EX-99.1 2 abcb-ex99_1.htm EX-99.1

Exhibit 99.1

AMERIS BANCORP ANNOUNCES FINANCIAL RESULTS FOR THIRD QUARTER 2023

Highlights of Ameris's results for the third quarter of 2023 include the following:

- Net income of $80.1 million, or $1.16 per diluted share
- Return on average assets ("ROA") of 1.25%
- Pre-tax, pre-provision net revenue (PPNR) ROA(1) of 2.01%
- Growth in tangible book value(1) of $0.96 per share, or 12.2% annualized, to $32.38 at September 30, 2023
- Increase in the allowance for credit losses to 1.44% of loans, from 1.33% at June 30, 2023, due to forecasted economic conditions, particularly related to commercial real estate price levels
- Adjusted efficiency ratio(1) of 52.02%, compared with 53.41% in the second quarter of 2023
- Nonperforming portfolio assets, excluding government-guaranteed loans, as a percentage of total assets improved three basis points to 0.27% at September 30, 2023, compared with 0.30% at June 30, 2023
- Net interest margin of 3.54% for the third quarter of 2023
- Cyclical decline in loans of $270.7 million, with the loan to deposit ratio improving to 98%
- Growth in total deposits of $147.2 million, or 2.9% annualized
- TCE ratio(1) of 9.11%, compared with 8.80% at June 30, 2023 and 8.75% one year ago

ATLANTA, Oct. 26, 2023 /PRNewswire/ -- Ameris Bancorp (Nasdaq: ABCB) (the "Company") today reported net income of $80.1 million, or $1.16 per diluted share, for the quarter ended September 30, 2023, compared with $92.6 million, or $1.34 per diluted share, for the quarter ended September 30, 2022.

For the year-to-date period ending September 30, 2023, the Company reported net income of $203.2 million, or $2.94 per diluted share, compared with $264.3 million, or $3.81 per diluted share, for the same period in 2022. The year-to-date period ending September 30, 2023 included a provision for credit losses of $119.7 million, compared with $38.8 million for the same period in 2022. The year-to-date period ending September 30, 2022 included a recovery of servicing right impairment of $21.8 million, with no such recovery in the same period in 2023.

Commenting on the Company's results, Palmer Proctor, the Company's Chief Executive Officer, said, "We are proud of another strong quarter, highlighted by core fundamentals and capital growth, which will continue to serve us well as we move into 2024. The profitability of our Company remains solid with an ROA of 1.25%, PPNR ROA of over 2%, net interest margin of 3.54% and efficiency ratio of just over 52%. We grew core deposits, tangible book value and improved our allowance for loan loss coverage ratio, all of which strengthened our balance sheet during the quarter. All of these things, combined with our focus on controlled growth, position us well for the remainder of 2023 and moving into 2024."

Net Interest Income and Net Interest Margin
Net interest income on a tax-equivalent basis (TE) was $208.7 million in the third quarter of 2023, a decrease of $1.8 million, or 0.8%, from last quarter and $5.2 million, or 2.4%, compared with the third quarter of 2022. The Company's net interest margin was 3.54% for the third quarter of 2023, down from 3.60% reported for the second quarter of 2023 and 3.97% reported for the third quarter of 2022. The decrease in net interest margin this quarter is primarily attributable to rising deposit costs in the current interest rate environment.

Yields on earning assets increased ten basis points during the quarter to 5.62%, compared with 5.52% in the second quarter of 2023, and increased 125 basis points from 4.37% in the third quarter of 2022. Yields on loans increased to 5.81% during the third quarter of 2023, compared with 5.66% for the second quarter of 2023 and 4.62% for the third quarter of 2022.

Loan production in the banking division during the third quarter of 2023 was $621.0 million, with weighted average yields of 9.49%, compared with $544.3 million and 9.35%, respectively, in the second quarter of 2023 and $1.12 billion and 6.26%, respectively, in the third quarter of 2022. Loan production in the lines of business (including retail mortgage, warehouse lending, SBA and premium finance) amounted to an additional $4.2 billion during the third quarter of 2023, with weighted average yields of 7.28%, compared with $4.7 billion and 6.83%, respectively, during the second quarter of 2023 and $4.6 billion and 5.29%, respectively, during the third quarter of 2022.

The Company's total cost of funds was 2.24% in the third quarter of 2023, an increase of 19 basis points compared with the second quarter of 2023. Deposit costs increased 24 basis points during the third quarter of 2023 to 2.00%, compared with 1.76% in the second quarter of 2023. Costs of interest-bearing deposits increased during the quarter from 2.64% in the second quarter of 2023 to 2.97% in the third quarter of 2023, reflecting a shift in mix to CDs and money market accounts in the rising rate environment.

Noninterest Income
Noninterest income decreased $4.2 million, or 6.2%, in the third quarter of 2023 to $63.2 million, compared with $67.3 million for the second quarter of 2023, primarily as a result of decreased mortgage banking activity, which decreased by $4.5 million, or 10.9%, to $36.3 million in the third quarter of 2023, compared with $40.7 million for the second quarter of 2023. Gain on sale spreads decreased slightly to 2.15% in the third quarter of 2023 from 2.18% for the second quarter of 2023. Total production in the retail mortgage division decreased $157.2 million, or 11.8%, to $1.18 billion in the third quarter of 2023, compared with $1.33 billion for the second quarter of 2023. The retail mortgage open pipeline was $623.9 million at the end of the third quarter of 2023, compared with $652.1 million for the second quarter of 2023. Other noninterest income decreased $749,000, or 5.2%, to $13.6 million in the third quarter of 2023, compared with $14.3 million for the second quarter of 2023, primarily resulting from a decrease in gain on debt redemption of $905,000.

Noninterest Expense
Noninterest expense decreased $7.0 million, or 4.7%, to $141.4 million during the third quarter of 2023, compared with $148.4 million for the second quarter of 2023. The decrease in noninterest expense was driven by a decrease in problem loan expense of $2.2 million, a $1.0 million decrease in FDIC insurance costs, a $1.4 million decrease in legal and professional fees, a $1.1 million decrease in fraud/forgery and litigation resolution expenses and a decrease in variable compensation related to mortgage production of $965,000. Management continues to focus on operating efficiency, and the adjusted efficiency ratio(1) decreased to 52.02% in the third quarter of 2023, compared with 53.41% in the second quarter of 2023.

Income Tax Expense
The Company's effective tax rate for the third quarter of 2023 was 23.7%, compared with 24.5% for the second quarter of 2023. The decreased rate for the third quarter of 2023 was primarily a result of decreased permanent differences related to nondeductible compensation and FDIC insurance premiums, compared with the second quarter of 2023.

Balance Sheet Trends
Total assets at September 30, 2023 were $25.70 billion, compared with $25.05 billion at December 31, 2022. Cash and cash equivalents increased 38.2% to $1.55 billion at September 30, 2023, compared with $1.12 billion at December 31, 2022. Debt securities available-for-sale decreased to $1.42 billion, compared with $1.50 billion at December 31, 2022. Loans, net of unearned income, increased $345.8 million, or 2.3% annualized, to $20.20 billion at September 30, 2023, compared with $19.86 billion at December 31, 2022. Loans held for sale decreased slightly to $381.5 million at September 30, 2023 from $392.1 million at December 31, 2022.

Investment securities decreased to $1.57 billion, or 6.6% of earning assets at the end of the third quarter of 2023, compared with $1.63 billion, or 7.2% of earning assets at December 31, 2022. The Company did not deploy excess liquidity into the securities portfolio until after rates began rising during 2022; as a result, the unrealized loss position in the Company's available-for-sale securities portfolio remains modest at just 5.2% of the portfolio.

At September 30, 2023, total deposits amounted to $20.59 billion, compared with $19.46 billion at December 31, 2022. During the third quarter of 2023, deposits grew $147.2 million, with money market and savings accounts increasing $359.6 million and retail CDs increasing $156.8 million, with such increases offset in part by a $117.3 million decrease in noninterest bearing accounts and a $252.9 million decrease in interest bearing demand accounts. Due to the increased interest rate environment, the Company continued to see the shift of customer deposits from noninterest bearing accounts into interest bearing accounts, such that at September 30, 2023, noninterest bearing deposit accounts represented $6.59 billion, or 32.0% of total deposits, compared with $7.93 billion, or 40.7% of total deposits, at December 31, 2022.

During the third quarter of 2023, utilizing existing liquidity, the Company reduced borrowings with the FHLB by $325.0 million and redeemed, at a discount, $2.5 million in principal amount of its 4.25% Fixed-to-Floating Rate Subordinated Notes Due 2029.

Shareholders' equity at September 30, 2023 totaled $3.35 billion, an increase of $149.7 million, or 4.7%, from December 31, 2022. The increase in shareholders' equity was primarily the result of earnings of $203.2 million during the first nine months of 2023, partially offset by dividends declared, share repurchases and an increase in other comprehensive loss of $14.3 million resulting from changes in interest rates on the Company's investment portfolio. Tangible book value per share(1) increased $2.46 per share, or 11.0% annualized, during the first nine months of 2023 to $32.38 at September 30, 2023. The Company recorded dilution of $0.21 per share, or 0.7%, to tangible book value(1) from other comprehensive loss related to the increase in net unrealized losses on the securities portfolio during this same period. Tangible common equity as a percentage of tangible assets was 9.11% at September 30, 2023, compared with 8.67% at the end of 2022.

Credit Quality
Credit quality remains strong in the Company. During the third quarter of 2023, the Company recorded a provision for credit losses of $24.5 million, compared with a provision of $45.5 million in the second quarter of 2023. The third quarter provision was primarily attributable to the updated economic forecast, partially offset by a decline in loans of $270.7 million during the quarter. Nonperforming assets as a percentage of total assets were up one basis point to 0.58% during the quarter. Approximately $80.8 million, or 53.9%, of the nonperforming assets at September 30, 2023 were GNMA-guaranteed mortgage loans, which have minimal loss exposure. Excluding these government-guaranteed loans, nonperforming assets as a percentage of total assets improved three basis points to 0.27% at September 30, 2023, compared with 0.30% at the second quarter of 2023. The net charge-off ratio was 23 basis points for the third quarter of 2023, compared with 28 basis points in the second quarter of 2023.

Share Repurchase Program
The Company's board of directors, on October 26, 2023, authorized the Company to repurchase up to $100.0 million of its outstanding common stock. Repurchases of shares, which are authorized to occur through October 31, 2024, will be made, if at all, in accordance with applicable securities laws and may be made from time to time in the open market or by negotiated transactions. The amount and timing of repurchases will be based on a variety of factors, including share acquisition price, regulatory limitations and other market and economic factors. The program does not require the Company to repurchase any specific number of shares. The board's authorization is a continuation of and increase in the Company's previously announced share repurchase program which was set to expire on October 31 and under which the Company has repurchased $13.5 million of its outstanding common stock in the past 12 months.

Conference Call
The Company will host a teleconference at 9:00 a.m. Eastern time on Friday, October 27, 2023, to discuss the Company's results and answer appropriate questions. The conference call can be accessed by dialing 1-877-317-6789. The conference call ID is Ameris Bancorp. A replay of the call will be available one hour after the end of the conference call until November 10, 2023. To listen to the replay, dial 1-877-344-7529. The conference replay access code is 1921240. The financial information discussed will also be available on the Investor Relations page of the Ameris Bank website at ir.amerisbank.com.

About Ameris Bancorp
Ameris Bancorp is a bank holding company headquartered in Atlanta, Georgia. The Company's banking subsidiary, Ameris Bank, had 164 locations in Georgia, Alabama, Florida, North Carolina and South Carolina at the end of the most recent quarter.

(1) Considered non-GAAP financial measure - See reconciliation of GAAP to non-GAAP financial measures in tables 9A - 9E.

This news release contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The Company's management uses these non-GAAP financial measures in its analysis of the Company's performance. These measures are useful when evaluating the underlying performance and efficiency of the Company's operations and balance sheet. The Company's management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company's management believes that investors may use these non-GAAP financial measures to evaluate the Company's financial performance without the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies.

This news release contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals. Words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan," "estimate," "predict," "continue" and "potential" or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward-looking statements. The forward-looking statements in this news release are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward-looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements, including, without limitation, the following: general competitive, economic, unemployment, political and market conditions and fluctuations, including real estate market conditions, and the effects of such conditions and fluctuations on the creditworthiness of borrowers, collateral values, asset recovery values and the value of investment securities; movements in interest rates and their impacts on net interest margin, investment security valuations and other performance measures; expectations on credit quality and performance; legislative and regulatory changes; changes in U.S. government monetary and fiscal policy; competitive pressures on product pricing and services; the cost savings and any revenue synergies expected to result from acquisition transactions, which may not be fully realized within the expected timeframes if at all; the success and timing of other business strategies; our outlook and long-term goals for future growth; and natural disasters, geopolitical events, acts of war or terrorism or other hostilities, public health crises and other catastrophic events beyond our control. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2022 and the Company's subsequently filed periodic reports and other filings. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements.

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Financial Highlights | Table 1
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
EARNINGS |  |  |  |  |  |  |  |  |  |  |  |  |
Net income | $ 80,115 |  | $ 62,635 |  | $ 60,421 |  | $ 82,221 |  | $ 92,555 |  | $ 203,171 |  | $ 264,319
Adjusted net income(1) | $ 80,115 |  | $ 62,635 |  | $ 59,935 |  | $ 81,086 |  | $ 91,817 |  | $ 202,685 |  | $ 248,329
COMMON SHARE DATA |  |  |  |  |  |  |  |  |  |  |  |  |
Earnings per share available to common shareholders |  |  |  |  |  |  |  |  |  |  |  |  |
Basic | $ 1.16 |  | $ 0.91 |  | $ 0.87 |  | $ 1.19 |  | $ 1.34 |  | $ 2.94 |  | $ 3.82
Diluted | $ 1.16 |  | $ 0.91 |  | $ 0.87 |  | $ 1.18 |  | $ 1.34 |  | $ 2.94 |  | $ 3.81
Adjusted diluted EPS(1) | $ 1.16 |  | $ 0.91 |  | $ 0.86 |  | $ 1.17 |  | $ 1.32 |  | $ 2.93 |  | $ 3.58
Cash dividends per share | $ 0.15 |  | $ 0.15 |  | $ 0.15 |  | $ 0.15 |  | $ 0.15 |  | $ 0.45 |  | $ 0.45
Book value per share (period end) | $ 48.41 |  | $ 47.51 |  | $ 46.89 |  | $ 46.09 |  | $ 44.97 |  | $ 48.41 |  | $ 44.97
Tangible book value per share (period end)(1) | $ 32.38 |  | $ 31.42 |  | $ 30.79 |  | $ 29.92 |  | $ 28.62 |  | $ 32.38 |  | $ 28.62
Weighted average number of shares |  |  |  |  |  |  |  |  |  |  |  |  |
Basic | 68,879,352 |  | 68,989,549 |  | 69,171,562 |  | 69,138,431 |  | 69,124,855 |  | 69,023,201 |  | 69,213,012
Diluted | 68,994,247 |  | 69,034,763 |  | 69,322,664 |  | 69,395,224 |  | 69,327,414 |  | 69,129,921 |  | 69,427,522
Period end number of shares | 69,138,461 |  | 69,139,783 |  | 69,373,863 |  | 69,369,050 |  | 69,352,709 |  | 69,138,461 |  | 69,352,709
Market data |  |  |  |  |  |  |  |  |  |  |  |  |
High intraday price | $ 45.34 |  | $ 37.18 |  | $ 50.54 |  | $ 54.24 |  | $ 50.94 |  | $ 50.54 |  | $ 55.62
Low intraday price | $ 33.21 |  | $ 28.33 |  | $ 34.28 |  | $ 44.61 |  | $ 38.22 |  | $ 28.33 |  | $ 38.22
Period end closing price | $ 38.39 |  | $ 34.21 |  | $ 36.58 |  | $ 47.14 |  | $ 44.71 |  | $ 38.39 |  | $ 44.71
Average daily volume | $ 361,167 |  | $ 475,198 |  | $ 452,242 |  | $ 340,890 |  | $ 346,522 |  | $ 429,170 |  | 420,703
PERFORMANCE RATIOS |  |  |  |  |  |  |  |  |  |  |  |  |
Return on average assets | 1.25 % |  | 0.98 % |  | 0.98 % |  | 1.34 % |  | 1.56 % |  | 1.07 % |  | 1.51 %
Adjusted return on average assets(1) | 1.25 % |  | 0.98 % |  | 0.97 % |  | 1.32 % |  | 1.54 % |  | 1.07 % |  | 1.42 %
Return on average common equity | 9.56 % |  | 7.63 % |  | 7.54 % |  | 10.30 % |  | 11.76 % |  | 8.26 % |  | 11.57 %
Adjusted return on average tangible common equity(1) | 14.35 % |  | 11.53 % |  | 11.41 % |  | 15.78 % |  | 18.33 % |  | 12.46 % |  | 17.33 %
Earning asset yield (TE) | 5.62 % |  | 5.52 % |  | 5.25 % |  | 4.91 % |  | 4.37 % |  | 5.46 % |  | 3.94 %
Total cost of funds | 2.24 % |  | 2.05 % |  | 1.59 % |  | 0.94 % |  | 0.42 % |  | 1.96 % |  | 0.29 %
Net interest margin (TE) | 3.54 % |  | 3.60 % |  | 3.76 % |  | 4.03 % |  | 3.97 % |  | 3.63 % |  | 3.67 %
Efficiency ratio | 52.21 % |  | 53.60 % |  | 52.08 % |  | 49.57 % |  | 50.15 % |  | 52.64 % |  | 52.35 %
Adjusted efficiency ratio (TE)(1) | 52.02 % |  | 53.41 % |  | 51.99 % |  | 49.61 % |  | 50.12 % |  | 52.49 % |  | 53.46 %
CAPITAL ADEQUACY (period end) |  |  |  |  |  |  |  |  |  |  |  |  |
Shareholders' equity to assets | 13.02 % |  | 12.73 % |  | 12.47 % |  | 12.76 % |  | 13.10 % |  | 13.02 % |  | 13.10 %
Tangible common equity to tangible assets(1) | 9.11 % |  | 8.80 % |  | 8.55 % |  | 8.67 % |  | 8.75 % |  | 9.11 % |  | 8.75 %
OTHER DATA (period end) |  |  |  |  |  |  |  |  |  |  |  |  |
Full time equivalent employees |  |  |  |  |  |  |  |  |  |  |  |  |
Banking Division | 2,049 |  | 2,069 |  | 2,093 |  | 2,079 |  | 2,071 |  | 2,049 |  | 2,071
Retail Mortgage Division | 601 |  | 613 |  | 630 |  | 633 |  | 671 |  | 601 |  | 671
Warehouse Lending Division | 8 |  | 8 |  | 8 |  | 8 |  | 9 |  | 8 |  | 9
SBA Division | 33 |  | 35 |  | 39 |  | 39 |  | 40 |  | 33 |  | 40
Premium Finance Division | 78 |  | 76 |  | 78 |  | 76 |  | 77 |  | 78 |  | 77
Total Ameris Bancorp FTE headcount | 2,769 |  | 2,801 |  | 2,848 |  | 2,835 |  | 2,868 |  | 2,769 |  | 2,868
Branch locations | 164 |  | 164 |  | 164 |  | 164 |  | 164 |  | 164 |  | 164
Deposits per branch location | $ 125,551 |  | $ 124,653 |  | $ 121,326 |  | $ 118,675 |  | $ 118,701 |  | $ 125,551 |  | $ 118,701
(1)Considered non-GAAP financial measure - See reconciliation of GAAP to non-GAAP financial measures in tables 9A - 9E

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Income Statement | Table 2
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Interest income |  |  |  |  |  |  |  |  |  |  |  |  |
Interest and fees on loans | $ 304,699 |  | $ 292,012 |  | $ 271,964 |  | $ 250,263 |  | $ 216,400 |  | $ 868,675 |  | $ 584,706
Interest on taxable securities | 14,754 |  | 15,915 |  | 14,300 |  | 13,029 |  | 10,324 |  | 44,969 |  | 21,627
Interest on nontaxable securities | 331 |  | 339 |  | 339 |  | 358 |  | 363 |  | 1,009 |  | 818
Interest on deposits in other banks | 10,769 |  | 13,686 |  | 9,113 |  | 9,984 |  | 7,188 |  | 33,568 |  | 13,024
Interest on federal funds sold | — |  | — |  | — |  | 8 |  | 27 |  | — |  | 69
Total interest income | 330,553 |  | 321,952 |  | 295,716 |  | 273,642 |  | 234,302 |  | 948,221 |  | 620,244
Interest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Interest on deposits | 102,999 |  | 88,087 |  | 53,182 |  | 33,071 |  | 14,034 |  | 244,268 |  | 23,034
Interest on other borrowings | 19,803 |  | 24,325 |  | 30,882 |  | 16,434 |  | 7,287 |  | 75,010 |  | 20,321
Total interest expense | 122,802 |  | 112,412 |  | 84,064 |  | 49,505 |  | 21,321 |  | 319,278 |  | 43,355
Net interest income | 207,751 |  | 209,540 |  | 211,652 |  | 224,137 |  | 212,981 |  | 628,943 |  | 576,889
Provision for loan losses | 30,095 |  | 43,643 |  | 49,376 |  | 24,648 |  | 17,469 |  | 123,114 |  | 27,962
Provision for unfunded commitments | (5,634) |  | 1,873 |  | 346 |  | 8,246 |  | 192 |  | (3,415) |  | 10,980
Provision for other credit losses | (2) |  | — |  | 7 |  | (4) |  | (9) |  | 5 |  | (135)
Provision for credit losses | 24,459 |  | 45,516 |  | 49,729 |  | 32,890 |  | 17,652 |  | 119,704 |  | 38,807
Net interest income after provision for credit losses | 183,292 |  | 164,024 |  | 161,923 |  | 191,247 |  | 195,329 |  | 509,239 |  | 538,082
Noninterest income |  |  |  |  |  |  |  |  |  |  |  |  |
Service charges on deposit accounts | 12,092 |  | 11,295 |  | 10,936 |  | 11,125 |  | 11,168 |  | 34,323 |  | 33,374
Mortgage banking activity | 36,290 |  | 40,742 |  | 31,392 |  | 22,855 |  | 40,350 |  | 108,424 |  | 162,049
Other service charges, commissions and fees | 1,221 |  | 975 |  | 971 |  | 968 |  | 970 |  | 3,167 |  | 2,907
Gain (loss) on securities | (16) |  | (6) |  | 6 |  | 3 |  | (21) |  | (16) |  | 200
Other noninterest income | 13,594 |  | 14,343 |  | 12,745 |  | 13,397 |  | 12,857 |  | 40,682 |  | 37,546
Total noninterest income | 63,181 |  | 67,349 |  | 56,050 |  | 48,348 |  | 65,324 |  | 186,580 |  | 236,076
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 81,898 |  | 81,336 |  | 80,910 |  | 75,196 |  | 78,697 |  | 244,144 |  | 244,523
Occupancy and equipment | 12,745 |  | 12,522 |  | 12,986 |  | 12,905 |  | 12,983 |  | 38,253 |  | 38,456
Data processing and communications expenses | 12,973 |  | 13,451 |  | 13,034 |  | 12,486 |  | 12,015 |  | 39,458 |  | 36,742
Credit resolution-related expenses(1) | (1,360) |  | 848 |  | 435 |  | 372 |  | 126 |  | (77) |  | (343)
Advertising and marketing | 2,723 |  | 2,627 |  | 3,532 |  | 3,818 |  | 3,553 |  | 8,882 |  | 8,663
Amortization of intangible assets | 4,425 |  | 4,688 |  | 4,706 |  | 4,709 |  | 4,710 |  | 13,819 |  | 15,035
Merger and conversion charges | — |  | — |  | — |  | 235 |  | — |  | — |  | 977
Other noninterest expenses | 28,042 |  | 32,931 |  | 23,818 |  | 25,340 |  | 27,494 |  | 84,791 |  | 81,541
Total noninterest expense | 141,446 |  | 148,403 |  | 139,421 |  | 135,061 |  | 139,578 |  | 429,270 |  | 425,594
Income before income tax expense | 105,027 |  | 82,970 |  | 78,552 |  | 104,534 |  | 121,075 |  | 266,549 |  | 348,564
Income tax expense | 24,912 |  | 20,335 |  | 18,131 |  | 22,313 |  | 28,520 |  | 63,378 |  | 84,245
Net income | $ 80,115 |  | $ 62,635 |  | $ 60,421 |  | $ 82,221 |  | $ 92,555 |  | $ 203,171 |  | $ 264,319
Diluted earnings per common share | $ 1.16 |  | $ 0.91 |  | $ 0.87 |  | $ 1.18 |  | $ 1.34 |  | $ 2.94 |  | $ 3.81
(1) Includes expenses associated with problem loans and OREO, as well as OREO losses and writedowns. |  |  |  |

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Period End Balance Sheet | Table 3
| Sep |  | Jun |  | Mar |  | Dec |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022
Assets |  |  |  |  |  |  |  |  |
Cash and due from banks | $ 241,137 |  | $ 284,552 |  | $ 266,400 |  | $ 284,567 |  | $ 269,193
Federal funds sold and interest-bearing deposits in banks | 1,304,636 |  | 1,034,578 |  | 1,754,453 |  | 833,565 |  | 1,061,975
Debt securities available-for-sale, at fair value | 1,424,081 |  | 1,460,356 |  | 1,496,836 |  | 1,500,060 |  | 1,255,149
Debt securities held-to-maturity, at amortized cost | 141,859 |  | 142,513 |  | 134,175 |  | 134,864 |  | 130,214
Other investments | 104,957 |  | 109,656 |  | 146,715 |  | 110,992 |  | 60,560
Loans held for sale | 381,466 |  | 391,472 |  | 395,096 |  | 392,078 |  | 297,987
Loans, net of unearned income | 20,201,079 |  | 20,471,759 |  | 19,997,871 |  | 19,855,253 |  | 18,806,856
Allowance for credit losses | (290,104) |  | (272,071) |  | (242,658) |  | (205,677) |  | (184,891)
Loans, net | 19,910,975 |  | 20,199,688 |  | 19,755,213 |  | 19,649,576 |  | 18,621,965
Other real estate owned | 3,397 |  | 6,170 |  | 1,502 |  | 843 |  | 843
Premises and equipment, net | 217,564 |  | 218,662 |  | 218,878 |  | 220,283 |  | 222,694
Goodwill | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,023,071
Other intangible assets, net | 92,375 |  | 96,800 |  | 101,488 |  | 106,194 |  | 110,903
Cash value of bank owned life insurance | 393,769 |  | 391,483 |  | 389,201 |  | 388,405 |  | 386,533
Other assets | 465,968 |  | 449,042 |  | 412,781 |  | 416,213 |  | 372,570
Total assets | $ 25,697,830 |  | $ 25,800,618 |  | $ 26,088,384 |  | $ 25,053,286 |  | $ 23,813,657
Liabilities |  |  |  |  |  |  |  |  |
Deposits |  |  |  |  |  |  |  |  |
Noninterest-bearing | $ 6,589,610 |  | $ 6,706,897 |  | $ 7,297,893 |  | $ 7,929,579 |  | $ 8,343,200
Interest-bearing | 14,000,735 |  | 13,736,228 |  | 12,599,562 |  | 11,533,159 |  | 11,123,719
Total deposits | 20,590,345 |  | 20,443,125 |  | 19,897,455 |  | 19,462,738 |  | 19,466,919
Other borrowings | 1,209,553 |  | 1,536,989 |  | 2,401,327 |  | 1,875,736 |  | 725,664
Subordinated deferrable interest debentures | 129,817 |  | 129,319 |  | 128,820 |  | 128,322 |  | 127,823
Other liabilities | 421,046 |  | 406,555 |  | 407,587 |  | 389,090 |  | 374,181
Total liabilities | 22,350,761 |  | 22,515,988 |  | 22,835,189 |  | 21,855,886 |  | 20,694,587
Shareholders' Equity |  |  |  |  |  |  |  |  |
Preferred stock | — |  | — |  | — |  | — |  | —
Common stock | 72,514 |  | 72,515 |  | 72,484 |  | 72,264 |  | 72,247
Capital stock | 1,942,852 |  | 1,939,865 |  | 1,937,664 |  | 1,935,211 |  | 1,932,906
Retained earnings | 1,484,424 |  | 1,414,742 |  | 1,362,512 |  | 1,311,258 |  | 1,239,477
Accumulated other comprehensive income (loss), net of tax | (60,818) |  | (50,618) |  | (35,581) |  | (46,507) |  | (50,734)
Treasury stock | (91,903) |  | (91,874) |  | (83,884) |  | (74,826) |  | (74,826)
Total shareholders' equity | 3,347,069 |  | 3,284,630 |  | 3,253,195 |  | 3,197,400 |  | 3,119,070
Total liabilities and shareholders' equity | $ 25,697,830 |  | $ 25,800,618 |  | $ 26,088,384 |  | $ 25,053,286 |  | $ 23,813,657
Other Data |  |  |  |  |  |  |  |  |
Earning assets | $ 23,558,078 |  | $ 23,610,334 |  | $ 23,925,146 |  | $ 22,826,812 |  | $ 21,612,741
Intangible assets | 1,108,021 |  | 1,112,446 |  | 1,117,134 |  | 1,121,840 |  | 1,133,974
Interest-bearing liabilities | 15,340,105 |  | 15,402,536 |  | 15,129,709 |  | 13,537,217 |  | 11,977,206
Average assets | 25,525,913 |  | 25,631,846 |  | 25,115,927 |  | 24,354,979 |  | 23,598,465
Average common shareholders' equity | 3,324,960 |  | 3,293,049 |  | 3,250,289 |  | 3,168,320 |  | 3,123,718

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Asset Quality Information | Table 4
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Allowance for Credit Losses |  |  |  |  |  |  |  |  |  |  |  |  |
Balance at beginning of period | $ 326,783 |  | $ 295,497 |  | $ 258,163 |  | $ 229,135 |  | $ 216,703 |  | $ 258,163 |  | $ 200,981
Adoption of ASU 2022-02 | — |  | — |  | (1,711) |  | — |  | — |  | (1,711) |  | —
Provision for loan losses | 30,095 |  | 43,643 |  | 49,376 |  | 24,648 |  | 17,469 |  | 123,114 |  | 27,962
Provision for unfunded commitments | (5,634) |  | 1,873 |  | 346 |  | 8,246 |  | 192 |  | (3,415) |  | 10,980
Provision for other credit losses | (2) |  | — |  | 7 |  | (4) |  | (9) |  | 5 |  | (135)
Provision for credit losses | 24,459 |  | 45,516 |  | 49,729 |  | 32,890 |  | 17,652 |  | 119,704 |  | 38,807
Charge-offs | 19,488 |  | 20,670 |  | 14,956 |  | 8,371 |  | 9,272 |  | 55,114 |  | 24,704
Recoveries | 7,426 |  | 6,440 |  | 4,272 |  | 4,509 |  | 4,052 |  | 18,138 |  | 14,051
Net charge-offs (recoveries) | 12,062 |  | 14,230 |  | 10,684 |  | 3,862 |  | 5,220 |  | 36,976 |  | 10,653
Ending balance | $ 339,180 |  | $ 326,783 |  | $ 295,497 |  | $ 258,163 |  | $ 229,135 |  | $ 339,180 |  | $ 229,135
Allowance for loan losses | $ 290,104 |  | $ 272,071 |  | $ 242,658 |  | $ 205,677 |  | $ 184,891 |  | $ 290,104 |  | $ 184,891
Allowance for unfunded commitments | 48,996 |  | 54,630 |  | 52,757 |  | 52,411 |  | 44,165 |  | 48,996 |  | 44,165
Allowance for other credit losses | 80 |  | 82 |  | 82 |  | 75 |  | 79 |  | 80 |  | 79
Total allowance for credit losses | $ 339,180 |  | $ 326,783 |  | $ 295,497 |  | $ 258,163 |  | $ 229,135 |  | $ 339,180 |  | $ 229,135
Net Charge-off Information |  |  |  |  |  |  |  |  |  |  |  |  |
Charge-offs |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial and agricultural | $ 16,519 |  | $ 13,316 |  | $ 12,233 |  | $ 5,108 |  | $ 4,722 |  | $ 42,068 |  | $ 13,527
Consumer | 948 |  | 2,052 |  | 1,140 |  | 1,136 |  | 1,228 |  | 4,140 |  | 3,790
Indirect automobile | 36 |  | 65 |  | 34 |  | 86 |  | 50 |  | 135 |  | 179
Premium Finance | 1,951 |  | 1,848 |  | 1,421 |  | 1,812 |  | 1,205 |  | 5,220 |  | 3,640
Real estate - construction and development | — |  | — |  | — |  | 27 |  | — |  | — |  | —
Real estate - commercial and farmland | — |  | 3,320 |  | — |  | 196 |  | 2,014 |  | 3,320 |  | 3,378
Real estate - residential | 34 |  | 69 |  | 128 |  | 6 |  | 53 |  | 231 |  | 190
Total charge-offs | 19,488 |  | 20,670 |  | 14,956 |  | 8,371 |  | 9,272 |  | 55,114 |  | 24,704
Recoveries |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial, financial and agricultural | 4,745 |  | 3,545 |  | 2,043 |  | 2,072 |  | 2,201 |  | 10,333 |  | 7,882
Consumer | 203 |  | 194 |  | 297 |  | 217 |  | 277 |  | 694 |  | 665
Indirect automobile | 158 |  | 225 |  | 216 |  | 229 |  | 276 |  | 599 |  | 816
Premium Finance | 1,639 |  | 1,680 |  | 1,382 |  | 1,682 |  | 1,023 |  | 4,701 |  | 3,383
Real estate - construction and development | 74 |  | 472 |  | 100 |  | 223 |  | 96 |  | 646 |  | 669
Real estate - commercial and farmland | 371 |  | 61 |  | 44 |  | 48 |  | 96 |  | 476 |  | 177
Real estate - residential | 236 |  | 263 |  | 190 |  | 38 |  | 83 |  | 689 |  | 459
Total recoveries | 7,426 |  | 6,440 |  | 4,272 |  | 4,509 |  | 4,052 |  | 18,138 |  | 14,051
Net charge-offs (recoveries) | $ 12,062 |  | $ 14,230 |  | $ 10,684 |  | $ 3,862 |  | $ 5,220 |  | $ 36,976 |  | $ 10,653
Non-Performing Assets |  |  |  |  |  |  |  |  |  |  |  |  |
Nonaccrual portfolio loans | $ 53,806 |  | $ 57,025 |  | $ 68,028 |  | $ 65,221 |  | $ 64,055 |  | $ 53,806 |  | $ 64,055
Other real estate owned | 3,397 |  | 6,170 |  | 1,502 |  | 843 |  | 843 |  | 3,397 |  | 843
Repossessed assets | 22 |  | 9 |  | 25 |  | 28 |  | 60 |  | 22 |  | 60
Accruing loans delinquent 90 days or more | 11,891 |  | 13,424 |  | 15,792 |  | 17,865 |  | 12,378 |  | 11,891 |  | 12,378
Non-performing portfolio assets | $ 69,116 |  | $ 76,628 |  | $ 85,347 |  | $ 83,957 |  | $ 77,336 |  | $ 69,116 |  | $ 77,336
Serviced GNMA-guaranteed mortgage nonaccrual loans | 80,752 |  | 69,655 |  | 74,999 |  | 69,587 |  | 54,621 |  | 80,752 |  | 54,621
Total non-performing assets | $ 149,868 |  | $ 146,283 |  | $ 160,346 |  | $ 153,544 |  | $ 131,957 |  | $ 149,868 |  | $ 131,957
Asset Quality Ratios |  |  |  |  |  |  |  |  |  |  |  |  |
Non-performing portfolio assets as a percent of total assets | 0.27 % |  | 0.30 % |  | 0.33 % |  | 0.34 % |  | 0.32 % |  | 0.27 % |  | 0.32 %
Total non-performing assets as a percent of total assets | 0.58 % |  | 0.57 % |  | 0.61 % |  | 0.61 % |  | 0.55 % |  | 0.58 % |  | 0.55 %
Net charge-offs as a percent of average loans (annualized) | 0.23 % |  | 0.28 % |  | 0.22 % |  | 0.08 % |  | 0.11 % |  | 0.25 % |  | 0.08 %

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Loan Information | Table 5
| Sep |  | Jun |  | Mar |  | Dec |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022
Loans by Type |  |  |  |  |  |  |  |  |
Commercial, financial and agricultural | $ 2,632,836 |  | $ 2,718,831 |  | $ 2,722,180 |  | $ 2,679,403 |  | $ 2,245,287
Consumer | 259,797 |  | 307,486 |  | 349,775 |  | 384,037 |  | 162,345
Indirect automobile | 47,108 |  | 63,231 |  | 83,466 |  | 108,648 |  | 137,183
Mortgage warehouse | 852,823 |  | 1,147,413 |  | 958,418 |  | 1,038,924 |  | 980,342
Municipal | 497,093 |  | 510,410 |  | 505,515 |  | 509,151 |  | 516,797
Premium Finance | 1,007,334 |  | 988,731 |  | 947,257 |  | 1,023,479 |  | 1,062,724
Real estate - construction and development | 2,236,686 |  | 2,217,744 |  | 2,144,605 |  | 2,086,438 |  | 2,009,726
Real estate - commercial and farmland | 7,865,389 |  | 7,815,779 |  | 7,721,732 |  | 7,604,868 |  | 7,516,309
Real estate - residential | 4,802,013 |  | 4,702,134 |  | 4,564,923 |  | 4,420,305 |  | 4,176,143
Total loans | $ 20,201,079 |  | $ 20,471,759 |  | $ 19,997,871 |  | $ 19,855,253 |  | $ 18,806,856
Loans by Risk Grade |  |  |  |  |  |  |  |  |
Grades 1 through 5 - Pass | $ 19,812,895 |  | $ 20,114,816 |  | $ 19,654,232 |  | $ 19,513,726 |  | $ 18,483,046
Grade 6 - Other assets especially mentioned | 187,449 |  | 171,035 |  | 116,345 |  | 104,614 |  | 110,408
Grade 7 - Substandard | 200,735 |  | 185,908 |  | 227,294 |  | 236,913 |  | 213,402
Grade 8 - Doubtful | — |  | — |  | — |  | — |  | —
Grade 9 - Loss | — |  | — |  | — |  | — |  | —
Total loans | $ 20,201,079 |  | $ 20,471,759 |  | $ 19,997,871 |  | $ 19,855,253 |  | $ 18,806,856

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Average Balances | Table 6
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Earning Assets |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds sold | $ — |  | $ — |  | $ — |  | $ 924 |  | $ 5,000 |  | $ — |  | $ 14,176
Interest-bearing deposits in banks | 864,028 |  | 998,609 |  | 859,614 |  | 1,009,935 |  | 1,394,529 |  | 907,433 |  | 2,325,188
Debt securities - taxable | 1,548,647 |  | 1,582,076 |  | 1,586,404 |  | 1,451,861 |  | 1,242,811 |  | 1,572,237 |  | 935,313
Debt securities - nontaxable | 40,896 |  | 42,580 |  | 43,052 |  | 44,320 |  | 45,730 |  | 42,168 |  | 38,249
Other investments | 101,517 |  | 117,020 |  | 131,044 |  | 83,730 |  | 51,209 |  | 116,419 |  | 49,556
Loans held for sale | 464,452 |  | 577,606 |  | 490,295 |  | 371,952 |  | 471,070 |  | 510,690 |  | 835,418
Loans | 20,371,689 |  | 20,164,938 |  | 19,820,749 |  | 19,212,560 |  | 18,146,083 |  | 20,121,143 |  | 16,951,566
Total Earning Assets | $ 23,391,229 |  | $ 23,482,829 |  | $ 22,931,158 |  | $ 22,175,282 |  | $ 21,356,432 |  | $ 23,270,090 |  | $ 21,149,466
Deposits |  |  |  |  |  |  |  |  |  |  |  |  |
Noninterest-bearing deposits | $ 6,655,191 |  | $ 6,729,789 |  | $ 7,136,373 |  | $ 8,138,887 |  | $ 8,259,625 |  | $ 6,838,618 |  | $ 7,960,149
NOW accounts | 3,661,701 |  | 3,949,850 |  | 4,145,991 |  | 3,621,454 |  | 3,701,045 |  | 3,917,476 |  | 3,693,828
MMDA | 5,527,731 |  | 5,002,590 |  | 4,994,195 |  | 5,161,047 |  | 5,026,815 |  | 5,176,794 |  | 5,117,528
Savings accounts | 915,678 |  | 1,009,749 |  | 1,005,614 |  | 1,010,966 |  | 1,030,298 |  | 976,684 |  | 1,003,995
Retail CDs | 2,200,413 |  | 2,024,014 |  | 1,612,325 |  | 1,450,037 |  | 1,506,761 |  | 1,947,739 |  | 1,657,193
Brokered CDs | 1,441,854 |  | 1,393,206 |  | 125,133 |  | — |  | — |  | 991,554 |  | —
Total Deposits | 20,402,568 |  | 20,109,198 |  | 19,019,631 |  | 19,382,391 |  | 19,524,544 |  | 19,848,865 |  | 19,432,693
Non-Deposit Funding |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds purchased and securities sold under agreements to repurchase | — |  | — |  | — |  | 1 |  | 92 |  | — |  | 1,974
FHLB advances | 943,855 |  | 1,408,855 |  | 1,968,811 |  | 918,228 |  | 94,357 |  | 1,436,753 |  | 64,130
Other borrowings | 312,572 |  | 316,626 |  | 361,445 |  | 377,056 |  | 376,942 |  | 330,035 |  | 398,898
Subordinated deferrable interest debentures | 129,554 |  | 129,056 |  | 128,557 |  | 128,060 |  | 127,560 |  | 129,059 |  | 127,066
Total Non-Deposit Funding | 1,385,981 |  | 1,854,537 |  | 2,458,813 |  | 1,423,345 |  | 598,951 |  | 1,895,847 |  | 592,068
Total Funding | $ 21,788,549 |  | $ 21,963,735 |  | $ 21,478,444 |  | $ 20,805,736 |  | $ 20,123,495 |  | $ 21,744,712 |  | $ 20,024,761

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Interest Income and Interest Expense (TE) | Table 7
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Interest Income |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds sold | $ — |  | $ — |  | $ — |  | $ 8 |  | $ 27 |  | $ — |  | $ 69
Interest-bearing deposits in banks | 10,769 |  | 13,686 |  | 9,113 |  | 9,984 |  | 7,188 |  | 33,568 |  | 13,024
Debt securities - taxable | 14,754 |  | 15,915 |  | 14,300 |  | 13,029 |  | 10,324 |  | 44,969 |  | 21,627
Debt securities - nontaxable (TE) | 418 |  | 430 |  | 429 |  | 454 |  | 459 |  | 1,277 |  | 1,035
Loans held for sale | 7,460 |  | 8,398 |  | 7,007 |  | 5,519 |  | 6,012 |  | 22,865 |  | 24,180
Loans (TE) | 298,102 |  | 284,471 |  | 265,802 |  | 245,603 |  | 211,223 |  | 848,375 |  | 563,223
Total Earning Assets | $ 331,503 |  | $ 322,900 |  | $ 296,651 |  | $ 274,597 |  | $ 235,233 |  | $ 951,054 |  | $ 623,158
Interest Expense |  |  |  |  |  |  |  |  |  |  |  |  |
Interest-Bearing Deposits |  |  |  |  |  |  |  |  |  |  |  |  |
NOW accounts | $ 17,255 |  | $ 18,003 |  | $ 15,033 |  | $ 8,564 |  | $ 3,733 |  | $ 50,291 |  | $ 5,803
MMDA | 45,683 |  | 35,224 |  | 27,809 |  | 20,683 |  | 8,613 |  | 108,716 |  | 12,460
Savings accounts | 1,791 |  | 2,296 |  | 1,288 |  | 654 |  | 360 |  | 5,375 |  | 633
Retail CDs | 19,013 |  | 14,751 |  | 7,629 |  | 3,170 |  | 1,328 |  | 41,393 |  | 4,138
Brokered CDs | 19,257 |  | 17,813 |  | 1,423 |  | — |  | — |  | 38,493 |  | —
Total Interest-Bearing Deposits | 102,999 |  | 88,087 |  | 53,182 |  | 33,071 |  | 14,034 |  | 244,268 |  | 23,034
Non-Deposit Funding |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds purchased and securities sold under agreements to repurchase | — |  | — |  | — |  | — |  | — |  | — |  | 4
FHLB advances | 12,543 |  | 17,222 |  | 22,448 |  | 8,801 |  | 527 |  | 52,213 |  | 909
Other borrowings | 3,821 |  | 3,902 |  | 5,349 |  | 4,953 |  | 4,655 |  | 13,072 |  | 14,256
Subordinated deferrable interest debentures | 3,439 |  | 3,201 |  | 3,085 |  | 2,680 |  | 2,105 |  | 9,725 |  | 5,152
Total Non-Deposit Funding | 19,803 |  | 24,325 |  | 30,882 |  | 16,434 |  | 7,287 |  | 75,010 |  | 20,321
Total Interest-Bearing Funding | $ 122,802 |  | $ 112,412 |  | $ 84,064 |  | $ 49,505 |  | $ 21,321 |  | $ 319,278 |  | $ 43,355
Net Interest Income (TE) | $ 208,701 |  | $ 210,488 |  | $ 212,587 |  | $ 225,092 |  | $ 213,912 |  | $ 631,776 |  | $ 579,803

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Yields(1) | Table 8
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
| 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Earning Assets |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds sold | — % |  | — % |  | — % |  | 3.43 % |  | 2.14 % |  | — % |  | 0.65 %
Interest-bearing deposits in banks | 4.94 % |  | 5.50 % |  | 4.30 % |  | 3.92 % |  | 2.04 % |  | 4.95 % |  | 0.75 %
Debt securities - taxable | 3.78 % |  | 4.03 % |  | 3.66 % |  | 3.56 % |  | 3.30 % |  | 3.82 % |  | 3.09 %
Debt securities - nontaxable (TE) | 4.06 % |  | 4.05 % |  | 4.04 % |  | 4.06 % |  | 3.98 % |  | 4.05 % |  | 3.62 %
Loans held for sale | 6.37 % |  | 5.83 % |  | 5.80 % |  | 5.89 % |  | 5.06 % |  | 5.99 % |  | 3.87 %
Loans (TE) | 5.81 % |  | 5.66 % |  | 5.44 % |  | 5.07 % |  | 4.62 % |  | 5.64 % |  | 4.44 %
Total Earning Assets | 5.62 % |  | 5.52 % |  | 5.25 % |  | 4.91 % |  | 4.37 % |  | 5.46 % |  | 3.94 %
Interest-Bearing Deposits |  |  |  |  |  |  |  |  |  |  |  |  |
NOW accounts | 1.87 % |  | 1.83 % |  | 1.47 % |  | 0.94 % |  | 0.40 % |  | 1.72 % |  | 0.21 %
MMDA | 3.28 % |  | 2.82 % |  | 2.26 % |  | 1.59 % |  | 0.68 % |  | 2.81 % |  | 0.33 %
Savings accounts | 0.78 % |  | 0.91 % |  | 0.52 % |  | 0.26 % |  | 0.14 % |  | 0.74 % |  | 0.08 %
Retail CDs | 3.43 % |  | 2.92 % |  | 1.92 % |  | 0.87 % |  | 0.35 % |  | 2.84 % |  | 0.33 %
Brokered CDs | 5.30 % |  | 5.13 % |  | 4.61 % |  | — % |  | — % |  | 5.19 % |  | — %
Total Interest-Bearing Deposits | 2.97 % |  | 2.64 % |  | 1.82 % |  | 1.17 % |  | 0.49 % |  | 2.51 % |  | 0.27 %
Non-Deposit Funding |  |  |  |  |  |  |  |  |  |  |  |  |
Federal funds purchased and securities sold under agreements to repurchase | — % |  | — % |  | — % |  | — % |  | — % |  | — % |  | 0.27 %
FHLB advances | 5.27 % |  | 4.90 % |  | 4.62 % |  | 3.80 % |  | 2.22 % |  | 4.86 % |  | 1.90 %
Other borrowings | 4.85 % |  | 4.94 % |  | 6.00 % |  | 5.21 % |  | 4.90 % |  | 5.30 % |  | 4.78 %
Subordinated deferrable interest debentures | 10.53 % |  | 9.95 % |  | 9.73 % |  | 8.30 % |  | 6.55 % |  | 10.07 % |  | 5.42 %
Total Non-Deposit Funding | 5.67 % |  | 5.26 % |  | 5.09 % |  | 4.58 % |  | 4.83 % |  | 5.29 % |  | 4.59 %
Total Interest-Bearing Liabilities | 3.22 % |  | 2.96 % |  | 2.38 % |  | 1.55 % |  | 0.71 % |  | 2.86 % |  | 0.48 %
Net Interest Spread | 2.40 % |  | 2.56 % |  | 2.87 % |  | 3.36 % |  | 3.66 % |  | 2.60 % |  | 3.46 %
Net Interest Margin(2) | 3.54 % |  | 3.60 % |  | 3.76 % |  | 4.03 % |  | 3.97 % |  | 3.63 % |  | 3.67 %
Total Cost of Funds(3) | 2.24 % |  | 2.05 % |  | 1.59 % |  | 0.94 % |  | 0.42 % |  | 1.96 % |  | 0.29 %
(1) Interest and average rates are calculated on a tax-equivalent basis using an effective tax rate of 21%. |  |  |  |
(2) Rate calculated based on average earning assets. |  |  |  |
(3) Rate calculated based on total average funding including noninterest-bearing deposits. |  |  |  |

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Non-GAAP Reconciliations |  |  |  |  |  |  |  |  |  |  |  |  |
Adjusted Net Income | Table 9A
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Net income available to common shareholders | $ 80,115 |  | $ 62,635 |  | $ 60,421 |  | $ 82,221 |  | $ 92,555 |  | $ 203,171 |  | $ 264,319
Adjustment items: |  |  |  |  |  |  |  |  |  |  |  |  |
Merger and conversion charges | — |  | — |  | — |  | 235 |  | — |  | — |  | 977
(Gain) loss on sale of MSR | — |  | — |  | — |  | (1,672) |  | 316 |  | — |  | 316
Servicing right impairment (recovery) | — |  | — |  | — |  | — |  | (1,332) |  | — |  | (21,824)
Gain on BOLI proceeds | — |  | — |  | (486) |  | — |  | (55) |  | (486) |  | (55)
Natural disaster expenses | — |  | — |  | — |  | — |  | 151 |  | — |  | 151
(Gain) loss on bank premises | — |  | — |  | — |  | — |  | — |  | — |  | (45)
Tax effect of adjustment items (Note 1) | — |  | — |  | — |  | 302 |  | 182 |  | — |  | 4,490
After tax adjustment items | — |  | — |  | (486) |  | (1,135) |  | (738) |  | (486) |  | (15,990)
Adjusted net income | $ 80,115 |  | $ 62,635 |  | $ 59,935 |  | $ 81,086 |  | $ 91,817 |  | $ 202,685 |  | $ 248,329
Weighted average number of shares - diluted | 68,994,247 |  | 69,034,763 |  | 69,322,664 |  | 69,395,224 |  | 69,327,414 |  | 69,129,921 |  | 69,427,522
Net income per diluted share | $ 1.16 |  | $ 0.91 |  | $ 0.87 |  | $ 1.18 |  | $ 1.34 |  | $ 2.94 |  | $ 3.81
Adjusted net income per diluted share | $ 1.16 |  | $ 0.91 |  | $ 0.86 |  | $ 1.17 |  | $ 1.32 |  | $ 2.93 |  | $ 3.58
Average assets | $ 25,525,913 |  | $ 25,631,846 |  | $ 25,115,927 |  | $ 24,354,979 |  | $ 23,598,465 |  | $ 25,426,064 |  | $ 23,405,411
Return on average assets | 1.25 % |  | 0.98 % |  | 0.98 % |  | 1.34 % |  | 1.56 % |  | 1.07 % |  | 1.51 %
Adjusted return on average assets | 1.25 % |  | 0.98 % |  | 0.97 % |  | 1.32 % |  | 1.54 % |  | 1.07 % |  | 1.42 %
Average common equity | $ 3,324,960 |  | $ 3,293,049 |  | $ 3,250,289 |  | $ 3,168,320 |  | $ 3,123,718 |  | $ 3,289,706 |  | $ 3,054,356
Average tangible common equity | $ 2,214,775 |  | $ 2,178,323 |  | $ 2,130,856 |  | $ 2,039,094 |  | $ 1,987,385 |  | $ 2,174,958 |  | $ 1,916,262
Return on average common equity | 9.56 % |  | 7.63 % |  | 7.54 % |  | 10.30 % |  | 11.76 % |  | 8.26 % |  | 11.57 %
Adjusted return on average tangible common equity | 14.35 % |  | 11.53 % |  | 11.41 % |  | 15.78 % |  | 18.33 % |  | 12.46 % |  | 17.33 %
Note 1: Tax effect is calculated utilizing a 21% rate for taxable adjustments. Gain on BOLI proceeds is non-taxable and no tax effect is included. A portion of the merger and conversion charges for the nine months ended September 2022 are nondeductible for tax purposes.

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Non-GAAP Reconciliations (continued) |  |
Adjusted Efficiency Ratio (TE) | Table 9B
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Adjusted Noninterest Expense |  |  |  |  |  |  |  |  |  |  |  |  |
Total noninterest expense | $ 141,446 |  | $ 148.403 |  | $ 139,421 |  | $ 135,061 |  | $ 139,578 |  | $ 429,270 |  | $ 425,594
Adjustment items: |  |  |  |  |  |  |  |  |  |  |  |  |
Merger and conversion charges | — |  | — |  | — |  | (235) |  | — |  | — |  | (977)
Natural disaster expenses | — |  | — |  | — |  | — |  | (151) |  | — |  | (151)
Gain (loss) on bank premises | — |  | — |  | — |  | — |  | — |  | — |  | 45
Adjusted noninterest expense | $ 141,446 |  | $ 148.403 |  | $ 139,421 |  | $ 134,826 |  | $ 139,427 |  | $ 429,270 |  | $ 424,511
Total Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 207,751 |  | $ 209,540 |  | $ 211,652 |  | $ 224,137 |  | $ 212,981 |  | $ 628,943 |  | $ 576,889
Noninterest income | 63,181 |  | 67,349 |  | 56,050 |  | 48,348 |  | 65,324 |  | 186,580 |  | 236,076
Total revenue | $ 270,932 |  | $ 276,889 |  | $ 267,702 |  | $ 272,485 |  | $ 278,305 |  | $ 815,523 |  | $ 812,965
Adjusted Total Revenue |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income (TE) | $ 208,701 |  | $ 210,488 |  | $ 212,587 |  | $ 225,092 |  | $ 213,912 |  | $ 631,776 |  | $ 579,803
Noninterest income | 63,181 |  | 67,349 |  | 56,050 |  | 48,348 |  | 65,324 |  | 186,580 |  | 236,076
Total revenue (TE) | 271,882 |  | 277,837 |  | 268,637 |  | 273,440 |  | 279,236 |  | 818,356 |  | 815,879
Adjustment items: |  |  |  |  |  |  |  |  |  |  |  |  |
(Gain) loss on securities | 16 |  | 6 |  | (6) |  | (3) |  | 21 |  | 16 |  | (200)
(Gain) loss on sale of MSR | — |  | — |  | — |  | (1,672) |  | 316 |  | — |  | 316
Gain on BOLI proceeds | — |  | — |  | (486) |  | — |  | (55) |  | (486) |  | (55)
Servicing right impairment (recovery) | — |  | — |  | — |  | — |  | (1,332) |  | — |  | (21,824)
Adjusted total revenue (TE) | $ 271,898 |  | $ 277,843 |  | $ 268,145 |  | $ 271,765 |  | $ 278,186 |  | $ 817,886 |  | $ 794,116
Efficiency ratio | 52.21 % |  | 53.60 % |  | 52.08 % |  | 49.57 % |  | 50.15 % |  | 52.64 % |  | 52.35 %
Adjusted efficiency ratio (TE) | 52.02 % |  | 53.41 % |  | 51.99 % |  | 49.61 % |  | 50.12 % |  | 52.49 % |  | 53.46 %
Tangible Book Value Per Share | Table 9C
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Total shareholders' equity | $ 3,347,069 |  | $ 3,284,630 |  | $ 3,253,195 |  | $ 3,197,400 |  | $ 3,119,070 |  | $ 3,347,069 |  | $ 3,119,070
Less: |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,023,071 |  | 1,015,646 |  | 1,023,071
Other intangibles, net | 92,375 |  | 96,800 |  | 101,488 |  | 106,194 |  | 110,903 |  | 92,375 |  | 110,903
Total tangible shareholders' equity | $ 2,239,048 |  | $ 2,172,184 |  | $ 2,136,061 |  | $ 2,075,560 |  | $ 1,985,096 |  | $ 2,239,048 |  | $ 1,985,096
Period end number of shares | 69,138,461 |  | 69,139,783 |  | 69,373,863 |  | 69,369,050 |  | 69,352,709 |  | 69,138,461 |  | 69,352,709
Book value per share (period end) | $ 48.41 |  | $ 47.51 |  | $ 46.89 |  | $ 46.09 |  | $ 44.97 |  | $ 48.41 |  | $ 44.97
Tangible book value per share (period end) | $ 32.38 |  | $ 31.42 |  | $ 30.79 |  | $ 29.92 |  | $ 28.62 |  | $ 32.38 |  | $ 28.62

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Non-GAAP Reconciliations (continued) |  |
Tangible Common Equity to Tangible Assets | Table 9D
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Total shareholders' equity | $ 3,347,069 |  | $ 3,284,630 |  | $ 3,253,195 |  | $ 3,197,400 |  | $ 3,119,070 |  | $ 3,347,069 |  | $ 3,119,070
Less: |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,023,071 |  | 1,015,646 |  | 1,023,071
Other intangibles, net | 92,375 |  | 96,800 |  | 101,488 |  | 106,194 |  | 110,903 |  | 92,375 |  | 110,903
Total tangible shareholders' equity | $ 2,239,048 |  | $ 2,172,184 |  | $ 2,136,061 |  | $ 2,075,560 |  | $ 1,985,096 |  | $ 2,239,048 |  | $ 1,985,096
Total assets | $ 25,697,830 |  | $ 25,800,618 |  | $ 26,088,384 |  | $ 25,053,286 |  | $ 23,813,657 |  | $ 25,697,830 |  | $ 23,813,657
Less: |  |  |  |  |  |  |  |  |  |  |  |  |
Goodwill | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,015,646 |  | 1,023,071 |  | 1,015,646 |  | 1,023,071
Other intangibles, net | 92,375 |  | 96,800 |  | 101,488 |  | 106,194 |  | 110,903 |  | 92,375 |  | 110,903
Total tangible assets | $ 24,589,809 |  | $ 24,688,172 |  | $ 24,971,250 |  | $ 23,931,446 |  | $ 22,679,683 |  | $ 24,589,809 |  | $ 22,679,683
Equity to Assets | 13.02 % |  | 12.73 % |  | 12.47 % |  | 12.76 % |  | 13.10 % |  | 13.02 % |  | 13.10 %
Tangible Common Equity to Tangible Assets | 9.11 % |  | 8.80 % |  | 8.55 % |  | 8.67 % |  | 8.75 % |  | 9.11 % |  | 8.75 %
PPNR ROA | Table 9E
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands except per share data) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Net income | $ 80,115 |  | $ 62,635 |  | $ 60,421 |  | $ 82,221 |  | $ 92,555 |  | $ 203,171 |  | $ 264,319
Plus: |  |  |  |  |  |  |  |  |  |  |  |  |
Income taxes | 24,912 |  | 20,335 |  | 18,131 |  | 22,313 |  | 28,520 |  | 63,378 |  | 84,245
Provision for credit losses | 24,459 |  | 45,516 |  | 49,729 |  | 32,890 |  | 17,652 |  | 119,704 |  | 38,807
PPNR | $ 129,486 |  | $ 128,486 |  | $ 128,281 |  | $ 137,424 |  | $ 138,727 |  | $ 386,253 |  | $ 387,371
Average Assets | $ 25,525,913 |  | $ 25,631,846 |  | $ 25,115,927 |  | $ 24,354,979 |  | $ 23,598,465 |  | $ 25,426,064 |  | $ 23,405,411
Return on Average Assets (ROA) | 1.25 % |  | 0.98 % |  | 0.98 % |  | 1.34 % |  | 1.56 % |  | 1.07 % |  | 1.51 %
PPNR ROA | 2.01 % |  | 2.01 % |  | 2.07 % |  | 2.24 % |  | 2.33 % |  | 2.03 % |  | 2.21 %

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Segment Reporting | Table 10
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
Banking Division |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 167,595 |  | $ 171,441 |  | $ 175,328 |  | $ 185,909 |  | $ 174,507 |  | $ 514,364 |  | $ 460,374
Provision for credit losses | 20,833 |  | 40,831 |  | 47,140 |  | 35,946 |  | 10,551 |  | 108,804 |  | 25,952
Noninterest income | 26,245 |  | 24,652 |  | 23,898 |  | 23,448 |  | 23,269 |  | 74,795 |  | 68,102
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 56,226 |  | 55,196 |  | 56,442 |  | 52,296 |  | 48,599 |  | 167,864 |  | 144,527
Occupancy and equipment expenses | 11,437 |  | 11,175 |  | 11,606 |  | 11,482 |  | 11,357 |  | 34,218 |  | 33,599
Data processing and telecommunications expenses | 11,786 |  | 11,898 |  | 11,797 |  | 11,085 |  | 10,779 |  | 35,481 |  | 32,872
Other noninterest expenses | 20,274 |  | 27,643 |  | 19,023 |  | 21,811 |  | 22,974 |  | 66,940 |  | 64,142
Total noninterest expense | 99,723 |  | 105,912 |  | 98,868 |  | 96,674 |  | 93,709 |  | 304,503 |  | 275,140
Income before income tax expense | 73,284 |  | 49,350 |  | 53,218 |  | 76,737 |  | 93,516 |  | 175,852 |  | 227,384
Income tax expense | 18,283 |  | 13,312 |  | 12,848 |  | 16,545 |  | 22,706 |  | 44,443 |  | 58,822
Net income | $ 55,001 |  | $ 36,038 |  | $ 40,370 |  | $ 60,192 |  | $ 70,810 |  | $ 131,409 |  | $ 168,562
Retail Mortgage Division |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 22,805 |  | $ 21,417 |  | $ 20,027 |  | $ 19,837 |  | $ 19,283 |  | $ 64,249 |  | $ 59,357
Provision for credit losses | 2,399 |  | 3,278 |  | 2,853 |  | (2,778) |  | 9,043 |  | 8,530 |  | 15,129
Noninterest income | 35,691 |  | 39,808 |  | 31,058 |  | 24,011 |  | 38,584 |  | 106,557 |  | 158,028
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 21,231 |  | 21,930 |  | 20,160 |  | 19,164 |  | 25,813 |  | 63,321 |  | 88,646
Occupancy and equipment expenses | 1,182 |  | 1,224 |  | 1,283 |  | 1,242 |  | 1,460 |  | 3,689 |  | 4,337
Data processing and telecommunications expenses | 1,052 |  | 1,397 |  | 1,069 |  | 1,203 |  | 1,082 |  | 3,518 |  | 3,377
Other noninterest expenses | 12,153 |  | 11,859 |  | 11,747 |  | 11,126 |  | 11,641 |  | 35,759 |  | 37,098
Total noninterest expense | 35,618 |  | 36,410 |  | 34,259 |  | 32,735 |  | 39,996 |  | 106,287 |  | 133,458
Income before income tax expense | 20,479 |  | 21,537 |  | 13,973 |  | 13,891 |  | 8,828 |  | 55,989 |  | 68,798
Income tax expense | 4,301 |  | 4,523 |  | 2,934 |  | 2,916 |  | 1,854 |  | 11,758 |  | 14,448
Net income | $ 16,178 |  | $ 17,014 |  | $ 11,039 |  | $ 10,975 |  | $ 6,974 |  | $ 44,231 |  | $ 54,350
Warehouse Lending Division |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 6,008 |  | $ 6,166 |  | $ 5,700 |  | $ 6,601 |  | $ 6,979 |  | $ 17,874 |  | $ 20,126
Provision for credit losses | (589) |  | 411 |  | (194) |  | 117 |  | (1,836) |  | (372) |  | (1,191)
Noninterest income | 662 |  | 1,404 |  | 480 |  | 579 |  | 1,516 |  | 2,546 |  | 3,958
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 924 |  | 772 |  | 802 |  | 427 |  | 1,055 |  | 2,498 |  | 1,546
Occupancy and equipment expenses | 1 |  | — |  | 1 |  | 1 |  | 1 |  | 2 |  | 3
Data processing and telecommunications expenses | 30 |  | 44 |  | 46 |  | 49 |  | 43 |  | 120 |  | 138
Other noninterest expenses | 219 |  | 223 |  | 202 |  | 191 |  | 209 |  | 644 |  | 639
Total noninterest expense | 1,174 |  | 1,039 |  | 1,051 |  | 668 |  | 1,308 |  | 3,264 |  | 2,326
Income before income tax expense | 6,085 |  | 6,120 |  | 5,323 |  | 6,395 |  | 9,023 |  | 17,528 |  | 22,949
Income tax expense | 1,278 |  | 1,285 |  | 1,118 |  | 1,342 |  | 1,895 |  | 3,681 |  | 4,820
Net income | $ 4,807 |  | $ 4,835 |  | $ 4,205 |  | $ 5,053 |  | $ 7,128 |  | $ 13,847 |  | $ 18,129

AMERIS BANCORP AND SUBSIDIARIES
FINANCIAL TABLES
Segment Reporting (continued) | Table 10
| Three Months Ended |  | Nine Months Ended
| Sep |  | Jun |  | Mar |  | Dec |  | Sep |  | Sep |  | Sep
(dollars in thousands) | 2023 |  | 2023 |  | 2023 |  | 2022 |  | 2022 |  | 2023 |  | 2022
SBA Division |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 1,962 |  | $ 2,331 |  | $ 1,957 |  | $ 2,491 |  | $ 2,424 |  | $ 6,250 |  | $ 12,233
Provision for credit losses | 1,677 |  | 424 |  | (104) |  | 265 |  | 52 |  | 1,997 |  | (614)
Noninterest income | 579 |  | 1,476 |  | 605 |  | 302 |  | 1,946 |  | 2,660 |  | 5,963
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 1,209 |  | 1,316 |  | 1,309 |  | 1,306 |  | 1,412 |  | 3,834 |  | 3,999
Occupancy and equipment expenses | 36 |  | 40 |  | 37 |  | 98 |  | 82 |  | 113 |  | 262
Data processing and telecommunications expenses | 32 |  | 46 |  | 37 |  | 30 |  | 29 |  | 115 |  | 86
Other noninterest expenses | 157 |  | 333 |  | 422 |  | 368 |  | 100 |  | 912 |  | 1,019
Total noninterest expense | 1,434 |  | 1,735 |  | 1,805 |  | 1,802 |  | 1,623 |  | 4,974 |  | 5,366
Income before income tax expense | (570) |  | 1,648 |  | 861 |  | 726 |  | 2,695 |  | 1,939 |  | 13,444
Income tax expense | (120) |  | 346 |  | 181 |  | 153 |  | 566 |  | 407 |  | 2,823
Net income | $ (450) |  | $ 1,302 |  | $ 680 |  | $ 573 |  | $ 2,129 |  | $ 1,532 |  | $ 10,621
Premium Finance Division |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 9,381 |  | $ 8,185 |  | $ 8,640 |  | $ 9,299 |  | $ 9,788 |  | $ 26,206 |  | $ 24,799
Provision for credit losses | 139 |  | 572 |  | 34 |  | (660) |  | (158) |  | 745 |  | (469)
Noninterest income | 4 |  | 9 |  | 9 |  | 8 |  | 9 |  | 22 |  | 25
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 2,308 |  | 2,122 |  | 2,197 |  | 2,003 |  | 1,818 |  | 6,627 |  | 5,805
Occupancy and equipment expenses | 89 |  | 83 |  | 59 |  | 82 |  | 83 |  | 231 |  | 255
Data processing and telecommunications expenses | 73 |  | 66 |  | 85 |  | 119 |  | 82 |  | 224 |  | 269
Other noninterest expenses | 1,027 |  | 1,036 |  | 1,097 |  | 978 |  | 959 |  | 3,160 |  | 2,975
Total noninterest expense | 3,497 |  | 3,307 |  | 3,438 |  | 3,182 |  | 2,942 |  | 10,242 |  | 9,304
Income before income tax expense | 5,749 |  | 4,315 |  | 5,177 |  | 6,785 |  | 7,013 |  | 15,241 |  | 15,989
Income tax expense | 1,170 |  | 869 |  | 1,050 |  | 1,357 |  | 1,499 |  | 3,089 |  | 3,332
Net income | $ 4,579 |  | $ 3,446 |  | $ 4,127 |  | $ 5,428 |  | $ 5,514 |  | $ 12,152 |  | $ 12,657
Total Consolidated |  |  |  |  |  |  |  |  |  |  |  |  |
Net interest income | $ 207,751 |  | $ 209,540 |  | $ 211,652 |  | $ 224,137 |  | $ 212,981 |  | $ 628,943 |  | $ 576,889
Provision for credit losses | 24,459 |  | 45,516 |  | 49,729 |  | 32,890 |  | 17,652 |  | 119,704 |  | 38,807
Noninterest income | 63,181 |  | 67,349 |  | 56,050 |  | 48,348 |  | 65,324 |  | 186,580 |  | 236,076
Noninterest expense |  |  |  |  |  |  |  |  |  |  |  |  |
Salaries and employee benefits | 81,898 |  | 81,336 |  | 80,910 |  | 75,196 |  | 78,697 |  | 244,144 |  | 244,523
Occupancy and equipment expenses | 12,745 |  | 12,522 |  | 12,986 |  | 12,905 |  | 12,983 |  | 38,253 |  | 38,456
Data processing and telecommunications expenses | 12,973 |  | 13,451 |  | 13,034 |  | 12,486 |  | 12,015 |  | 39,458 |  | 36,742
Other noninterest expenses | 33,830 |  | 41,094 |  | 32,491 |  | 34,474 |  | 35,883 |  | 107,415 |  | 105,873
Total noninterest expense | 141,446 |  | 148,403 |  | 139,421 |  | 135,061 |  | 139,578 |  | 429,270 |  | 425,594
Income before income tax expense | 105,027 |  | 82,970 |  | 78,552 |  | 104,534 |  | 121,075 |  | 266,549 |  | 348,564
Income tax expense | 24,912 |  | 20,335 |  | 18,131 |  | 22,313 |  | 28,520 |  | 63,378 |  | 84,245
Net income | $ 80,115 |  | $ 62,635 |  | $ 60,421 |  | $ 82,221 |  | $ 92,555 |  | $ 203,171 |  | $ 264,319

CONTACT: Nicole S. Stokes, Chief Financial Officer, (404) 240-1514