American National Bankshares Inc. Reports Third Quarter 2012 Earnings
DANVILLE, VA -- (Marketwire) -- 10/18/12 -- American National Bankshares Inc. (NASDAQ: AMNB)
- Q3 net income of $3.6 million and diluted EPS of $0.46
- Net interest margin of 4.14% for Q3 2012
- Nonperforming assets 1.08% of total assets
- Average shareholders' equity of $160 million is 12.32% of average assets
American National Bankshares Inc. (NASDAQ: AMNB), parent company of American National Bank (AMNB) and Trust Company, today announced third quarter 2012 net income available to common shareholders of $3,639,000 compared to $4,078,000 for the third quarter of 2011, a $439,000 or 10.77% decrease. Diluted earnings per share were $0.46 for the 2012 quarter compared to $0.52 for the 2011 quarter. This quarterly net income produced for 2012 a return on average assets of 1.12%, a return on average equity of 9.11%, and a return on average tangible equity of 13.69%.
Net income available to common shareholders for the nine months of 2012 was $12,088,000 compared to $6,868,000 for the comparable period of 2011. Basic and diluted earnings per share were $1.54 for the 2012 period compared to $1.02 for the 2011 period.
Earnings for the 2012 quarter and nine month period were favorably impacted by the July 2011 merger between American National and MidCarolina Financial Corporation ("MidCarolina"). Earnings for the comparable 2011 quarter were also favorably impacted by the merger; however the nine month period was negatively impacted by costs associated with the merger.
Financial Performance and Overview
Charles H. Majors, Chairman and Chief Executive Officer, reported, "As we conclude the first year after the merger with MidCarolina and begin our second year, we are focused on the future of community banking and American National. We believe that our bank has all the prerequisites to survive and prosper in the 21st century. Specifically, those requirements are strong capital, high asset quality, state-of-the-art technology and relationship banking.
"At September 30, 2012, American National had $798 million in loans compared to $818 million at September 30, 2011. Over the past year total loans are down $20 million or 2.5%. This is the result of a deliberate strategy to reduce the problem and criticized loan balances brought over from the merger. However, we are pleased to report that, on a standalone basis for the same period, our Virginia market is up approximately $18 million.
"At September 30, 2012, American National had $1.052 billion in deposits compared to $1.064 billion at September 30, 2011. Over the past year total deposits are down $12 million or 1.1%. This is primarily the result of a planned strategy to reduce wholesale funding since the merger. One of our strategic goals is growing deposit market share through increases in core deposits.
"Our earnings for the third quarter have been good, over $3.6 million. This is down from $4.1 million in the same quarter of 2011. Most of this change has been driven by declining yields in earning assets. Loans earned 5.65% in the 2012 quarter, compared to 6.04% in the 2011 quarter. Investment yields declined also; we earned 3.27% in the 2012 quarter, compared to 3.75% in the 2011 quarter. Our net interest margin was 4.14% for the 2012 quarter compared to 4.41% for the 2011 quarter.
"A large portion of our earnings were driven by the merger with MidCarolina. Approximately $1,281,000 of pretax income for the third quarter of 2012 was directly related to various ongoing categorical fair value adjustments, the vast majority of which results from the loan portfolio purchase discount.
"As we expected, the favorable earnings impact of the merger and the related fair value accounting is decreasing rapidly quarter to quarter. This is normal in the context of current rules for merger accounting."
Majors concluded, "As we move forward, we are continuing to seek high quality organic growth in all our markets and, at the same time, preparing American National for any strategic acquisition opportunities that may arise in the next few years. The current economic and regulatory environment, notably implementation of Dodd-Frank and the potential implementation of Basel III, is adding significantly to the challenges faced by smaller community banks. We expect that these macro-level forces will be the catalyst for a wave of merger and acquisition opportunities in our industry over the next few years. Therefore, we are building and improving an infrastructure that will allow us to grow and prosper in any regulatory and economic environment."
Capital
American National's capital ratios remain strong and exceed all regulatory requirements.
For the quarter ended September 30, 2012, average shareholders' equity was 12.32% of average assets.
Book value per common share was $20.66 at September 30, 2012, compared to $19.40 at September 30, 2011.
Tangible book value per common share was $15.03 at September 30, 2012, compared to $13.65 at September 30, 2011.
Credit Quality Measurements
Non-performing assets ($7.8 million of non-performing loans and $6.3 million of foreclosed real estate) represented 1.08% of total assets at September 30, 2012, compared to 1.48% at September 30, 2011.
Annualized net charge offs to average loans were 22 basis points (0.22%) for the 2012 third quarter, compared to nine basis points (0.09%) for the same quarter in 2011.
The allowance for loan losses as a percentage of total loans was 1.50% at September 30, 2012 compared to 1.11% at September 30, 2011.
Net Interest Income
Net interest income before provision for loan losses decreased to $11,500,000 in the third quarter of 2012 from $12,343,000 in third quarter of 2011, a decrease of $843,000 or 6.8%.
For the 2012 quarter, the net interest margin was 4.14% compared to 4.41% for the same quarter in 2011, a decrease of 27 basis points (0.27%). This decline was mostly driven by falling yields on earnings assets and only partially mitigated by reduced costs of interest bearing liabilities.
Noninterest Income
Noninterest income totaled $2,690,000 in the third quarter of 2012, compared with $2,698,000 in the third quarter of 2011, a nominal decrease of $8,000 or 0.3%. Mortgage banking income increased to $615,000, up from $374,000 for the 2011 quarter, a 64.4% increase. This income increase was offset by declines in service charges and overdraft fees.
Noninterest Expense
Noninterest expense totaled $8,880,000 in the third quarter of 2012, compared to $8,564,000 in the third quarter of 2011, an increase of $316,000 or 3.7%. Most of this change was related to personnel costs resulting from an increase in the number of full time equivalent employees, increased health insurance, and salary continuation agreements related to former MidCarolina employees.
About American National
American National Bankshares Inc. is a multi-state bank holding company with total assets of approximately $1.3 billion. Headquartered in Danville, Va., American National is the parent company of American National Bank and Trust Company. American National Bank is a community bank serving southern and central Virginia and north central North Carolina with 25 banking offices and two loan production offices. American National Bank and Trust Company also manages an additional $580 million of trust, investment and brokerage assets in its Trust and Investment Services Division. Additional information about the company and the bank is available on the bank's website at www.amnb.com.
Shares of American National are traded on the NASDAQ Global Select Market under the symbol "AMNB."
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of federal securities laws. Certain of the statements involve significant risks and uncertainties. The statements herein are based on certain assumptions and analyses by American National and are factors it believes are appropriate in the circumstances. Actual results could differ materially from those contained in or implied by such statements for a variety of reasons including, but not limited to: changes in interest rates; changes in accounting principles, policies or guidelines; significant changes in the economic scenario; significant changes in regulatory requirements; significant changes in securities markets; and changes regarding acquisitions and dispositions. Consequently, all forward-looking statements made herein are qualified by these cautionary statements and the cautionary language in American National's most recent Form 10-K report and other documents filed with the Securities and Exchange Commission. American National Bankshares Inc. does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.
American National Bankshares Inc. and Subsidiaries
Consolidated Balance Sheets
(Dollars in thousands, except share and per share data)
Unaudited
September 30
------------------------
ASSETS 2012 2011
----------- -----------
Cash and due from banks $ 25,740 $ 23,450
Interest-bearing deposits in other banks 41,900 30,086
Securities available for sale, at fair value 327,994 311,517
Securities held to maturity - 2,383
----------- -----------
Total securities 327,994 313,900
----------- -----------
Restricted stock, at cost 5,284 6,404
Loans held for sale 8,118 3,359
Loans 797,818 817,858
Less allowance for loan losses (11,998) (9,086)
----------- -----------
Net Loans 785,820 808,772
----------- -----------
Premises and equipment, net 24,885 26,263
Other real estate owned, net 6,259 5,920
Goodwill 39,043 37,709
Core deposit intangibles, net 5,081 7,142
Bank owned life insurance 13,380 12,948
Accrued interest receivable and other assets 22,203 29,186
----------- -----------
Total assets $ 1,305,707 $ 1,305,139
=========== ===========
Liabilities
Demand deposits -- noninterest-bearing $ 215,012 $ 170,398
Demand deposits -- interest-bearing 152,706 188,480
Money market deposits 164,266 199,172
Savings deposits 78,665 72,428
Time deposits 441,778 433,999
----------- -----------
Total deposits 1,052,427 1,064,477
Customer repurchase agreements 45,761 43,758
Long-term borrowings 10,111 10,238
Trust preferred capital notes 27,292 27,190
Accrued interest payable and other liabilities 8,071 8,115
----------- -----------
Total liabilities 1,143,662 1,153,778
----------- -----------
Shareholders' equity
Preferred stock, $5 par, 2,000,000 shares
authorized, none outstanding at September 30,
2012 and 1,000,000 outstanding at September 30,
2011 - 5,000
Common stock, $1 par, 20,000,000 shares
authorized, 7,843,221 shares outstanding at
September 30, 2012 and 7,802,976 shares
outstanding at September 30, 2011 7,843 7,803
Capital in excess of par value 57,045 56,094
Retained earnings 88,478 77,092
Accumulated other comprehensive income, net 8,679 5,372
----------- -----------
Total shareholders' equity 162,045 151,361
----------- -----------
Total liabilities and shareholders' equity $ 1,305,707 $ 1,305,139
=========== ===========
American National Bankshares Inc. and Subsidiaries
Consolidated Statements of Income
(Dollars in thousands, except share and per share data)
Unaudited
Three Months Ended Nine Months Ended
September 30 September 30
---------------------- ---------------------
2012 2011 2012 2011
---------- ---------- ---------- ----------
Interest and Dividend
Income:
Interest and fees on loans $ 11,421 $ 12,510 $ 37,224 $ 25,807
Interest and dividends on
securities:
Taxable 995 1,192 3,130 3,446
Tax-exempt 1,059 1,014 3,218 2,557
Dividends 52 35 155 88
Other interest income 19 28 47 112
---------- ---------- ---------- ----------
Total interest and
dividend income 13,546 14,779 43,774 32,010
---------- ---------- ---------- ----------
Interest Expense:
Interest on deposits 1,725 2,079 5,291 5,246
Interest on short-term
borrowings 33 82 127 244
Interest on long-term
borrowings 84 86 252 144
Interest on trust preferred
capital notes 204 189 616 829
---------- ---------- ---------- ----------
Total interest expense 2,046 2,436 6,286 6,463
---------- ---------- ---------- ----------
Net Interest Income 11,500 12,343 37,488 25,547
Provision for loan losses 333 525 1,799 1,198
---------- ---------- ---------- ----------
Net Interest Income After
Provision for Loan Losses 11,167 11,818 35,689 24,349
---------- ---------- ---------- ----------
Noninterest Income:
Trust fees 926 921 2,774 2,727
Service charges on deposit
accounts 414 575 1,315 1,396
Other fees and commissions 421 429 1,323 1,083
Mortgage banking income 615 374 1,665 792
Securities gains (losses),
net - - 160 (18)
Other 314 399 1,487 677
---------- ---------- ---------- ----------
Total noninterest
income 2,690 2,698 8,724 6,657
---------- ---------- ---------- ----------
Noninterest Expense:
Salaries 3,933 3,676 11,853 8,707
Employee benefits 780 731 2,657 1,896
Occupancy and equipment 929 916 2,942 2,311
FDIC assessment 84 94 530 496
Bank franchise tax 173 206 538 557
Core deposit intangible
amortization 421 545 1,514 734
Foreclosed real estate, net 412 (32) 430 490
Merger related expenses (30) 390 19 1,534
Other 2,178 2,038 7,157 4,646
---------- ---------- ---------- ----------
Total noninterest
expense 8,880 8,564 27,640 21,371
---------- ---------- ---------- ----------
Income Before Income Taxes 4,977 5,952 16,773 9,635
Income Taxes 1,338 1,823 4,685 2,716
---------- ---------- ---------- ----------
Net Income 3,639 4,129 12,088 6,919
Dividends on preferred stock - 51 - 51
---------- ---------- ---------- ----------
Net income available to
common shareholders $ 3,639 $ 4,078 $ 12,088 $ 6,868
========== ========== ========== ==========
Net Income Per Common Share:
Basic $ 0.46 $ 0.52 $ 1.54 $ 1.02
Diluted $ 0.46 $ 0.52 $ 1.54 $ 1.02
Average Common Shares
Outstanding:
Basic 7,838,314 7,800,614 7,830,928 6,705,607
Diluted 7,855,537 7,806,668 7,846,659 6,712,960
American National Bankshares Inc. and Subsidiaries
Financial Highlights
(In thousands, except share, ratio and
nonfinancial data, unaudited)
3rd Qtr 2nd Qtr 3rd Qtr YTD YTD
2012 2012 2011 2012 2011
---------- ---------- ---------- ----------- -----------
EARNINGS
Interest
income $ 13,546 $ 14,886 $ 14,779 $ 43,774 $ 32,010
Interest
expense 2,046 2,070 2,436 6,286 6,463
Net interest
income 11,500 12,816 12,343 37,488 25,547
Provision for
loan losses 333 733 525 1,799 1,198
Noninterest
income 2,690 2,800 2,698 8,724 6,657
Noninterest
expense 8,880 8,833 8,564 27,640 21,371
Income taxes 1,338 1,776 1,823 4,685 2,716
Net income 3,639 4,274 4,129 12,088 6,919
PER COMMON SHARE
Earnings per
share - basic $ 0.46 $ 0.55 $ 0.52 $ 1.54 $ 1.02
Earnings per
share -
diluted 0.46 0.54 0.52 1.54 1.02
Cash dividends
declared 0.23 0.23 0.23 0.69 0.69
Book value per
share 20.66 20.22 19.40 20.66 19.40
Book value per
share -
tangible (a) 15.03 14.49 13.65 15.03 13.65
Closing market
price 22.59 23.56 18.00 22.59 18.00
FINANCIAL RATIOS
Return on
average
assets 1.12% 1.31% 1.26% 1.23% 0.92%
Return on
average
equity 9.11 10.86 11.08 10.24 7.49
Return on
average
tangible
equity (b) 13.69 16.62 17.24 15.65 10.73
Average equity
to average
assets 12.32 12.03 11.40 12.05 12.33
Net interest
margin,
taxable
equivalent 4.14 4.57 4.41 4.47 3.98
Efficiency
ratio 62.00 55.56 57.03 58.20 63.24
Effective tax
rate 26.88 29.36 30.63 27.93 28.19
PERIOD-END
BALANCES
Securities $ 333,278 $ 340,791 $ 320,304 $ 333,278 $ 320,304
Loans held for
sale 8,118 9,215 3,359 8,118 3,359
Loans, net of
unearned
income 797,818 808,069 817,858 797,818 817,858
Goodwill and
other
intangibles 44,124 44,854 44,851 44,124 44,851
Assets 1,305,707 1,290,892 1,305,139 1,305,707 1,305,139
Assets -
tangible (a) 1,261,583 1,246,038 1,260,288 1,261,583 1,260,288
Deposits 1,052,427 1,042,485 1,064,477 1,052,427 1,064,477
Customer
repurchase
agreements 45,761 46,113 43,758 45,761 43,758
Long-term
borrowings 37,403 37,409 37,428 37,403 37,428
Shareholders'
equity 162,045 158,424 151,361 162,045 151,361
Shareholders'
equity -
tangible (a) 117,921 113,570 106,510 117,921 106,510
AVERAGE BALANCES
Securities $ 323,555 $ 335,996 $ 296,095 $ 326,227 $ 253,059
Loans held for
sale 8,237 5,819 2,641 6,525 2,048
Loans, net of
unearned
income 802,213 814,042 827,720 811,731 619,812
Interest-
earning
assets 1,166,572 1,173,487 1,171,982 1,171,774 904,023
Goodwill and
other
intangibles 44,561 45,214 44,437 45,027 30,688
Assets 1,297,698 1,308,384 1,306,796 1,306,104 999,219
Assets -
tangible (a) 1,253,137 1,263,170 1,262,359 1,261,077 968,531
Interest-
bearing
deposits 839,902 854,673 896,873 839,210 664,091
Deposits 1,044,434 1,054,427 1,067,491 1,044,656 797,099
Customer
repurchase
agreements 46,297 48,742 45,356 46,297 45,452
Other short-
term
borrowings - 1,878 2 - 45
Long-term
borrowings 37,413 37,419 37,439 37,413 28,820
Shareholders'
equity 159,868 157,390 149,033 157,323 123,184
Shareholders'
equity -
tangible (a) 115,307 112,176 104,596 112,296 92,496
CAPITAL
Average shares
outstanding -
basic 7,838,314 7,832,162 7,800,614 7,830,928 6,705,607
Average shares
outstanding -
diluted 7,855,537 7,849,142 7,806,668 7,846,659 6,712,960
ALLOWANCE FOR
LOAN LOSSES
Beginning
balance $ 12,099 $ 11,691 $ 8,744 $ 10,529 $ 8,420
Provision for
loan losses 333 733 525 1,799 1,198
Charge-offs (614) (728) (252) (1,682) (957)
Recoveries 180 403 69 1,352 425
---------- ---------- ---------- ---------- ----------
Ending balance $ 11,998 $ 12,099 $ 9,086 $ 11,998 $ 9,086
LOANS
Construction
and land
development $ 50,688 $ 50,913 $ 57,111 $ 50,688 $ 57,111
Commercial
real estate 356,692 354,441 346,715 356,692 346,715
Residential
real estate 162,404 170,893 174,493 162,404 174,493
Home equity 95,008 95,522 99,727 95,008 99,727
Commercial and
industrial 126,339 128,846 131,704 126,339 131,704
Consumer 6,687 7,454 8,108 6,687 8,108
---------- ---------- ---------- ---------- ----------
Total $ 797,818 $ 808,069 $ 817,858 $ 797,818 $ 817,858
NONPERFORMING
ASSETS AT
PERIOD-END
Nonperforming
loans:
90 days past
due $ - $ - $ - $ - $ -
Nonaccrual 7,815 7,995 13,455 7,815 13,455
Foreclosed
real estate 6,259 4,731 5,920 6,259 5,920
---------- ---------- ---------- ---------- ----------
Nonperforming
assets $ 14,074 $ 12,726 $ 19,375 $ 14,074 $ 19,375
ASSET QUALITY
RATIOS
Annualized net
chargeoffs to
average loans 0.22% 0.16% 0.09% 0.05% 0.11%
Nonperforming
assets to
total assets 1.08 0.99 1.48 1.08 1.48
Nonperforming
loans to
total loans 0.98 0.99 1.65 0.98 1.65
Allowance for
loan losses
to total
loans 1.50 1.50 1.11 1.50 1.11
Allowance for
loan losses
to
nonperforming
loans 153.53 151.33 67.53 153.53 67.53
OTHER DATA
Fiduciary
assets at
period-end
(c) $ 391,055 $ 374,562 $ 340,941 $ 391,055 $ 340,941
Retail
brokerage
assets at
period-end
(c) $ 197,434 $ 191,577 $ 149,284 $ 197,434 $ 149,284
Number full-
time
equivalent
employees (d) 318 315 306 318 306
Number of full
service
offices 25 25 25 25 25
Number of loan
production
offices 2 2 1 2 1
Number of
ATM's 31 31 31 31 31
Notes:
(a) - Excludes goodwill and other intangible assets
(b) - Excludes amortization expense, net of tax, of intangible assets
(c) - Market value
(d) - Average for quarter
Net Interest Income Analysis
For the Three Months Ended September 30, 2012 and 2011
(in thousands, except rates)
Interest
Average Balance Income/Expense Yield/Rate
--------------------- --------------- ------------
2012 2011 2012 2011 2012 2011
---------- ---------- ------- ------- ----- -----
Loans:
Commercial $ 126,701 $ 136,204 $ 1,598 $ 1,603 5.00% 4.67%
Real estate 676,905 685,628 9,743 10,778 5.76 6.29
Consumer 6,844 8,529 119 163 6.90 7.58
---------- ---------- ------- ------- ----- -----
Total loans 810,450 830,361 11,460 12,544 5.65 6.04
---------- ---------- ------- ------- ----- -----
Securities:
Federal agencies 36,181 32,448 118 186 1.30 2.29
Mortgage-backed & CMOs 92,708 87,785 472 615 2.04 2.80
State and municipal 180,820 168,134 1,933 1,896 4.28 4.51
Other 13,846 7,728 121 78 3.50 4.04
---------- ---------- ------- ------- ----- -----
Total securities 323,555 296,095 2,644 2,775 3.27 3.75
---------- ---------- ------- ------- ----- -----
Deposits in other banks 32,567 45,526 19 28 0.23 0.24
---------- ---------- ------- ------- ----- -----
Total interest-earning
assets 1,166,572 1,171,982 14,123 15,347 4.84 5.23
------- ------- ----- -----
Non-earning assets 131,126 134,814
---------- ----------
Total assets $1,297,698 $1,306,796
========== ==========
Deposits:
Demand $ 144,284 $ 171,744 44 132 0.12 0.30
Money market 168,212 208,962 126 232 0.30 0.44
Savings 78,808 72,088 29 26 0.15 0.14
Time 448,598 444,079 1,526 1,689 1.35 1.51
---------- ---------- ------- ------- ----- -----
Total deposits 839,902 896,873 1,725 2,079 0.81 0.92
Customer repurchase
agreements 46,297 45,356 33 82 0.28 0.72
Other short-term
borrowings - 2 - - - 0.75
Long-term borrowings 37,413 37,439 288 275 3.08 2.94
---------- ---------- ------- ------- ----- -----
Total interest-bearing
liabilities 923,612 979,670 2,046 2,436 0.88 0.99
------- ------- ----- -----
Noninterest bearing
demand deposits 204,532 170,618
Other liabilities 9,686 7,475
Shareholders' equity 159,868 149,033
---------- ----------
Total liabilities
and shareholders'
equity $1,297,698 $1,306,796
========== ==========
Interest rate spread 3.96% 4.24%
===== =====
Net interest margin 4.14% 4.41%
===== =====
Net interest income (taxable
equivalent basis) 12,077 12,911
Less: Taxable equivalent
adjustment 577 568
------- -------
Net interest income $11,500 $12,343
======= =======
Net Interest Income Analysis
For the Nine Months Ended September 30, 2012 and 2011
(in thousands, except rates)
Interest
Average Balance Income/Expense Yield/Rate
--------------------- --------------- ------------
2012 2011 2012 2011 2012 2011
---------- ---------- ------- ------- ----- -----
Loans:
Commercial $ 129,821 $ 98,121 $ 5,136 $ 3,392 5.29% 4.62%
Real estate 679,375 516,165 31,720 22,093 6.23 5.71
Consumer 9,060 7,574 485 419 7.16 7.40
---------- ---------- ------- ------- ----- -----
Total loans 818,256 621,860 37,341 25,904 6.09 5.56
---------- ---------- ------- ------- ----- -----
Securities:
Federal agencies 36,179 37,197 435 765 1.60 2.74
Mortgage-backed & CMOs 97,057 67,843 1,487 1,571 2.04 3.09
State and municipal 181,393 141,481 5,884 4,889 4.33 4.61
Other 11,598 6,538 332 193 3.82 3.94
---------- ---------- ------- ------- ----- -----
Total securities 326,227 253,059 8,138 7,418 3.33 3.91
---------- ---------- ------- ------- ----- -----
Deposits in other banks 27,291 29,104 47 112 0.23 0.51
---------- ---------- ------- ------- ----- -----
Total interest-earning
assets 1,171,774 904,023 45,526 33,434 5.18 4.93
------- ------- ----- -----
Non-earning assets 134,330 95,196
---------- ----------
Total assets $1,306,104 $ 999,219
========== ==========
Deposits:
Demand $ 144,284 $ 122,497 154 167 0.14 0.18
Money market 168,212 111,801 414 382 0.33 0.46
Savings 78,808 66,138 88 69 0.15 0.14
Time 447,906 363,655 4,635 4,628 1.38 1.70
---------- ---------- ------- ------- ----- -----
Total deposits 839,210 664,091 5,291 5,246 0.84 1.06
Customer repurchase
agreements 46,297 45,452 125 244 0.36 0.72
Other short-term
borrowings - 45 2 - - 0.47
Long-term borrowings 37,413 28,820 868 973 3.09 4.50
---------- ---------- ------- ------- ----- -----
Total interest-bearing
liabilities 922,920 738,408 6,286 6,463 0.91 1.17
------- ------- ----- -----
Noninterest bearing
demand deposits 205,446 133,008
Other liabilities 20,415 4,619
Shareholders' equity 157,323 123,184
---------- ----------
Total liabilities
and shareholders'
equity $1,306,104 $ 999,219
========== ==========
Interest rate spread 4.27% 3.76%
===== =====
Net interest margin 4.47% 3.98%
===== =====
Net interest income (taxable
equivalent basis) 39,240 26,971
Less: Taxable equivalent
adjustment 1,752 1,424
------- -------
Net interest income $37,488 $25,547
======= =======
Source: American National Bankshares Inc.
