• Resources
  • Blog
  • Journalists
  • Log In
  • Sign Up
  • Data Privacy
  • Send a Release
Cision PR Newswire: news distribution, targeting and monitoring home
  • News
  • Products
    • Overview
    • Distribution by PR Newswire
    • Cision Communications Cloud®
    • Cision IR
    • Sponsored Placement
    • All Products
  • Contact
    • General Inquiries
    • Request a Demo
    • Editorial Bureaus
    • Partnerships
    • Media Inquiries
    • Worldwide Offices

 

When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News in Focus
      • Browse News Releases

      • All News Releases
      • All Public Company
      • English-only
      • News Releases Overview

      • Multimedia Gallery

      • All Multimedia
      • All Photos
      • All Videos
      • Multimedia Gallery Overview

      • Trending Topics

      • All Trending Topics
  • Business & Money
      • Auto & Transportation

      • All Automotive & Transportation
      • Aerospace, Defense
      • Air Freight
      • Airlines & Aviation
      • Automotive
      • Maritime & Shipbuilding
      • Railroads and Intermodal Transportation
      • Supply Chain/Logistics
      • Transportation, Trucking & Railroad
      • Travel
      • Trucking and Road Transportation
      • Auto & Transportation Overview

      • View All Auto & Transportation

      • Business Technology

      • All Business Technology
      • Blockchain
      • Broadcast Tech
      • Computer & Electronics
      • Computer Hardware
      • Computer Software
      • Data Analytics
      • Electronic Commerce
      • Electronic Components
      • Electronic Design Automation
      • Financial Technology
      • High Tech Security
      • Internet Technology
      • Nanotechnology
      • Networks
      • Peripherals
      • Semiconductors
      • Business Technology Overview

      • View All Business Technology

      • Entertain­ment & Media

      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • Entertain­ment & Media Overview

      • View All Entertain­ment & Media

      • Financial Services & Investing

      • All Financial Services & Investing
      • Accounting News & Issues
      • Acquisitions, Mergers and Takeovers
      • Banking & Financial Services
      • Bankruptcy
      • Bond & Stock Ratings
      • Conference Call Announcements
      • Contracts
      • Cryptocurrency
      • Dividends
      • Earnings
      • Earnings Forecasts & Projections
      • Financing Agreements
      • Insurance
      • Investments Opinions
      • Joint Ventures
      • Mutual Funds
      • Private Placement
      • Real Estate
      • Restructuring & Recapitalization
      • Sales Reports
      • Shareholder Activism
      • Shareholder Meetings
      • Stock Offering
      • Stock Split
      • Venture Capital
      • Financial Services & Investing Overview

      • View All Financial Services & Investing

      • General Business

      • All General Business
      • Awards
      • Commercial Real Estate
      • Corporate Expansion
      • Earnings
      • Environmental, Social and Governance (ESG)
      • Human Resource & Workforce Management
      • Licensing
      • New Products & Services
      • Obituaries
      • Outsourcing Businesses
      • Overseas Real Estate (non-US)
      • Personnel Announcements
      • Real Estate Transactions
      • Residential Real Estate
      • Small Business Services
      • Socially Responsible Investing
      • Surveys, Polls and Research
      • Trade Show News
      • General Business Overview

      • View All General Business

  • Science & Tech
      • Consumer Technology

      • All Consumer Technology
      • Artificial Intelligence
      • Blockchain
      • Cloud Computing/Internet of Things
      • Computer Electronics
      • Computer Hardware
      • Computer Software
      • Consumer Electronics
      • Cryptocurrency
      • Data Analytics
      • Electronic Commerce
      • Electronic Gaming
      • Financial Technology
      • Mobile Entertainment
      • Multimedia & Internet
      • Peripherals
      • Social Media
      • STEM (Science, Tech, Engineering, Math)
      • Supply Chain/Logistics
      • Wireless Communications
      • Consumer Technology Overview

      • View All Consumer Technology

      • Energy & Natural Resources

      • All Energy
      • Alternative Energies
      • Chemical
      • Electrical Utilities
      • Gas
      • General Manufacturing
      • Mining
      • Mining & Metals
      • Oil & Energy
      • Oil and Gas Discoveries
      • Utilities
      • Water Utilities
      • Energy & Natural Resources Overview

      • View All Energy & Natural Resources

      • Environ­ment

      • All Environ­ment
      • Conservation & Recycling
      • Environmental Issues
      • Environmental Policy
      • Environmental Products & Services
      • Green Technology
      • Natural Disasters
      • Environ­ment Overview

      • View All Environ­ment

      • Heavy Industry & Manufacturing

      • All Heavy Industry & Manufacturing
      • Aerospace & Defense
      • Agriculture
      • Chemical
      • Construction & Building
      • General Manufacturing
      • HVAC (Heating, Ventilation and Air-Conditioning)
      • Machinery
      • Machine Tools, Metalworking and Metallurgy
      • Mining
      • Mining & Metals
      • Paper, Forest Products & Containers
      • Precious Metals
      • Textiles
      • Tobacco
      • Heavy Industry & Manufacturing Overview

      • View All Heavy Industry & Manufacturing

      • Telecomm­unications

      • All Telecomm­unications
      • Carriers and Services
      • Mobile Entertainment
      • Networks
      • Peripherals
      • Telecommunications Equipment
      • Telecommunications Industry
      • VoIP (Voice over Internet Protocol)
      • Wireless Communications
      • Telecomm­unications Overview

      • View All Telecomm­unications

  • Lifestyle & Health
      • Consumer Products & Retail

      • All Consumer Products & Retail
      • Animals & Pets
      • Beers, Wines and Spirits
      • Beverages
      • Bridal Services
      • Cannabis
      • Cosmetics and Personal Care
      • Fashion
      • Food & Beverages
      • Furniture and Furnishings
      • Home Improvement
      • Household, Consumer & Cosmetics
      • Household Products
      • Jewelry
      • Non-Alcoholic Beverages
      • Office Products
      • Organic Food
      • Product Recalls
      • Restaurants
      • Retail
      • Supermarkets
      • Toys
      • Consumer Products & Retail Overview

      • View All Consumer Products & Retail

      • Entertain­ment & Media

      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • Entertain­ment & Media Overview

      • View All Entertain­ment & Media

      • Health

      • All Health
      • Biometrics
      • Biotechnology
      • Clinical Trials & Medical Discoveries
      • Dentistry
      • FDA Approval
      • Fitness/Wellness
      • Health Care & Hospitals
      • Health Insurance
      • Infection Control
      • International Medical Approval
      • Medical Equipment
      • Medical Pharmaceuticals
      • Mental Health
      • Pharmaceuticals
      • Supplementary Medicine
      • Health Overview

      • View All Health

      • Sports

      • All Sports
      • General Sports
      • Outdoors, Camping & Hiking
      • Sporting Events
      • Sports Equipment & Accessories
      • Sports Overview

      • View All Sports

      • Travel

      • All Travel
      • Amusement Parks and Tourist Attractions
      • Gambling & Casinos
      • Hotels and Resorts
      • Leisure & Tourism
      • Outdoors, Camping & Hiking
      • Passenger Aviation
      • Travel Industry
      • Travel Overview

      • View All Travel

  • Policy & Public Interest
      • Policy & Public Interest

      • All Policy & Public Interest
      • Advocacy Group Opinion
      • Animal Welfare
      • Congressional & Presidential Campaigns
      • Corporate Social Responsibility
      • Domestic Policy
      • Economic News, Trends, Analysis
      • Education
      • Environmental
      • European Government
      • FDA Approval
      • Federal and State Legislation
      • Federal Executive Branch & Agency
      • Foreign Policy & International Affairs
      • Homeland Security
      • Labor & Union
      • Legal Issues
      • Natural Disasters
      • Not For Profit
      • Patent Law
      • Public Safety
      • Trade Policy
      • U.S. State Policy
      • Policy & Public Interest Overview

      • View All Policy & Public Interest

  • People & Culture
      • People & Culture

      • All People & Culture
      • Aboriginal, First Nations & Native American
      • African American
      • Asian American
      • Children
      • Diversity, Equity & Inclusion
      • Hispanic
      • Lesbian, Gay & Bisexual
      • Men's Interest
      • People with Disabilities
      • Religion
      • Senior Citizens
      • Veterans
      • Women
      • People & Culture Overview

      • View All People & Culture

      • In-Language News

      • español
      • português
      • Česko
      • Danmark
      • Deutschland
      • España
      • France
      • Italia
      • Nederland
      • Norge
      • Polska
      • Portugal
      • Россия
      • Slovensko
      • Suomi
      • Sverige
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • Sponsored Placement
  • All Products
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • PR Newswire: news distribution, targeting and monitoring
  • Send a Release
    • ALL CONTACT INFO
    • Contact Us

      888-776-0942
      from 8 AM - 10 PM ET

  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • News in Focus
    • Browse All News
    • Multimedia Gallery
    • Trending Topics
  • Business & Money
    • Auto & Transportation
    • Business Technology
    • Entertain­ment & Media
    • Financial Services & Investing
    • General Business
  • Science & Tech
    • Consumer Technology
    • Energy & Natural Resources
    • Environ­ment
    • Heavy Industry & Manufacturing
    • Telecomm­unications
  • Lifestyle & Health
    • Consumer Products & Retail
    • Entertain­ment & Media
    • Health
    • Sports
    • Travel
  • Policy & Public Interest
  • People & Culture
    • People & Culture
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • All Products
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR

BNC Bancorp Announces Earnings for First Quarter 2015

BNC Bancorp logo. BNC Bancorp is a one-bank holding company for Bank of North Carolina.

News provided by

BNC Bancorp

Apr 24, 2015, 09:00 ET

Share this article

Share this article


HIGH POINT, N.C., April 24, 2015 /PRNewswire/ -- BNC Bancorp (NASDAQ: BNCN) ("Company"), parent company for Bank of North Carolina ("Bank"), today reported financial results for fiscal quarter ended March 31, 2015.

Operating earnings for the quarter ended March 31, 2015 totaled $10.5 million, or $0.32 per diluted share, an increase of 2.1% compared to $10.3 million, or $0.34 per diluted share, for the quarter ended December 31, 2014, and an increase of 53.3% from operating earnings of $6.9 million, or $0.25 per diluted share, for the quarter ended March 31, 2014.  Operating earnings exclude non-operating income and expenses, which primarily consists of transaction-related expenses and gain (loss) on sale of investment securities.

Net income for the quarter ended March 31, 2015 was $8.8 million, or $0.27 per diluted share, an increase of 35.1% from net income of $6.5 million, or $0.24 per diluted share, for the quarter ended March 31, 2014. 

Total assets at March 31, 2015 were $4.17 billion, an increase of 2.5% as compared to total assets of $4.07 billion at December 31, 2014.

Highlights for First Quarter 2015:

  • Operating earnings per diluted share of $0.32 for the first quarter of 2015, compared to $0.25 for the first quarter of 2014;
  • Diluted earnings per share of $0.27 for the first quarter of 2015, compared to $0.24 for the first quarter of 2014;
  • Annualized operating return on average assets of 1.04%, compared to 0.87% for the first quarter of 2014;
  • Annualized operating return on tangible common equity ratio of 14.41%, compared to 12.17% for the first quarter of 2014;
  • Tangible common book value of $9.67 per share, as compared to $9.00 at March 31, 2014;
  • Originated loans increased $146.2 million compared to the fourth quarter of 2014; and
  • Successful completion of Harbor National Bank system conversion.

Richard D. Callicutt II, President and CEO, stated, "We are pleased to report another strong quarter in earnings, growth, and integration efforts.  Core operating earnings per share were up 28% compared to the year ago quarter, and continue to benefit from greater operating efficiencies attained through acquisitions and strong organic growth.  Originated loans increased by $146 million, or 6.9%, during the quarter, representing one of the best loan production quarters in our Company's history.  While Charlotte and the Triangle continue to be our strongest markets, Charleston, with the recent addition of the Harbor National team, had a very productive first quarter.

We are pleased to report a very successful systems conversion for the Harbor National customers during the first quarter.  All of the Harbor offices are now branded as BNC Bank, and through the leadership efforts of Charlie Rivers, we are confident that our seasoned team in the Charleston market will be a consistent source of strong loan and deposit growth for our Company.

In the fourth quarter, we announced the acquisition of Valley Financial in Roanoke, representing our largest acquisition to date and our initial entry into Virginia.  I am pleased to report that both teams are working together extremely well, and the planning process is slightly ahead of schedule.

Our Company continues to look for opportunities that add meaningful value to our franchise in terms of earnings, markets, and growth.  We are committed to successfully seizing on new opportunities and continue to add franchise and shareholder value each and every quarter."

Operating Results

Fully-taxable equivalent ("FTE") net interest income for the quarter ended March 31, 2015 was $39.9 million, a slight increase from $39.4 million for the fourth quarter of 2014, despite the day count difference between the periods, which would have added $0.8 million of FTE net interest income for the first quarter of 2015.  FTE net interest income for the first quarter of 2015 increased 22.1% from $32.7 million for the first quarter of 2014. 

FTE net interest margin was 4.37% for the first quarter of 2015, a decrease of 18 basis points from 4.55% for the fourth quarter of 2014, and a decrease of 24 basis points from 4.61% for the first quarter of 2014.  The decrease is primarily due to a decrease in the yield earned on the Company's portfolio loans, which was 5.08% for the first quarter of 2015, as compared to 5.28% and 5.49% for the fourth quarter of 2014 and first quarter of 2014, respectively.  The decrease in yield on the portfolio loans from first quarter of 2014 was partially offset by an additional $1.4 million of loan accretion from the acquired loan portfolio.

Average interest-earning assets were $3.71 billion for the quarter ended March 31, 2015, an increase of 7.9% from $3.44 billion for the fourth quarter of 2014, and an increase of 28.8% from $2.88 billion for the first quarter of 2014.  Average interest-bearing liabilities were $3.15 billion for the quarter ended March 31, 2015, an increase of 8.0% from $2.91 billion for the fourth quarter of 2014, and an increase of 23.4% from $2.55 billion for the first quarter of 2014.  These increases were due to recent acquisitions and continued loan growth across the Company's markets.

The following table is a summary of average yields and costs:

Average Yields / Costs (FTE)

(unaudited)









Three Months Ended



March 31,


December 31,


March 31,



2015


2014


2014


Yield on interest-earning assets

5.00%


5.18%


5.31%


Cost of interest-bearing liabilities

0.75%


0.74%


0.80%


Cost of funds

0.64%


0.63%


0.70%


Net interest spread

4.25%


4.44%


4.51%


Net interest margin

4.37%


4.55%


4.61%
















Non-interest income was $6.3 million for the quarter ended March 31, 2015, a decrease of 19.1% from $7.8 million for the fourth quarter of 2014, and an increase of 22.9% from $5.1 million for the first quarter of 2014.  Many of the non-interest income sources, such as income from recoveries on acquired loans, income derived from the sale of loans partially guaranteed by the SBA, income derived from our investment brokerage services, income derived from our CRA equity investments and income received from the Federal Deposit Insurance Corporation related to our acquired loan portfolio, are volatile and can vary significantly from period to period. 

Non-interest expense was $32.0 million for the quarter ended March 31, 2015, a slight decrease as compared to non-interest expense of $32.4 million for the fourth quarter of 2014, and an increase of 29.1% from $24.8 million for the first quarter of 2014.  Excluding non-operating expenses, adjusted non-interest expense for the quarter ended March 31, 2015 was $29.2 million, a decrease from $29.5 million for the fourth quarter of 2014, and an increase of 21.6% from $24.0 million for the first quarter of 2014.  Salaries and employee benefits expense were elevated during the fourth quarter of 2014 due to seasonally higher fringe benefit expenses, while the first quarter of 2015 includes the full impact of additional employees and facilities obtained from the acquisition of Harbor National Bank.

The following table details the components of non-interest income and non-interest expense:

Non-Interest Income / Non-Interest Expense

(dollars in thousands; unaudited)









Three Months Ended



March 31,


December 31,


March 31,



2015


2014


2014


Non-interest income







  Mortgage fees

$            2,499


$            2,049


$            1,558


  Service charges

1,644


1,648


1,348


  Earnings on bank-owned life insurance

654


634


580


  Gain (loss) on sale of investment securities

49


-


(565)


  Insurance settlement

-


-


768


  Other

1,454


3,454


1,436


     Total non-interest income

$            6,300


$            7,785


$            5,125









Non-interest expense







  Salaries and employee benefits

$          15,973


$          16,423


$          13,493


  Occupancy 

2,581


2,365


2,071


  Furniture and equipment

1,627


1,630


1,598


  Data processing and supply

846


1,053


904


  Advertising and business development

646


625


689


  Insurance, professional and other services

1,388


1,077


944


  FDIC insurance assessments

735


700


705


  Loan, foreclosure and other real estate owned

2,325


2,632


1,362


  Transaction-related expense

2,839


2,231


797


  Other

3,031


3,630


2,208


     Total non-interest expense

$          31,991


$          32,366


$          24,771









The following is a summary of transaction-related expenses incurred by transaction:

Transaction-Related Expenses

(dollars in thousands; unaudited)









Three Months Ended



March 31,


December 31,


March 31,


Transaction

2015


2014


2014


  Harbor

$             2,367


$             1,210


$                  -


  Community First

47


585


178


  South Street

7


55


353


  Randolph

-


-


266


  Valley & other

418


381


-


  Total

$             2,839


$             2,231


$                797
















Additional Operating Highlights

Total portfolio loans were $3.18 billion at March 31, 2015, an increase of 3.3% from $3.08 billion at December 31, 2014.  Originated loans increased by $146.2 million, or 6.9%, during the first quarter of 2015.  The majority of loan growth during the first quarter was in commercial real estate loans.

The table below outlines the Company's loan portfolio mix between originated and acquired loans for the past five quarters: 

Gross Loan Growth


(dollars in thousands; unaudited)














 March 31, 


December 31,


 September 30, 


 June 30, 


 March 31, 


2015


2014


2014


2014


2014

Originated loans

$  2,262,601


$    2,116,441


$ 2,021,792


$ 1,865,024


$  1,765,248

Acquired loans 

913,236


958,657


741,877


805,275


538,827

Total portfolio loans

$  3,175,837


$    3,075,098


$ 2,763,669


$ 2,670,299


$  2,304,075





















Change in balance (quarter/quarter):










  Total portfolio loans

3.3%


11.3%


3.5%


15.9%


1.2%

  Originated loans

6.9%


4.7%


8.4%


5.7%


3.5%

  Acquired loans

-4.7%


29.2%


-7.9%


49.4%


-5.7%











Total deposits at March 31, 2015 were $3.55 billion, an increase of 4.6% from total deposits of $3.40 billion as of December 31, 2014.  Wholesale deposits were 28.6% of total deposits at March 31, 2015, an increase compared to 25.7% as of December 31, 2014.  Transactional accounts, which are comprised of non-interest bearing and interest-bearing demand accounts, increased 30.2% over the last twelve months. 

The table below outlines the components of deposits for the past five quarters:

Total Deposit Growth

(dollars in thousands; unaudited)












March 31,


December 31,


September 30,


June 30,


March 31,


2015


2014


2014


2014


2014

Non-interest bearing demand

$      544,189


$        534,792


$    482,859


$       464,682


$        350,415

Interest-bearing demand

1,685,200


1,657,931


1,495,186


1,504,397


1,362,454

Time deposits

1,323,537


1,203,674


1,106,163


1,155,569


1,043,457

Total

$   3,552,926


$     3,396,397


$ 3,084,208


$    3,124,648


$     2,756,326











Change in balance (quarter/quarter)

4.6%


10.1%


-1.3%


13.4%


1.8%











Annual deposit growth

28.9%



















Total borrowings at March 31, 2015 were $195.7 million, a decrease of 25.2% from total borrowings of $261.7 million as of December 31, 2014.  At March 31, 2015, $61.7 million of these borrowings were classified as short-term, while the remaining $134.0 million were classified as long-term. 

Asset Quality

The Company incurred $0.6 million in net charge-offs, which represented 0.08% of average loans, for the three months ended March 31, 2015, compared to net charge-offs of $0.9 million, or 0.13% of average loans for the fourth quarter of 2014, and net charge-offs of $4.6 million, or 0.82% of average loans, for the first quarter of 2014.  The Company has continued to experience a significant level of recoveries of previously charged-off loans.  Gross charge-offs were $2.0 million for the first quarter of 2015, as compared to $2.2 million for the fourth quarter of 2014 and $5.6 million for the first quarter of 2014.

During the quarter ended March 31, 2015, the Company recorded a provision for loan losses of $0.1 million, a decrease from $1.0 million recorded in the fourth quarter of 2014 and from $2.6 million recorded in the first quarter of 2014. 

The allowance for loan losses was $29.4 million at March 31, 2015, a decrease of 3.4% from $30.4 million at December 31, 2014.  The components of the allowance for loan loss at March 31, 2015 were as follows:

Allowance for Loan Loss Summary

(dollars in thousands; unaudited)












Allowance




Allowance




for 


Net


for Loan


Loans


Loan Losses


Loans


Losses %

Originated loans

$  2,262,601


$       25,987


$ 2,236,614


1.15%

Acquired loans

913,236


3,364


909,872


0.37%

Total portfolio loans

$  3,175,837


$       29,351


$ 3,146,486


0.92%

Nonperforming assets, which consist of nonaccrual loans, loans 90 days or more past due and OREO, totaled $67.4 million, or 1.61% of total assets, at March 31, 2015, as compared to $67.3 million, or 1.65% of total assets, at December 31, 2014.  Nonperforming assets that were not acquired by the Company totaled $36.6 million at March 31, 2015, an increase of 12.9% from $32.5 million at December 31, 2014. 

The following table details our asset quality information for the past five fiscal quarters:

Asset Quality Information


(dollars in thousands;  unaudited)














March 31,


December 31,


September 30,


June 30,


March 31,



2015


2014


2014


2014


2014


Nonaccrual loans - Originated

$       14,776


$           8,476


$          9,857


$        14,360


$     11,285


Nonaccrual loans - Acquired

13,191


16,248


18,135


20,406


23,758


OREO - Originated

21,869


23,989


23,754


23,714


25,996


OREO - Acquired

17,558


18,542


22,718


27,009


18,910


90 days past due - Originated

-


-


-


-


-


90 days past due - Acquired

-


-


5


738


-


Total nonperforming assets

$       67,394


$         67,255


$        74,469


$        86,227


$     79,949


Total nonperforming assets - Originated

$       36,645


$         32,465


$        33,611


$        38,074


$     37,281













Total assets

$  4,173,463


$    4,072,508


$   3,735,816


$   3,683,230


$3,205,951


Total portfolio loans

3,175,837


3,075,098


2,763,669


2,670,299


2,304,075


Total originated loans

2,262,601


2,116,441


2,021,792


1,865,024


1,765,248


Net charge-offs, QTD

584


940


325


2,026


4,615


Loans restructured/modified not included in above,











  (not 90 days past due or on nonaccrual)

15,168


13,577


15,685


14,948


17,924













Ratio of nonperforming assets to total assets

1.61%


1.65%


1.99%


2.34%


2.49%


  Originated nonperforming assets to total assets

0.88%


0.80%


0.90%


1.03%


1.16%













Ratio of nonperforming loans to total portfolio loans

0.88%


0.80%


1.01%


1.33%


1.52%


  Originated nonperforming loans to total portfolio loans

0.47%


0.28%


0.36%


0.54%


0.49%













Ratio of allowance for loan losses to total portfolio loans

0.92%


0.99%


1.11%


1.13%


1.34%


  Allowance for originated loans to total originated loans 

1.15%


1.25%


1.32%


1.37%


1.47%













Annualized net charge-offs to average portfolio loans

0.08%


0.13%


0.05%


0.32%


0.82%













The following is a rollforward of OREO activity for the three months ended March 31, 2015:

Rollforward of OREO

(dollars in thousands; unaudited)









Three Months Ended March 31, 2015



Originated


Acquired


Total


Balance at beginning of period

$          23,989


$          18,542


$          42,531


Foreclosures

1,791


1,737


3,528


Valuation adjustments

(603)


(867)


(1,470)


Sales

(3,308)


(1,854)


(5,162)


Balance at end of period

$          21,869


$          17,558


$          39,427









Capital Position

At March 31, 2015, shareholders' equity was $399.1 million, an increase of 2.2% from shareholders' equity of $390.4 million as of December 31, 2014. 

All of the Bank's and Company's capital ratios exceed the minimum thresholds established for a well-capitalized bank by regulatory measures. 

About BNC Bancorp and Bank of North Carolina

Headquartered in High Point, NC, BNC Bancorp is the parent company of Bank of North Carolina, a commercial bank with $4.17 billion in assets.  Bank of North Carolina provides a complete line of banking and financial services to individuals and businesses through its 47 banking offices in North and South Carolina.  The Bank's 12 locations in South Carolina operate as BNC Bank.  Bank of North Carolina is insured by the FDIC and is an equal housing lender.  BNC Bancorp's stock is traded and quoted in the NASDAQ Capital Market under the symbol "BNCN."  The Company's website is www.bncbancorp.com.

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States.  BNC Bancorp's management uses these "non-GAAP" measures in their analysis of the Company's performance.  Management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations and enhance comparability of results with prior periods as well as demonstrating the effects of significant gains and charges in the current period. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. See the attached tabular disclosures for a reconciliation of these non-GAAP measures to the most directly comparable GAAP measure.

Forward Looking Statements

This press release contains forward-looking statements relating to the financial condition, results of operations and business of BNC Bancorp and the Bank. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of the management of BNC Bancorp, and the information available to management at the time that this press release was prepared. Factors that could cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following: (i) the economic recovery may face challenges causing its momentum to falter or a further recession; (ii) expected cost savings and other benefits anticipated in connection with our acquisitions may not be fully realized or realized within the expected time frame; (iii) our ability to integrate acquisitions and retain existing customers and attract new ones; and (iv) adverse changes in credit quality trends. Additional factors affecting BNC Bancorp and the Bank are discussed in BNC Bancorp's filings with the Securities and Exchange Commission (the "SEC"), Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q and its Current Reports on Form 8-K. Please refer to the Securities and Exchange Commission's website at www.sec.gov where you can review those documents. BNC Bancorp does not undertake a duty to update any forward-looking statements made in this press release.

PERFORMANCE SUMMARY

BNC BANCORP

(Dollars in thousands, except per share data, shares in thousands)

(Unaudited)


For the




Three Months Ended



SUMMARY INCOME STATEMENTS

March 31,
2015


March 31,
2014


% Change


Interest income

$           43,887


$             35,718


22.9%


Interest expense

5,817


5,004


16.2%


Net interest income

38,070


30,714


23.9%


Provision for loan losses

110


2,561


-95.7%


Net interest income after provision for loan losses

37,960


28,153


34.8%


Non-interest income

6,300


5,125


22.9%


Non-interest expense

31,991


24,771


29.1%


Income before income tax expense

12,269


8,507


44.2%


Income tax expense

3,511


2,023


73.6%


Net income 

$             8,758


$               6,484


35.1%








PER SHARE DATA







Earnings per share, basic

$               0.27


$                 0.24




Earnings per share, diluted

0.27


0.24




Operating earnings per share, diluted (1)

0.32


0.25




Tangible common book value per share (1)

9.67


9.00










Period-end common shares outstanding

32,716


27,324



Weighted average participating common shares:







Basic

32,681


27,317




Diluted

32,754


27,460










PERFORMANCE RATIOS







Return on average assets

0.87%


0.83%




Operating return on average assets (1)

1.04%


0.87%




Return on average common equity

9.01%


9.70%




Return on average tangible common equity (1)

12.12%


11.53%




Operating return on average tangible common equity (1)

14.41%


12.17%




Net interest margin (FTE)

4.37%


4.61%




Average equity to average assets

9.62%


8.70%




Allowance for loan losses as a % of portfolio loans

0.92%


1.34%




     Allowance for originated loans as a % of originated portfolio loans

1.15%


1.47%




Nonperforming assets to total assets, end of period

1.61%


2.49%




     Originated nonperforming assets to total assets, end of period

0.88%


1.16%




Annualized net charge-offs to total average portfolio loans

0.08%


0.82%










SELECTED FINANCIAL DATA







Gain (loss) on sale of investment securities, net

$                   49


$                 (565)




Insurance settlement income

-


768




Fair value accretion

4,809


3,456




OREO valuation adjustments, net of FDIC reimbursement

814


635




Transaction-related expenses

2,839


797




Goodwill and other intangible assets, net

82,861


34,597













(1)  See Reconciliation of Non-GAAP Financial Measures table for additional details.

PERFORMANCE SUMMARY

BNC BANCORP

(Dollars in thousands, except per share data, shares in thousands)

(Unaudited)



For the Three Months Ended

SUMMARY INCOME STATEMENTS

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014


Interest income

$           43,887


$             42,915


$             40,876


$             38,633


$             35,718


Interest expense

5,817


5,454


4,736


4,732


5,004


Net interest income

38,070


37,461


36,140


33,901


30,714


Provision for loan losses

110


1,001


1,304


2,140


2,561


Net interest income after provision for loan losses

37,960


36,460


34,836


31,761


28,153


Non-interest income

6,300


7,785


6,307


5,805


5,125


Non-interest expense

31,991


32,366


29,828


29,512


24,771


Income before income tax expense

12,269


11,879


11,315


8,054


8,507


Income tax expense

3,511


3,374


3,047


1,921


2,023


Net income 

$             8,758


$               8,505


$               8,268


$               6,133


$               6,484













Net interest income, as reported

$           38,070


$             37,461


$             36,140


$             33,901


$             30,714


     Fully taxable-equivalent ("FTE") adjustment 

1,868


1,915


1,913


1,930


1,990


Net interest income, FTE

$           39,938


$             39,376


$             38,053


$             35,831


$             32,704












PER SHARE DATA











Earnings per share, basic

$               0.27


$                 0.28


$                 0.28


$                 0.21


$                 0.24


Earnings per share, diluted

0.27


0.28


0.28


0.21


0.24












Period-end common shares outstanding

32,716


32,599


29,475


29,721


27,324

Weighted average participating common shares:











Basic

32,681


30,505


29,472


28,877


27,317


Diluted

32,754


30,599


29,567


29,010


27,460












PERFORMANCE RATIOS











Return on average assets

0.87%


0.89%


0.89%


0.69%


0.83%


Operating return on average assets (1)

1.04%


1.07%


1.04%


0.95%


0.87%


Return on average common equity

9.01%


9.59%


10.03%


7.31%


9.70%


Return on average tangible common equity (1)

12.12%


12.57%


13.03%


9.21%


11.53%


Operating return on average tangible common equity (1)

14.41%


15.08%


15.17%


12.43%


12.17%


Net interest margin (FTE)

4.37%


4.55%


4.54%


4.54%


4.61%


Average equity to average assets

9.62%


9.23%


8.83%


9.50%


8.70%


Allowance for loan losses as a % of portfolio loans

0.92%


0.99%


1.11%


1.13%


1.34%


     Allowance for originated loans as a % of originated portfolio loans

1.15%


1.25%


1.32%


1.37%


1.47%


Nonperforming assets to total assets, end of period

1.61%


1.65%


1.99%


2.34%


2.49%


     Originated nonperforming assets to total assets, end of period

0.88%


0.80%


0.90%


1.03%


1.16%


Annualized net charge-offs to total average portfolio loans

0.08%


0.13%


0.05%


0.32%


0.82%












SELECTED FINANCIAL DATA











Gain (loss) on sale of investment securities, net

$                   49


$                      -


$                     54


$                      -


$                 (565)


Loss on extinguishment of debt

-


613


-


-


-


Insurance settlement income

-


-


-


-


768


Fair value accretion

4,809


4,867


3,575


2,981


3,456


OREO valuation adjustments, net of FDIC reimbursement

814


866


1,022


1,313


635


Transaction-related expenses

2,839


2,231


2,325


3,601


797


Goodwill and other intangible assets, net

82,861


83,701


61,716


62,406


34,597















(1)  See Reconciliation of Non-GAAP Financial Measures table for additional details.

PERFORMANCE SUMMARY

BNC BANCORP



(Dollars in thousands)



(Unaudited)










SELECTED BALANCE SHEET DATA

March 31,
2015


December 31,
2014


% Change





     Portfolio loans:










          Originated loans

$     2,262,601


$       2,116,441


6.9%





          Acquired loans

913,236


958,657


-4.7%





          Allowance for loan losses

(29,351)


(30,399)


-3.4%





          Net portfolio loans

3,146,486


3,044,699


3.3%





     Loans held for sale

25,505


37,280


-31.6%





     Investment securities

515,325


506,382


1.8%





     Total interest-earning assets

3,778,586


3,669,857


3.0%





     Total assets

4,173,463


4,072,508


2.5%















     Deposits:










          Non-interest bearing deposits

544,189


534,792


1.8%





          Interest-bearing demand and savings

1,685,200


1,657,931


1.6%





          Time deposits

1,323,537


1,203,674


10.0%





          Total deposits

3,552,926


3,396,397


4.6%





     Borrowed funds

195,659


261,748


-25.2%





     Total interest-bearing liabilities

3,204,395


3,123,353


2.6%





     Shareholders' equity:










          Common equity

389,025


380,206


2.3%





          Accumulated other comprehensive income

10,087


10,182


-0.9%





          Total shareholders' equity

399,112


390,388


2.2%



































SELECTED BALANCE SHEET DATA

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014

     Portfolio loans:










          Originated loans

$     2,262,601


$       2,116,441


$       2,021,792


$       1,865,024


$       1,765,248

          Acquired loans

913,236


958,657


741,877


805,275


538,827

          Allowance for loan losses

(29,351)


(30,399)


(30,722)


(30,129)


(30,880)

          Net portfolio loans

3,146,486


3,044,699


2,732,947


2,640,170


2,273,195

     Loans held for sale

25,505


37,280


20,906


23,714


18,895

     Investment securities

515,325


506,382


489,263


501,626


487,905

     Total interest-earning assets

3,778,586


3,669,857


3,354,964


3,282,682


2,888,886

     Total assets

4,173,463


4,072,508


3,735,816


3,683,230


3,205,951











     Deposits:










          Non-interest bearing deposits

544,189


534,792


482,859


464,682


350,415

          Interest-bearing demand and savings

1,685,200


1,657,931


1,495,186


1,504,397


1,362,454

          Time deposits

1,323,537


1,203,674


1,106,163


1,155,569


1,043,457

          Total deposits

3,552,926


3,396,397


3,084,208


3,124,648


2,756,326

     Borrowed funds

195,659


261,748


298,642


209,449


149,491

     Total interest-bearing liabilities

3,204,395


3,123,353


2,899,990


2,869,415


2,555,402

     Shareholders' equity:










          Common equity

389,025


380,206


320,433


318,624


273,690

          Accumulated other comprehensive income

10,087


10,182


10,214


8,212


6,818

          Total shareholders' equity

399,112


390,388


330,647


326,836


280,508











PERFORMANCE SUMMARY










BNC BANCORP










(Dollars in thousands)










(Unaudited)

























For the Three Months Ended

SELECTED AVERAGE BALANCE SHEET DATA

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014


Portfolio loans

$     3,128,992


$       2,877,833


$       2,721,425


$       2,553,931


$       2,288,490


Investment securities

495,587


484,092


491,278


496,221


509,740


Total interest-earning assets

3,708,252


3,436,018


3,322,970


3,165,865


2,879,546


Total assets

4,097,199


3,809,989


3,705,918


3,540,758


3,181,723















Deposits:












Non-interest bearing deposits

532,348


519,062


469,712


402,105


335,416



Interest-bearing demand and savings

1,654,989


1,545,039


1,513,574


1,457,797


1,323,324



Time deposits

1,275,326


1,122,956


1,126,903


1,163,864


1,061,294



Total deposits

3,462,663


3,187,057


3,110,189


3,023,766


2,720,034


Borrowed funds

216,182


246,229


244,341


158,288


165,499


Total interest-bearing liabilities

3,146,497


2,914,224


2,884,818


2,779,949


2,550,117


Shareholders' equity

394,034


351,695


327,138


336,297


276,736































 (Dollars in millions) 





LOAN PORTFOLIO MIX

March 31,
2015


December 31,
2014


March 31,
2014







Residential construction

$               78.0


$                 73.2


$                 34.3








Presold

49.7


41.0


17.5








Speculative

28.3


32.2


16.8







Commercial construction

176.6


203.1


123.9







Residential and commercial A&D

12.2


13.3


12.5







Land

92.3


98.2


88.7








Residential buildable lots

26.9


27.4


22.0








Commercial buildable lots

24.6


25.9


12.9








Land held for development

23.9


25.6


31.1








Raw and agricultural land

16.9


19.3


22.7







Commercial real estate

1,713.0


1,585.1


1,363.2








Multi-family

100.2


82.6


67.7








Farmland

4.6


5.2


1.0








Owner occupied

614.7


590.6


483.0








Non-owner occupied

993.5


906.7


811.5







Commercial and industrial

199.0


192.3


162.1







Residential mortgage

867.0


872.4


487.2







Consumer

16.2


16.4


15.9







Leases

21.5


21.1


16.3







Total portfolio loans

$          3,175.8


$            3,075.1


$            2,304.1


















RECONCILIATION OF NON-GAAP FINANCIAL MEASURES


BNC BANCORP

(Dollars in thousands, except per share data, shares in thousands)

(Unaudited)












For the Three Months Ended





Operating Earnings per Share, Diluted (1)

March 31,
2015


December 31,
2014


March 31,
2014





Net income (GAAP)

$             8,758


$               8,505


$               6,484





Add:    Transaction-related charges, net of tax

1,789


1,406


502





            Loss on extinguishment of debt, net of tax

-


386


-





Less:   Gain (loss) on sale of investment securities, net of tax

31


-


(356)





            Insurance settlement, net of tax

-


-


484





Operating earnings (non-GAAP)

10,516


10,297


6,858















Weighted average fully diluted shares outstanding

32,754


30,599


27,460















Operating earnings per share, diluted (non-GAAP)

$               0.32


$                 0.34


$                 0.25


























For the Three Months Ended





Adjusted Non-interest Expense (1)

March 31,
2015


December 31,
2014


March 31,
2014





Non-interest expense (GAAP)

$           31,991


$             32,366


$             24,771





Less:  Transaction-related expenses

2,839


2,231


797





           Loss on extinguishment of debt

-


613


-





Adjusted non-interest expense (non-GAAP)

$           29,152


$             29,522


$             23,974

































Tangible Common Book Value per Share (2)

March 31,
2015


March 31,
2014







Shareholders' equity (GAAP)

$        399,112


$          280,508







Less: Intangible assets

82,861


34,597







Tangible common shareholders equity (non-GAAP)

316,251


245,911

















Common shares outstanding

32,716


27,324

















Tangible common book value per share (non-GAAP)

$               9.67


$                 9.00





























For the Three Months Ended

Return on Average Tangible Common Equity (2)

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014

Net income (GAAP)

$             8,758


$               8,505


$               8,268


$               6,133


$               6,484

Plus: Amortization of intangibles, net of tax

529


453


435


354


232

Tangible net income available to common shareholders (non-GAAP)

9,287


8,958


8,703


6,487


6,716











Average common shareholders equity

394,034


351,695


327,138


336,297


271,061

Less: Average intangible assets

83,279


68,954


62,101


53,826


34,775

Average tangible common shareholders' equity (non-GAAP)

310,755


282,741


265,037


282,471


236,286











Return on average tangible common equity (non-GAAP)

12.12%


12.57%


13.03%


9.21%


11.53%











RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

BNC BANCORP

(Dollars in thousands, except per share data, shares in thousands)



(Unaudited)




For the Three Months Ended

Operating Return on Average Assets (1)

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014

Net income (GAAP)

$             8,758


$               8,505


$               8,268


$               6,133


$               6,484

Plus:   Transaction-related expenses, net of tax

1,789


1,406


1,464


2,269


502

           Loss on extinguishment of debt, net of tax

-


386


-


-


-

Less:  Gain (loss) on sale of investment securities, net of tax

31


-


34


-


(356)

           Insurance settlement, net of tax

-


-


-


-


484

Operating earnings (non-GAAP)

10,516


10,297


9,698


8,402


6,858











Average assets

4,097,199


3,809,989


3,705,918


3,540,758


3,181,723











Operating return on average assets (non-GAAP)

1.04%


1.07%


1.04%


0.95%


0.87%
































For the Three Months Ended

Operating Return on Average Tangible Common Equity (1)

March 31,
2015


December 31,
2014


September 30,
2014


June 30,
2014


March 31,
2014

Net income (GAAP)

$             8,758


$               8,505


$               8,268


$               6,133


$               6,484

Plus:   Amortization of intangibles, net of tax

529


453


435


354


232

           Transaction-related expenses, net of tax

1,789


1,406


1,464


2,269


502

           Loss on extinguishment of debt, net of tax

-


386


-


-


-

Less:  Gain (loss) on sale of investment securities, net of tax

31


-


34


-


(356)

           Insurance settlement, net of tax

-


-


-


-


484

Operating tangible net income available to common shareholders (non-GAAP)

11,045


10,750


10,133


8,756


7,090











Average common shareholders equity

394,034


351,695


327,138


336,297


271,061

Less: Average intangible assets

83,279


68,954


62,101


53,826


34,775

Average tangible common shareholders' equity (non-GAAP)

310,755


282,741


265,037


282,471


236,286











Operating return on average tangible common equity (non-GAAP)

14.41%


15.08%


15.17%


12.43%


12.17%





















(1)  Management uses these measures in their analysis of the Company's performance and believes these measures provide a greater understanding of ongoing operations and enhance comparability of results with prior periods, as well as demonstrating the effects of significant gains and charges.

(2)  Management believes investors use this measure to evaluate the Company's performance.

Logo - http://photos.prnewswire.com/prnh/20030917/BNCLOGO

SOURCE BNC Bancorp

Related Links

http://www.bncbancorp.com

Modal title

Contact Cision

  • Cision Distribution 888-776-0942
    from 8 AM - 9 PM ET

  • Chat with an Expert
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices

Products

  • Cision Communication Cloud®
  • For Marketers
  • For Public Relations
  • For IR & Compliance
  • For Agency
  • For Small Business
  • All Products

About

  • About PR Newswire
  • About Cision
  • Become a Publishing Partner
  • Become a Channel Partner
  • Careers
  • COVID-19 Resources
  • Accessibility Statement
  • Asia
  • Brazil
  • Canada
  • Czech
  • Denmark
  • Finland
  • France
  • Germany
  • India
  • Israel
  • Italy
  • Mexico
  • Middle East
  • Netherlands
  • Norway
  • Poland
  • Portugal
  • Russia
  • Slovakia
  • Spain
  • Sweden
  • United Kingdom

My Services

  • All New Releases
  • Online Member Center
  • ProfNet

Contact Cision

Products

About

My Services
  • All News Releases
  • Online Member Center
  • ProfNet
Cision Distribution Helpline
888-776-0942
  • Terms of Use
  • Privacy Policy
  • Information Security Policy
  • Site Map
  • RSS
  • Cookie Settings
Copyright © 2022 Cision US Inc.