First Financial Bankshares Announces First Quarter Earnings Results

     First Financial Bankshares Announces First Quarter Earnings Results

PR Newswire

ABILENE, Texas, April 18, 2013

ABILENE, Texas, April 18, 2013 /PRNewswire/ -- First Financial Bankshares,
Inc. (NASDAQ: FFIN) today reported earnings for the first quarter of 2013 of
$18.58 million, up 4.62 percent compared with earnings of $17.76 million in
the same quarter last year. Basic earnings per share were $0.59 for the first
quarter of 2013 compared with $0.56 in the same quarter a year ago.

Net interest income increased 1.08 percent to $38.67 million compared with
$38.26 million in the same period of 2012. The net interest margin, on a
taxable equivalent basis, was 4.19 percent, up two basis points from 4.17
percent in the fourth quarter of 2012. The net interest margin was 4.39 in the
first quarter of 2012.

The provision for loan losses was $401 thousand in the first quarter of 2013,
compared with $1.30 million in the same quarter last year and $642 thousand in
the fourth quarter of 2012. Nonperforming assets as a percentage of loans and
foreclosed assets totaled 1.20 percent at March 31, 2013, compared with 1.22
percent at December 31, 2012, and 1.60 percent at March 31, 2012. Classified
loans totaled $70.18 million at March 31, 2013, compared to $67.14 million at
December 31, 2012, and $90.36 million at March 31, 2012.

Noninterest income increased 4.98 percent in the first quarter of 2013 to
$13.96 million compared with $13.30 million in the same quarter a year ago.
Trust fees increased to $3.79 million in the first quarter of 2013 compared
with $3.45 million in the same quarter last year primarily due to continued
growth in the fair value of Trust assets managed to $3.02 billion from $2.63
billion a year ago. Real estate mortgage fees increased 31.81 percent to
$1.38 million compared with $1.05 million in the same quarter last year due to
a stronger housing market and increased market share.

Noninterest expense increased in the first quarter of 2013 to $27.47 million
from $26.47 million in the same quarter last year. The Company's efficiency
ratio in the first quarter of 2013 was 48.68 percent compared with 48.08
percent in the same quarter last year. Included in noninterest expense for the
first quarter of 2013 was $143 thousand, primarily legal and travel, related
to the Company's recently announced acquisition of Orange Savings Bank, SSB,
which is expected to close in the second quarter of 2013.

As of March 31, 2013, consolidated assets for the Company totaled $4.46
billion compared with $4.23 billion a year ago. Loans grew 18.86 percent and
totaled $2.14 billion at quarter end compared to $1.80 billion a year ago.
Total deposits were $3.55 billion as of March 31, 2013, which represents a
4.47 percent growth over $3.40 billion a year earlier. Shareholders' equity
rose to $564.25 million as of March 31, 2013, compared with $517.01 million at
March 31, 2012.

"We are pleased to report another profitable quarter for our company," said F.
Scott Dueser, Chairman, President and CEO. "We continue to see good growth in
earnings and loans while continuing to work to improve our efficiencies and
are excited about our upcoming acquisition of Orange Savings Bank." 

About First Financial Bankshares
Headquartered in Abilene, Texas, First Financial Bankshares is a financial
holding company that operates 11 banking regions with 56 locations in Texas
including Abilene, Acton, Albany, Aledo, Alvarado, Boyd, Bridgeport, Brock,
Burleson, Cisco, Cleburne, Clyde, Crowley, Decatur, Eastland, Fort Worth, Glen
Rose, Granbury, Grapevine, Hereford, Huntsville, Keller, Merkel, Midlothian,
Mineral Wells, Moran, Odessa, Ranger, Rising Star, Roby, San Angelo,
Southlake, Stephenville, Sweetwater, Trent, Trophy Club, Waxahachie,
Weatherford and Willow Park. The Company also operates First Financial Trust &
Asset Management Company, N.A., with six locations and First Technology
Services, Inc., a technology operating company.

The Company is listed on The NASDAQ Global Select Market under the trading
symbol FFIN. For more information about First Financial Bankshares, please
visit our website at http://www.ffin.com.

Certain statements contained herein may be considered "forward-looking
statements" as defined in the Private Securities Litigation Reform Act of
1995. These statements are based upon the belief of the Company's management,
as well as assumptions made beyond information currently available to the
Company's management, and may be, but not necessarily are, identified by such
words as "expect", "plan", "anticipate", "target", "forecast" and "goal".
Because such "forward-looking statements" are subject to risks and
uncertainties, actual results may differ materially from those expressed or
implied by such forward-looking statements. Factors that could cause actual
results to differ materially from the Company's expectations include
competition from other financial institutions and financial holding companies;
the effects of and changes in trade, monetary and fiscal policies and laws,
including interest rate policies of the Federal Reserve Board; changes in the
demand for loans; fluctuations in value of collateral and loan reserves;
inflation, interest rate, market and monetary fluctuations; changes in
consumer spending, borrowing and savings habits; and acquisitions and
integration of acquired businesses, and similar variables. Other key risks
are described in the Company's reports filed with the Securities and Exchange
Commission, which may be obtained under "Investor Relations-Documents/Filings"
on the Company's Web site or by writing or calling the Company at
325.627.7155. Except as otherwise stated in this news announcement, the
Company does not undertake any obligation to update publicly or revise any
forward-looking statements because of new information, future events or
otherwise.





FIRST FINANCIAL BANKSHARES, INC.
CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)
(In thousands, except share and per share data)
                     As of
                       2013           2012
ASSETS:                Mar. 31,      Dec. 31,      Sept. 30,     June 30,       Mar. 31,
Cash and due from    $ 113,958      $ 207,018      $ 128,606      $ 122,534      $ 131,163
banks
Interest-bearing       20,065         139,676        25,633         25,794         84,169
deposits in banks
Interest-bearing
time deposits in       45,172         49,005         67,506         74,594         62,018
banks
Fed funds sold         3,175          14,045         23,400         10,100         11,200
Investment             1,959,054      1,820,096      1,883,864      1,963,367      1,963,341
securities
Loans                  2,138,137      2,088,623      2,003,854      1,918,292      1,798,867
   Allowance for       (34,672)       (34,839)       (34,932)       (34,747)       (34,529)
   loan losses
Net loans              2,103,465      2,053,784      1,968,922      1,883,545      1,764,338
Premises and           86,265         84,122         80,580         80,404         79,308
equipment
Goodwill               71,865         71,865         71,865         71,865         71,865
Other intangible       98             108            136            175            213
assets
Other assets           52,863         62,293         60,035         59,426         59,635
   Total assets      $ 4,455,980    $ 4,502,012    $ 4,310,547    $ 4,291,804    $ 4,227,250
LIABILITIES AND
SHAREHOLDERS'
EQUITY:
Noninterest-bearing  $ 1,237,840    $ 1,311,708    $ 1,200,154    $ 1,156,238    $ 1,125,577
deposits
Interest-bearing       2,312,286      2,320,876      2,244,244      2,235,942      2,272,495
deposits
   Total deposits      3,550,126      3,632,584      3,444,398      3,392,180      3,398,072
Short-term             263,345        259,697        254,480        251,428        237,567
borrowings
Other liabilities      78,257         52,768         61,757         113,933        74,606
Shareholders'          564,252        556,963        549,912        534,263        517,005
equity
   Total
   liabilities and   $ 4,455,980    $ 4,502,012    $ 4,310,547    $ 4,291,804    $ 4,227,250
   shareholders'
   equity
                     Quarter Ended
                       2013           2012
INCOME STATEMENTS      Mar. 31,      Dec. 31,      Sept. 30,     June 30,       Mar. 31,
Interest income      $ 39,575       $ 39,801       $ 40,287       $ 39,911       $ 39,797
Interest expense       904            1,049          1,168          1,355          1,540
Net interest income    38,671         38,752         39,119         38,556         38,257
Provision for loan     401            642            787            759            1,296
losses
Net interest income
after provision for    38,270         38,110         38,332         37,797         36,961
loan losses
Noninterest income     13,960         14,948         15,499         13,464         13,298
Noninterest expense    27,471         28,633         27,203         26,745         26,468
   Net income
   before income       24,759         24,425         26,628         24,516         23,791
   taxes
Income tax expense     6,182          6,107          6,828          6,165          6,035
   Net income        $ 18,577       $ 18,318       $ 19,800       $ 18,351       $ 17,756
PER COMMON SHARE
DATA
Net income - basic   $ 0.59         $ 0.58         $ 0.63         $ 0.58         $ 0.56
Net income -           0.59           0.58           0.63           0.58           0.56
diluted
Cash dividends         0.25           0.25           0.25           0.25           0.24
declared
Shares outstanding     31,519,973     31,496,881     31,488,530     31,481,747     31,477,483
- end of period
Average outstanding    31,507,975     31,490,402     31,484,375     31,478,980     31,466,706
shares - basic
Average outstanding    31,601,364     31,530,907     31,502,172     31,497,241     31,479,743
shares - diluted
PERFORMANCE RATIOS
Return on average      1.71       %   1.68       %   1.84       %   1.75       %   1.73       %
assets
Return on average      13.41          13.09          14.53          14.01          13.79
equity
Net interest margin    4.19           4.17           4.26           4.33           4.39
(tax equivalent)
Efficiency ratio       48.68          49.86          46.61          48.02          48.08





FIRST FINANCIAL BANKSHARES, INC.
SELECTED FINANCIAL DATA (UNAUDITED)
(In thousands)
                     Quarter Ended
                       2013       2012
ALLOWANCE FOR LOAN     Mar.       Dec.        Sept.       June       Mar.
LOSSES                 31,       31,         30,         30,        31,
Balance at           $ 34,839   $ 34,932    $ 34,747    $ 34,529   $ 34,315
beginning of period
Loans charged off      (823)      (1,119)     (1,064)     (766)      (1,405)
Loan recoveries        255        384         462         225        323
Net charge-offs        (568)      (735)       (602)       (541)      (1,082)
Provision for loan     401        642         787         759        1,296
losses
Balance at end of    $ 34,672   $ 34,839    $ 34,932    $ 34,747   $ 34,529
period
Allowance for loan
losses / period-end    1.62   %   1.67    %   1.74    %   1.81   %   1.92    %
loans
Allowance for loan
losses
/nonperforming        153.9      159.1       143.4       130.1      164.3
loans
Net charge-offs /
average                0.11       0.14        0.12        0.12       0.24
loans(annualized)
NONPERFORMING
ASSETS
Nonaccrual loans     $ 22,509   $ 21,800    $ 24,283    $ 26,606   $ 20,963
Accruing loans 90      24         97          69          105        53
days past due
    Total
    nonperforming      22,533     21,897      24,352      26,711     21,016
    loans
Foreclosed assets      3,185      3,565       6,373       7,149      7,852
    Total
    nonperforming    $ 25,718   $ 25,462    $ 30,725    $ 33,860   $ 28,868
    assets
As a % of loans and    1.20   %   1.22    %   1.53    %   1.76   %   1.60    %
foreclosed assets
As a % of end of       0.58       0.57        0.71        0.79       0.68
period total assets
CAPITAL RATIOS
Tier 1 risk-based      17.54  %   17.43   %   17.66   %   17.23  %   17.73   %
Total risk-based       18.80      18.68       18.92       18.48      18.99
Tier 1 leverage        10.69      10.60       10.49       10.36      10.31
Equity to assets       12.66      12.37       12.76       12.45      12.23
                     Quarter Ended
                       2013       2012
NONINTEREST INCOME     Mar.       Dec.        Sept.       June       Mar.
                       31,       31,         30,         30,        31,
Trust fees           $ 3,793    $ 3,616     $ 3,723     $ 3,670    $ 3,454
Service charges on     3,895      4,432       4,337       4,042      3,882
deposits
ATM, interchange
and credit card        3,729      3,961       3,767       3,784      3,676
fees
Real estate            1,384      1,331       1,495       1,218      1,050
mortgage fees
Net gain on sale of
available-for-sale     222        565         1,479       382        346
securities
Net gain (loss) on
sale of foreclosed     (316)      162         (106)       (404)      6
assets
Net gain (loss) on     168        5           (32)        105        122
sale of assets
Other noninterest      1,085      876         836         667        762
income
    Total
    noninterest      $ 13,960   $ 14,948    $ 15,499    $ 13,464   $ 13,298
    income
NONINTEREST EXPENSE
Salaries and
employee benefits,   $ 14,101   $ 13,565    $ 13,502    $ 13,304   $ 13,186
excluding profit
sharing
Profit sharing         1,079      1,441       1,343       885        1,043
expense
Net occupancy          1,766      1,790       1,806       1,743      1,737
expense
Equipment expense      2,281      2,269       2,269       2,144      2,108
FDIC insurance         572        565         563         565        527
premiums
ATM, interchange
and credit card        1,340      1,432       1,317       1,450      1,249
expenses
Legal, tax and         993        1,162       1,019       968        1,033
professional fees
Audit fees            334        323         311         283        295
Printing,
stationery and         472        487         468         511        505
supplies
Amortization of        10         28          38          38         44
intangible assets
Advertising and        994        1,085       998         953        942
public relations
Correspondent bank     202        220         220         216        200
service charges
Other noninterest      3,327      4,266       3,349       3,685      3,599
expense
    Total
    noninterest      $ 27,471   $ 28,633    $ 27,203    $ 26,745   $ 26,468
    expense
TAX EQUIVALENT       $ 3,795    $ 3,727     $ 3,743     $ 3,673    $ 3,495
YIELD ADJUSTMENT





FIRST FINANCIAL BANKSHARES, INC.
SELECTED FINANCIAL DATA (UNAUDITED)
(In thousands)
                                                                                            Three Months Ended
                                                                                            Mar. 31, 2013
                                                                                            Average      Tax          Yield
                                                                                                         Equivalent   /
                                                                                            Balance      Interest     Rate
Interest-earning assets:
 Fed funds sold                                                                          $ 12,907     $ 5            0.17  %
 Interest-bearing deposits in nonaffiliated banks                                          124,688      171          0.56  %
 Taxable securities                                                                        1,038,706    6,375        2.45  %
 Tax exempt securities                                                                     824,947      10,073       4.88  %
 Loans                                                                                     2,111,138    26,747       5.14  %
Total interest-earning assets                                                               4,112,386    43,371       4.28  %
Noninterest-earning assets                                                                  298,906
                         Total assets                                                     $ 4,411,292
Interest-bearing liabilities:
 Deposits                                                                                $ 2,320,932  $ 868          0.15  %
 Fed funds purchased and other short term borrowings                                       270,561      37           0.06  %
Total interest-bearing liabilities                                                          2,591,493    905          0.14  %
Noninterest-bearing                                                                         1,258,152
liabilities
Shareholders' equity                                                                        561,647
                         Total liabilities and shareholders' equity                       $ 4,411,292
Net interest income and margin (tax equivalent)                                                        $ 42,466       4.19  %



SOURCE First Financial Bankshares, Inc.

Website: http://www.ffin.com
Contact: J. Bruce Hildebrand, Executive Vice President, 325.627.7155
 
Press spacebar to pause and continue. Press esc to stop.