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Stock Yards Bancorp's Third Quarter 2017 Net Income Increases 12% to a Record $11.7 Million or $0.51 Per Diluted Share

LOUISVILLE, Ky.--(BUSINESS WIRE)-- Stock Yards Bancorp, Inc. (NASDAQ: SYBT), parent company of Stock Yards Bank & Trust Company, with offices in the Louisville, Indianapolis and Cincinnati metropolitan markets, today reported record results for the third quarter and nine months ended September 30, 2017. Net income for the third quarter of 2017 increased 12% to $11.7 million or $0.51 per diluted share from $10.5 million or $0.46 per diluted share for the third quarter of 2016. Net income for the nine months ended September 30, 2017, increased 9% to $33.1 million or $1.44 per diluted share from $30.4 million or $1.34 per diluted share for the comparable 2016 period.

Favorable aspects of the Company's performance for the third quarter of 2017 included:

  • The continued positive effect of solid loan growth over the past 12 months, which has increased the Company's net interest income nearly 6% compared with that for the third quarter of 2016;
  • A six-basis-point increase in net interest margin sequentially from the second quarter of 2017;
  • A reduction in the provision for loan losses as credit quality remained excellent;
  • Steady growth in fee income from the Wealth Management and Trust Group;
  • A tax benefit from the wind-down of a tax-credit partnership; and
  • Solid returns on average assets and equity.

The following is a summary of the Company's reported results:

Three Months Ended September 30,

Nine Months Ended September 30,

2017

2016

Change

2017

2016

Change

Net income $ 11,704,000 $ 10,467,000 12 % $ 33,097,000 $ 30,411,000 9 %
Net income per share, diluted $ 0.51 $ 0.46 11 % $ 1.44 $ 1.34 8 %
Return on average equity 14.03 % 13.47 % 13.65 % 13.51 %
Return on average assets 1.53 % 1.44 % 1.47 % 1.42 %

"We are pleased to report that consistent loan growth together with an improving net interest margin, exceptional credit quality metrics and a steady performance by our Wealth Management and Trust Group all aligned to produce record earnings for the third quarter of 2017," said David P. Heintzman, Chairman and Chief Executive Officer. "In many ways, these results reflected the depth and breadth of our business, the benefit of diverse revenue streams, and the separate, yet complementary strengths of our three markets. Considering our loan pipeline going forward and a favorable business outlook for the remainder of the year, our progress through the first nine months of 2017 positions Stock Yards Bancorp to continue its record of consistent and predictable growth to remain among the top performing community banks in the country."

Heintzman noted that loan portfolio growth built further on the momentum experienced in the second quarter of 2017, driven by solid loan production that continued to exceed the average pace recorded over the last three years. While all of the Company's markets participated in this growth, Indianapolis, through excellent leadership and a growing lending team, led the way. Still, the conversion of loan production into portfolio growth continued to track below the exceedingly strong rate that characterized 2016 due to several factors, including principal repayments primarily related to commercial construction projects and borrowers who sold collateral or their business. Also, management believes that business owners remain more cautious about the longer-term direction of the economy, awaiting greater clarity on possible tax reform. Considering its loan pipeline, management anticipates continued momentum in net loan growth in the fourth quarter of 2017, although net loan growth could be challenging if loan payoffs persist at high levels.

Heintzman also noted the benefit of the Company's diverse revenue streams for the third quarter, as continued growth in fee-based income by wealth management and trust helped blunt the effect of slower mortgage banking environment. With approximately $2.75 billion of assets under management, wealth management and trust comprises almost half of the Company's fee-based income. Up 5% for the third quarter and 7% through the first nine months of 2017, its growth continues to reflect primarily the addition of new customer relationships along with ongoing stock market gains.

Concluding, Heintzman said, "We are very pleased with Stock Yards Bancorp's achievements through the first nine months of the year, which reflect the Company's strong market positions, leadership in key lending sectors combined with excellent asset quality, and the competitive advantage of a superior platform for fee-based income. These factors have combined to drive higher earnings throughout the year and, together with the loan pipeline we have in place, provide a foundation for continued growth and a solid conclusion to 2017 and start for 2018."

Total assets increased $217.2 million or 7% at September 30, 2017, to $3.16 billion from $2.94 billion at September 30, 2016. Ongoing growth in the Company's loan portfolio accounted for a significant portion of this increase, as the portfolio rose $112.4 million or 5% to $2.34 billion at September 30, 2017. Increasing deposit balances continue to provide substantial support for the Company's balance sheet growth; total deposits advanced $91.4 million or 4% to $2.48 billion at September 30, 2017, as Stock Yards Bank & Trust continues to attract new customers and experience growth with existing customers across most account categories. Core deposits, which exclude brokered deposits and time deposits greater than $250,000, held steady at 99% of total deposits as of September 30, 2017.

At the end of the third quarter of 2017, Stock Yards Bancorp remained "well capitalized" – the highest capital rating for financial institutions. The Company's tangible common equity ratio as of September 30, 2017, was 10.54% (tangible common equity is a non-GAAP financial measure; see reconciliation of total stockholders' equity to tangible common equity and total assets to tangible assets later in this release). Despite such a high rate, the Company still produces industry-leading returns on equity due to its superior earnings performance. With this capital strength, Stock Yards Bancorp continues to pursue strategies to enhance stockholder value, including a substantial and sustained dividend payout ratio. In August 2017, Stock Yards Bancorp's Board of Directors continued the higher rate of $0.20 per common share set by the Board in May 2017.

Net interest income – the Company's largest source of revenue – increased approximately $1.4 million or 6% to $26.2 million in the third quarter of 2017 from $24.8 million in the prior-year quarter. The increase reflected ongoing growth in the Company's loan portfolio and higher interest rates on earning assets, net of the impact of a rise in funding costs, primarily in the form of higher deposit rates. Net interest income increased $4.4 million or 6% to $76.6 million in the first nine months of 2017 from $72.2 million in the prior-year period.

On a sequential-quarter basis, net interest income increased $932 thousand or 4% from the second quarter of 2017, while net interest margin (on a fully tax-equivalent basis) was 3.66% compared with 3.60% in the second quarter of 2017 and 3.65% in the third quarter of 2016. The sequential improvement in net interest margin for the third quarter reflected the positive impact of a 25-basis-point rate increase in June 2017. That hike, which increased the prime rate to 4.25%, pushed virtually all variable rate loans in the Company's portfolio through any remaining rate floors. Approximately 61% of the Company's loans are priced at fixed rates, so future rate increases will begin to benefit the Company with respect to this part of the portfolio as existing fixed-rate loans renew and new fixed-rate loans originate at higher rates. Management estimates that the next increase in the prime rate, assuming it is 25 basis points as in the past and deposit rates begin to rise in response to competitive pressures, will be revenue neutral.

The Company's solid asset quality metrics, which have trended within a narrow range over the past several years, remained at historically strong levels for the third quarter of 2017. Non-performing loans (NPLs) totaled $6.1 million or 0.26% of total loans outstanding at September 30, 2017, versus $6.1 million or 0.26% of total loans outstanding at June 30, 2017, and $8.0 million or 0.36% of total loans outstanding at September 30, 2016. Similarly, non-performing assets, which include NPLs along with other real estate owned (OREO) and repossessed assets, were $8.7 million or 0.28% of total assets at September 30, 2017, down from $9.3 million or 0.30% of total assets at June 30, 2017, and $13.0 million or 0.44% of total assets at September 30, 2016. Net charge-offs in the third quarter of 2017 totaled $317 thousand versus a net recovery of charge-offs in the second quarter of 2017 of $34 thousand and net charge-offs of $22 thousand in the third quarter of 2016. The Company is very pleased with these strong asset quality metrics; however, management recognizes the cyclic nature of banking and believes these metrics will normalize over the long term.

The Company recorded a loan loss provision of $150 thousand during the third quarter of 2017 compared with $600 thousand in the second quarter of 2017 and $1.3 million in the third quarter of 2016. The provision for the third quarter of 2017 considered loan growth, an ongoing low level of charge-offs, a generally favorable trend in most asset quality statistics, and other qualitative considerations. As a result, the Company's allowance for loan losses remained adequate in management's view at 1.07% of total loans as of September 30, 2017, versus 1.09% at June 30, 2017, and 1.10% at September 30, 2016.

Total non-interest income in the third quarter of 2017 decreased $255 thousand or 2% to $11.1 million from $11.4 million in the prior-year quarter. This decrease reflected primarily a decline in gains on sales of mortgage loans held for sale as the market for home refinancing remains slow, along with lower swap fee income in 2017. These were partially offset by another solid performance by wealth management and trust. Total non-interest income for the nine months ended September 30, 2017, increased $1.4 million or 4% to $33.6 million from $32.2 million in the prior-year period, reflecting trends similar to those noted for the third quarter.

Total non-interest expense for the third quarter of 2017 increased approximately $799 thousand or 4% to $21.3 million from $20.5 million in the prior-year quarter. The increase primarily reflected the impact of personnel added to support growth and operations, along with health insurance costs under the Company's self-insured plan, which together were partially offset by lower FDIC insurance expense and reduced amortization of investments in tax-credit partnerships. Since tax-credit partnership opportunities are sporadic, the timing of these investments can cause the amortization expense and corresponding tax benefits to vary widely. For the nine months ended September 30, 2017, total non-interest expense increased $3.6 million or 6% to $63.8 million from $60.3 million for the same period last year, largely reflecting the same trends noted for the quarter.

The Company's pretax income increased 10% in the third quarter of 2017 versus the year-earlier period, and income tax expense for the third quarter of 2017 increased $213 thousand or 5% to $4.1 million from $3.9 million in the third quarter of 2016. This resulted in effective tax rates of 25.9% of 27.1%, respectively. The lower relative tax expense reflected, among other things, a tax benefit associated with the wind-down of one tax-credit partnership.

Louisville, Kentucky-based Stock Yards Bancorp, Inc., with $3.2 billion in assets, was incorporated in 1988 as a bank holding company. It is the parent company of Stock Yards Bank & Trust Company, which was established in 1904. The Company's common shares trade on the NASDAQ Global Select Market under the symbol SYBT.

The following table provides a reconciliation of total stockholders' equity, in accordance with US GAAP, to tangible common equity, which is a non-GAAP financial measure. The Company provides the tangible common equity ratio, in addition to those defined by banking regulators, because of its widespread use by investors to evaluate capital adequacy.

Tangible Common Equity Ratio

(Dollars in thousands)

Sept. 30,
2017

June 30,
2017

Sept. 30,
2016

Total stockholders' equity $ 334,255 $ 326,500 $ 311,570
Less goodwill (682 ) (682 ) (682 )
Less core deposit intangible (1,269 ) (1,313 ) (1,453 )
Tangible common equity $ 332,304 $ 324,505 $ 309,435
Total assets $ 3,155,913 $ 3,126,762 $ 2,938,665
Less goodwill (682 ) (682 ) (682 )
Less core deposit intangible (1,269 ) (1,313 ) (1,453 )
Tangible assets $ 3,153,962 $ 3,124,767 $ 2,936,530
Total stockholders' equity to total assets 10.59 % 10.44 % 10.60 %
Tangible common equity ratio 10.54 % 10.38 % 10.54 %

This report contains forward-looking statements under the Private Securities Litigation Reform Act that involve risks and uncertainties. Although the Company's management believes the assumptions underlying the forward-looking statements contained herein are reasonable, any of these assumptions could be inaccurate. Therefore, there can be no assurance the forward-looking statements included herein will prove to be accurate. Factors that could cause actual results to differ from those discussed in forward-looking statements include, but are not limited to: economic conditions both generally and more specifically in the markets in which the Company and its subsidiaries operate; competition for the Company's customers from other providers of financial services; government legislation and regulation, which change from time to time and over which the Company has no control; changes in interest rates; material unforeseen changes in liquidity, results of operations, or financial condition of the Company's customers; and other risks detailed in the Company's filings with the Securities and Exchange Commission, all of which are difficult to predict and many of which are beyond the control of the Company. See Risk Factors outlined in the Company's Form 10-K for the year ended December 31, 2016.

Stock Yards Bancorp, Inc. Financial Information (unaudited)
Third Quarter 2017 Earnings Release
(In thousands unless otherwise noted)
Three Months Ended Nine Months Ended
September 30, September 30,
2017 2016 2017 2016
Income Statement Data
Net interest income, fully tax equivalent (1) $ 26,363 $ 24,963 $ 77,179 $ 72,816
Interest income:
Loans $ 25,401 $ 23,436 $ 73,812 $ 67,992
Federal funds sold 388 95 798 395
Mortgage loans held for sale 48 66 145 185
Securities 2,274 2,345 7,002 7,232
Total interest income 28,111 25,942 81,757 75,804
Interest expense:
Deposits 1,593 941 4,237 2,916
Federal funds purchased and short-term borrowings 77 19 125 57
Securities sold under agreements to repurchase 33 38 100 100
Federal Home Loan Bank (FHLB) advances 244 184 715 552
Total interest expense 1,947 1,182 5,177 3,625
Net interest income 26,164 24,760 76,580 72,179
Provision for loan losses 150 1,250 1,650 2,500
Net interest income after provision for loan losses 26,014 23,510 74,930 69,679
Non-interest income:
Wealth management and trust services 5,025 4,800 15,272 14,219
Service charges on deposit accounts 2,522 2,544 7,368 6,952
Bankcard transaction 1,492 1,455 4,412 4,198
Mortgage banking 781 1,072 2,380 2,896
Loss on the sale of securities 31 - 31 -
Securities brokerage 551 558 1,584 1,539
Bank owned life insurance 204 216 964 657
Other non-interest income 497 713 1,564 1,757
Total non-interest income 11,103 11,358 33,575 32,218
Non-interest expense:
Salaries and employee benefits 12,983 12,048 39,244 36,214
Net occupancy 1,621 1,646 4,765 4,716
Data processing 1,920 1,747 5,909 5,172
Furniture and equipment 316 277 861 853
FDIC insurance 242 356 716 1,035
Amortization of investment in tax credit partnerships 616 1,015 1,847 3,046
Other non-interest expenses 3,619 3,429 10,469 9,215
Total non-interest expense 21,317 20,518 63,811 60,251
Net income before income tax expense 15,800 14,350 44,694 41,646
Income tax expense 4,096 3,883 11,597 11,235
Net income $ 11,704 $ 10,467 $ 33,097 $ 30,411
Weighted average shares - basic 22,542 22,385 22,524 22,325
Weighted average shares - diluted 22,964 22,803 22,984 22,711
Net income per share, basic $ 0.52 $ 0.47 $ 1.47 $ 1.36
Net income per share, diluted 0.51 0.46 1.44 1.34
Cash dividend declared per share 0.20 0.18 0.59 0.53
Balance Sheet Data (at period end)
Total loans $ 2,335,120 $ 2,222,706
Allowance for loan losses 24,948 24,369
Total assets 3,155,913 2,938,665
Non-interest bearing deposits 676,824 680,078
Interest bearing deposits 1,805,142 1,710,519
Federal Home Loan Bank advances 50,110 51,366
Stockholders' equity 334,255 311,570
Total shares outstanding 22,669 22,563
Book value per share 14.75 13.81
Market value per share 38.00 32.96

Stock Yards Bancorp, Inc. Financial Information (unaudited)
Third Quarter 2017 Earnings Release
Three Months Ended Nine Months Ended
September 30, September 30,
2017 2016 2017 2016
Average Balance Sheet Data
Federal funds sold $ 120,927 $ 72,673 $ 97,543 $ 100,653
Mortgage loans held for sale 3,515 5,070 3,656 4,918
Securities available for sale 439,601 466,462 460,044 474,925
FHLB stock and other securities 7,666 6,347 6,801 6,347
Loans 2,308,806 2,188,089 2,294,213 2,124,921
Earning assets 2,861,144 2,722,324 2,843,365 2,700,587
Assets 3,027,088 2,883,146 3,006,853 2,853,390
Interest bearing deposits 1,800,653 1,738,315 1,819,672 1,751,000
Total deposits 2,498,468 2,395,003 2,500,504 2,388,813
Securities sold under agreement to repurchase 73,806 68,835 67,556 60,438
Federal funds purchased and
other short term borrowings 27,535 23,471 20,581 25,021
Federal Home Loan Bank advances 50,221 44,194 50,541 43,533
Interest bearing liabilities 1,952,216 1,874,815 1,958,350 1,879,991
Stockholders' equity 330,864 309,045 324,235 300,743
Performance Ratios
Annualized return on average assets 1.53 % 1.44 % 1.47 % 1.42 %
Annualized return on average equity 14.03 % 13.47 % 13.65 % 13.51 %
Net interest margin, fully tax equivalent 3.66 % 3.65 % 3.63 % 3.60 %

Non-interest income to total revenue, fully tax equivalent

29.63 % 31.27 % 30.31 % 30.67 %
Efficiency ratio 56.90 % 56.49 % 57.62 % 57.36 %
Capital Ratios
Average stockholders' equity to average assets 10.93 % 10.72 % 10.78 % 10.54 %
Common equity tier 1 capital 12.67 % 12.07 %
Tier 1 risk-based capital 12.67 % 12.07 %
Total risk-based capital 13.64 % 13.05 %
Leverage 11.02 % 10.63 %
Loans by Type
Commercial and industrial $ 750,728 $ 708,508
Construction and development 195,299 191,987
Real estate mortgage - commercial investment 576,810 510,128
Real estate mortgage - owner occupied commercial 397,804 412,733
Real estate mortgage - 1-4 family residential 261,707 245,229
Home equity - first lien 51,925 54,837
Home equity - junior lien 63,416 65,605
Consumer 37,431 33,679
Total loans $ 2,335,120 $ 2,222,706
Asset Quality Data
Allowance for loan losses to total loans 1.07 % 1.10 %
Allowance for loan losses to average loans 1.09 % 1.15 %
Allowance for loan losses to non-performing loans 411.14 % 305.84 %
Nonaccrual loans $ 4,858 $ 6,889
Troubled debt restructuring 949 999
Loans - 90 days past due & still accruing 261 80
Total non-performing loans 6,068 7,968
OREO and repossessed assets 2,640 5,042
Total non-performing assets 8,708 13,010
Non-performing loans to total loans 0.26 % 0.36 %
Non-performing assets to total assets 0.28 % 0.44 %
Net charge-offs to average loans (2) 0.01 % 0.00 % 0.03 % 0.03 %
Net charge-offs $ 317 $ 22 $ 708 $ 572

Stock Yards Bancorp, Inc. Financial Information (unaudited)
Third Quarter 2017 Earnings Release
Five Quarter Comparison
9/30/17 6/30/17 3/31/17 12/31/16 9/30/16
Income Statement Data
Net interest income, fully tax equivalent (1) $ 26,363 $ 25,434 $ 25,382 $ 25,272 $ 24,963
Net interest income $ 26,164 $ 25,232 $ 25,184 $ 25,075 $ 24,760
Provision for loan losses 150 600 900 500 1,250
Net interest income after provision for loan losses 26,014 24,632 24,284 24,575 23,510
Wealth management and trust services 5,025 5,153 5,094 4,936 4,800
Service charges on deposit accounts 2,522 2,439 2,407 2,519 2,544
Bankcard transaction 1,492 1,514 1,406 1,457 1,455
Mortgage banking 781 897 702 1,001 1,072
Securities brokerage 551 494 539 606 558
Bank owned life insurance 204 556 204 214 216
Other non-interest income 497 622 445 586 713
Total non-interest income 11,103 11,675 10,797 11,319 11,358
Salaries and employee benefits 12,983 12,849 13,412 12,971 12,048
Net occupancy 1,621 1,514 1,630 1,563 1,646
Data processing 1,920 2,121 1,868 1,901 1,747
Furniture and equipment 316 268 277 290 277
FDIC Insurance 242 244 230 146 356
Amortization of investment in tax credit partnerships 616 615 616 1,412 1,015
Other non-interest expenses 3,619 3,735 3,115 2,986 3,429
Total non-interest expense 21,317 21,346 21,148 21,269 20,518
Net income before income tax expense 15,800 14,961 13,933 14,625 14,350
Income tax expense 4,096 4,359 3,142 4,009 3,883
Net income $ 11,704 $ 10,602 $ 10,791 $ 10,616 $ 10,467
Weighted average shares - basic 22,542 22,538 22,492 22,448 22,385
Weighted average shares - diluted 22,964 22,996 23,002 22,952 22,803
Net income per share, basic $ 0.52 $ 0.47 $ 0.48 $ 0.47 $ 0.47
Net income per share, diluted 0.51 0.46 0.47 0.46 0.46
Cash dividend declared per share 0.20 0.20 0.19 0.19 0.18
Balance Sheet Data (at period end)
Cash and due from banks $ 47,700 $ 44,902 $ 43,583 $ 39,709 $ 41,533
Federal funds sold 81,378 80,223 45,898 8,264 16,360
Mortgage loans held for sale 5,459 3,055 3,884 3,213 5,959
Securities available for sale 571,522 576,291 556,144 570,074 541,681
FHLB stock and other securities 7,666 7,666 6,347 6,347 6,347
Total loans 2,335,120 2,309,668 2,272,778 2,305,375 2,222,706
Allowance for loan losses 24,948 25,115 24,481 24,007 24,369
Total assets 3,155,913 3,126,762 3,033,343 3,039,481 2,938,665
Non-interest bearing deposits 676,824 696,085 686,535 680,156 680,078
Interest bearing deposits 1,805,142 1,782,461 1,857,720 1,840,392 1,710,519
Securities sold under agreements to repurchase 71,863 65,024 65,701 67,595 67,315
Federal funds purchased and other short-term borrowings 161,961 161,463 10,975 47,374 76,387
Federal Home Loan Bank advances 50,110 50,433 50,755 51,075 51,366
Stockholders' equity 334,255 326,500 319,687 313,872 311,570
Total shares outstanding 22,669 22,662 22,661 22,617 22,563
Book value per share 14.75 14.41 14.11 13.88 13.81
Market value per share 38.00 38.90 40.65 46.95 32.96
Capital Ratios
Average stockholders' equity to average assets 10.93 % 10.82 % 10.59 % 10.54 % 10.72 %
Common equity tier 1 capital 12.67 % 12.51 % 12.51 % 12.10 % 12.07 %
Tier 1 risk-based capital 12.67 % 12.51 % 12.51 % 12.10 % 12.07 %
Total risk-based capital 13.64 % 13.49 % 13.49 % 13.04 % 13.05 %
Leverage 11.02 % 10.88 % 10.64 % 10.54 % 10.63 %

Stock Yards Bancorp, Inc. Financial Information (unaudited)
Third Quarter 2017 Earnings Release
Five Quarter Comparison
9/30/17 6/30/17 3/31/17 12/31/16 9/30/16
Average Balance Sheet Data
Average federal funds sold $ 120,927 $ 105,786 $ 65,304 $ 70,186 $ 72,673
Average mortgage loans held for sale 3,515 4,505 2,943 4,770 5,070
Average investment securities 439,601 454,834 486,209 494,868 466,462
Average loans 2,308,806 2,280,122 2,293,542 2,261,104 2,188,089
Average earning assets 2,861,144 2,830,211 2,838,491 2,821,373 2,722,324
Average assets 3,027,088 2,994,209 2,998,950 2,984,696 2,883,146
Average interest bearing deposits 1,800,653 1,812,290 1,846,579 1,802,150 1,738,315
Average total deposits 2,498,468 2,496,256 2,506,880 2,488,590 2,395,003

Average securities sold under agreement to repurchase

73,806 60,336 68,467 69,318 68,835

Average federal funds purchased and other short term borrowings

27,535 18,451 15,625 18,076 23,471
Average Federal Home Loan Bank advances 50,221 50,543 50,866 51,183 44,194
Average interest bearing liabilities 1,952,216 1,941,620 1,981,537 1,940,727 1,874,815
Average stockholders' equity 330,864 324,014 317,682 314,299 309,045
Performance Ratios
Annualized return on average assets 1.53 % 1.42 % 1.46 % 1.41 % 1.44 %
Annualized return on average equity 14.03 % 13.12 % 13.78 % 13.44 % 13.47 %
Net interest margin, fully tax equivalent 3.66 % 3.60 % 3.63 % 3.56 % 3.65 %

Non-interest income to total revenue, fully tax equivalent

29.63 % 31.46 % 29.84 % 30.93 % 31.27 %
Efficiency ratio 56.90 % 57.52 % 58.45 % 58.13 % 56.49 %
Loans by Type
Commercial and industrial $ 750,728 $ 749,036 $ 736,633 $ 736,841 $ 708,508
Construction and development 195,299 196,619 187,039 213,844 191,987
Real estate mortgage - commercial investment 576,810 547,196 546,957 538,886 510,128
Real estate mortgage - owner occupied commercial 397,804 408,558 406,209 408,292 412,733
Real estate mortgage - 1-4 family residential 261,707 255,939 244,349 249,498 245,229
Home equity - 1st lien 51,925 52,560 51,076 55,325 54,837
Home equity - junior lien 63,416 65,344 65,806 67,519 65,605
Consumer 37,431 34,416 34,709 35,170 33,679
Total loans $ 2,335,120 $ 2,309,668 $ 2,272,778 $ 2,305,375 $ 2,222,706
Asset Quality Data
Allowance for loan losses to total loans 1.07 % 1.09 % 1.08 % 1.04 % 1.10 %
Allowance for loan losses to average loans 1.09 % 1.10 % 1.07 % 1.06 % 1.11 %
Allowance for loan losses to non-performing loans 411.14 % 411.25 % 402.18 % 357.94 % 305.84 %
Nonaccrual loans $ 4,858 $ 4,913 $ 5,099 $ 5,295 $ 6,889
Troubled debt restructuring 949 963 988 974 999
Loans - 90 days past due & still accruing 261 231 - 438 80
Total non-performing loans 6,068 6,107 6,087 6,707 7,968
OREO and repossessed assets 2,640 3,185 3,989 5,033 5,042
Total non-performing assets 8,708 9,292 10,076 11,740 13,010
Non-performing loans to total loans 0.26 % 0.26 % 0.27 % 0.29 % 0.36 %
Non-performing assets to total assets 0.28 % 0.30 % 0.33 % 0.39 % 0.44 %
Net charge-offs to average loans 0.01 % 0.00 % 0.02 % 0.04 % 0.00 %
Net charge-offs (recoveries) $ 317 $ (34 ) $ 426 $ 862 $ 22
Other Information
Total assets under management (in millions) $ 2,746 $ 2,643 $ 2,615 $ 2,523 $ 2,413
Full-time equivalent employees 581 585 582 578 558

(1) - Interest income on a fully tax equivalent basis includes the additional amount of interest income that would have been earned if investments in certain tax-exempt interest earning assets had been made in assets subject to federal, state and local taxes yielding the same after-tax income.

(2) - Interim ratios not annualized

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Stock Yards Bancorp, Inc.
Nancy B. Davis, 502-625-9176
Executive Vice President and
Chief Financial Officer

Source: Stock Yards Bancorp, Inc.