UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT Pursuant
to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
(Exact Name of Registrant as Specified in its Charter)
(State or Other Jurisdiction |
(Commission |
(IRS Employer |
of Incorporation) |
File Number) |
Identification No.) |
(Address of Principal Executive Offices) |
(Zip Code) |
Registrant's Telephone Number, including Area Code
N/A
(Former Name or Former Address, if Changed Since Last Report)
Securities registered pursuant to Section 12(b) of the Act:
Title of each class |
Trading Symbol(s) |
Name of Each Exchange |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter)
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
ITEM 2.02. Results of Operation and Financial Condition
On October 30, 2024, Farmers & Merchants Bancorp, Inc. issued a press release (the “Release”) announcing its earnings for the three and nine months ended September 30, 2024. A copy of the press release is attached hereto as Exhibit 99 and is incorporated by reference herein.
ITEM 9.01. Financial Statements and Exhibits
(d) Exhibits.
Exhibit Number |
Exhibit |
|
|
99 |
104 |
The Cover Page Interactive Data File (embedded within the Inline XBRL document) |
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto authorized.
|
FARMERS & MERCHANTS BANCORP, INC. |
|
|
(Registrant) |
|
|
|
|
Dated: October 30, 2024 |
/s/ Lars B. Eller |
|
|
Lars B. Eller |
|
|
President and Chief Executive Officer |
|
|
|
|
|
/s/ Barbara J. Britenriker |
|
|
Barbara J. Britenriker |
|
|
Executive Vice President and Chief Financial Officer |
|
Exhibit 99
Post Office Box 216 307 North Defiance Street Archbold, Ohio 43502 |
NEWS RELEASE |
Company Contact: |
Investor and Media Contact: |
Lars B. Eller President and Chief Executive Officer Farmers & Merchants Bancorp, Inc. (419) 446-2501 leller@fm.bank |
Andrew M. Berger Managing Director SM Berger & Company, Inc. (216) 464-6400 andrew@smberger.com |
Farmers & Merchants Bancorp, Inc. Reports
2024 Third-Quarter and Year-to-Date Financial Results
ARCHBOLD, OHIO, October 30, 2024, Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO) today reported financial results for the 2024 third quarter and year-to-date ended September 30, 2024.
2024 Third Quarter Financial and Operating Highlights (on a year-over-year basis unless noted):
Lars B. Eller, President and Chief Executive Officer, stated, “F&M produced excellent earnings growth on a year-over-year and sequential basis, driven by higher net interest income, historically strong asset quality, and prudent expense management. Most importantly, our third quarter results reflect the talent of our associates, as we continue to work hard to drive operating improvements at F&M, serve our local Ohio, Indiana, and Michigan communities, and position F&M for long-term success. In addition, I am pleased to report that F&M was the third largest bank out of 58 financial institutions within the markets we compete, according to the FDIC, reflecting the leading value we provide to our local communities. In fact, F&M is the number one bank, based on deposits, in almost half of the communities in which we operate.”
Income Statement
Net income for the 2024 third quarter ended September 30, 2024, was $6.5 million, compared to $4.8 million for the same period last year. Net income per basic and diluted share for the 2024 third quarter was $0.48, compared to $0.35 for the same period last year. Net income for the 2024 nine months ended September 30, 2024, was $17.6 million,
compared to $17.2 million for the same period last year. Net income per basic and diluted share for the 2024 nine months was $1.28, compared to $1.26 for the same period last year.
Mr. Eller continued, “Our 2024 third quarter and year-to-date performance demonstrate the success of the near-term strategies we are pursuing to navigate a complex operating environment and improve earnings. Most importantly, while the demand for loans is high across our markets, our approach to risk and pricing remains conservative. This near-term strategy has contributed to excellent asset quality. In addition, we continue to focus on strategies aimed at optimizing our deposit base and growing low-cost checking (DDA) deposits. Since the beginning of 2024, we have added over 5,600 new checking accounts, and benefited from new and expanded relationships at offices that were opened in 2023. As a result, we ended the quarter with a loan-to-deposit ratio of 93.6%, compared to 97.2% at September 30, 2023, and 96.0% at June 30, 2024. Our third quarter of 2024 loan-to-deposit ratio was the lowest quarterly value in two years. The final near-term strategy we are pursuing is focused on controlling expenses, and I am encouraged by the continued year-over-year and sequential improvement in our efficiency ratio. This reflects the opportunities we are pursuing to manage operating costs and expand productivity.”
Deposits
At September 30, 2024, total deposits were $2.68 billion, an increase of 4.3% from September 30, 2023. The Company’s cost of interest-bearing liabilities was 3.2% for the quarter ended September 30, 2024, compared to 2.82% for the quarter ended September 30, 2023, and 3.02% for the 2023 fourth quarter ended December 31, 2023.
Loan Portfolio and Asset Quality
“F&M’s teams continue to do an excellent job managing our cost of funds, loan pricing, deposit growth and overall net interest margin. Since the quarter ended December 31, 2023, our yield on earning assets has increased by 34 basis points, compared to a 19 basis point increase in our cost of interest bearing liabilities – representing the third consecutive quarter our yield on earning assets has outpaced our cost of interest bearing liabilities. We expect this trend will continue as more of our loan portfolio reprices in 2024,” continued Mr. Eller.
Total loans, net at September 30, 2024, increased 0.3%, or by $8.7 million to $2.54 billion, compared to $2.53 billion at September 30, 2023. The year-over-year growth was driven by higher consumer real estate, commercial and industrial, and agricultural loans, partially offset by lower commercial real estate, agricultural real estate, and consumer loans.
F&M continues to closely monitor its loan portfolio with a particular emphasis on higher risk sectors. Nonperforming loans were $2.9 million, or 0.11% of total loans at September 30, 2024, compared to $22.4 million, or 0.89% of total loans at September 30, 2023, and $22.4 million, or 0.87% at December 31, 2023.
F&M maintains a well-balanced, diverse and high performing CRE portfolio. CRE loans represented 51.3% of the Company’s total loan portfolio at September 30, 2024. In addition, F&M’s commercial real estate office credit exposure represented 5.3% of the Company's total loan portfolio at September 30, 2024, with a weighted average loan-to-value of approximately 64% and an average loan of approximately $880,000.
F&M’s CRE portfolio included the following categories at September 30, 2024:
CRE Category |
|
Dollar |
|
|
Percent of |
|
|
Percent of |
|
|||
Industrial |
|
$ |
274,953 |
|
|
|
21.1 |
% |
|
|
10.8 |
% |
Retail |
|
|
237,622 |
|
|
|
18.2 |
% |
|
|
9.4 |
% |
Multi-family |
|
|
223,926 |
|
|
|
17.2 |
% |
|
|
8.8 |
% |
Hotels |
|
|
141,642 |
|
|
|
10.9 |
% |
|
|
5.6 |
% |
Office |
|
|
134,973 |
|
|
|
10.4 |
% |
|
|
5.3 |
% |
Gas Stations |
|
|
62,028 |
|
|
|
4.8 |
% |
|
|
2.5 |
% |
Food Service |
|
|
46,526 |
|
|
|
3.6 |
% |
|
|
1.8 |
% |
Development |
|
|
30,999 |
|
|
|
2.4 |
% |
|
|
1.2 |
% |
Senior Living |
|
|
29,866 |
|
|
|
2.3 |
% |
|
|
1.2 |
% |
Auto Dealers |
|
|
25,068 |
|
|
|
1.9 |
% |
|
|
1.0 |
% |
Other |
|
|
93,557 |
|
|
|
7.2 |
% |
|
|
3.7 |
% |
Total CRE |
|
$ |
1,301,160 |
|
|
|
100.0 |
% |
|
|
51.3 |
% |
* Numbers have been rounded
At September 30, 2024, the Company’s allowance for credit losses to nonperforming loans was 879.37%, compared to 112.61% at September 30, 2023, and 111.95% at December 31, 2023. The allowance to total loans was 1.01% at September 30, 2024, compared to 1.00% at September 30, 2023. Including accretable yield adjustments, associated with the Company’s recent acquisitions, F&M’s allowance for credit losses to total loans was 1.10% at September 30, 2024, compared to 1.18% at September 30, 2023.
Mr. Eller concluded, “With two months remaining in 2024, I am encouraged by F&M’s strong financial and operating performance to date. F&M ended the quarter with record stockholders’ equity, historically strong asset quality, record deposits, and excellent liquidity levels with over $635 million in contingent funding sources, and a cash-to-assets ratio of 7.2%. We remain focused on continual improvements, managing the items under our control, and providing our customers and communities with outstanding, and local financial services. As a result, F&M’s financial and operating performance continues to strengthen and I believe the Company is well positioned to create lasting value for our communities, customers, team members, and shareholders.”
Stockholders’ Equity and Dividends
Total stockholders’ equity increased 10.6% to $335.4 million, or $24.48 per share at September 30, 2024, from $303.2 million, or $22.19 per share at September 30, 2023. The Company’s Tier 1 leverage ratio of 8.04%, remained stable compared to September 30, 2023.
Tangible stockholders’ equity increased to $242.8 million at September 30, 2024, compared to $208.8 million at September 30, 2023. On a per share basis, tangible stockholders’ equity at September 30, 2024, was $17.72 per share, compared to $15.28 per share at September 30, 2023.
For the nine months ended September 30, 2024, the Company has declared cash dividends of $0.66125 per share, which is a 5.0% increase over the same period last year. F&M is committed to returning capital to shareholders and has increased the annual cash dividend for 30 consecutive years. For the nine months ended September 30, 2024, the dividend payout ratio was 50.99% compared to 49.50% for the same period last year
About Farmers & Merchants State Bank:
Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO) is the holding company of F&M Bank, a local independent community bank that has been serving its communities since 1897. F&M Bank provides commercial banking, retail banking and other financial services. Our locations are in Butler, Champaign, Fulton, Defiance, Hancock, Henry, Lucas, Shelby, Williams, and Wood counties in Ohio. In Northeast Indiana, we have offices located in Adams, Allen, DeKalb, Jay, Steuben and Wells counties. The Michigan footprint includes Oakland County, and we have Loan Production Offices in West Bloomfield, Michigan; Muncie, Indiana; and Perrysburg and Bryan, Ohio.
Safe Harbor Statement
Farmers & Merchants Bancorp, Inc. (“F&M”) wishes to take advantage of the Safe Harbor provisions included in the
Private Securities Litigation Reform Act of 1995. Statements by F&M, including management’s expectations and comments, may not be based on historical facts and are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21B of the Securities Exchange Act of 1934, as amended. Actual results could vary materially depending on risks and uncertainties inherent in general and local banking conditions, competitive factors specific to markets in which F&M and its subsidiaries operate, future interest rate levels, legislative and regulatory decisions, capital market conditions, or the effects of the COVID-19 pandemic, and its impacts on our credit quality and business operations, as well as its impact on general economic and financial market conditions. F&M assumes no responsibility to update this information. For more details, please refer to F&M’s SEC filing, including its most recent Annual Report on Form 10-K and quarterly reports on Form 10-Q. Such filings can be viewed at the SEC’s website, www.sec.gov or through F&M’s website www.fm.bank.
Non-GAAP Financial Measures
This press release includes disclosure of financial measures not prepared in accordance with generally accepted accounting principles in the United States (GAAP). A non-GAAP financial measure is a numerical measure of historical or future financial performance, financial position or cash flows that excludes or includes amounts that are required to be disclosed by GAAP. Farmers & Merchants Bancorp, Inc. believes that these non-GAAP financial measures provide both management and investors a more complete understanding of the underlying operational results and trends and Farmers & Merchants Bancorp, Inc.’s marketplace performance. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the numbers prepared in accordance with GAAP. A reconciliation of GAAP to non-GAAP financial measures is included within this press release.
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME & COMPREHENSIVE INCOME
(Unaudited) (in thousands of dollars, except per share data)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||||||||||||||
|
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
|
September |
|
|
September |
|
|||||||
Interest Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Loans, including fees |
|
$ |
36,873 |
|
|
$ |
36,593 |
|
|
$ |
35,200 |
|
|
$ |
34,493 |
|
|
$ |
33,783 |
|
|
$ |
108,666 |
|
|
$ |
94,851 |
|
Debt securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
U.S. Treasury and |
|
|
1,467 |
|
|
|
1,148 |
|
|
|
1,045 |
|
|
|
987 |
|
|
|
1,005 |
|
|
|
3,660 |
|
|
|
3,103 |
|
Municipalities |
|
|
387 |
|
|
|
389 |
|
|
|
394 |
|
|
|
397 |
|
|
|
392 |
|
|
|
1,170 |
|
|
|
1,201 |
|
Dividends |
|
|
334 |
|
|
|
327 |
|
|
|
333 |
|
|
|
365 |
|
|
|
246 |
|
|
|
994 |
|
|
|
517 |
|
Federal funds sold |
|
|
7 |
|
|
|
7 |
|
|
|
7 |
|
|
|
8 |
|
|
|
6 |
|
|
|
21 |
|
|
|
36 |
|
Other |
|
|
2,833 |
|
|
|
2,702 |
|
|
|
1,675 |
|
|
|
2,020 |
|
|
|
927 |
|
|
|
7,210 |
|
|
|
1,830 |
|
Total interest income |
|
|
41,901 |
|
|
|
41,166 |
|
|
|
38,654 |
|
|
|
38,270 |
|
|
|
36,359 |
|
|
|
121,721 |
|
|
|
101,538 |
|
Interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Deposits |
|
|
16,947 |
|
|
|
16,488 |
|
|
|
15,279 |
|
|
|
15,015 |
|
|
|
13,323 |
|
|
|
48,714 |
|
|
|
31,908 |
|
Federal funds purchased |
|
|
277 |
|
|
|
276 |
|
|
|
284 |
|
|
|
293 |
|
|
|
349 |
|
|
|
837 |
|
|
|
1,181 |
|
Borrowed funds |
|
|
2,804 |
|
|
|
2,742 |
|
|
|
2,689 |
|
|
|
2,742 |
|
|
|
2,741 |
|
|
|
8,235 |
|
|
|
6,134 |
|
Subordinated notes |
|
|
284 |
|
|
|
285 |
|
|
|
284 |
|
|
|
285 |
|
|
|
284 |
|
|
|
853 |
|
|
|
853 |
|
Total interest |
|
|
20,312 |
|
|
|
19,791 |
|
|
|
18,536 |
|
|
|
18,335 |
|
|
|
16,697 |
|
|
|
58,639 |
|
|
|
40,076 |
|
Net Interest Income - |
|
|
21,589 |
|
|
|
21,375 |
|
|
|
20,118 |
|
|
|
19,935 |
|
|
|
19,662 |
|
|
|
63,082 |
|
|
|
61,462 |
|
Provision for Credit |
|
|
282 |
|
|
|
605 |
|
|
|
(289 |
) |
|
|
278 |
|
|
|
460 |
|
|
|
598 |
|
|
|
1,420 |
|
Provision for Credit |
|
|
(267 |
) |
|
|
(18 |
) |
|
|
(266 |
) |
|
|
189 |
|
|
|
(76 |
) |
|
|
(551 |
) |
|
|
(143 |
) |
Net Interest Income |
|
|
21,574 |
|
|
|
20,788 |
|
|
|
20,673 |
|
|
|
19,468 |
|
|
|
19,278 |
|
|
|
63,035 |
|
|
|
60,185 |
|
Noninterest Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Customer service fees |
|
|
300 |
|
|
|
189 |
|
|
|
598 |
|
|
|
415 |
|
|
|
248 |
|
|
|
1,087 |
|
|
|
917 |
|
Other service charges |
|
|
1,155 |
|
|
|
1,085 |
|
|
|
1,057 |
|
|
|
1,090 |
|
|
|
1,133 |
|
|
|
3,297 |
|
|
|
3,253 |
|
Interchange income |
|
|
1,315 |
|
|
|
1,330 |
|
|
|
1,429 |
|
|
|
1,310 |
|
|
|
1,266 |
|
|
|
4,074 |
|
|
|
4,008 |
|
Loan servicing income |
|
|
710 |
|
|
|
513 |
|
|
|
539 |
|
|
|
666 |
|
|
|
502 |
|
|
|
1,762 |
|
|
|
3,739 |
|
Net gain on sale of loans |
|
|
215 |
|
|
|
314 |
|
|
|
107 |
|
|
|
230 |
|
|
|
294 |
|
|
|
636 |
|
|
|
469 |
|
Increase in cash surrender |
|
|
265 |
|
|
|
236 |
|
|
|
216 |
|
|
|
216 |
|
|
|
221 |
|
|
|
717 |
|
|
|
618 |
|
Net loss on sale of |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(891 |
) |
Total noninterest |
|
|
3,960 |
|
|
|
3,667 |
|
|
|
3,946 |
|
|
|
3,927 |
|
|
|
3,664 |
|
|
|
11,573 |
|
|
|
12,113 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
(continued) |
|
|||||||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME & COMPREHENSIVE INCOME (continued)
(Unaudited) (in thousands of dollars, except per share data)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||||||||||||||
|
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
|
September |
|
|
September |
|
|||||||
Noninterest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Salaries and wages |
|
|
7,713 |
|
|
|
7,589 |
|
|
|
7,846 |
|
|
|
6,981 |
|
|
|
6,777 |
|
|
|
23,148 |
|
|
|
19,934 |
|
Employee benefits |
|
|
2,112 |
|
|
|
2,112 |
|
|
|
2,171 |
|
|
|
1,218 |
|
|
|
2,066 |
|
|
|
6,395 |
|
|
|
6,302 |
|
Net occupancy expense |
|
|
1,054 |
|
|
|
999 |
|
|
|
1,027 |
|
|
|
1,187 |
|
|
|
950 |
|
|
|
3,080 |
|
|
|
2,646 |
|
Furniture and equipment |
|
|
1,472 |
|
|
|
1,407 |
|
|
|
1,353 |
|
|
|
1,370 |
|
|
|
1,189 |
|
|
|
4,232 |
|
|
|
3,652 |
|
Data processing |
|
|
339 |
|
|
|
448 |
|
|
|
500 |
|
|
|
785 |
|
|
|
840 |
|
|
|
1,287 |
|
|
|
2,362 |
|
Franchise taxes |
|
|
410 |
|
|
|
265 |
|
|
|
555 |
|
|
|
308 |
|
|
|
434 |
|
|
|
1,230 |
|
|
|
1,179 |
|
ATM expense |
|
|
472 |
|
|
|
397 |
|
|
|
473 |
|
|
|
665 |
|
|
|
640 |
|
|
|
1,342 |
|
|
|
1,946 |
|
Advertising |
|
|
597 |
|
|
|
519 |
|
|
|
530 |
|
|
|
397 |
|
|
|
865 |
|
|
|
1,646 |
|
|
|
2,209 |
|
Net (gain) loss on sale |
|
|
- |
|
|
|
(49 |
) |
|
|
- |
|
|
|
86 |
|
|
|
49 |
|
|
|
(49 |
) |
|
|
49 |
|
FDIC assessment |
|
|
516 |
|
|
|
507 |
|
|
|
580 |
|
|
|
594 |
|
|
|
586 |
|
|
|
1,603 |
|
|
|
1,388 |
|
Servicing rights |
|
|
219 |
|
|
|
187 |
|
|
|
168 |
|
|
|
182 |
|
|
|
106 |
|
|
|
574 |
|
|
|
429 |
|
Loan expense |
|
|
244 |
|
|
|
251 |
|
|
|
229 |
|
|
|
246 |
|
|
|
241 |
|
|
|
724 |
|
|
|
809 |
|
Consulting fees |
|
|
251 |
|
|
|
198 |
|
|
|
186 |
|
|
|
192 |
|
|
|
179 |
|
|
|
635 |
|
|
|
640 |
|
Professional fees |
|
|
453 |
|
|
|
527 |
|
|
|
445 |
|
|
|
331 |
|
|
|
358 |
|
|
|
1,425 |
|
|
|
1,099 |
|
Intangible asset |
|
|
445 |
|
|
|
444 |
|
|
|
445 |
|
|
|
446 |
|
|
|
445 |
|
|
|
1,334 |
|
|
|
1,334 |
|
Other general and |
|
|
1,128 |
|
|
|
1,495 |
|
|
|
1,333 |
|
|
|
1,532 |
|
|
|
1,319 |
|
|
|
3,956 |
|
|
|
4,841 |
|
Total noninterest |
|
|
17,425 |
|
|
|
17,296 |
|
|
|
17,841 |
|
|
|
16,520 |
|
|
|
17,044 |
|
|
|
52,562 |
|
|
|
50,819 |
|
Income Before Income |
|
|
8,109 |
|
|
|
7,159 |
|
|
|
6,778 |
|
|
|
6,875 |
|
|
|
5,898 |
|
|
|
22,046 |
|
|
|
21,479 |
|
Income Taxes |
|
|
1,593 |
|
|
|
1,477 |
|
|
|
1,419 |
|
|
|
1,332 |
|
|
|
1,121 |
|
|
|
4,489 |
|
|
|
4,235 |
|
Net Income |
|
|
6,516 |
|
|
|
5,682 |
|
|
|
5,359 |
|
|
|
5,543 |
|
|
|
4,777 |
|
|
|
17,557 |
|
|
|
17,244 |
|
Other Comprehensive |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Net unrealized gain |
|
|
11,664 |
|
|
|
2,531 |
|
|
|
(1,995 |
) |
|
|
13,261 |
|
|
|
(4,514 |
) |
|
|
12,200 |
|
|
|
(2,480 |
) |
Reclassification |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
891 |
|
|
Net unrealized gain |
|
|
11,664 |
|
|
|
2,531 |
|
|
|
(1,995 |
) |
|
|
13,261 |
|
|
|
(4,514 |
) |
|
|
12,200 |
|
|
|
(1,589 |
) |
Tax expense (benefit) |
|
|
2,449 |
|
|
|
531 |
|
|
|
(418 |
) |
|
|
2,784 |
|
|
|
(947 |
) |
|
|
2,562 |
|
|
|
(333 |
) |
Other comprehensive |
|
|
9,215 |
|
|
|
2,000 |
|
|
|
(1,577 |
) |
|
|
10,477 |
|
|
|
(3,567 |
) |
|
|
9,638 |
|
|
|
(1,256 |
) |
Comprehensive Income |
|
$ |
15,731 |
|
|
$ |
7,682 |
|
|
$ |
3,782 |
|
|
$ |
16,020 |
|
|
$ |
1,210 |
|
|
$ |
27,195 |
|
|
$ |
15,988 |
|
Basic Earnings |
|
$ |
0.48 |
|
|
$ |
0.42 |
|
|
$ |
0.39 |
|
|
$ |
0.41 |
|
|
$ |
0.35 |
|
|
$ |
1.28 |
|
|
$ |
1.26 |
|
Diluted Earnings |
|
$ |
0.48 |
|
|
$ |
0.42 |
|
|
$ |
0.39 |
|
|
$ |
0.41 |
|
|
$ |
0.35 |
|
|
$ |
1.28 |
|
|
$ |
1.26 |
|
Dividends Declared |
|
$ |
0.22125 |
|
|
$ |
0.22 |
|
|
$ |
0.22 |
|
|
$ |
0.22 |
|
|
$ |
0.21 |
|
|
$ |
0.66125 |
|
|
$ |
0.63 |
|
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited) (in thousands of dollars, except share data)
|
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
|||||
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
(Unaudited) |
|
|
|
|
|
(Unaudited) |
|
|||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Cash and due from banks |
|
$ |
244,572 |
|
|
$ |
191,785 |
|
|
$ |
186,541 |
|
|
$ |
140,917 |
|
|
$ |
151,711 |
|
Federal funds sold |
|
|
932 |
|
|
|
1,283 |
|
|
|
1,241 |
|
|
|
1,284 |
|
|
|
1,471 |
|
Total cash and cash equivalents |
|
|
245,504 |
|
|
|
193,068 |
|
|
|
187,782 |
|
|
|
142,201 |
|
|
|
153,182 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest-bearing time deposits |
|
|
2,727 |
|
|
|
3,221 |
|
|
|
2,735 |
|
|
|
2,740 |
|
|
|
2,989 |
|
Securities - available-for-sale |
|
|
404,881 |
|
|
|
365,209 |
|
|
|
347,516 |
|
|
|
358,478 |
|
|
|
348,255 |
|
Other securities, at cost |
|
|
15,028 |
|
|
|
14,721 |
|
|
|
14,744 |
|
|
|
17,138 |
|
|
|
16,995 |
|
Loans held for sale |
|
|
1,706 |
|
|
|
1,628 |
|
|
|
2,410 |
|
|
|
1,576 |
|
|
|
1,039 |
|
Loans, net of allowance for credit losses of $25,484 |
|
|
2,512,852 |
|
|
|
2,534,468 |
|
|
|
2,516,687 |
|
|
|
2,556,167 |
|
|
|
2,504,329 |
|
Premises and equipment |
|
|
33,779 |
|
|
|
34,507 |
|
|
|
35,007 |
|
|
|
35,790 |
|
|
|
31,723 |
|
Construction in progress |
|
|
35 |
|
|
|
38 |
|
|
|
9 |
|
|
|
8 |
|
|
|
3,044 |
|
Goodwill |
|
|
86,358 |
|
|
|
86,358 |
|
|
|
86,358 |
|
|
|
86,358 |
|
|
|
86,358 |
|
Loan servicing rights |
|
|
5,644 |
|
|
|
5,504 |
|
|
|
5,555 |
|
|
|
5,648 |
|
|
|
5,687 |
|
Bank owned life insurance |
|
|
34,624 |
|
|
|
34,359 |
|
|
|
34,123 |
|
|
|
33,907 |
|
|
|
33,691 |
|
Other assets |
|
|
46,047 |
|
|
|
49,552 |
|
|
|
54,628 |
|
|
|
43,218 |
|
|
|
47,388 |
|
Total Assets |
|
$ |
3,389,185 |
|
|
$ |
3,322,633 |
|
|
$ |
3,287,554 |
|
|
$ |
3,283,229 |
|
|
$ |
3,234,680 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Liabilities and Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Noninterest-bearing |
|
$ |
481,444 |
|
|
$ |
479,069 |
|
|
$ |
510,731 |
|
|
$ |
528,465 |
|
|
$ |
505,358 |
|
Interest-bearing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
NOW accounts |
|
|
865,617 |
|
|
|
821,145 |
|
|
|
829,236 |
|
|
|
816,790 |
|
|
|
778,133 |
|
Savings |
|
|
661,565 |
|
|
|
673,284 |
|
|
|
635,430 |
|
|
|
599,191 |
|
|
|
591,344 |
|
Time |
|
|
676,187 |
|
|
|
667,592 |
|
|
|
645,985 |
|
|
|
663,017 |
|
|
|
700,445 |
|
Total deposits |
|
|
2,684,813 |
|
|
|
2,641,090 |
|
|
|
2,621,382 |
|
|
|
2,607,463 |
|
|
|
2,575,280 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Federal funds purchased and securities |
|
|
27,292 |
|
|
|
27,218 |
|
|
|
28,218 |
|
|
|
28,218 |
|
|
|
30,527 |
|
Federal Home Loan Bank (FHLB) |
|
|
263,081 |
|
|
|
266,102 |
|
|
|
256,628 |
|
|
|
265,750 |
|
|
|
266,286 |
|
Subordinated notes, net of unamortized |
|
|
34,789 |
|
|
|
34,759 |
|
|
|
34,731 |
|
|
|
34,702 |
|
|
|
34,673 |
|
Dividend payable |
|
|
2,998 |
|
|
|
2,975 |
|
|
|
2,975 |
|
|
|
2,974 |
|
|
|
2,838 |
|
Accrued expenses and other liabilities |
|
|
40,832 |
|
|
|
27,825 |
|
|
|
25,930 |
|
|
|
27,579 |
|
|
|
21,892 |
|
Total liabilities |
|
|
3,053,805 |
|
|
|
2,999,969 |
|
|
|
2,969,864 |
|
|
|
2,966,686 |
|
|
|
2,931,496 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commitments and Contingencies |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Common stock - No par value 20,000,000 |
|
|
135,193 |
|
|
|
135,829 |
|
|
|
135,482 |
|
|
|
135,515 |
|
|
|
135,171 |
|
Treasury stock - 861,832 shares 9/30/24 |
|
|
(10,904 |
) |
|
|
(11,006 |
) |
|
|
(10,851 |
) |
|
|
(11,040 |
) |
|
|
(11,008 |
) |
Retained earnings |
|
|
230,465 |
|
|
|
226,430 |
|
|
|
223,648 |
|
|
|
221,080 |
|
|
|
218,510 |
|
Accumulated other comprehensive |
|
|
(19,374 |
) |
|
|
(28,589 |
) |
|
|
(30,589 |
) |
|
|
(29,012 |
) |
|
|
(39,489 |
) |
Total stockholders' equity |
|
|
335,380 |
|
|
|
322,664 |
|
|
|
317,690 |
|
|
|
316,543 |
|
|
|
303,184 |
|
Total Liabilities and Stockholders' Equity |
|
$ |
3,389,185 |
|
|
$ |
3,322,633 |
|
|
$ |
3,287,554 |
|
|
$ |
3,283,229 |
|
|
$ |
3,234,680 |
|
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
SELECT FINANCIAL DATA
|
|
For the Three Months Ended |
|
|
For the Nine Months Ended |
|
|||||||||||||||||||||||||||||
Selected financial data |
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
|
September |
|
|
September |
|
||||||||||||||
Return on average assets |
|
|
|
0.78 |
% |
|
|
|
0.69 |
% |
|
|
|
0.66 |
% |
|
|
|
0.67 |
% |
|
|
|
0.59 |
% |
|
|
|
0.71 |
% |
|
|
|
0.73 |
% |
Return on average equity |
|
|
|
7.93 |
% |
|
|
|
7.13 |
% |
|
|
|
6.76 |
% |
|
|
|
7.27 |
% |
|
|
|
6.26 |
% |
|
|
|
7.28 |
% |
|
|
|
7.52 |
% |
Yield on earning assets |
|
|
|
5.27 |
% |
|
|
|
5.22 |
% |
|
|
|
5.00 |
% |
|
|
|
4.93 |
% |
|
|
|
4.79 |
% |
|
|
|
5.17 |
% |
|
|
|
4.57 |
% |
Cost of interest bearing |
|
|
|
3.21 |
% |
|
|
|
3.18 |
% |
|
|
|
3.06 |
% |
|
|
|
3.02 |
% |
|
|
|
2.82 |
% |
|
|
|
3.16 |
% |
|
|
|
2.35 |
% |
Net interest spread |
|
|
|
2.06 |
% |
|
|
|
2.04 |
% |
|
|
|
1.94 |
% |
|
|
|
1.91 |
% |
|
|
|
1.97 |
% |
|
|
|
2.01 |
% |
|
|
|
2.22 |
% |
Net interest margin |
|
|
|
2.71 |
% |
|
|
|
2.71 |
% |
|
|
|
2.60 |
% |
|
|
|
2.57 |
% |
|
|
|
2.59 |
% |
|
|
|
2.68 |
% |
|
|
|
2.77 |
% |
Efficiency |
|
|
|
67.98 |
% |
|
|
|
69.03 |
% |
|
|
|
74.08 |
% |
|
|
|
69.23 |
% |
|
|
|
73.07 |
% |
|
|
|
70.36 |
% |
|
|
|
68.24 |
% |
Dividend payout ratio |
|
|
|
45.99 |
% |
|
|
|
52.35 |
% |
|
|
|
55.52 |
% |
|
|
|
54.23 |
% |
|
|
|
60.07 |
% |
|
|
|
50.99 |
% |
|
|
|
49.50 |
% |
Tangible book value |
|
$ |
|
17.72 |
|
|
$ |
|
16.79 |
|
|
$ |
|
16.39 |
|
|
$ |
|
16.29 |
|
|
$ |
|
15.28 |
|
|
|
|
|
|
|
|
|
||
Tier 1 leverage ratio |
|
|
|
8.04 |
% |
|
|
|
8.02 |
% |
|
|
|
8.40 |
% |
|
|
|
8.20 |
% |
|
|
|
8.02 |
% |
|
|
|
|
|
|
|
|
||
Average shares outstanding |
|
|
|
13,687,119 |
|
|
|
|
13,681,501 |
|
|
|
|
13,671,166 |
|
|
|
|
13,665,773 |
|
|
|
|
13,650,823 |
|
|
|
|
13,679,955 |
|
|
|
|
13,633,101 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Loans |
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
||||||||||
(Dollar amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial real estate |
|
$ |
|
1,301,160 |
|
|
$ |
|
1,303,598 |
|
|
$ |
|
1,304,400 |
|
|
$ |
|
1,337,766 |
|
|
$ |
|
1,304,118 |
|
Agricultural real estate |
|
|
|
220,328 |
|
|
|
|
222,558 |
|
|
|
|
227,455 |
|
|
|
|
223,791 |
|
|
|
|
225,672 |
|
Consumer real estate |
|
|
|
524,055 |
|
|
|
|
525,902 |
|
|
|
|
525,178 |
|
|
|
|
521,895 |
|
|
|
|
512,973 |
|
Commercial and industrial |
|
|
|
260,732 |
|
|
|
|
268,426 |
|
|
|
|
256,051 |
|
|
|
|
254,935 |
|
|
|
|
250,891 |
|
Agricultural |
|
|
|
137,252 |
|
|
|
|
142,909 |
|
|
|
|
127,670 |
|
|
|
|
132,560 |
|
|
|
|
123,735 |
|
Consumer |
|
|
|
67,394 |
|
|
|
|
70,918 |
|
|
|
|
74,819 |
|
|
|
|
79,591 |
|
|
|
|
83,024 |
|
Other |
|
|
|
25,916 |
|
|
|
|
26,449 |
|
|
|
|
26,776 |
|
|
|
|
30,136 |
|
|
|
|
31,083 |
|
Less: Net deferred loan fees |
|
|
|
1,499 |
|
|
|
|
(1,022 |
) |
|
|
|
(982 |
) |
|
|
|
517 |
|
|
|
|
(1,890 |
) |
Total loans, net |
|
$ |
|
2,538,336 |
|
|
$ |
|
2,559,738 |
|
|
$ |
|
2,541,367 |
|
|
$ |
|
2,581,191 |
|
|
$ |
|
2,529,606 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
(1) Includes carrying value adjustments of $3.0 million as of September 30, 2024, $612 thousand as of June 30, 2024, $969 thousand as of March 31, 2024 and $2.7 million as of December 31, 2023 related to interest rate swaps associated with fixed rate loans |
|
||||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
SELECT FINANCIAL DATA (continued)
Asset quality data |
|
September |
|
|
June |
|
|
March |
|
|
December |
|
|
September |
|
||||||||||
(Dollar amounts in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Nonaccrual loans |
|
$ |
|
2,898 |
|
|
$ |
|
2,487 |
|
|
$ |
|
19,391 |
|
|
$ |
|
22,353 |
|
|
$ |
|
22,447 |
|
90 day past due and accruing |
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
Nonperforming loans |
|
$ |
|
2,898 |
|
|
$ |
|
2,487 |
|
|
$ |
|
19,391 |
|
|
$ |
|
22,353 |
|
|
$ |
|
22,447 |
|
Other real estate owned |
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
|
$ |
|
- |
|
Nonperforming assets |
|
$ |
|
2,898 |
|
|
$ |
|
2,487 |
|
|
$ |
|
19,391 |
|
|
$ |
|
22,353 |
|
|
$ |
|
22,447 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance for credit losses |
|
$ |
|
25,484 |
|
|
$ |
|
25,270 |
|
|
$ |
|
24,680 |
|
|
$ |
|
25,024 |
|
|
$ |
|
25,277 |
|
Allowance for unfunded |
|
|
|
1,661 |
|
|
|
|
1,928 |
|
|
|
|
1,946 |
|
|
|
|
2,212 |
|
|
|
|
2,023 |
|
Total allowance for |
|
$ |
|
27,145 |
|
|
$ |
|
27,198 |
|
|
$ |
|
26,626 |
|
|
$ |
|
27,236 |
|
|
$ |
|
27,300 |
|
Allowance for credit losses/ |
|
|
|
1.01 |
% |
|
|
|
0.99 |
% |
|
|
|
0.97 |
% |
|
|
|
0.97 |
% |
|
|
|
1.00 |
% |
Adjusted credit losses with |
|
|
|
1.10 |
% |
|
|
|
1.10 |
% |
|
|
|
1.11 |
% |
|
|
|
1.13 |
% |
|
|
|
1.18 |
% |
Net charge-offs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Quarter-to-date |
|
$ |
|
68 |
|
|
$ |
|
15 |
|
|
$ |
|
55 |
|
|
$ |
|
531 |
|
|
$ |
|
93 |
|
Year-to-date |
|
$ |
|
138 |
|
|
$ |
|
70 |
|
|
$ |
|
55 |
|
|
$ |
|
551 |
|
|
$ |
|
20 |
|
Net charge-offs to average loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Quarter-to-date |
|
|
|
0.00 |
% |
|
|
|
0.00 |
% |
|
|
|
0.00 |
% |
|
|
|
0.02 |
% |
|
|
|
0.00 |
% |
Year-to-date |
|
|
|
0.01 |
% |
|
|
|
0.00 |
% |
|
|
|
0.00 |
% |
|
|
|
0.02 |
% |
|
|
|
0.00 |
% |
Nonperforming loans/total loans |
|
|
|
0.11 |
% |
|
|
|
0.10 |
% |
|
|
|
0.76 |
% |
|
|
|
0.87 |
% |
|
|
|
0.89 |
% |
Allowance for credit losses/ |
|
|
|
879.37 |
% |
|
|
|
1016.08 |
% |
|
|
|
127.28 |
% |
|
|
|
111.95 |
% |
|
|
|
112.61 |
% |
NPA coverage ratio |
|
|
|
879.37 |
% |
|
|
|
1016.08 |
% |
|
|
|
127.28 |
% |
|
|
|
111.95 |
% |
|
|
|
112.61 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
||||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES
(in thousands of dollars, except percentages)
|
|
For the Three Months Ended |
|
|
For the Three Months Ended |
|
||||||||||||||||||
|
|
September 30, 2024 |
|
|
September 30, 2023 |
|
||||||||||||||||||
|
|
Average |
|
|
Interest/ |
|
|
Annualized |
|
|
Average |
|
|
Interest/ |
|
|
Annualized |
|
||||||
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans |
|
$ |
2,551,899 |
|
|
$ |
36,873 |
|
|
|
5.78 |
% |
|
$ |
2,536,885 |
|
|
$ |
33,783 |
|
|
|
5.33 |
% |
Taxable investment securities |
|
|
415,943 |
|
|
|
2,107 |
|
|
|
2.03 |
% |
|
|
393,910 |
|
|
|
1,559 |
|
|
|
1.58 |
% |
Tax-exempt investment securities |
|
|
19,661 |
|
|
|
81 |
|
|
|
2.09 |
% |
|
|
23,986 |
|
|
|
84 |
|
|
|
1.77 |
% |
Fed funds sold & other |
|
|
197,258 |
|
|
|
2,840 |
|
|
|
5.76 |
% |
|
|
85,515 |
|
|
|
933 |
|
|
|
4.36 |
% |
Total Interest Earning Assets |
|
|
3,184,761 |
|
|
$ |
41,901 |
|
|
|
5.27 |
% |
|
|
3,040,296 |
|
|
$ |
36,359 |
|
|
|
4.79 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Nonearning Assets |
|
|
168,055 |
|
|
|
|
|
|
|
|
|
180,193 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total Assets |
|
$ |
3,352,816 |
|
|
|
|
|
|
|
|
$ |
3,220,489 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings deposits |
|
$ |
1,538,387 |
|
|
$ |
10,691 |
|
|
|
2.78 |
% |
|
$ |
1,367,168 |
|
|
$ |
7,673 |
|
|
|
2.24 |
% |
Other time deposits |
|
|
667,224 |
|
|
|
6,256 |
|
|
|
3.75 |
% |
|
|
667,880 |
|
|
|
5,650 |
|
|
|
3.38 |
% |
Other borrowed money |
|
|
264,539 |
|
|
|
2,804 |
|
|
|
4.24 |
% |
|
|
266,467 |
|
|
|
2,741 |
|
|
|
4.11 |
% |
Fed funds purchased & securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
sold under agreement to repurchase |
|
|
27,481 |
|
|
|
277 |
|
|
|
4.03 |
% |
|
|
34,128 |
|
|
|
349 |
|
|
|
4.09 |
% |
Subordinated notes |
|
|
34,769 |
|
|
|
284 |
|
|
|
3.27 |
% |
|
|
34,654 |
|
|
|
284 |
|
|
|
3.28 |
% |
Total Interest Bearing Liabilities |
|
$ |
2,532,400 |
|
|
$ |
20,312 |
|
|
|
3.21 |
% |
|
$ |
2,370,297 |
|
|
$ |
16,697 |
|
|
|
2.82 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Noninterest Bearing Liabilities |
|
|
491,851 |
|
|
|
|
|
|
|
|
|
544,801 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Stockholders' Equity |
|
$ |
328,565 |
|
|
|
|
|
|
|
|
$ |
305,391 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net Interest Income and |
|
|
|
|
$ |
21,589 |
|
|
|
2.06 |
% |
|
|
|
|
$ |
19,662 |
|
|
|
1.97 |
% |
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net Interest Margin |
|
|
|
|
|
|
|
|
2.71 |
% |
|
|
|
|
|
|
|
|
2.59 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts |
|
|||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES (continued)
(in thousands of dollars, except percentages)
|
|
For the Nine Months Ended |
|
|
For the Nine Months Ended |
|
||||||||||||||||||
|
|
September 30, 2024 |
|
|
September 30, 2023 |
|
||||||||||||||||||
|
|
Average |
|
|
Interest/ |
|
|
Annualized |
|
|
Average |
|
|
Interest/ |
|
|
Annualized |
|
||||||
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Loans |
|
$ |
2,561,774 |
|
|
$ |
108,666 |
|
|
|
5.66 |
% |
|
$ |
2,470,770 |
|
|
$ |
94,851 |
|
|
|
5.12 |
% |
Taxable investment securities |
|
|
397,466 |
|
|
|
5,575 |
|
|
|
1.87 |
% |
|
|
396,917 |
|
|
|
4,544 |
|
|
|
1.53 |
% |
Tax-exempt investment securities |
|
|
20,684 |
|
|
|
249 |
|
|
|
2.03 |
% |
|
|
24,865 |
|
|
|
277 |
|
|
|
1.88 |
% |
Fed funds sold & other |
|
|
165,227 |
|
|
|
7,231 |
|
|
|
5.84 |
% |
|
|
67,869 |
|
|
|
1,866 |
|
|
|
3.67 |
% |
Total Interest Earning Assets |
|
|
3,145,151 |
|
|
$ |
121,721 |
|
|
|
5.17 |
% |
|
|
2,960,421 |
|
|
$ |
101,538 |
|
|
|
4.57 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Nonearning Assets |
|
|
161,113 |
|
|
|
|
|
|
|
|
|
176,568 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total Assets |
|
$ |
3,306,264 |
|
|
|
|
|
|
|
|
$ |
3,136,989 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Savings deposits |
|
$ |
1,487,809 |
|
|
$ |
30,291 |
|
|
|
2.71 |
% |
|
$ |
1,373,110 |
|
|
$ |
18,854 |
|
|
|
1.83 |
% |
Other time deposits |
|
|
662,129 |
|
|
|
18,423 |
|
|
|
3.71 |
% |
|
|
620,071 |
|
|
|
13,054 |
|
|
|
2.81 |
% |
Other borrowed money |
|
|
264,310 |
|
|
|
8,235 |
|
|
|
4.15 |
% |
|
|
204,927 |
|
|
|
6,134 |
|
|
|
3.99 |
% |
Fed funds purchased & securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
sold under agreement to repurchase |
|
|
27,887 |
|
|
|
837 |
|
|
|
4.00 |
% |
|
|
37,649 |
|
|
|
1,181 |
|
|
|
4.18 |
% |
Subordinated notes |
|
|
34,741 |
|
|
|
853 |
|
|
|
3.27 |
% |
|
|
34,625 |
|
|
|
853 |
|
|
|
3.28 |
% |
Total Interest Bearing Liabilities |
|
$ |
2,476,876 |
|
|
$ |
58,639 |
|
|
|
3.16 |
% |
|
$ |
2,270,382 |
|
|
$ |
40,076 |
|
|
|
2.35 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Noninterest Bearing Liabilities |
|
|
507,843 |
|
|
|
|
|
|
|
|
|
561,001 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Stockholders' Equity |
|
$ |
321,545 |
|
|
|
|
|
|
|
|
$ |
305,606 |
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net Interest Income and |
|
|
|
|
$ |
63,082 |
|
|
|
2.01 |
% |
|
|
|
|
$ |
61,462 |
|
|
|
2.22 |
% |
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net Interest Margin |
|
|
|
|
|
|
|
|
2.68 |
% |
|
|
|
|
|
|
|
|
2.77 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts |
|
|||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES (continued)
(in thousands of dollars, except percentages)
|
|
For the Three Months Ended |
|
|
For the Three Months Ended |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
September 30, 2024 |
|
|
September 30, 2023 |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
As Reported |
|
Excluding Accretion/Amortization |
Difference |
|
|
As Reported |
|
Excluding Accretion/Amortization |
Difference |
|
||||||||||||||||||||||||||||||||||||
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
||||||||||||
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Loans |
|
$ |
36,873 |
|
|
|
5.78 |
% |
|
$ |
36,149 |
|
|
|
5.67 |
% |
|
$ |
724 |
|
|
|
0.11 |
% |
|
$ |
33,783 |
|
|
|
5.33 |
% |
|
$ |
32,631 |
|
|
|
5.15 |
% |
|
$ |
1,152 |
|
|
|
0.18 |
% |
Taxable investment securities |
|
|
2,107 |
|
|
|
2.03 |
% |
|
|
2,107 |
|
|
|
2.03 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
1,559 |
|
|
|
1.58 |
% |
|
|
1,559 |
|
|
|
1.58 |
% |
|
|
- |
|
|
|
0.00 |
% |
Tax-exempt investment securities |
|
|
81 |
|
|
|
2.09 |
% |
|
|
81 |
|
|
|
2.09 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
84 |
|
|
|
1.77 |
% |
|
|
84 |
|
|
|
1.77 |
% |
|
|
- |
|
|
|
0.00 |
% |
Fed funds sold & other |
|
|
2,840 |
|
|
|
5.76 |
% |
|
|
2,840 |
|
|
|
5.76 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
933 |
|
|
|
4.36 |
% |
|
|
933 |
|
|
|
4.36 |
% |
|
|
- |
|
|
|
0.00 |
% |
Total Interest Earning Assets |
|
|
41,901 |
|
|
|
5.27 |
% |
|
|
41,177 |
|
|
|
5.17 |
% |
|
|
724 |
|
|
|
0.10 |
% |
|
|
36,359 |
|
|
|
4.79 |
% |
|
|
35,207 |
|
|
|
4.64 |
% |
|
|
1,152 |
|
|
|
0.15 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Savings deposits |
|
$ |
10,691 |
|
|
|
2.78 |
% |
|
$ |
10,691 |
|
|
|
2.78 |
% |
|
$ |
- |
|
|
|
0.00 |
% |
|
$ |
7,673 |
|
|
|
2.24 |
% |
|
$ |
7,673 |
|
|
|
2.24 |
% |
|
$ |
- |
|
|
|
0.00 |
% |
Other time deposits |
|
|
6,256 |
|
|
|
3.75 |
% |
|
|
6,256 |
|
|
|
3.75 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
5,650 |
|
|
|
3.38 |
% |
|
|
5,500 |
|
|
|
3.29 |
% |
|
|
150 |
|
|
|
0.09 |
% |
Other borrowed money |
|
|
2,804 |
|
|
|
4.24 |
% |
|
|
2,800 |
|
|
|
4.23 |
% |
|
|
4 |
|
|
|
0.01 |
% |
|
|
2,741 |
|
|
|
4.11 |
% |
|
|
2,759 |
|
|
|
4.14 |
% |
|
|
(18 |
) |
|
|
-0.03 |
% |
Fed funds purchased and securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
sold under agreement to repurchase |
|
|
277 |
|
|
|
4.03 |
% |
|
|
277 |
|
|
|
4.03 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
349 |
|
|
|
4.09 |
% |
|
|
349 |
|
|
|
4.09 |
% |
|
|
- |
|
|
|
0.00 |
% |
Subordinated notes |
|
|
284 |
|
|
|
3.27 |
% |
|
|
284 |
|
|
|
3.27 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
284 |
|
|
|
3.28 |
% |
|
|
284 |
|
|
|
3.28 |
% |
|
|
- |
|
|
|
0.00 |
% |
Total Interest Bearing Liabilities |
|
|
20,312 |
|
|
|
3.21 |
% |
|
|
20,308 |
|
|
|
3.21 |
% |
|
|
4 |
|
|
|
0.00 |
% |
|
|
16,697 |
|
|
|
2.82 |
% |
|
|
16,565 |
|
|
|
2.80 |
% |
|
|
132 |
|
|
|
0.02 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest/Dividend income/yield |
|
|
41,901 |
|
|
|
5.27 |
% |
|
|
41,177 |
|
|
|
5.17 |
% |
|
|
724 |
|
|
|
0.10 |
% |
|
|
36,359 |
|
|
|
4.79 |
% |
|
|
35,207 |
|
|
|
4.64 |
% |
|
|
1,152 |
|
|
|
0.15 |
% |
Interest Expense / yield |
|
|
20,312 |
|
|
|
3.21 |
% |
|
|
20,308 |
|
|
|
3.21 |
% |
|
|
4 |
|
|
|
0.00 |
% |
|
|
16,697 |
|
|
|
2.82 |
% |
|
|
16,565 |
|
|
|
2.80 |
% |
|
|
132 |
|
|
|
0.02 |
% |
Net Interest Spread |
|
|
21,589 |
|
|
|
2.06 |
% |
|
|
20,869 |
|
|
|
1.96 |
% |
|
|
720 |
|
|
|
0.10 |
% |
|
|
19,662 |
|
|
|
1.97 |
% |
|
|
18,642 |
|
|
|
1.84 |
% |
|
|
1,020 |
|
|
|
0.13 |
% |
Net Interest Margin |
|
|
|
|
|
2.71 |
% |
|
|
|
|
|
2.62 |
% |
|
|
|
|
|
0.09 |
% |
|
|
|
|
|
2.59 |
% |
|
|
|
|
|
2.46 |
% |
|
|
|
|
|
0.13 |
% |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts |
|
|||||||||||||||||||||||||||||||||||||||||||||||
FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES (continued)
(in thousands of dollars, except percentages)
|
|
For the Nine Months Ended |
|
|
For the Nine Months Ended |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
September 30, 2024 |
|
|
September 30, 2023 |
|
||||||||||||||||||||||||||||||||||||||||||
|
|
As Reported |
|
Excluding Accretion/Amortization |
Difference |
|
|
As Reported |
|
Excluding Accretion/Amortization |
Difference |
|
||||||||||||||||||||||||||||||||||||
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
|
$ |
|
|
Yield |
|
||||||||||||
Interest Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Loans |
|
$ |
108,666 |
|
|
|
5.66 |
% |
|
$ |
106,588 |
|
|
|
5.55 |
% |
|
$ |
2,078 |
|
|
|
0.11 |
% |
|
$ |
94,851 |
|
|
|
5.12 |
% |
|
$ |
92,364 |
|
|
|
4.99 |
% |
|
$ |
2,487 |
|
|
|
0.13 |
% |
Taxable investment securities |
|
|
5,575 |
|
|
|
1.87 |
% |
|
|
5,575 |
|
|
|
1.87 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
4,544 |
|
|
|
1.53 |
% |
|
|
4,544 |
|
|
|
1.53 |
% |
|
|
- |
|
|
|
0.00 |
% |
Tax-exempt investment securities |
|
|
249 |
|
|
|
2.03 |
% |
|
|
249 |
|
|
|
2.03 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
277 |
|
|
|
1.88 |
% |
|
|
277 |
|
|
|
1.88 |
% |
|
|
- |
|
|
|
0.00 |
% |
Fed funds sold & other |
|
|
7,231 |
|
|
|
5.84 |
% |
|
|
7,231 |
|
|
|
5.84 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
1,866 |
|
|
|
3.67 |
% |
|
|
1,866 |
|
|
|
3.67 |
% |
|
|
- |
|
|
|
0.00 |
% |
Total Interest Earning Assets |
|
|
121,721 |
|
|
|
5.17 |
% |
|
|
119,643 |
|
|
|
5.08 |
% |
|
|
2,078 |
|
|
|
0.09 |
% |
|
|
101,538 |
|
|
|
4.57 |
% |
|
|
99,051 |
|
|
|
4.47 |
% |
|
|
2,487 |
|
|
|
0.10 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest Bearing Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Savings deposits |
|
$ |
30,291 |
|
|
|
2.71 |
% |
|
$ |
30,291 |
|
|
|
2.71 |
% |
|
$ |
- |
|
|
|
0.00 |
% |
|
$ |
18,854 |
|
|
|
1.83 |
% |
|
$ |
18,854 |
|
|
|
1.83 |
% |
|
$ |
- |
|
|
|
0.00 |
% |
Other time deposits |
|
|
18,423 |
|
|
|
3.71 |
% |
|
|
18,423 |
|
|
|
3.71 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
13,054 |
|
|
|
2.81 |
% |
|
|
13,458 |
|
|
|
2.89 |
% |
|
|
(404 |
) |
|
|
-0.08 |
% |
Other borrowed money |
|
|
8,235 |
|
|
|
4.15 |
% |
|
|
8,254 |
|
|
|
4.16 |
% |
|
|
(19 |
) |
|
|
-0.01 |
% |
|
|
6,134 |
|
|
|
3.99 |
% |
|
|
6,187 |
|
|
|
4.03 |
% |
|
|
(53 |
) |
|
|
-0.04 |
% |
Fed funds purchased and securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
sold under agreement to repurchase |
|
|
837 |
|
|
|
4.00 |
% |
|
|
837 |
|
|
|
4.00 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
1,181 |
|
|
|
4.18 |
% |
|
|
1,181 |
|
|
|
4.18 |
% |
|
|
- |
|
|
|
0.00 |
% |
Subordinated notes |
|
|
853 |
|
|
|
3.27 |
% |
|
|
853 |
|
|
|
3.27 |
% |
|
|
- |
|
|
|
0.00 |
% |
|
|
853 |
|
|
|
3.28 |
% |
|
|
853 |
|
|
|
3.28 |
% |
|
|
- |
|
|
|
0.00 |
% |
Total Interest Bearing Liabilities |
|
|
58,639 |
|
|
|
3.16 |
% |
|
|
58,658 |
|
|
|
3.16 |
% |
|
|
(19 |
) |
|
|
0.00 |
% |
|
|
40,076 |
|
|
|
2.35 |
% |
|
|
40,533 |
|
|
|
2.38 |
% |
|
|
(457 |
) |
|
|
-0.03 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest/Dividend income/yield |
|
|
121,721 |
|
|
|
5.17 |
% |
|
|
119,643 |
|
|
|
5.08 |
% |
|
|
2,078 |
|
|
|
0.09 |
% |
|
|
101,538 |
|
|
|
4.57 |
% |
|
|
99,051 |
|
|
|
4.47 |
% |
|
|
2,487 |
|
|
|
0.10 |
% |
Interest Expense / yield |
|
|
58,639 |
|
|
|
3.16 |
% |
|
|
58,658 |
|
|
|
3.16 |
% |
|
|
(19 |
) |
|
|
0.00 |
% |
|
|
40,076 |
|
|
|
2.35 |
% |
|
|
40,533 |
|
|
|
2.38 |
% |
|
|
(457 |
) |
|
|
-0.03 |
% |
Net Interest Spread |
|
|
63,082 |
|
|
|
2.01 |
% |
|
|
60,985 |
|
|
|
1.92 |
% |
|
|
2,097 |
|
|
|
0.09 |
% |
|
|
61,462 |
|
|
|
2.22 |
% |
|
|
58,518 |
|
|
|
2.09 |
% |
|
|
2,944 |
|
|
|
0.13 |
% |
Net Interest Margin |
|
|
|
|
|
2.68 |
% |
|
|
|
|
|
2.59 |
% |
|
|
|
|
|
0.09 |
% |
|
|
|
|
|
2.77 |
% |
|
|
|
|
|
2.64 |
% |
|
|
|
|
|
0.13 |
% |
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts |
|
|||||||||||||||||||||||||||||||||||||||||||||||