Colony Bankcorp Inc (CBAN) 2026 Q1 法說會逐字稿

Thank you for standing by. My name is J.L, and I will be your conference operator today. At this time, I would like to welcome everyone to the Colony Bank first-quarter 2026 conference call.

感謝您耐心等候。我叫 J.L，今天將擔任本次電話會議的接線員。此刻，我謹代表主辦方歡迎各位參加 Colony Bank 2026 年第一季財報電話會議。

(Operator Instructions)

(接線員指示)

I would now like to turn the conference over to Brantley Collins, Communications Manager. You may begin.

接下來我將把電話會議交給傳訊經理 Brantley Collins。您可以開始了。

Thanks, J.L. Before we get started, I would like to go through our standard disclosures. Certain statements we make on this call could be constituted as forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Current and prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance but involve known and unknown risks and uncertainties.

謝謝你，J.L。在開始之前，我想先說明我們的標準揭露事項。我們在本次電話會議中所做的某些陳述，可能構成《1933 年證券法》及《1934 年證券交易法》所定義的前瞻性陳述。我們提醒現有及潛在投資人，任何此類前瞻性陳述並非對未來績效的保證，而是涉及已知與未知的風險與不確定性。

Factors that could cause these differences include, but are not limited to, pandemics, variations of the company's assets, businesses, cash flows, financial condition, prospects and other results of operations. I would also like to add that during our call today, we will reference our first-quarter earnings release and investor presentation, which were both filed yesterday, so please have those available to reference. And with that, I will turn the call over to our Chief Executive Officer, Heath Fountain.

可能導致實際結果出現差異的因素包括但不限於：疫情、公司資產、業務、現金流、財務狀況、前景及其他營運結果的變動。我也想補充說明，今天的電話會議中我們將引用第一季財報新聞稿與投資人簡報，兩者皆已於昨日提交，請準備好以便查閱。接下來我將把電話會議交給我們的執行長 Heath Fountain。

Thanks, Brantley, and thank you to everyone for joining our first-quarter earnings call today. We're pleased to report a solid start to the year with our first-quarter operating performance. This quarter marked a pivotal operational milestone as we successfully finalized our core systems conversion and completed the customer integration following the TC Federal merger. We're proud of our team's execution and are now fully positioned to deliver a premier service experience to our new Colony customers.

謝謝你，Brantley，也感謝各位今天參加我們的第一季財報電話會議。我們很高興回報第一季營運表現為今年帶來穩健的開局。本季達成一項關鍵的營運里程碑：我們成功完成核心系統轉換，並在 TC Federal 併購後完成客戶整合。我們為團隊的執行成果感到自豪，現在也已全面就緒，能為新的 Colony 客戶提供一流的服務體驗。

Operating income increased $580,000 from the prior quarter as we begin to see the impacts of the combined company post merger. We expect to see this continue to improve post conversion as we begin to realize operational efficiencies and additional cost savings moving into next quarter. With the primary integration milestones behind us, we're confident in our ability to scale toward a 1.20% ROA benchmark in Q2.

隨著我們開始看到併購後合併公司帶來的影響，營業利益較前一季增加 58 萬美元。我們預期在完成系統轉換後，隨著營運效率提升與額外成本節省於下季逐步實現，這項表現將持續改善。在主要整合里程碑已完成的情況下，我們有信心於第二季朝 1.20% 的 ROA 基準擴張。

Margin continues to expand, and we ended the quarter at 3.48%, which was a little better than our internal projections. This was driven by an acceleration of accretion income on acquired loans from the TC Federal merger. This acceleration was driven by early payoff of loans, several of which were participations that we acquired in the merger. Core margin continues to steadily increase, and Derek will talk more about the projections, but we do expect that margin may be a few basis points lower next quarter without the additional lift of the pull-forward loan accretion.

利差持續擴大，本季末為 3.48%，略優於我們的內部預估。主要原因是來自 TC Federal 併購所取得貸款的折價攤銷（accretion）收益加速認列。此加速主要由貸款提前清償所帶動，其中有數筆為我們在併購中取得的參貸（participations）。核心利差仍穩步上升，Derek 會進一步說明預測；但我們確實預期，若缺少提前認列的貸款折價攤銷所帶來的額外助益，下季利差可能會低幾個基點。

Loan growth in the first-quarter was lower than what we realized in 2025. And we mentioned last quarter that we expected 2026 to trend closer to the 8% end of our 8% to 12% growth target. The payoffs in the first-quarter impacted loan growth along with lighter demand, which was driven partially by the volatile rate environment driven by the conflict in the Middle East. We are starting to see more activity in our loan pipeline and are having more discussions with customers about loan opportunities. We still feel that a good growth number for 2026 is around that 8% mark.

第一季貸款成長低於我們在 2025 年所達成的水準。我們在上季也提到，預期 2026 年的走勢將更接近我們 8% 至 12% 成長目標區間的 8% 端。第一季的提前清償影響了貸款成長，加上需求較為疲弱；部分原因是中東衝突導致利率環境波動。我們開始在貸款案源管線中看到更多活動，也與客戶就貸款機會進行更多討論。我們仍認為 2026 年合理的成長數字大約在 8% 左右。

Turning to credit quality. We observed a quarter-over-quarter contraction in NPLs and the decline in criticized loans. Our credit team continues to demonstrate efficiency in resolving identified issues, preventing any buildup or stagnant criticized or classified loans. We provided an overview of our credit migration activity on slide 33, which shows that we are actively resolving problem loans.

接著談信用品質。我們觀察到不良貸款（NPLs）較上季收縮，且受關注貸款（criticized loans）也下降。我們的信用團隊持續展現高效率，能解決已識別的問題，避免受關注或分類貸款（classified loans）累積或停滯。我們在第 33 頁投影片提供了信用遷徙活動概覽，顯示我們正積極處理問題貸款。

The first-quarter was a strong quarter for many of our complementary business lines. These are highlighted on slide 17, and you can see the past quarter showed meaningful improvement on a combined pretax basis compared to the first-quarter of last year. Loan production and sales were higher in our mortgage division compared to the same period last year. Pretax income was significantly higher than Q1 2025, driven by more volume and slightly better margins. We believe this sets mortgage up to have a good year, although interest rate fluctuations and housing inventory continue to be challenges that will likely impact mortgage throughout 2026.

第一季對我們多條互補型業務線而言是表現強勁的一季。相關內容在第 17 頁投影片重點呈現，您可以看到，過去一季在合併稅前基礎上，相較去年第一季有顯著改善。與去年同期相比，我們房貸事業部的放款產出與銷售量更高。在更多量能與略佳利差的帶動下，稅前獲利顯著高於 2025 年第一季。我們認為這使房貸業務有望迎來良好的一年，儘管利率波動與房屋庫存仍是挑戰，且可能在 2026 年持續影響房貸業務。

Marine and RV lending and merchant services continue to show progress, and we expect that to continue, particularly in marine and RV lending as we head into a period of higher seasonal activity. This past quarter was the best quarter to date for Colony Financial Advisors, and we are proud of the progress the division continues to make. Recruiting has been strong with the addition of several new advisers over the past few quarters. These additions, along with the transition of our broker-dealer relationship from a managed to a dual program where we get a larger revenue share, but also bear the expenses has led to meaningful improvement. This has allowed for higher profitability that will continue to scale as we increase assets under management.

船舶與 RV（休旅車）貸款以及商戶服務持續展現進展，我們預期此趨勢將延續；尤其是船舶與 RV 貸款，隨著我們進入季節性活動較旺的期間，表現可望更佳。本季是 Colony Financial Advisors 迄今表現最佳的一季，我們為該部門持續取得的進展感到自豪。過去幾季新增多位新顧問，使招募表現強勁。這些新增人員，加上我們將券商交易商（broker-dealer）合作關係由「受管理」模式轉為「雙重」方案（我們取得更高的營收分成，但也需承擔相關費用），帶來了顯著改善。這使獲利能力提升，並將隨著我們提高資產管理規模（AUM）而持續擴張。

Slide 20 illustrates that growth in AUM, showing us at $555 million at the end of the quarter, up from $198 million at the end of the first-quarter in 2025. This represents significant growth since the formation of Colony Financial Advisors in late 2022. Colony Insurance also had their best quarter to date in Q1 for pretax income. Referrals to insurance from the bank were strong in the first-quarter, and we feel we have a lot of opportunity to capture more.

第 20 頁投影片說明 AUM 的成長：季末為 5.55 億美元，高於 2025 年第一季末的 1.98 億美元。這代表自 Colony Financial Advisors 於 2022 年底成立以來的顯著成長。Colony Insurance 在第一季的稅前獲利也創下迄今最佳季度表現。第一季銀行端轉介至保險的案件表現強勁，我們認為仍有很大機會可進一步提升承接量。

Items in force and premiums in force are shown on slide 21. The premium rate increases in 2025 presented some challenges last year, but there have been recent rate reductions that we think will drive additional policy volume as we go throughout this year. Our SBSL division had a lighter quarter driven by lower sales revenue and variability in charge-offs. The loan pipeline has shown positive improvement and with a shift towards real estate secured loans versus the small dollar loans, we see this as an opportunity for steady volume and improved revenues.

有效保單數（items in force）與有效保費（premiums in force）列示於第 21 頁投影片。2025 年的保費調升在去年帶來一些挑戰，但近期已有費率下調，我們認為這將在今年推動更多保單量。我們的 SBSL 部門本季較為清淡，主要受較低的銷售收入與核銷（charge-offs）波動影響。貸款案源管線已呈現正向改善，且隨著業務重心轉向不動產擔保貸款、相對減少小額貸款，我們視此為帶來穩定量能與提升營收的機會。

Past dues for SBSL were down about 30% and non-accruals were down around 24% during the quarter. We're likely to see more variability in charge-offs this year. And while some quarters could be around these same levels, we are not seeing anything to indicate significant increases.

SBSL 的逾期款（past dues）約下降 30%，非應計（non-accruals）於本季約下降 24%。我們今年可能會看到核銷出現較多波動。雖然部分季度可能維持在相近水準，但目前我們未看到任何跡象顯示核銷將大幅上升。

Also during the quarter, we added a National Sales Manager, John Kay in SBSL and look forward to seeing the expertise he will bring to the division. We've been without a person in that role for a little while, and we believe we found the right person to help us lead our sales team.

此外，本季我們在 SBSL 增聘全國銷售經理 John Kay，並期待他為該部門帶來的專業能力。這個職位我們空缺了一段時間，我們相信已找到合適人選來協助帶領銷售團隊。

Last month, we announced that the Kroll Bond Rating Agency affirmed the credit ratings for both the company and the bank with a stable outlook. This independent validation reflects the disciplined execution of our long-term strategy. We believe these ratings serve as a confirmation of our capital strength and the overall stability of our platform.

上個月，我們宣布 Kroll Bond Rating Agency 確認（affirmed）公司與銀行的信用評等，展望為穩定。這項獨立驗證反映我們對長期策略的紀律性執行。我們相信這些評等可作為我們資本實力與整體平台穩定性的確認。

As industry consolidation accelerates, we are seeing significant M&A-related disruptions across our footprint. This environment creates a unique tailwind for us, and our team is focused on capturing high-quality customer relationships that are seeking the stability and high-touch service that our model provides. We are well positioned to capitalize on these market shifts to drive organic growth, and we are seeing positive growth tied directly to this disruption.

隨著產業整併加速，我們在營運版圖內看到與併購（M&A）相關的重大擾動。這樣的環境為我們帶來獨特的順風助力，我們的團隊專注於掌握高品質的客戶關係，這些客戶正在尋求我們模式所提供的穩定性與高接觸式服務。我們已做好充分準備，把握這些市場變化以推動有機成長，且我們正看到與此擾動直接相關的正向成長。

We remain encouraged by the M&A landscape. Our recent integration success has enhanced our capacity at scale, and we are actively evaluating opportunities that align with our strategic and cultural criteria. We feel very good about our current position and are confident in our ability to execute another accretive transaction as the right opportunities emerge.

我們對併購（M&A）態勢仍感到鼓舞。我們近期的整合成功提升了我們在規模化運作下的承載能力，我們也正積極評估符合我們策略與文化標準的機會。我們對目前的定位感到非常良好，並有信心在合適機會出現時，執行另一筆具增益（accretive）的交易。

We're proud of our overall performance in the quarter, and our team has done a great job through our post-merger systems conversion as well as continuing to execute on many of our strategic objectives. We believe this leaves us well positioned to provide consistent execution as we continue on the path of building a sustainable, high-performing independent bank.

我們為本季整體表現感到自豪；我們的團隊在併購後的系統轉換以及持續推進多項策略目標方面都做得非常出色。我們相信，這使我們在持續打造一家可持續、績效卓越的獨立銀行之路上，具備穩健且一致的執行能力。

With that, I'll turn it over to Derek to go over the financials in more detail.

接下來我把時間交給 Derek，請他更詳細說明財務表現。

Thank you, Heath. Operating net income increased to $9.5 million in the first-quarter and operating pre-provision net revenue increased approximately $1.3 million to $13.9 million in the quarter. Net interest income increased approximately $3.3 million during the quarter and is reflective of a full quarter post-merger, and that's in addition to continued repricing benefits from both sides of the balance sheet. Net interest margin increased 16 basis points to 3.48% with the interest-earning assets component increasing 13 basis points to 5.33% and interest-bearing liabilities decreasing 3 basis points to 2.28%.

謝謝你，Heath。第一季營運淨利增加至 950 萬美元，營運稅前提存前淨收益（operating pre-provision net revenue）在本季增加約 130 萬美元至 1,390 萬美元。本季淨利息收入增加約 330 萬美元，反映併購後完整一季的貢獻，此外也包含資產負債表兩端持續重定價所帶來的效益。淨利息利差（NIM）上升 16 個基點至 3.48%，其中生息資產端上升 13 個基點至 5.33%，付息負債端下降 3 個基點至 2.28%。

Our overall cost of funds remained relatively stable, decreasing 2 basis points quarter-over-quarter to 1.94% and we expect that our cost of funds will remain around this level unless we see changes to short-term interest rates. Heath mentioned the accelerated accretion income in the first-quarter, and that drove margin above our initial forecast.

我們整體資金成本維持相對穩定，較上季下降 2 個基點至 1.94%；除非短期利率出現變化，否則我們預期資金成本將大致維持在此水準。Heath 提到第一季加速攤銷增益（accelerated accretion income），這使得利差高於我們最初的預測。

From a core margin perspective, so excluding the accelerated accretion, we are around 3.41%. Our projections indicate modest increases in margin of a few basis points each quarter and we should see margin trend closer to the core margin in the second-quarter under our base case assumptions, which means we are likely to see margin a few basis points lower in the second-quarter.

從核心利差角度（亦即排除加速攤銷）來看，我們約為 3.41%。我們的預測顯示利差每季將小幅增加數個基點；在基本情境假設下，第二季利差應會走勢更接近核心利差，這也意味著第二季利差可能較第一季低數個基點。

Operating non-interest income in the first-quarter was $10.7 million. The first-quarter is shorter in the number of days and is seasonally lighter for us in terms of activity in our complementary business lines. Compared to the same quarter last year, operating non-interest income increased $1.7 million from $9 million in the first-quarter of '25.

第一季營運非利息收入為 1,070 萬美元。第一季天數較少，且就我們的互補性業務線活動而言，季節性通常較為清淡。與去年同期相比，營運非利息收入增加 170 萬美元，從 2025 年第一季的 900 萬美元提升。

On slide 17, we illustrate pretax income by business line. Mortgage pretax income was $222,000 compared with $31,000 in the first-quarter of last year. Slide 19 overviews production and sales volume by quarter with the first-quarter of 2026 showing meaningful increases in both production and sales compared to Q1 of last year. We're seeing a good start to the year and expect a better mortgage trend this year compared to what we saw in 2025. Over the past several quarters, we've recruited MLOs in key markets and adjusted our products to meet customers' needs and drive increased profitability.

在第 17 頁投影片中，我們按業務線呈現稅前收入。房貸業務稅前收入為 22.2 萬美元，去年第一季為 3.1 萬美元。第 19 頁投影片概述各季的生產量與銷售量，2026 年第一季相較去年第一季在生產與銷售兩方面皆有顯著增加。我們看到今年有個良好開局，並預期今年房貸趨勢將優於 2025 年的表現。過去幾季，我們在關鍵市場招募了房貸專員（MLO），並調整產品以符合客戶需求並提升獲利能力。

Heath mentioned the growth in Colony Financial Advisors and on a pretax income basis, this was their best quarter to date. The AUM growth has been solid, and we see lots of potential to grow that organically in several key markets, and that's in addition to also recruiting new advisers.

Heath 提到 Colony Financial Advisors 的成長；以稅前收入來看，這是他們迄今表現最佳的一季。資產管理規模（AUM）成長穩健，我們在數個關鍵市場看到大量有機成長的潛力，此外也會持續招募新的理財顧問。

Colony Insurance had a great start to the year in the first-quarter. Heath mentioned challenges on pricing last year and how those have recently been scaled back. We believe these changes will help both customer retention and new customer acquisition and in turn, drive better profitability for that division. SBSL pretax income decreased to $95,000 in the quarter. This was driven by lower revenue and higher charge-offs.

Colony Insurance 在第一季有個非常好的開局。Heath 提到去年在定價方面的挑戰，以及近期這些挑戰已被縮減。我們相信這些變化將有助於客戶留存與新客戶取得，進而帶動該部門更佳的獲利能力。SBSL 本季稅前收入下降至 9.5 萬美元。主要原因是收入較低以及沖銷（charge-offs）較高。

Slide 18 shows the production and sales volume by quarter. Seasonally, the first-quarter is lighter, but we're starting to see a stronger loan pipeline in both volume and credit quality. Charge-offs with SBSL have variability, and we may see similar levels next quarter with a trend toward improvement in the following quarters.

第 18 頁投影片顯示各季的生產量與銷售量。就季節性而言，第一季較為清淡，但我們開始看到放款案源（pipeline）在量與信用品質兩方面都更為強勁。SBSL 的沖銷具有波動性，我們下季可能仍會看到類似水準，並在接下來幾季呈現改善趨勢。

Also during the quarter, approximately $30 million of portfolio mortgages were sold for a gain of about $110,000. We mentioned this on last quarter's call and noted the increase in the held-for-sale classification at the end of the year. We do not anticipate any other pool sales in the near term.

此外，本季出售約 3,000 萬美元的投資組合房貸，實現約 11 萬美元的收益。我們在上季電話會議中提到此事，並指出年底時持作出售（held-for-sale）分類的增加。我們預期短期內不會再有其他資產池出售。

Operating non-interest expenses were $26 million in the quarter. This includes the cost and personnel expenses that were needed to get us through the systems conversion and customer integration following the merger. Now we are positioned to begin seeing additional cost savings beginning in the second-quarter. However, this is expected to be offset by seasonally higher activity in our business lines that will drive some higher variable expenses. But we expect that to be outpaced by additional revenue, which should generate positive operating leverage across our business lines.

本季營運非利息費用為 2,600 萬美元。其中包含為完成併購後系統轉換與客戶整合所需的成本與人員費用。目前我們已具備條件，自第二季起開始看到額外的成本節省。不過，這預期將被我們各業務線季節性較高的活動所抵銷，該活動將帶來部分較高的變動費用。但我們預期額外收入的增幅將超過費用增加，從而在各業務線產生正向的營運槓桿。

Operating net non-interest expense to average assets was 1.68% for the quarter, and this is reflective of seasonally lower activity in our business line as well as the additional expenses through systems conversion. We expect this to trend towards our target of 1.45% over the next several quarters. And merger-related expenses in the quarter were approximately $1.6 million.

本季營運淨非利息費用占平均資產比率為 1.68%，反映業務線季節性較低的活動，以及系統轉換期間的額外費用。我們預期未來幾季將朝我們 1.45% 的目標水準趨近。本季與併購相關的費用約為 160 萬美元。

Provision expense totaled $1.75 million and was a slight increase of $100,000 for the prior quarter. Net charge-offs by type on slide 32. And while there was a slight increase in core bank loan charge-offs, it only represents $315,000 or about 5 basis points of average loans. Both nonperforming loans and classified loans decreased quarter-over-quarter. The allowance for credit losses was 0.90% of total loans and 122% of nonperforming loans.

提存費用合計 175 萬美元，較前一季小幅增加 10 萬美元。各類型淨沖銷請見第 32 頁投影片。雖然核心銀行放款沖銷略有增加，但僅為 31.5 萬美元，約占平均放款 5 個基點。不良放款與分類放款皆較上季下降。信用損失備抵（ACL）占總放款 0.90%，並為不良放款的 122%。

As you may remember from last quarter call, a large percentage of the increase in classified and criticized loans starting in the fourth-quarter was a result of the TC Federal merger.

如各位可能還記得上季電話會議所提到，自第四季起分類與受關注（criticized）放款增加的很大一部分，是 TC Federal 併購所致。

Loans held for investment increased $32.2 million or around 5.4% annualized. There were early payoffs on acquired TC Federal loans and a portion of those were related to legacy participation loans. And then the weighted average rate on new and renewed loans is shown on slide 34, and that was 7.11% for the quarter. Total deposits declined slightly during the quarter by $19 million and was a result of repositioning of municipal funds after year-end tax collection. Municipal deposit balances declined approximately $30 million in the first-quarter.

持作投資放款增加 3,220 萬美元，約為年化 5.4%。併入的 TC Federal 放款出現提前清償，其中一部分與既有的參貸（participation loans）有關。另外，第 34 頁投影片顯示新承作與續作放款的加權平均利率，本季為 7.11%。本季總存款小幅下降 1,900 萬美元，原因是年底稅收後市政資金的重新配置。第一季市政存款餘額約下降 3,000 萬美元。

Our deposit pipeline still see many opportunities to develop strong customer deposit relationships across our footprint. We've developed a deposit strategy to target customer relationships as well as take advantage of M&A disruption in our markets. Deposits remain a key focus in our strategic growth plan.

我們的存款開發管道仍看到許多機會，可在我們的營運版圖內建立強健的客戶存款關係。我們已制定一套存款策略，鎖定客戶關係，同時把握我們市場中併購（M&A）所帶來的擾動機會。存款仍是我們策略性成長計畫的關鍵重點。

Total share repurchases during the quarter were about 89,000 at an average price of $19.78. This week, the Board also declared a quarterly cash dividend of $0.12 per share. Our AOCI slightly improved quarter-over-quarter despite an increase to interest rates along the curve. This reflects the continued strengthening of our balance sheet health. TCE at the end of the quarter was 8.49%, an increase from 8.30% in the prior quarter and tangible book value per share also increased to $14.65, up from $14.31 at the end of the year and $13.46 a year ago.

本季股票回購總量約為89,000股，平均價格為19.78美元。本週董事會亦宣告每股0.12美元的季度現金股利。儘管殖利率曲線各期限利率上升，我們的AOCI仍較上季略有改善。這反映出我們資產負債表健康度持續強化。

That concludes my overview. And now I will turn it back over to Heath before we take questions.

以上是我的概述。接下來在進入提問前，我把時間交回給Heath。

Thanks, Derek, and thanks again, everyone, for being on the call today. We're very pleased with our performance this quarter. That wraps up our prepared comments. And with that, I will call on J.L. to open up the line for any questions we have.

謝謝你，Derek，也再次感謝各位今天參與電話會議。我們對本季表現非常滿意。以上為我們事先準備的發言。接下來我請J.L.開放線路，讓大家進行提問。

(Operator Instructions)

（接線員指示）

David Bishop, Hovde Group.

David Bishop，Hovde Group。

I'm just curious from the Small Business SBSL segment, is that sort of the key driver of this sort of recent uptick in the loan loss provisioning level this quarter and last? And is this something we should maybe get used to a run rate close to -- closer to $2 million per quarter? You see -- I think you said last quarter, you're trying to migrate away from maybe the Express and Lightning type credits. Do you see maybe some of the credit headwinds sort of abating the latter half of the year as we sort of roll off the books?

我想請教一下，就小型企業SBSL部門而言，這是否是本季與上季貸款損失提存水準近期上升的主要驅動因素？另外，這是否會成為我們應該習慣的常態水準——每季接近、或更接近200萬美元？你看——我記得你上季提到，你們正嘗試逐步移轉、降低像Express和Lightning這類授信。隨著這些逐步從帳上到期退出，你是否認為今年下半年信用面的逆風會有所緩解？

Yes, Dave, I think what I would expect to see is volumes pick back up and the overall profitability of that division and revenues get back closer to levels we saw in the middle of last year. On the provisioning and charge-off levels, I think going forward, where our allowance is, we're going to generally see backfilling any charge-offs. And then I think in future quarters, we should see a little more loan growth than we saw this quarter. So we'll keep up with that. So somewhere around the current level, maybe down a little, up a little, just depending on the charge-off activity.

是的，Dave，我預期會看到量能回升，該部門的整體獲利能力與營收將回到接近去年年中我們看到的水準。就提存與沖銷水準而言，往後在我們目前備抵水準下，通常會看到我們對任何沖銷進行補提。此外，我認為未來幾季我們的貸款成長會比本季稍多一些。因此我們會跟上這個節奏。所以大致會在目前水準附近，可能略低或略高，主要取決於沖銷活動。

So even though it's small in relative dollars, we're replenishing those reserves.

所以即使相對金額不大，我們仍會補回那些準備金。

Got it. And then I think I heard you say, Heath, at the start of the call, I feel good about the loan pipeline replenishing here. Still talking about 8% loan growth rate. I'm just curious where you're seeing the best opportunity to grow the portfolio and where you're seeing current pricing?

了解。另外我想我聽到你在開場時說，Heath，你對貸款管道正在補回感到樂觀。仍然在談8%的貸款成長率。我想請教你目前看到投資組合成長的最佳機會在哪裡，以及目前的定價水準如何？

Yes. No. So Derek mentioned, start off with pricing, we were around 7 -- a little over 7% for the quarter. Of course, prime around 6.75%. It's looking like that will be stable.

是的。不。所以如Derek提到，先從定價談起，本季我們大約在7%——略高於7%。當然，最優惠利率（prime）約在6.75%。看起來這會維持穩定。

We are seeing more competitive pricing out there. And so I would expect our yields to come down a little bit as volume goes up there. We are committed to good solid pricing. We think that's important. Relationship pricing, we will look to be as competitive as we can be there, but just kind of measuring and monitoring that growth versus pricing because we like what we're seeing in terms of continuing to improve our margin and our asset yields.

我們確實看到市場上出現更具競爭性的定價。因此我預期隨著量能上升，我們的收益率會略微下滑。我們仍致力於良好且穩健的定價。我們認為這很重要。在關係型定價方面，我們會盡可能保持競爭力，但也會衡量並監控成長與定價之間的取捨，因為我們喜歡目前看到的趨勢——持續改善我們的利差與資產收益率。

So -- but it is competitive out there. I think we're seeing it geographically across the board. And I would say there's -- it would look like our current portfolio. So obviously, commercial real estate, we're seeing good opportunities there, but also on the commercial business side, C&I, we're seeing good opportunities there as well. So I think we'd see it track similar to the breakdown of our portfolio today, and we are seeing it pretty good across our footprint.

所以——但市場確實競爭激烈。我認為我們在各個地理區域都看得到。而且我會說——看起來會與我們目前的投資組合相似。因此很明顯，在商用不動產方面我們看到不錯的機會；同時在商業放款端、也就是C&I（商業與工業）方面，我們也看到良好機會。所以我認為其走勢會與我們目前投資組合的結構拆分相近，而且在我們的營運版圖內整體表現都相當不錯。

Got it. And then one final question, I guess, I'll before I hop in the queue. The insurance group, you recognize their contribution here. Do you think pricing and conditions can improve that market, you can continue to see an uptick in pretax profitability there this year?

了解。最後一個問題，我想在我回到排隊前先問一下。關於保險團隊，你們在這裡認列了他們的貢獻。你認為定價與市場條件能否改善該市場，讓今年保險業務的稅前獲利能力持續上升？

Yes. I do think we will -- last year, we've added the LOB agency to that team. And we got through that integration at a time where we were seeing rate increases and it was a tougher environment. We're now starting to see some rate decreases. Plus we also had the time to integrate a better sales platform, better sales training, better integration of working with the bankers to get referrals.

是的。我確實認為我們會——去年我們把LOB代理業務加入該團隊。我們在利率上升、環境較艱難的時期完成了整合。現在我們開始看到一些費率下降。此外，我們也有時間整合更好的銷售平台、更好的銷售訓練，以及與銀行同仁合作取得轉介的更佳整合。

So we've seen a big uptick in those referrals, and we expect to continue to see that grow. So I think we'll continue to see good things out of the insurance group.

因此我們看到轉介量大幅提升，並預期會持續成長。所以我認為我們會持續看到保險團隊帶來良好表現。

Christopher Marinac, Brean Research.

Christopher Marinac，Brean Research。

Can you talk a little bit about the Merchant Services business and how that can not only further grow, but also impact deposits and pricing for the overall spread business going forward?

你能否談談商戶服務（Merchant Services）業務，以及它不僅如何進一步成長，也將如何在未來影響整體利差業務的存款與定價？

Yes, Chris, that's a great question. And we see this as a really good deposit acquisition part of our business. So we have taken our Merchant, our Treasury and our Credit Card group and moved that all into what we call banking solutions. And because of doing that, we've made it simpler for how we interact with the customers. We made it simpler for how we interact with the bankers. And there's a ton of opportunity to lead with the right product.

是的，Chris，這是個很好的問題。我們把這視為我們業務中非常好的存款獲取來源。因此我們已將商戶、金庫（Treasury）以及信用卡團隊整合，全部納入我們所稱的「銀行解決方案」。透過這樣做，我們簡化了與客戶互動的方式。我們也簡化了與銀行同仁互動的方式。而且有大量機會可以用合適的產品作為切入點。

And so we find Merchant Services to be one where in that field, there's a lot of turnover with other companies. There's a lot of ambiguity into the rates charged. So we find that customers really are happy to meet with us on our first call and turn over their merchant statements to us and give us an opportunity. And of course, when we do that, if we're able to win that business, we establish a deposit relationship for settling there, and then we just continue to work on that relationship to bring over deposit business.

因此我們發現商戶服務是其中一項——在那個領域，其他公司的更替率很高。收費費率也存在很多不透明之處。所以我們發現客戶在第一次接觸時通常很樂意與我們會面，並把他們的商戶對帳單交給我們，給我們一個機會。當然，當我們能夠拿下這筆業務時，我們就能建立用於結算的存款關係，接著持續經營該關係，把更多存款業務帶過來。

So it's really a great customer acquisition tool to bring in core commercial small business deposit relationships, and we're seeing really good success. And then as you see that just incrementally grow, that's very much a recurring revenue business. So we just keep building that, and we don't really have to add much level of expense there as we grow. So we're excited about that business. They're doing a great job in the banking solutions team altogether, how that's integrated and made it simpler for us.

因此這確實是一個很好的客戶獲取工具，可帶來核心商業小型企業的存款關係，而且我們看到非常好的成效。而且隨著它逐步成長，這非常屬於經常性收入的業務。因此我們只要持續累積規模，隨著成長並不需要增加太多費用水準。所以我們對這項業務感到振奮。他們在整個銀行解決方案團隊的表現都非常出色——整合方式以及如何讓我們的流程更簡化。

It leads to a quicker time to win a relationship. And so we're very pleased with how that group has performed.

這會讓贏得一段合作關係的時間更快。因此，我們對該團隊的表現感到非常滿意。

Great. And my follow-up was about just loan pricing in general. With the loan yields this quarter, I know TC impacted that to some extent. But is there opportunity for that loan yield to rise with the repricing and the details that you had repeated again this morning?

很好。我接著想問的是整體貸款定價的問題。本季的貸款收益率，我知道 TC 在某種程度上對此有影響。但隨著重新定價，以及你今天早上再次提到的那些細節，貸款收益率是否有機會上升？

Yes, I think so. I mean if you look at our new and renewed loan rate in the past quarter at 7.11% relative to where our overall loan yields are, I think that we could see some incremental increases there. I don't expect anything drastic. I mean, obviously, that depends on the level of growth that we see. And as Heath mentioned earlier, we're starting to see some competition there on loan pricing. So that will have some impact there as well.

是的，我想是有的。我的意思是，如果你看我們過去一季新承作與續作貸款利率為 7.11%，相較於我們整體貸款收益率的水準，我認為我們可能會看到一些增量的上升。我不預期會有任何劇烈變化。當然，這取決於我們看到的成長幅度。而且如 Heath 先前提到的，我們開始看到在貸款定價上出現一些競爭。因此那也會對此產生一些影響。

But I do think that we have the possibility to see that continue to kind of chug along and increase over time outside of the impact of any accelerated accretion that will see the impact overall loan yield.

但我確實認為，撇開任何加速折價攤銷（accretion）對整體貸款收益率的影響，我們仍有可能看到它持續穩步推進，並隨時間逐步上升。

And Chris, if you think about it, even if we pull back a little bit on our new and renewed rate yield, there's still a delta there between where our portfolio yields. I think for the quarter, it was 6.35%. Now some of that is some of that accelerated accretion.

而且 Chris，如果你想一想，即使我們的新承作與續作利率收益率稍微回落一些，與我們投資組合收益率之間仍然存在差距。我想本季大約是 6.35%。其中一部分是那個加速折價攤銷。

But even if we pull back some, there's opportunity to be originating new and renewed above our current yield and then plus the amortization that's running off any payoffs that we get that are at those lower yields that were -- previously that are starting to renew and amortize. So we feel like that place on the asset side, there's really -- we should see continued improvement there.

但即使我們回落一些，仍有機會以高於目前收益率的水準承作新貸與續作，此外，隨著任何還款（payoffs）發生，那些較低收益率的部位會攤銷並逐步退出——也就是先前的那些部位，現在開始續作與攤銷。所以我們覺得在資產端這一塊，確實——我們應該會看到持續改善。

Great. And last one for me just has to do with the overall expense efficiency in general. I mean, should we continue to see that progress as this year plays out? And any, I guess, just general goals on next year?

很好。我最後一個問題是關於整體費用效率。也就是說，隨著今年接下來的進展，我們是否應該持續看到這方面的改善？以及，明年是否有任何大致的目標？

Yes. Very much so. We're very focused on that. And again, we look at that from the standpoint of our net NIE, which was 1.68%, and we should start seeing that trend towards that 1.45%. We'll have merger expenses or additional staffing and contract expenses from TC that were in Q1 that will have rolled off many of them, the staffing side is done and most of the contract expenses are done now or will be done during the quarter. And so you'll see improvement there.

是的。非常是。我們非常專注在這件事上。而且我們再次從淨非利息費用（net NIE）的角度來看，目前是 1.68%，我們應該會開始看到它朝 1.45% 的趨勢前進。我們在第一季有併購費用，或因 TC 而增加的人員與合約費用；其中很多會逐步消退，人員配置方面已完成，而大部分合約費用現在也已完成或將在本季內完成。因此你會看到改善。

Where we will see -- we expect some of the variable expenses in our business lines to increase a little bit as we go through Q2 and Q3, which are seasonally higher plus the return of SBSL. And I just point out, we saw year-over-year increases in our complementary lines really in the quarter that our SBSL was down a little bit, and it's a significant driver.

我們會看到——我們預期隨著進入第二季與第三季，我們各業務線的一些變動費用會小幅增加，因為這兩季季節性較高，加上 SBSL 的回歸。我也想指出，我們在互補性業務線上看到年對年增加，主要發生在本季 SBSL 稍微下滑的情況下，而 SBSL 是一個重要的驅動因素。

So as it returns, to a higher level of revenues, mortgage improvement for seasonality. You can look on our mortgage slide and see how that Q1 is always a light quarter, but a much more profitable this quarter. So we'll see that net NIE start to improve in the second-quarter, both from the revenue side on the complementary lines, but also from the expense side in the core bank.

因此當它回到較高的營收水準時，加上房貸業務因季節性而改善。你可以看我們的房貸投影片，第一季一向是較淡的一季，但本季獲利能力高得多。所以我們會看到淨非利息費用（net NIE）在第二季開始改善，一方面來自互補性業務線的營收端，另一方面也來自核心銀行的費用端。

David Bishop, Hovde Group.

David Bishop，Hovde Group。

Maybe just curious, now that you have TC Federal behind. From an acquisition perspective, just curious what might be in your target sights here? There's been a lot of consolidation within your markets. Just curious where you're focusing your efforts these days on potential acquisitions?

我只是好奇，現在你們已經把 TC Federal 的整合告一段落。從併購的角度來看，想請教你們接下來可能鎖定哪些目標？你們的市場內已經有很多整併。想了解你們目前在潛在併購上，努力的重點放在哪裡？

Yes. Thanks, Dave. Good question. And we do believe we're in a place we've gotten the TC Federal integration complete, and we are actively having conversations. It's an area of focus for our team, but particularly for me. And so we're out being very active throughout our footprint.

是的。謝謝你，Dave。好問題。我們確實相信，我們已完成 TC Federal 的整合，並且正積極進行對話。這是我們團隊的重點領域，尤其是我本人。因此我們在整個營運版圖內都非常積極。

On slide 14, we laid out kind of our target area, which is really Georgia and the contiguous states. So we're out in -- both in Georgia and in these other states actively having conversations with other management teams that we think will be a good fit. The TC merger, I think, just shows how a good cultural fit is important. It made the integration much easier both from the team member side, but also from the customer side.

在第 14 頁投影片，我們列出了我們的目標區域，主要是喬治亞州以及相鄰州。因此我們在——不論是喬治亞州或其他這些州，都在積極與我們認為合適的其他管理團隊進行對話。我認為 TC 的併購也顯示出良好的文化契合度很重要。這讓整合容易得多，不論是從團隊成員端，或是從客戶端。

And so our focus is really on strategic deals where we can have alignment with the other bank's management team, and they view it as an opportunity to continue their investment and see that the combined company can be more profitable, have more scale and also have additional products and services and larger lending limit to be able to grow better as a combined company than either could on their own.

因此我們的重點確實放在策略性交易上：我們能與對方銀行的管理團隊達成一致，而他們也將此視為一個機會，得以持續投入，並看到合併後的公司能更有獲利能力、具備更大規模，同時也能提供更多產品與服務，以及更高的放款上限，從而讓合併後的公司比任何一方單獨經營都能成長得更好。

And we think those opportunities are out there. It takes time in developing relationships and it's something that we're spending our time on and particularly my time. And we are at the place now where we feel good about being able to start the process with another one. So hopefully, we'll keep having good success there like we have with this last one and just keep the momentum going forward.

我們認為這些機會確實存在。建立關係需要時間，而這正是我們投入時間在做的事，尤其是我本人。而我們現在也到了這個階段，對於能夠開始進行下一個案子感到有信心。所以希望我們能像上一筆交易一樣持續取得良好成果，並讓動能持續向前。

There are no further questions at this time. That's concluding our Q&A session. I will now turn the conference back over to Heath Fountain, CEO, for closing remarks.

目前沒有其他問題。問答環節到此結束。我現在把電話會議交回給執行長 Heath Fountain 作結語。

Thanks, J.L., and thanks again, everyone, for being on the call today and for your support of Colony Bancorp. We're excited about the opportunities ahead and appreciate you being on the call today.

謝謝你，J.L.，也再次感謝各位今天參與電話會議並支持 Colony Bancorp。我們對未來的機會感到振奮，也感謝各位今天參與。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以掛線。