,522									79,348,543									77,112,599
Total liabilities and stockholders’ equity		$	1,060,332,018								$	1,050,978,331								$	908,692,882
Net interest-earning assets		$	265,997,003								$	269,182,006								$	304,874,422
Net interest spread					$	7,250,037		2.01	%					$	7,395,407		2.23	%					$	8,550,197		3.58	%
Net interest margin								2.88	%								3.02	%								3.88	%

WHITE RIVER BANCSHARES COMPANY
INTEREST INCOME AND EXPENSE
(Unaudited)
		Nine Months Ended September 30,
		2023									2022
		Average						Average			Average						Average
		Balance			Interest			Yield/Rate			Balance			Interest			Yield/Rate
Interest-earning assets:
Federal funds sold and other		$	24,149,390		$	884,037		4.89	%		$	45,661,372		$	277,233		0.81	%
Investment securities			103,084,372			2,115,340		2.74	%			91,227,775			1,400,298		2.05	%
Loans receivable			855,273,124			34,357,109		5.37	%			712,785,592			25,389,852		4.76	%
Total interest-earning assets			982,506,886		$	37,356,486		5.08	%			849,674,739		$	27,067,383		4.26	%
Noninterest-earning assets			60,818,767									35,352,522
Total assets		$	1,043,325,653								$	885,027,261
Interest-bearing liabilities:
Interest-bearing deposits		$	636,537,671		$	12,433,746		2.61	%		$	509,887,837		$	2,085,235		0.55	%
FHLB advances and federal funds purchased			48,391,715			1,604,215		4.43	%			12,120,343			203,327		2.24	%
Notes payable			25,726,819			1,188,741		6.18	%			14,438,191			698,002		6.46	%
Total interest-bearing liabilities			710,656,205		$	15,226,702		2.86	%			536,446,371		$	2,986,564		0.74	%
Noninterest-bearing liabilities			253,860,618									270,588,314
Total liabilities			964,516,823									807,034,685
Stockholders’ equity			78,808,830									77,992,576
Total liabilities and stockholders’ equity		$	1,043,325,653								$	885,027,261
Net interest-earning assets		$	271,850,681								$	331,228,368
Net interest spread					$	22,129,784		2.22	%					$	24,080,819		3.51	%
Net interest margin								3.01	%								3.79	%