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     101  0 Kommentare The First Bancshares, Inc. Reports Results for First Quarter ended March 31, 2024

    The First Bancshares, Inc. (“FBMS” or “the Company”) (NASDAQ: FBMS), holding company for The First Bank, (www.thefirstbank.com) reported today financial results for the quarter ended March 31, 2024.

    Highlights for the Quarter:

    • Net income available to common shareholders totaled $20.6 million for the quarter ended March 31, 2024, representing an increase of 86.7% when compared to $11.0 million for the quarter ended December 31, 2023. Several one-time items are detailed in the tables located in the appendix of this release.
    • Excluding one-time items detailed in the tables located in the appendix of this release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1% to $20.6 million for the quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023.
    • Total deposits increased $247.5 million for the quarter ended March 31, 2024 representing an increase of 3.8% as compared to the quarter ended December 31, 2023.
    • Annualized net interest margin decreased 8 basis points to 3.20% for the quarter ended March 31, 2024 from 3.28% for the quarter ended December 31, 2023 due to the reduction of accretion income as well as increased deposit cost.
    • Core net interest margin decreased 4 basis points during the quarter ended March 31, 2024 from 3.14% to 3.10%.
    • Cost of deposits averaged 178 basis points for the first quarter of 2024 compared to 154 basis points for the fourth quarter 2023.
    • Total loans decreased $30.1 million for the quarter ended March 31, 2024, representing net decrease of 2.3% on an annualized basis, as compared to the quarter ended December 31, 2023. SBA loan sales represented $23.1 million of the decrease.
    • Past due loans to total loans were $13.4 million or 0.26% for the quarter ending March 31, 2024, compared to $11.7 million, or 0.23% for the quarter ending December 31, 2023, and $11.6 million, or 0.23% for the quarter ending March 31, 2023.
    • Annualized quarter-to-date net charge-offs to total loans were $0.1 million, or 0.01% for the quarter ending March 31, 2024, compared to $0.8 million, or 0.06% for the quarter ending December 31, 2023 and $0.1 million, or 0.01% for the quarter ending March 31, 2023.
    • Nonperforming assets to total assets were $18.4 million, or 0.23% for the quarter ending March 31, 2024, compared to $20.2 million, or 0.25% for the quarter ending December 31, 2023, and $22.5 million, 0.28% for the quarter ending March 31, 2023.
    • For additional information, see the investor presentation filed and available under presentations and press releases included in the investor relations section of the Company's website: www.thefirstbank.com.

    M. Ray “Hoppy” Cole, Jr., President and Chief Executive Officer, commented, “We are pleased with our overall results for the quarter. Operating income increased 10% quarter over quarter due to reduced operating expenses and some stabilization in the margin. Total deposits increased $42 million or 0.6% year over year and although loans were down at quarter end, pipelines actually grew and are in a strong position for this point in the year. Credit quality remains stable with low past dues and low non-performing assets. All in all, a solid quarter and good start to the year.”

    Quarterly Earnings

    Net income available to common shareholders totaled $20.6 million for the quarter ended March 31, 2024, an increase of $9.6 million, or 86.7%, when compared to $11.0 million for the quarter ended December 31, 2023.

    Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1%, to $20.6 million for quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023. The increase in net earnings is attributable to a decrease in non-interest expense of $1.0 million and a decrease in provision for credit losses of $1.3 million.

    The Company recorded no provision for credit losses for the quarter ended March 31, 2024 and $1.3 million for the quarter ended December 31, 2023.

    Lesen Sie auch

    Earnings Per Share

    For the first quarter of 2024, diluted earnings per share were $0.65 compared to $0.35 for the fourth quarter of 2023 and $0.52 for the first quarter of 2023.

    Diluted earnings per share, operating (non-GAAP) were $0.65 for the first quarter of 2024 compared to $0.59 for the fourth quarter of 2023 and $0.86 for the first quarter of 2023.

    Balance Sheet

    Consolidated assets decreased $35.6 million to $7.964 billion at March 31, 2024 from $7.999 billion at December 31, 2023. Loans decreased $30.1 million, or 0.6%, for the quarterly comparison.

    Total loans were $5.140 billion for the quarter ended March 31, 2024, as compared to $5.170 billion for the quarter ended December 31, 2023, and $4.970 billion for the quarter ended March 31, 2023, representing a decrease of $30.1 million, or 0.6%, for the sequential quarter comparison, and an increase of $170.2 million, or 3.4%, for the prior year quarterly comparison.

    Total deposits were $6.710 billion for the quarter ended March 31, 2024, as compared to $6.463 billion for the quarter ended December 31, 2023, and $6.668 billion for the quarter ended March 31, 2023, representing an increase of $247.5 million, or 3.8%, for the sequential quarter comparison, and an increase of $42.4 million, or 0.6%, for the prior year quarterly comparison.

    Deposits increased $247.5 million, or 3.8% for the prior quarter comparison. Excluding an increase in public funds of $256.9 million, deposits decreased $9.4 million, or 0.2% for the prior quarter comparison.

    Book value per share increased to $30.45 at March 31, 2024 from $30.22 at December 31, 2023.

    Asset Quality

    Nonperforming assets totaled $18.4 million at March 31, 2024, a decrease of $1.8 million compared to $20.2 million at December 31, 2023 and a decrease of $4.1 million compared to $22.5 million at March 31, 2023.

    Nonaccrual loans totaled $11.0 million, an increase of $0.3 million as compared to December 31, 2023 and a decrease of $6.4 million as compared to March 31, 2023.

    The ratio of the allowance for credit losses (ACL) to total loans was 1.05% at March 31, 2024, 1.05% at December 31, 2023 and 1.06% at March 31, 2023. The ratio of annualized net charge-offs to total loans was 0.01% for the quarter ended March 31, 2024 compared to 0.06% for the quarter ended December 31, 2023 and 0.01% for the quarter ended March 31, 2023.

    First Quarter 2024 vs Fourth Quarter 2023 Earnings Comparison

    Net income available to common shareholders for the first quarter of 2024 increased $9.6 million to $20.6 million compared to $11.0 million for the fourth quarter of 2023.

    Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) increased $1.9 million, or 10.1%, to $20.6 million for quarter ended March 31, 2024 as compared to $18.7 million for the quarter ended December 31, 2023. The increase in net earnings is attributable to a decrease in non-interest expense of $1.0 million and a decrease in provision for credit losses of $1.3 million.

    Net interest income for the first quarter of 2024 was $57.3 million as compared to $57.7 million for the fourth quarter of 2023, a decrease of $0.3 million. The decrease was largely due to the decrease in accretion of purchase accounting adjustments of $0.6 million as well as increased interest expense of $3.3 million partially offset by an increase in interest income of $2.9 million.

    First quarter 2024 net interest margin of 3.20% included 15 basis points related to purchase accounting adjustments compared to 3.28% for the fourth quarter in 2023, which included 19 basis points related to purchase accounting adjustments.

    Core net interest margin decreased 4 basis points to 3.10% for the first quarter of 2024 from 3.14% for the fourth quarter of 2023.

    Investment securities totaled $1.745 billion, or 21.9% of total assets at March 31, 2024, compared to $1.735 billion, or 21.7% of total assets at December 31, 2023. The average balance of investment securities decreased $11.0 million in sequential-quarter comparison. The average tax equivalent yield on investment securities (non-GAAP) increased 11 basis points to 2.48% from 2.37% in sequential-quarter comparison. The investment portfolio had a net unrealized loss of $127.6 million at March 31, 2024 as compared to a net unrealized loss of $121.9 million at December 31, 2023.

    The average yield on all earning assets (non-GAAP) increased in sequential-quarter comparison from 5.04% to 5.12%. Interest expense on average interest bearing liabilities increased 18 basis points from 2.47% for the fourth quarter of 2023 to 2.65% for the first quarter of 2024.

    Cost of all deposits averaged 178 basis points for the first quarter of 2024 compared to 154 basis points for the fourth quarter of 2023. This increase was a result of rising interest rates and competition for deposits.

    Non-interest income increased $10.3 million from $2.3 million in the fourth quarter of 2023 to $12.7 million in the first quarter of 2024, primarily attributable to a $9.7 million loss on sales of available for sale investment securities in the fourth quarter for 2023.

    Non-interest expense for the first quarter of 2024 was $43.4 million compared to $44.4 million for the fourth quarter of 2023, a decrease of $1.0 million.

    First Quarter 2024 vs. First Quarter 2023 Earnings Comparison

    Net income available to common shareholders for the first quarter of 2024 totaled $20.6 million compared to $16.3 million for the first quarter of 2023, an increase of $4.4 million or 26.8%.

    Excluding one-time items detailed in the tables included with this press release, net earnings available to common shareholders, operating (non-GAAP) decreased $6.5 million, or 23.9%, to $20.6 million for quarter ended March 31, 2024, as compared to $27.1 million for the quarter ended March 31, 2023. This decrease is attributable to a decrease in net interest income of $7.6 million.

    Net interest income for the first quarter of 2024 was $57.3 million, a decrease of $7.6 million or 11.7% when compared to the first quarter of 2023. Fully tax equivalent (“FTE”) net interest income (non-GAAP) totaled $58.3 million and $65.9 million for the first quarter of 2024 and 2023, respectively. Purchase accounting adjustments increased $1.0 million for the first quarter comparisons. The decrease was largely due to increased interest expense due to increased competition for deposits.

    First quarter of 2024 net interest margin was 3.20%, which included 15 basis points related to purchase accounting adjustments compared to 3.63% for the same quarter in 2023, which included 19 basis points related to purchase accounting adjustments. Excluding the purchase accounting adjustments, the core net interest margin (non-GAAP) decreased 38 basis points in prior year quarterly comparison primarily due to an increase in rates on interest bearing liabilities.

    Non-interest income increased $0.1 million for the first quarter of 2024 as compared to the first quarter of 2023.

    First quarter 2024 non-interest expense was $43.4 million, a decrease of $2.2 million, or 4.9% as compared to the first quarter of 2023. Excluding acquisition charges, non-interest expense increased $1.5 million of which salaries and employee benefits increased $ 1.0 million.

    Investment securities totaled $1.745 billion, or 21.9% of total assets at March 31, 2024, compared to $1.962 billion, or 24.5% of total assets at March 31, 2023. For the first quarter of 2024 compared to the first quarter of 2023, the average balance of investment securities decreased $217.3 million. The average tax equivalent yield on investment securities (non-GAAP) increased 17 basis points to 2.48% from 2.31% in the prior year quarterly comparison. The investment portfolio had a net unrealized loss of $127.6 million at March 31, 2024 as compared to a net unrealized loss of $137.6 million at March 31, 2023.

    The average yield on all earning assets increased 63 basis points in prior year quarterly comparison, from 4.49% for the first quarter of 2023 to 5.12% for the first quarter of 2024. Interest expense on average interest bearing liabilities increased 141 basis points from 1.24% for the first quarter of 2023 to 2.65% for the first quarter of 2024.

    Cost of all deposits averaged 178 basis points for the first quarter of 2024 compared to 72 basis points for the first quarter of 2023.

    Declaration of Cash Dividend

    The Company announced that its Board of Directors declared a cash dividend of $0.25 per share to be paid on its common stock on May 23, 2024 to shareholders of record as of the close of business on May 7, 2024.

    Conference Call

    The Company will host a conference call for analysts and investors to discuss the Company’s financial results at 10:00 a.m. Central Time on Thursday, April 25, 2024. Investors and analysts may participate by clicking on the Participant Conference Link: https://register.vevent.com/register/BIbc177289ae6b45cc8d010c66fc8b81d .... An audio archive of the conference call along with the transcript will be available within 24-48 hours after the call and placed in the Investor Relations section of our website.

    About The First Bancshares, Inc.

    The First Bancshares, Inc., headquartered in Hattiesburg, Mississippi, is the parent company of The First Bank (“The First”). Founded in 1996, The First has operations in Mississippi, Louisiana, Alabama, Florida and Georgia. The Company’s stock is traded on the NASDAQ Global Market under the symbol FBMS. Information is available on the Company’s website: www.thefirstbank.com.

    Non-GAAP Financial Measures

    Our accounting and reporting policies conform to generally accepted accounting principles (“GAAP”) in the United States and prevailing practices in the banking industry. However, certain non-GAAP measures are used by management to supplement the evaluation of our performance. This press release includes pre-tax, pre-provision operating earnings, FTE net interest income, FTE net interest margin, core net interest margin, FTE average yield on investment securities, FTE average yield on all earning assets, total tangible common equity, tangible book value per common share, net earnings available to common shareholders, operating, diluted earnings per share, operating, efficiency ratio, operating and certain ratios derived from these non-GAAP financial measures. The Company believes that the non-GAAP financial measures included in this press release allow management and investors to understand and compare results in a more consistent manner for the periods presented in this press release. Fully-tax equivalent, or "FTE", financial metrics are measures used by management to evaluate the corresponding GAAP financial metrics in a manner that takes into account the tax benefits associated with income sources that are exempt from state or federal taxes. Core net interest margin is used by management to measure the net return on earnings assets, which includes investment securities, loans, and leases but excludes certain income and expense items that the Company's management considers to be non-core/adjusted in nature. Similarly, "operating" financial metrics, including operating efficiency ratio and operating earnings per share, are used by management to evaluate operating results exclusive of items that are not indicative of ongoing operations and impact period-to-period comparisons. Management uses "tangible" financial metrics, including tangible common equity and tangible book value, to measure the value of the Company's assets net of intangible assets, such as goodwill. Non-GAAP financial measures should be considered supplemental and not a substitute for the Company’s results reported in accordance with GAAP for the periods presented, and other bank holding companies may define or calculate these measures differently. These non-GAAP financial measures should not be considered in isolation and do not purport to be an alternative to net income, earnings per share, net interest income, book value, net interest margin, common equity, net earnings available to common shareholders, diluted earnings per share, efficiency ratio, average yield on investment securities, average yield on all earning assets, or other GAAP financial measures as a measure of operating performance. A reconciliation of these non-GAAP financial measures to the most comparable GAAP measure is provided in this press release following the Condensed Consolidated Financial Information (unaudited).

    Forward Looking Statements

    This news release and certain of our other filings with the Securities and Exchange Commission contain statements that constitute “forward looking statements” within the meaning of, and subject to the protections of, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

    All statements other than statements of historical fact are forward-looking statements. Such statements can generally be identified by such words as “believes,” “anticipates,” “expects,” “may,” “will,” “assumes,” “should,” “predicts,” “could,” “would,” “intends,” “targets,” “estimates,” “projects,” “plans,” “potential,” “positioned” and other similar words and expressions of the future or otherwise regarding the outlook for the Company’s future business and financial performance and/or the performance of the banking industry and economy in general. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve known and unknown risk and uncertainties which may cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements are based on the information known to, and current beliefs and expectations of, the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by such forward-looking statements. Factors that might cause such differences include, but are not limited to: (1) competitive pressures among financial institutions increasing significantly; (2) prevailing, or changes in, economic or political conditions, either nationally or locally, particularly in areas in which the Company conducts operations, including the effects of declines in the real estate market, high unemployment rates, inflationary pressure, elevated interest rates and slowdowns in economic growth, as well as the financial stress on borrowers as a result of the foregoing; (3) interest rate risk, including the effects of rising interest rates; (4) developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; (5) changes in applicable laws, rules, or regulations; (6) risks related to the Company’s recently completed acquisitions, including that the anticipated benefits from the recently completed acquisitions are not realized in the time frame anticipated or at all as a result of changes in general economic and market conditions or other unexpected factors or events; (7) changes in management’s plans for the future; (8) credit risk associated with our lending activities; (9) changes in loan demand, real estate values, or competition; (10) changes in accounting principles, policies, or guidelines; (11) adverse results from current or future litigation, regulatory examinations or other legal and/or regulatory actions, including as a result of the Company's participation in and execution of government programs related to the COVID-19 pandemic and related variants; (12) higher inflation and its impacts; (13) significant turbulence or disruption in the capital or financial markets and the effect of a fall in stock market prices on our investment securities; (14) potential impacts of the adverse developments in the banking industry highlighted by high-profile bank failures, including impacts on customer confidence, deposit outflows, liquidity and the regulatory response thereto; (15) the effects of war or other conflicts including the impacts relating to or resulting from Russia's military action in Ukraine or the conflict in Israel and surrounding areas, and (16) other general competitive, economic, political, and market factors, including those affecting our business, operations, pricing, products, or services.

    These and other factors that could cause results to differ materially from those described in the forward-looking statements, as well as a discussion of the risks and uncertainties that may affect our business, can be found in our Annual Report on Form 10-K and in other filings we make with the SEC, which are available on the SEC’s website, http://www.sec.gov. Undue reliance should not be placed on forward-looking statements. The Company disclaims any obligation to update such factors or to publicly announce the results of any revisions to any of the forward-looking statements included herein to reflect future events or developments.

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (Dollars in thousands except per share data)

    EARNINGS DATA

    Quarter

    Ended

    3/31/24

     

    Quarter

    Ended

    12/31/23

     

    Quarter

    Ended

    9/30/23

     

    Quarter

    Ended

    6/30/23

     

    Quarter

    Ended

    3/31/23

    Total Interest Income

    $

    91,663

     

     

    $

    88,720

     

     

    $

    85,681

     

     

    $

    86,194

     

     

    $

    80,338

     

    Total Interest Expense

     

    34,322

     

     

     

    31,055

     

     

     

    24,977

     

     

     

    20,164

     

     

     

    15,412

     

    Net Interest Income

     

    57,341

     

     

     

    57,665

     

     

     

    60,704

     

     

     

    66,030

     

     

     

    64,926

     

    Net Interest Income excluding PPP Fee Income

     

    57,340

     

     

     

    57,664

     

     

     

    60,703

     

     

     

    66,029

     

     

     

    64,718

     

    FTE net interest income*

     

    58,339

     

     

     

    58,651

     

     

     

    61,696

     

     

     

    67,028

     

     

     

    65,924

     

    Provision for credit losses

     

     

     

     

    1,250

     

     

     

    1,000

     

     

     

    1,250

     

     

     

    11,000

     

    Non-interest income

     

    12,679

     

     

     

    2,346

     

     

     

    19,324

     

     

     

    12,423

     

     

     

    12,612

     

    Non-interest expense

     

    43,425

     

     

     

    44,433

     

     

     

    47,724

     

     

     

    46,899

     

     

     

    45,670

     

    Earnings before income taxes

     

    26,595

     

     

     

    14,328

     

     

     

    31,304

     

     

     

    30,304

     

     

     

    20,868

     

    Income tax expense

     

    5,967

     

     

     

    3,281

     

     

     

    6,944

     

     

     

    6,525

     

     

     

    4,597

     

    Net income available to common shareholders

    $

    20,628

     

     

    $

    11,047

     

     

    $

    24,360

     

     

    $

    23,779

     

     

    $

    16,271

     

     

     

     

     

     

     

     

     

     

     

    PER COMMON SHARE DATA

     

     

     

     

     

     

     

     

     

    Basic earnings per share

    $

    0.66

     

     

    $

    0.35

     

     

    $

    0.78

     

     

    $

    0.76

     

     

    $

    0.52

     

    Diluted earnings per share

     

    0.65

     

     

     

    0.35

     

     

     

    0.77

     

     

     

    0.75

     

     

     

    0.52

     

    Diluted earnings per share, operating*

     

    0.65

     

     

     

    0.59

     

     

     

    0.76

     

     

     

    0.85

     

     

     

    0.86

     

    Quarterly dividends per share

     

    0.25

     

     

     

    0.24

     

     

     

    0.23

     

     

     

    0.22

     

     

     

    0.21

     

    Book value per common share at end of period

     

    30.45

     

     

     

    30.22

     

     

     

    28.57

     

     

     

    28.64

     

     

     

    28.58

     

    Tangible book value per common share at period end*

     

    19.70

     

     

     

    19.35

     

     

     

    17.62

     

     

     

    17.62

     

     

     

    17.49

     

    Market price at end of period

     

    25.95

     

     

     

    29.33

     

     

     

    26.97

     

     

     

    25.84

     

     

     

    25.83

     

    Shares outstanding at period end

     

    31,528,748

     

     

     

    31,399,803

     

     

     

    31,404,231

     

     

     

    31,406,220

     

     

     

    31,364,973

     

    Weighted average shares outstanding:

     

     

     

     

     

     

     

     

     

    Basic

     

    31,475,254

     

     

     

    31,401,612

     

     

     

    31,405,439

     

     

     

    31,378,364

     

     

     

    31,309,458

     

    Diluted

     

    31,630,745

     

     

     

    31,587,506

     

     

     

    31,609,564

     

     

     

    31,591,665

     

     

     

    31,541,213

     

     

     

     

     

     

     

     

     

     

     

    AVERAGE BALANCE SHEET DATA

     

     

     

     

     

     

     

     

     

    Total assets

    $

    8,005,574

     

     

    $

    7,917,303

     

     

    $

    7,873,345

     

     

    $

    7,882,130

     

     

    $

    8,003,254

     

    Loans and leases

     

    5,158,071

     

     

     

    5,145,228

     

     

     

    5,038,928

     

     

     

    4,982,368

     

     

     

    4,975,663

     

    Total deposits

     

    6,599,287

     

     

     

    6,440,774

     

     

     

    6,466,141

     

     

     

    6,501,372

     

     

     

    6,816,473

     

    Total common equity

     

    952,708

     

     

     

    901,530

     

     

     

    905,070

     

     

     

    901,499

     

     

     

    868,995

     

    Total tangible common equity*

     

    612,470

     

     

     

    558,889

     

     

     

    560,071

     

     

     

    554,792

     

     

     

    538,903

     

     

     

     

     

     

     

     

     

     

     

    SELECTED RATIOS

     

     

     

     

     

     

     

     

     

    Annualized return on avg assets (ROA)

     

    1.03

    %

     

     

    0.56

    %

     

     

    1.24

    %

     

     

    1.21

    %

     

     

    0.81

    %

    Annualized return on avg assets, operating*

     

    1.03

    %

     

     

    0.95

    %

     

     

    1.22

    %

     

     

    1.36

    %

     

     

    1.36

    %

    Annualized pre-tax, pre-provision, operating*

     

    1.33

    %

     

     

    1.31

    %

     

     

    1.62

    %

     

     

    1.81

    %

     

     

    1.78

    %

    Annualized return on avg common equity, operating*

     

    8.66

    %

     

     

    8.32

    %

     

     

    10.63

    %

     

     

    11.91

    %

     

     

    12.48

    %

    Annualized return on avg tangible common equity, operating*

     

    13.48

    %

     

     

    13.41

    %

     

     

    17.17

    %

     

     

    19.35

    %

     

     

    20.13

    %

    Average loans to average deposits

     

    78.16

    %

     

     

    79.89

    %

     

     

    77.93

    %

     

     

    76.64

    %

     

     

    72.99

    %

    FTE Net Interest Margin*

     

    3.26

    %

     

     

    3.33

    %

     

     

    3.52

    %

     

     

    3.82

    %

     

     

    3.69

    %

    Efficiency Ratio

     

    61.15

    %

     

     

    72.84

    %

     

     

    58.90

    %

     

     

    59.02

    %

     

     

    58.15

    %

    Efficiency Ratio, operating*

     

    61.14

    %

     

     

    62.00

    %

     

     

    56.06

    %

     

     

    53.87

    %

     

     

    53.32

    %

    *See reconciliation of non-GAAP financial measures

     

     

     

     

     

     

     

     

     

    CREDIT QUALITY

     

     

     

     

     

     

     

     

     

    Allowance for credit losses (ACL) as a % of total loans

     

    1.05

    %

     

     

    1.05

    %

     

     

    1.05

    %

     

     

    1.05

    %

     

     

    1.06

    %

    Nonperforming assets to tangible equity + ACL

     

    2.72

    %

     

     

    3.05

    %

     

     

    3.69

    %

     

     

    3.57

    %

     

     

    3.73

    %

    Nonperforming assets to total loans + OREO

     

    0.36

    %

     

     

    0.39

    %

     

     

    0.44

    %

     

     

    0.43

    %

     

     

    0.45

    %

    Annualized QTD net charge-offs (recoveries) to total loans

     

    0.006

    %

     

     

    0.061

    %

     

     

    0.004

    %

     

     

    0.070

    %

     

     

    0.010

    %

     

     

     

     

     

     

     

     

     

     

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (in thousands)

    BALANCE SHEET

    March 31,
    2024

     

    December 31,
    2023

     

    September 30,
    2023

     

    June 30,
    2023

     

    March 31,
    2023

    Assets

     

     

     

     

     

     

     

     

     

    Cash and cash equivalents

    $

    339,964

     

     

    $

    355,147

     

     

    $

    197,632

     

     

    $

    194,050

     

     

    $

    333,491

     

    Securities available for sale

     

    1,088,568

     

     

     

    1,042,365

     

     

     

    1,141,971

     

     

     

    1,199,103

     

     

     

    1,249,791

     

    Securities held to maturity

     

    622,574

     

     

     

    654,539

     

     

     

    658,524

     

     

     

    663,473

     

     

     

    678,161

     

    Other investments

     

    34,094

     

     

     

    37,754

     

     

     

    35,872

     

     

     

    35,725

     

     

     

    34,423

     

    Total investment securities

     

    1,745,236

     

     

     

    1,734,658

     

     

     

    1,836,367

     

     

     

    1,898,301

     

     

     

    1,962,375

     

    Loans held for sale

     

    4,241

     

     

     

    2,914

     

     

     

    5,960

     

     

     

    6,602

     

     

     

    4,073

     

    Total loans

     

    5,139,952

     

     

     

    5,170,042

     

     

     

    5,089,800

     

     

     

    5,010,925

     

     

     

    4,969,776

     

    Allowance for credit losses

     

    (53,959

    )

     

     

    (54,032

    )

     

     

    (53,565

    )

     

     

    (52,614

    )

     

     

    (52,450

    )

    Loans, net

     

    5,085,993

     

     

     

    5,116,010

     

     

     

    5,036,235

     

     

     

    4,958,311

     

     

     

    4,917,326

     

    Premises and equipment

     

    181,194

     

     

     

    182,162

     

     

     

    183,740

     

     

     

    186,381

     

     

     

    186,688

     

    Other Real Estate Owned

     

    6,743

     

     

     

    8,320

     

     

     

    4,920

     

     

     

    5,588

     

     

     

    5,066

     

    Goodwill and other intangibles

     

    338,946

     

     

     

    341,332

     

     

     

    343,869

     

     

     

    346,104

     

     

     

    347,777

     

    Other assets

     

    261,442

     

     

     

    258,802

     

     

     

    275,562

     

     

     

    266,771

     

     

     

    260,520

     

    Total assets

    $

    7,963,759

     

     

    $

    7,999,345

     

     

    $

    7,884,285

     

     

    $

    7,862,108

     

     

    $

    8,017,316

     

     

     

     

     

     

     

     

     

     

     

    Liabilities and Shareholders’ Equity

     

     

     

     

     

     

     

     

     

    Non-interest bearing deposits

    $

    1,836,952

     

     

    $

    1,849,013

     

     

    $

    1,967,661

     

     

    $

    2,086,666

     

     

    $

    2,082,441

     

    Interest-bearing deposits

     

    4,873,403

     

     

     

    4,613,859

     

     

     

    4,512,364

     

     

     

    4,405,601

     

     

     

    4,585,515

     

    Total deposits

     

    6,710,355

     

     

     

    6,462,872

     

     

     

    6,480,025

     

     

     

    6,492,267

     

     

     

    6,667,956

     

    Borrowings

     

    110,000

     

     

     

    390,000

     

     

     

    302,000

     

     

     

    280,000

     

     

     

    250,000

     

    Subordinated debentures

     

    123,472

     

     

     

    123,386

     

     

     

    128,300

     

     

     

    128,214

     

     

     

    154,127

     

    Other liabilities

     

    60,020

     

     

     

    74,053

     

     

     

    76,739

     

     

     

    62,181

     

     

     

    48,806

     

    Total liabilities

     

    7,003,847

     

     

     

    7,050,311

     

     

     

    6,987,064

     

     

     

    6,962,662

     

     

     

    7,120,889

     

    Total shareholders’ equity

     

    959,912

     

     

     

    949,034

     

     

     

    897,221

     

     

     

    899,446

     

     

     

    896,427

     

    Total liabilities and shareholders’ equity

    $

    7,963,759

     

     

    $

    7,999,345

     

     

    $

    7,884,285

     

     

    $

    7,862,108

     

     

    $

    8,017,316

     

     

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (in thousands except per share data)

    EARNINGS STATEMENT

    Three Months Ended

    3/31/2024

     

    12/31/2023

     

    9/30/2023

     

    6/30/2023

     

    3/31/2023

    Interest Income:

     

     

     

     

     

     

     

     

     

    Loans, including fees

    $

    76,172

     

     

    $

    74,357

     

     

    $

    70,349

     

     

    $

    68,057

     

     

    $

    64,264

    Investment securities

     

    11,248

     

     

     

    10,803

     

     

     

    10,614

     

     

     

    10,815

     

     

     

    11,707

    Accretion of purchase accounting adjustments

     

    2,627

     

     

     

    3,235

     

     

     

    4,277

     

     

     

    6,533

     

     

     

    3,469

    Other interest income

     

    1,616

     

     

     

    325

     

     

     

    441

     

     

     

    789

     

     

     

    898

    Total interest income

     

    91,663

     

     

     

    88,720

     

     

     

    85,681

     

     

     

    86,194

     

     

     

    80,338

    Interest Expense:

     

     

     

     

     

     

     

     

     

    Deposits

     

    29,182

     

     

     

    24,489

     

     

     

    19,314

     

     

     

    14,613

     

     

     

    12,183

    Borrowings

     

    3,022

     

     

     

    4,500

     

     

     

    3,556

     

     

     

    3,264

     

     

     

    959

    Subordinated debentures

     

    1,887

     

     

     

    1,807

     

     

     

    1,849

     

     

     

    2,138

     

     

     

    2,176

    Accretion of purchase accounting adjustments

     

    231

     

     

     

    259

     

     

     

    258

     

     

     

    149

     

     

     

    94

    Total interest expense

     

    34,322

     

     

     

    31,055

     

     

     

    24,977

     

     

     

    20,164

     

     

     

    15,412

    Net interest income

     

    57,341

     

     

     

    57,665

     

     

     

    60,704

     

     

     

    66,030

     

     

     

    64,926

    Provision for credit losses

     

     

     

     

    1,250

     

     

     

    1,000

     

     

     

    1,250

     

     

     

    11,000

    Net interest income after provision for credit losses

     

    57,341

     

     

     

    56,415

     

     

     

    59,704

     

     

     

    64,780

     

     

     

    53,926

     

     

     

     

     

     

     

     

     

     

    Non-interest Income:

     

     

     

     

     

     

     

     

     

    Service charges on deposit accounts

     

    3,367

     

     

     

    3,447

     

     

     

    3,646

     

     

     

    3,425

     

     

     

    3,657

    Mortgage Income

     

    704

     

     

     

    582

     

     

     

    878

     

     

     

    773

     

     

     

    633

    Interchange Fee Income

     

    4,195

     

     

     

    4,593

     

     

     

    5,280

     

     

     

    4,543

     

     

     

    4,498

    Gain (Loss) on securities, net

     

    (48

    )

     

     

    (9,670

    )

     

     

    2

     

     

     

    (48

    )

     

     

    Treasury Awards

     

     

     

     

     

     

     

    6,197

     

     

     

     

     

     

    Loss on sale of premises and equipment

     

     

     

     

    (524

    )

     

     

    (104

    )

     

     

     

     

     

    Other charges and fees

     

    4,461

     

     

     

    3,918

     

     

     

    3,425

     

     

     

    3,730

     

     

     

    3,824

    Total non-interest income

     

    12,679

     

     

     

    2,346

     

     

     

    19,324

     

     

     

    12,423

     

     

     

    12,612

     

     

     

     

     

     

     

     

     

     

    Non-interest expense:

     

     

     

     

     

     

     

     

     

    Salaries and employee benefits

     

    24,508

     

     

     

    23,717

     

     

     

    22,807

     

     

     

    23,315

     

     

     

    23,572

    Occupancy expense

     

    5,714

     

     

     

    5,688

     

     

     

    5,343

     

     

     

    5,041

     

     

     

    5,296

    FDIC/OCC premiums

     

    1,008

     

     

     

    1,263

     

     

     

    1,158

     

     

     

    758

     

     

     

    670

    Marketing

     

    139

     

     

     

    71

     

     

     

    559

     

     

     

    45

     

     

     

    158

    Amortization of core deposit intangibles

     

    2,385

     

     

     

    2,385

     

     

     

    2,385

     

     

     

    2,391

     

     

     

    2,402

    Other professional services

     

    1,833

     

     

     

    2,309

     

     

     

    1,499

     

     

     

    1,570

     

     

     

    1,068

    Acquisition and charter conversion charges

     

    8

     

     

     

    593

     

     

     

    588

     

     

     

    4,101

     

     

     

    3,793

    Other non-interest expense

     

    7,830

     

     

     

    8,407

     

     

     

    13,385

     

     

     

    9,678

     

     

     

    8,711

    Total non-interest expense

     

    43,425

     

     

     

    44,433

     

     

     

    47,724

     

     

     

    46,899

     

     

     

    45,670

    Earnings before income taxes

     

    26,595

     

     

     

    14,328

     

     

     

    31,304

     

     

     

    30,304

     

     

     

    20,868

    Income tax expense

     

    5,967

     

     

     

    3,281

     

     

     

    6,944

     

     

     

    6,525

     

     

     

    4,597

    Net income available to common shareholders

    $

    20,628

     

     

    $

    11,047

     

     

    $

    24,360

     

     

    $

    23,779

     

     

    $

    16,271

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Diluted earnings per common share

    $

    0.65

     

     

    $

    0.35

     

     

    $

    0.77

     

     

    $

    0.75

     

     

    $

    0.52

    Diluted earnings per common share, operating*

    $

    0.65

     

     

    $

    0.59

     

     

    $

    0.76

     

     

    $

    0.85

     

     

    $

    0.86

     

     

     

     

     

     

     

     

     

     

    *See reconciliation of non-GAAP financial measures

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (in thousands except per share data)

    EARNINGS STATEMENT

    Year to Date

    2024

     

    2023

    Interest Income:

     

     

     

    Loans, including fees

    $

    76,171

     

     

    $

    64,056

     

    PPP loan fee income

     

    1

     

     

     

    208

     

    Investment securities

     

    11,248

     

     

     

    11,707

     

    Accretion of purchase accounting adjustments

     

    2,627

     

     

     

    3,469

     

    Other interest income

     

    1,616

     

     

     

    898

     

    Total interest income

     

    91,663

     

     

     

    80,338

     

    Interest Expense:

     

     

     

    Deposits

     

    29,182

     

     

     

    12,183

     

    Borrowings

     

    3,022

     

     

     

    959

     

    Subordinated debentures

     

    1,887

     

     

     

    2,176

     

    Amortization of purchase accounting adjustments

     

    231

     

     

     

    94

     

    Total interest expense

     

    34,322

     

     

     

    15,412

     

    Net interest income

     

    57,341

     

     

     

    64,926

     

    Provision for credit losses

     

     

     

     

    11,000

     

    Net interest income after provision for credit losses

     

    57,341

     

     

     

    53,926

     

     

     

     

     

    Non-interest Income:

     

     

     

    Service charges on deposit accounts

     

    3,367

     

     

     

    3,657

     

    Mortgage Income

     

    704

     

     

     

    633

     

    Interchange Fee Income

     

    4,195

     

     

     

    4,498

     

    Gain (loss) on securities, net

     

    (48

    )

     

     

     

    Bargain Purchase Gain and gain on sale of premises and equipment

     

     

     

     

    (1

    )

    Other charges and fees

     

    4,461

     

     

     

    3,825

     

    Total non-interest income

     

    12,679

     

     

     

    12,612

     

     

     

     

     

    Non-interest expense:

     

     

     

    Salaries and employee benefits

     

    24,508

     

     

     

    23,571

     

    Occupancy expense

     

    5,714

     

     

     

    5,296

     

    FDIC/OCC premiums

     

    1,008

     

     

     

    670

     

    Marketing

     

    139

     

     

     

    158

     

    Amortization of core deposit intangibles

     

    2,385

     

     

     

    2,402

     

    Other professional services

     

    1,833

     

     

     

    1,068

     

    Acquisition & charter conversion charges

     

    8

     

     

     

    3,793

     

    Other non-interest expense

     

    7,830

     

     

     

    8,712

     

    Total non-interest expense

     

    43,425

     

     

     

    45,670

     

    Earnings before income taxes

     

    26,595

     

     

     

    20,868

     

    Income tax expense

     

    5,967

     

     

     

    4,597

     

    Net income available to common shareholders

     

    20,628

     

     

     

    16,271

     

     

     

     

     

    Diluted earnings per common share

    $

    0.65

     

     

    $

    0.52

     

    Diluted earnings per common share, operating*

    $

    0.65

     

     

    $

    0.86

     

    *See reconciliation of non-GAAP financial measures

     

     

     

     

     

     

     

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (Dollars in thousands)

    COMPOSITION OF LOANS

     

    March 31,
    2024

     

    Percent

    of Total

     

    December 31,
    2023

     

    September 30,
    2023

     

    June 30,
    2023

     

    March 31,
    2023

     

    Percent

    of Total

    Commercial, financial and agricultural

     

    $

    737,511

     

     

    14.3

    %

     

    $

    765,422

     

     

    $

    753,120

     

     

    $

    753,415

     

     

    $

    750,371

     

     

    15.1

    %

    Real estate – construction

     

     

    633,804

     

     

    12.3

    %

     

     

    629,660

     

     

     

    633,682

     

     

     

    634,120

     

     

     

    691,285

     

     

    13.9

    %

    Real estate – commercial

     

     

    2,356,552

     

     

    45.8

    %

     

     

    2,377,864

     

     

     

    2,317,666

     

     

     

    2,251,710

     

     

     

    2,181,384

     

     

    43.9

    %

    Real estate – residential

     

     

    1,330,589

     

     

    25.9

    %

     

     

    1,311,395

     

     

     

    1,298,980

     

     

     

    1,286,343

     

     

     

    1,262,244

     

     

    25.4

    %

    Lease Financing Receivable

     

     

    1,794

     

     

    %

     

     

    1,292

     

     

     

    1,548

     

     

     

    1,187

     

     

     

    2,056

     

     

    %

    Obligations of States & subdivisions

     

     

    28,541

     

     

    0.6

    %

     

     

    29,316

     

     

     

    29,650

     

     

     

    31,137

     

     

     

    31,652

     

     

    0.6

    %

    Consumer

     

     

    51,161

     

     

    1.0

    %

     

     

    55,094

     

     

     

    55,154

     

     

     

    53,013

     

     

     

    50,784

     

     

    1.0

    %

    Loans held for sale

     

     

    4,241

     

     

    0.1

    %

     

     

    2,914

     

     

     

    5,960

     

     

     

    6,602

     

     

     

    4,073

     

     

    0.1

    %

    Total loans

     

    $

    5,144,193

     

     

    100

    %

     

    $

    5,172,957

     

     

    $

    5,095,760

     

     

    $

    5,017,527

     

     

    $

    4,973,849

     

     

    100.0

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    COMPOSITION OF DEPOSITS

     

    March 31,
    2024

     

    Percent

    of Total

     

    December 31,
    2023

     

    September 30,
    2023

     

    June 30,
    2023

     

    March 31,
    2023

     

    Percent

    of Total

    Non-interest bearing

     

    $

    1,836,952

     

     

    27.4

    %

     

    $

    1,849,013

     

     

    $

    1,967,661

     

     

    $

    2,086,666

     

     

    $

    2,082,441

     

     

    31.2

    %

    NOW and other

     

     

    2,135,343

     

     

    31.7

    %

     

     

    1,914,792

     

     

     

    1,962,383

     

     

     

    2,014,420

     

     

     

    2,095,599

     

     

    31.4

    %

    Money Market/Savings

     

     

    1,656,688

     

     

    24.7

    %

     

     

    1,623,311

     

     

     

    1,532,822

     

     

     

    1,565,212

     

     

     

    1,678,609

     

     

    25.2

    %

    Time Deposits of less than $250,000

     

     

    816,153

     

     

    12.2

    %

     

     

    813,877

     

     

     

    766,553

     

     

     

    627,782

     

     

     

    562,240

     

     

    8.4

    %

    Time Deposits of $250,000 or more

     

     

    265,219

     

     

    4.0

    %

     

     

    261,879

     

     

     

    250,606

     

     

     

    198,187

     

     

     

    249,067

     

     

    3.8

    %

    Total Deposits

     

    $

    6,710,355

     

     

    100

    %

     

    $

    6,462,872

     

     

    $

    6,480,025

     

     

    $

    6,492,267

     

     

    $

    6,667,956

     

     

    100.0

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    ASSET QUALITY DATA

     

    March 31,
    2024

     

     

     

    December 31,
    2023

     

    September 30,
    2023

     

    June 30,
    2023

     

    March 31,
    2023

     

     

    Nonaccrual loans

     

    $

    10,961

     

     

     

     

    $

    10,691

     

     

    $

    17,423

     

     

    $

    16,037

     

     

    $

    17,312

     

     

     

    Loans past due 90 days and over

     

     

    687

     

     

     

     

     

    1,163

     

     

     

    53

     

     

     

     

     

     

    73

     

     

     

    Total nonperforming loans

     

     

    11,648

     

     

     

     

     

    11,854

     

     

     

    17,476

     

     

     

    16,037

     

     

     

    17,385

     

     

     

    Other real estate owned

     

     

    6,743

     

     

     

     

     

    8,320

     

     

     

    4,920

     

     

     

    5,588

     

     

     

    5,066

     

     

     

    Total nonperforming assets

     

    $

    18,391

     

     

     

     

    $

    20,174

     

     

    $

    22,396

     

     

    $

    21,625

     

     

    $

    22,451

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Nonperforming assets to total assets

     

     

    0.23

    %

     

     

     

     

    0.25

    %

     

     

    0.28

    %

     

     

    0.28

    %

     

     

    0.28

    %

     

     

    Nonperforming assets to total loans + OREO

     

     

    0.36

    %

     

     

     

     

    0.39

    %

     

     

    0.44

    %

     

     

    0.43

    %

     

     

    0.45

    %

     

     

    ACL to nonperforming loans

     

     

    463.25

    %

     

     

     

     

    455.81

    %

     

     

    306.51

    %

     

     

    328.08

    %

     

     

    301.70

    %

     

     

    ACL to total loans

     

     

    1.05

    %

     

     

     

     

    1.05

    %

     

     

    1.05

    %

     

     

    1.05

    %

     

     

    1.06

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Qtr-to-date net charge-offs (recoveries)

     

    $

    73

     

     

     

     

    $

    783

     

     

    $

    49

     

     

    $

    837

     

     

    $

    142

     

     

     

    Annualized QTD net chg-offs (recs) to loans

     

     

    0.006

    %

     

     

     

     

    0.061

    %

     

     

    0.004

    %

     

     

    0.070

    %

     

     

    0.010

    %

     

     

     

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Condensed Consolidated Financial Information (unaudited)

    (in thousands)

     

     

     

     

     

     

     

     

     

     

     

     

     

    Yield

    Three Months Ended

     

    Three Months Ended

     

    Three Months Ended

     

    Three Months Ended

     

    Three Months Ended

    Analysis

    March 31, 2024

     

    December 31, 2023

     

    September 30, 2023

     

    June 30, 2023

     

    March 31, 2023

     

     

    Tax

     

     

     

    Tax

     

     

     

    Tax

     

     

     

    Tax

     

     

     

    Tax

     

     

    Avg

    Equivalent

    Yield/

     

    Avg

    Equivalent

    Yield/

     

    Avg

    Equivalent

    Yield/

     

    Avg

    Equivalent

    Yield/

     

    Avg

    Equivalent

    Yield/

     

    Balance

    interest

    Rate

     

    Balance

    interest

    Rate

     

    Balance

    interest

    Rate

     

    Balance

    interest

    Rate

     

    Balance

    interest

    Rate

    Taxable securities

    $

    1,342,644

    $

    8,303

    2.47

    %

     

    $

    1,375,695

    $

    7,892

    2.29

    %

     

    $

    1,419,343

    $

    7,685

    2.17

    %

     

    $

    1,473,166

    $

    7,867

    2.14

    %

     

    $

    1,565,623

    $

    8,758

    2.24

    %

    Tax-exempt securities

     

    468,432

     

    3,944

    3.37

    %

     

     

    446,348

     

    3,897

    3.49

    %

     

     

    463,329

     

    3,921

    3.39

    %

     

     

    470,742

     

    3,946

    3.35

    %

     

     

    462,718

     

    3,946

    3.41

    %

    Total investment securities

     

    1,811,076

     

    12,247

    2.70

    %

     

     

    1,822,043

     

    11,789

    2.59

    %

     

     

    1,882,672

     

    11,606

    2.47

    %

     

     

    1,943,908

     

    11,813

    2.43

    %

     

     

    2,028,341

     

    12,704

    2.51

    %

    Int bearing dep in other banks

     

    189,785

     

    1,616

    3.41

    %

     

     

    70,193

     

    325

    1.85

    %

     

     

    79,448

     

    441

    2.22

    %

     

     

    93,464

     

    789

    3.38

    %

     

     

    146,663

     

    898

    2.45

    %

    Loans

     

    5,158,071

     

    78,798

    6.11

    %

     

     

    5,145,228

     

    77,592

    6.03

    %

     

     

    5,038,928

     

    74,626

    5.92

    %

     

     

    4,982,368

     

    74,590

    5.99

    %

     

     

    4,975,663

     

    67,734

    5.45

    %

    Total interest earning assets

     

    7,158,932

     

    92,661

    5.18

    %

     

     

    7,037,464

     

    89,706

    5.10

    %

     

     

    7,001,048

     

    86,673

    4.95

    %

     

     

    7,019,740

     

    87,192

    4.97

    %

     

     

    7,150,667

     

    81,336

    4.55

    %

    Other assets

     

    846,642

     

     

     

     

    879,839

     

     

     

     

    872,297

     

     

     

     

    862,390

     

     

     

     

    852,587

     

     

    Total assets

    $

    8,005,574

     

     

     

    $

    7,917,303

     

     

     

    $

    7,873,345

     

     

     

    $

    7,882,130

     

     

     

    $

    8,003,254

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Interest-bearing liabilities:

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Deposits

    $

    4,803,277

    $

    29,412

    2.45

    %

     

    $

    4,533,386

    $

    24,748

    2.18

    %

     

    $

    4,459,869

    $

    19,572

    1.76

    %

     

    $

    4,465,800

    $

    14,762

    1.32

    %

     

    $

    4,738,076

    $

    12,277

    1.04

    %

    Borrowed Funds

     

    254,505

     

    3,023

    4.75

    %

     

     

    361,445

     

    4,500

    4.98

    %

     

     

    296,963

     

    3,556

    4.79

    %

     

     

    277,531

     

    3,264

    4.70

    %

     

     

    77,098

     

    959

    4.98

    %

    Subordinated debentures

     

    123,424

     

    1,887

    6.12

    %

     

     

    126,925

     

    1,807

    5.69

    %

     

     

    128,251

     

    1,849

    5.77

    %

     

     

    145,418

     

    2,138

    5.88

    %

     

     

    155,084

     

    2,176

    5.61

    %

    Total interest bearing

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    liabilities

     

    5,181,206

     

    34,322

    2.65

    %

     

     

    5,021,756

     

    31,055

    2.47

    %

     

     

    4,885,083

     

    24,977

    2.05

    %

     

     

    4,888,749

     

    20,164

    1.65

    %

     

     

    4,970,258

     

    15,412

    1.24

    %

    Other liabilities

     

    1,871,660

     

     

     

     

    1,994,017

     

     

     

     

    2,083,192

     

     

     

     

    2,091,882

     

     

     

     

    2,164,001

     

     

    Shareholders' equity

     

    952,708

     

     

     

     

    901,530

     

     

     

     

    905,070

     

     

     

     

    901,499

     

     

     

     

    868,995

     

     

    Total liabilities and

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    shareholders' equity

    $

    8,005,574

     

     

     

    $

    7,917,303

     

     

     

    $

    7,873,345

     

     

     

    $

    7,882,130

     

     

     

    $

    8,003,254

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Net interest

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    income (FTE)*

     

    $

    58,339

    2.53

    %

     

     

    $

    58,651

    2.63

    %

     

     

    $

    61,696

    2.91

    %

     

     

    $

    67,028

    3.32

    %

     

     

    $

    65,924

    3.31

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Net interest margin (FTE)*

     

     

    3.26

    %

     

     

     

    3.33

    %

     

     

     

    3.52

    %

     

     

     

    3.82

    %

     

     

     

    3.69

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Core net interest margin*

     

     

    3.10

    %

     

     

     

    3.14

    %

     

     

     

    3.27

    %

     

     

     

    3.43

    %

     

     

     

    3.47

    %

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    *See reconciliation for non-GAAP financial measures

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    THE FIRST BANCSHARES, INC and SUBSIDIARIES

    Reconciliation of Non-GAAP Financial Measures (unaudited)

    (in thousands except per share data)

     

    Three Months Ended

     

    Per Common Share Data

    Mar 31, 2024

     

    Dec 31, 2023

     

    Sept 30, 2023

     

    June 30, 2023

     

    Mar 31, 2023

    Book value per common share

    $

    30.45

     

    $

    30.22

     

     

    $

    28.57

     

     

    $

    28.64

     

     

    $

    28.58

     

    Effect of intangible assets per share

     

    10.75

     

     

    10.87

     

     

     

    10.95

     

     

     

    11.02

     

     

     

    11.09

     

    Tangible book value per common share

    $

    19.70

     

    $

    19.35

     

     

    $

    17.62

     

     

    $

    17.62

     

     

    $

    17.49

     

     

     

     

     

     

     

     

     

     

     

    Diluted earnings per share

    $

    0.65

     

    $

    0.35

     

     

    $

    0.77

     

     

    $

    0.75

     

     

    $

    0.52

     

    Effect of acquisition and charter conversion charges

     

     

     

    0.02

     

     

     

    0.02

     

     

     

    0.13

     

     

     

    0.11

     

    Tax on acquisition and charter conversion charges

     

     

     

    (0.01

    )

     

     

    (0.01

    )

     

     

    (0.03

    )

     

     

    (0.02

    )

    Effect of Treasury awards

     

     

     

     

     

     

    (0.20

    )

     

     

     

     

     

     

    Tax on Treasury awards

     

     

     

     

     

     

    0.05

     

     

     

     

     

     

     

    Effect on contributions/consulting/advertising related to Treasury awards

     

     

     

     

     

     

    0.17

     

     

     

     

     

     

     

    Tax on contributions/consulting/advertising related to Treasury awards

     

     

     

     

     

     

    (0.04

    )

     

     

     

     

     

     

    Initial provision for acquired loans

     

     

     

     

     

     

     

     

     

     

     

     

    0.34

     

    Tax on initial provision for acquired loans

     

     

     

     

     

     

     

     

     

     

     

     

    (0.09

    )

    Loss on securities repositioning

     

     

     

    0.31

     

     

     

     

     

     

     

     

     

     

    Tax loss on securities repositioning

     

     

     

    (0.08

    )

     

     

     

     

     

     

     

     

     

    Diluted earnings per share, operating

    $

    0.65

     

    $

    0.59

     

     

    $

    0.76

     

     

    $

    0.85

     

     

    $

    0.86

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Year to Date

     

     

     

     

     

    2024

     

     

     

    2023

     

     

    Diluted earnings per share

     

     

    $

    0.65

     

     

     

     

    $

    0.52

     

     

     

    Effect of acquisition and charter conversion charges

     

     

     

     

     

     

     

     

    0.11

     

     

     

    Tax on acquisition and charter conversion charges

     

     

     

     

     

     

     

     

    (0.02

    )

     

     

    Initial provision for acquired loans

     

     

     

     

     

     

     

     

    0.34

     

     

     

    Tax on initial provision for acquired loans

     

     

     

     

     

     

     

     

    (0.09

    )

     

     

    Diluted earnings per share, operating

     

     

    $

    0.65

     

     

     

     

    $

    0.86

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

    Year to Date

     

     

     

     

     

    2024

     

     

     

    2023

     

     

    Net income available to common shareholders

     

     

    $

    20,628

     

     

     

     

    $

    16,271

     

     

     

    Acquisition and charter conversion charges

     

     

     

    8

     

     

     

     

     

    3,793

     

     

     

    Tax on acquisition and charter conversion charges

     

     

     

    (2

    )

     

     

     

     

    (960

    )

     

     

    Initial provision for acquired loans

     

     

     

     

     

     

     

     

    10,727

     

     

     

    Tax on initial provision for acquired loans

     

     

     

     

     

     

     

     

    (2,714

    )

     

     

    Net earnings available to common shareholders, operating

     

     

    $

    20,634

     

     

     

     

    $

    27,117

     

     

     

     

     

     

     

     

     

     

     

     

     

    Three Months Ended

    Average Balance Sheet Data

    Mar 31, 2024

    Dec 31, 2023

    Sept 30, 2023

    June 30, 2023

    Mar 31, 2023

    Total average assets

    A

    $

    8,005,574

     

    $

    7,917,303

     

    $

    7,873,345

     

    $

    7,882,130

     

    $

    8,003,254

     

    Total average earning assets

    B

    $

    7,158,932

     

    $

    7,037,464

     

    $

    7,001,048

     

    $

    7,019,740

     

    $

    7,150,667

     

     

     

     

     

     

     

     

    Common Equity

    C

    $

    952,708

     

    $

    901,530

     

    $

    905,070

     

    $

    901,499

     

    $

    868,995

     

    Less intangible assets

     

     

    340,238

     

     

    342,641

     

     

    344,999

     

     

    346,707

     

     

    330,092

     

    Total Tangible common equity

    D

    $

    612,470

     

    $

    558,889

     

    $

    560,071

     

    $

    554,792

     

    $

    538,903

     

     

     

     

     

     

     

     

     

     

     

     

     

    Three Months Ended

    Net Interest Income Fully Tax Equivalent

     

    Mar 31, 2024

    Dec 31, 2023

    Sept 30, 2023

    June 30, 2023

    Mar 31, 2023

    Net interest income

    E

    $

    57,341

     

    $

    57,665

     

    $

    60,704

     

    $

    66,030

     

    $

    64,926

     

    Tax-exempt investment income

     

     

    (2,946

    )

     

    (2,911

    )

     

    (2,929

    )

     

    (2,948

    )

     

    (2,948

    )

    Taxable investment income

     

     

    3,944

     

     

    3,897

     

     

    3,921

     

     

    3,946

     

     

    3,946

     

    Net Interest Income Fully Tax Equivalent

    F

    $

    58,339

     

    $

    58,651

     

    $

    61,696

     

    $

    67,028

     

    $

    65,924

     

     

     

     

     

     

     

     

    Annualized Net Interest Margin

    E/B

     

    3.20

    %

     

    3.28

    %

     

    3.47

    %

     

    3.76

    %

     

    3.63

    %

    Annualized Net Interest Margin, Fully Tax Equivalent

    F/B

     

    3.26

    %

     

    3.33

    %

     

    3.52

    %

     

    3.82

    %

     

    3.69

    %

     

     

     

     

     

     

     

    Total Interest Income, Fully Tax Equivalent

     

     

     

     

     

     

    Total Interest Income

    R

    $

    91,663

     

    $

    88,720

     

    $

    85,681

     

    $

    86,194

     

    $

    80,338

     

    Tax-exempt investment income

     

     

    (2,946

    )

     

    (2,911

    )

     

    (2,929

    )

     

    (2,948

    )

     

    (2,948

    )

    Taxable investment income

     

     

    3,944

     

     

    3,897

     

     

    3,921

     

     

    3,946

     

     

    3,946

     

    Total Interest Income, Fully Tax Equivalent

    G

    $

    92,661

     

    $

    89,706

     

    $

    86,673

     

    $

    87,192

     

    $

    81,336

     

     

     

     

     

     

     

     

    Yield on Average Earning Assets

    R/B

     

    5.12

    %

     

    5.04

    %

     

    4.90

    %

     

    4.91

    %

     

    4.49

    %

    Yield on Average Earning Assets, Fully Tax Equivalent

    G/B

     

    5.18

    %

     

    5.10

    %

     

    4.95

    %

     

    4.97

    %

     

    4.55

    %

     

     

     

     

     

     

     

    Interest Income Investment Securities, Fully Tax Equivalent

     

     

     

     

     

     

    Interest Income Investment Securities

    S

    $

    11,248

     

    $

    10,803

     

    $

    10,614

     

    $

    10,815

     

    $

    11,706

     

    Tax-exempt investment income

     

     

    (2,946

    )

     

    (2,911

    )

     

    (2,929

    )

     

    (2,948

    )

     

    (2,948

    )

    Taxable investment Income

     

     

    3,944

     

     

    3,897

     

     

    3,921

     

     

    3,946

     

     

    3,946

     

    Interest Income Investment Securities, Fully Tax Equivalent

    H

    $

    12,246

     

    $

    11,789

     

    $

    11,606

     

    $

    11,813

     

    $

    12,704

     

     

     

     

     

     

     

     

    Average Investment Securities

    I

    $

    1,811,076

     

    $

    1,822,043

     

    $

    1,882,672

     

    $

    1,943,908

     

    $

    2,028,341

     

     

     

     

     

     

     

     

    Yield on Investment Securities

    S/I

     

    2.48

    %

     

    2.37

    %

     

    2.26

    %

     

    2.23

    %

     

    2.31

    %

    Yield on Investment Securities, Fully Tax Equivalent

    H/I

     

    2.70

    %

     

    2.59

    %

     

    2.47

    %

     

    2.43

    %

     

    2.51

    %

     

     

     

     

     

     

     

     

     

    Three Months Ended

    Core Net Interest Margin

     

    Mar 31, 2024

    Dec 31, 2023

    Sept 30, 2023

    June 30, 2023

    Mar 31, 2023

    Net interest income (FTE)

     

    $

    58,339

     

    $

    58,651

     

    $

    61,696

     

    $

    67,028

     

    $

    65,924

     

    Less purchase accounting adjustments

     

     

    2,627

     

     

    3,235

     

     

    4,276

     

     

    6,533

     

     

    3,469

     

    Net interest income, net of purchase accounting adj

    J

    $

    55,712

     

    $

    55,416

     

    $

    57,420

     

    $

    60,495

     

    $

    62,455

     

     

     

     

     

     

     

     

    Total average earning assets

     

    $

    7,158,932

     

    $

    7,037,464

     

    $

    7,001,048

     

    $

    7,019,740

     

    $

    7,150,667

     

    Add average balance of loan valuation discount

     

     

    24,675

     

     

    27,573

     

     

    31,269

     

     

    38,306

     

     

    42,945

     

    Avg earning assets, excluding loan valuation discount

    K

    $

    7,183,607

     

    $

    7,065,037

     

    $

    7,032,317

     

    $

    7,058,046

     

    $

    7,193,612

     

     

     

     

     

     

     

     

    Core net interest margin

    J/K

     

    3.10

    %

     

    3.14

    %

     

    3.27

    %

     

    3.43

    %

     

    3.47

    %

     

     

     

     

     

     

     

     

     

    Three Months Ended

    Efficiency Ratio

     

    Mar 31, 2024

    Dec 31, 2023

    Sept 30, 2023

    June 30, 2023

    Mar 31, 2023

    Operating Expense

     

     

     

     

     

     

    Total non-interest expense

     

    $

    43,425

     

    $

    44,433

     

    $

    47,724

     

    $

    46,899

     

    $

    45,670

     

    Pre-tax non-operating expenses

     

     

    (8

    )

     

    (594

    )

     

    (5,777

    )

     

    (4,101

    )

     

    (3,793

    )

    Adjusted Operating Expense

    L

    $

    43,417

     

    $

    43,839

     

    $

    41,947

     

    $

    42,798

     

    $

    41,877

     

     

     

     

     

     

     

     

    Operating Revenue

     

     

     

     

     

     

    Net interest income, FTE

     

    $

    58,339

     

    $

    58,651

     

    $

    61,696

     

    $

    67,028

     

    $

    65,924

     

    Total non-interest income

     

     

    12,679

     

     

    2,346

     

     

    19,324

     

     

    12,423

     

     

    12,612

     

    Pre-tax non-operating items

     

     

     

     

    9,708

     

     

    (6,197

    )

     

     

     

     

    Adjusted Operating Revenue

    M

    $

    71,018

     

    $

    70,705

     

    $

    74,823

     

    $

    79,451

     

    $

    78,536

     

     

     

     

     

     

     

     

    Efficiency Ratio, operating

    L/M

     

    61.14

    %

     

    62.00

    %

     

    56.06

    %

     

    53.87

    %

     

    53.32

    %

     

     

     

     

     

     

     

     

     

    Three Months Ended

    Return Ratios

     

    Mar 31, 2024

    Dec 31, 2023

    Sept 30, 2023

    June 30, 2023

    Mar 31, 2023

    Net income available to common shareholders

    N

    $

    20,628

     

    $

    11,047

     

    $

    24,360

     

    $

    23,779

     

    $

    16,271

     

    Acquisition and charter conversion charges

     

     

    8

     

     

    593

     

     

    588

     

     

    4,101

     

     

    3,793

     

    Tax on acquisition and charter conversion charges

     

     

    (2

    )

     

    (150

    )

     

    (149

    )

     

    (1,037

    )

     

    (960

    )

    Treasury awards

     

     

     

     

     

     

    (6,197

    )

     

     

     

     

    Tax on Treasury awards

     

     

     

     

     

     

    1,568

     

     

     

     

     

    Contributions/consulting/advertising related to Treasury awards

     

     

     

     

     

     

    5,190

     

     

     

     

     

    Tax on contributions/consulting/advertising related to Treasury awards

     

     

     

     

     

     

    (1,313

    )

     

     

     

     

    Initial provision for acquired loans

     

     

     

     

     

     

     

     

     

     

    10,727

     

    Tax on initial provision for acquired loans

     

     

     

     

     

     

     

     

     

     

    (2,714

    )

    Loss on securities repositioning

     

     

     

     

    9,708

     

     

     

     

     

     

     

    Tax loss on securities repositioning

     

     

     

     

    (2,457

    )