PINE BLUFF, Ark., April 24, 2024 /PRNewswire/ -- Bob Fehlman, Simmons' Chief Executive Officer, commented on first quarter 2024 results: Simmons delivered solid results in the quarter that clearly reflect our driving principles centered on a strong risk management culture, profitability and organic growth. Total loans increased 4 percent on a linked quarter annualized basis and our commercial loan pipeline expanded for the third consecutive quarter. Total deposits were up 2 percent on a linked quarter annualized basis. We were particularly encouraged by the growth in money market and savings accounts again this quarter after robust growth in the fourth quarter of 2023. Importantly, the growth in loans and deposits, coupled with lower wholesale funding costs, enabled us to maintain a relatively stable net interest margin despite continued low-cost deposit migration. Credit trends throughout the industry are beginning to normalize after an extended period at historically low levels. To that end, provision expense exceeded net charge-offs in the quarter and our allowance for credit losses as a percentage of loans stood at 1.34 percent. Moreover, our strong capital and liquidity positions provide us a solid foundation to continue delivering sound, profitable growth. Financial Highlights    1Q24    4Q23    1Q23 1Q24 Highlights Balance Sheet (in millions) Comparisons reflect 1Q24 vs 4Q23   •  Net income of $38.9 million and diluted EPS of $0.31   •  Adjusted earnings1 of $40.4 million and adjusted diluted EPS1 of $0.32   •  Total revenue of $195.1 million. PPNR1 of $55.2 million; Adjusted PPNR1 of $57.2 million   •  Net interest margin at 2.66%, relatively stable on a linked quarter basis   •  Provision for credit losses on loans exceeded net charge-offs in the quarter by $2.1 million   •  Noninterest expense includes $1.6 million FDIC special assessment in 1Q24 and $10.5 million in 4Q23   •  NCO 19 bps in 1Q24; 11 bps of NCOs associated with run-off/ acquired portfolios    •  Increase in NPAs primarily due to two loans from run-off/ acquired portfolios   •  ACL ratio ends the quarter at 1.34%; NPL coverage ratio at 212%   •  EA ratio 12.56%; TCE ratio1 up 6 bps to 7.75% Total loans $17,002 $16,846 $16,555 Total investment securities 6,735 6,878 7,521 Total deposits 22,353 22,245 22,452 Total assets 27,372 27,346 27,583 Total shareholders' equity 3,439 3,426 3,340 Asset Quality Net charge-off ratio (NCO ratio) 0.19 % 0.11 % 0.03 % Nonperforming loan ratio 0.63 0.50 0.38 Nonperforming assets to total assets 0.41 0.33 0.26 Allowance for credit losses to total loans 1.34 1.34 1.25 Nonperforming loan coverage ratio 212 267 324 Performance Measures (in millions) Total revenue $195.1 $177.6 $223.7 Adjusted total revenue1 195.1 197.8 223.7 Pre-provision net revenue1 (PPNR) 55.2 29.5 80.4 Adjusted pre-provision net revenue1 57.2 65.1 82.8 Provision for credit losses 10.2 10.0 24.2 Per share Data Diluted earnings $  0.31 $  0.19 $  0.36 Adjusted diluted earnings1 0.32 0.40 0.37 Book value 27.42 27.37 26.24 Tangible book value1 16.02 15.92 14.88 Capital Ratios Equity to assets (EA ratio) 12.56 % 12.53 % 12.11 % Tangible common equity (TCE) ratio1 7.75 7.69 7.25 Common equity tier 1 (CET1) ratio 11.95 12.11 11.87 Total risk-based capital ratio 14.43 14.39 14.47 Liquidity ($ in millions) Loan to deposit ratio 76.06 % 75.73 % 73.74 % Borrowed funds to total liabilities 5.42 5.88 6.32 Uninsured, non-collateralized deposits (UCD) $  4,643 $  4,753 $  5,268 Additional liquidity sources 11,457 11,216 10,780 Coverage ratio of UCD         2.5x         2.4x         2.0x   Simmons First National Corporation (NASDAQ:SFNC) (Simmons or Company) today reported net income of $38.9 million for the first quarter of 2024, compared to $23.9 million for the fourth quarter of 2023 and $45.6 million for the first quarter of 2023. Diluted earnings per share were $0.31 for the first quarter of 2024, compared to $0.19 in the fourth quarter of 2023 and $0.36 for the first quarter of 2023. Adjusted earnings1 for the first quarter of 2024 were $40.4 million, compared to $50.2 million for the fourth quarter of 2023 and $47.3 million for the first quarter of 2023. Adjusted diluted earnings per share1 for the first quarter of 2024 were $0.32, compared to $0.40 for the fourth quarter of 2023 and $0.37 for the first quarter of 2023. During the first quarter of 2024, we recorded $1.6 million of noninterest expense for an FDIC special assessment levied to support the Deposit Insurance Fund following the failure of certain banks in 2023. This expense was in addition to the $10.5 million FDIC special assessment we recorded in the fourth quarter of 2023. The table below summarizes the impact of these items, along with the impact of certain other items, consisting primarily of branch right sizing, early retirement and a loss recorded in connection with the strategic sale of available-for-sale securities. They are also described in further detail in the "Reconciliation of Non-GAAP Financial Measures" tables contained in this press release. Impact of Certain Items on Earnings and Diluted EPS $ in millions, except per share data  1Q24   4Q23   1Q23 Net income $ 38.9 $ 23.9 $ 45.6 Loss on sale of AFS investment securities - 20.2 - FDIC special assessment 1.6 10.5 - Branch right sizing, net 0.2 3.9 0.9 Early retirement program 0.2 1.0 - Merger related costs - - 1.4    Total pre-tax impact 2.0 35.6 2.3 Tax effect2 (0.5) (9.3) (0.6)    Total impact on earnings 1.5 26.3 1.7 Adjusted earnings1 $ 40.4 $ 50.2 $ 47.3 Diluted EPS $ 0.31 $ 0.19 $ 0.36 Loss on sale of AFS investment securities - 0.16 - FDIC special assessment 0.01 0.08 - Branch right sizing, net - 0.03 0.01 Early retirement program - 0.01 - Merger related costs - - 0.01    Total pre-tax impact 0.01 0.28 0.02 Tax effect2 - (0.07) (0.01)    Total impact on earnings 0.01 0.21 0.01 Adjusted Diluted EPS1 $ 0.32 $ 0.40 $ 0.37   Net Interest IncomeNet interest income for the first quarter of 2024 totaled $151.9 million, compared to $155.6 million for the fourth quarter of 2023 and $177.8 million for the first quarter of 2023. Interest income totaled $322.6 million for the first quarter of 2024, compared to $323.5 million for the fourth quarter of 2023. The decrease in interest income on a linked quarter basis was primarily due to a decline in the contribution from investment securities resulting from a lower average balance in the portfolio. Interest expense totaled $170.7 million for the first quarter of 2024, up $2.9 million on a linked quarter basis as an increase in deposit costs more than offset a decline in other borrowings. Included in net interest income is accretion recognized on assets, which totaled $1.1 million for the first quarter of 2024, $1.8 million in the fourth quarter of 2023 and $2.6 million in the first quarter of 2023. The yield on loans on a fully taxable equivalent (FTE) basis for the first quarter of 2024 was 6.24 percent, compared to 6.20 percent in the fourth quarter of 2023 and 5.67 percent in the first quarter of 2023. The yield on investment securities in the first quarter of 2024 was 3.76 percent, compared to 3.67 percent in the fourth quarter of 2023 and 2.92 percent in the first quarter of 2023. Cost of deposits for the first quarter of 2024 was 2.75 percent, compared to 2.58 percent in the fourth quarter of 2023 and 1.58 percent in the first quarter of 2023. The net interest margin on an FTE basis for the first quarter of 2024 was 2.66 percent, compared to 2.68 percent in the fourth quarter of 2023 and 3.09 percent in the first quarter of 2023. Select Yield/Rates  1Q24  4Q23 3Q23 2Q23  1Q23 Loan yield (FTE)2 6.24 % 6.20 % 6.08 % 5.89 % 5.67 % Investment securities yield (FTE)2 3.76 3.67 3.08 2.91 2.92 Cost of interest bearing deposits 3.48 3.31 3.06 2.57 2.10 Cost of deposits 2.75 2.58 2.37 1.96 1.58 Cost of borrowed funds 5.85 5.79 5.60 5.31 4.29 Net interest spread (FTE)2 1.89 1.93 1.87 2.10 2.52 Net interest margin (FTE)2 2.66 2.68 2.61 2.76 3.09   Noninterest IncomeNoninterest income for the first quarter of 2024 was $43.2 million, compared to $22.0 million in the fourth quarter of 2023 and $45.8 million in the first quarter of 2023. Adjusted noninterest income1 was $43.2 million in the first quarter of 2024, compared to $42.2 million in the fourth quarter of 2023 and $45.8 million in the first quarter of 2023. The increase in noninterest income on a linked quarter basis was primarily the result of increased activity related to debit and credit card fees, mortgage banking income and bank owned life insurance income, as well as a $20.2 million loss on the strategic sale of available-for-sale securities recorded in the fourth quarter of 2023. Noninterest Income $ in millions  1Q24 4Q23 3Q23 2Q23  1Q23 Service charges on deposit accounts $ 12.0 $ 12.8 $ 12.4 $ 12.9 $ 12.4 Wealth management fees 7.5 7.7 7.7 7.4 7.4 Debit and credit card fees 8.2 7.8 7.7 8.0 8.0 Mortgage lending income 2.3 1.6 2.2 2.4 1.6 Other service charges and fees 2.2 2.3 2.2 2.3 2.3 Bank owned life insurance 3.8 3.1 3.1 2.6 3.0 Gain (loss) on sale of securities - (20.2) - (0.4) - Other income 7.2 6.9 7.4 9.8 11.3    Total noninterest income $ 43.2 $ 22.0 $ 42.8 $ 45.0 $ 45.8 Adjusted noninterest income1 $ 43.2 $ 42.2 $ 42.8 $ 45.4 $ 45.8   Noninterest ExpenseNoninterest expense for the first quarter of 2024 was $139.9 million, compared to $148.1 million for the fourth quarter of 2023 and $143.2 million for the first quarter of 2023. During the first quarter of 2024 and fourth quarter of 2023, noninterest expense included an FDIC special assessment of $1.6 million and $10.5 million, respectively. Also included in noninterest expense are certain items consisting of branch right sizing, early retirement and merger and integration costs. Collectively, these items totaled $2.0 million for the first quarter of 2024, $15.4 million for the fourth quarter of 2023 and $2.4 million for the first quarter of 2023. Excluding these items (which are described in the "Reconciliation of Non-GAAP Financial Measures" tables below), adjusted noninterest expense1 was $137.9 million for the first quarter of 2024, $132.7 million for the fourth quarter of 2023 and $140.9 million for the first quarter of 2023. The decrease in noninterest expense on a linked quarter basis was primarily the result of lower FDIC special assessment charges and branch right sizing costs during the first quarter of 2024, offset in part by an increase in salaries and employee benefits principally due to higher payroll taxes typically incurred during the first quarter. Noninterest Expense $ in millions   1Q24   4Q23  3Q23  2Q23 1Q23 Salaries and employee benefits $  72.7 $  67.0 $  67.4 $  74.7 $  77.0 Occupancy expense, net 12.3 11.7 12.0 11.4 11.6 Furniture and equipment 5.1 5.4 5.1 5.1 5.1 Deposit insurance 5.5 4.7 4.7 5.2 4.9 Other real estate and foreclosure expense 0.2 0.2 0.2 0.3 0.2 Merger related costs - - - - 1.4 FDIC special assessment 1.6 10.5 - - - Other operating expenses 42.5 48.6 42.6 42.9 43.1    Total noninterest expense $139.9 $148.1 $132.0 $139.7 $143.2 Adjusted salaries and employee benefits1 $  72.4 $  66.0 $ 65.8 $  71.1 $  77.0 Adjusted other operating expenses1 42.4 44.9 42.1 43.0 42.3 Adjusted noninterest expense1 137.9 132.7 129.9 136.0 140.9 Efficiency ratio 69.41 % 80.46 % 65.11 % 65.18 % 62.28 % Adjusted efficiency ratio1 66.42 62.91 61.94 61.29 59.38 Full-time equivalent employees 2,989 3,007 3,005 3,066 3,189   Loans and Unfunded Loan CommitmentsTotal loans at the end of the first quarter of 2024 were $17.0 billion, up $447 million, or 3 percent, compared to $16.6 billion at the end of the first quarter of 2023. Total loans on a linked quarter basis increased $156 million, or 1 percent, reflecting our focus on maintaining disciplined pricing strategies and prudent underwriting standards given projections surrounding near-term economic activity and conditions. Unfunded loan commitments at the end of the first quarter of 2024 were $3.9 billion, compared to $3.9 billion at the end of the fourth quarter of 2023 and $4.7 billion at the end of the first quarter of 2023. At the same time, our commercial loan pipeline experienced measured growth for the third consecutive quarter. Commercial loans ready to close at the end of the first quarter of 2024 were $381 million and the rate on ready to close commercial loans was 8.38 percent.   Loans and Unfunded Loan Commitments  $ in millions   1Q24  4Q23  3Q23  2Q23  1Q23 Total loans $17,002 $16,846 $16,772 $16,834 $16,555 Unfunded loan commitments 3,875 3,880 4,049 4,443 4,725   DepositsTotal deposits at the end of the first quarter of 2024 were $22.4 billion, compared to $22.2 billion at the end of the fourth quarter of 2023 and $22.5 billion at the end of the first quarter of 2023. On a linked quarter basis, deposit growth was driven by increased levels of interest bearing transaction accounts (interest bearing checking, money market and savings accounts), time deposits and brokered deposits. Noninterest bearing deposits totaled $4.7 billion at the end of the first quarter of 2024, compared to $4.8 billion at the end of the fourth quarter of 2023. The loan-to-deposit ratio at the end of the first quarter of 2024 was 76 percent, unchanged from the end of the fourth quarter of 2023 and up slightly from 74 percent at the end of the first quarter of 2023. Deposits $ in millions  1Q24  4Q23  3Q23  2Q23  1Q23 Noninterest bearing deposits $  4,698 $  4,801 $  4,991 $  5,265 $  5,489 Interest bearing transaction accounts 10,316 10,277 9,875 10,203 10,625 Time deposits 4,314 4,266 4,103 3,784 3,385 Brokered deposits 3,025 2,901 3,262 3,237 2,953    Total deposits $22,353 $22,245 $22,231 $22,489 $22,452 Noninterest bearing deposits to total deposits 21 % 22 % 22 % 23 % 24 % Total loans to total deposits 76 76 75 75 74   Asset QualityProvision for credit losses totaled $10.2 million for the first quarter of 2024, compared to $10.0 million for the fourth quarter of 2023 and $24.2 million for the first quarter of 2023. Included in provision for credit losses was the recapture of provision expense on investment securities totaling $1.2 million for the fourth quarter of 2023, while the first quarter of 2023 included provision expense on investment securities totaling $13.3 million. The allowance for credit losses on loans at the end of the first quarter of 2024 was $227.4 million, compared to $225.2 million at the end of the fourth quarter of 2023 and $206.6 million at the end of the first quarter of 2023. The increase in allowance for credit losses on loans on a linked quarter and year-over-year basis reflected in part increased activity in the loan portfolio, as well as changes in macroeconomic conditions. The allowance for credit losses on loans as a percentage of total loans was 1.34 percent at the end of the first quarter of 2024, unchanged from fourth quarter 2023 levels and up from 1.25 percent at the end of the first quarter of 2023. Net charge-offs as a percentage of average loans for the first quarter of 2024 were 19 basis points, compared to 11 basis points for the fourth quarter of 2023 and 3 basis points for the first quarter of 2023. The increase in net charge-offs on a linked quarter basis was primarily due to $4.5 million of charge-offs associated with the small ticket equipment finance portfolio that has been designated for run-off, as well as certain loans acquired through mergers since 2020. Net charge-offs from run-off and acquired portfolios accounted for 11 basis points of total net charge-offs recorded during the first quarter of 2024. Total nonperforming loans at the end of the first quarter of 2024 were $107.3 million, compared to $84.5 million at the end of the fourth quarter of 2023 and $63.7 million at the end of the first quarter of 2023. The increase in nonperforming loans on a linked quarter basis was primarily due to an $11.0 million asset based lending loan and a $6.6 million non-owner occupied real estate loan to a business that was negatively impacted by Covid. The asset based lending portfolio was acquired in 2021 and has also been designated for run-off. The nonperforming loan coverage ratio ended the first quarter of 2024 at 212 percent. Total nonperforming assets as a percentage of total assets were 0.41 percent at the end of the first quarter of 2024, compared to 0.33 percent at the end of the fourth quarter of 2023 and 0.26 percent at the end of the first quarter of 2023. Asset Quality $ in millions   1Q24   4Q23  3Q23  2Q23  1Q23 Allowance for credit losses on loans to total loans   1.34 %   1.34 %   1.30 %   1.25 %   1.25 % Allowance for credit losses on loans to nonperforming loans   212   267   267   292   324 Nonperforming loans to total loans 0.63 0.50 0.49 0.43 0.38 Net charge-off ratio (annualized) 0.19 0.11 0.28 0.04 0.03 Net charge-off ratio YTD (annualized) 0.19 0.12 0.12 0.04 0.03 Total nonperforming loans $107.3 $84.5 $81.9 $72.0 $63.7 Total other nonperforming assets 5.0 5.8 5.2 4.9 7.7    Total nonperforming assets $112.3 $90.3 $87.1 $76.9 $71.4 Reserve for unfunded commitments $25.6 $25.6 $25.6 $36.9 $41.9   CapitalTotal stockholders' equity at the end of the first quarter of 2024 was $3.4 billion, compared to $3.3 billion at the end of the first quarter of 2023. On a linked quarter basis, total stockholders' equity increased $12.6 million, primarily as a result of a $12.5 million increase in retained earnings. Book value per share at the end of the first quarter of 2024 was $27.42, compared to $27.37 at the end of the fourth quarter of 2023 and $26.24 at the end of the first quarter of 2023. Tangible book value per share1 at the end of the first quarter of 2024 was $16.02, compared to $15.92 at the end of the fourth quarter of 2023 and $14.88 at the end of the first quarter of 2023. Stockholders' equity as a percentage of total assets at March 31, 2024, was 12.6 percent, compared to 12.5 percent at December 31, 2023, and 12.1 percent at March 31, 2023. Tangible common equity as a percentage of tangible assets1 was 7.8 percent at March 31, 2024, compared to 7.7 percent at December 31, 2023, and 7.3 percent at March 31, 2023. Both Simmons and Simmons Bank continue to maintain strong regulatory capital positions with all regulatory capital ratios significantly exceeding "well-capitalized" guidelines.    Select Capital Ratios 1Q24         4Q23 3Q23 2Q23 1Q23 Stockholders' equity to total assets 12.6 % 12.5 % 11.9 % 12.0 % 12.1 % Tangible common equity to tangible assets1 7.8 7.7 7.1 7.2 7.3 Common equity tier 1 (CET1) ratio 12.0 12.1 12.0 11.9 11.9 Tier 1 leverage ratio 9.4 9.4 9.3 9.2 9.2 Tier 1 risk-based capital ratio 12.0 12.1 12.0 11.9 11.9 Total risk-based capital ratio 14.4 14.4 14.3 14.2 14.5   Cash Dividend and Share Repurchase ProgramAs a result of Simmons' solid capital position and its ability to organically generate capital, the board of directors declared a quarterly cash dividend on Simmons' Class A common stock of $0.21 per share, which represents a 5 percent increase from the cash dividend paid for the same time period last year. The cash dividend is payable on July 1, 2024, to shareholders of record as of June 14, 2024. Simmons has paid cash dividends for 115 consecutive years, and 2024 represents the 13th consecutive year that Simmons has increased its dividend. According to research by Dividend Power, Simmons is one of only 26 U.S. publicly traded companies that have paid dividends for 100+ uninterrupted years. Simmons also earned Dividend Power's designation as a "Dividend Contender," a title reserved exclusively for companies that have increased their dividend for 10 to 24 consecutive years. As of April 8, 2024, Dividend Power research noted that Simmons is one of only 347 companies out of nearly 6,000 companies listed on the New York Stock Exchange and NASDAQ to achieve this distinction. During the first quarter of 2024, Simmons did not repurchase shares under its stock repurchase program that was authorized in January 2024 (2024 Program) and which replaced its former repurchase program that was authorized in January 2022. Remaining authorization under the 2024 Program as of March 31, 2024, was approximately $175 million. The timing, pricing and amount of any repurchases under the 2024 Program will be determined by Simmons' management at its discretion based on a variety of factors including, but not limited to, market conditions, trading volume and market price of Simmons' common stock, Simmons' capital needs, Simmons' working capital and investment requirements, other corporate considerations, economic conditions, and legal requirements.  The 2024 Program does not obligate Simmons to repurchase any common stock and may be modified, discontinued or suspended at any time without prior notice. (1) Non-GAAP measurement. See "Non-GAAP Financial Measures" and "Reconciliation of Non-GAAP Financial Measures" below (2) FTE – fully taxable equivalent basis using an effective tax rate of 26.135%   Conference CallManagement will conduct a live conference call to review this information beginning at 9:00 a.m. Central Time today, Wednesday, April 24, 2024. Interested persons can listen to this call by dialing toll-free 1-844-481-2779 (North America only) and asking for the Simmons First National Corporation conference call, conference ID 10187669. In addition, the call will be available live or in recorded version on Simmons' website at simmonsbank.com for at least 60 days following the date of the call. Simmons First National CorporationSimmons First National Corporation (NASDAQ:SFNC) is a Mid-South based financial holding company that has paid cash dividends to its shareholders for 115 consecutive years. Its principal subsidiary, Simmons Bank, operates 233 branches in Arkansas, Kansas, Missouri, Oklahoma, Tennessee and Texas. Founded in 1903, Simmons Bank offers comprehensive financial solutions delivered with a client-centric approach. In 2023, Simmons Bank was recognized by Forbes as one of America's Best Midsize Employers and among the World's Best Banks for the fourth consecutive year. Additional information about Simmons Bank can be found on our website at simmonsbank.com, by following @Simmons_Bank on X (formerly Twitter) or by visiting our newsroom. Non-GAAP Financial MeasuresThis press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (GAAP). The Company's management uses these non-GAAP financial measures in their analysis of the Company's performance. These measures adjust GAAP performance measures to, among other things, include the tax benefit associated with revenue items that are tax-exempt, as well as exclude from net income (including on a per share diluted basis), pre-tax, pre-provision earnings, net charge-offs, income available to common shareholders, non-interest income, and non-interest expense certain income and expense items attributable to, for example, merger activity (primarily including merger-related expenses), gains and/or losses on sale of branches, net branch right-sizing initiatives, FDIC special assessment charges and gain/loss on the sale of AFS investment securities. The Company has updated its calculation of certain non-GAAP financial measures to exclude the impact of gains or losses on the sale of AFS investment securities in light of the impact of the Company's strategic AFS investment securities transactions during the fourth quarter of 2023 and has presented past periods on a comparable basis. In addition, the Company also presents certain figures based on tangible common stockholders' equity, tangible assets and tangible book value, which exclude goodwill and other intangible assets. The Company further presents certain figures that are exclusive of the impact of deposits and/or loans acquired through acquisitions, mortgage warehouse loans, and/or energy loans, or gains and/or losses on the sale of securities. The Company's management believes that these non-GAAP financial measures are useful to investors because they, among other things, present the results of the Company's ongoing operations without the effect of mergers or other items not central to the Company's ongoing business, as well as normalize for tax effects and certain other effects. Management, therefore, believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's ongoing businesses, and management uses these non-GAAP financial measures to assess the performance of the Company's ongoing businesses as related to prior financial periods. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release. Forward-Looking StatementsCertain statements in this press release may not be based on historical facts and should be considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, including, without limitation, statements made in Mr. Fehlman's quote and estimated earn back periods, may be identified by reference to future periods or by the use of forward-looking terminology, such as "believe," "budget," "expect," "foresee," "anticipate," "intend," "indicate," "target," "estimate," "plan," "project," "continue," "contemplate," "positions," "prospects," "predict," or "potential," by future conditional verbs such as "will," "would," "should," "could," "might" or "may," or by variations of such words or by similar expressions. These forward-looking statements include, without limitation, statements relating to Simmons' future growth, business strategies, lending capacity and lending activity, loan demand, revenue, assets, asset quality, profitability, dividends, net interest margin, non-interest revenue, share repurchase program, acquisition strategy, digital banking initiatives, the Company's ability to recruit and retain key employees, the adequacy of the allowance for credit losses, and future economic conditions and interest rates. Any forward-looking statement speaks only as of the date of this press release, and Simmons undertakes no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date of this press release. By nature, forward-looking statements are based on various assumptions and involve inherent risk and uncertainties. Various factors, including, but not limited to, changes in economic conditions, changes in credit quality, changes in interest rates and related governmental policies, changes in loan demand, changes in deposit flows, changes in real estate values, changes in the assumptions used in making the forward-  looking statements, changes in the securities markets generally or the price of Simmons' common stock specifically, changes in information technology affecting the financial industry, and changes in customer behaviors, including consumer spending, borrowing, and saving habits; general economic and market conditions; market disruptions including pandemics or significant health hazards, severe weather conditions, natural disasters, terrorist activities, financial crises, political crises, war and other military conflicts (including the ongoing military conflicts between Russia and Ukraine and between Israel and Hamas) or other major events, or the prospect of these events; the soundness of other financial institutions and any indirect exposure related to the closings of other financial institutions and their impact on the broader market through other customers, suppliers and partners, or that the conditions which resulted in the liquidity concerns experienced by closed financial institutions may also adversely impact, directly or indirectly, other financial institutions and market participants with which the Company has commercial or deposit relationships;  increased inflation; the loss of key employees; increased competition in the markets in which the Company operates; increased unemployment; labor shortages; claims, damages, and fines related to litigation or government actions; changes in accounting principles relating to loan loss recognition (current expected credit losses); the Company's ability to manage and successfully integrate its mergers and acquisitions and to fully realize cost savings and other benefits associated with acquisitions; increased delinquency and foreclosure rates on commercial real estate loans; cyber threats, attacks or events; reliance on third parties for key services; government legislation; and other factors, many of which are beyond the control of the Company, could cause actual results to differ materially from those projected in or contemplated by the forward-looking statements. Additional information on factors that might affect the Company's financial results is included in the Company's Form 10-K for the year ended December 31, 2023, and other reports that the Company has filed with or furnished to the U.S. Securities and Exchange Commission (the SEC), all of which are available from the SEC on its website, www.sec.gov. In addition, there can be no guarantee that the board of directors (Board) of Simmons will approve a quarterly dividend in future quarters, and the timing, payment, and amount of future dividends (if any) is subject to, among other things, the discretion of the Board and may differ significantly from past dividends. Simmons First National Corporation  SFNC  Consolidated End of Period Balance Sheets  For the Quarters Ended  Mar 31  Dec 31  Sep 30  Jun 30  Mar 31  (Unaudited) 2024 2023 2023 2023 2023 ($ in thousands)  ASSETS  Cash and noninterest bearing balances due from banks $        380,324 $        345,258 $        181,822 $        181,268 $        199,316  Interest bearing balances due from banks and federal funds sold 222,979 268,834 423,826 564,644 325,135      Cash and cash equivalents 603,303 614,092 605,648 745,912 524,451  Interest bearing balances due from banks - time 100 100 100 545 795  Investment securities - held-to-maturity 3,707,258 3,726,288 3,742,292 3,756,754 3,765,483  Investment securities - available-for-sale 3,027,558 3,152,153 3,358,421 3,579,758 3,755,956  Mortgage loans held for sale 11,899 9,373 11,690 10,342 4,244  Loans:  Loans 17,001,760 16,845,670 16,771,888 16,833,653 16,555,098  Allowance for credit losses on loans (227,367) (225,231) (218,547) (209,966) (206,557)  Net loans 16,774,393 16,620,439 16,553,341 16,623,687 16,348,541  Premises and equipment 576,466 570,678 567,167 562,025 564,497  Foreclosed assets and other real estate owned 3,511 4,073 3,809 3,909 2,721  Interest receivable 122,781 122,430 110,361 103,431 98,775  Bank owned life insurance 503,348 500,559 497,465 494,370 493,191  Goodwill 1,320,799 1,320,799 1,320,799 1,320,799 1,320,799  Other intangible assets 108,795 112,645 116,660 120,758 124,854  Other assets 611,964 592,045 676,572 636,833 579,139  Total assets $   27,372,175 $   27,345,674 $   27,564,325 $   27,959,123 $   27,583,446  LIABILITIES AND STOCKHOLDERS' EQUITY  Deposits:  Noninterest bearing transaction accounts $     4,697,539 $     4,800,880 $     4,991,034 $     5,264,962 $     5,489,434  Interest bearing transaction accounts and savings deposits 11,071,762 10,997,425 10,571,807 10,866,078 11,283,584  Time deposits 6,583,703 6,446,673 6,668,370 6,357,682 5,678,757          Total deposits 22,353,004 22,244,978 22,231,211 22,488,722 22,451,775  Federal funds purchased and securities sold  under agreements to repurchase 58,760 67,969 74,482 102,586 142,862  Other borrowings 871,874 972,366 1,347,855 1,373,339 1,023,826  Subordinated notes and debentures 366,179 366,141 366,103 366,065 366,027  Accrued interest and other liabilities 283,232 267,732 259,119 272,085 259,055  Total liabilities 23,933,049 23,919,186 24,278,770 24,602,797 24,243,545  Stockholders' equity:  Common stock 1,254 1,252 1,251 1,262 1,273  Surplus 2,503,673 2,499,930 2,497,874 2,516,398 2,533,589  Undivided profits 1,342,215 1,329,681 1,330,810 1,308,654 1,275,720  Accumulated other comprehensive (loss) income (408,016) (404,375) (544,380) (469,988) (470,681)  Total stockholders' equity 3,439,126 3,426,488 3,285,555 3,356,326 3,339,901  Total liabilities and stockholders' equity $   27,372,175 $   27,345,674 $   27,564,325 $   27,959,123 $   27,583,446   Simmons First National Corporation  SFNC  Consolidated Statements of Income - Quarter-to-Date  For the Quarters Ended Mar 31 Dec 31 Sep 30 Jun 30 Mar 31  (Unaudited) 2024 2023 2023 2023 2023 ($ in thousands, except per share data)  INTEREST INCOME     Loans (including fees) $   261,490 $   261,505 $   255,901 $   244,292 $   227,498     Interest bearing balances due from banks and federal funds sold 3,010 3,115 3,569 4,023 2,783     Investment securities 58,001 58,755 50,638 48,751 48,774     Mortgage loans held for sale 148 143 178 154 82             TOTAL INTEREST INCOME 322,649 323,518 310,286 297,220 279,137  INTEREST EXPENSE     Time deposits 73,241 72,458 68,062 53,879 39,538     Other deposits 78,692 71,412 65,095 54,485 47,990     Federal funds purchased and securities       sold under agreements to repurchase 189 232 277 318 323     Other borrowings 11,649 16,607 16,450 18,612 8,848     Subordinated notes and debentures 6,972 7,181 6,969 6,696 4,603             TOTAL INTEREST EXPENSE 170,743 167,890 156,853 133,990 101,302  NET INTEREST INCOME 151,906 155,628 153,433 163,230 177,835  PROVISION FOR CREDIT LOSSES     Provision for credit losses on loans 10,206 11,225 20,222 5,061 10,916     Provision for credit losses on unfunded commitments - - (11,300) (5,000) -     Provision for credit losses on investment securities - AFS - (1,196) (1,200) (1,326) 12,800     Provision for credit losses on investment securities - HTM - - - 1,326 500             TOTAL PROVISION FOR CREDIT LOSSES 10,206 10,029 7,722 61 24,216  NET INTEREST INCOME AFTER PROVISION     FOR CREDIT LOSSES 141,700 145,599 145,711 163,169 153,619  NONINTEREST INCOME     Service charges on deposit accounts 11,955 12,782 12,429 12,882 12,437     Debit and credit card fees 8,246 7,822 7,712 7,986 7,952     Wealth management fees 7,478 7,679 7,719 7,440 7,365     Mortgage lending income 2,320 1,603 2,157 2,403 1,570     Bank owned life insurance income 3,814 3,094 3,095 2,555 2,973     Other service charges and fees (includes insurance income) 2,199 2,346 2,232 2,262 2,282     Gain (loss) on sale of securities - (20,218) - (391) -     Other income 7,172 6,866 7,433 9,843 11,256             TOTAL NONINTEREST INCOME 43,184 21,974 42,777 44,980 45,835  NONINTEREST EXPENSE     Salaries and employee benefits 72,653 66,982 67,374 74,723 77,038