Integrated Financial Holdings, Inc. First Quarter Financial Results

/EIN News/ -- RALEIGH, N.C., April 25, 2024 (GLOBE NEWSWIRE) -- Integrated Financial Holdings, Inc. (OTCQX: IFHI) (the “Company” or “IFHI”), the financial holding company for West Town Bank & Trust (the “Bank”) and Windsor Advantage, LLC (“Windsor”), released its financial results for the three months ended March 31, 2024. Highlights from the 2024 first quarter results include the following:

• First quarter net income of $1.3 million, or $0.55 per diluted share compared to first quarter 2023 net income of $2.4 million, or $1.04 per diluted share.
• Net interest income of $5.8 million for the first quarter of 2024 compared to $5.7 million for the same period in 2023.
• Noninterest expense of $7.3 million for the first quarter of 2024 compared to $8.5 million for the same period in 2023, a reduction of $1.2 million or 15%.
• Return on average assets of 0.97% for the three-month period ending March 31, 2024, compared to 2.07% for the same period in 2023.
• Return on average tangible common equity (a non-GAAP financial measure) of 6.14% for the three-month period ending March 31, 2024 compared to 13.67% for the same period in 2023.
  

Quarter-over-quarter results between the first quarter of 2024 and the same period in 2023 were somewhat skewed by several unusual items in the first quarter of 2023. During the first three months of 2023, the Company recorded a $2.0 million gain on the fair market value of marketable equity securities associated with its minority investment in Dogwood State Bank. In addition, the Company received a $530,000 life insurance benefit from the death of a key executive, had $464,000 in non-recurring revenue associated with winding down one of its business segments and a $550,000 reimbursement of expenses related to a previously settled lawsuit. Despite those nonrecurring items totaling $3.6 million in additional income during the first quarter of 2023 and no such large, nonrecurring items in the first quarter of 2024, the pre-tax net income period over period only decreased $1.5 million. This was primarily due to decreases in almost every category of noninterest expense when comparing the first quarter of 2024 against the first quarter of 2023, with a decline of $1.1 million in compensation being the most notable item. The Company continued to benefit from its efforts to improve efficiency and to streamline operations and reduce overhead costs.

In reflecting on the first quarter of 2024, Marc McConnell, Chairman, President, and CEO of IFHI, stated: “This year’s first quarter performance reflects the resiliency of our team and organization. While we had a year-over-year decline in net income, the decrease was primarily due to prior year nonrecurring income. However, we believe the overall improvement in our cost structure as a result of strategic decisions made by our leadership will enable IFHI to maintain a sustainable trajectory on a recurring basis. The right sizing of our operation has been a consistent focus for our organization as we prioritize the resiliency of our organization’s long-term growth. As we look forward to the remainder of the year and our recently announced merger with Capital Bancorp, Inc. (“CBNK”), we will continue to focus on bolstering the strengths of our GGL lending strategy, our subsidiary Windsor Advantage, and the leadership guiding IFHI into an exciting new phase for our investors and employees alike.”

BALANCE SHEET
At March 31, 2024, the Company’s total assets were $518.2 million, net loans held for investment were $361.9 million, loans held for sale (“HFS”) were $43.4 million, total deposits were $398.6 million and total shareholders’ equity was $101.9 million. Compared with December 31, 2023, total assets decreased $29.3 million or 5%, net loans held for investment increased $2.2 million or 1%, HFS loans increased $3.0 million or 7%, total deposits decreased $37.1 million or 9%, and total shareholders’ equity attributable to IFHI increased $1.6 million or 2%. Cash and cash equivalents decreased $33.4 million or 52% since the prior year-end almost mirroring the decrease in deposits. In the first quarter of 2023, the Bank discontinued banking two industries it had previously targeted resulting in a large outflow of non-maturity deposits. The Bank replaced those funds with a highly successful CD campaign. Most of those time deposits matured in the first quarter of 2024 and management made the decision to allow a large block of those higher cost funds to leave the Bank.

The increase in total shareholders’ equity since December 31, 2023, was primarily associated with earnings. The accumulated other comprehensive loss component of equity for the available-for-sale investment portfolio had a $214,000 negative impact during the three-month period ended March 31, 2024 as a result of changing rate expectations. The accumulated other comprehensive loss component of equity was $2.3 million at March 31, 2024 compared to $2.2 million at December 31, 2023. The Company does not have any investments in its portfolio treated as held-to-maturity being carried at cost.

CAPITAL AND LIQUIDITY STRENGTH
At March 31, 2024, the regulatory capital ratios of the Bank exceeded the minimum thresholds established for well-capitalized banks under applicable banking regulations.

	"Well Capitalized" Minimum	Basel III Fully Phased-In	West Town Bank & Trust
Tier 1 common equity ratio	6.50%	7.00%	14.08%
Tier 1 risk-based capital ratio	8.00%	8.50%	14.08%
Total risk-based capital ratio	10.00%	10.50%	15.34%
Tier 1 leverage ratio	5.00%	4.00%	11.90%

The Company’s book value per common share decreased from $43.72 as of December 31, 2023, to $43.45 at March 31, 2024 as the impact of earnings was offset by an increase of about 51,000 shares outstanding as a result of an annual grant for long-term incentive and the exercising of several blocks of stock options. The Company’s tangible book value per common share (a non-GAAP financial measure) also decreased slightly from $35.80 as of December 31, 2023, to $35.77 at March 31, 2024, for the same reason.

The Bank funds its loan growth primarily with a blend of customer deposits and wholesale funding and has a wide variety of customers and industries in its portfolio. The Bank also offers services that provide FDIC coverage for its customers in excess of the $250,000 per depositor limit. As of March 31, 2024, the average deposit account size was $100,200, and uninsured deposits excluding those required for debt service were $39.1 million or roughly 9.8% of total deposits.

The Bank’s primary on-balance sheet liquidity consists of cash and cash equivalents along with unencumbered available-for-sale investment securities, which totaled $46.4 million as of March 31, 2023. Additionally, the Bank maintains fully collateralized credit facilities with the Federal Home Loan Bank of Chicago (“FHLB”) and the Federal Reserve. As of March 31, 2024, the FHLB credit facility had a borrowing line of $88.1 million with $10.0 million in outstanding advances and available credit of $78.1 million. The Federal Reserve had an available borrowing capacity of $43,000 with no outstanding balance. In addition, the Bank had $18.5 million in additional borrowing capacity with other financial institutions. In aggregate, total primary on-balance sheet liquidity and total available borrowing capacity was 349% of the amount of uninsured deposits (excluding those required for debt service) as of March 31, 2024.

Additionally, the Bank’s business model includes the origination and sale of GGL loans, a process that occurs each month and can be accelerated or slowed down based on the Bank’s current funding needs. At March 31, 2024, the Bank had $43.4 million in loans available for sale, which could generate additional liquidity as needed.

ASSET QUALITY
The Company’s nonperforming assets to total assets ratio increased from 3.00% at December 31, 2023, to 3.35% at March 31, 2024. Nonaccrual loans at March 31, 2024 increased $1.1 million or 6% as compared to December 31, 2023. One relationship for $7.7 million makes up approximately 46% of all of the nonaccrual loans as of March 31, 2024. That relationship is secured by a property with an estimated value of approximately $12.0 million. We believe there is strong secondary support of the guarantors. The Bank held $101,000 in foreclosed assets as of December 31, 2023 but had none as of March 31, 2024.

During the first quarters of 2024 and 2023, the Company recorded provisions for credit losses of $400,000 and $565,000, respectively. The Company recorded $25,000 in net charge-offs during the first quarter of 2024 compared to $376,000 in net charge-offs for the same period in 2023. Set forth in the table below is certain asset quality information as of the dates indicated:

(Dollars in thousands)	3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
Nonaccrual loans	$	17,353		$	16,303		$	13,887		$	5,586		$	4,485
Foreclosed assets		-			101			101			315			315
90 days past due and still accruing		-			-			320			476			-
Total nonperforming assets	$	17,353		$	16,404		$	14,308		$	6,377		$	4,800
Net charge-offs (recoveries)	$	25		$	(306	)	$	(43	)	$	86		$	376
Annualized net charge-offs (recoveries) to total
average portfolio loans		0.03	%		-0.34	%		-0.05	%		0.11	%		0.49	%
Ratio of total nonperforming assets to total assets		3.35	%		3.00	%		2.87	%		1.32	%		1.03	%
Ratio of total nonperforming loans to total loans, net
of allowance		4.89	%		4.62	%		4.17	%		1.90	%		1.43	%
Ratio of total allowance for credit losses to total loans (1)		2.02	%		1.93	%		1.77	%		1.87	%		1.88	%
(1) Does not include the Company's reserve for unfunded commitments

NET INTEREST INCOME AND MARGIN
Net interest income for the three months ended March 31, 2024, increased $190,000 or 3% in comparison to the first quarter of 2023. Loan yields increased from 8.21% in the first quarter of 2023 to 8.85% for the same period in 2024. The increase in yield from the prior year reflected the impact of 50bps of rate increases by the Federal Open Market Committee (“FOMC”) during that 12-month period in response to economic conditions, as well as a change in loan mix. Overall cost of funds increased from 2.01% in the first quarter of 2023 to 3.54% for the same period in 2024 as average retail and brokered certificate of deposit (“CD”) rates trended up and new CDs were originated at higher market rates. On a linked-quarter basis, cost of funds increased 21 basis points from 3.33% during the three months ended December 31, 2023. Net interest margin declined from 5.85% during the three months ended March 31, 2023, to 5.09% for the same period in 2024; however, the impact of that decrease was lessened by a period-over-period increase in average earning assets of $68.5 million.

	Three Months Ended
(Dollars in thousands)	3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
Average balances:
Loans	$	406,982		$	400,502		$	373,847		$	357,272		$	345,651
Available-for-sale securities		22,233			19,709			18,609			18,208			17,691
Other interest-bearing balances		31,622			25,821			26,670			29,445			28,998
Total interest-earning assets		460,837			446,032			419,126			404,925			392,340
Total assets		525,202			510,760			484,190			472,169			460,412
Noninterest-bearing deposits		75,236			79,986			80,390			78,676			98,555
Interest-bearing liabilities:
Interest-bearing deposits		334,165			314,726			300,109			288,972			251,281
Borrowings		5,714			5,326			761			4,505			10,222
Total interest-bearing liabilities		339,879			320,052			300,870			293,477			261,503
Common shareholders' equity		101,172			97,314			95,362			91,281			88,574
Tangible common equity (1)		83,050			79,026			76,907			72,661			69,788
Interest income/expense:
Loans	$	8,977		$	8,623		$	7,877		$	7,511		$	6,997
Available-for-sale securities		203			115			146			133			120
Interest-bearing balances and other		330			526			345			392			319
Total interest income		9,510			9,264			8,368			8,036			7,436
Deposits		3,586			3,243			2,743			2,445			1,696
Borrowings		79			110			10			56			85
Total interest expense		3,665			3,353			2,753			2,501			1,781
Net interest income	$	5,845		$	5,911		$	5,615		$	5,535		$	5,655
(1) See reconciliation of non-GAAP financial measures.

	Three Months Ended
	3/31/24	12/31/23	9/30/23	6/30/23	3/31/23
Average yields and costs:
Loans	8.85%	8.54%	8.36%	8.43%	8.21%
Available-for-sale securities	3.65%	2.33%	3.14%	2.92%	2.71%
Interest-bearing balances and other	4.19%	8.08%	5.13%	5.34%	4.46%
Total interest-earning assets	8.28%	8.24%	7.92%	7.96%	7.69%
Interest-bearing deposits	4.30%	4.09%	3.63%	3.39%	2.74%
Borrowings	5.55%	8.19%	5.21%	4.99%	3.37%
Total interest-bearing liabilities	4.33%	4.16%	3.63%	3.42%	2.76%
Cost of funds	3.54%	3.33%	2.86%	2.70%	2.01%
Net interest margin	5.09%	5.26%	5.32%	5.48%	5.85%

NONINTEREST INCOME
Noninterest income for the three months ended March 31, 2024, was $3.5 million compared to $6.6 million for the same period in 2023. The decrease is primarily attributable to the previously discussed nonrecurring items in the first quarter of 2023, which included, among other things, a $2.0 million gain in fair market value of marketable equity securities and a $530,000 life insurance benefit. A decrease in government guaranteed lending revenue quarter-over-quarter was offset by an increase in the income of Windsor, a subsidiary of the Company.

Other specific items to note with respect to the most recently completed quarter include:

• Windsor, which offers an SBA and USDA loan servicing platform, had loan processing and servicing revenue totaling $2.9 million, an increase of $503,000 or 21% as compared to the $2.4 million in income earned during the prior first quarter.
• Government Guaranteed Lending (“GGL”) revenue was $514,000 in the first quarter of 2024, a decrease of $390,000 or 43% in comparison to the $904 million of revenues for the same period in 2023.

NONINTEREST EXPENSE
Noninterest expense for the first quarter of 2024 was $7.3 million, a decrease of $1.2 million or 15%, from $8.5 million for the first quarter of 2023. Most notably, compensation expense decreased $1.1 million or 19% going from $5.6 million in the first quarter of 2023 down to $4.5 million for the same period in 2024. All other categories of expenses except Loan and special asset expenses and Other operating expenses were also down.

• Loan and special asset related expenses, which tend to fluctuate unexpectedly, increased by $184,000 or 63% from $293,000 in the first quarter of 2023 to $477,000 for the same period in 2024.
• Other operating expenses increased $193,000 or 39% primarily due to the positive impact during the first quarter of 2023 of a nonrecurring reversal of $550,000 of previously booked litigation-related expense realized upon receipt of an insurance reimbursement which reduced expenses during that prior-quarter period.

ENTRY INTO DEFINTIVE MERGER AGREEMENT WITH CAPITAL BANCORP, INC.
On March 28, 2024, the Company and Capital Bancorp, Inc. (“CBNK”) jointly announced that they had entered into a definitive merger agreement under which CBNK would acquire IFHI in a cash and stock transaction. The proposed transaction is subject to approval of CBNK’s and IFH’s shareholders, regulatory approvals and the satisfaction of other customary closing conditions. Additional detail on the proposed transaction can be found by accessing the merger press release, which is available under the “News and Press” section of IFHI’s website (www.ifhinc.com).

ABOUT INTEGRATED FINANCIAL HOLDINGS, INC.
Integrated Financial Holdings, Inc. is a financial holding company based in Raleigh, North Carolina. The Company is the holding company for West Town Bank & Trust, an Illinois state-chartered bank. West Town Bank & Trust provides banking services through its full-service office located in the greater Chicago area. The Company is also the parent company of Windsor Advantage, LLC, a loan service provider that offers community banks and credit unions with a comprehensive outsourced U.S. Small Business Association (“SBA”) 7(a) and U.S. Department of Agriculture (“USDA”) lending platform. The Company is registered with and supervised by the Federal Reserve. West Town Bank & Trust’s primary regulators are the Illinois Department of Financial and Professional Regulation and the FDIC.

For more information, visit https://ifhinc.com/.

Important Note Regarding Forward-Looking Statements
This release contains certain forward-looking statements with respect to the financial condition, results of operations, and business of the Company. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of the management of the Company and on the information available to management at the time this release was prepared. These statements can be identified by the use of words such as "expect," "anticipate," "estimate," "believe," variations of these words, and other similar expressions. Readers should not place undue reliance on forward-looking statements as a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Factors that could cause a difference include, among others: changes in the national and local economies or market conditions; changes in interest rates, deposit flows, loan demand, and asset quality, including real estate and other collateral values; that the value realized upon the sale of any foreclosed assets may be less than anticipated, whether due to change in collateral value, inaccurate valuation assumptions or otherwise; changes in Small Business Administration rules, regulations, or loan products, including the section 7(a) program; changes in other government guaranteed loan programs or our ability to participate in such programs; changes in tax law, including the impact of such changes on our tax assets and liabilities; future governmental shutdowns that may impact revenues associated with our lending and other operations that are dependent on government guaranteed loan programs; changes in banking regulations and accounting principles, policies, or guidelines; the failure of our strategic investments or acquisitions to perform as anticipated and the impact of any impairments to our intangible assets, such as goodwill; the impact of our strategic initiatives on our ability to retain key employees; recent adverse developments in the banking industry highlighted by high-profile bank failures and the potential impact of such developments on customer confidence, liquidity, our strategic initiatives, and regulatory response to these developments; adverse results (including judgments, costs, fines, reputational harm, financial settlements and/or other negative effects) from current or future litigation, regulatory proceedings, investigations, or similar matters, or developments related thereto; and the impact of competition from traditional or new sources, including non-bank financial service providers, such as Fintechs. These, and other factors that may emerge, could cause decisions and actual results to differ materially from current expectations. The Company assumes no obligation to revise, update, or clarify forward-looking statements to reflect events or conditions after the date of this release.

Consolidated Balance Sheets
				Ending Balance
(In thousands, unaudited)				3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
Assets
Cash and due from banks				$	3,890		$	3,541		$	5,019		$	3,582		$	6,986
Interest-bearing deposits					26,467			60,166			28,746			39,258			21,224
	Total cash and cash equivalents				30,357			63,707			33,765			42,840			28,210
Interest-bearing time deposits					-			-			-			750			999
Available-for-sale securities					22,028			22,668			17,827			18,977			17,504
Marketable equity securities					21,557			19,597			19,980			19,980			19,980
Loans held for sale					43,415			40,424			37,857			33,232			39,088
Loans held for investment					361,942			359,729			346,842			325,673			319,465
	Allowance for credit losses				(7,310	)		(6,936	)		(6,128	)		(6,086	)		(6,011	)
		Loans held for investment, net			354,632			352,793			340,714			319,587			313,454
Premises and equipment, net					3,707			3,756			3,910			3,960			4,041
Foreclosed assets					-			101			101			315			315
Loan servicing assets					3,922			3,966			3,813			3,717			3,604
Bank-owned life insurance					4,720			4,688			4,663			5,087			5,053
Accrued interest receivable					3,895			3,754			3,664			3,280			3,090
Goodwill					13,161			13,161			13,161			13,161			13,161
Other intangible assets, net					4,852			5,018			5,184			5,350			5,517
Other assets					11,991			13,930			14,570			11,872			13,243
			Total assets	$	518,237		$	547,563		$	499,209		$	482,108		$	467,259
Liabilities and Shareholders' Equity
Liabilities
Deposits:
	Noninterest-bearing			$	73,523		$	90,194		$	84,901		$	82,272		$	76,554
	Interest-bearing				325,036			345,483			307,467			296,805			279,735
		Total deposits			398,559			435,677			392,368			379,077			356,289
Borrowings					10,000			-			-			-			10,000
Accrued interest payable					1,008			1,346			1,042			1,014			806
Other liabilities					6,782			10,209			9,409			7,655			10,101
	Total liabilities				416,349			447,232			402,819			387,746			377,196
Shareholders' equity:
Common stock, voting					2,324			2,273			2,275			2,231			2,231
Common stock, non-voting					22			22			22			22			22
Additional paid in capital					26,258			25,809			25,503			25,253			25,137
Retained earnings					75,618			74,347			71,565			69,165			65,570
Accumulated other comprehensive loss					(2,334	)		(2,120	)		(2,975	)		(2,309	)		(2,198	)
	Total IFH, Inc. shareholders' equity				101,888			100,331			96,390			94,362			90,762
Noncontrolling interest					-			-			-			-			(699	)
	Total shareholders' equity				101,888			100,331			96,390			94,362			90,063
			Total liabilities and shareholders' equity	$	518,237		$	547,563		$	499,209		$	482,108		$	467,259

Consolidated Statements of Income
(In thousands except per	Three Months Ended
share data; unaudited)	3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
Interest income
Loans	$	8,977		$	8,623		$	7,877		$	7,511		$	6,997
Available-for-sale securities and other		533			641			491			525			439
Total interest income		9,510			9,264			8,368			8,036			7,436
Interest expense
Interest on deposits		3,586			3,243			2,743			2,445			1,696
Interest on borrowings		79			110			10			56			85
Total interest expense		3,665			3,353			2,753			2,501			1,781
Net interest income		5,845			5,911			5,615			5,535			5,655
Provision for credit losses		400			500			50			130			565
Noninterest income
Loan processing and servicing
revenue		2,942			3,180			2,779			2,660			2,439
Government guaranteed lending		514			1,313			1,953			3,576			904
Service charges on deposits		26			35			41			52			133
Bank-owned life insurance		33			25			128			34			555
Change in fair value of marketable
equity securities		-			578			-			-			1,998
Other noninterest income		2			231			152			1,434			566
Total noninterest income		3,517			5,362			5,053			7,756			6,595
Noninterest expense
Compensation		4,517			4,583			4,403			5,379			5,581
Occupancy and equipment		280			355			314			318			344
Loan and special asset expenses		477			627			664			346			293
Professional services		306			(161	)		433			446			448
Data processing		246			252			233			247			265
Software		465			492			446			469			469
Communications		60			50			65			68			78
Advertising		62			99			108			174			248
Amortization of intangibles		166			166			166			166			166
Merger related expenses		-			-			-			61			116
Other operating expenses		682			720			591			486			489
Total noninterest expense		7,261			7,183			7,423			8,160			8,497
Income before income taxes		1,701			3,590			3,195			5,001			3,188
Income tax expense		430			808			795			1,416			778
Net income		1,271			2,782			2,400			3,585			2,410
Noncontrolling interest		-			-			-			(10	)		58
Net income attributable
to IFH, Inc.	$	1,271		$	2,782		$	2,400		$	3,595		$	2,352
Basic earnings per common share	$	0.56		$	1.24		$	1.08		$	1.62		$	1.06
Diluted earnings per common share	$	0.55		$	1.22		$	1.06		$	1.60		$	1.04
Weighted average common shares
outstanding		2,271			2,244			2,224			2,220			2,211
Diluted average common shares
outstanding		2,304			2,284			2,265			2,252			2,265

Performance Ratios
		Three Months Ended
		3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
PER COMMON SHARE
	Basic earnings per common share	$	0.56		$	1.24		$	1.08		$	1.62		$	1.06
	Diluted earnings per common share		0.55			1.22			1.06			1.60			1.04
	Book value per common share		43.45			43.72			41.98			41.90			40.28
	Tangible book value per common share (2)		35.77			35.80			33.99			33.68			31.99
FINANCIAL RATIOS (ANNUALIZED)
	Return on average assets		0.97	%		2.16	%		1.97	%		3.05	%		2.07	%
	Return on average common shareholders'
	equity		5.04	%		11.34	%		9.98	%		15.80	%		10.77	%
	Return on average tangible common
	equity (2)		6.14	%		13.97	%		12.38	%		19.84	%		13.67	%
	Net interest margin		5.09	%		5.26	%		5.32	%		5.48	%		5.85	%
	Efficiency ratio (1)		77.6	%		63.7	%		69.6	%		61.4	%		69.4	%
	(1) Efficiency ratio is calculated by dividing noninterest expense less transaction-related costs by the sum of
	net interest income and noninterest income, less gains or losses on sale of securities.
	(2) See reconciliation of non-GAAP measures

Loan Concentrations

The top ten commercial loan concentrations as of March 31, 2024, were as follows:

			% of
			Commercial
(Dollars in millions)	Amount		Loans
Solar electric power generation	$	78.8	25	%
Power and communication line and related structures construction		67.2	21	%
Lessors of nonresidential buildings (except miniwarehouses)		15.1	5	%
Other activities related to real estate		12.0	4	%
Biomass electric power generation		9.4	3	%
Colleges, universities and professional schools		9.0	3	%
Postharvest Crop Activities		8.6	3	%
Lessors of other real estate property		7.2	2	%
Lessors of residential buildings and dwellings		6.8	2	%
Electric bulk power transmission and control		5.8	2	%
	$	219.9	70	%

Reconciliation of Non-GAAP Measures

	3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
	(Dollars in thousands except book value per share)
Tangible book value per common share
Total IFH, Inc. shareholders' equity	$	101,888		$	100,331		$	96,390		$	94,362		$	90,762
Less: Goodwill		13,161			13,161			13,161			13,161			13,161
Less Other intangible assets, net		4,852			5,018			5,184			5,350			5,517
Total tangible common equity	$	83,875		$	82,152		$	78,045		$	75,851		$	72,084
Ending common shares outstanding		2,345			2,295			2,296			2,252			2,253
Tangible book value per common share	$	35.77		$	35.80		$	33.99		$	33.68		$	31.99
	Three Months Ended
(Dollars in thousands)	3/31/24			12/31/23			9/30/23			6/30/23			3/31/23
Return on average tangible common equity
Average IFH, Inc. shareholders' equity	$	101,172		$	97,314		$	95,362		$	91,281		$	88,574
Less: Average goodwill		13,161			13,161			13,161			13,161			13,161
Less Average other intangible assets, net		4,961			5,127			5,294			5,459			5,625
Average tangible common equity	$	83,050		$	79,026		$	76,907		$	72,661		$	69,788
Net income attributable to IFH, Inc.	$	1,271		$	2,782		$	2,400		$	3,595		$	2,352
Return on average tangible common equity		6.14	%		13.97	%		12.38	%		19.84	%		13.67	%