OPERATING PERFORMANCE ACCELERATES
SEQUENTIAL LOAN GROWTH OF 5% AND CORE DEPOSIT GROWTH OF 8%, ANNUALIZED
NET INTEREST MARGIN WIDENS TO 3.42%
TANGIBLE BOOK VALUE PER SHARE INCREASES
COMMON & PREFERRED DIVIDENDS PER SHARE DECLARED
ENGLEWOOD CLIFFS, N.J., July 23, 2026 (GLOBE NEWSWIRE) -- ConnectOne Bancorp, Inc. (Nasdaq: CNOB) (the "Company" or "ConnectOne"), parent company of ConnectOne Bank (the "Bank"), today reported net income (loss) available to common stockholders of $40.2 million for the second quarter of 2026 compared with $36.3 million for the first quarter of 2026 and $(21.8) million for the second quarter of 2025. Diluted earnings (loss) per share were $0.80 for the second quarter of 2026 compared with $0.72 for the first quarter of 2026 and $(0.52) for the second quarter of 2025. Return on average assets was 1.17%, 1.10% and (0.73)% for the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, respectively. Return on average tangible common equity was 13.79%, 12.89% and (8.42)% for the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, respectively.
Pre-provision net operating revenue ("Operating PPNR") as a percentage of average assets was 1.94%, 1.81% and 1.52% for the quarters ending June 30, 2026, March 31, 2026 and June 30, 2025, respectively. The sequential increase in Operating PPNR was primarily due to a $4.8 million increase in net interest income, combined with a $0.4 million decrease in operating expenses. Operating net income available to common stockholders was $42.2 million for the second quarter of 2026, $39.6 million for the first quarter of 2026 and $23.1 million for the second quarter of 2025. Operating diluted earnings per share were $0.84 for the second quarter of 2026, $0.79 for the first quarter of 2026 and $0.55 for the second quarter of 2025. Operating return on average assets was 1.23%, 1.19% and 0.89% for the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, respectively. Operating return on average tangible common equity was 13.81%, 13.35% and 9.29% for the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, respectively. See supplemental tables for a complete reconciliation of GAAP earnings to operating earnings, and other non-GAAP measures.
The increase in net income available to common stockholders during the second quarter of 2026 when compared to the first quarter of 2026 was primarily due to a $4.8 million increase in net interest income, a $1.1 million increase in noninterest income, and a $2.5 million decrease in noninterest expenses, which were partially offset by a $3.1 million increase in the provision for credit losses and a $1.5 million increase in income tax expense. The first quarter of 2026 included merger expenses and restructuring charges related to the merger with The First of Long Island Corporation ("FLIC") of $2.1 million, reflecting our ongoing commitment to streamlining operations and enhancing organizational efficiency. The increase in net income available to common stockholders and diluted earnings per share during the second quarter of 2026 when compared to the second quarter of 2025 was primarily due to a $34.8 million increase in net interest income, a $27.4 million decrease in the provision for credit losses, a $2.7 million increase in noninterest income, and a $18.2 million decrease in noninterest expense, which was partially offset by a $21.2 million increase in income tax expense. The decrease in the provision for credit losses was driven primarily by the initial $27.4 million provision recognized in the second quarter of 2025 in connection with the merger with FLIC. Overall, the variances from the second quarter of 2026 to the second quarter of 2025 were primarily due to the merger with FLIC.
"ConnectOne delivered another quarter of accelerated performance metrics, driven by sustained momentum across our franchise and a disciplined execution of our relationship-banking business model," commented Frank Sorrentino, ConnectOne's Chairman and Chief Executive Officer. "Loans and core deposits grew sequentially at annualized rates of approximately 5% and 8%, respectively, while our net interest margin expanded for the 7th consecutive quarter, climbing past 3.40%. The quarter also saw enhanced operating efficiency, and strong capital levels, alongside a substantial rise in tangible book value per share."
Mr. Sorrentino added, "As one of the most efficient banks in the country, we remain committed to further enhancing our operating performance by driving productivity gains through technological innovation, including agentic workflows."
Mr. Sorrentino concluded, "Looking ahead, we're encouraged by the strength of our business and the opportunities we see for the balance of the year and beyond. Through the continued execution of our strategic priorities and results-oriented culture, we're confident in ConnectOne's ability to deliver profitable growth and create long-term value for shareholders."
Dividend Declarations
The Board of Directors declared cash dividends on the Company's common and outstanding preferred stock. A cash dividend on common stock of $0.195 per share will be paid on September 1, 2026, to common stockholders of record on August 14, 2026. A dividend of $0.328125 per depositary share, representing a 1/40th interest in a share of the Company's 5.25% Fixed Rate Reset Non-Cumulative Perpetual Preferred Stock, Series A, will also be paid on September 1, 2026, to holders of record on August 14, 2026.
Operating Results
Fully taxable equivalent net interest income for the second quarter of 2026 was $114.8 million, an increase of $4.9 million, or 4.4%, from the first quarter of 2026, largely due to a 3 basis-point widening of the net interest margin to 3.42% from 3.39% and a 2.2% increase in average interest-earning assets. The margin benefited from an increase in the yield on interest-earning assets, primarily due to loan repricing, partially offset by a 6 basis-point increase in the average cost of deposits, including noninterest-bearing deposits.
Fully taxable equivalent net interest income for the second quarter of 2026 increased $35.0 million, or 43.9%, from the second quarter of 2025, due to a 36 basis-point widening of the net interest margin to 3.42% from 3.06%, and a 28.5% increase in average interest-earning assets. The increase in average interest-earning assets was primarily due to the merger with FLIC. The margin benefited from a 16 basis-point increase in the yield on interest-earning assets and a 32 basis-point decrease in the average cost of deposits, including noninterest-bearing deposits.
Noninterest income was $7.9 million in the second quarter of 2026, $6.8 million in the first quarter of 2026 and $5.2 million in the second quarter of 2025. The increase compared to the first quarter of 2026 was primarily due to a $1.2 million increase in net gains on sale of loans held-for-sale, primarily SBA loans. The increase compared to the second quarter of 2025 was primarily due to a $1.4 million increase in net gains on sale of loans held-for-sale, a $0.9 million increase in BOLI income and a $0.8 million increase in deposit, loan and other income, which was partially offset by a $0.4 million decrease in net gains on equity securities. The year-over-year increases in BOLI income and deposit, loan and other income were primarily due to the merger with FLIC.
Noninterest expenses were $55.4 million for the second quarter of 2026, $57.9 million for the first quarter of 2026 and $73.6 million for the second quarter of 2025. Excluding merger expenses and restructuring charges, noninterest expenses totaled $55.3 million in the second quarter of 2026, $55.7 million in the first quarter of 2026 and $42.9 million in the second quarter of 2025. The decrease of $0.4 million during the second quarter of 2026 when compared to the first quarter of 2026 was primarily due to a $1.2 million decrease in salaries and employee benefits and a $0.3 million decrease in FDIC insurance expense, which were partially offset by a $0.5 million increase in other expenses, a $0.2 million increase in marketing and advertising expenses, a $0.2 million increase in occupancy and equipment expenses, and a $0.2 million increase in information technology and communication expenses. The $12.4 million increase for the second quarter of 2026 when compared to the second quarter of 2025 was primarily due to a $6.3 million increase in salaries and employee benefits, a $2.0 million increase in occupancy and equipment expenses, a $1.6 million increase in amortization of core deposit intangibles, a $1.3 million increase in other expenses, a $0.6 million increase in information technology and communication expenses and a $0.5 million increase in professional and consulting expense. The variances from the second quarter of 2026 to the second quarter of 2025 were primarily due to the merger with FLIC.
Income tax expense (benefit) was $16.2 million for the second quarter of 2026, $14.7 million for the first quarter of 2026 and $(5.0) million for the second quarter of 2025. The effective tax rates were 28.0%, 28.0% and (19.7)% for the second quarter of 2026, first quarter of 2026 and second quarter of 2025, respectively. The negative tax rate in 2025 was due to the merger with FLIC. As of June 30, 2026, ConnectOne Bank executed a $50.0 million capital commitment to a renewable energy tax credit fund. This investment supports our community sustainability initiatives while helping to maintain our projected full-year 2026 effective tax rate of approximately 28%.
Asset Quality
The provision for credit losses was $8.3 million for the second quarter of 2026, $5.2 million for the first quarter of 2026 and $35.7 million for the second quarter of 2025. In each of the quarters presented, the provision for credit losses reflected net portfolio growth, charges related to individually evaluated loans, changing macroeconomic forecasts and conditions and qualitative factors, while the second quarter of 2025 included the merger-related initial provision. The current quarter's increased sequential provision was primarily driven by a $13.8 million charge-off on a previously disclosed group of New York City loans secured by multiple rent-stabilized multi-family buildings, partially offset by the release of $9.2 million in multifamily qualitative reserves previously related to the criticized portion of this segment. The decrease in the provision for credit losses when compared to the second quarter of 2025 was driven primarily by the initial $27.4 million provision originally booked in the second quarter of 2025 in connection with the FLIC merger.
Nonperforming assets, which include nonaccrual loans and other real estate owned (the Bank had no other real estate owned during the periods reported), were $79.7 million as of June 30, 2026, $41.6 million as of March 31, 2026 and $39.2 million as of June 30, 2025. Nonperforming assets as a percentage of total assets increased to 0.55% as of June 30, 2026, versus 0.29% as of March 31, 2026 and 0.28% as of June 30, 2025. The ratio of nonaccrual loans to loans receivable also increased to 0.67%, as of June 30, 2026, versus 0.35% and 0.35%, at March 31, 2026 and June 30, 2025, respectively. The annualized net loan charge-offs ratio (excluding PCD loans) was 0.56% for the second quarter of 2026, 0.08% for the first quarter of 2026 and 0.22% for the second quarter of 2025. The increase in nonaccrual loans was primarily driven by a group of loans secured by multiple New York City rent-stabilized multi-family buildings, which added $29.9 million (net of charge-offs) to nonaccruals during the quarter, while $20.0 million of the previously announced $63.8 million of loans attributable to the group were brought current. Additionally, the increase in our net loan charge-off ratio (excluding PCD loans) was primarily attributable to the aforementioned $13.8 million charge-off related to this same group of loans.
The allowance for credit losses ("ACL") represented 1.18%, 1.30% and 1.40% of loans receivable as of June 30, 2026, March 31, 2026 and June 30, 2025, respectively. The ACL decreased $12.9 million to $140.1 million as of June 30, 2026, compared to $153.1 million as of March 31, 2026, reflecting recent charge-off activity and the impact on specific and qualitative reserves previously established, improvements in economic factors, and historically low levels of delinquencies and criticized loans. The ACL as a percentage of nonaccrual loans was 175.9% as of June 30, 2026, 368.1% as of March 31, 2026 and 398.2% as of June 30, 2025. Criticized and classified loans as a percentage of loans receivable improved to 1.89% as of June 30, 2026, down from 2.26% as of March 31, 2026 and from 2.44% as of June 30, 2025. Loans past due 30-89 days were 0.03% of loans receivable as of June 30, 2026, 0.81% as of March 31, 2026 and 0.13% as of June 30, 2025.
Selected Balance Sheet Items
The Company's total assets were $14.4 billion as of June 30, 2026, compared to $14.0 billion as of December 31, 2025. Loans receivable were $11.9 billion as of June 30, 2026 and $11.5 billion as of December 31, 2025. Total deposits were $11.7 billion as of June 30, 2026 and $11.2 billion as of December 31, 2025.
The Company's total stockholders' equity increased to $1.627 billion as of June 30, 2026 from $1.573 billion as of December 31, 2025. Retained earnings increased $57.6 million, partially offset by an increase in the accumulated other comprehensive loss of $3.0 million. As of June 30, 2026, the Company's tangible common equity ratio and tangible book value per share were 8.78% and $24.66, respectively, compared to 8.62% and $23.52, respectively, as of December 31, 2025. Total goodwill and other intangible assets were $274.5 million as of June 30, 2026, and $280.2 million as of December 31, 2025.
Share Repurchase Program
The Company did not repurchase any shares of common stock during the second quarter of 2026. For the six months ended June 30, 2026, the Company repurchased 90,000 shares of common stock at an average price of $26.21, leaving 551,118 shares authorized for repurchase under the current Board approved repurchase program. The Company intends to repurchase shares from time to time in the open market, in privately negotiated stock purchases or pursuant to any trading plan that may be adopted in accordance with Rule 10b5-1 of the Securities and Exchange Commission and applicable federal securities laws. The share repurchase plan does not obligate the Company to acquire any particular amount of common stock and the plan may be modified or suspended at any time at the Company's discretion.
Use of Non-GAAP Financial Measures
In addition to the results presented in accordance with Generally Accepted Accounting Principles ("GAAP"), ConnectOne routinely supplements its evaluation with an analysis of certain non-GAAP measures. ConnectOne believes these non-GAAP financial measures, in addition to the related GAAP measures, provide meaningful information to investors in understanding our operating performance and trends. These non-GAAP measures have inherent limitations and are not required to be uniformly applied and are not audited. They should not be considered in isolation or as a substitute for an analysis of results reported under GAAP. These non-GAAP measures may not be comparable to similarly titled measures reported by other companies. Reconciliations of non-GAAP financial measures disclosed in this earnings release to the comparable GAAP measures are provided in the accompanying tables.
Second Quarter 2026 Results Conference Call
Management will also host a conference call and audio webcast at 10:00 a.m. ET on July 23, 2026, to review the Company's financial performance and operating results. The conference call dial-in number is 1 (585) 542-9983, meeting ID: 646 211 267. Please dial in at least five minutes before the start of the call to register. An audio webcast of the conference call will be available to the public, on a listen-only basis, via the "Investor Relations" link on the Company's website https://www.ConnectOneBank.com or at http://ir.connectonebank.com
An online archive of the webcast will be available following the completion of the conference call at https://www.ConnectOneBank.com or at http://ir.connectonebank.com
About ConnectOne Bancorp, Inc.
ConnectOne Bancorp, Inc., is a modern financial services company that operates, through its subsidiary, ConnectOne Bank, and the Bank's fintech subsidiary, BoeFly, Inc. ConnectOne Bank is a high-performing commercial bank offering a full suite of banking & lending products and services that focus on small to middle-market businesses. BoeFly, Inc. is a fintech marketplace that connects borrowers in the franchise space with funding solutions through a network of partner banks. ConnectOne Bancorp, Inc. is traded on the Nasdaq Global Market under the trading symbol "CNOB," and information about ConnectOne may be found at https://www.connectonebank.com
This news release contains certain forward-looking statements which are based on certain assumptions and describe future plans, strategies, and expectations of the Company. These forward-looking statements are generally identified by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," or similar expressions. The Company's ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to, those factors set forth in Item 1A Risk Factors of the Company's Annual Report on Form 10-K, as filed with the U.S. Securities and Exchange Commission, as supplemented by the Company's subsequent filings with the U.S. Securities and Exchange Commission, and changes in interest rates, general economic conditions, legislative/regulatory changes, 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 the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services in the Company's market area, changes in accounting principles and guidelines and the impact of the health emergencies and natural disasters on the Company, its employees and operations, and its customers. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Investor Contact:
William S. Burns
Senior Executive Vice President & CFO
201.816.4474; bill.burns@cnob.com
Media Contact:
Shannan Weeks
MikeWorldWide
732.299.7890; sweeks@mww.com
| CONNECTONE BANCORP, INC. AND SUBSIDIARIES |
| CONSOLIDATED CONDENSED STATEMENTS OF FINANCIAL CONDITION |
| (in thousands) |
| June 30, | December 31, | June 30, | ||||||||||
| 2026 | 2025 | 2025 | ||||||||||
| (unaudited) | (unaudited) | |||||||||||
| ASSETS | ||||||||||||
| Cash and due from banks | - | 39,552 | - | 92,406 | - | 97,792 | ||||||
| Interest-bearing deposits with banks | 322,724 | 288,489 | 498,741 | |||||||||
| Cash and cash equivalents | 362,276 | 380,895 | 596,533 | |||||||||
| Investment securities | 1,179,258 | 1,250,938 | 1,227,200 | |||||||||
| Equity securities | 19,793 | 19,287 | 19,707 | |||||||||
| Loans held-for-sale | - | 391 | 1,027 | |||||||||
| Loans receivable | 11,869,034 | 11,453,280 | 11,164,477 | |||||||||
| Less: Allowance for credit losses - loans | 140,149 | 154,305 | 156,190 | |||||||||
| Net loans receivable | 11,728,885 | 11,298,975 | 11,008,287 | |||||||||
| Investment in restricted stock, at cost | 46,596 | 54,722 | 49,248 | |||||||||
| Bank premises and equipment, net | 53,779 | 55,285 | 54,297 | |||||||||
| Accrued interest receivable | 61,561 | 60,761 | 60,950 | |||||||||
| Bank owned life insurance | 376,681 | 370,713 | 364,836 | |||||||||
| Right of use operating lease assets | 30,340 | 29,603 | 31,282 | |||||||||
| Goodwill | 220,235 | 220,235 | 215,611 | |||||||||
| Core deposit intangibles | 54,233 | 59,923 | 66,315 | |||||||||
| Other assets | 278,227 | 200,972 | 220,445 | |||||||||
| Total assets | - | 14,411,864 | - | 14,002,700 | - | 13,915,738 | ||||||
| LIABILITIES | ||||||||||||
| Deposits: | ||||||||||||
| Noninterest-bearing | - | 2,512,964 | - | 2,420,397 | 2,424,529 | |||||||
| Interest-bearing | 9,227,399 | 8,820,218 | 8,853,958 | |||||||||
| Total deposits | 11,740,363 | 11,240,615 | 11,278,487 | |||||||||
| Borrowings | 715,416 | 903,489 | 783,859 | |||||||||
| Subordinated debentures, net | 202,236 | 201,864 | 276,500 | |||||||||
| Operating lease liabilities | 32,929 | 32,446 | 35,334 | |||||||||
| Other liabilities | 94,395 | 50,946 | 45,127 | |||||||||
| Total liabilities | 12,785,339 | 12,429,360 | 12,419,307 | |||||||||
| COMMITMENTS AND CONTINGENCIES | ||||||||||||
| STOCKHOLDERS' EQUITY | ||||||||||||
| Preferred stock | 110,927 | 110,927 | 110,927 | |||||||||
| Common stock | 857,765 | 857,765 | 857,765 | |||||||||
| Additional paid-in capital | 39,688 | 38,763 | 36,728 | |||||||||
| Retained earnings | 731,500 | 673,897 | 614,532 | |||||||||
| Treasury stock | (78,507 | - | (76,116 | - | (76,116 | - | ||||||
| Accumulated other comprehensive loss | (34,848 | - | (31,896 | - | (47,405 | - | ||||||
| Total stockholders' equity | 1,626,525 | 1,573,340 | 1,496,431 | |||||||||
| Total liabilities and stockholders' equity | - | 14,411,864 | - | 14,002,700 | - | 13,915,738 | ||||||
| CONNECTONE BANCORP, INC. AND SUBSIDIARIES |
| CONSOLIDATED STATEMENTS OF INCOME |
| (dollars in thousands, except for per share data) |
| Three Months Ended | Six Months Ended | |||||||||||||||
| 06/30/26 | 06/30/25 | 06/30/26 | 06/30/25 | |||||||||||||
| Interest income | ||||||||||||||||
| Interest and fees on loans | - | 176,250 | - | 132,316 | - | 344,548 | - | 247,667 | ||||||||
| Interest and dividends on investment securities: | ||||||||||||||||
| Taxable | 10,982 | 7,437 | 21,781 | 12,424 | ||||||||||||
| Tax-exempt | 1,907 | 1,419 | 3,885 | 2,516 | ||||||||||||
| Dividends | 947 | 788 | 1,882 | 1,677 | ||||||||||||
| Interest on federal funds sold and other short-term investments | 2,821 | 4,070 | 5,208 | 6,535 | ||||||||||||
| Total interest income | 192,907 | 146,030 | 377,304 | 270,819 | ||||||||||||
| Interest expense | ||||||||||||||||
| Deposits | 69,571 | 60,239 | 135,253 | 114,231 | ||||||||||||
| Borrowings | 9,697 | 6,908 | 19,608 | 11,949 | ||||||||||||
| Total interest expense | 79,268 | 67,147 | 154,861 | 126,180 | ||||||||||||
| Net interest income | 113,639 | 78,883 | 222,443 | 144,639 | ||||||||||||
| Provision for credit losses | 8,300 | 35,700 | 13,500 | 39,200 | ||||||||||||
| Net interest income after provision for credit losses | 105,339 | 43,183 | 208,943 | 105,439 | ||||||||||||
| Noninterest income | ||||||||||||||||
| Deposit, loan and other income | 3,324 | 2,570 | 6,607 | 4,576 | ||||||||||||
| Income on bank owned life insurance | 3,017 | 2,087 | 5,968 | 3,671 | ||||||||||||
| Net gains on sale of loans held-for-sale | 1,590 | 181 | 2,017 | 513 | ||||||||||||
| Net gains (losses) on equity securities | (4 | - | 347 | 131 | 876 | |||||||||||
| Total noninterest income | 7,927 | 5,185 | 14,723 | 9,636 | ||||||||||||
| Noninterest expenses | ||||||||||||||||
| Salaries and employee benefits | 31,537 | 25,233 | 64,305 | 47,811 | ||||||||||||
| Occupancy and equipment | 5,519 | 3,478 | 10,864 | 6,158 | ||||||||||||
| FDIC insurance | 1,700 | 2,000 | 3,700 | 3,800 | ||||||||||||
| Professional and consulting | 3,127 | 2,598 | 6,235 | 4,964 | ||||||||||||
| Marketing and advertising | 1,161 | 840 | 2,087 | 1,435 | ||||||||||||
| Information technology and communications | 5,394 | 4,792 | 10,637 | 9,396 | ||||||||||||
| Merger expenses and restructuring charges | 108 | 30,745 | 2,233 | 32,065 | ||||||||||||
| Bank owned life insurance restructuring charge | - | - | - | 327 | ||||||||||||
| Amortization of core deposit intangibles | 2,845 | 1,251 | 5,690 | 1,530 | ||||||||||||
| Other expenses | 4,025 | 2,712 | 7,534 | 5,468 | ||||||||||||
| Total noninterest expenses | 55,416 | 73,649 | 113,285 | 112,954 | ||||||||||||
| Income (loss) before income tax expense | 57,850 | (25,281 | - | 110,381 | 2,121 | |||||||||||
| Income tax expense (benefit) | 16,182 | (4,988 | - | 30,891 | 2,172 | |||||||||||
| Net income (loss) | 41,668 | (20,293 | - | 79,490 | (51 | - | ||||||||||
| Preferred dividends | 1,509 | 1,509 | 3,018 | 3,018 | ||||||||||||
| Net income (loss) available to common stockholders | - | 40,159 | - | (21,802 | - | - | 76,472 | - | (3,069 | - | ||||||
| Earnings (loss) per common share: | ||||||||||||||||
| Basic | - | 0.80 | - | (0.52 | - | - | 1.52 | - | (0.08 | - | ||||||
| Diluted | 0.80 | (0.52 | - | 1.51 | (0.08 | - | ||||||||||
ConnectOne's management believes that the supplemental financial information, including non-GAAP measures provided below, is useful to investors. The non-GAAP measures should not be viewed as a substitute for financial results determined in accordance with GAAP, and are not necessarily comparable to non-GAAP financial measures presented by other companies.
| CONNECTONE BANCORP, INC. |
| SUPPLEMENTAL GAAP AND NON-GAAP FINANCIAL MEASURES |
| As of | ||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sept. 30, | Jun. 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2025 | 2025 | ||||||||||||||||
| Selected Financial Data | (dollars in thousands) | |||||||||||||||||||
| Total assets | - | 14,411,864 | - | 14,209,561 | - | 14,002,700 | - | 14,023,585 | - | 13,915,738 | ||||||||||
| Loans receivable: | ||||||||||||||||||||
| Commercial | 1,598,678 | 1,638,836 | 1,558,436 | 1,613,421 | 1,597,590 | |||||||||||||||
| Commercial real estate | 4,871,086 | 4,750,508 | 4,625,143 | 4,310,159 | 4,285,663 | |||||||||||||||
| Multifamily | 3,679,302 | 3,574,336 | 3,437,080 | 3,420,465 | 3,348,308 | |||||||||||||||
| Commercial construction | 528,103 | 571,073 | 623,902 | 728,615 | 681,222 | |||||||||||||||
| Residential | 1,192,033 | 1,202,539 | 1,210,980 | 1,233,305 | 1,254,646 | |||||||||||||||
| Consumer | 3,313 | 1,801 | 2,017 | 2,166 | 1,709 | |||||||||||||||
| Gross loans | 11,872,515 | 11,739,093 | 11,457,558 | 11,308,131 | 11,169,138 | |||||||||||||||
| Net deferred loan fees | (3,481 | - | (3,497 | - | (4,278 | - | (4,495 | - | (4,661 | - | ||||||||||
| Loans receivable | 11,869,034 | 11,735,596 | 11,453,280 | 11,303,636 | 11,164,477 | |||||||||||||||
| Loans held-for-sale | - | 10,222 | 391 | - | 1,027 | |||||||||||||||
| Total loans | - | 11,869,034 | - | 11,745,818 | - | 11,453,671 | - | 11,303,636 | - | 11,165,504 | ||||||||||
| Investment and equity securities | - | 1,199,051 | - | 1,215,806 | - | 1,270,225 | - | 1,272,335 | - | 1,246,907 | ||||||||||
| Goodwill and other intangible assets | 274,468 | 277,313 | 280,158 | 278,730 | 281,926 | |||||||||||||||
| Deposits: | ||||||||||||||||||||
| Noninterest-bearing demand | - | 2,512,964 | - | 2,393,938 | - | 2,420,397 | - | 2,513,102 | - | 2,424,529 | ||||||||||
| Time deposits | 2,927,930 | 3,010,971 | 2,796,877 | 2,977,952 | 3,065,015 | |||||||||||||||
| Other interest-bearing deposits | 6,299,469 | 6,108,144 | 6,023,341 | 5,878,241 | 5,788,943 | |||||||||||||||
| Total deposits | - | 11,740,363 | - | 11,513,053 | - | 11,240,615 | - | 11,369,295 | - | 11,278,487 | ||||||||||
| Borrowings | - | 715,416 | - | 827,477 | - | 903,489 | - | 833,443 | - | 783,859 | ||||||||||
| Subordinated debentures (net of debt issuance costs) | 202,236 | 202,050 | 201,864 | 201,677 | 276,500 | |||||||||||||||
| Total stockholders' equity | 1,626,525 | 1,591,547 | 1,573,340 | 1,538,344 | 1,496,431 | |||||||||||||||
| Quarterly Average Balances | ||||||||||||||||||||
| Total assets | - | 14,254,280 | - | 13,999,581 | - | 13,963,138 | - | 14,050,585 | - | 11,108,430 | ||||||||||
| Loans receivable: | ||||||||||||||||||||
| Commercial | - | 1,652,412 | - | 1,579,368 | - | 1,597,123 | - | 1,583,673 | - | 1,486,245 | ||||||||||
| Commercial real estate (including multifamily) | 8,433,558 | 8,137,515 | 7,822,943 | 7,630,195 | 6,404,302 | |||||||||||||||
| Commercial construction | 524,023 | 613,661 | 646,414 | 704,170 | 643,115 | |||||||||||||||
| Residential | 1,198,244 | 1,204,082 | 1,221,171 | 1,241,375 | 587,118 | |||||||||||||||
| Consumer | 10,855 | 6,851 | 5,473 | 6,747 | 5,759 | |||||||||||||||
| Gross loans | 11,819,092 | 11,541,477 | 11,293,124 | 11,166,160 | 9,126,539 | |||||||||||||||
| Net deferred loan fees | (3,331 | - | (4,042 | - | (4,708 | - | (4,418 | - | (5,097 | - | ||||||||||
| Loans receivable | 11,815,761 | 11,537,435 | 11,288,416 | 11,161,742 | 9,121,442 | |||||||||||||||
| Loans held-for-sale | 107 | 335 | 230 | 318 | 352 | |||||||||||||||
| Total loans | - | 11,815,868 | - | 11,537,770 | - | 11,288,646 | - | 11,162,060 | - | 9,121,794 | ||||||||||
| Investment and equity securities | - | 1,208,532 | - | 1,256,147 | - | 1,269,275 | - | 1,274,000 | - | 845,614 | ||||||||||
| Goodwill and other intangible assets | 276,313 | 279,158 | 279,165 | 280,814 | 235,848 | |||||||||||||||
| Deposits: | ||||||||||||||||||||
| Noninterest-bearing demand | - | 2,424,773 | - | 2,384,883 | - | 2,473,596 | - | 2,486,993 | - | 1,680,653 | ||||||||||
| Time deposits | 2,992,440 | 2,901,327 | 2,946,459 | 3,019,848 | 2,662,411 | |||||||||||||||
| Other interest-bearing deposits | 6,122,264 | 5,996,487 | 5,907,547 | 5,889,230 | 4,463,648 | |||||||||||||||
| Total deposits | - | 11,539,477 | - | 11,282,697 | - | 11,327,602 | - | 11,396,071 | - | 8,806,712 | ||||||||||
| Borrowings | - | 812,384 | - | 833,551 | - | 781,388 | - | 783,994 | - | 723,303 | ||||||||||
| Subordinated debentures (net of debt issuance costs) | 202,114 | 201,928 | 201,741 | 263,511 | 170,802 | |||||||||||||||
| Total stockholders' equity | 1,612,528 | 1,594,699 | 1,558,366 | 1,513,892 | 1,344,254 | |||||||||||||||
| Three Months Ended | ||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sept. 30, | Jun. 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2025 | 2025 | ||||||||||||||||
| (dollars in thousands, except for per share data) | ||||||||||||||||||||
| Net interest income | - | 113,639 | - | 108,804 | - | 106,595 | - | 102,017 | - | 78,883 | ||||||||||
| Provision for credit losses | 8,300 | 5,200 | 2,300 | 5,500 | 35,700 | |||||||||||||||
| Net interest income after provision for credit losses | 105,339 | 103,604 | 104,295 | 96,517 | 43,183 | |||||||||||||||
| Noninterest income | ||||||||||||||||||||
| Deposit, loan and other income | 3,324 | 3,283 | 3,289 | 3,836 | 2,570 | |||||||||||||||
| Defined benefit pension plan curtailment gain | - | - | - | 3,501 | - | |||||||||||||||
| Employee retention tax credit | - | - | - | 6,608 | - | |||||||||||||||
| Income on bank owned life insurance | 3,017 | 2,951 | 2,946 | 2,931 | 2,087 | |||||||||||||||
| Net gains on sale of loans held-for-sale | 1,590 | 427 | 631 | 859 | 181 | |||||||||||||||
| Net gains (losses) on equity securities | (4 | - | 135 | (846 | - | 1,674 | 347 | |||||||||||||
| Total noninterest income | 7,927 | 6,796 | 6,020 | 19,409 | 5,185 | |||||||||||||||
| Noninterest expenses | ||||||||||||||||||||
| Salaries and employee benefits | 31,537 | 32,768 | 31,211 | 32,401 | 25,233 | |||||||||||||||
| Occupancy and equipment | 5,519 | 5,345 | 5,265 | 5,122 | 3,478 | |||||||||||||||
| FDIC insurance | 1,700 | 2,000 | 2,400 | 2,400 | 2,000 | |||||||||||||||
| Professional and consulting | 3,127 | 3,108 | 2,908 | 2,929 | 2,598 | |||||||||||||||
| Marketing and advertising | 1,161 | 926 | 974 | 771 | 840 | |||||||||||||||
| Information technology and communications | 5,394 | 5,243 | 5,366 | 5,243 | 4,792 | |||||||||||||||
| Restructuring and exit charges | - | - | - | 994 | - | |||||||||||||||
| Merger expenses and restructuring charges | 108 | 2,125 | 498 | 1,898 | 30,745 | |||||||||||||||
| Branch closing expenses | - | - | 1,275 | - | - | |||||||||||||||
| Bank owned life insurance restructuring charge | - | - | - | - | - | |||||||||||||||
| Amortization of core deposit intangible | 2,845 | 2,845 | 3,196 | 3,196 | 1,251 | |||||||||||||||
| Other expenses | 4,025 | 3,509 | 3,853 | 3,719 | 2,712 | |||||||||||||||
| Total noninterest expenses | 55,416 | 57,869 | 56,946 | 58,673 | 73,649 | |||||||||||||||
| Income (loss) before income tax expense | 57,850 | 52,531 | 53,369 | 57,253 | (25,281 | - | ||||||||||||||
| Income tax expense (benefit) | 16,182 | 14,709 | 13,851 | 16,277 | (4,988 | - | ||||||||||||||
| Net income (loss) | 41,668 | 37,822 | 39,518 | 40,976 | (20,293 | - | ||||||||||||||
| Preferred dividends | 1,509 | 1,509 | 1,509 | 1,509 | 1,509 | |||||||||||||||
| Net income (loss) available to common stockholders | - | 40,159 | - | 36,313 | - | 38,009 | - | 39,467 | - | (21,802 | - | |||||||||
| Weighted average diluted common shares outstanding | 50,404,698 | 50,382,297 | 50,414,115 | 50,462,030 | 42,173,758 | |||||||||||||||
| Diluted EPS | - | 0.80 | - | 0.72 | - | 0.75 | - | 0.78 | - | (0.52 | - | |||||||||
| Reconciliation of GAAP Net Income to Operating Net Income: | ||||||||||||||||||||
| Net income (loss) | - | 41,668 | - | 37,822 | - | 39,518 | - | 40,976 | - | (20,293 | - | |||||||||
| Restructuring and exit charges | - | - | - | 994 | - | |||||||||||||||
| Merger expenses and restructuring charges | 108 | 2,125 | 498 | 1,898 | 30,745 | |||||||||||||||
| Estimated state tax liability on intercompany dividends | - | - | - | - | 3,000 | |||||||||||||||
| Initial provision for credit losses related to merger | - | - | - | - | 27,418 | |||||||||||||||
| Branch closing expenses | - | - | 1,275 | - | - | |||||||||||||||
| Bank owned life insurance restructuring charge | - | - | - | - | - | |||||||||||||||
| Amortization of core deposit intangibles | 2,845 | 2,845 | 3,196 | 3,196 | 1,251 | |||||||||||||||
| Net (gains) losses on equity securities | 4 | (135 | - | 846 | (1,674 | - | (347 | - | ||||||||||||
| Defined benefit pension plan curtailment gain | - | - | - | (3,501 | - | - | ||||||||||||||
| Employee retention tax credit | - | - | - | (6,608 | - | - | ||||||||||||||
| Tax impact of adjustments | (917 | - | (1,499 | - | (1,802 | - | 1,737 | (17,168 | - | |||||||||||
| Operating net income | - | 43,708 | - | 41,158 | - | 43,531 | - | 37,018 | - | 24,606 | ||||||||||
| Preferred dividends | 1,509 | 1,509 | 1,509 | 1,509 | 1,509 | |||||||||||||||
| Operating net income available to common stockholders | - | 42,199 | - | 39,649 | - | 42,022 | - | 35,509 | - | 23,097 | ||||||||||
| Operating diluted EPS (non-GAAP)(1) | - | 0.84 | - | 0.79 | - | 0.83 | - | 0.70 | - | 0.55 | ||||||||||
| Return on Assets Measures | ||||||||||||||||||||
| Average assets | - | 14,254,280 | - | 13,999,581 | - | 13,963,138 | - | 14,050,585 | - | 11,108,430 | ||||||||||
| Return on avg. assets | 1.17 | - | 1.10 | - | 1.12 | - | 1.16 | - | (0.73 | )% | ||||||||||
| Operating return on avg. assets (non-GAAP)(2) | 1.23 | 1.19 | 1.24 | 1.05 | 0.89 | |||||||||||||||
| Pre-provision net operating revenue ("PPNR") return on avg. assets (non-GAAP)(3) | 1.94 | 1.81 | 1.75 | 1.61 | 1.52 | |||||||||||||||
| (1) | Operating net income available to common stockholders divided by weighted average diluted shares outstanding. |
| (2) | Operating net income divided by average assets. |
| (3) | Net income before income tax expense, provision for credit losses, merger expenses and restructuring charges, branch closing expenses, BOLI restructuring charges, restructuring and exit charges, employee retention tax credit, defined benefit pension plan curtailment gain, amortization of core deposit intangibles and net gains on equity securities divided by average assets. |
| Three Months Ended | ||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sept. 30, | Jun. 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2025 | 2025 | ||||||||||||||||
| Return on Equity Measures | (dollars in thousands) | |||||||||||||||||||
| Average stockholders' equity | - | 1,612,528 | - | 1,594,699 | - | 1,558,366 | - | 1,513,892 | - | 1,344,254 | ||||||||||
| Less: average preferred stock | (110,927 | - | (110,927 | - | (110,927 | - | (110,927 | - | (110,927 | - | ||||||||||
| Average common equity | - | 1,501,601 | - | 1,483,772 | - | 1,447,439 | - | 1,402,965 | - | 1,233,327 | ||||||||||
| Less: average intangible assets | (276,313 | - | (279,158 | - | (279,165 | - | (280,814 | - | (235,848 | - | ||||||||||
| Average tangible common equity | - | 1,225,288 | - | 1,204,614 | - | 1,168,274 | - | 1,122,151 | - | 997,479 | ||||||||||
| Return on avg. common equity (GAAP) | 10.73 | - | 9.93 | - | 10.42 | - | 11.16 | - | (7.09 | )% | ||||||||||
| Operating return on avg. common equity (non-GAAP)(4) | 11.27 | 10.84 | 11.52 | 10.04 | 7.51 | |||||||||||||||
| Return on avg. tangible common equity (non-GAAP)(5) | 13.79 | 12.89 | 13.66 | 14.74 | (8.42 | - | ||||||||||||||
| Operating return on avg. tangible common equity (non-GAAP)(6) | 13.81 | 13.35 | 14.27 | 12.55 | 9.29 | |||||||||||||||
| Efficiency Measures | ||||||||||||||||||||
| Total noninterest expenses | - | 55,416 | - | 57,869 | - | 56,946 | - | 58,673 | - | 73,649 | ||||||||||
| Restructuring and exit charges | - | - | - | (994 | - | - | ||||||||||||||
| Merger expenses and restructuring charges | (108 | - | (2,125 | - | (498 | - | (1,898 | - | (30,745 | - | ||||||||||
| Branch closing expenses | - | - | (1,275 | - | - | - | ||||||||||||||
| Bank owned life insurance restructuring charge | - | - | - | - | - | |||||||||||||||
| Amortization of core deposit intangibles | (2,845 | - | (2,845 | - | (3,196 | - | (3,196 | - | (1,251 | - | ||||||||||
| Operating noninterest expense | - | 52,463 | - | 52,899 | - | 51,977 | - | 52,585 | - | 41,653 | ||||||||||
| Net interest income (tax equivalent basis) | - | 114,841 | - | 109,976 | - | 107,761 | - | 103,155 | - | 79,810 | ||||||||||
| Noninterest income | 7,927 | 6,796 | 6,020 | 19,409 | 5,185 | |||||||||||||||
| Defined benefit pension plan curtailment gain | - | - | - | (3,501 | - | - | ||||||||||||||
| Employee retention tax credit | - | - | - | (6,608 | - | - | ||||||||||||||
| Net (gains) losses on equity securities | 4 | (135 | - | 846 | (1,674 | - | (347 | - | ||||||||||||
| Operating revenue | - | 122,772 | - | 116,637 | - | 114,627 | - | 110,781 | - | 84,648 | ||||||||||
| Operating efficiency ratio (non-GAAP)(7) | 42.7 | - | 45.4 | - | 45.3 | - | 47.5 | - | 49.2 | - | ||||||||||
| Net Interest Margin | ||||||||||||||||||||
| Average interest-earning assets | - | 13,451,804 | - | 13,160,794 | - | 13,093,053 | - | 13,172,443 | - | 10,468,589 | ||||||||||
| Net interest income (tax equivalent basis) | - | 114,841 | - | 109,976 | - | 107,761 | - | 103,155 | - | 79,810 | ||||||||||
| Net interest margin (non-GAAP) | 3.42 | - | 3.39 | - | 3.27 | - | 3.11 | - | 3.06 | - | ||||||||||
| (4) | Operating net income available to common stockholders divided by average common equity. |
| (5) | Net income available to common stockholders, excluding amortization of intangible assets, divided by average tangible common equity. |
| (6) | Operating net income available to common stockholders, divided by average tangible common equity. |
| (7) | Operating noninterest expense divided by operating revenue. |
| As of | ||||||||||||||||||||
| Jun. 30, | Mar. 31, | Dec. 31, | Sept. 30, | Jun. 30, | ||||||||||||||||
| 2026 | 2026 | 2025 | 2025 | 2025 | ||||||||||||||||
| Capital Ratios and Book Value per Share | (dollars in thousands, except for per share data) | |||||||||||||||||||
| Stockholders equity | - | 1,626,525 | - | 1,591,547 | - | 1,573,340 | - | 1,538,344 | - | 1,496,431 | ||||||||||
| Less: preferred stock | (110,927 | - | (110,927 | - | (110,927 | - | (110,927 | - | (110,927 | - | ||||||||||
| Common equity | - | 1,515,598 | - | 1,480,620 | - | 1,462,413 | - | 1,427,417 | - | 1,385,504 | ||||||||||
| Less: intangible assets | (274,468 | - | (277,313 | - | (280,158 | - | (278,730 | - | (281,926 | - | ||||||||||
| Tangible common equity | - | 1,241,130 | - | 1,203,307 | - | 1,182,255 | - | 1,148,687 | - | 1,103,578 | ||||||||||
| Total assets | - | 14,411,864 | - | 14,209,561 | - | 14,002,700 | - | 14,023,585 | - | 13,915,738 | ||||||||||
| Less: intangible assets | (274,468 | - | (277,313 | - | (280,158 | - | (278,730 | - | (281,926 | - | ||||||||||
| Tangible assets | - | 14,137,396 | - | 13,932,248 | - | 13,722,542 | - | 13,744,855 | - | 13,633,812 | ||||||||||
| Common shares outstanding | 50,319,832 | 50,288,494 | 50,271,854 | 50,273,089 | 50,270,162 | |||||||||||||||
| Common equity ratio (GAAP) | 10.52 | - | 10.42 | - | 10.44 | - | 10.18 | - | 9.96 | - | ||||||||||
| Tangible common equity ratio (non-GAAP)(8) | 8.78 | 8.64 | 8.62 | 8.36 | 8.09 | |||||||||||||||
| Regulatory capital ratios (Bancorp): | ||||||||||||||||||||
| Leverage ratio | 9.85 | - | 9.79 | - | 9.61 | - | 9.35 | - | 11.58 | - | ||||||||||
| Common equity Tier 1 risk-based ratio | 10.28 | 10.23 | 10.24 | 10.17 | 10.04 | |||||||||||||||
| Risk-based Tier 1 capital ratio | 11.22 | 11.19 | 11.22 | 11.17 | 11.06 | |||||||||||||||
| Risk-based total capital ratio | 13.71 | 13.81 | 13.88 | 13.88 | 14.35 | |||||||||||||||
| Regulatory capital ratios (Bank): | ||||||||||||||||||||
| Leverage ratio | 10.81 | - | 10.81 | - | 10.59 | - | 10.35 | - | 12.81 | - | ||||||||||
| Common equity Tier 1 risk-based ratio | 12.31 | 12.35 | 12.36 | 12.37 | 12.22 | |||||||||||||||
| Risk-based Tier 1 capital ratio | 12.31 | 12.35 | 12.36 | 12.37 | 12.22 | |||||||||||||||
| Risk-based total capital ratio | 13.20 | 13.33 | 13.33 | 13.38 | 13.24 | |||||||||||||||
| Book value per share (GAAP) | - | 30.12 | - | 29.44 | - | 29.09 | - | 28.39 | - | 27.56 | ||||||||||
| Tangible book value per share (non-GAAP)(9) | 24.66 | 23.93 | 23.52 | 22.85 | 21.95 | |||||||||||||||
| Net Loan Charge-offs (Recoveries)(10)- | ||||||||||||||||||||
| Net loan charge-offs (recoveries): | ||||||||||||||||||||
| Charge-offs | - | 17,022 | - | 2,758 | - | 5,613 | - | 5,174 | - | 5,039 | ||||||||||
| Recoveries | (531 | - | (467 | - | (836 | - | (38 | - | (118 | - | ||||||||||
| Net loan charge-offs | - | 16,491 | - | 2,291 | - | 4,777 | - | 5,136 | - | 4,921 | ||||||||||
| Net loan charge-offs as a % of average loans receivable (annualized) | 0.56 | - | 0.08 | - | 0.17 | - | 0.18 | - | 0.22 | - | ||||||||||
| Asset Quality | ||||||||||||||||||||
| Nonaccrual loans | - | 79,664 | - | 41,579 | - | 45,915 | - | 39,671 | - | 39,228 | ||||||||||
| Other real estate owned | - | - | - | - | - | |||||||||||||||
| Nonperforming assets | - | 79,664 | - | 41,579 | - | 45,915 | - | 39,671 | - | 39,228 | ||||||||||
| Allowance for credit losses - loans (excluding nonaccretable credit marks) | - | 106,120 | - | 115,609 | - | 112,282 | - | 113,163 | - | 112,854 | ||||||||||
| Add: nonaccretable credit marks | 34,029 | 37,447 | 42,023 | 43,336 | 43,336 | |||||||||||||||
| Allowance for credit losses - loans ("ACL") | - | 140,149 | - | 153,056 | - | 154,305 | - | 156,499 | - | 156,190 | ||||||||||
| Loans receivable | - | 11,869,034 | - | 11,735,596 | - | 11,453,280 | - | 11,303,636 | - | 11,164,477 | ||||||||||
| Nonaccrual loans as a % of loans receivable | 0.67 | - | 0.35 | - | 0.40 | - | 0.35 | - | 0.35 | - | ||||||||||
| Nonperforming assets as a % of total assets | 0.55 | 0.29 | 0.33 | 0.28 | 0.28 | |||||||||||||||
| ACL as a % of loans receivable | 1.18 | 1.30 | 1.35 | 1.38 | 1.40 | |||||||||||||||
| ACL as a % of nonaccrual loans | 175.9 | 368.1 | 336.1 | 394.5 | 398.2 | |||||||||||||||
| (8) | Tangible common equity divided by tangible assets. |
| (9) | Tangible common equity divided by common shares outstanding at period-end. |
| (10) | Includes only non-PCD loans. |
| CONNECTONE BANCORP, INC. |
| NET INTEREST MARGIN ANALYSIS |
| (dollars in thousands) |
| For the Three Months Ended | ||||||||||||||||||||||||||||||||||||
| June 30, 2026 | March 31, 2026 | June 30, 2025 | ||||||||||||||||||||||||||||||||||
| Average | Average | Average | ||||||||||||||||||||||||||||||||||
| Interest-earning assets: | Balance | Interest | Rate(7) | Balance | Interest | Rate(7) | Balance | Interest | Rate(7) | |||||||||||||||||||||||||||
| Investment securities(1) (2) | - | 1,275,125 | - | 13,397 | 4.21 | - | - | 1,307,184 | - | 13,302 | 4.13 | - | - | 935,996 | - | 9,234 | 3.96 | - | ||||||||||||||||||
| Loans receivable and loans held-for-sale(2) (3) (4) | 11,815,868 | 176,944 | 6.01 | 11,537,770 | 168,945 | 5.94 | 9,121,794 | 132,865 | 5.84 | |||||||||||||||||||||||||||
| Federal funds sold and interest- | ||||||||||||||||||||||||||||||||||||
| bearing deposits with banks | 309,872 | 2,821 | 3.65 | 264,232 | 2,387 | 3.66 | 367,309 | 4,070 | 4.44 | |||||||||||||||||||||||||||
| Restricted investment in bank stock | 50,939 | 947 | 7.46 | 51,608 | 935 | 7.35 | 43,490 | 788 | 7.27 | |||||||||||||||||||||||||||
| Total interest-earning assets | 13,451,804 | 194,109 | 5.79 | 13,160,794 | 185,569 | 5.72 | 10,468,589 | 146,957 | 5.63 | |||||||||||||||||||||||||||
| Allowance for loan losses | (155,399 | - | (154,481 | - | (98,030 | - | ||||||||||||||||||||||||||||||
| Noninterest-earning assets | 957,875 | 993,268 | 737,871 | |||||||||||||||||||||||||||||||||
| Total assets | - | 14,254,280 | - | 13,999,581 | - | 11,108,430 | ||||||||||||||||||||||||||||||
| Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||
| Money market deposits | 3,052,487 | 22,148 | 2.91 | 2,903,419 | 20,146 | 2.81 | 2,016,336 | 15,467 | 3.08 | |||||||||||||||||||||||||||
| Savings deposits | 978,961 | 6,339 | 2.60 | 1,014,568 | 6,304 | 2.52 | 777,951 | 6,172 | 3.18 | |||||||||||||||||||||||||||
| Time deposits | 2,992,440 | 27,776 | 3.72 | 2,901,327 | 26,713 | 3.73 | 2,662,411 | 26,636 | 4.01 | |||||||||||||||||||||||||||
| Other interest-bearing deposits | 2,090,816 | 13,308 | 2.55 | 2,078,500 | 12,519 | 2.44 | 1,669,361 | 11,964 | 2.87 | |||||||||||||||||||||||||||
| Total interest-bearing deposits | 9,114,704 | 69,571 | 3.06 | 8,897,814 | 65,682 | 2.99 | 7,126,059 | 60,239 | 3.39 | |||||||||||||||||||||||||||
| Borrowings | 812,384 | 5,402 | 2.67 | 833,551 | 5,513 | 2.68 | 723,303 | 3,530 | 1.96 | |||||||||||||||||||||||||||
| Subordinated debentures | 202,114 | 4,283 | 8.50 | 201,928 | 4,385 | 8.81 | 170,802 | 3,361 | 7.89 | |||||||||||||||||||||||||||
| Finance lease | 845 | 12 | 5.70 | 921 | 13 | 5.72 | 1,139 | 17 | 5.99 | |||||||||||||||||||||||||||
| Total interest-bearing liabilities | 10,130,047 | 79,268 | 3.14 | 9,934,214 | 75,593 | 3.09 | 8,021,303 | 67,147 | 3.36 | |||||||||||||||||||||||||||
| Noninterest-bearing demand deposits | 2,424,773 | 2,384,883 | 1,680,653 | |||||||||||||||||||||||||||||||||
| Other liabilities | 86,932 | 85,785 | 62,220 | |||||||||||||||||||||||||||||||||
| Total noninterest-bearing liabilities | 2,511,705 | 2,470,668 | 1,742,873 | |||||||||||||||||||||||||||||||||
| Stockholders' equity | 1,612,528 | 1,594,699 | 1,344,254 | |||||||||||||||||||||||||||||||||
| Total liabilities and stockholders' equity | - | 14,254,280 | - | 13,999,581 | - | 11,108,430 | ||||||||||||||||||||||||||||||
| Net interest income (tax equivalent basis) | 114,841 | 109,976 | 79,810 | |||||||||||||||||||||||||||||||||
| Net interest spread(5) | 2.65 | - | 2.63 | - | 2.27 | - | ||||||||||||||||||||||||||||||
| Net interest margin(6) | 3.42 | - | 3.39 | - | 3.06 | - | ||||||||||||||||||||||||||||||
| Tax equivalent adjustment | (1,202 | - | (1,172 | - | (927 | - | ||||||||||||||||||||||||||||||
| Net interest income | - | 113,639 | - | 108,804 | - | 78,883 | ||||||||||||||||||||||||||||||
| (1) | Average balances are calculated on amortized cost. |
| (2) | Interest income is presented on a tax equivalent basis using 21% federal tax rate. |
| (3) | Includes loan fee income. |
| (4) | Loans include nonaccrual loans. |
| (5) | Represents difference between the average yield on interest-earning assets and the average cost of interest-bearing liabilities and is presented on a tax equivalent basis. |
| (6) | Represents net interest income on a tax equivalent basis divided by average total interest-earning assets. |
| (7) | Rates are annualized. |
