Civista Bancshares, Inc. (NASDAQ:CIVB) Q3 2023 Earnings Conference Call October 27, 2023 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

Conference Call Participants

Nick Cucharale - Hovde

Terry McEvoy - Stephens

Tim Switzer - KBW

Manuel Navas - D.A. Davidson

Daniel Cardenas - Janney

Operator

[Starts Abruptly]

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 a 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 today, he and the Civista management team will take any questions that 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, and I would like to thank you for joining us for our third quarter 2023 earnings call. I am joined today by Rich Dutton, SVP of the company and Chief Operating Officer of the Bank; Chuck Parcher, SVP of the company and Chief Operating Officer of the Bank, and other members of our executive team.

This morning we reported net income for the third quarter of $10.4 million or $0.66 per diluted share, which represents a 6.5% decrease from the third quarter in 2022. And net income of $33.3 million or $2.12 per diluted share for the nine months ended September 30, 2023, which represents a 22.1% increase over our first nine months of 2022's performance.

Our strong third quarter and year-to-date performance was set up by continued growth in our loan and lease portfolios, which grew at an annualized rate of 18% for the quarter and 10.9% year-to-date. This was organic growth and I believe is indicative of the strength of our markets and our organization. While we do not anticipate continuing to grow at this pace, we do anticipate continued growth at a single-digit pace for the balance of the year and into 2024.