News Details

BLACKSBURG, VA., February 2, 2023 -- National Bankshares, Inc. (“the Company”) (Nasdaq: NKSH), parent company of The National Bank of Blacksburg (“the Bank”), today announced its results of operations for the year and quarter ended December 31, 2022. The Company reported net income for the year of $25.93 million, or $4.33 per common share, and $9.31 million, or $1.57 per common share, for the fourth quarter. This compares to net income for the year ended December 31, 2021 of $20.38 million, or $3.28 per common share. National Bankshares, Inc. ended December 31, 2022 with total assets of $1.68 billion. President and CEO, F. Brad Denardo commented, “National Bankshares performed very well in 2022. Solid core income growth was bolstered by a gain on the sale of a private equity investment, leading to outstanding earnings for the year. These good earnings translated directly to improved shareholder value, with increased regular dividend payments in 2022 and a special dividend payment in the first quarter of 2023. On behalf of the Board of Directors and the employees of National Bankshares, we thank our shareholders for their continued support.” Highlights Income Statement Sale of the private equity investment generated a gain of $3.82 million before tax and $3.02 million after tax during the fourth quarter of 2022. Excluding this gain, “core” net income(1) for the year was $22.91 million, or $3.83 per common share. For the fourth quarter, core net income was $6.29 million, or $1.06 per common share. Core net income grew $2.53 million, or 12.41%, when results for the years ended December 31, 2022 and 2021 are compared. The primary driver of growth was expansion in net interest income. When results for the fourth quarter of 2022 are compared with results from the third quarter of 2022, core net income grew $128 thousand, or 2.08%, primarily due to net interest income. Net Interest Income Federal Reserve interest rate increases in 2022 as well as growth in earning assets expanded interest income. When results for the years ended December 31, 2022 and 2021 are compared, fully taxable equivalent (“FTE”) interest income(1) increased $5.08 million. Paycheck Protection Program (“PPP”) loans boosted interest and fees on loans by $2.71 million in 2021, and were essentially paid off by December 31, 2021. Interest expense improved $15 thousand and the cost of interest-bearing liabilities improved from 0.28% to 0.26% when results for the years ended December 31, 2022 and 2021 are compared. Elevated levels of deposits and liquidity within the Company, similar to the general banking industry, supported favorable deposit pricing during 2022. During the latter half of 2022, pricing pressure increased, resulting in higher costs for certain large depositors during the fourth quarter. If the Federal Reserve increases rates or holds rates steady, we expect increased yields on adjustable-rate and new earning assets, as well as increased deposit costs. Provision for (Recovery of) Loan Losses Provision expense for the year ended December 31, 2022 was $706, compared with a recovery of $398 for the year ended December 31, 2021. Provision expense for the fourth quarter of 2022 was $10, compared with $252 for the third quarter of 2022. Robust loan growth during 2022 was the primary driver of the increase in provision during 2022. The recovery for 2021 was primarily the result of economic conditions that improved as the impact of the pandemic began to recede. Service Charges on Deposit Accounts and Pension Expense Service charges on deposit accounts increased $380 thousand when results for the years ended December 31, 2022 and 2021 are compared. Fees for overdraft and nonsufficient funds provided most of the increase, as depositor activity recovered from lower levels earlier in the COVID-19 pandemic. Pension expense is determined at the beginning of each year by actuarial calculations incorporating demographic and market assumptions. When the years ended December 31, 2022 and 2021 are compared, lower pension expense reduced salary expense by $148 thousand, and decreased other noninterest expense by $597 thousand. Pension expense is subject to fluctuations in equity and bond markets and may differ in coming years. Balance Sheet Deposits Customer deposits increased $48.14 million, or 3.22%, from December 31, 2021 to December 31, 2022. From September 30, 2022 to December 31, 2022, the Company began experiencing increased competition and customer deposits decreased $27.92 million. Loans Loans, net of unearned income and deferred cost, grew by $49.50 million, or 6.16%, when December 31, 2022 is compared with December 31, 2021. Loan volume remained stable from September 30, 2022 to December 31, 2022. During 2022, the Company expanded its lending footprint, opening two new loan production offices in Charlottesville and Staunton. Loan quality continues to reflect low credit risk, with net charge-offs of $155 thousand, or 0.02% of average loans, for the year ended December 31, 2022. This compares with $409 thousand, or 0.05%, for the year ended December 31, 2021. The allowance for loan losses as a percentage of loans was 0.96% on December 31, 2022 and December 31, 2021. Securities Securities available for sale at December 31, 2022 decreased $29.23 million from December 31, 2021. Securities are reported at market value, which moves inversely to interest rate movements. The Federal Reserve’s aggressive rate hikes during 2022 led to an unrealized loss of $103.07 million at December 31, 2022. This compares with an unrealized gain of $3.61 million at December 31, 2021. The Company’s Asset Liability Management Committee is closely monitoring interest rate risk on all of the Company’s financial assets and liabilities, and as of December 31, 2022, there are no credit risk concerns with any of the Company’s securities. Stockholders’ Equity Stockholders’ equity decreased $69.06 million, or 36.02%, from December 31, 2021 to December 31, 2022. The ratio of tangible common equity to tangible assets(1) decreased from 10.96% at December 31, 2021 to 6.99% at December 31, 2022, but improved from 6.28% from September 30, 2022. The unrealized loss on securities impacts stockholders’ equity through Accumulated Other Comprehensive Loss. Accumulated Other Comprehensive Loss is excluded from the Bank’s regulatory capital and does not impact regulatory capital ratios. The Bank is considered well capitalized, with capital ratios considerably higher than minimum regulatory requirements, and meets all requirements for borrowing from the Federal Home Loan Bank of Atlanta. The Company paid a cash dividend of $0.78 per common share during the fourth quarter and $0.72 per common share during the second quarter. Share repurchases totaled 67,588 shares during the fourth quarter. For the year ended December 31, 2022, repurchases totaled 174,250 shares. The combined shareholder pay-out of dividends and share repurchases in 2022 totaled $15.29 million, or 58.95% of net income. Key Ratios Key ratios improved when results for 2022 are compared with 2021, including the return on average equity, return on average assets, dividend yield and efficiency ratio. Return on Average Equity The return on average equity for the year ended December 31, 2022 was 17.81%, compared with 10.59% for the year ended December 31, 2021. Excluding the impact of Accumulated Other Comprehensive Loss, the return on average equity for 2022 was 12.92%, improved from 10.37% for 2021. Using “core” net income and excluding Accumulated Other Comprehensive Loss, return on average equity for 2022 was 11.42%. Return on Average Assets The return on average assets improved from 1.26% for the year ended December 31, 2021 to 1.52% for the year ended December 31, 2022. Excluding the impact of the unrealized gain (loss) on securities, return on average assets was 1.48% for 2022, compared with 1.26% for 2021. Using “core” net income and excluding the impact of the unrealized loss on securities, return on average assets for 2022 was 1.31%. Dividend Yield The Company’s dividend yield improved from 4.04% for the year ended December 31, 2021 to 4.27% for the year ended December 31, 2022. Efficiency Ratio The Company’s efficiency ratio(1) improved from 51.34% for the year ended December 31, 2021 to 48.01% for the year ended December 31, 2022. (1)Non-GAAP Financial Measures In addition to financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), the Company uses certain non-GAAP financial measures that provide useful information for financial and operational decision making, evaluating trends, and comparing financial results to other financial institutions. The non-GAAP financial measures presented in this document include core net income, FTE interest income, the net interest margin, the efficiency ratio, tangible common equity to tangible assets, average assets excluding the impact of unrealized securities loss and average equity excluding accumulated other comprehensive income (loss). Core net income is only used for 2022 and excludes the one-time gain on the sale of a private equity investment. Interest income and the net interest margin are presented on an FTE basis, using the federal statutory income tax rate of 21%. Efficiency ratio is calculated as noninterest expense divided by the sum of noninterest income, less non-recurring items, and net interest income on an FTE basis. Tangible common equity and tangible assets exclude goodwill. The Company believes certain non-GAAP financial measures enhance the understanding of its business and performance. Non-GAAP financial measures are supplemental and not a substitute for, or more important than, financial measures prepared in accordance with GAAP and may not be comparable to those reported by other financial institutions. For a reconciliation of non-GAAP financial measures, see “Reconciliation of Non-GAAP Financial Measures” at the end of this release. About National Bankshares National Bankshares, Inc., headquartered in Blacksburg, Virginia, is the parent company of The National Bank of Blacksburg, which does business as National Bank, and of National Bankshares Financial Services, Inc. National Bank is a community bank operating from 24 full-service offices, primarily in southwest Virginia, and three loan production offices. National Bankshares Financial Services, Inc. is an investment and insurance subsidiary in the same trade area. The Company’s stock is traded on the Nasdaq Capital Market under the symbol “NKSH.” Forward-Looking Statements Certain statements in this press release may be “forward-looking statements.” Forward-looking statements are statements that include projections, predictions, expectations, or beliefs about future events or results that are not statements of historical fact and that involve significant risks and uncertainties. Although the Company believes that its expectations with regard to forward-looking statements are based upon reasonable assumptions within the bounds of its existing knowledge of its business and operations, there can be no assurance that actual Company results will not differ materially from any future results implied by the forward-looking statements. Actual results may be materially different from past or anticipated results because of many factors, some of which may include changes in economic conditions, the interest rate environment, legislative and regulatory requirements, new products, competition, changes in the stock and bond markets, and technology. The Company is not obligated to update any forward-looking statements that it may make. National Bankshares, Inc. Consolidated Balance Sheets (Unaudited) ($ in thousands, except per share data) December 31, 2022 September 30, 2022 December 31, 2021 Assets Cash and due from banks $ 12,403 $ 10,957 $ 8,768 Interest-bearing deposits 59,026 79,466 130,021 Securities available for sale, at fair value 656,852 657,410 686,080 Restricted stock 941 941 845 Mortgage loans held for sale - - 615 Loans: Loans, net of unearned income and deferred fees and costs 852,744 852,863 803,248 Less: allowance for loan losses (8,225 ) (8,207 ) (7,674 ) Loans, net 844,519 844,656 795,574 Premises and equipment, net 10,371 10,183 9,722 Accrued interest receivable 6,001 5,822 5,104 Other real estate owned, net 662 907 957 Goodwill 5,848 5,848 5,848 Bank-owned life insurance 43,312 43,072 42,354 Other assets 37,616 39,684 16,287 Total assets $ 1,677,551 $ 1,698,946 $ 1,702,175 Liabilities and Stockholders' Equity Noninterest-bearing deposits $ 327,713 $ 358,772 $ 317,430 Interest-bearing demand deposits 933,269 917,449 890,124 Savings deposits 214,114 217,405 208,065 Time deposits 67,629 77,023 78,968 Total deposits 1,542,725 1,570,649 1,494,587 Accrued interest payable 106 40 48 Other liabilities 12,033 16,070 15,789 Total liabilities 1,554,864 1,586,759 1,510,424 Commitments and contingencies - - - Stockholders' Equity Preferred stock, no par value, 5,000,000 shares authorized; none issued and outstanding - - - Common stock of $1.25 par value. Authorized 10,000,000 shares; issued and outstanding 5,889,687 shares at December 31, 2022, 5,957,275 shares at September 30, 2022 and 6,063,937 shares at December 31, 2021 7,362 7,447 7,580 Retained earnings 199,091 196,941 188,229 Accumulated other comprehensive loss, net (83,766 ) (92,201 ) (4,058 ) Total stockholders' equity 122,687 112,187 191,751 Total liabilities and stockholders' equity $ 1,677,551 $ 1,698,946 $ 1,702,175 National Bankshares, Inc. Consolidated Statements of Income (Unaudited) Three Months Ended Twelve Months Ended ($ in thousands, except per share data) December 31, 2022 September 30, 2022 December 31, 2022 December 31, 2021 Interest Income Interest and fees on loans $ 9,013 $ 8,816 $ 34,253 $ 34,923 Interest on interest-bearing deposits 596 506 1,353 170 Interest on securities - taxable 3,941 3,425 12,788 7,960 Interest on securities - nontaxable 432 408 1,715 1,934 Total interest income 13,982 13,155 50,109 44,987 Interest Expense Interest on time deposits 36 31 141 267 Interest on other deposits 992 722 2,942 2,831 Total interest expense 1,028 753 3,083 3,098 Net interest income 12,954 12,402 47,026 41,889 Provision for (recovery of) loan losses 10 252 706 (398 ) Net interest income after provision for (recovery of) loan losses 12,944 12,150 46,320 42,287 Noninterest Income Service charges on deposit accounts 599 661 2,425 2,045 Other service charges and fees 57 51 214 179 Credit and debit card fees, net 493 448 1,916 1,869 Trust income 443 492 1,817 1,792 BOLI income 240 239 958 910 Gain on sale of mortgage loans 21 40 157 364 Gain on sale of private equity investment 3,823 - 3,823 - Other income 182 209 1,091 1,261 Realized securities gain, net - - - 6 Total noninterest income 5,858 2,140 12,401 8,426 Noninterest Expense Salaries and employee benefits 4,386 4,144 16,519 15,747 Occupancy and furniture and fixtures 502 476 1,934 1,842 Data processing and ATM 832 774 3,186 3,039 FDIC assessment 141 114 477 422 Net costs of other real estate owned 247 68 325 51 Franchise taxes 375 375 1,483 1,425 Other operating expenses 815 785 3,034 3,554 Total noninterest expense 7,298 6,736 26,958 26,080 Income before income tax expense 11,504 7,554 31,763 24,633 Income tax expense 2,194 1,392 5,831 4,251 Net Income $ 9,310 $ 6,162 $ 25,932 $ 20,382 Basic and fully diluted net income per common share $ 1.57 $ 1.03 $ 4.33 $ 3.28 Weighted average number of common shares outstanding Basic and Diluted 5,933,201 5,974,961 5,989,601 6,209,929 Dividends declared per common share $ 0.78 $ - $ 1.50 $ 1.44 Dividend payout ratio - - 34.51 % 43.20 % Book value per share $ 20.83 $ 18.83 $ 20.83 $ 31.62 National Bankshares, Inc. Consolidated Statements of Comprehensive Income (Loss) Income (Unaudited) Three Months Ended ($ in thousands) December 31, 2022 September 30, 2022 Net income $ 9,310 $ 6,162 Other Comprehensive Income (Loss), Net of Tax Unrealized holding gain (loss) on available for sale securities net of tax of $1,028 for the period ended December 31, 2022 and ($7,822) for the period ended September 30, 2022 3,868 (29,424 ) Net pension gain arising during the period, net of taxes of $1,214 for the period ended December 31, 2022 4,567 - Other comprehensive income (loss), net of tax $ 8,435 $ (29,424 ) Total Comprehensive Income (Loss) $ 17,745 $ (23,262 ) Twelve Months Ended ($ in thousands) December 31, 2022 December 31, 2021 Net income $ 25,932 $ 20,382 Other Comprehensive Loss, Net of Tax Unrealized holding loss on available for sale securities net of tax of ($22,403) for the period ended December 31, 2022 and ($2,740) for the period ended December 31, 2021 (84,275 ) (10,308 ) Reclassification adjustment for gain included in net income, net of tax of ($1) for the period ended December 31, 2021 - (5 ) Net pension gain arising during the period, net of tax of $1,214 for the period ended December 31, 2022 and $862 for the period ended December 31, 2021 4,567 3,244 Less amortization of prior service cost included in net periodic pension cost, net of tax of ($2) for the period ended December 31, 2021 - (9 ) Other comprehensive loss, net of tax $ (79,708 ) $ (7,078 ) Total Comprehensive (Loss) Income $ (53,776 ) $ 13,304 National Bankshares, Inc. Net Interest Margin (Unaudited) Three Months Ended December 31, 2022 Three Months Ended September 30, 2022 Average Balance Interest Average Yield/ Rate Average Balance Interest Average Yield/ Rate Interest-earning assets: Loans (1)(2)(4) $ 845,373 $ 9,095 4.27 % $ 849,929 $ 8,900 4.15 % Taxable securities (5)(6) 689,370 3,941 2.27 % 683,490 3,425 1.99 % Nontaxable securities (1)(5) 74,540 580 3.09 % 74,670 556 2.95 % Interest-bearing deposits 62,393 596 3.79 % 89,165 506 2.25 % Total interest-earning assets $ 1,671,676 $ 14,212 3.37 % $ 1,697,254 $ 13,387 3.13 % Interest-bearing liabilities: Interest-bearing demand deposits $ 908,209 $ 955 0.42 % $ 936,368 $ 686 0.29 % Savings deposits 215,594 37 0.07 % 217,637 36 0.07 % Time deposits 70,874 36 0.20 % 78,198 31 0.16 % Total interest-bearing liabilities $ 1,194,677 $ 1,028 0.34 % $ 1,232,203 $ 753 0.24 % Net interest income and interest rate spread $ 13,184 3.03 % $ 12,634 2.89 % Net yield on average interest‑earning assets 3.13 % 2.95 % Twelve Months Ended December 31, 2022 Twelve Months Ended December 31, 2021 Average Balance Interest Average Yield/ Rate Average Balance Interest Average Yield/ Rate Interest-earning assets: Loans (1)(3)(4) $ 833,226 $ 34,579 4.15 % $ 787,754 $ 35,241 4.47 % Taxable securities (5)(6) 669,515 12,788 1.91 % 524,818 7,960 1.52 % Nontaxable securities (1)(5) 75,487 2,308 3.06 % 80,059 2,577 3.22 % Interest-bearing deposits 88,963 1,353 1.52 % 133,020 170 0.13 % Total interest-earning assets (7) $ 1,667,191 $ 51,028 3.06 % $ 1,525,651 $ 45,948 3.01 % Interest-bearing liabilities: Interest-bearing demand deposits $ 910,989 $ 2,794 0.31 % $ 811,661 $ 2,657 0.33 % Savings deposits 216,414 148 0.07 % 190,997 174 0.09 % Time deposits 77,686 141 0.18 % 86,089 267 0.31 % Total interest-bearing liabilities $ 1,205,089 $ 3,083 0.26 % $ 1,088,747 $ 3,098 0.28 % Net interest income and interest rate spread $ 47,945 2.80 % $ 42,850 2.73 % Net yield on average interest‑earning assets 2.88 % 2.81 % (1) Interest on nontaxable loans and securities is computed on a fully taxable equivalent basis using a Federal income tax rate of 21%. See "Reconciliation of Non-GAAP Financial Measures" at the end of this release. (2) Interest income includes loan fees of $35 and $82 for the three months ended December 31, 2022 and September 30, 2022, respectively. (3) Interest income includes loan fees of $230 and $2,558 for the twelve months ended December 31, 2022 and 2021, respectively. (4) Includes loans held for sale and nonaccrual loans. (5) Daily averages are shown at amortized cost. (6) Includes restricted stock. (7) In 2021, PPP loans contributed 17 basis points to the FTE yield on earning assets. On a comparable basis, excluding PPP loans from 2021, the yield on earning assets was 2.84%. National Bankshares, Inc. Key Ratios and Other Data (Unaudited) Three Months Ended Twelve Months Ended ($ in thousands) December 31, 2022 September 30, 2022 December 31, 2022 December 31, 2021 Average Balances Cash and due from banks $ 11,641 $ 11,275 $ 11,667 $ 11,875 Interest-bearing deposits 62,393 89,165 88,963 133,020 Securities available for sale 653,153 686,303 683,183 611,696 Mortgage loans held for sale 75 194 156 650 Loans, gross 845,713 850,175 833,512 788,628 Loans, net of unearned income and deferred fees and costs 845,298 849,735 833,070 787,104 Loans, net of allowance for loan losses 837,063 841,619 825,110 778,920 Goodwill 5,848 5,848 5,848 5,848 Total assets 1,672,102 1,728,040 1,705,614 1,618,642 Noninterest bearing deposits 348,779 341,030 338,269 316,976 Interest-bearing and savings deposits 1,123,803 1,154,005 1,127,403 1,002,658 Time deposits 70,874 78,198 77,686 86,089 Total deposits 1,543,456 1,573,233 1,543,358 1,405,723 Stockholders' equity 110,331 138,787 145,641 192,545 Financial Ratios Return on average assets(1) 1.67 % 1.41 % 1.52 % 1.26 % Return on average equity(1) 25.36 % 17.61 % 17.81 % 10.59 % Dividend yield(2) 4.27 % 4.04 % Efficiency ratio(3) 47.95 % 45.59 % 48.01 % 51.34 % Average equity to average assets 6.60 % 8.03 % 8.54 % 11.90 % Allowance for Loan Losses Beginning balance $ 8,207 $ 8,069 $ 7,674 $ 8,481 Provision for (recovery of) loan losses 10 252 706 (398 ) Charge-offs (51 ) (181 ) (367 ) (755 ) Recoveries 59 67 212 346 Ending balance $ 8,225 $ 8,207 $ 8,225 $ 7,674 (1) The return on average assets and return on average equity are calculated by annualizing net income and dividing by average period-to-date assets or equity, respectively. Any significant nonrecurring items within net income are not annualized. See "Reconciliation of Non-GAAP Financial Measures" at the end of this release. (2) The dividend yield is calculated as annual dividends per common share divided by the average closing share price over the year. (3) The efficiency ratio is calculated as noninterest expense divided by the sum of noninterest income, less non-recurring items, and net interest income on a fully taxable equivalent basis. See "Reconciliation of Non-GAAP Financial Measures" at the end of this release. 8 National Bankshares, Inc. Asset Quality Data (Unaudited) ($ in thousands) December 31, 2022 September 30, 2022 Nonperforming Assets Nonaccrual loans $ 91 $ 118 Nonaccrual restructured loans 2,756 2,770 Total nonperforming loans 2,847 2,888 Other real estate owned $ 662 $ 907 Total nonperforming assets $ 3,509 $ 3,795 Accruing restructured loans 276 279 Loans 90 days or more past due and accruing $ 8 $ 48 Asset Quality Ratios Nonperforming assets to loans(1) plus other real estate owned 0.41 % 0.44 % Allowance for loans losses to total loans(1) 0.96 % 0.96 % Allowance for loan losses to nonperforming loans 288.90 % 284.18 % Loans past due 90 days or more to loans(1) 0.00 % 0.01 % (1) Loans are net of unearned income and deferred fees and costs National Bankshares, Inc. Reconciliation of Non-GAAP Financial Measures (Unaudited) Three Months Ended Twelve Months Ended ($ in thousands) December 31, 2022 September 30, 2022 December 31, 2022 December 31, 2021 Core Net Income Net Income (GAAP) $ 9,310 $ 6,162 $ 25,932 $ 20,382 Less: gain on sale of private equity investment (3,823 ) - (3,823 ) - Tax on gain on sale of private equity investment 803 - 803 - Core Net Income (non-GAAP) $ 6,290 $ 6,162 $ 22,912 $ 20,382 Net Interest Income, FTE Total interest income (GAAP) $ 13,982 $ 13,155 $ 50,109 $ 44,987 FTE adjustment 230 232 919 961 Total interest income (non-GAAP) 14,212 13,387 51,028 45,948 Total interest expense (GAAP) 1,028 753 3,083 3,098 Net interest income, FTE (non-GAAP) $ 13,184 $ 12,634 $ 47,945 $ 42,850 Total Income for Efficiency Ratio Noninterest income (GAAP) $ 5,858 $ 2,140 $ 12,401 $ 8,426 Less: securities gains - - - (6 ) Less: partnership income - - (367 ) (467 ) Less: gain on sale of private equity investment (3,823 ) - (3,823 ) - Noninterest income (non-GAAP) 2,035 2,140 8,211 7,953 Net interest income, FTE (non-GAAP) 13,184 12,634 47,945 42,850 Total income for efficiency ratio (non-GAAP) $ 15,219 $ 14,774 $ 56,156 $ 50,803 ($ in thousands) December 31, 2022 September 30, 2022 December 31, 2021 Tangible Assets Total assets (GAAP) $ 1,677,551 $ 1,698,946 $ 1,702,175 Less: Goodwill (5,848 ) (5,848 ) (5,848 ) Tangible assets (non-GAAP) $ 1,671,703 $ 1,693,098 $ 1,696,327 Tangible Common Equity Total stockholders' equity (GAAP) $ 122,687 $ 112,187 $ 191,751 Less: Goodwill (5,848 ) (5,848 ) (5,848 ) Tangible common equity (non-GAAP) $ 116,839 $ 106,339 $ 185,903 Average Assets Excluding Unrealized Loss on Securities Average assets (GAAP) $ 1,705,614 $ 1,716,907 $ 1,618,642 Average unrealized loss (gain) on securities 60,899 44,414 (7,759 ) Average deferred tax (asset) liability, unrealized loss on securities (12,789 ) (9,327 ) 1,012 Average assets excluding unrealized loss on securities (non-GAAP) $ 1,753,724 $ 1,751,994 $ 1,611,895 Average Stockholders’ Equity Excluding AOCI Average stockholders’ equity (GAAP) $ 145,641 $ 157,540 $ 192,545 Average accumulated other comprehensive loss 55,009 41,999 4,008 Average stockholders’ equity excluding AOCI (non-GAAP) $ 200,650 $ 199,539 $ 196,553