2020 Annual Report

As of and for the year ended December 31,

(dollars in thousands)

2020

2019

2018

2017

2016

Pre-Provision Net Revenue Noninterest Income . . . . . . . . . . . . . . . . . . . . . . . $ 5,839 $ 3,826 $ 2,543 $ 2,536 $ 2,567 Less: (Gain) Loss on sales of Securities . . . . . . . (1,503) (516) 125 250 (830) Total Operating Noninterest Income . . . . . . . 4,336 3,310 2,668 2,786 1,737 Plus: Net Interest income . . . . . . . . . . . . . . . . . 87,964 74,132 64,738 54,173 42,118 Net Operating Revenue . . . . . . . . . . . . . . . . . . . $ 92,300 $ 77,442 $ 67,406 $ 56,959 $ 43,855 Noninterest Expense . . . . . . . . . . . . . . . . . . . . . . $ 45,387 $ 36,932 $ 31,562 $ 25,496 $ 20,168 Less: Amortization of Tax Credit Investments. . (738) (3,225) (3,293) (1,916) — Less: FHLB Advance Prepayment Fees . . . . . . . (7,043) — — — — Total Operating Noninterest Expense. . . . . . . . . $ 37,606 $ 33,707 $ 28,269 $ 23,580 $ 20,168 Pre-Provision Net Revenue . . . . . . . . . . . . . . . . $ 54,694 $ 43,735 $ 39,137 $ 33,379 $ 23,687

Plus: Non-Operating Revenue Adjustments . . . . . . . . Less: Provision for Loan Losses. . . . . . . . . . . . . . . . . . Non-Operating Expense Adjustments. . . . . . . . . Provision for Income Taxes . . . . . . . . . . . . . . . .

1,503

516

(125)

(250)

830

12,750

2,700 3,225 6,923

3,575 3,293 5,224

4,175 1,916

3,250

7,781 8,472

—

10,149 8,052 Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 27,194 $ 31,403 $ 26,920 $ 16,889 $ 13,215

Average Assets . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,617,579 $ 2,114,211 $ 1,777,592 $ 1,451,732 $ 1,098,654 Pre-Provision Net Revenue Return on Average Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.09 % 2.07 % 2.20 % 2.30 % 2.16 %

As of and for the year ended December 31,

(dollars in thousands, except share data)

2020

2019

2018

2017

2016

Tangible Common Equity and Tangible Common Equity/Tangible Assets Common Equity . . . . . . . . . . . . . . . . . . . . . . . . . $ 265,405 $ 244,794 $ 220,998 $ 137,162 $ 115,366 Less: Intangible Assets . . . . . . . . . . . . . . . . . . . . (3,296) (3,487) (3,678) (3,869) (4,060) Tangible Common Equity . . . . . . . . . . . . . . . . 262,109 241,307 217,320 133,293 111,306 Total Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,927,345 2,268,830 1,973,741 1,616,612 1,260,394 Less: Intangible Assets . . . . . . . . . . . . . . . . . . . . (3,296) (3,487) (3,678) (3,869) (4,060) Tangible Assets . . . . . . . . . . . . . . . . . . . . . . . . $ 2,924,049 $ 2,265,343 $ 1,970,063 $ 1,612,743 $ 1,256,334 Tangible Common Equity/Tangible Assets . . 8.96 % 10.65 % 11.03 % 8.26 % 8.86 % Tangible Book Value Per Share Book Value Per Common Share . . . . . . . . . . . . . $ 9.43 $ 8.45 $ 7.34 $ 5.56 $ 4.69 Less: Effects of Intangible Assets. . . . . . . . . . . . (0.12) (0.12) (0.12) (0.16) (0.17) Tangible Book Value Per Common Share . . . $ 9.31 $ 8.33 $ 7.22 $ 5.40 $ 4.52 Average Tangible Common Equity Average Common Equity . . . . . . . . . . . . . . . . . . $ 258,736 $ 232,539 $ 194,083 $ 128,123 $ 102,588 Less: Effects of Average Intangible Assets . . . . (3,395) (3,582) (3,772) (3,956) (2,701) Average Tangible Common Equity . . . . . . . . $ 255,341 $ 228,957 $ 190,311 $ 124,167 $ 99,887

86