OKLAHOMA CITY, April 20, 2017 /PRNewswire/ -- BancFirst Corporation (NASDAQ GS:BANF) reported net income of $22.1 million, or $1.36 diluted earnings per share, for the first quarter of 2017 compared to net income of $16.6 million, or $1.05 diluted earnings per share, for the first quarter of 2016.  Net income for the quarter included the effects of favorable resolutions of two problem loans which resulted in principal recovery of $894,000 and interest income of $2.3 million.

The Company's net interest income for the first quarter of 2017 increased to $54.8 million compared to $50.0 million for the first quarter of 2016. The net interest margin for the quarter was 3.39% compared to 3.25% a year ago. The increase in margin was primarily due to the previously mentioned interest of $2.3 million, which added 0.14% to the margin, and the increase in the federal funds rate.  The provision for loan losses for the first quarter of 2017 decreased to $72,000 compared to $4.1 million a year ago. The decrease in the provision was due in part to the resolution of the above-mentioned problem loans and an unusually high provision for a few commercial loans in the prior year.  Net charge-offs for the quarter were 0.02% of average loans, compared to 0.03% for the first quarter of 2016.  Noninterest income for the quarter totaled $28.1 million, compared to $25.6 million last year. Noninterest expense for the quarter totaled $49.6 million compared to $46.3 million last year. The increase in noninterest expense was due to salary increases in 2017 and $1.2 million in gains on the sale of other real estate owned that reduced expenses in 2016. The Company's effective tax rate was 33.6% compared to 34.2% for the first quarter of 2016. The decrease in the effective tax rate was due to a change in accounting standards related to stock based compensation. 

At March 31, 2017, the Company's total assets were $7.2 billion, an increase of $170.7 million from December 31, 2016. Securities of $463.3 million and loans of $4.4 billion were both down slightly from December 31, 2016.  Deposits totaled $6.4 billion, an increase of $146.6 million from December 31, 2016 total. The Company's total stockholders' equity was $729.9 million, an increase of $18.8 million over December 31, 2016.

Asset quality remained strong during the first quarter of 2017.  Nonperforming and restructured assets fell to 0.45% of total assets at March 31, 2017 compared to 0.56% at December 31, 2016. The decrease in nonperforming and restructured assets was largely due to the resolution of the aforementioned two problem loans during the quarter. The allowance to total loans was 1.09% compared to 1.10% at year-end 2016. The allowance to nonperforming and restructured loans was 171.6% compared to 137.3% at year-end 2016.

CEO David Rainbolt commented, "Our results this quarter provided great optics in absolute terms. However, even absent the favorable outcome in nonperforming loans, it was still a sound performance."

BancFirst Corporation is an Oklahoma based financial services holding company.  The Company's principal subsidiary bank, BancFirst, is Oklahoma's largest state-chartered bank with 100 banking locations serving 53 communities across Oklahoma. More information can be found at www.bancfirst.com.

The Company may make forward-looking statements within the meaning of Section 27A of the securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 with respect to earnings, credit quality, corporate objectives, interest rates and other financial and business matters.  Forward-looking statements include estimates and give management's current expectations or forecasts of future events.  The Company cautions readers that these forward-looking statements are subject to numerous assumptions, risks and uncertainties, including economic conditions, the performance of financial markets and interest rates; legislative and regulatory actions and reforms; competition; as well as other factors, all of which change over time.  Actual results may differ materially from forward-looking statements.

BancFirst Corporation

Summary Financial Information

(Dollars in thousands, except per share and share data - Unaudited)




2017


2016


2016


2016


2016



1st Qtr 


4th Qtr 


3rd Qtr 


2nd Qtr 


1st Qtr 


 Condensed Income Statements: 











 Net interest income 

$               54,768


$               51,553


$               51,431


$               50,868


$               49,976


 Provision for loan losses 

72


1,672


2,940


2,804


4,103


 Non-interest income:











Trust revenue

2,952


2,878


2,685


2,602


2,465


Service charges on deposits

15,778


16,005


16,033


15,485


14,710


Securities transactions

---


52


(146)


(65)


100


Income from sales of loans

632


705


863


695


562


Insurance commissions

4,563


3,797


4,372


3,255


4,135


Cash management

2,754


2,713


2,853


2,732


2,318


Other

1,406


1,281


1,267


1,353


1,327


Total noninterest income 

28,085


27,431


27,927


26,057


25,617













 Non-interest expense:











Salaries and employee benefits

30,654


29,706


30,591


30,008


29,357


Occupancy expense, net

2,974


3,198


3,217


3,071


2,827


Depreciation

2,420


2,461


2,556


2,567


2,530


Amortization of intangible assets

547


548


560


580


581


Data processing services

1,195


1,229


1,178


1,174


1,215


Net expense (income) from other real estate owned

50


197


162


35


(1,141)


Marketing and business promotion

2,215


1,978


1,779


1,624


1,855


Deposit insurance

588


569


641


855


839


Other

8,945


8,303


8,520


7,806


8,228


Total noninterest expense 

49,588


48,189


49,204


47,720


46,291


 Income before income taxes 

33,193


29,123


27,214


26,401


25,199


 Income tax expense 

11,143


10,503


9,232


8,908


8,620


 Net income 

$               22,050


$               18,620


$               17,982


$               17,493


$               16,579


 Per Common Share Data: 











 Net income-basic 

$                   1.39


$                   1.19


$                   1.15


$                   1.12


$                   1.07


 Net income-diluted 

1.36


1.16


1.13


1.10


1.05


 Cash dividends declared

0.38


0.38


0.38


0.36


0.36


 Common shares outstanding 

15,891,276


15,810,935


15,695,083


15,560,271


15,527,804


 Average common shares outstanding -











   Basic

15,864,807


15,743,770


15,631,094


15,549,811


15,534,416


   Diluted

16,237,998


16,046,061


15,922,209


15,842,485


15,816,371


 Performance Ratios: 











 Return on average assets

1.27

%

1.07

%

1.06

%

1.04

%

1.00

%

 Return on average equity

12.37


10.44


10.35


10.42


10.05


 Net interest margin 

3.39


3.19


3.27


3.28


3.25


 Efficiency ratio 

59.85


61.01


62.00


62.03


61.24



 

BancFirst Corporation

Summary Financial Information

(Dollars in thousands, except per share and share data - Unaudited)




2017


2016


2016


2016


2016



1st Qtr


4th Qtr 


3rd Qtr 


2nd Qtr 


1st Qtr


 Balance Sheet Data:






















 Total assets

$        7,189,637


$        7,018,952


$        6,783,537


$        6,683,376


$        6,740,938


 Interest-bearing deposits with banks

1,857,961


1,666,540


1,532,095


1,373,923


1,498,356


 Securities

463,250


469,833


473,738


419,238


497,986


 Total loans

4,398,529


4,409,550


4,317,512


4,337,063


4,282,738


 Allowance for loan losses

(47,921)


(48,693)


(48,061)


(46,566)


(44,571)


 Deposits

6,394,627


6,248,057


6,024,949


5,943,982


6,010,872


 Stockholders' equity

729,873


711,094


693,731


676,830


662,661


 Book value per common share

45.93


44.97


44.20


43.50


42.68


 Tangible book value per common share

41.72


40.71


39.87


39.09


38.22


 Balance Sheet Ratios:











 Average loans to deposits

70.13

%

70.98

%

71.77

%

71.74

%

71.28

%

 Average earning assets to total assets

93.45


93.30


93.16


93.05


92.88


 Average stockholders' equity to average assets

10.25


10.26


10.22


10.02


9.92


Asset Quality Data:











 Past due loans

$              2,024


$              1,962


$              1,906


$              2,695


$                1,099


 Nonaccrual loans

23,694


31,798


31,014


30,063


31,040


 Restructured loans

2,203


1,713


1,842


1,974


533


 Total nonperforming and restructured loans

27,921


35,473


34,762


34,732


32,672


 Other real estate owned and repossessed assets

4,404


3,866


4,339


4,469


4,245


 Total nonperforming and restructured assets

32,325


39,339


39,101


39,201


36,917


 Nonperforming and restructured loans to total loans

0.63

%

0.80

%

0.81

%

0.80

%

0.76

%

 Nonperforming and restructured assets to total assets

0.45


0.56


0.58


0.59


0.55


 Allowance to total loans

1.09


1.10


1.11


1.07


1.04


 Allowance to nonperforming and restructured loans

171.63


137.27


138.26


134.07


136.42


 Net charge-offs to average loans

0.02


0.02


0.03


0.02


0.03



 

BancFirst Corporation

Consolidated Average Balance Sheets

And Interest Margin Analysis

Taxable Equivalent Basis

(Dollars in thousands - Unaudited)









Three Months Ended









March 31, 2017









Average


Income/


 Yield/









Balance


Expense


 Rate


ASSETS













Earning assets:













   Loans







$        4,400,707


$           53,833


4.96

%

  Securities – taxable







435,196


1,761


1.64


  Securities – tax exempt







33,291


287


3.50


  Interest bearing deposits with banks







1,724,747


3,440


0.81


     Total earning assets







6,593,941


59,321


3.65















Nonearning assets:













  Cash and due from banks







173,329






  Interest receivable and other assets







337,123






  Allowance for loan losses







(48,453)






     Total nonearning assets







461,999






     Total assets







$        7,055,940



















LIABILITIES AND STOCKHOLDERS' EQUITY

























Interest-bearing liabilities:













  Transaction deposits                      







$           795,743


$       211


0.11

%

  Savings deposits







2,263,918


2,297


0.41


  Time deposits







685,575


1,217


0.72


  Short-term borrowings







1,870


3


0.62


  Junior subordinated debentures







31,959


527


6.69


     Total interest-bearing liabilities







3,779,065


4,255


0.46















Interest-free funds:













  Noninterest bearing deposits







2,259,883






  Interest payable and other liabilities







23,874






  Stockholders' equity







723,118






     Total interest free-funds







3,276,875






     Total liabilities and stockholders' equity







$        7,055,940






Net interest income









$           55,066




Net interest spread











3.19

%

Effect of interest free funds











0.20

%

Net interest margin











3.39

%

 

SOURCE BancFirst


Source: BancFirst