Stellar Bancorp Inc (STEL) 2022 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the CBTX Q2 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. (Operator Instructions)

女士們，先生們，感謝各位的支持，歡迎參加 CBTX 2022 年第二季業績電話會議。目前，所有與會者均處於僅收聽模式。 （操作員指示）

I'd now like to turn the call over to your host, Justin Long, General Counsel. You may begin.

現在我想把電話轉給主持人、總法律顧問賈斯汀朗。您可以開始發言了。

Thank you. Good morning. I'm Justin Long, General Counsel of CBTX, and our management team would like to welcome you to our earnings call for the second quarter of 2022. We appreciate you joining us. We issued our earnings press release yesterday afternoon, a copy of which is available on our website, along with the slide presentation that we will refer to during this presentation.

謝謝！早安.我是 CBTX 的總法律顧問 Justin Long，我們的管理團隊歡迎您參加我們 2022 年第二季的財報電話會議。感謝您的參與。我們昨天下午發布了財報新聞稿，您可以在我們的網站上查看，同時還可以查看本次發布會上將要用到的幻燈片演示。

Before we begin, I'd like to remind you that during this presentation, we may make forward-looking statements regarding future events, our financial performance or our business prospects. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially. Additional information concerning factors that could cause actual results to differ is available in our earnings release and in the Risk Factors section of our annual report on Form 10-K, our quarterly reports on Form 10-Q and our other filings with the SEC, which can all be accessed on our Investor Relations website at ir.cbtxinc.com.

在開始之前，我想提醒您，在本次簡報中，我們可能會就未來事件、財務表現或業務前景做出前瞻性陳述。前瞻性陳述受風險和不確定性因素的影響，這些因素可能導致實際結果與預期有重大差異。有關可能導致實際結果出現差異的因素的更多信息，請參閱我們的收益報告、10-K 表年度報告、10-Q 表季度報告以及我們向美國證券交易委員會 (SEC) 提交的其他文件的“風險因素”部分，這些文件均可在我們的投資者關係網站 ir.cbtxinc.com 上查閱。

Any forward-looking statements are made only as of the date of this call, and we assume no obligation to update any such statements. You should also be aware that during this call, we will reference certain non-GAAP financial information. A reconciliation of these financial measures to the most directly comparable GAAP financial measures is included in our earnings release and investor presentation.

任何前瞻性陳述僅截至本次電話會議召開之日有效，我們不承擔更新任何此類陳述的義務。另請注意，在本次電話會議中，我們將引用某些非公認會計準則 (GAAP) 財務資訊。這些財務指標與最直接可比較的公認會計準則 (GAAP) 財務指標的對帳表已包含在我們的收益報告和投資者報告中。

I'm joined this morning by Bob Franklin, our Chairman, President and CEO; Ted Pigott, our Chief Financial Officer; Joe West, our Chief Credit Officer; and Joseph McMullen, our Controller. At the end of their remarks, we will open the call to questions.

今天上午，與我一同出席的嘉賓包括：我們的董事長、總裁兼首席執行官鮑勃·富蘭克林 (Bob Franklin)；我們的首席財務官泰德·皮戈特 (Ted Pigott)；我們的首席信貸官喬·韋斯特 (Joe West)；以及我們的財務總監約瑟夫·麥克馬倫 (Joseph McMullen)。他們的發言結束後，我們將開始提問環節。

With that, I'll turn it over to our Chairman, President and CEO, Bob Franklin.

接下來，我將把發言權交給我們的董事長、總裁兼執行長 Bob Franklin。

Thank you, Justin, and welcome to the earnings call for CBTX Inc. We are pleased to present our second quarter results for 2022. During the second quarter, we have continued to see a fairly strong economy and consequently, a nice growth in our loan portfolio.

謝謝賈斯汀，歡迎參加 CBTX Inc. 的財報電話會議。我們很高興地宣布 2022 年第二季的業績。在第二季度，我們繼續看到相當強勁的經濟，因此我們的貸款組合也實現了良好的成長。

We have also seen some of the benefits of our low-price deposit base that provides us even while beginning to experience some pressure to the upside on pricing. During the quarter, we did see some net interest margin expansion, and we expect that trend to continue as the Federal Reserve pursues higher interest rates.

我們也看到了低價存款基礎帶來的一些好處，即使在定價上行壓力開始顯現的情況下，這仍然為我們帶來了收益。本季度，我們的淨利差確實有所擴大，隨著聯準會繼續升息，我們預計這一趨勢將持續下去。

We are very proud of our team that continues to produce while we work hard towards our merger with Allegiance Bank. Mergers can be distracting, but our team has continued to serve our customers while also doing the hard work it takes to make sure that we have a successful merger.

我們為我們的團隊感到自豪，他們在努力推進與Allegiance Bank合併的同時，依然保持著高效運作。合併可能會讓人分心，但我們的團隊在持續服務客戶的同時，也付出了辛勤的努力，確保合併成功。

During the second quarter, shareholders of Allegiance and CBTX approved agreement for the merger, and we received approval of both the FDIC and the Texas Department of Banking. While we wait patiently for the approval of the Federal Reserve, we continue to work diligently with our counterparts at Allegiance to provide for a smooth transition for our customers, employees, shareholders, and communities which we serve.

第二季度，Allegiance 和 CBTX 的股東批准了合併協議，我們也獲得了美國聯邦存款保險公司 (FDIC) 和德州銀行部門的批准。在耐心等待聯準會批准的同時，我們將繼續與 Allegiance 的同事們密切合作，為我們的客戶、員工、股東以及我們服務的社區提供平穩的過渡。

Despite these positives, we must remain vigilant for these changes to the economy. The Fed has told us that it intends to slow the economy through a series of interest rate hikes to try and get a handle on inflation. We know that higher interest rates can lead to strains on the economy and certain asset repricing. However, we must continue to adjust our underwriting to accommodate a slowing economy.

儘管有這些正面因素，我們仍需對經濟情勢的變化保持警覺。聯準會已表示，其計劃透過一系列升息來減緩經濟成長，以控制通膨。我們知道，升息可能會對經濟造成壓力，並導致某些資產重新定價。然而，我們必須持續調整承保策略，以適應經濟放緩。

We do benefit from operating in the state of Texas, where we continue to see both job and population growth, but we are not immune to what is happening in the rest of the nation in the world. We think that our timing of bringing 2 well-positioned Texas banks together is a good one. We continue to work to be more efficient as one organization with a strong low-cost deposit base and a granular well-priced loan portfolio.

我們確實受益於在德克薩斯州的運營，我們持續看到就業和人口的增長，但我們也無法免受美國其他地區以及世界其他地區局勢的影響。我們認為，將兩家實力雄厚的德州銀行合併的時機恰到好處。我們將繼續努力，以一個擁有強大低成本存款基礎和精細化、價格合理的貸款組合的組織形式，提高效率。

Although we are cautious about the next several months as the economy adjusts to inflation and higher interest rates, we are very optimistic on the long-term future of our bank.

儘管我們對未來幾個月經濟適應通貨膨脹和更高利率的情況持謹慎態度，但我們對銀行的長期前景非常樂觀。

Now, I will turn the meeting over to Ted Pigott, our Chief Financial Officer.

現在，我將會議交給我們的財務長 Ted Pigott。

Thank you, Bob. Certain financial information for the quarter ended June 30, 2022, and our period begins on Slide 6 of our investor presentation. The company has reported net income of $11.7 million or $0.48 per diluted share for our second quarter of 2022 compared to net income of $10.6 million or $0.43 per diluted share for first quarter 2022 and net income of $11.7 million or $48 per diluted share for second quarter 2021.

謝謝，鮑伯。部分財務資訊截至2022年6月30日，本季從投資人簡報的第6張投影片開始。公司報告稱，2022年第二季淨利為1,170萬美元，即每股攤薄收益0.48美元，而2022年第一季淨利潤為1,060萬美元，即每股攤薄收益0.43美元，2021年第二季淨利為1,170萬美元，即每股攤薄收益0.43美元，2021年第二季淨利為1170萬美元，即每股攤薄收益0.43美元。

Net interest income for second quarter of 2022 was $34.9 million and increased $2.2 million with $1.3 million attributable to rate variance primarily related to interest-bearing deposits in other financial institutions, strong first quarter to 2022. The net interest margin adjusted on a tax equivalent basis increased 27 basis points to 3.49% from first quarter of this year.

2022 年第二季淨利息收入為 3,490 萬美元，增加 220 萬美元，其中 130 萬美元歸因於主要與其他金融機構的計息存款相關的利率差異，2022 年第一季表現強勁。按稅基調整後的淨利差較今年第一季增加 27 個基點至 3.49%。

Yield on interest-earning assets was 3.56% for second quarter compared to 3.41% for second quarter 2021. The cost of interest-bearing liabilities was [0.25%] for second quarter 2022 and 0.32% for second quarter of 2021. The provision for credit losses was $126,000 for second quarter 2022 compared to a provision in the first quarter of this year of $435,000 and a recapture of $5.1 million for second quarter 2021, which primarily resulted from the improvements in the local economy during that period.

第二季生息資產收益率為 3.56%，而 2021 年第二季為 3.41%。 2022 年第二季計息負債成本為 [0.25%]，2021 年第二季為 0.32%。 2022 年第二季信貸損失準備金為 126,000 美元，而今年第一季的準備金為 435,000 美元，2021 年第二季收回 510 萬美元，這主要得益於該時期當地經濟的改善。

Noninterest income decreased $1.8 million for second quarter 2022 as compared to first quarter. Noninterest income for second quarter was down compared to the first quarter of this year and includes payments totaling $1.5 million recognized in connection with the early termination, the land lease, and include other noninterest income and a gain of $1.2 million for sales of assets, underlying a portion of the company's equity investments, partially offset by a $1.2 million loss included in net gain on sale of assets for the disposal of the building and improvements of the land lease that was terminated earlier.

2022年第二季非利息收入較第一季減少180萬美元。第二季非利息收入較今年第一季有所下降，其中包括與提前終止租賃、土地租賃相關的確認付款共計150萬美元，以及其他非利息收入，以及120萬美元的資產出售收益（該收益構成公司部分股權投資的基礎），但因處置早前終止的土地租賃相關的建築物及改良物而產生的120萬美元資產出售淨收益，部分抵消了淨收益。

Noninterest expense was $23.8 million for second quarter compared to $24.7 million for first quarter 2022 and $25.2 million for the second quarter 2021. A decrease in noninterest expense of $894,000 for second quarter compared to the first quarter of 2022 was primarily due to a $556,000 decrease in salaries and employee benefits, primarily due to higher insurance issuance in the first quarter and a decrease of $305,000 in data processing and software expense.

第二季非利息支出為 2,380 萬美元，而 2022 年第一季為 2,470 萬美元，2021 年第二季為 2,520 萬美元。第二季度非利息支出與 2022 年第一季相比減少 894,000 美元，主要原因是工資和員工福利減少 556,000 美元，這主要是由於第一季保險簽發額增加，以及數據處理和軟體費用減少 305,000 美元。

The decrease in noninterest income of $1.4 million for second quarter 2022 compared to second quarter 2021 was primarily due to a $1.3 million decrease in professional and director fees, primarily related to PSA AML, compliance matters and legal fees, partially offset by $1 million of costs related to the pending merger with Allegiance Bancshares.

2022 年第二季非利息收入與 2021 年第二季相比減少 140 萬美元，主要原因是專業和董事費用減少 130 萬美元，主要與 PSA AML、合規事宜和法律費用有關，但與即將與 Allegiance Bancshares 合併相關的 100 萬美元成本部分抵消了這一減少。

Our efficiency ratio for the second quarter of 2022 was down to 61.84%. Our assets were $4.32 billion at June 30, 2022, a decrease of $123 million from March 31, 2022. Securities increased $2.1 million from March 31, 2022, and it increased $24.9 million compared to second quarter of 2021. Loans, excluding loans held for sale were $3.03 billion at June 30, 2022, an increase of $153 million or 5.3% from March 31, '22, and increased $303.4 million or 11.1% from June 30, 2021.

2022年第二季度，我們的效率比率降至61.84%。截至2022年6月30日，我們的資產為43.2億美元，較2022年3月31日減少1.23億美元。證券較2022年3月31日增加210萬美元，較2021年第二季增加2,490萬美元。截至2022年6月30日，貸款（不包括持有待售貸款）為30.3億美元，較2022年3月31日增加1.53億美元，增幅5.3%，較2021年6月30日增加3.034億美元，增幅11.1%。

Loans, excluding loans held for sale and PPP loans increased $473.6 million or 18.6% to $3.2 billion from June 2021. Our average return on assets for the second quarter was [1.08%]. Total deposits at June 30, 2022, decreased $64.6 million to $3.76 billion compared to March 31, 2022. The cost of total deposits was 12 basis points for the second quarter 2022. The company maintains strong capital ratios as the total risk-based capital ratio was 15.53%. The CET1 capital ratio was 14.49%, and the Tier 1 leverage ratio was 11.48% at June 30, 2022.

貸款（不包括持有待售貸款和PPP貸款）較2021年6月增加4.736億美元，增幅18.6%，達32億美元。我們第二季的平均資產報酬率為[1.08%]。截至2022年6月30日，總存款較2022年3月31日減少6,460萬美元，至37.6億美元。 2022年第二季總存款成本為12個基點。本公司維持強勁的資本適足率，總風險資本適足率為15.53%。截至2022年6月30日，CET1資本適足率為14.49%，一級槓桿率為11.48%。

The Nonperforming assets totaled $28.3 million or [0.65%] of total assets at June 30, 2022, compared to $22.1 million or 0.5% for total assets at March 31. The allowance for loan losses as a percentage of total loans was 1.06% at June 30, 2022. It was 1.9% at March 31, 2022, and 1.36% at June 30, 2021.

截至 2022 年 6 月 30 日，不良資產總額為 2,830 萬美元，佔總資產的 0.65%，而 3 月 31 日的總資產為 2,210 萬美元，佔 0.5%。截至 2022 年 6 月 30 日，貸款損失準備金佔貸款總額的 1.06%。 2022 年 3 月 31 日為 1.9%，2021 年 6 月 30 日為 1.36%。

I'll now turn it over to Joe West.

現在我將把發言權交給喬·韋斯特。

Thank you, Ted. I'll speak a bit to our loan portfolio, beginning with Slide 9 from the investor presentation. For the second quarter, our net loans were up at $3 billion versus $2.9 billion at the end of the first quarter of '22, an increase of approximately $153 million. We funded approximately $178 million in new loans during Q2 and had $126 million in paydowns or payoffs excluding PPP loans.

謝謝，泰德。我從投資者簡報的第9張投影片開始，簡單介紹一下我們的貸款組合。第二季度，我們的淨貸款額為30億美元，而2022年第一季末為29億美元，增加了約1.53億美元。第二季度，我們發放了約1.78億美元的新貸款，不包括PPP貸款，還有1.26億美元的還款。

For the quarter, C&I, including the effects of the PPP payoffs declined by approximately $19.5 million or 3.3% compared to Q1, and C&I decreased $10.7 million, excluding PPP payoffs. CRE was up $39 million or 3.4% quarter-over-quarter. C&D was $87.6 million or 18.5% compared to the first quarter. 1-4 Family was stable quarter-over-quarter and multifamily increased $21.5 million or 7.7%.

本季度，商業及工業（C&I）（包括PPP付款的影響）較上一季下降約1,950萬美元，降幅3.3%；商業及工業（C&I）（不包括PPP付款的影響）減少1,070萬美元。商業房地產（CRE）季增3,900萬美元，增幅3.4%。商業及住宅開發（C&D）季增8,760萬美元，增幅18.5%。 1-4戶型住宅較上月持平，多戶型住宅增加2,150萬美元，成長7.7%。

Slide 10 sets forth the components of our commercial loans and our total commercial loans were up slightly in the second quarter to $2.6 billion versus $2.5 billion at the end of the first quarter, including our PPP loans.

幻燈片 10 列出了我們商業貸款的組成部分，我們的商業貸款總額在第二季度略有上升，達到 26 億美元，而第一季末為 25 億美元，其中包括我們的 PPP 貸款。

Slide 11 also sets forth our oil and gas exposure, including how we quantify our direct and indirect exposure. Our direct and indirect oil and gas loans for the second quarter decreased to $183 million compared to $186 million at the end of the first quarter.

第11張幻燈片也列出了我們在石油和天然氣領域的敞口，包括我們如何量化直接和間接敞口。第二季度，我們的直接和間接石油和天然氣貸款降至1.83億美元，而第一季末為1.86億美元。

Slide 12 sets forth information about our PPP loans that continue to wind down. During the second quarter, our net PPP loans decreased to $8.9 million, and we received $8.8 million related to forgiveness for payments from customers. The table at the bottom of Slide 12 sets forth our average yield on our loan portfolio, our average yield on our PPP loans and the average yield on our portfolio when you take out the PPP loans.

幻燈片12列出了我們持續減少的PPP貸款資訊。第二季度，我們的PPP淨貸款減少至890萬美元，並收到了880萬美元的客戶付款豁免。投影片12底部的表格列出了我們貸款組合的平均收益率、PPP貸款的平均收益率以及提取PPP貸款後我們組合的平均收益率。

Slide 13 sets forth information about our allowance for credit losses. As Ted noted, our allowance for credit losses to loans was 1.06% at June 30, 2022. Turning to Slide 14. Our nonperforming assets remained low during the second quarter, and our credit quality remains strong. Slide 14 also shows information regarding our nonperforming assets to our total assets, which was 0.65% as of June 30, 2022, compared to 0.50% at March 31, 2022.

投影片 13 列出了我們信貸損失準備金的資訊。正如 Ted 所指出的，截至 2022 年 6 月 30 日，我們的信貸損失準備金佔貸款的比例為 1.06%。請翻到投影片 14。我們的不良資產在第二季保持低位，信貸品質依然強勁。幻燈片 14 也顯示了我們不良資產佔總資產的比例信息，截至 2022 年 6 月 30 日，該比例為 0.65%，而 2022 年 3 月 31 日為 0.50%。

As with the first quarter, our recoveries during the first quarter exceeded our charge-offs resulting in a net recovery of $166,000.

與第一季一樣，我們第一季的回收金額超過了沖銷金額，淨回收金額為 166,000 美元。

With that, I'll turn it back over to Bob Franklin.

說完這些，我會把話題交還給鮑伯富蘭克林。

Thank you, Joe. With that, we'll open it up to questions.

謝謝喬。好了，我們現在開始問問題。

(Operator Instructions) Our first question comes from Brady Gailey with KBW.

（操作員指示）我們的第一個問題來自 KBW 的 Brady Gailey。

I just wanted to start with the lack of Fed approval for the merger. I mean we're coming up on 9 months since the transaction was announced. Is there anything that they're focused on? Or do you guys have any sense as far as what the holdup could be on the Fed side?

我首先想問聯準會尚未批准這筆合併交易。交易宣布至今已經過去9個月了。他們目前關注的重點是什麼？或者你們知道聯準會方面可能遇到什麼阻礙嗎？

Well, I'll give you a little -- there's not a lot of clarity I can give because I don't have much, but I will tell you that from a timing standpoint, we announced in November and got -- really got fully papered with the Fed in January. So if you start to tick up from January, we're, I guess, still within a relatively what their time frame has been here for a while.

嗯，我告訴你一點——因為我掌握的資訊不多，所以無法給出太清晰的解釋，但我可以告訴你，從時間角度來看，我們在11月宣布了這一消息，並在1月就真正與美聯儲達成了全面協議。所以，如果你從1月開始計算，我想，我們仍然處於他們一段時間以來的時間範圍內。

But the Fed doesn't -- and I think as we talk to other folks that have gone through this process, that doesn't communicate with you much. And I don't -- we don't know of any reason why this deal wouldn't get approved. Our 2 primary regulators have approved the deal. Our shareholders have approved it. There's nothing that we know of that's holding this thing up.

但聯準會沒有——我認為，當我們與其他經歷過這個過程的人交談時，他們並沒有太多溝通。而且我不知道——我們不知道這筆交易未能獲得批准的任何原因。我們的兩個主要監管機構已經批准了這筆交易。我們的股東也已經批准了。據我們所知，沒有任何因素阻礙了這件事。

So we don't have any specifics to give you. I wish I could. But we've been -- our understanding is that we are in line. We just don't know where we are in line, and there's some 20 to 25 deals pending right now before the Fed. So it's very frustrating to us, very frustrating to our employees and folks who try to get this deal done because we're poised, ready to hit the button, but we are waiting on the Fed.

所以我們沒有任何具體細節可以透露。我希望可以。但我們一直在——我們的理解是，我們正在排隊。我們只是不知道自己排到了哪裡，目前聯準會還有大約20到25筆交易懸而未決。這對我們來說非常令人沮喪，對我們的員工以及試圖完成這筆交易的人來說也非常令人沮喪，因為我們已經準備好按下按鈕，但我們正在等待聯準會。

And you guys, on a stand-alone basis have excess capital; even the pro forma bank will have excess capital. Are buybacks a possibility as we wait for the Fed? Or is that something that you think you just need to wait and get this deal closed and then think about buybacks after the fact?

你們這些公司，單憑自身資本就已經過剩；連銀行的備考資本金也過剩。在等待聯準會政策的同時，你們有可能進行股票回購嗎？還是說，你們認為只要等到這筆交易達成，之後再考慮回購？

Well, it's been very difficult for us on the buyback front, just with all the ins and outs around blackouts. We did buy a little bit of stock back about a little over 93,000 shares since last quarter. So we have been in the market a bit. And we would intend -- once we can clear all those sort of have the ability to get back in the market. I think both banks are interested in probably doing some share repurchases, but I won't speak for them today. But as far as we're concerned, yes. I mean I think especially if this continues to go on, we do feel like that's a good place for us to go.

嗯，回購對我們來說非常困難，主要是因為停牌期間的各種因素。自上個季度以來，我們確實回購了大約9.3萬多股股票。所以我們已經進入市場一段時間了。我們打算—一旦我們清空所有股票，就有能力重返市場。我認為兩家銀行可能都有興趣進行一些股票回購，但我今天不會代表他們發言。但就我們而言，是的。我的意思是，我認為，尤其是如果這種情況繼續下去，我們確實覺得這對我們來說是一個不錯的選擇。

Okay. And then finally for me, I know you guys have talked about kind of a 5% to 8% loan growth rate. You clearly did a lot more than that this quarter. What's the update on how you're thinking about kind of core organic loan growth going forward?

好的。最後，我知道你們之前討論過5%到8%的貸款成長率。但本季你們顯然做得比這個好得多。您對未來核心有機貸款成長有何看法？

Well, I have to still think over the long term, if you average us out, that's kind of where we would be on a consistent basis. But there are times when we can -- we feel like there's opportunities for us. The Texas economy as I'm sure we've heard on other calls, it still appears to be fairly strong, although we're starting to see some weakening, and we have to be prepared for that.

嗯，我還是得從長遠考慮，如果平均下來，我們大概會一直處於這種狀態。但有時我們能——我們覺得我們有機會。我相信我們在其他電話會議上也聽過，德州的經濟似乎仍然相當強勁，儘管我們開始看到一些疲軟跡象，我們必須為此做好準備。

But we're taking opportunities. We're tightening our underwriting a bit. We're able to get a lot more in the way of sort of equity on the front end. We're making sure that we have people that have the liquidity and ability to service the debt if they have to hold it for a little longer than what they thought they might be able to hold it -- might have to hold it. So it's still a good economy for us.

但我們正在抓住機會。我們正在稍微收緊承保。我們能夠在前端獲得更多股權。我們正在確保我們的借款人擁有足夠的流動性和償還能力，即使他們持有債務的時間比他們預想的——可能需要持有的時間——更長。所以，對我們來說，現在的經濟狀況仍然很好。

So I think I think you will see loan growth start to wane a bit just because that seems to be what the Fed and everybody wants to happen. But we're going to continue to take our opportunities where we can. And so I don't think we're going to do necessarily this type of loan growth for the next several quarters, but I do think it will come off a bit.

所以我認為你會看到貸款成長開始放緩，因為這似乎是聯準會和所有人都希望看到的。但我們將繼續抓住一切可能的機會。因此，我認為未來幾季我們的貸款成長不一定會達到這種水平，但我確實認為會有所放緩。

Our next question comes from Brad Milsaps with Piper Sandler.

我們的下一個問題來自 Piper Sandler 的 Brad Milsaps。

Maybe Bob, I wanted to start with maybe the net interest margin. I think in the deck, you disclosed about half the loans are variable rate, but about 3/4 have floors. I wonder if after this week, are we pretty much through the floor? Just wanted to kind of get a sense of how you guys are thinking about further margin expansion from here. Pre-COVID, you were much higher. I know the balance sheet is a little bit different. But what would you view as kind of your opportunity to improve the NIM from here?

Bob，我想先從淨利差談起。我記得在演講稿中，您披露了大約一半的貸款是浮動利率，但大約四分之三的貸款都有利率下限。我想知道，這週過後，我們基本上是不是已經觸及利率下限了？我只是想了解一下，你們是如何考慮進一步提高淨利差的。新冠疫情之前，你們的淨利差就高很多。我知道現在的資產負債表略有不同。但您認為從現在開始，改善淨利差的機會是什麼？

Yes. We think -- this is Joe. We think that we're through these floors. The first couple of moves, there was the March 17 quarter point bump. And the May 5, 0.5 point. Those pretty much caught us up to the floors. And this last month of June bump was in the second half of the month, so we really didn't get the benefit of that too much in Q2.

是的。我們認為──我是喬。我們認為我們已經突破了這些底線。最初的幾次調整，包括3月17日的季度點增長。以及5月5日的0.5點成長。這些調整基本上讓我們趕上了底線。而6月最後一個月的成長是在下半月，所以我們在第二季並沒有從中獲益太多。

So we think we're going to reap the benefit of this last move -- these last 2 moves pretty well in the portfolio. So yes, we've caught up to the floors for the most part, and should -- that should help us expand the margin a little bit.

所以我們認為，這最後一步的收益——投資組合中最後兩步的收益相當不錯。是的，我們基本上已經追上最低價了，這應該會幫助我們稍微擴大利潤率。

And then maybe switching gears to expenses. You guys are kind of excluding some of the noise kind of flat year-over-year. It looks like headcount is down about 40 people. Just kind of curious, I know you outlined 15% expense saves when you announced the deal. Are some of those savings maybe already in the run rate? Just kind of curious how to think about kind of the expense save opportunity. Have you identified more? Any change in regard to that?

然後也許可以換個話題談談費用。你們剔除了一些噪音因素，與去年同期持平。看起來員工人數減少了約40人。我有點好奇，我知道你們宣布交易時提到了15%的費用節省。這些節省的部分可能已經計入了營運成本了嗎？我有點好奇，你們是如何看待節省費用的機會的。你們發現了更多機會嗎？在這方面有什麼變化嗎？

Well, I think the answer to your question is, yes, around all those things. The thing for us is we are moving towards getting these 2 banks put together. And as you think about people and as we identified certain folks that will go forward, certain ones that won't, ones that are going to stay through certain dates. This is all taking place right now. So some of this stuff is associated with what we're doing in the combination. And I think that's a good thing to some extent.

嗯，我認為你問題的答案是肯定的，圍繞著所有這些事情。對我們來說，我們正在努力將這兩家銀行合併。至於人員，我們已經確定了哪些人會繼續留任，哪些人不會，以及哪些人會在特定期限內留任。這一切都正在發生。所以其中一些事情與我們在合併過程中所做的工作有關。我認為這在某種程度上是一件好事。

It does put pressure on some of our folks because it makes us run a little light in certain areas. But for the most part, we're ready to go. And I think if we can get approval from the Federal Reserve, I think we'll be off and running. But both banks have been planning for quite a while around this. And we have a pretty good game plan on what we're going to do when we get to the other side. So we're just -- we've got one more hurdle to get over, and we're not sure where they placed the hurdle.

這確實給我們一些員工帶來了壓力，因為這會讓我們在某些​​領域運作不順。但總的來說，我們已經做好準備了。我認為，如果我們能得到聯準會的批准，我們就能開始行動了。兩家銀行都為此籌劃了很久。對於最終的行動，我們也制定了相當完善的計畫。所以我們只是──我們多了一個障礙需要克服，我們不確定他們把這個障礙設在哪裡。

And maybe just final one for me. Do you think you guys will provide sort of an update on maybe at closing, kind of where you're thinking about the marks. A lot has changed since November, not only with rates. But just kind of curious if you guys had any plans just maybe to kind of level set expectations there in terms of kind of how we should think about the 2 companies coming together, given all the things that have happened.

對我來說，這或許是最後一個問題了。您覺得在交易結束時，你們能提供一些最新進展嗎？比如說，你們對合併分數的考慮。自去年11月以來，很多事情都發生了變化，不僅僅是利率。考慮到目前發生的所有事情，我很好奇你們是否有計劃，比如說，在我們應該如何看待兩家公司合併方面，設定一個合理的預期。

Yes, I think there'll be some opportunities to do that. I don't think we're really prepared to do that today. But I think we can -- we'll be looking at kind of as we get closer and try to understand when the timing of this is to give people a better understanding of what that might look like. So I'd say stay tuned on that front.

是的，我認為會有一些機會。我認為我們今天還沒有真正準備好這樣做。但我認為我們可以——我們會隨著時間推移進行觀察，並努力了解何時是實施的最佳時機，以便讓人們更好地了解具體情況。所以，請繼續關注這方面的情況。

Got it. But still feel comfortable with sort of -- I mean, given what's happened -- sort of the net numbers that you guys put out there back in November in terms of kind of what you thought the companies could earn. It would seem to me that, that would have only improve given kind of where rates have moved.

明白了。但我仍然對你們11月份公佈的淨利潤數字感到放心——我的意思是，考慮到目前的情況——你們認為這些公司能夠盈利的淨利潤數字。在我看來，考慮到利率的變動，這些數字只會有所改善。

Yes. I don't -- yes, I don't -- I'm worried a little bit about generalization. But for the most part, I can't imagine that we're not better on pretty much all of the things that we had out there from a projection standpoint. I think our production has been better. I think pricing has been better. I think the things that would affect the go-forward operating piece of this is better than what we projected. But I'm sure if somebody looked real hard to find something that wasn't. So I hate to generalize like that. But for the most part, I'll say we look like we've improved over what we had projected.

是的。我並不擔心——是的，我並不擔心——我有點擔心以偏概全。但總的來說，從預測的角度來看，我無法想像我們在幾乎所有現有業務上都沒有取得更好的進展。我認為我們的產量有所提高。我認為定價也更好了。我認為影響未來營運的因素比我們預期的要好。但我敢肯定，如果有人認真研究，一定會發現一些不盡人意的地方。所以我不想這樣以偏概全。但總的來說，我想說，我們看起來已經比預期有所改善。

Our next question comes from Matt Olney with Stephens.

我們的下一個問題來自史蒂芬斯的馬特·奧爾尼。

Going back to Brad's question around cost savings and the time line, just curious since you're still waiting on final deal approvals. Did you have to push back the original systems conversion date? Or is that date still in the future, and we could still hit this if we get approval soon.

回到Brad關於成本節約和時間表的問題，我很好奇，因為你們還在等待最終交易批准。你們是否不得不延後最初的系統轉換日期？還是說這個日期還在將來，如果我們能盡快獲得批准，我們仍然可以實現這個目標？

Well, that's a good question, Matt. We're getting really close. We've got a couple of dates identified. So we don't -- we're pressed a little bit on the first one, I think. Second one isn't far behind that. So I mean it's -- we're still in this year. If it goes to too much longer, I think we may have to push that conversion into next year. But I will say that it still appears if we can get it, get approval within the next few weeks that we still have a conversion date that we can meet in 2022.

嗯，馬特，這個問題問得好。我們真的快完成了。我們已經確定了幾個日期。所以，我認為第一個日期我們有點壓力。第二個日期也差不多。所以，我的意思是，我們今年還在進行中。如果時間拖得太長，我想我們可能不得不把轉換推遲到明年。但我要說的是，如果我們能在接下來的幾週內獲得批准，我們似乎仍然有一個可以在2022年實現的轉換日期。

Okay. I appreciate that, Bob. And then on the loan growth front, it looks like a lot of the growth this quarter was driven by construction, which I'd love to hear more about this. And it looks like it was diversified based on your disclosures from commercial to multifamily to land. I think you disclosed that the construction balances are now over the 100% guidelines. I'd love to appreciate if this is short term in nature or anything else you can disclose around the construction piece?

好的。鮑勃，我很感激。然後，關於貸款成長方面，本季的貸款成長似乎很大程度上是由建築業推動的，我很想了解更多相關資訊。而且，根據您披露的信息，貸款業務似乎呈現多元化，涵蓋了商業、多戶住宅和土地等多個領域。我記得您披露過，建築貸款餘額現在已經超過了100%的指導標準。請問這是否是短期貸款，還是您能否透露一些與建築業相關的其他資訊？

Well, in a normalized operating environment, there's been sort of 2 larger components of the C&D book. And one of those is our normal C&D business, which is fairly diversified in what it is and actually geography, too, because we're doing some things that in Dallas, we're doing some things in Austin. We are doing various parts of the state that are really having some pretty good economies.

在正常的營運環境下，C&D業務主要由兩個部分組成。其中一個是我們的常規C&D業務，該業務在內容和地理上都相當多樣化，因為我們在達拉斯和奧斯汀都有業務。我們在紐約州經濟狀況良好的不同地區都有業務。

The other is our low income housing piece. And that, depending on where we are project-wise with those guys, that drives that C&D piece up. And we probably -- it depends on the volume that we do, but it will be 6 to 10 projects a year. And those tend to be fairly good size in certain circumstances. It's something that the regulators really like to see us do for one.

另一個是我們的低收入住房計畫。根據我們與這些公司合作的專案進度，這也會推動C&D專案的成長。我們可能—這取決於我們專案的數量，但每年會有6到10個專案。在某些情況下，這些項目通常規模相當可觀。監管機構非常希望看到我們這樣做。

And so when they look at our C&D book, we're able to separate that out, not ignore it, because it is a part of construction development, but it has a different credit mix. We've seen it as we watch it go through cycles, it's a very strong piece of credit for us. And I think it's something that the regulators like to see.

因此，當他們查看我們的建築與開發帳簿時，我們能夠將其獨立出來，而不是忽略它，因為它是建築開發的一部分，但它的信用組合不同。我們觀察了它所經歷的周期，發現它對我們來說是一個非常強大的信用組成部分。我認為這也是監管機構樂見的。

So when they look at us, and you take that piece out, it drops down to the mid-80s. So it's -- and the same thing, if you look at CRE and where we are in the CRE versus the 300. So we get the benefits of that. I think the regulators like it. So it hasn't -- and we've been doing that for basically since we came together with Community Bank in 2013. So if that helps.

所以，當他們看我們的時候，把這部分去掉，它就降到了85%左右。所以——如果你看看CRE，看看我們在CRE中與300強相比的位置，情況也是一樣。所以我們從中受益。我認為監管機構喜歡這樣。所以它沒有——基本上，自從2013年我們與社區銀行合併以來，我們就一直在這樣做。如果這有幫助的話。

Yes. That's great color, Bob. I appreciate that. That's helpful. And then, I guess, shifting over towards deposit costs. It seems like most banks that we've spoken with didn't really move their deposit pricing higher until we got into that May and then June time frame. And then we've moved a few times since then. Would love to hear more about the bank's deposit pricing and how it kind of change during 2Q, if at all, and kind of any recent pricing adjustments since the Fed announcement this week?

是的。鮑勃，你講得真好。我很感激。這很有幫助。然後，我想談談存款成本。我們接觸過的大多數銀行似乎直到5月和6月才真正上調存款價格。從那以後，我們又調整了幾次。想了解更多關於銀行存款價格的信息，以及第二季度銀行存款價格的變化情況（如果有的話），以及自本周美聯儲宣布這一消息以來，銀行最近是否有任何價格調整？

We've moved a little bit in certain categories. We've got some banks in our market that are a little more aggressive about pricing on the deposit side than some others. But we -- I think after this last move, we can expect to move pretty much across the board at least a little bit. So we'll get back a little bit of what we're getting on the other side.

我們在某些​​領域略有調整。我們市場上有些銀行在存款方面的定價比其他銀行更積極一些。但我認為，在最後一次調整之後，我們預計在各方面都會有所調整，至少會略有調整。所以我們會稍微收回之前在存款方面取得的收益。

Most of the market has stayed fairly disciplined around pricing, but we are seeing some folks that are a little more aggressive. But we've been able to hold deposit costs down up into this point, and I think we'll continue to lag behind -- the most important piece to us is, one, maintaining that strong demand deposit base that we have, which we've seen that piece stay very stable.

大多數市場在定價方面都保持著相當的紀律性，但我們看到一些人的定價略顯激進。不過，到目前為止，我們一直能夠將存款成本控制在較低水平，我認為我們將繼續落後——對我們來說，最重要的一點是，首先，維持我們現有的強勁活期存款基礎，我們已經看到這部分存款保持非常穩定。

And then the second is mini-market accounts because we feel like that's really the relationship-driven piece of -- that's attached to our demand deposits. And so we're very sensitive, not just around other banks in town but more around what Schwab or Fidelity or some of the other brokerage houses are doing. Because most of our customers are here because of the relationship, and they typically are not -- they'll shop us a bit with other banks, but it's for the most part, it's when they get those statements from Schwab or whoever they might have their brokerage accounts with and see that those guys are moving and we're not, we really can't let that happen.

其次是小型市場帳戶，因為我們覺得這實際上是關係驅動的部分——與我們的活期存款息息相關。因此，我們非常敏感，不僅關注城裡其他銀行，更關注嘉信理財、富達或其他一些經紀公司的運作。因為我們的大多數客戶都是透過關係來這裡的，他們通常不會——他們會在其他銀行購買一些我們的產品，但大多數情況下，當他們收到嘉信理財或其他任何他們可能在經紀公司開戶的銀行的賬單，發現那些客戶在轉戶而我們卻沒有轉戶時，我們真的不能讓這種情況發生。

So we're never going to be the highest priced deposit in town, but we're going to stay competitive. So we'll just -- we will move with the market. And right now, the market seems to be fairly well behaved.

所以我們永遠不會成為城裡價格最高的存款，但我們會保持競爭力。所以我們會—我們會順應市場變化。目前，市場表現似乎相當好。

And I'm not showing any further questions at this time. I'd like to turn the call back over to Bob for any closing remarks.

我現在沒有其他問題了。我想把電話轉回給鮑勃，讓他做最後發言。

Well, thank you very much. Thanks for everyone that's participated in the call today. And I do want to reiterate that we are very proud of our staff. People are working very hard to continue to grow our bank, take care of our customers, and they're really doing 2 jobs and getting ready for a merger that I think will really be beneficial to this organization in the future. So thank you for participating in our call today.

非常感謝！感謝今天參加電話會議的各位。我想重申，我們為我們的員工感到非常自豪。大家正在努力工作，繼續發展我們的銀行，服務我們的客戶，他們實際上正在做兩份工作，並為合併做準備，我認為這將對公司的未來大有裨益。感謝大家今天參加我們的電話會議。

Ladies and gentlemen, this does conclude today's presentation. You may disconnect. Have a wonderful day.

女士們，先生們，今天的演講到此結束。您可以斷開連線了。祝您擁有美好的一天。