ServisFirst Bancshares, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

LOANS (Tables)

LOANS (Tables)

9 Months Ended

Sep. 30, 2016

The following table details the Company’s loans at September 30, 2016 and December 31, 2015:

	September 30,			December 31,
	2016			2015
	(Dollars In Thousands)
Commercial, financial and agricultural	$	1,910,777		$	1,760,479
Real estate - construction		292,721			243,267
Real estate - mortgage:
Owner-occupied commercial		1,138,308			1,014,669
1-4 family mortgage		520,394			444,134
Other mortgage		740,127			698,779
Subtotal: Real estate - mortgage		2,398,829			2,157,582
Consumer		54,957			55,047
Total Loans		4,657,284			4,216,375
Less: Allowance for loan losses		(48,933)			(43,419)
Net Loans	$	4,608,351		$	4,172,956

Commercial, financial and agricultural		41.03	%		41.75	%
Real estate - construction		6.29	%		5.77	%
Real estate - mortgage:
Owner-occupied commercial		24.44	%		24.07	%
1-4 family mortgage		11.17	%		10.53	%
Other mortgage		15.89	%		16.57	%
Subtotal: Real estate - mortgage		51.50	%		51.17	%
Consumer		1.18	%		1.31	%
Total Loans		100.00	%		100.00	%

Loans By Credit Quality Indicator

Loans by credit quality indicator as of September 30, 2016 and December 31, 2015 were as follows:

			Special
September 30, 2016	Pass		Mention		Substandard		Doubtful		Total
	(In Thousands)
Commercial, financial and agricultural	$	1,823,652	$	52,635	$	34,490	$	-	$	1,910,777
Real estate - construction		281,586		1,309		9,826		-		292,721
Real estate - mortgage:
Owner-occupied commercial		1,119,043		3,339		15,926		-		1,138,308
1-4 family mortgage		514,979		946		4,469		-		520,394
Other mortgage		725,983		2,852		11,292		-		740,127
Total real estate mortgage		2,360,005		7,137		31,687		-		2,398,829
Consumer		54,746		211		-		-		54,957
Total	$	4,519,989	$	61,292	$	76,003	$	-	$	4,657,284

			Special
December 31, 2015	Pass		Mention		Substandard		Doubtful		Total
	(In Thousands)
Commercial, financial and agricultural	$	1,701,591	$	47,393	$	11,495	$	-	$	1,760,479
Real estate - construction		233,046		6,221		4,000		-		243,267
Real estate - mortgage:
Owner-occupied commercial		988,762		18,169		7,738		-		1,014,669
1-4 family mortgage		437,834		3,301		2,999		-		444,134
Other mortgage		683,157		11,086		4,536		-		698,779
Total real estate mortgage		2,109,753		32,556		15,273		-		2,157,582
Consumer		54,973		42		32		-		55,047
Total	$	4,099,363	$	86,212	$	30,800	$	-	$	4,216,375

Loans By Performance Status

Loans by performance status as of September 30, 2016 and December 31, 2015 were as follows:

September 30, 2016	Performing		Nonperforming		Total
	(In Thousands)
Commercial, financial and agricultural	$	1,909,606	$	1,171	$	1,910,777
Real estate - construction		289,345		3,376		292,721
Real estate - mortgage:
Owner-occupied commercial		1,136,869		1,439		1,138,308
1-4 family mortgage		520,139		255		520,394
Other mortgage		739,719		408		740,127
Total real estate mortgage		2,396,727		2,102		2,398,829
Consumer		54,916		41		54,957
Total	$	4,650,594	$	6,690	$	4,657,284

December 31, 2015	Performing		Nonperforming		Total
	(In Thousands)
Commercial, financial and agricultural	$	1,758,561	$	1,918	$	1,760,479
Real estate - construction		239,267		4,000		243,267
Real estate - mortgage:
Owner-occupied commercial		1,014,669		-		1,014,669
1-4 family mortgage		443,936		198		444,134
Other mortgage		697,160		1,619		698,779
Total real estate mortgage		2,155,765		1,817		2,157,582
Consumer		55,015		32		55,047
Total	$	4,208,608	$	7,767	$	4,216,375

Loans By Past Due Status

Loans by past due status as of September 30, 2016 and December 31, 2015 were as follows:

September 30, 2016	Past Due Status (Accruing Loans)
							Total Past
	30-59 Days		60-89 Days		90+ Days		Due		Non-Accrual		Current		Total Loans

	(In Thousands)
Commercial, financial and agricultural	$	8,108	$	24	$	2	$	8,134	$	1,169	$	1,901,474	$	1,910,777
Real estate - construction		5,570		-		-		5,570		3,376		283,775		292,721
Real estate - mortgage:
Owner-occupied commercial		3,058		6,208		-		9,266		1,439		1,127,603		1,138,308
1-4 family mortgage		301		-		-		301		255		519,838		520,394
Other mortgage		9,598		-		-		9,598		408		730,121		740,127
Total real estate - mortgage		12,957		6,208		-		19,165		2,102		2,377,562		2,398,829
Consumer		36		26		41		103		-		54,854		54,957
Total	$	26,671	$	6,258	$	43	$	32,972	$	6,647	$	4,617,665	$	4,657,284

December 31, 2015	Past Due Status (Accruing Loans)
							Total Past
	30-59 Days		60-89 Days		90+ Days		Due		Non-Accrual		Current		Total Loans

	(In Thousands)
Commercial, financial and agricultural	$	50	$	35	$	-	$	85	$	1,918	$	1,758,476	$	1,760,479
Real estate - construction		198		12		-		210		4,000		239,057		243,267
Real estate - mortgage:
Owner-occupied commercial		-		-		-		-		-		1,014,669		1,014,669
1-4 family mortgage		-		210		-		210		198		443,726		444,134
Other mortgage		-		-		-		-		1,619		697,160		698,779
Total real estate - mortgage		-		210		-		210		1,817		2,155,555		2,157,582
Consumer		45		6		1		52		31		54,964		55,047
Total	$	293	$	263	$	1	$	557	$	7,766	$	4,208,052	$	4,216,375

Changes In Allowance For Loan Losses Segregated By Loan Type

The following table presents an analysis of the allowance for loan losses by portfolio segment and changes in the allowance for loan losses for the three and nine months ended September 30, 2016 and September 30, 2015. The total allowance for loan losses is disaggregated into those amounts associated with loans individually evaluated and those associated with loans collectively evaluated.

	Commercial,
	financial and		Real estate -		Real estate -
	agricultural		construction		mortgage		Consumer		Total
	(In Thousands)
	Three Months Ended September 30, 2016
Allowance for loan losses:
Balance at June 30, 2016	$	23,655	$	5,279	$	17,600	$	464	$	46,998
Charge-offs		(1,270)		(79)		(144)		(81)		(1,574)
Recoveries		35		9		1		-		45
Provision		3,560		(394)		282		16		3,464
Balance at September 30, 2016	$	25,980	$	4,815	$	17,739	$	399	$	48,933

	Three Months Ended September 30, 2015
Allowance for loan losses:
Balance at June 30, 2015	$	19,052	$	5,674	$	14,171	$	1,123	$	40,020
Charge-offs		(388)		(31)		-		(126)		(545)
Recoveries		13		13		1		-		27
Provision		2,020		(237)		1,767		(478)		3,072
Balance at September 30, 2015	$	20,697	$	5,419	$	15,939	$	519	$	42,574

	Nine Months Ended September 30, 2016
Allowance for loan losses:
Balance at December 31, 2015	$	21,495	$	5,432	$	16,061	$	431	$	43,419
Charge-offs		(2,732)		(815)		(335)		(130)		(4,012)
Recoveries		39		64		100		-		203
Provision		7,178		134		1,913		98		9,323
Balance at September 30, 2016	$	25,980	$	4,815	$	17,739	$	399	$	48,933

	Nine Months Ended September 30, 2015
Allowance for loan losses:
Balance at December 31, 2014	$	16,079	$	6,395	$	12,112	$	1,043	$	35,629
Charge-offs		(1,616)		(506)		(641)		(150)		(2,913)
Recoveries		38		177		104		-		319
Provision		6,196		(647)		4,364		(374)		9,539
Balance at September 30, 2015	$	20,697	$	5,419	$	15,939	$	519	$	42,574

	As of September 30, 2016
Allowance for loan losses:
Individually Evaluated for Impairment	$	5,120	$	940	$	1,880	$	-	$	7,940
Collectively Evaluated for Impairment		20,860		3,875		15,859		399		40,993

Loans:
Ending Balance	$	1,910,777	$	292,721	$	2,398,829	$	54,957	$	4,657,284
Individually Evaluated for Impairment		34,490		9,875		34,187		3		78,555
Collectively Evaluated for Impairment		1,876,287		282,846		2,364,642		54,954		4,578,729

	As of December 31, 2015
Allowance for loan losses:
Individually Evaluated for Impairment	$	2,698	$	1,223	$	1,730	$	32	$	5,683
Collectively Evaluated for Impairment		18,797		4,209		14,331		399		37,736

Loans:
Ending Balance	$	1,760,479	$	243,267	$	2,157,582	$	55,047	$	4,216,375
Individually Evaluated for Impairment		11,513		4,052		17,880		46		33,491
Collectively Evaluated for Impairment		1,748,966		239,215		2,139,702		55,001		4,182,884

Details Of Company's Impaired Loans

The following tables present details of the Company’s impaired loans as of September 30, 2016 and December 31, 2015, respectively. Loans which have been fully charged off do not appear in the tables.

							For the three months				For the nine months
							ended September 30,				ended September 30,
	September 30, 2016						2016				2016
									Interest				Interest
			Unpaid				Average		Income		Average		Income
	Recorded		Principal		Related		Recorded		Recognized		Recorded		Recognized
	Investment		Balance		Allowance		Investment		in Period		Investment		in Period
	(In Thousands)
With no allowance recorded:
Commercial, financial and agricultural	$	10,173	$	10,173	$	-	$	10,215	$	192	$	10,044	$	556
Real estate - construction		6,497		7,362		-		6,529		115		6,058		311
Real estate - mortgage:
Owner-occupied commercial		7,581		7,743		-		7,801		185		8,079		560
1-4 family mortgage		3,159		3,159		-		3,179		47		3,129		123
Other mortgage		9,586		9,586		-		9,405		180		9,443		526
Total real estate - mortgage		20,326		20,488		-		20,385		412		20,651		1,209
Consumer		3		5		-		6		-		6		-
Total with no allowance recorded		36,999		38,028		-		37,135		719		36,759		2,076

With an allowance recorded:
Commercial, financial and agricultural		24,317		28,626		5,120		25,584		327		23,725		959
Real estate - construction		3,378		3,378		940		3,602		18		3,644		54
Real estate - mortgage:
Owner-occupied commercial		10,845		10,845		1,320		10,863		113		10,827		360
1-4 family mortgage		1,310		1,310		300		681		9		668		19
Other mortgage		1,706		1,706		260		1,725		23		1,734		69
Total real estate - mortgage		13,861		13,861		1,880		13,269		145		13,229		448
Consumer		-		-		-		-		-		-		-
Total with allowance recorded		41,556		45,865		7,940		42,455		490		40,598		1,461

Total Impaired Loans:
Commercial, financial and agricultural		34,490		38,799		5,120		35,799		519		33,769		1,515
Real estate - construction		9,875		10,740		940		10,131		133		9,702		365
Real estate - mortgage:
Owner-occupied commercial		18,426		18,588		1,320		18,664		298		18,906		920
1-4 family mortgage		4,469		4,469		300		3,860		56		3,797		142
Other mortgage		11,292		11,292		260		11,130		203		11,177		595
Total real estate - mortgage		34,187		34,349		1,880		33,654		557		33,880		1,657
Consumer		3		5		-		6		-		6		-
Total impaired loans	$	78,555	$	83,893	$	7,940	$	79,590	$	1,209	$	77,357	$	3,537

			December 31, 2015
			Unpaid				Average		Interest Income
	Recorded		Principal		Related		Recorded		Recognized in
	Investment		Balance		Allowance		Investment		Period
					(In Thousands)
With no allowance recorded:
Commercial, financial and agricultural	$	478	$	487	$	-	$	482	$	24
Real estate - construction		161		163		-		370		1
Real estate - mortgage:
Owner-occupied commercial		3,980		4,140		-		3,815		214
1-4 family mortgage		2,396		2,572		-		2,409		147
Other mortgage		4,079		4,694		-		4,559		222
Total real estate - mortgage		10,455		11,406		-		10,783		583
Consumer		14		20		-		18		1
Total with no allowance recorded		11,108		12,076		-		11,653		609

With an allowance recorded:
Commercial, financial and agricultural		11,035		13,035		2,698		13,882		672
Real estate - construction		3,891		4,370		1,223		3,920		-
Real estate - mortgage:
Owner-occupied commercial		6,365		6,365		1,328		9,958		568
1-4 family mortgage		603		603		263		567		19
Other mortgage		457		457		139		880		17
Total real estate - mortgage		7,425		7,425		1,730		11,405		604
Consumer		32		32		32		34		-
Total with allowance recorded		22,383		24,862		5,683		29,241		1,276

Total Impaired Loans:
Commercial, financial and agricultural		11,513		13,522		2,698		14,364		696
Real estate - construction		4,052		4,533		1,223		4,290		1
Real estate - mortgage:
Owner-occupied commercial		10,345		10,505		1,328		13,773		782
1-4 family mortgage		2,999		3,175		263		2,976		166
Other mortgage		4,536		5,151		139		5,439		239
Total real estate - mortgage		17,880		18,831		1,730		22,188		1,187
Consumer		46		52		32		52		1
Total impaired loans	$	33,491	$	36,938	$	5,683	$	40,894	$	1,885

Analysis Of Troubled Debt Restructuring

There were no modifications made to new TDRs or renewals of existing TDRs for the three and nine months ended September 30, 2015.

	Three Months Ended September 30, 2016						Nine Months Ended September 30, 2016
			Pre-		Post-				Pre-		Post-
			Modification		Modification				Modification		Modification
			Outstanding		Outstanding				Outstanding		Outstanding
	Number of		Recorded		Recorded		Number of		Recorded		Recorded
	Contracts		Investment		Investment		Contracts		Investment		Investment
	(In Thousands)
Troubled Debt Restructurings
Commercial, financial and agricultural		-	$	-	$	-		1	$	366	$	366
Real estate - construction		-		-		-		-		-		-
Real estate - mortgage:
Owner-occupied commercial		-		-		-		-		-		-
1-4 family mortgage		-		-		-		-		-		-
Other mortgage		-		-		-		1		234		234
Total real estate mortgage		-		-		-		1		234		234
Consumer		-		-		-		-		-		-
		-	$	-	$	-		2	$	600	$	600