Civista Bancshares, Inc. (NASDAQ:CIVB) Q2 2022 Earnings Conference Call July 28, 2022 1:00 PM ET

Company Participants

Dennis Shaffer - President and Chief Executive Officer

Rich Dutton - Senior Vice President and Chief Operating Officer

Chuck Parcher - Senior Vice President and Chief Lending Officer

Paul Stark - Chief Credit Officer

Conference Call Participants

Terry McEvoy - Stephens

Tim Switzer - KBW

Nick Cucharale - Piper Sandler

Operator

Before we begin, I would like to remind you that this conference call may contain forward-looking statements with respect to the future performance and financial condition of Civista Bancshares, Inc. that involve risks and uncertainties. Various factors could cause actual results to be materially different from any future results expressed or implied by such forward-looking statements. These factors are discussed in the company’s SEC filings, which are available on the company’s website.

The company disclaims any obligation to update any forward-looking statements made during the call. Additionally, management may refer to non-GAAP measures, which are intended to supplement, but not substitute the most directly comparable GAAP measures. The press release, also available on the company’s website, contains the financial and other quantitative information to be discussed today as well as the reconciliation of the GAAP to non-GAAP measures. This call will be recorded and made available on Civista Bancshares website at www.civb.com. At the conclusion of Mr. Shaffer’s remarks, he and the Civista management team will take any questions you may have.

Now, I will turn the call over to Mr. Shaffer.

Dennis Shaffer

Good afternoon. This is Dennis Shaffer, President and CEO of Civista Bancshares Inc. and I would like to thank you for joining us for our second quarter 2022 earnings call. I am joined today by Rich Dutton, SVP of the company and Chief Operating Officer of the bank; and Chuck Parcher, SVP of the company and Chief Lending Officer of the bank; and other members of our executive team.

This morning, we reported net income of $7.7 million or $0.53 per diluted share for the second quarter of 2022, which includes approximately $0.02 per share of expense related to our Comunibanc transaction and net income of $16.2 million or $1.10 per diluted share for the 6 months ended June 30, 2022, which includes approximately $0.04 per share of expense related to our Comunibanc transaction. While these deal costs contributed to the decline in earnings for the quarter and year-to-date, the primary reasons for the decline were the normal timing of when we earn our tax program fee income from our first to second quarters, lower mortgage production, and restructuring charges taken in the second quarter of 2021.