| United Security Bancshares Appoints Jay Gill as Vice Chairman |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), is proud to announce the appointment of Jay Gill as the Vice Chairman of the Company's and Bank's Boards of Directors effective immediately. In this new role, Mr. Gill will play a critical role in shaping the Company's long-term strategy, identifying new business opportunities, and driving continued organic growth across i. |
businesswire.com |
2025-04-28 20:30:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports First Quarter 2025 Earnings |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported operating results today for the quarter ended March 31, 2025. To access the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q12025-PR. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Securit. |
businesswire.com |
2025-04-17 21:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On March 25, 2025, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.12 per share on the Company's common stock. The dividend is payable on April 22, 2025, to shareholders of record as of April 7, 2025. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank. |
businesswire.com |
2025-03-26 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports Fourth Quarter 2024 Earnings |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported operating results today for the quarter and the year ended December 31, 2024. To access the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q42024-PR. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. |
businesswire.com |
2025-01-27 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On December 17, 2024, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.12 per share on the Company's common stock. The dividend is payable on January 17, 2025, to shareholders of record as of January 2, 2025. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Securi. |
businesswire.com |
2024-12-18 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports Third Quarter 2024 Earnings |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported operating results today for the quarter and for the nine months ended September 30, 2024. To access the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q32024-PR. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was fou. |
businesswire.com |
2024-10-18 20:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports First Quarter 2024 Earnings |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported today operating results for the quarter ended March 31, 2024. For the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q12024-PR. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank. |
businesswire.com |
2024-04-18 20:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--United Security Bancshares Declares Quarterly Cash Dividend. |
businesswire.com |
2024-03-27 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On December 18, 2023, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.12 per share on the Company's common stock. The dividend is payable on January 19, 2024, to shareholders of record as of January 3, 2024. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Securi. |
businesswire.com |
2023-12-19 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On September 26, 2023, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.12 per share on the Company's common stock. The dividend is payable on October 25, 2023, to shareholders of record as of October 10, 2023. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Secu. |
businesswire.com |
2023-09-27 21:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Appoints New Member to Board of Directors |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), announced today the appointment of Thomas G. Walker to the Company's and Bank's Boards of Directors effective immediately. Dennis R. Woods, President, and Chief Executive Officer of the Company stated, “We are excited to welcome Tom Walker to our board of directors. The business experience and deep relationships he has dev. |
businesswire.com |
2023-07-27 20:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports Second Quarter 2023 Earnings |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported today operating results for the quarter and six months ended June 30, 2023. For the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q22023PR/. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United. |
businesswire.com |
2023-07-25 20:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares: A 6.6% Yield From California Community Bank |
United Security Bancshares has maintained its quarterly dividend payouts despite the regional banking crisis and challenging operating conditions. The bank's net income surged in the first quarter, driven by a rise in interest and fees on loans, but total deposits decreased quarter-over-quarter. UBFO's stock performance in 2023 will depend on the improvement of the broader conversation around regional banks and the bank's ability to manage potential deposit flight. |
seekingalpha.com |
2023-06-23 18:58:03 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports First Quarter 2023 Net Income of $6.1 Million |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported today operating results for the quarter ended March 31, 2023. For the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/news-market-information/press-releases/default.aspx. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. |
businesswire.com |
2023-04-26 13:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On March 28, 2023, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.11 per share on the Company’s common stock. The dividend is payable on April 21, 2023, to shareholders of record as of April 7, 2023. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company’s board or its structure. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance, or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, and particularly the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. |
businesswire.com |
2023-03-29 20:30:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Undervalued As Higher Profitability Goes Unnoticed |
UBFO trades at a discounted valuation of 6.4x 2023 P/E and 1.2x P/TBV. The discount is unwarranted, given UBFO generates industry-leading ROE, 19.8% ROTE and 1.64% ROA. |
seekingalpha.com |
2023-02-28 01:43:22 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports 2022 Net Income of $15.7 Million |
FRESNO, Calif.--(BUSINESS WIRE)--The Board of Directors of United Security Bancshares (NASDAQ: UBFO), the parent company of United Security Bank, reported today operating results for the quarter and year ended December 31, 2022. For the full release, please visit UBFO Investor Relations https://investors.unitedsecuritybank.com/Q42023PR. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. |
businesswire.com |
2023-01-26 18:00:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On December 20, 2022, the Board of Directors of United Security Bancshares (the “Company”) (NASDAQ: UBFO), the parent company of United Security Bank (the “Bank”), declared a regular quarterly cash dividend of $0.11 per share on the Company’s common stock. The dividend is payable on January 19, 2023, to shareholders of record as of January 4, 2023. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company’s board or its structure. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, see the Company's Annual Report on Form 10-K for the year ended December 31, 2021, and particularly the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. |
businesswire.com |
2022-12-21 18:38:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports 3rd Quarter 2022 Financial Results |
FRESNO, Calif.--(BUSINESS WIRE)--United Security Bancshares (Nasdaq: UBFO) today announced its unaudited financial results for the nine months ended September 30, 2022. The Company recognized net income of $10.3 million, or $0.61 per basic and diluted share, for the nine months ended September 30, 2022, compared to net income of $6.7 million, or $0.40 per basic and diluted share for the nine months ended September 30, 2021. Third Quarter 2022 Highlights (at or for the quarter ended September 30, 2022, except where noted) Net income for the quarter increased 71.1% to $4.5 million, compared to $2.6 million for the quarter ended September 30, 2021, and increased 30.0% from $3.4 million for the trailing quarter ended June 30, 2022. Loan interest income increased $2.4 million and investment securities income increased $672,000 as a result of growth in loan and investment securities portfolio balances and increases in interest rates, when compared to the third quarter of 2021. Total assets increased 2.9% to $1.37 billion, compared to $1.33 billion at December 31, 2021. Total loans, net of unearned fees, increased to $962.2 million, compared to $871.5 million at December 31, 2021 and $950.0 million at June 30, 2022. Loan growth during the quarter is a result of organic growth in the commercial real estate segment. Total investments increased 16.0% to $211.8 million, compared to $182.6 million at December 31, 2021. Total deposits increased 4.4% to $1.24 billion, compared to $1.19 billion at December 31, 2021. The allowance for credit losses as a percentage of gross loans decreased to 1.05%, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is primarily the result of a change in loan mix resulting from purchases of residential mortgage loans during the first quarter. Net interest income before the provision for credit losses increased 36.3% to $12.7 million, compared to $9.3 million for the quarter ended September 30, 2021. For the trailing quarter ended June 30, 2022, net interest income before the provision for credit losses was $10.4 million. The Company recorded a provision for credit losses of $0.6 million for the quarter ended September 30, 2022, compared to a provision of $0.5 million for the quarter ended September 30, 2021. Book value per share decreased to $6.28, compared to $7.06 at December 31, 2021 primarily as a result of an increase in accumulated other comprehensive loss related to unrealized losses within the investment portfolio. Net interest margin increased to 3.95% for the quarter ended September 30, 2022, compared to 3.17% and 3.38% for the quarters ended September 30, 2021 and June 30, 2022. Annualized average cost of deposits was 0.22% for the quarter ended September 30, 2022, and 0.17% for the quarters ended September 30, 2021 and June 30, 2022. Net charge-offs totaled $451,000 for the quarter ended September 30, 2022 , compared to net charge-offs of $509,000 for the quarter ended September 30, 2021 and net recoveries of $25,000 for the quarter ended June 30, 2022. Capital position remains well-capitalized with a 9.56% Tier 1 Leverage Ratio compared to 9.79% as of December 31, 2021. Annualized return on average assets ("ROAA") increased to 1.28%, compared to 0.82% and 1.03% for the quarters ended September 30, 2021 and June 30, 2022. The increase in ROAA is due to increase in net income outpacing the increase in average assets. Annualized return on average equity ("ROAE") increased to 15.61%, compared to 8.62% and 12.12% for the quarters ended September 30, 2021 and June 30, 2022. Dennis Woods, President and Chief Executive Officer, stated: "We continued our positive earnings momentum in the third quarter as we again posted increased earnings when compared to prior quarter and third quarter 2021 results. Core net income for the nine months ended September 30, 2022, which is a non-GAAP measure, grew 68% over the prior year as a result of the successful execution of our 2021 and 2022 cash deployment strategies. Our credit quality, capital, and liquidity levels remain strong and position us well for potential economic headwinds over the coming quarters." Provided at the end of this Press Release is a reconciliation of Core Net Income, as a non-GAAP measure, to Net Income. This reconciliation excludes Non-Core items such as the Fair Value Adjustment for Trust Preferred Securities (TRUPs) and gain or loss on sale of other real estate owned (OREO). Management believes that financial results are more comparative excluding the impact of such non-core items. Results of Operations Net income for the nine months ended September 30, 2022 increased 53.8% to $10.3 million, compared to the nine months ended September 30, 2021. The increase is the result of increases of $4.4 million in loan interest income and fees, $1.4 million in investment income, and a $437,000 decrease in the provision for credit losses and was partially offset by a $1.8 million increase in loss on fair value of junior subordinated debentures and increase of $1,546,000 in provision for income taxes.. ROAE for the nine months ended September 30, 2022 was 11.99%, compared to 7.55% for the nine months ended September 30, 2021. ROAA was 1.03% for the nine months ended September 30, 2022, compared to 0.75% for the nine months ended September 30, 2021. The annualized average cost of deposits was 0.19% for the nine months ended September 30, 2022 and 0.17% for the nine months ended September 30, 2021. Average interest-bearing deposits increased 15.5% between the periods ended September 30, 2021 and 2022 from $630.8 million to $728.3 million. Net interest income, before the provision for credit losses, for the nine months ended September 30, 2022 totaled $32.6 million, an increase of $6.3 million, or 24.0%, from the $26.3 million reported for the same period ended September 30, 2021. The impact of the Company's 2021 and 2022 cash deployment strategies, which included over $350 million in investment and mortgage loan purchases, are reflected in the increase in net interest income. The Company's net interest margin increased from 3.18% for the nine months ended September 30, 2021 to 3.48% for the nine months ended September 30, 2022. The increase in the net interest margin is due to increases in yields on investment securities, and yields on interest-bearing deposits at the Federal Reserve Bank, partially offset by increases in average deposit balances and decreases in loan yields. Loan yields decreased from 4.60% to 4.46% between the two periods. The yield on interest-bearing liabilities increased from 0.32% to 0.35% between the two periods. Included in interest income for the nine months ended September 30, 2022 were $128,000 in fees related to Small Business Administration Paycheck Protection Program loans, compared to $778,000 for the same period ended September 30, 2021. Noninterest income for the nine months ended September 30, 2022 totaled $789,000, a decrease of $1.3 million when compared to the $2.1 million reported for the nine months ended September 30, 2021. For the nine months ended September 30, 2022, a loss on the fair value of TRUPs of $2.5 million was recorded, compared to a loss of $691,000 for the same period in 2021. The change in the fair value of TRUPs reflected in noninterest income was caused by fluctuations in the LIBOR yield curve. Generally, an increase in the three month LIBOR yield curve will result in negative fair value adjustments. Conversely, a decrease in the three month LIBOR yield curve will result in positive fair value adjustments. Customer service fees totaled $2.3 million for the nine months ended September 30, 2022 and $2.1 million for the nine months ended September 30, 2021. Also included in noninterest income for the nine months ended September 30, 2022 was $566,000 in nonrecurring income received from The Central Valley Fund II (SBIC), Limited Partnership. For the nine months ended September 30, 2022, noninterest expense totaled $17.6 million, an increase of $272,000 compared to $17.3 million for the nine months ended September 30, 2021. On a year-over-year comparative basis, noninterest expense increased due to increases in professional fees of $433,000 and regulatory assessments of $83,000 and was partially offset by a decrease of $228,000 in the provision for unfunded loans included in other non interest expense and a decrease of $154,000 in occupancy expense. The efficiency ratio for the nine months ended September 30, 2022 decreased to 52.1%, compared to 60.9% for the nine months ended September 30, 2021. This decrease is attributed to revenue growth, as well as the $566,000 in noninterest income from the investment in the limited partnership received during 2022. The Company recorded an income tax provision of $4.2 million for the nine months ended September 30, 2022, compared to $2.7 million for the same period in 2021. The effective tax rate for the nine months ended September 30, 2022 was 28.87%, compared to 28.28% for the nine months ended September 30, 2021. Quarter Ended September 30, 2022: For the quarter ended September 30, 2022, the Company reported net income of $4.5 million and earnings per basic and diluted share of $0.26, compared to net income of $2.6 million and $0.15 per basic and diluted share for the same period ended September 30, 2021. Net income for the quarter ended June 30, 2022 was $3.4 million and $0.20 per basic and diluted share. Net interest income, before the provision for credit losses was $12.7 million for the quarter ended September 30, 2022, representing a $3.4 million, or 36.3%, increase from the $9.3 million reported at September 30, 2021. The increase in net interest income was driven by growth in the loan and investment portfolios. The Company's net interest margin increased from 3.17% to 3.95% between the quarters ended September 30, 2021 and September 30, 2022, respectively. The increase in the net interest margin was due to increases in loan and investment balances, yields on investment securities, and yields on interest-bearing deposits at FRB, partially offset by increases in average deposit balances and decreases in loan yields. Net interest income during the quarter ended September 30, 2022 increased to $12.1 million, or 36.5%, from the $8.9 million reported during the quarter ended September 30, 2021. Noninterest income for the quarter ended September 30, 2022 totaled $392,000, a decrease of $538,000 from the $930,000 in non-interest income reported for the quarter ended September 30, 2021. The decrease is primarily attributed to a loss of $600,000 recorded on the fair value of junior subordinated debentures for the quarter ended September 30, 2022 compared to a loss of $35,000 recorded for the quarter ended September 30, 2021. The unrealized loss on equity securities increased $135,000 between the two periods. Customer service fees increased from $745,000 for the quarter ended September 30, 2021 to $899,000 for the quarter ended September 30, 2022. Noninterest income decreased $210,000 for the quarter ended September 30, 2022 from the $602,000 reported for the quarter ended June 30, 2022. This was primarily due to the $566,000 in income received from the limited partnership during the second quarter and was partially offset by a decrease in the loss on the fair value of junior subordinated debentures of $269,000 between the two quarters. Noninterest expense for the quarter ended September 30, 2022 totaled $6.21 million, reflecting a $47,000 increase from the $6.2 million reported for the quarter ended September 30, 2021, and a $635,000 increase from the $5.6 million reported from the quarter ended June 30, 2022. The increase between the quarters ended September 30, 2022 and 2021 resulted in part due to increases of $256,000 in professional fees and $77,000 in salaries and employee benefits, and was partially offset by a decrease of $90,000 in occupancy expense and $46,000 in regulatory assessments. The increase between the quarters ended September 30, 2022 and June 30, 2022 was primarily the result of increases of $188,000 in salaries and employee benefits and $170,000 in professional fees. The Company recorded an income tax provision of $1.8 million for the quarter ended September 30, 2022, compared to $1.0 million for the quarter ended September 30, 2021, and $1.4 million for the quarter ended June 30, 2022. The effective tax rate for the quarter ended September 30, 2022 was 29.1%, compared to 28.5% and 28.9% for the quarters ended September 30, 2021 and June 30, 2022, respectively. Balance Sheet Review Total assets increased $38.3 million, or 2.9%, between December 31, 2021 and September 30, 2022. Gross loan balances grew $91.2 million and investment securities increased $29.2 million. Included in the loan growth during the year were purchases of $35.6 million in residential mortgage loans during the first quarter and organic growth in the commercial real estate, commercial and industrial, and real estate construction segments of the portfolio, partly offset by reductions in the agricultural and student loan portfolios and SBA PPP balances. Investment portfolio growth included purchases of $91.4 million in investment securities, partially offset by $44.9 million in sales of securities and $29.6 million in unrealized losses. In part, as a result of the loan and investment activity, total cash and cash equivalents decreased $93.2 million between December 31, 2021 and September 30, 2022. Unfunded loan commitments decreased from $239.1 million at December 31, 2021 to $164.0 million at September 30, 2022. OREO balances totaled $4.6 million at December 31, 2021 and September 30, 2022. Total deposits increased $52.7 million, or 4.4%, to $1.2 billion during the nine months ended September 30, 2022. This increase was due to increases of $40.5 million in noninterest bearing deposits, $16.9 million in savings accounts, and $7.4 million in time deposits, offset by decreases of $12.0 million in NOW and money market accounts. In total, NOW, money market and savings accounts increased 0.8% to $648.6 million at September 30, 2022, compared to $643.8 million at December 31, 2021. Noninterest bearing deposits increased 8.5% to $517.2 million at September 30, 2022, compared to $476.7 million at December 31, 2021. Core deposits, which are made up of the balance of noninterest bearing deposits, NOW, money market, savings, and time deposits accounts less than $250,000, increased $52.2 million. Shareholders’ equity at September 30, 2022 totaled $107.1 million, a decrease of $13.1 million from shareholders’ equity of $120.2 million at December 31, 2021. This decrease in equity was primarily attributed to an increase in accumulated other comprehensive loss of $18.1 million and $5.6 million in dividends paid, partially offset by $10.3 million in net income. At September 30, 2022, the accumulated other comprehensive loss totaled $19.3 million, compared to $1.2 million at December 31, 2021. The increase in the loss was primarily the result of net unrealized losses on investment securities of $20.8 million and was partially offset by a $2.1 million gain on junior subordinated debentures (TRUPs) caused by a change in market credit spreads during the nine months ended September 30, 2022. The change in unrealized loss on the investment portfolio is attributed to changes in interest rates, and not credit quality. The Company does not intend to sell and it is more likely than not that it will not be required to sell any securities that have an unrealized loss. The Board of Directors of United Security Bancshares declared a cash dividend on common stock of $0.11 per share on September 27, 2022. The dividend is payable on October 25, 2022, to shareholders of record as of October 11, 2022. No assurances can be provided as to the amount and/or declaration and payment of future dividends, if any. The Company continues to be well capitalized and expects to maintain adequate capital levels. Credit Quality The Company recorded a provision for credit losses of $1.2 million for the nine months ended September 30, 2022, compared to a provision of $1.7 million for the nine months ended September 30, 2021. Net loan charge-offs totaled $488,000 for the nine months ended September 30, 2022, as compared to net loan charge-offs of $1,032,000 for the nine months ended September 30, 2021. The reduced provision recorded during the year is attributed to lower net charge-offs on the student loan portfolio, decreases in nonperforming assets and change in portfolio mix, partially offset by a qualitative adjustment for economic uncertainty resulting in an increase in reserves. The qualitative adjustment is attributed to higher inflation, anticipated magnitude and impact of interest rate hikes in 2022 and uncertain business conditions. For the nine months ended September 30, 2021, the provision recorded was attributed to growth of the loan portfolio, agricultural loan downgrades, and net charge-offs recognized in the student loan portfolio. The Company's allowance for loan loss totaled 1.05% of the loan portfolio at September 30, 2022, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is primarily the result of a change in loan mix resulting from purchases of residential mortgage loans during the first quarter. The reserve required on the residential mortgage loan segment is lower than reserves required for other loan segments due to lower historical loss rates. Management considers the allowance for credit losses at September 30, 2022 to be adequate. Non-performing assets, comprised of nonaccrual loans, troubled debt restructures (TDRs), other real estate owned through foreclosure, and loans more than 90 days past due and still accruing interest, decreased $780,000 between December 31, 2021 and September 30, 2022 to $15.9 million. Nonperforming assets as a percentage of total assets decreased from 1.25% at December 31, 2021 to 1.16% at September 30, 2022. The decrease in nonperforming assets is attributed to decreases of $453,000 in loans past due more than 90 days and $293,000 in nonaccrual loans between December 31, 2021 and September 30, 2022. OREO balances remained at $4.6 million at December 31, 2021 and September 30, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft, California. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. Non-GAAP Financial Measures This press release and the accompanying financial tables contain a non-GAAP financial measure (net income before non-Core) within the meaning of the Securities and Exchange Commission’s Regulation G. In the accompanying financial table, the Company has provided a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure. The Company’s management believes that this non-GAAP financial measure provides useful information about the Company’s results of operations and/or financial position to both investors and management. The Company provides this non-GAAP financial measure to investors to assist them in performing their analysis of its historical operating results. The non-GAAP financial measure shows the Company's operating results before consideration of certain adjustments and, consequently, this non-GAAP financial measure should not be construed as an alternative to net income as an indicator of the Company's operating performance, as determined in accordance with GAAP. The Company may calculate this non-GAAP financial measure differently than other companies. Forward-Looking Statements This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the Company intends such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements are based on management’s knowledge and belief as of today and are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements are subject to risks and uncertainties and actual results may differ materially from those presented. Factors that might cause such differences, some of which are beyond the Company’s ability to control or predict, include, but are not limited to: (1) adverse developments with respect to U.S. or global economic conditions and other uncertainties, including the impact of supply chain disruptions, inflationary pressures and labor shortages, global conflict and unrest, (2) the COVID-19 global pandemic, including the effects of the steps being taken to address the pandemic and its impact on the Company’s markets, customers and employees, (3) changes in general economic and financial market conditions, either nationally or locally, (4) interest rate policies of the Board of Governors of the Federal Reserve System, (5) changes in banking laws or regulations, (6) increased competition in the Company's markets, impacting the ability to execute its business plans, (7) loss of key personnel, (8) unanticipated credit losses, (9) drought, earthquakes or other natural disasters impacting the local economy and/or the condition of real estate collateral, (10) the impact of technological changes and the ability to develop and maintain secure and reliable electronic systems, (11) uncertainty regarding the replacement of LIBOR, and (12) changes in accounting policies or procedures. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K, for the year ended December 31, 2021, and particularly the section entitled "Management’s Discussion and Analysis of Financial Condition and Results of Operations." Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. United Security Bancshares Consolidated Balance Sheets (unaudited) (in thousands- except share data) September 30, 2022 December 31, 2021 September 30, 2021 Assets Cash and non-interest-bearing deposits in other banks $ 37,972 $ 31,057 $ 42,172 Due from Federal Reserve Bank ("FRB") 88,060 188,162 217,256 Cash and cash equivalents 126,032 219,219 259,428 Investment securities (at fair value) Available-for-sale ("AFS") securities 208,560 178,902 161,732 Marketable equity securities 3,287 3,744 3,776 Total investment securities 211,847 182,646 165,508 Loans 960,549 869,314 807,937 Unearned fees and unamortized loan origination costs - net 1,617 2,219 1,177 Allowance for credit losses (10,063 ) (9,333 ) (9,144 ) Net loans 952,103 862,200 799,970 Premises and equipment - net 8,466 8,950 9,113 Accrued interest receivable 9,485 7,530 8,246 Other real estate owned ("OREO") 4,582 4,582 4,582 Goodwill 4,488 4,488 4,488 Deferred tax assets - net 11,956 3,615 3,086 Cash surrender value of life insurance 22,680 22,338 22,043 Operating lease right-of-use assets 2,135 2,594 2,743 Other assets 15,478 12,782 13,574 Total assets $ 1,369,252 $ 1,330,944 $ 1,292,781 Liabilities and Shareholders' Equity Deposits Noninterest-bearing $ 517,230 $ 476,749 $ 455,584 Interest-bearing 723,588 711,357 695,131 Total deposits 1,240,818 1,188,106 1,150,715 Operating lease liabilities 2,245 2,705 2,852 Other liabilities 8,805 8,737 8,791 Junior subordinated debentures (at fair value) 10,305 11,189 11,295 Total liabilities 1,262,173 1,210,737 1,173,653 Shareholders' Equity Common stock, no par value; 20,000,000 shares authorized; issued and outstanding: 17,046,676 at September 30, 2022, 17,028,239 at December 31, 2021, and 17,010,288 at September 30, 2021. 59,924 59,636 59,549 Retained earnings 66,465 61,745 60,247 Accumulated other comprehensive loss (19,310 ) (1,174 ) (668 ) Total shareholders' equity 107,079 120,207 119,128 Total liabilities and shareholders' equity $ 1,369,252 $ 1,330,944 $ 1,292,781 United Security Bancshares Consolidated Statements of Income (unaudited) (in thousands - except share data) Three Months Ended Nine Months Ended September 30, 2022 June 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 Interest Income: Interest and fees on loans $ 11,514 $ 9,731 $ 9,163 $ 30,363 $ 25,942 Interest on investment securities 1,322 1,004 650 3,117 1,691 Interest on deposits in FRB 683 258 64 1,023 168 Total interest income 13,519 10,993 9,877 34,503 27,801 Interest Expense: Interest on deposits 679 515 496 1,702 1,391 Interest on other borrowed funds 110 69 44 224 136 Total interest expense 789 584 540 1,926 1,527 Net Interest Income 12,730 10,409 9,337 32,577 26,274 Provision for Credit Losses 607 606 453 1,217 1,654 Net Interest Income after Provision for Credit Losses 12,123 9,803 8,884 31,360 24,620 Noninterest Income: Customer service fees 899 776 745 2,328 2,094 Increase in cash surrender value of bank-owned life insurance 89 114 139 343 408 Unrealized loss on fair value of marketable equity securities (149 ) (127 ) (14 ) (458 ) (75 ) Loss on fair value of junior subordinated debentures (600 ) (869 ) (35 ) (2,469 ) (691 ) Gain on sale of investment securities — — — 30 — (Loss) gain on sale of assets — — (5 ) — 8 Other 153 708 100 1,015 349 Total noninterest income 392 602 930 789 2,093 Noninterest Expense: Salaries and employee benefits 2,965 2,777 2,888 8,791 8,804 Occupancy expense 923 849 1,013 2,551 2,705 Data processing 215 145 147 475 382 Professional fees 1,089 919 833 2,957 2,524 Regulatory assessments 212 187 258 630 547 Director fees 110 116 91 345 275 Correspondent bank service charges 23 24 22 74 65 Net cost on operation and sale of OREO 33 2 24 27 67 Other 641 557 888 1,755 1,964 Total noninterest expense 6,211 5,576 6,164 17,605 17,333 Income Before Provision for Taxes 6,304 4,829 3,650 14,544 9,380 Provision for Taxes on Income 1,837 1,394 1,039 4,199 2,653 Net Income 4,467 3,435 2,611 $ 10,345 $ 6,727 Basic earnings per common share $ 0.26 $ 0.20 $ 0.15 $ 0.61 $ 0.40 Diluted earnings per common share $ 0.26 $ 0.20 $ 0.15 $ 0.61 $ 0.40 Weighted average basic shares for EPS 17,042,479 17,036,364 17,010,288 17,036,460 17,010,236 Weighted average diluted shares for EPS 17,063,947 17,057,755 17,035,533 17,057,638 17,027,671 United Security Bancshares Average Balances and Rates (unaudited) (in thousands) Three Months Ended Nine Months Ended September 30, 2022 June 30, 2022 September 30, 2021 September 30, 2022 September 30, 2021 Average Balances: Loans (1) $ 952,518 $ 906,396 $ 826,754 $ 910,221 $ 753,424 Investment securities 215,416 192,494 170,408 198,658 146,434 Interest-bearing deposits in FRB 111,704 136,898 172,073 141,708 203,366 Total interest-earning assets 1,279,638 1,235,788 1,169,235 1,250,587 1,103,224 Allowance for credit losses (9,902 ) (9,302 ) (9,203 ) (9,577 ) (8,762 ) Cash and due from banks 37,547 34,904 44,804 36,581 44,968 Other real estate owned 4,583 4,579 4,716 4,582 4,917 Other non-earning assets 71,291 71,529 60,771 69,506 64,235 Total average assets $ 1,383,157 $ 1,337,498 $ 1,270,323 $ 1,351,679 $ 1,208,582 Interest-bearing deposits $ 720,783 $ 737,149 $ 675,419 $ 728,331 $ 630,823 Junior subordinated debentures 10,459 10,863 11,225 10,824 11,029 Total interest-bearing liabilities 731,242 748,012 686,644 739,155 641,852 Noninterest-bearing deposits 528,033 465,926 453,159 486,983 437,482 Other liabilities 10,054 9,583 9,968 9,868 9,789 Total liabilities 1,269,329 1,223,521 1,149,771 1,236,006 1,089,123 Total equity 113,828 113,977 120,552 115,673 119,459 Total liabilities and equity $ 1,383,157 $ 1,337,498 $ 1,270,323 $ 1,351,679 $ 1,208,582 Average Rates: Loans (1) 4.80 % 4.31 % 4.40 % 4.46 % 4.60 % Investment securities 2.43 % 2.09 % 1.51 % 2.10 % 1.54 % Interest-bearing deposits in FRB 2.43 % 0.76 % 0.15 % 0.97 % 0.11 % Earning assets 4.19 % 3.57 % 3.35 % 3.69 % 3.37 % Interest bearing deposits 0.37 % 0.28 % 0.29 % 0.31 % 0.29 % Total deposits 0.22 % 0.17 % 0.17 % 0.19 % 0.17 % Junior subordinated debentures 4.17 % 2.55 % 1.56 % 2.77 % 1.65 % Total interest-bearing liabilities 0.43 % 0.31 % 0.31 % 0.35 % 0.32 % Net interest margin (2) 3.95 % 3.38 % 3.17 % 3.48 % 3.18 % (1) Loan amounts include nonaccrual loans, but the related interest income has been included only if collected for the period prior to the loan being placed on a nonaccrual basis. (2) Net interest margin is computed by dividing annualized net interest income by average interest-earning assets. United Security Bancshares Condensed - Consolidated Balance Sheets (unaudited) (in thousands) September 30, 2022 June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 Cash and cash equivalents $ 126,032 $ 107,246 $ 224,934 $ 219,219 $ 259,428 Investment securities 211,847 215,774 183,527 182,646 165,508 Loans 962,166 949,991 879,379 871,533 809,114 Allowance for credit losses (10,063 ) (9,907 ) (9,276 ) (9,333 ) (9,144 ) Net loans 952,103 940,084 870,103 862,200 799,970 Other assets 79,270 76,413 71,238 66,879 67,875 Total assets $ 1,369,252 $ 1,339,517 $ 1,349,802 $ 1,330,944 $ 1,292,781 Non-interest-bearing $ 517,230 $ 473,013 $ 465,043 $ 476,749 $ 455,584 Interest-bearing 723,588 735,181 749,289 711,357 695,131 Total deposits 1,240,818 1,208,194 1,214,332 1,188,106 1,150,715 Other liabilities 21,355 21,322 21,896 22,631 22,938 Total liabilities 1,262,173 1,229,516 1,236,228 1,210,737 1,173,653 Total shareholders' equity 107,079 110,001 113,574 120,207 119,128 Total liabilities and shareholder's equity $ 1,369,252 $ 1,339,517 $ 1,349,802 $ 1,330,944 $ 1,292,781 United Security Bancshares Condensed - Consolidated Statements of Income (unaudited) (in thousands) For the Quarters Ended: September 30, 2022 June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 Total interest income $ 13,519 $ 10,993 $ 9,991 $ 9,930 $ 9,877 Total interest expense 789 584 553 552 540 Net interest income 12,730 10,409 9,438 9,378 9,337 Provision for credit losses 607 606 5 453 453 Net interest income after provision for credit losses 12,123 9,803 9,433 8,925 8,884 Total non-interest income (loss) 392 602 (206 ) 1,291 930 Total non-interest expense 6,211 5,576 5,816 6,282 6,164 Income before provision for taxes 6,304 4,829 3,411 3,934 3,650 Provision for taxes on income 1,837 1,394 968 564 1,039 Net income $ 4,467 $ 3,435 $ 2,443 $ 3,370 $ 2,611 United Security Bancshares Nonperforming Assets (unaudited) (dollars in thousands) September 30, 2022 December 31, 2021 September 30, 2021 Real estate - construction & development $ 11,015 $ 11,226 11,273 Agricultural 130 212 278 Total nonaccrual loans $ 11,145 $ 11,438 $ 11,551 Loans past due 90 days and still accruing — 453 318 Restructured loans 142 176 198 Total nonperforming loans $ 11,287 $ 12,067 $ 12,067 Other real estate owned 4,582 4,582 4,582 Total nonperforming assets $ 15,869 $ 16,649 $ 16,649 Nonperforming loans to total gross loans 1.18 % 1.39 % 1.49 % Nonperforming assets to total assets 1.16 % 1.25 % 1.29 % Allowance for credit losses to nonperforming loans 89.16 % 77.34 % 75.78 % United Security Bancshares Selected Financial Data (unaudited) (dollars in thousands, except per share amounts) Three Months Ended September 30, Nine months ended September 30, 2022 2021 2022 2021 Return on average assets 1.28 % 0.82 % 1.03 % 0.75 % Return on average equity 15.61 % 8.62 % 11.99 % 7.55 % Annualized net charge-off (recoveries) to average loans 0.19 % 0.24 % 0.07 % 0.18 % September 30, 2022 December 31, 2021 Shares outstanding - period end 17,046,676 17,028,239 Book value per share $ 6.28 $ 7.06 Efficiency ratio (1) 52.10 % 58.89 % Total impaired loans $ 11,829 $ 12,034 Net loan to deposit ratio 76.73 % 72.57 % Allowance for credit losses to total loans 1.05 % 1.07 % Tier 1 capital to adjusted average assets (leverage) Company 9.56 % 9.79 % Bank 9.60 % 9.64 % (1) Efficiency ratio is defined as total noninterest expense divided by net interest income before provision for credit losses plus total noninterest income. United Security Bancshares Net Income before Non-Core Reconciliation Non-GAAP Information (dollars in thousands) (unaudited) Nine Months Ended September 30, 2022 2021 Change $ Change % Net income $ 10,345 $ 6,727 $ 3,618 53.8 % Junior subordinated debenture (1) fair value adjustment (2,469 ) (691 ) Loss on sale of OREO (2) — (1 ) Total non-core items (2,469 ) (692 ) Income tax effect 716 201 Non-core items net of taxes (1,753 ) (491 ) Non-GAAP core net income $ 12,098 $ 7,218 $ 4,880 67.6 % (1) Junior subordinated debenture fair value adjustment is not part of core income and depending upon market rates, can “add to” or “subtract from” core income and mask non-GAAP core income change. (2) Write down or loss on sale of OREO is considered a one-time event and therefore is not part of core income. |
businesswire.com |
2022-10-19 21:32:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On September 27, 2022, the Board of Directors of United Security Bancshares (the "Company")(NASDAQ: UBFO), the parent company of United Security Bank (the "Bank"), declared a regular quarterly cash dividend of $0.11 per share on the Company's common stock. The dividend is payable on October 25, 2022, to shareholders of record as of October 11, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company's board or its structure. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and particularly the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. |
businesswire.com |
2022-09-28 21:40:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports 2nd Quarter 2022 Financial Results |
FRESNO, Calif.--(BUSINESS WIRE)--United Security Bancshares (Nasdaq: UBFO) today announced its unaudited financial results for the six months ended June 30, 2022. The Company recognized net income of $5.9 million, or $0.34 per diluted share, for the six months ended June 30, 2022, compared to net income of $4.1 million, or $0.24 per diluted share for the six months ended June 30, 2021. Second Quarter 2022 Highlights (at or for the quarter ended June 30, 2022, except where noted) Net income for the quarter increased 27.0% to $3.4 million, compared to $2.7 million for the quarter ended June 30, 2021, and increased 40.6% from $2.4 million for the trailing quarter ended March 31, 2022. Loan interest income increased $983,000 and investment securities income increased $350,000 as a result of significant growth in loan and investment securities portfolio balances compared to the second quarter of 2021. Total assets increased 0.6% to $1.34 billion, compared to $1.33 billion at December 31, 2021. Total loans, net of unearned fees, increased to $950.0 million, compared to $871.5 million at December 31, 2021 and $879.4 million at March 31, 2022. Loan growth during the quarter is a result of organic growth in the real estate construction and commercial real estate segments. Total investments increased 18.1% to $215.8 million, compared to $182.6 million at December 31, 2021. Total deposits increased 1.7% to $1.21 billion, compared to $1.19 billion at December 31, 2021. The allowance for credit losses as a percentage of gross loans decreased to 1.05%, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is primarily the result of a change in loan mix resulting from purchases of residential mortgage loans during the first quarter. Net interest income before the provision for credit losses increased 16.5% to $10.4 million, compared to $8.9 million for the quarter ended June 30, 2021. For the trailing quarter ended March 31, 2022, the net interest income before the provision for credit losses was $9.4 million. Book value per share decreased to $6.46, compared to $7.06 at December 31, 2021, as a result of an increase in accumulated other comprehensive loss related to unrealized losses within the investment portfolio. Net interest margin increased to 3.38% for the quarter ended June 30, 2022, compared to 3.22% and 3.10% for the quarters ended June 30, 2021 and March 31, 2022. Annualized average cost of deposits was 0.17% for the quarters ended June 30, 2022, June 30, 2021, and March 31, 2022. Net recoveries totaled $25,000, compared to net charge-offs of $174,000 for the quarter ended June 30, 2021. Capital position remains well-capitalized with a 9.70% Tier 1 Leverage Ratio compared to 9.79% as of December 31, 2021. Annualized return on average assets ("ROAA") increased to 1.03%, compared to 0.89% and 0.82% for the quarters ended June 30, 2021 and March 31, 2022. Annualized return on average equity ("ROAE") increased to 12.12%, compared to 9.15% and 8.62% for the quarters ended June 30, 2021 and March 31, 2022. Dennis Woods, President and Chief Executive Officer, stated: "We continued our positive earnings momentum in the second quarter as we again posted increased earnings when compared to prior quarter and second quarter 2021 results. Core net income, which is a non-GAAP measure, grew 57% over the prior year as a result of the successful execution of our 2021 and 2022 cash deployment strategies. We realized robust organic loan growth in our real estate construction and commercial real estate portfolios during the second quarter. Our credit quality, capital, and liquidity levels remain strong and position us well for potential economic headwinds over the coming quarters." Provided at the end of this Press Release is a reconciliation of Core Net Income, as a non-GAAP measure, to Net Income. This reconciliation excludes Non-Core items such as the Fair Value Adjustment for TRUPs and gain or loss on sale of other real estate owned (OREO). Management believes that financial results are more comparative excluding the impact of such non-core items. Results of Operations Net income for the six months ended June 30, 2022 increased 27.0% to $3.4 million, compared to the six months ended June 30, 2021. The increase is the result of increases of $2.0 million in loan interest income and fees, $754,000 in investment income, and $590,000 decrease in provision for credit losses, partially offset by an increase of $1.2 million in loss on fair value of junior subordinated debentures. ROAE for the six months ended June 30, 2022 was 10.19%, compared to 7.00% for the six months ended June 30, 2021. ROAA was 0.89% for the six months ended June 30, 2022, compared to 0.71% for the six months ended June 30, 2021. The annualized average cost of deposits was 0.17% for the quarters ended June 30, 2022 and June 30, 2021. Average interest-bearing deposits increased 20.4% between the periods ended June 30, 2021 and 2022 from $608.1 million to $732.2 million, respectively. Net interest income, before the provision for credit losses, for the six months ended June 30, 2022 totaled $19.85 million, an increase of $2.83 million, or 16.7%, from $17.01 million for the same period ended June 30, 2021. The impact of the Company's 2021 and 2022 cash deployment strategies, which included over $350 million in investment and mortgage loan purchases, are reflected in the increase in net interest income. The Company's net interest margin increased from 3.20% for the six months ended June 30, 2021 to 3.23% for the six months ended June 30, 2022. The increase in the net interest margin was due to increases in loan and investment balances, yields on investment securities, and yields on interest-bearing deposits at Federal Reserve Bank, partially offset by decreases in loan yields and increases in average deposit balances. Loan yields decreased from 4.75% to 4.28% between the two periods. The yield on interest-bearing liabilities decreased from 0.32% to 0.31% between the two periods. Included in interest income for the six months ended June 30, 2022 were $123,000 in fees related to Small Business Administration Paycheck Protection Program loans, compared to $544,000 for the same period ended June 30, 2021. Noninterest income for the six months ended June 30, 2022 totaled $395,000, a decrease of $767,000 when compared to the $1.16 million reported for the six months ended June 30, 2021. For the six months ended June 30, 2022, a loss on the fair value of junior subordinated debentures (TRUPs) of $1.87 million was recorded, compared to a loss of $656,000 for the same period in 2021. The change in the fair value of TRUPs reflected in noninterest income was caused by fluctuations in the LIBOR yield curve. Generally, an increase in the three month LIBOR yield curve will result in negative fair value adjustments. Conversely, a decrease in the three month LIBOR yield curve will result in positive fair value adjustments. Customer service fees totaled $1.4 million for the six months ended June 30, 2022 and $1.35 million for the six months ended June 30, 2021. Also included in noninterest income for the six months ended June 30, 2022 was $566,000 in nonrecurring income received from The Central Valley Fund II (SBIC), Limited Partnership. For the six months ended June 30, 2022, noninterest expense totaled $11.39 million, an increase of $145,000 compared to $11.25 million for the six months ended June 30, 2021. On a year-over-year comparative basis, noninterest expense increased due to increases in professional fees of $102,000 and increases in regulatory assessments of $128,000 related to higher FDIC assessment rates and was partially offset by a decrease of $91,000 in salaries and employee benefits, and a decrease of $65,000 in occupancy expense. The efficiency ratio for the six months ended June 30, 2022 decreased to 55.5%, compared to 61.7% for the six months ended June 30, 2021. This decrease is attributed to revenue growth, as well as the $566,000 in noninterest income from the investment in a limited partnership. The Company recorded an income tax provision of $2.4 million for the six months ended June 30, 2022, compared to $1.6 million for the same period in 2021. The effective tax rate for the six months ended June 30, 2022 was 28.67%, compared to 28.16% for the six months ended June 30, 2021. Quarter Ended June 30, 2022: For the quarter ended June 30, 2022, the Company reported net income of $3.4 million and earnings per basic and diluted share of $0.20, compared to net income of $2.7 million and $0.16 per basic and diluted share for the same period ended June 30, 2021. Net income for the quarter ended March 31, 2022 was $2.4 million and $0.14 per basic and diluted share. Net interest income, before the provision for credit losses was $10.4 million for the quarter ended June 30, 2022, representing a $1.5 million, or 16.5%, increase from the $8.9 million reported at June 30, 2021. The increase in net interest income was driven by growth in the loan and investment portfolios. The Company's net interest margin increased from 3.22% to 3.38% between the quarters ended June 30, 2021 and June 30, 2022, respectively. The increase in the net interest margin was due to increases in loan and investment balances, yields on investment securities, and yields on interest-bearing deposits at FRB, partially offset by decreases in loan yields and increases in average deposit balances. Net interest income during the quarter ended June 30, 2022 increased to $9.8 million, or 21.0%, from the $8.1 million reported during the quarter ended June 30, 2021. Noninterest income for the quarter ended June 30, 2022 totaled $602,000, a decrease of $720,000 from the $1,322,000 in non-interest income reported for the quarter ended June 30, 2021. The decrease is primarily attributed to a loss of $869,000 recorded on the fair value of junior subordinated debentures for the quarter ended June 30, 2022 compared to a gain of $377,000 recorded for the quarter ended June 30, 2021. Additionally, the decrease in noninterest income is attributed to the loss on equity securities of $127,000 for the quarter ended June 30, 2022, compared to none for the same period in 2021, and was partially offset by $566,000 in income received from an investment in a limited partnership for the quarter ended June 30, 2022. Noninterest income increased $808,000 from the $206,000 loss reported for the quarter ended March 31, 2022. This was primarily due to the $566,000 income received from the limited partnership and an increase in customer service fees of $122,000. Noninterest expense for the quarter ended June 30, 2022 totaled $5.58 million, reflecting a $69,000 decrease from the $5.65 million reported for the quarter ended June 30, 2021, and a $240,000 decrease from the $5.82 million reported from the quarter ended March 31, 2022. The decrease between the quarters ended June 30, 2022 and 2021 resulted in part due to decreases of $116,000 in salaries and employee benefits, and was partially offset by an increase of $64,000 in regulatory assessments and an increase of $24,000 in director fees. The Company recorded an income tax provision of $1.4 million for the quarter ended June 30, 2022, compared to $1.1 million for the quarter ended June 30, 2021, and $968,000 for the quarter ended March 31, 2022. The effective tax rate for the quarter ended June 30, 2022 was 28.9%, compared to 28.5% and 28.4% for the quarters ended June 30, 2021 and March 31, 2022, respectively. Balance Sheet Review Total assets increased $8.6 million, or 0.6%, between December 31, 2021 and June 30, 2022. Gross loan balances grew $78.7 million and investment securities increased $33.1 million. Included in the loan growth during the year were purchases of $35.6 million in residential mortgage loans during the first quarter and organic growth in the commercial real estate, real estate construction, and agricultural segments of the portfolio, partly offset by a reduction in the student loan portfolio and SBA PPP balances. Investment portfolio growth included purchases of $81.5 million in investment securities, partially offset by $39.9 million in sales of securities and $20.4 million increase in unrealized loss. In part, as a result of the loan and investment activity, total cash and cash equivalents decreased $112.0 million between December 31, 2021 and June 30, 2022. Unfunded loan commitments decreased from $239.1 million at December 31, 2021 to $169.9 million at June 30, 2022. OREO balances remained at $4.6 million at December 31, 2021 and June 30, 2022. Total deposits increased $20.1 million, or 1.7%, to $1.2 billion during the six months ended June 30, 2022. This increase was due to increases of $11.3 million in NOW and money market accounts, $6.3 million in time deposits, and $6.2 million in savings accounts, offset by decreases of $3.7 million in noninterest bearing deposits. In total, NOW, money market and savings accounts increased 2.7% to $661.2 million at June 30, 2022, compared to $643.8 million at December 31, 2021. Noninterest bearing deposits decreased 0.8% to $473.0 million at June 30, 2022, compared to $476.7 million at December 31, 2021. Core deposits, which are made up of the balance of noninterest bearing deposits, NOW, money market, savings, and time deposits accounts less than $250,000, increased $19.9 million. Shareholders’ equity at June 30, 2022 totaled $110.0 million, a decrease of $10.2 million from shareholders’ equity of $120.2 million at December 31, 2021. This decrease in equity was primarily attributed to an increase in accumulated other comprehensive loss and $3.7 million in cash dividends paid, partially offset by $5.9 million in net income. At June 30, 2022, the accumulated other comprehensive loss totaled $13.7 million, compared to $1.2 million at December 31, 2021. The increase in the loss was primarily the result of net unrealized losses on investment securities of $14.6 million and was partially offset by a $1.8 million gain on junior subordinated debentures (TRUPs) caused by a change in market credit spreads during the six months ended June 30, 2022. The change in unrealized loss on the investment portfolio is attributed to changes in interest rates, and not credit quality. The Company does not intend to sell and it is more likely than not that it will not be required to sell any securities that have an unrealized loss. The Board of Directors of United Security Bancshares declared a cash dividend on common stock of $0.11 per share on June 28, 2022. The dividend is payable on July 22, 2022, to shareholders of record as of July 8, 2022. No assurances can be provided that future dividends will be declared and/or as to the timing of such future dividends, if any. The Company continues to be well capitalized and expects to maintain adequate capital levels. Credit Quality The Company recorded a provision for credit losses of $611,000 for the six months ended June 30, 2022, compared to a provision of $1,201,000 for the six months ended June 30, 2021. Net loan charge-offs totaled $37,000 for the six months ended June 30, 2022, as compared to net loan charge-offs of $523,000 for the six months ended June 30, 2021. The reduced provision recorded during the year is attributed to lower net charge-offs on the student loan portfolio, decreases in nonperforming assets and change in portfolio mix, partially offset by a qualitative adjustment for economic uncertainty resulting in an increase in required reserves. The qualitative adjustment is attributed to higher inflation, anticipated magnitude of interest rate hikes in 2022 and 2023, and the increasing likelihood of a recession. For the six months ended June 30, 2021, the provision recorded was attributed to growth of the loan portfolio, agricultural loan downgrades, and net charge-offs recognized in the student loan portfolio. The Company's allowance for loan loss totaled 1.05% of the loan portfolio at June 30, 2022, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is primarily the result of a change in loan mix resulting from purchases of residential mortgage loans during the first quarter. The reserve required on the residential mortgage loan segment is lower than reserves required for other loan segments due to lower historical loss rates. Management considers the allowance for credit losses at June 30, 2022 to be adequate. Non-performing assets, comprised of nonaccrual loans, troubled debt restructures (TDRs), other real estate owned through foreclosure, and loans more than 90 days past due and still accruing interest, decreased $586,000 between December 31, 2021 and June 30, 2022 to $16.1 million. Nonperforming assets as a percentage of total assets decreased from 1.25% at December 31, 2021 to 1.20% at June 30, 2022. The decrease in nonperforming assets is attributed to decreases of $344,000 in 90 day delinquent loans and $209,000 in nonaccrual loans between December 31, 2021 and June 30, 2022. OREO balances remained at $4.6 million at December 31, 2021 and June 30, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft, California. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. Non-GAAP Financial Measures This press release and the accompanying financial tables contain a non-GAAP financial measure (net income before non-Core) within the meaning of the Securities and Exchange Commission’s Regulation G. In the accompanying financial tables, the Company has provided a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure. The Company’s management believes that this non-GAAP financial measure provides useful information about the Company’s results of operations and/or financial position to both investors and management. The Company provides this non-GAAP financial measure to investors to assist them in performing their analysis of its historical operating results. The non-GAAP financial measure shows the Company's operating results before consideration of certain adjustments and, consequently, this non-GAAP financial measure should not be construed as an alternative to net income (loss) as an indicator of the Company's operating performance, as determined in accordance with GAAP. The Company may calculate this non-GAAP financial measure differently than other companies. Forward-Looking Statements This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the Company intends such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements are based on management’s knowledge and belief as of today and are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements are subject to risks and uncertainties and actual results may differ materially from those presented. Factors that might cause such differences, some of which are beyond the Company’s ability to control or predict, include, but are not limited to: (1) adverse developments with respect to U.S. or global economic conditions and other uncertainties, including the impact of supply chain disruptions, inflationary pressures and labor shortages, (2) the COVID-19 global pandemic, including the effects of the steps being taken to address the pandemic and its impact on the Company’s markets, customers and employees, (3) changes in general economic and financial market conditions, either nationally or locally, (4) interest rate policies of the Board of Governors of the Federal Reserve System, (5) changes in banking laws or regulations, (6) increased competition in the Company's markets, impacting the ability to execute its business plans, (7) loss of key personnel, (8) unanticipated credit losses, (9) drought, earthquakes or other natural disasters impacting the local economy and/or the condition of real estate collateral, (10) the impact of technological changes and the ability to develop and maintain secure and reliable electronic systems, (11) uncertainty regarding the replacement of LIBOR, and (12) changes in accounting policies or procedures. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K, for the year ended December 31, 2021, and particularly the section entitled "Management’s Discussion and Analysis of Financial Condition and Results of Operations." Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. United Security Bancshares Consolidated Balance Sheets (unaudited) (in thousands- except share data) June 30, 2022 December 31, 2021 June 30, 2021 Assets Cash and non-interest-bearing deposits in other banks $ 33,701 $ 31,057 $ 43,240 Due from Federal Reserve Bank ("FRB") 73,545 188,162 117,668 Cash and cash equivalents 107,246 219,219 160,908 Investment securities (at fair value) Available-for-sale ("AFS") securities 212,338 178,902 166,976 Marketable equity securities 3,436 3,744 3,791 Total investment securities 215,774 182,646 170,767 Loans 948,031 869,314 841,103 Unearned fees and unamortized loan origination costs - net 1,960 2,219 946 Allowance for credit losses (9,907 ) (9,333 ) (9,200 ) Net loans 940,084 862,200 832,849 Premises and equipment - net 9,069 8,950 8,877 Accrued interest receivable 8,265 7,530 8,600 Other real estate owned ("OREO") 4,582 4,582 4,753 Goodwill 4,488 4,488 4,488 Deferred tax assets - net 9,428 3,615 3,063 Cash surrender value of life insurance 22,591 22,338 21,904 Operating lease right-of-use assets 2,290 2,594 2,600 Other assets 15,700 12,782 12,246 Total assets $ 1,339,517 $ 1,330,944 $ 1,231,055 Liabilities and Shareholders' Equity Deposits Noninterest-bearing $ 473,013 $ 476,749 $ 442,140 Interest-bearing 735,181 711,357 648,302 Total deposits 1,208,194 1,188,106 1,090,442 Operating lease liabilities 2,401 2,705 2,707 Other liabilities 8,432 8,737 8,288 Junior subordinated debentures (at fair value) 10,489 11,189 11,253 Total liabilities 1,229,516 1,210,737 1,112,690 Shareholders' Equity Common stock, no par value; 20,000,000 shares authorized; issued and outstanding: 17,040,549 at June 30, 2022, 17,028,239 at December 31, 2021, and 17,010,288 at June 30, 2021. 59,836 59,636 59,496 Retained earnings 63,874 61,745 59,507 Accumulated other comprehensive loss (13,709 ) (1,174 ) (638 ) Total shareholders' equity 110,001 120,207 118,365 Total liabilities and shareholders' equity $ 1,339,517 $ 1,330,944 $ 1,231,055 United Security Bancshares Consolidated Statements of Income (unaudited) (in thousands - except share data) Three Months Ended Six Months Ended June 30, 2022 March 31, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Interest Income: Interest and fees on loans $ 9,731 $ 9,119 $ 8,748 $ 18,849 $ 16,855 Interest on investment securities 1,004 790 654 1,795 1,041 Interest on deposits in FRB 258 82 42 340 104 Total interest income 10,993 9,991 9,444 20,984 18,000 Interest Expense: Interest on deposits 515 508 468 1,023 895 Interest on other borrowed funds 69 45 45 114 92 Total interest expense 584 553 513 1,137 987 Net Interest Income 10,409 9,438 8,931 19,847 17,013 Provision for Credit Losses 606 5 826 611 1,201 Net Interest Income after Provision for Credit Losses 9,803 9,433 8,105 19,236 15,812 Noninterest Income: Customer service fees 776 654 692 1,429 1,348 Increase in cash surrender value of bank-owned life insurance 114 139 138 253 269 Unrealized (loss) gain on fair value of marketable equity securities (127 ) (182 ) 0 (309 ) (60 ) (Loss) gain on fair value of junior subordinated debentures (869 ) (999 ) 377 (1,869 ) (656 ) Gain on sale of investment securities — 30 — 30 — Gain on sale of assets — — — — 13 Other 708 152 115 861 248 Total noninterest income (loss) 602 (206 ) 1,322 395 1,162 Noninterest Expense: Salaries and employee benefits 2,777 3,049 2,893 5,826 5,917 Occupancy expense 849 780 837 1,628 1,693 Data processing 145 115 148 260 235 Professional fees 919 949 905 1,868 1,766 Regulatory assessments 187 231 123 417 289 Director fees 116 118 92 234 184 Correspondent bank service charges 24 25 23 50 42 Net cost on operation and sale of OREO 2 (8 ) 18 (6 ) 43 Other 557 557 606 1,114 1,077 Total noninterest expense 5,576 5,816 5,645 11,391 11,246 Income Before Provision for Taxes 4,829 3,411 3,782 8,240 5,728 Provision for Taxes on Income 1,394 968 1,077 2,362 1,613 Net Income 3,435 2,443 2,705 $ 5,878 $ 4,115 Basic earnings per common share $ 0.20 $ 0.14 $ 0.16 $ 0.35 $ 0.24 Diluted earnings per common share $ 0.20 $ 0.14 $ 0.16 $ 0.34 $ 0.24 Weighted average basic shares for EPS 17,036,364 17,030,409 17,010,288 17,033,401 17,010,210 Weighted average diluted shares for EPS 17,057,755 17,051,819 17,032,878 17,054,742 17,027,477 United Security Bancshares Average Balances and Rates (unaudited) (in thousands) Three Months Ended Six Months Ended June 30, 2022 March 31, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Average Balances: Loans (1) $ 906,396 $ 870,851 $ 762,090 $ 888,722 $ 716,162 Investment securities 192,494 187,761 164,908 190,141 134,243 Interest-bearing deposits in FRB 136,898 177,243 180,061 156,959 219,272 Total interest-earning assets 1,235,788 1,235,855 1,107,059 1,235,822 1,069,677 Allowance for credit losses (9,302 ) (9,514 ) (8,552 ) (9,408 ) (8,535 ) Cash and due from banks 34,904 37,288 48,415 36,089 45,051 Other real estate owned 4,579 4,582 4,965 4,581 5,019 Other non-earning assets 71,529 65,384 71,387 68,576 66,048 Total average assets $ 1,337,498 $ 1,333,595 $ 1,223,274 $ 1,335,660 $ 1,177,260 Interest-bearing deposits $ 737,149 $ 727,132 $ 637,444 $ 732,168 $ 608,141 Junior subordinated debentures 10,863 11,156 10,961 11,009 10,929 Total interest-bearing liabilities 748,012 738,288 648,405 743,177 619,070 Noninterest-bearing deposits 465,926 466,062 446,352 466,097 429,513 Other liabilities 9,583 9,970 9,657 9,774 9,773 Total liabilities 1,223,521 1,214,320 1,104,414 1,219,048 1,058,356 Total equity 113,977 119,275 118,860 116,612 118,904 Total liabilities and equity $ 1,337,498 $ 1,333,595 $ 1,223,274 $ 1,335,660 $ 1,177,260 Average Rates: Loans (1) 4.31 % 4.25 % 4.60 % 4.28 % 4.75 % Investment securities 2.09 % 1.71 % 1.59 % 1.90 % 1.56 % Interest-bearing deposits in FRB 0.76 % 0.19 % 0.09 % 0.44 % 0.10 % Earning assets 3.57 % 3.28 % 3.42 % 3.42 % 3.39 % Interest bearing deposits 0.28 % 0.28 % 0.29 % 0.28 % 0.30 % Total deposits 0.17 % 0.17 % 0.17 % 0.17 % 0.17 % Junior subordinated debentures 2.55 % 1.64 % 1.65 % 2.09 % 1.70 % Total interest-bearing liabilities 0.31 % 0.30 % 0.32 % 0.31 % 0.32 % Net interest margin (2) 3.38 % 3.10 % 3.22 % 3.23 % 3.20 % (1) Loan amounts include nonaccrual loans, but the related interest income has been included only if collected for the period prior to the loan being placed on a nonaccrual basis. (2) Net interest margin is computed by dividing annualized net interest income by average interest-earning assets. United Security Bancshares Condensed - Consolidated Balance Sheets (unaudited) (in thousands) June 30, 2022 March 31, 2022 December 31, 2021 September 30, 2021 June 30, 2021 Cash and cash equivalents $ 107,246 $ 224,934 $ 219,219 $ 259,428 $ 160,908 Investment securities 215,774 183,527 182,646 165,508 170,767 Loans 949,991 879,379 871,533 809,114 842,049 Allowance for credit losses (9,907 ) (9,276 ) (9,333 ) (9,144 ) (9,200 ) Net loans 940,084 870,103 862,200 799,970 832,849 Other assets 76,413 71,238 66,879 67,875 66,531 Total assets $ 1,339,517 $ 1,349,802 $ 1,330,944 $ 1,292,781 $ 1,231,055 Non-interest-bearing $ 473,013 $ 465,043 $ 476,749 $ 455,584 $ 442,140 Interest-bearing 735,181 749,289 711,357 695,131 648,302 Total deposits 1,208,194 1,214,332 1,188,106 1,150,715 1,090,442 Other liabilities 21,322 21,896 22,631 22,938 22,248 Total liabilities 1,229,516 1,236,228 1,210,737 1,173,653 1,112,690 Total shareholders' equity 110,001 113,574 120,207 119,128 118,365 Total liabilities and shareholder's equity $ 1,339,517 $ 1,349,802 $ 1,330,944 $ 1,292,781 $ 1,231,055 United Security Bancshares Condensed - Consolidated Statements of Income (unaudited) (in thousands) For the Quarters Ended: June 30, 2022 March 30, 2022 December 31, 2021 September 30, 2021 June 30, 2021 Total interest income $ 10,993 $ 9,991 $ 9,930 $ 9,877 $ 9,444 Total interest expense 584 553 552 540 513 Net interest income 10,409 9,438 9,378 9,337 8,931 Provision for credit losses 606 5 453 453 826 Net interest income after provision for credit losses 9,803 9,433 8,925 8,884 8,105 Total non-interest income (loss) 602 (206 ) 1,291 930 1,322 Total non-interest expense 5,576 5,816 6,282 6,164 5,645 Income before provision for taxes 4,829 3,411 3,934 3,650 3,782 Provision for taxes on income 1,394 968 564 1,039 1,077 Net income $ 3,435 $ 2,443 $ 3,370 $ 2,611 $ 2,705 United Security Bancshares Nonperforming Assets (unaudited) (dollars in thousands) June 30, 2022 December 31, 2021 June 30, 2021 Real estate construction & development $ 11,068 $ 11,226 10,940 Agricultural 161 212 325 Total nonaccrual loans $ 11,229 $ 11,438 $ 11,265 Loans past due 90 days and still accruing 109 453 156 Restructured loans 143 176 412 Total nonperforming loans $ 11,481 $ 12,067 $ 11,833 Other real estate owned 4,582 4,582 4,753 Total nonperforming assets $ 16,063 $ 16,649 $ 16,586 Nonperforming loans to total gross loans 1.21 % 1.39 % 1.41 % Nonperforming assets to total assets 1.20 % 1.25 % 1.35 % Allowance for credit losses to nonperforming loans 86.29 % 77.34 % 77.75 % United Security Bancshares Selected Financial Data (unaudited) (dollars in thousands, except per share amounts) Three Months Ended June 30, Six months ended June 30, 2022 2021 2022 2021 Return on average assets 1.03 % 0.89 % 0.89 % 0.71 % Return on average equity 12.12 % 9.15 % 10.19 % 7.00 % Annualized net charge-off (recoveries) to average loans (0.01 ) % 0.09 % 0.01 % 0.15 % June 30, 2022 December 31, 2021 Shares outstanding - period end 17,040,549 17,028,239 Book value per share $ 6.46 $ 7.06 Efficiency ratio (1) 55.51 % 58.89 % Total impaired loans $ 11,882 $ 12,034 Net loan to deposit ratio 77.81 % 72.57 % Allowance for credit losses to total loans 1.05 % 1.07 % Tier 1 capital to adjusted average assets (leverage) Company 9.70 % 9.79 % Bank 9.69 % 9.64 % (1) Efficiency ratio is defined as total noninterest expense divided by net interest income before provision for credit losses plus total noninterest income. United Security Bancshares Net Income before Non-Core Reconciliation Non-GAAP Information (dollars in thousands) (unaudited) Six Months Ended June 30, 2022 2021 Change $ Change % Net income $ 5,878 $ 4,115 $ 1,763 42.8 % Junior subordinated debenture (1) fair value adjustment (1,869 ) (656 ) Income tax effect 542 190 Non-core items net of taxes (1,327 ) (466 ) Non-GAAP core net income $ 7,205 $ 4,581 $ 2,624 57.3 % (1) Junior subordinated debenture fair value adjustment is not part of core Income and depending upon market rates, can “add to” or “subtract from” core income and mask non-GAAP core income change. |
businesswire.com |
2022-07-20 21:54:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On June 28, 2022, the Board of Directors of United Security Bancshares (the "Company") (NASDAQ: UBFO), the parent company of United Security Bank (the "Bank"), declared a regular quarterly cash dividend of $0.11 per share on the Company's common stock. The dividend is payable on July 22, 2022, to shareholders of record as of July 8, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company's board or its structure. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and particularly the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. |
businesswire.com |
2022-06-30 20:55:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Reports 1st Quarter 2022 Financial Results |
FRESNO, Calif.--(BUSINESS WIRE)--United Security Bancshares (Nasdaq: UBFO) today announced its unaudited financial results for the quarter ended March 31, 2022. The Company recognized net income of $2.4 million, or $0.14 per basic and diluted share, for the quarter ended March 31, 2022, compared to net income of $1.4 million, or $0.08 per basic and diluted share for the quarter ended March 31, 2021. First Quarter 2022 Highlights (at or for the quarter ended March 31, 2022, except where noted) Net income for the quarter increased 73.1% to $2.4 million, compared to $1.4 million for the quarter ended March 31, 2021. Loan interest income increased $1.0 million and investment securities income increased $0.4 million as a result of significant growth in loan and investment securities portfolio balances compared to the first quarter of 2021. Total assets increased 1.4% to $1.35 billion, compared to $1.33 billion at December 31, 2021. Total loans, net of unearned fees, increased 0.9% to $879.4 million, compared to $871.5 million at December 31, 2021. Included in total loans are $35.6 million in residential mortgage loans purchased during the quarter. Total investments increased 0.5%, or $0.9 million, to $183.5 million, compared to $182.6 million at December 31, 2021. Total deposits increased 2.2% to $1.21 billion, compared to $1.19 billion at December 31, 2021. The allowance for credit losses as a percentage of gross loans decreased to 1.06%, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is principally due to growth in the purchased residential mortgage loan portfolio, which requires lower reserves compared to other loan segments. Net interest income before the provision for credit losses increased 17.3% to $9.4 million for the quarter ended March 31, 2022, compared to $8.0 million for the quarter ended March 31, 2021. Book value per share decreased to $6.67, compared to $7.06 at December 31, 2021 resulting from an increase in accumulated other comprehensive loss related to unrealized losses within the investment portfolio. Net interest margin decreased to 3.10% from 3.16% for the quarter ended March 31, 2021. Annualized average cost of deposits was 0.17% for the quarters ended March 31, 2022 and March 31, 2021. Net charge-offs decreased to $61,000, compared to net charge-offs of $348,000 for the quarter ended March 31, 2021. Capital position remains well-capitalized with a 9.62% Tier 1 Leverage Ratio compared to 9.79% as of December 31, 2021. Annualized return on average assets ("ROAA") was 0.74%, compared to 0.51% for the quarter ended March 31, 2021. Annualized return on average equity ("ROAE") was 8.33%, compared to 4.82% for the quarter ended March 31, 2021. Dennis Woods, President and Chief Executive Officer, stated: "The first quarter reflected a continuation of the positive momentum experienced in 2021. We saw solid growth in revenue, our deposit base, and our loan and investment portfolios. During the first quarter, we began to execute our 2022 strategy which includes investments in loans and securities, in addition to organic loan growth. Core net income, which is a non-GAAP measure, grew 47.0% over the prior year as a result of robust deposit growth and the successful execution of our 2021 cash deployment strategy. Our credit quality, capital, and liquidity levels remain strong and we are well-positioned to benefit from the increases in interest rates anticipated this year." Provided at the end of this Press Release is a reconciliation of Core Net Income, as a non-GAAP measure, to Net Income. This reconciliation excludes Non-Core items such as the Fair Value Adjustment for TRUPs and gain or loss on sale of other real estate owned (OREO). Management believes that financial results are more comparative excluding the impact of such non-core items. Results of Operations Net income for the quarter ended March 31, 2022 increased $1.0 million when compared to the quarter ended March 31, 2021. The increase is the result of increases of $1.0 million in loan interest income and fees, $0.4 million in investment income, and lower provision expense, partially offset by an increase of $431,000 in the tax provision and an increase of $122,000 in professional fees. The change in fair value of junior subordinated debentures, which is caused by changes in LIBOR rates, was reflected as a $1,033,000 loss for the quarter ended March 31, 2021, compared to a $999,000 loss for the quarter ended March 31, 2022. The provision for credit losses was $5,000 for the quarter ended March 31, 2022, compared to $375,000 for the quarter ended March 31, 2021. ROAE for the quarter ended March 31, 2022 was 8.33%, compared to 4.82% for the quarter ended March 31, 2021. ROAA was 0.74% for the quarter ended March 31, 2022, compared to 0.51% for the quarter ended March 31, 2021. The annualized average cost of deposits was 0.17% for the quarters ended March 31, 2022 and March 31, 2021. Average interest-bearing deposits increased 25.7% between the periods ended March 31, 2021 and 2022 from $578.5 million to $727.1 million, respectively. Net interest income, before the provision for credit losses, for the quarter ended March 31, 2022 totaled $9.4 million, an increase of $1.4 million, or 17.3%, from $8.0 million for the same period ended March 31, 2021. The impact of the Company's 2021 phase 1 and phase 2 cash deployment strategies, which included over $250 million in investment and mortgage loan purchases, are reflected in the increase in net interest income. The Company's net interest margin contracted from 3.16% for the quarter ended March 31, 2021 to 3.10% for the quarter ended March 31, 2022. The decrease was the result of earning assets repricing in the current interest rate environment. This decrease was partially offset by a decrease in the yield on interest-bearing liabilities. Loan yields decreased from 4.89% to 4.25% between the two periods. The yield on interest-bearing liabilities decreased from 0.33% to 0.30% between the two periods. Included in interest income for the quarter ended March 31, 2022 were $121,000 in fees related to SBA PPP loans, compared to $345,000 for the same period ended March 31, 2021. Noninterest income for the quarter ended March 31, 2022 reflected a loss of $206,000, amounting to an increase in loss of $47,000 when compared to the loss of $159,000 reported for the quarter ended March 31, 2021. On a year-over-year comparative basis, noninterest income decreased primarily due to an increase in the loss on equity securities of $122,000. Customer service fees totaled $654,000 for the quarter ended March 31, 2022 and $656,000 for the quarter ended March 31, 2021. For the quarter ended March 31, 2022, a loss on the fair value of junior subordinated debentures (TRUPs) of $999,000 was recorded, compared to a loss of $1,033,000 for the same period in 2021. The change in the fair value of TRUPs reflected in noninterest income was caused by fluctuations in the LIBOR yield curve. Generally, an increase in the three month LIBOR yield curve will result in negative fair value adjustments. Conversely, a decrease in the three month LIBOR yield curve will result in positive fair value adjustments. For the quarter ended March 31, 2022, noninterest expense totaled $5.82 million, an increase of $251,000 compared to $5.57 million for the quarter ended March 31, 2021. On a year-over-year comparative basis, noninterest expense increased due to increases in professional fees of $122,000 and increases in regulatory assessments of $65,000 due to an increase in FDIC assessment rate. Other noninterest expense increased $88,000 due to higher telephone and insurance expense. The efficiency ratio for the quarter ended March 31, 2022 decreased to 63.0%, compared to 70.6% for the quarter ended March 31, 2021. This decrease is attributed to revenue growth outpacing the increase in noninterest expense. The Company recorded an income tax provision of $968,000 for the quarter ended March 31, 2022, compared to $537,000 for the same period in 2021. The effective tax rate for the quarter ended March 31, 2022 was 28.38%, compared to 27.57% for the quarter ended March 31, 2021. Balance Sheet Review Total assets increased $18.9 million, or 1.4%, between December 31, 2021 and March 31, 2022. Gross loan balances grew $7.6 million and investment securities increased $0.9 million. Included in the loan and investment growth during the quarter were purchases of $35.6 million in residential mortgage loans and $34.6 million in investment securities, respectively. Total cash and cash equivalents increased $5.7 million between December 31, 2021 and March 31, 2022. Unfunded loan commitments decreased from $239.1 million at December 31, 2021 to $225.4 million at March 31, 2022. OREO balances remained at $4.6 million at December 31, 2021 and March 31, 2022. Total deposits increased $26.2 million, or 2.2%, to $1.2 billion during the quarter ended March 31, 2022. This increase was due to increases of $26.5 million in NOW and money market accounts and $14.4 million in savings accounts, offset by decreases of $11.7 million in noninterest bearing deposits and $3.0 million in time deposits. In total, NOW, money market and savings accounts increased 6.4% to $684.7 million at March 31, 2022, compared to $643.8 million at December 31, 2021. Noninterest bearing deposits decreased 2.5% to $465.0 million at March 31, 2022, compared to $476.7 million at December 31, 2021. Core deposits, which are made up of the balance of noninterest bearing deposits, NOW, money market, savings, and time deposits accounts less than $250,000, increased $26.8 million. Shareholders’ equity at March 31, 2022 was $113.6 million, a decrease of $6.6 million from shareholders’ equity of $120.2 million at December 31, 2021. This decrease in equity was primarily attributed to an increase in accumulated other comprehensive loss. At March 31, 2022, the accumulated other comprehensive loss totaled $8.5 million, compared to $1.2 million at December 31, 2021. The increase in the loss was primarily the result of unrealized losses on investment securities of $8.2 million and was partially offset by a $0.9 million gain on junior subordinated debentures (TRUPs) caused by a change in market credit spreads during the quarter ended March 31, 2022. The change unrealized loss on the investment portfolio is attributed to changes in interest rates, and not credit quality. The Company does not intend to sell and it is more likely than not that it will not be required to sell any securities that have an unrealized loss. The Board of Directors of United Security Bancshares declared a cash dividend on common stock of $0.11 per share on March 22, 2022. The dividend was payable on April 18, 2022, to shareholders of record as of April 6, 2022. No assurances can be provided that future dividends will be declared and/or as to the timing of such future dividends, if any. The Company continues to be well capitalized and expects to maintain adequate capital levels. Credit Quality The Company recorded a provision for credit losses of $5,000 for the quarter ended March 31, 2022, compared to a provision of $375,000 for the quarter ended March 31, 2021. Net loan charge-offs totaled $61,000 for the quarter ended March 31, 2022, as compared to net loan charge-offs of $348,000 for the quarter ended March 31, 2021. The reduced provision recorded during the quarter is attributed to lower net charge-offs, decreases in nonperforming assets and lower loan portfolio growth rate, partially offset by a qualitative adjustment for economic uncertainty resulting in an increase in required reserves. The qualitative adjustment is attributed to higher inflation, anticipated magnitude of interest rate hikes in 2022 and 2023, and the increased likelihood of a recession. For the quarter ended March 31, 2021, the provision recorded was attributed to growth of the loan portfolio and net charge-offs recognized in the student loan portfolio. The Company's allowance for loan loss totaled 1.06% of the loan portfolio at March 31, 2022, compared to 1.07% at December 31, 2021. The decrease in the allowance for credit losses as a percentage of gross loans is primarily the result of a change in loan mix resulting from purchases of residential mortgage loans during the first quarter. The reserve required on the residential mortgage loan segment is lower than reserves required for other loan segments due to lower historical loss rates. Management considers the allowance for credit losses at March 31, 2022 to be adequate. Non-performing assets, comprised of nonaccrual loans, troubled debt restructures (TDRs), other real estate owned through foreclosure, and loans more than 90 days past due and still accruing interest, decreased $593,000 between December 31, 2021 and March 31, 2022 to $16.1 million. Nonperforming assets as a percentage of total assets decreased from 1.25% at December 31, 2021 to 1.19% at March 31, 2022. The decrease in nonperforming assets is attributed to decreases in total restructured loans of $140,000 between December 31, 2021 and March 31, 2022. OREO balances remained at $4.6 million at December 31, 2021 and March 31, 2022. Nonaccrual loans decreased $108,000 between December 31, 2021 and March 31, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft, California. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. Non-GAAP Financial Measures This press release and the accompanying financial tables contain a non-GAAP financial measure (Net Income before Non-Core) within the meaning of the Securities and Exchange Commission’s Regulation G. In the accompanying financial tables, the Company has provided a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure. The Company’s management believes that this non-GAAP financial measure provides useful information about the Company’s results of operations and/or financial position to both investors and management. The Company provides this non-GAAP financial measure to investors to assist them in performing their analysis of its historical operating results. The non-GAAP financial measure shows the Company's operating results before consideration of certain adjustments and, consequently, this non-GAAP financial measure should not be construed as an alternative to net income (loss) as an indicator of the Company's operating performance, as determined in accordance with GAAP. The Company may calculate this non-GAAP financial measure differently than other companies. Forward-Looking Statements This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the Company intends such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements are based on management’s knowledge and belief as of today and are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements are subject to risks and uncertainties and actual results may differ materially from those presented. Factors that might cause such differences, some of which are beyond the Company’s ability to control or predict, include, but are not limited to: (1) the effects of the COVID-19 pandemic, or other similar outbreaks, including the effects of the steps being taken to address the pandemic and their impact on the Company’s markets, customers and employees, (2) changes in general economic and financial market conditions, either nationally or locally, (3) changes in interest rates, (4) changes in banking laws or regulations, (5) increased competition in the Company's markets, impacting the ability to execute its business plans, (6) loss of key personnel, (7) unanticipated credit losses, (8) drought, earthquakes or other natural disasters impacting the local economy and/or the condition of real estate collateral, (9) the impact of technological changes and the ability to develop and maintain secure and reliable electronic systems, (10) uncertainty regarding the replacement of LIBOR, and (11) changes in accounting policies or procedures. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K, for the year ended December 31, 2021, and particularly the section entitled "Management’s Discussion and Analysis of Financial Condition and Results of Operations." Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. United Security Bancshares Consolidated Balance Sheets (unaudited) (in thousands- except share data) March 31, 2022 December 31, 2021 Assets Cash and non-interest-bearing deposits in other banks $ 38,243 $ 31,057 Due from Federal Reserve Bank ("FRB") 186,691 188,162 Cash and cash equivalents 224,934 219,219 Investment securities (at fair value) Available-for-sale ("AFS") securities 179,964 178,902 Marketable equity securities 3,563 3,744 Total investment securities 183,527 182,646 Loans 876,963 869,314 Unearned fees and unamortized loan origination costs - net 2,416 2,219 Allowance for credit losses (9,276 ) (9,333 ) Net loans 870,103 862,200 Premises and equipment - net 8,920 8,950 Accrued interest receivable 7,801 7,530 Other real estate owned ("OREO") 4,582 4,582 Goodwill 4,488 4,488 Deferred tax assets - net 6,974 3,615 Cash surrender value of life insurance 22,477 22,338 Operating lease right-of-use assets 2,443 2,594 Other assets 13,553 12,782 Total assets $ 1,349,802 $ 1,330,944 Liabilities and Shareholders' Equity Deposits Noninterest-bearing $ 465,043 $ 476,749 Interest-bearing 749,289 711,357 Total deposits 1,214,332 1,188,106 Operating lease liabilities 2,554 2,705 Other liabilities 8,455 8,737 Junior subordinated debentures (at fair value) 10,887 11,189 Total liabilities 1,236,228 1,210,737 Shareholders' Equity Common stock, no par value; 20,000,000 shares authorized; issued and outstanding: 17,034,407 at March 31, 2022 and 17,028,239 at December 31, 2021. 59,736 59,636 Retained earnings 62,313 61,745 Accumulated other comprehensive loss (8,475 ) (1,174 ) Total shareholders' equity 113,574 120,207 Total liabilities and shareholders' equity $ 1,349,802 $ 1,330,944 United Security Bancshares Consolidated Statements of Income (unaudited) (in thousands - except share data) Three Months Ended March 31, 2022 March 31, 2021 Interest Income: Interest and fees on loans $ 9,119 $ 8,071 Interest on investment securities 790 387 Interest on deposits in FRB 82 62 Total interest income 9,991 8,520 Interest Expense: Interest on deposits 508 427 Interest on other borrowed funds 45 46 Total interest expense 553 473 Net Interest Income 9,438 8,047 Provision for Credit Losses 5 375 Net Interest Income after Provision for Credit Losses 9,433 7,672 Noninterest Income: Customer service fees 654 656 Increase in cash surrender value of bank-owned life insurance 139 132 Unrealized loss on fair value of marketable equity securities (182 ) (60 ) Loss on fair value of junior subordinated debentures (999 ) (1,033 ) Gain on sale of investment securities 30 — Gain on sale of assets — 13 Other 152 133 Total noninterest income (loss) (206 ) (159 ) Noninterest Expense: Salaries and employee benefits 3,049 3,024 Occupancy expense 780 856 Data processing 115 87 Professional fees 949 827 Regulatory assessments 231 166 Director fees 118 92 Correspondent bank service charges 25 19 Net cost on operation and sale of OREO (8 ) 25 Other 557 469 Total noninterest expense 5,816 5,565 Income Before Provision for Taxes 3,411 1,948 Provision for Taxes on Income 968 537 Net Income 2,443 1,411 Basic earnings per common share $ 0.14 $ 0.08 Diluted earnings per common share $ 0.14 $ 0.08 Weighted average basic shares for EPS 17,030,409 17,010,131 Weighted average diluted shares for EPS 17,051,819 17,026,752 United Security Bancshares Average Balances and Rates (unaudited) (in thousands) Three Months Ended March 31, 2022 March 31, 2021 Average Balances: Loans (1) $ 870,851 $ 669,723 Investment securities 187,761 103,236 Interest-bearing deposits in FRB 177,243 258,918 Total interest-earning assets 1,235,855 1,031,877 Allowance for credit losses (9,514 ) (8,507 ) Cash and due from banks 37,288 41,650 Other real estate owned 4,582 5,074 Other non-earning assets 65,384 60,641 Total average assets $ 1,333,595 $ 1,130,735 Interest-bearing deposits $ 727,132 $ 578,513 Junior subordinated debentures 11,156 10,896 Total interest-bearing liabilities 738,288 589,409 Noninterest-bearing deposits 466,062 412,455 Other liabilities 9,970 9,914 Total liabilities 1,214,320 1,011,778 Total equity 119,275 118,957 Total liabilities and equity $ 1,333,595 $ 1,130,735 Average Rates: Loans (1) 4.25 % 4.89 % Investment securities 1.71 % 1.52 % Interest-bearing deposits in FRB 0.19 % 0.10 % Earning assets 3.28 % 3.35 % Interest bearing deposits 0.28 % 0.30 % Total deposits 0.17 % 0.17 % Junior subordinated debentures 1.64 % 1.71 % Total interest-bearing liabilities 0.30 % 0.33 % Net interest margin (2) 3.10 % 3.16 % (1) Loan amounts include nonaccrual loans, but the related interest income has been included only if collected for the period prior to the loan being placed on a nonaccrual basis. (2) Net interest margin is computed by dividing annualized net interest income by average interest-earning assets. United Security Bancshares Condensed - Consolidated Balance Sheets (unaudited) (in thousands) March 31, 2022 December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 Cash and cash equivalents $ 224,934 $ 219,219 $ 259,428 $ 160,908 $ 307,909 Investment securities 183,527 182,646 165,508 170,767 147,340 Loans 879,379 871,533 809,114 842,049 674,489 Allowance for credit losses (9,276 ) (9,333 ) (9,144 ) (9,200 ) (8,549 ) Net loans 870,103 862,200 799,970 832,849 665,940 Other assets 71,238 66,879 67,875 66,531 65,747 Total assets $ 1,349,802 $ 1,330,944 $ 1,292,781 $ 1,231,055 $ 1,186,936 Non-interest-bearing $ 465,043 $ 476,749 $ 455,584 $ 442,140 $ 429,005 Interest-bearing 749,289 711,357 695,131 648,302 618,776 Total deposits 1,214,332 1,188,106 1,150,715 1,090,442 1,047,781 Other liabilities 21,896 22,631 22,938 22,248 21,822 Total liabilities 1,236,228 1,210,737 1,173,653 1,112,690 1,069,603 Total shareholders' equity 113,574 120,207 119,128 118,365 117,333 Total liabilities and shareholder's equity $ 1,349,802 $ 1,330,944 $ 1,292,781 $ 1,231,055 $ 1,186,936 United Security Bancshares Condensed - Consolidated Statements of Income (unaudited) (in thousands) For the Quarters Ended: March 31, 2022 December 31, 2021 September 30, 2021 June 30, 2021 March 31, 2021 Total interest income $ 9,991 $ 9,930 $ 9,877 $ 9,404 $ 8,520 Total interest expense 553 552 540 513 473 Net interest income 9,438 9,378 9,337 8,891 8,047 Provision for credit losses 5 453 453 826 375 Net interest income after provision for credit losses 9,433 8,925 8,884 8,065 7,672 Total non-interest (loss) income (206 ) 1,291 930 1,322 (159 ) Total non-interest expense 5,816 6,282 6,164 5,605 5,565 Income before provision for taxes 3,411 3,934 3,650 3,782 1,948 Provision for taxes on income 968 564 1,039 1,077 537 Net income $ 2,443 $ 3,370 $ 2,611 $ 2,705 $ 1,411 United Security Bancshares Nonperforming Assets (unaudited) (dollars in thousands) March 31, 2022 December 31, 2021 RE construction & development $ 11,147 $ 11,226 Agricultural 183 212 Total nonaccrual loans $ 11,330 $ 11,438 Loans past due 90 days and still accruing — 453 Restructured loans 144 176 Total nonperforming loans $ 11,474 $ 12,067 Other real estate owned 4,582 4,582 Total nonperforming assets $ 16,056 $ 16,649 Nonperforming loans to total gross loans 1.31 % 1.39 % Nonperforming assets to total assets 1.19 % 1.25 % Allowance for credit losses to nonperforming loans 80.84 % 77.34 % United Security Bancshares Selected Financial Data (unaudited) (dollars in thousands, except per share amounts) Three Months Ended March 31, 2022 2021 Return on average assets 0.74 % 0.51 % Return on average equity 8.33 % 4.82 % Annualized net charge-off to average loans 0.03 % 0.21 % March 31, 2022 December 31, 2021 Shares outstanding - period end 17,034,407 17,028,239 Book value per share $6.67 $7.06 Efficiency ratio (1) 63.00 % 58.89 % Total impaired loans $11,942 $12,034 Net loan to deposit ratio 71.65 % 72.57 % Allowance for credit losses to total loans 1.06 % 1.07 % Tier 1 capital to adjusted average assets (leverage) Company 9.62 % 9.79 % Bank 9.55 % 9.64 % (1) Efficiency ratio is defined as total noninterest expense divided by net interest income before provision for credit losses plus total noninterest income. United Security Bancshares Net Income before Non-Core Reconciliation Non-GAAP Information (dollars in thousands) (unaudited) Three Months Ended March 31, 2022 2021 Change $ Change % Net income $ 2,443 $ 1,411 $ 1,032 73.1 % Junior subordinated debenture (1) fair value adjustment (999 ) (1,033 ) Income tax effect 290 300 Non-core items net of taxes (709 ) (733 ) Non-GAAP core net income $ 3,152 $ 2,144 $ 1,008 47.0 % (1) Junior subordinated debenture fair value adjustment is not part of Core Income and depending upon market rates, can “add to” or “subtract from” Core Income and mask Non-GAAP Core Income change. |
businesswire.com |
2022-04-20 20:53:00 |
Czytaj oryginał (ang.) |
| United Security Bancshares Declares Quarterly Cash Dividend |
FRESNO, Calif.--(BUSINESS WIRE)--On March 22, 2022, the Board of Directors of United Security Bancshares (the "Company")(NASDAQ: UBFO), the parent company of United Security Bank (the "Bank"), declared a regular quarterly cash dividend of $0.11 per share on the Company's common stock. The dividend is payable on April 18, 2022, to shareholders of record as of April 6, 2022. About United Security Bancshares United Security Bancshares (NASDAQ: UBFO) is the holding company for United Security Bank, which was founded in 1987. United Security Bank is headquartered in Fresno and operates 12 full-service branch offices in Fresno, Bakersfield, Campbell, Caruthers, Coalinga, Firebaugh, Mendota, Oakhurst, San Joaquin, and Taft. Additionally, United Security Bank operates Commercial Real Estate Construction, Commercial Lending, and Consumer Lending departments. For more information, please visit www.unitedsecuritybank.com. FORWARD-LOOKING STATEMENTS Certain statements made in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about events or results or otherwise are not statements of historical facts, such as statements about the Company's board or its structure. Although the Company believes that its expectations with respect to such forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from those expressed or implied by such forward-looking statements. For a more complete discussion of these risks and uncertainties, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and particularly the section entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Readers should carefully review all disclosures the Company files from time to time with the Securities and Exchange Commission. |
businesswire.com |
2022-03-24 19:30:00 |
Czytaj oryginał (ang.) |