South Plains Financial, Inc. Reports Third Quarter 2019 Financial Results

October 24, 2019

LUBBOCK, Texas, Oct. 24, 2019 (GLOBE NEWSWIRE) -- South Plains Financial, Inc. (NASDAQ:SPFI) (“South Plains” or the “Company”), the parent company of City Bank, today reported its financial results for the quarter ended September 30, 2019. 

Third Quarter 2019 Highlights

  • Net income for the third quarter of 2019 was $8.3 million, compared to $6.1 million for the second quarter of 2019.
  • Diluted earnings per share were $0.45 for the third quarter of 2019, compared to $0.37 for the second quarter of 2019.
  • Average cost of deposits for the third quarter of 2019 declined 10 basis points to 98 basis points, compared to 108 basis points for the second quarter of 2019.
  • The efficiency ratio for the third quarter of 2019 declined 123 basis points to 73.62%, compared to 74.85% for the third quarter of 2018.
  • Return on average assets for the third quarter of 2019 was 1.18% annualized, compared to 0.89% for the second quarter of 2019.
  • Book value per share was $16.61 as of September 30, 2019, compared to $16.19 per share as of June 30, 2019.

Subsequent Events

  • South Plains has received all necessary regulatory approvals for South Plains’ announced acquisition of West Texas State Bank (“WTSB”).  The acquisition is expected to close on October 31, 2019.

Curtis Griffith, South Plains’ Chairman and Chief Executive Officer, commented, “I am very pleased with our third quarter results as they clearly demonstrate the successful execution of our strategy to grow City Bank while also leveraging the significant investments that we have made in our infrastructure.  Today, we believe our infrastructure can handle more than $5 billion in assets which will allow us to further scale City Bank without adding significant incremental expenses or investments as we strive to deliver returns in line with or exceeding our peer group.  Signs of our success can be seen in our third quarter results as we improved our efficiency ratio by 123 basis points, year over year, to 73.62%.  Additionally, our return on average assets expanded by 44 basis points, year over year, to 1.18% annualized and our return on average equity expanded by more than 200 basis points, year over year, to 11.10% annualized.” 

Mr. Griffith continued, “Turning to our pending acquisition of WTSB, I am pleased to report that we have received all necessary regulatory approvals and expect the acquisition to close on October 31, 2019.  Since our announcement in July, we have been working closely with the WTSB management team on our integration plan and are very pleased with the early success that we have achieved.  As a result, we remain confident that we will deliver our cost synergy target of reducing WTSB’s non-interest expense by 30% by 2021, approximately 75% of which we expect to achieve in 2020.  We also continue to expect 20% earnings accretion over four quarters beginning in 2020 with a tangible book value per share earn back of less than four years.  Additionally, we are encouraged with the potential cross selling opportunities to WTSB’s customers, as there is a real need for South Plains’ mortgage, wealth management and trust products in WTSB’s more rural markets.  Our bankers are positioning themselves to begin introducing our products in WTSB’s branches on day one post-closing.”    

Results of Operations, Quarter Ended September 30, 2019

Net Interest Income

Net interest income was $26.6 million for the third quarter of 2019, compared to $24.8 million for the third quarter of 2018 and $24.8 million for the second quarter of 2019. 

Interest income was $33.7 million for the third quarter of 2019, compared to $30.7 million for the third quarter of 2018 and $32.5 million for the second quarter of 2019.  Interest and fees on loans increased by $2.0 million from the third quarter of 2018 due to organic growth of $20.0 million in average loans and an increase of 34 basis points in interest rates.  The increase from the second quarter of 2019 was the result of an increase of $46.9 million in average loans outstanding during the third quarter of 2019.

Interest expense was $7.1 million for the third quarter of 2019, compared to $5.9 million for the third quarter of 2018 and $7.7 million for the second quarter of 2019.  The increase from the third quarter of 2018 was primarily due to an increase in the rate paid on interest-bearing liabilities of 24 basis points.  The decrease from the second quarter of 2019 was due to a decrease in the rate paid on interest-bearing liabilities of 9 basis points and a decrease of $50.0 million in average interest-bearing liabilities in the third quarter of 2019.  The average cost of deposits was 98 basis points for the third quarter of 2019, representing a 14 basis point increase from the third quarter of 2018 and a 10 basis point decrease from the second quarter of 2019.    

The net interest margin was 4.07% for the third quarter of 2019, compared to 4.02% for the third quarter of 2018 and 3.88% for the second quarter of 2019. 

Noninterest Income and Noninterest Expense

Noninterest income was $14.1 million for the third quarter of 2019, compared to $13.3 million for the third quarter of 2018 and $13.7 million for the second quarter of 2019.  The increase in noninterest income for the third quarter of 2019 compared to the third quarter of 2018 was primarily the result of an increase of $1.4 million in mortgage banking activities revenue as a result of an increase of $47.2 million in mortgage loan originations.  The increase from the second quarter of 2019 was primarily the result of an increase of $339,000 in mortgage banking activities revenue for the third quarter of 2019. 

Noninterest expense was $30.0 million for the third quarter of 2019, compared to $28.6 million for the third quarter of 2018 and $29.9 million for the second quarter of 2019.  This increase in noninterest expense for the third quarter of 2019 compared to the third quarter of 2018 was primarily driven by $328,000 in professional services related to our announced acquisition of WTSB as well as increased costs for legal, accounting, and insurance as a new public company.  There was a decrease in personnel expense of $649,000 from the second quarter of 2019, which was partially offset by the increase in expenses noted above for the third quarter of 2019.

Loan Portfolio and Composition

Loans held for investment were $1.96 billion as of September 30, 2019, compared to $1.94 billion as of June 30, 2019 and $1.97 billion as of September 30, 2018.  Loans held for investment increased $27.0 million, or 5.6% annualized, during the third quarter of 2019 compared to the second quarter of 2019, primarily as a result of an increase of $19.1 million seasonal agricultural production loan net fundings.  As of September 30, 2019, loans held for investment decreased $5.5 million, or 0.3%, from September 30, 2018. 

Agricultural production loans were $166.8 million as of September 30, 2019, compared to $147.7 million as of June 30, 2019 and $175.8 million as of September 30, 2018.

Deposits and Borrowings

Deposits totaled $2.29 billion as of September 30, 2019, compared to $2.28 billion as of June 30, 2019 and $2.26 billion as of September 30, 2018.  Deposits increased $4.1 million in the third quarter of 2019, primarily as the result of growth in noninterest-bearing deposits of $42.9 million during the quarter, partially offset by a decrease of $38.7 million in interest-bearing deposits.  The decrease in interest-bearing deposits was primarily attributable to a planned reduction of $43.3 million in public funds.  The increase of $24.6 million in deposits from September 30, 2018 was the result of the Company’s organic growth. 

Noninterest-bearing deposits were $556.2 million as of September 30, 2019, compared to $513.4 million as of June 30, 2019 and $517.0 million as of September 30, 2018.  Noninterest-bearing deposits represented 24.3%, 22.5%, and 22.9% of total deposits as of September 30, 2019, June 30, 2019, and September 30, 2018, respectively. 

Asset Quality

The provision for loan losses recorded for the third quarter of 2019 was $420,000, compared to $3.4 million for the third quarter of 2018 and $875,000 for the second quarter of 2019.  The allowance for loan losses to loans held for investment was 1.23% as of September 30, 2019, compared to 1.25% as of June 30, 2019 and 1.07% as of September 30, 2018. 

The nonperforming assets to total assets ratio as of September 30, 2019 was 0.31%, compared to 0.37% as of June 30, 2019 and 0.37% at September 30, 2018.

Annualized net charge-offs were 0.08% for the third quarter of 2019, compared to 0.02% for the second quarter of 2019 and 0.82% for the third quarter of 2018.

Conference Call

South Plains will host a conference call to discuss its third quarter 2019 financial results today, October 24, 2019 at 9 a.m., Eastern Time.  Investors and analysts interested in participating in the call are invited to dial 1-877-407-9716 (international callers please dial 1-201-493-6779) approximately 10 minutes prior to the start of the call.  A live audio webcast of the conference call will be available on the Company’s website at https://www.spfi.bank/news-events/events.

A replay of the conference call will be available within two hours of the conclusion of the call and can be accessed on the investor section of the Company’s website as well as by dialing 1-844-512-2921 (international callers please dial 1-412-317-6671).  The pin to access the telephone replay is 13694929.  The replay will be available until 11:59 p.m. Eastern Time on November 7, 2019. 

About South Plains Financial, Inc.

South Plains is the bank holding company for City Bank, a Texas state-chartered bank headquartered in Lubbock, Texas.  City Bank is one of the largest independent banks in West Texas and has additional banking operations in the Dallas and El Paso markets, as well as in the Greater Houston, and College Station Texas markets, and the Ruidoso and Eastern New Mexico markets.  South Plains provides a wide range of commercial and consumer financial services to small and medium-sized businesses and individuals in its market areas.  Its principal business activities include commercial and retail banking, along with insurance, investment, trust and mortgage services.  Please visit https://www.spfi.bank for more information.

Pro Forma Financial Information

As a result of the revocation of the Company’s subchapter S corporation election, which was effective May 31, 2018, the net income presented herein may not be comparable for all periods presented herein.  As a result, the Company is disclosing pro forma net income and income tax expense as if the Company’s conversion to a C corporation had occurred as of January 1, 2018.

Additionally, prior to the listing of our common stock on the NASDAQ, in accordance with applicable provisions of the Internal Revenue Code, the terms of the South Plains Financial, Inc. Employee Stock Ownership Plan (“ESOP”) provided that ESOP participants had the right, for a specified period of time, to require us to repurchase shares of our common stock that were distributed to them by the ESOP.  The shares of common stock held by the ESOP were reflected in our consolidated balance sheets as a line item called “ESOP-owned shares” appearing between total liabilities and shareholders’ equity.  As a result, the ESOP-owned shares were deducted from shareholders’ equity in our consolidated balance sheets.  This repurchase right terminated upon the listing of our common stock on the NASDAQ, which we sometimes refer to as the ESOP Repurchase Right Termination, whereupon our repurchase liability was extinguished and thereafter the ESOP-owned shares are included in shareholders’ equity.

Non-GAAP Financial Measures

Some of the financial measures included in this press release are not measures of financial performance recognized in accordance with generally accepted accounting principles in the United States (“GAAP”).  These non-GAAP financial measures include Tangible Book Value Per Common Share and Tangible Common Equity to Tangible Assets.  The Company believes these non-GAAP financial measures provide both management and investors a more complete understanding of the Company’s financial position and performance.  These non-GAAP financial measures are supplemental and are not a substitute for any analysis based on GAAP financial measures.

We classify a financial measure as being a non-GAAP financial measure if that financial measure excludes or includes amounts, or is subject to adjustments that have the effect of excluding or including amounts, that are included or excluded, as the case may be, in the most directly comparable measure calculated and presented in accordance with GAAP as in effect from time to time in the United States in our statements of income, balance sheets or statements of cash flows.  Not all companies use the same calculation of these measures; therefore, this presentation may not be comparable to other similarly titled measures as presented by other companies.

A reconciliation of non-GAAP financial measures to GAAP financial measures is provided at the end of this press release.

Forward Looking Statements

This press release contains forward-looking statements.  These forward-looking statements reflect South Plains’ current views with respect to, among other things, the completion of its acquisition of WTSB and other future events.  Any statements about South Plains’ expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking.  These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “intends” and similar words or phrases.  South Plains cautions that the forward-looking statements in this press release are based largely on South Plains’ expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond South Plains’ control.  Additional information regarding these risks and uncertainties to which South Plains’ business and future financial performance are subject is contained in South Plains’ Prospectus filed with the U.S. Securities and Exchange Commission (“SEC”), dated May 8, 2019 (“Prospectus”), and other documents South Plains files with the SEC from time to time.  South Plains urges readers of this press release to review the Risk Factors section of that Prospectus and the Risk Factors section of other documents South Plains files with the SEC from time to time.  Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements due to additional risks and uncertainties of which South Plains is not currently aware or which it does not currently view as, but in the future may become, material to its business or operating results.  Due to these and other possible uncertainties and risks, readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release.  Any forward-looking statements presented herein are made only as of the date of this press release, and South Plains does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, new information, the occurrence of unanticipated events, or otherwise, except as required by law.

Contact:Mikella Newsom, Chief Risk Officer and Secretary
 (866) 771-3347
 investors@city.bank
  
 Source: South Plains Financial, Inc. 
 


      
South Plains Financial, Inc. 
Consolidated Financial Highlights - (Unaudited) 
(Dollars in thousands, except share data) 
 As of and for the quarter ended
 September 30,
2019
June 30,
2019
March 31,
2019

December 30,
2018
September 30,
2018
Selected Income Statement Data:     
Interest income$33,665 $32,509 $32,004 $31,672 $30,731 
Interest expense 7,097  7,672  7,458  7,005  5,943 
Net interest income 26,568  24,837  24,546  24,667  24,788 
Provision for loan losses 420  875  608  1,168  3,415 
Noninterest income 14,115  13,703  12,075  14,390  13,295 
Noninterest expense 30,028  29,930  30,036  30,498  28,646 
Income tax expense 1,977  1,655  1,204  1,528  1,109 
Net income 8,258  6,080  4,773  5,863  4,913 
Per Share Data (Common Stock):     
Net earnings, basic 0.46  0.37  0.32  0.40  0.33 
Net earnings, diluted 0.45  0.37  0.32  0.40  0.33 
Cash dividends declared and paid 0.03      0.85   
Book value 16.61  16.19  14.80  14.40  14.63 
Tangible book value 16.47  16.19  14.80  14.40  14.63 
Weighted average shares outstanding, basic 17,985,429  16,459,366  14,771,520  14,771,520  14,771,520 
Weighted average shares outstanding, dilutive 18,363,033  16,563,543  14,771,558  14,771,520  14,771,520 
Shares outstanding at end of period 18,004,323  17,978,520  14,771,520  14,771,520  14,771,520 
                

 


  
 As of and for the quarter ended
 September 30,
2019
June 30,
2019
March 31,
2019
December 31,
2018
September 30,
2018
Selected Period End Balance Sheet Data:     
Total assets2,795,582 2,777,170 2,745,997 2,712,745 2,687,610 
Total loans held for investment1,962,609 1,935,653 1,915,183 1,957,197 1,968,085 
Allowance for loan losses24,176 24,171 23,381 23,126 21,073 
Investment securities401,335 263,564 339,051 338,196 398,475 
Noninterest-bearing deposits556,233 513,383 497,566 510,067 517,000 
Total deposits2,285,974 2,281,858 2,304,929 2,277,454 2,261,356 
Total stockholders' equity299,027 291,113 218,565 212,775 216,169 
Summary Performance Ratios:     
Return on average assets1.18%0.89%0.71%0.86%0.74%
Return on average equity11.10%9.57%8.98%10.85%9.08%
Net interest margin (1)4.07%3.88%3.93%3.89%4.02%
Yield on loans5.91%5.90%5.84%5.67%5.57%
Cost of interest-bearing deposits1.30%1.39%1.34%1.26%1.09%
Efficiency ratio73.62%77.46%81.79%77.88%74.85%
Summary Credit Quality Data:     
Nonperforming loans6,456 7,946 7,937 6,954 7,225 
Nonperforming loans to total loans held for investment0.33%0.41%0.41%0.36%0.37%
Other real estate owned2,296 2,305 2,340 2,285 2,704 
Nonperforming assets to total assets0.31%0.37%0.37%0.34%0.37%
Allowance for loan losses to total loans held for investment1.23%1.25%1.22%1.18%1.07%
Net charge-offs to average loans outstanding (annualized)0.08%0.02%0.07%-0.18%0.82%
Capital Ratios:     
Total stockholders' equity to total assets10.70%10.48%7.96%7.84%8.04%
Tangible common equity to tangible assets10.62%10.48%7.96%7.84%8.04%
Tier 1 capital to average assets12.17%12.10%9.70%9.63%10.09%
Common equity tier 1 to risk-weighted assets13.10%13.31%10.27%9.91%10.03%
Total capital to risk-weighted assets17.38%17.75%14.74%14.28%14.29%
      
(1) Net interest margin is calculated as the annual net interest income, on a fully tax-equivalent basis, divided by average
       interest-earning assets. 
      

 


             
South Plains Financial, Inc. 
Average Balances and Yields - (Unaudited)
(Dollars in thousands) 
             
  For the Three Months Ended
  September 30, 2019 September 30, 2018
             
    Interest     Interest  
  Average Income   Average Income  
  Balance Expense Yield Balance Expense Yield
Assets            
Loans (1) $1,993,507  $29,695  5.91% $1,973,505  $27,699  5.57%
Debt securities - taxable  287,128   1,956  2.70%  271,432   1,683  2.46%
Debt securities - nontaxable  32,993   286  3.44%  75,247   672  3.54%
Other interest-bearing assets  284,579   1,831  2.55%  147,675   865  2.32%
             
Total interest-earning assets  2,598,207   33,768  5.16%  2,467,859   30,919  4.97%
Noninterest-earning assets  181,139       175,462     
             
Total assets $2,779,346      $2,643,321     
             
Liabilities & stockholders' equity            
NOW, Savings, MMA's $1,399,727   4,057  1.15% $1,394,572   3,533  1.01%
Time deposits  315,376   1,570  1.98%  308,987   1,137  1.46%
Short-term borrowings  12,468   58  1.85%  16,393   68  1.65%
Notes payable & other long-term borrowings  95,000   523  2.18%  95,000   473  1.98%
Subordinated debt securities  26,472   404  6.05%  20,887   245  4.65%
Junior subordinated deferable interest debentures  46,393   485  4.15%  46,393   487  4.16%
             
Total interest-bearing liabilities  1,895,436   7,097  1.49%  1,882,232   5,943  1.25%
Demand deposits  555,501       513,432     
Other liabilities  33,339       33,024     
Stockholders' equity  295,070       214,633     
             
Total liabilities & stockholders' equity $2,779,346      $2,643,321     
             
Net interest income   $26,671      $24,976   
Net interest margin (2)     4.07%     4.02%
             
(1) Average loan balances include nonaccrual loans and loans held for sale. 
(2) Net interest margin is calculated as the annualized net income, on a fully tax-equivalent basis, divided by 
       average interest-earning assets. 
             

 


             
South Plains Financial, Inc. 
Average Balances and Yields - (Unaudited)
(Dollars in thousands) 
             
  For the Nine Months Ended
  September 30, 2019 September 30, 2018
             
    Interest     Interest  
  Average Income   Average Income  
  Balance Expense Yield Balance Expense Yield
Assets            
Loans (1) $1,965,297  $86,471  5.88% $1,899,880  $77,531  5.46%
Debt securities - taxable  281,904   5,819  2.76%  168,718   3,188  2.53%
Debt securities - nontaxable  32,184   847  3.52%  124,951   3,351  3.59%
Other interest-bearing assets  292,099   5,348  2.45%  232,949   3,199  1.84%
             
Total interest-earning assets  2,571,484   98,485  5.12%  2,426,498   87,269  4.81%
Noninterest-earning assets  177,507       171,756     
             
Total assets $2,748,991      $2,598,254     
             
Liabilities & stockholders' equity            
NOW, Savings, MMA's $1,439,699   13,287  1.23% $1,365,187   8,664  0.85%
Time deposits  314,128   4,368  1.86%  314,502   3,295  1.40%
Short-term borrowings  15,425   226  1.96%  19,334   194  1.34%
Notes payable & other long-term borrowings  95,000   1,623  2.28%  95,000   1,250  1.76%
Subordinated debt securities  26,890   1,213  6.03%  20,887   735  4.70%
Junior subordinated deferable interest debentures  46,393   1,510  4.35%  46,393   1,339  3.86%
             
Total interest-bearing liabilities  1,937,535   22,227  1.53%  1,861,303   15,477  1.11%
Demand deposits  524,468       491,456     
Other liabilities  31,795       30,549     
Stockholders' equity  255,193       214,946     
             
Total liabilities & stockholders' equity $2,748,991      $2,598,254     
             
Net interest income   $76,258      $71,792   
Net interest margin (2)     3.96%     3.96%
             
(1) Average loan balances include nonaccrual loans and loans held for sale. 
(2) Net interest margin is calculated as the annualized net income, on a fully tax-equivalent basis, divided by 
        average interest-earning assets.
             

 


     
South Plains Financial, Inc.    
Consolidated Balance Sheets    
(Unaudited)    
(Dollars in thousands)    
  As of
  September 30, 2019 December 31, 2018
   
   
Assets    
Cash and due from banks $48,709  $47,802 
Interest-bearing deposits in banks  195,281   198,187 
Federal funds sold  655   - 
Investment securities  401,335   338,196 
Loans held for sale  50,136   38,382 
Loans held for investment  1,962,609   1,957,197 
Less: Allowance for loan losses  (24,176)  (23,126)
Net loans held for investment  1,938,433   1,934,071 
Premises and equipment, net  59,189   59,787 
Intangible assets  4,168   1,270 
Other assets  97,676   95,050 
Total assets $2,795,582  $2,712,745 
     
Liabilities and Stockholders' Equity    
Liabilities    
Noninterest bearing deposits $556,233  $510,067 
Interest-bearing deposits  1,729,741   1,767,387 
Total deposits  2,285,974   2,277,454 
Other borrowings  104,855   112,705 
Subordinated debt securities  26,472   34,002 
Trust preferred subordinated debentures  46,393   46,393 
Other liabilities  32,861   29,416 
Total liabilities  2,496,555   2,499,970 
Stockholders' Equity    
Common stock  18,004   14,772 
Additional paid-in capital  140,268   80,412 
Retained earnings  137,127   119,835 
Accumulated other comprehensive income (loss)  3,628   (2,244)
Treasury stock  -   - 
Total stockholders' equity  299,027   212,775 
Total liabilities and stockholders' equity $2,795,582  $2,712,745 
     

 


        
South Plains Financial, Inc. 
Consolidated Statements of Income 
(Unaudited) 
(Dollars in thousands) 
 Three Months Ended Nine Months Ended
 September 30,
2019
 September 30,
2018
 September 30,
2019
 September 30,
2018
    
    
Interest income:       
Loans, including fees$29,652  $27,652  $86,342  $77,388 
Other 4,013   3,079   11,836   9,034 
Total Interest income 33,665   30,731   98,178   86,422 
Interest expense:       
Deposits 5,627   4,670   17,655   11,959 
Subordinated debt securities 404   245   1,213   735 
Trust preferred subordinated debentures 485   487   1,510   1,339 
Other 581   541   1,849   1,444 
Total Interest expense 7,097   5,943   22,227   15,477 
Net interest income 26,568   24,788   75,951   70,945 
Provision for loan losses 420   3,415   1,903   5,733 
Net interest income after provision for loan losses 26,148   21,373   74,048   65,212 
Noninterest income:       
Service charges on deposits 2,101   1,979   5,985   5,757 
Income from insurance activities 1,114   1,462   4,074   3,992 
Mortgage banking activities 6,991   5,603   18,509   16,667 
Bank card services and interchange fees 2,192   2,101   6,273   6,110 
Other 1,717   2,150   5,052   5,205 
Total Noninterest income 14,115   13,295   39,893   37,731 
Noninterest expense:       
Salaries and employee benefits 18,135   18,044   56,044   53,463 
Net occupancy expense 3,486   3,388   10,309   10,103 
Professional services 1,852   1,474   5,169   4,303 
Marketing and development 762   671   2,275   2,249 
Other 5,793   5,069   16,197   14,827 
Total noninterest expense 30,028   28,646   89,994   84,945 
Income before income taxes 10,235   6,022   23,947   17,998 
Income tax expense (benefit) 1,977   1,109   4,836   (5,429)
Net income$8,258  $4,913  $19,111  $23,427 
        
Pro forma C corp income tax adjustment -   -   -   8,533 
Pro forma C corp net income$8,258  $4,913  $19,111  $14,894 
        

 


      
South Plains Financial, Inc. 
Loan Composition 
(Unaudited) 
(Dollars in thousands) 
 As of
 September 30,
2019
 December 31,
2018
 September 30,
2018
  
  
Loans:     
Commercial Real Estate$520,687  $538,037  $537,371 
Commercial - Specialized 316,862   305,022   331,165 
Commercial - General 398,909   427,728   431,827 
Consumer:     
1-4 Family Residential 359,160   346,153   324,488 
Auto Loans 212,529   191,647   185,782 
Other Consumer 70,338   70,209   70,171 
Construction 84,124   78,401   87,281 
Total loans held for investment$1,962,609  $1,957,197  $1,968,085 
      

 


      
South Plains Financial, Inc. 
Deposit Composition 
(Unaudited) 
(Dollars in thousands) 
 As of
 September 30,
2019
 December 31,
2018
 September 30,
2018
  
  
Deposits:     
Noninterest-bearing demand deposits$556,233  $510,067  $517,000 
NOW & other transaction accounts 259,230   368,806   279,875 
MMDA & other savings 1,154,859   1,087,044   1,152,269 
Time deposits 315,652   311,537   312,212 
Total deposits$2,285,974  $2,277,454  $2,261,356 
      

 


    
South Plains Financial, Inc. 
Reconciliation of Non-GAAP Financial Measures 
(Unaudited) 
(Dollars in thousands) 
 As of
 September 30,
2019
 December 31,
2018
  
  
Tangible common equity   
Total common stockholders' equity$299,027  $212,775 
Less: goodwill and other intangibles (2,479)   
    
Tangible common equity$296,548  $212,775 
    
Tangible assets   
Total assets$2,795,582  $2,712,745 
Less: goodwill and other intangibles (2,479)   
    
Tangible assets$2,793,103  $2,712,745 
    
Shares outstanding 18,004,323   14,771,520 
    
Total stockholders' equity to total assets 10.70%  7.84%
Tangible common equity to tangible assets 10.62%  7.84%
Book value per share$16.61  $14.40 
Tangible book value per share$16.47  $14.40