Meta Financial Group, Inc.® Reports Net Income of $31.4 million for Second Quarter of Fiscal 2018
Highlights for the 2018 Fiscal Second Quarter Ended March 31, 2018
- The Company recorded net income of
$31.4 million, or $3.23per diluted share, for the three months ended March 31, 2018, compared to net income of $32.1 million, or $3.42per diluted share, for the three months ended March 31, 2017, a decrease of 2%. The 2018 fiscal second quarter pre-tax results included $2.2 millionof merger and acquisition related expenses, $0.5 millionpayout of severance costs related to synergy efforts in the Company's tax divisions, and a $0.2 millionloss on sale of investments. The 2018 fiscal second quarter pre-tax results also included $2.7 millionin amortization of intangible assets and $1.3 millionin non-cash stock-related compensation associated with executive officer employment agreements (see Select Quarterly Expenses table).
- Net interest income was
$27.4 millionin the 2018 fiscal second quarter, an increase of $3.4 million, or 14%, compared to $24.0 millionin the second quarter of fiscal 2017. This increase was largely driven by increased loan balances, primarily in the portfolios of community banking, purchased student loans, and commercial insurance premium finance loans. A rise in interest expense, largely due to an increase in short-term funding rates and an increase in wholesale funding balances due to retaining more tax services loans on the Company's balance sheet, partially offset the increase in interest income.
- Card fee income increased
$0.3 million, or 1%, to $26.9 millionfor the 2018 fiscal second quarter when compared to the same quarter in 2017. Card fee growth with respect to the 2018 fiscal second quarter compared to the same period of the prior year was negatively affected by a promotional campaign during the second quarter of fiscal 2017 that has since expired as expected. Excluding the year over year change for the promotional campaign's partner, card fee income would have been up $1.3 million, or 5%, when comparing the 2018 fiscal second quarter to the same period of the prior year. The Company expects fiscal year 2018 total card fee income to be between $95.0 million and $101.0 millionand expects total card processing expense to be between $23.0 million and $27.0 million.
- For the three months ended
March 31, 2018, compared to the same period of the prior year, tax product fee income increased $4.0 million, or 6%, from $63.6 million to $67.6 million, tax product expense decreased $2.0 million, or 15%, from $13.3 million to $11.3 millionand provision for loan losses related to tax services loans increased $10.2 million, or 130%, from $7.9 million to $18.1 million. The increase in tax product fee income and provision for loan losses was primarily due to retaining all tax advance loans originated during the 2018 tax season, as opposed to the previous year when a majority of these loans were sold. When comparing pre-tax income for the tax services business, the 2018 fiscal first quarter was higher than the same period of the prior year, while the 2018 fiscal second quarter was lower than the same period of the prior year. The Company expects 2018 fiscal third quarter pre-tax income to be higher than the same period of the prior year and now expects total fiscal 2018 pre-tax income for our tax services business to be approximately $1 million to $3 millionlower than for total fiscal 2017.
- The Company's 2018 fiscal second quarter average assets grew to
$4.70 billion, compared to $4.41 billionin the 2017 fiscal second quarter, an increase of 7%, primarily driven by growth in loan balances.
- Total loans receivable, net of allowance for loan losses, increased
$353.9 million, or 31%, at March 31, 2018, compared to March 31, 2017. This increase was primarily related to growth in commercial real estate loans, consumer loans, due to the purchased student loan portfolios and tax advance loans, and commercial insurance premium finance loans.
- Payments division average deposits increased
$190.9 million, or 8%, for the 2018 fiscal second quarter when compared to the same quarter of 2017.
- Non-performing assets (“NPAs”) were 0.84% of total assets at March 31, 2018, compared to 0.12% at March 31, 2017. See Credit Quality section below for further detail.
April 30, 2018, Meta announced an expanded, four-year agreement with AAA. Together, Meta and AAA anticipate bringing robust payments solutions to US-based AAA Clubs. Under this new agreement, MetaBankand AAA will expand distribution of the payments products, as well as enhancing them based on member feedback and consumer preference, adding features like mobile applications for card management and additional load capabilities.
April 30, 2018, Meta announced an agreement with CURO Group Holdings Corp("CURO"), a leader in providing short-term credit to underbanked consumers. Together, the organizations will launch a new line of credit product that the parties believe will be more flexible and transparent than others in the market, and well-suited for US-based underbanked consumers. CURO and Meta expect to unveil the new, joint brand and a timeline for the pilot launch later this year. In the first three years of the agreement with CURO, Meta expects to hold up to $350 millionin product receivables on its balance sheet.
April 3, 2018, Meta announced it entered into a three-year agreement with Health Credit Services ("HCS"), a technology-driven, patient financing company. MetaBankwill approve and originate loans for elective procedures for select HCS provider offices throughout the country. During the three-year agreement, MetaBankexpects to originate at least several hundred million dollars in personal loans.
March 12, 2018, Meta announced a 10-year renewal of a relationship with Money Network Financial, LLC("Money Network"), a wholly-owned subsidiary of First Data(NYSE:FDC). MetaBanksupports a range of Money Network payments programs, most notably the Money Network® Electronic Payment Delivery Service, which large organizations use to provide employees the option of receiving wages electronically.
"We are excited to announce that we have delivered strong quarterly earnings of
"Adding to a very active quarter, we renewed multi-year agreements with two of our largest prepaid partners, Money Network Financial and AAA, and added relationships in our national consumer lending business. Meta will originate and provide consumer lending opportunities to the customers of
"Work towards the integration of the anticipated Crestmark acquisition is continuing behind the scenes, and we expect the acquisition to be completed by
Total revenue for the fiscal 2018 second quarter was
The Company recorded net income of
The 2018 fiscal second quarter pre-tax results included
Net Interest Income
Net interest income for the fiscal 2018 second quarter was
Net Interest Margin
Net interest margin, tax equivalent ("NIM") was 2.89% in the fiscal 2018 second quarter, a decrease of two basis points from 2.91% in the fiscal 2017 second quarter. The decrease was primarily related to the increase in non-interest bearing tax-related loans retained on the Company's balance sheet in the current year's tax quarter when compared to the previous year, as well as the change in the corporate tax rate. Had corporate tax rates remained at previous rates, excluding changes resulting from the adoption of the Tax Act, the reported NIM of 2.89% would have been 3.08%. If the average balance of tax services loans for the second quarter of fiscal 2018 had been at similar levels to the same period of fiscal 2017, NIM would have been another seven basis points higher.
The Company estimates, when adjusting for certain seasonal tax program related items as discussed below, a normalized NIM for the 2018 fiscal second quarter would have been between 3.30% and 3.33%, which also reflects the adjusted tax rate due to the adoption of the Tax Act. These adjustments include removing the impact of tax related lending, normalizing cash balances, and making borrowing adjustments by removing borrowing expense if cash balances were available. This Company estimate of normalized NIM would compare favorably to a similarly adjusted fiscal first quarter of 2018 NIM of 3.14%. The quarter to quarter estimated improvement primarily relates to improving earning asset yields and an increase in average non-interest bearing deposits in the current quarter.
The overall reported tax equivalent yield (“TEY”) on average earning asset yields increased by 16 basis points to 3.46% when comparing the fiscal 2018 second quarter to the 2017 second quarter, which was driven primarily by the Company's improved earning asset mix, with increased exposure to its high-quality commercial insurance premium finance, student, and community banking loan portfolios. The reported 3.46% TEY on earning assets reflects the lowered corporate prorated tax rate of the Company's tax-exempt securities portfolio. Had corporate tax rates remained at previous rates, excluding changes resulting from the adoption of the Tax Act, reported TEY on earning assets would have been 3.65%.
The fiscal 2018 second quarter TEY on the securities portfolio decreased by six basis points to 3.18% compared to the same period of the prior year TEY of 3.24%, primarily due to the adoption of the Tax Act, which lowered the TEY on tax-exempt securities. Had corporate tax rates not changed due to the Tax Act, reported securities portfolio TEY yield would have been increased to 3.52% due to new investments being made in higher-yielding investment securities and MBS.
The Company’s average interest-earning assets for the fiscal 2018 second quarter grew by
Overall, the Company's cost of funds for all deposits and borrowings averaged 0.58% during the fiscal 2018 second quarter, compared to 0.39% for the 2017 second quarter. This increase was primarily due to an increase in short-term funding rates and higher average overall funding balances due to the Company's utilization of more of its capital during non-tax season with higher investment balances and funding, and in preparation to hold more tax loans on the Company's balance sheet. The Company's overall cost of deposits was 0.33% in the fiscal second quarter of 2018, compared to 0.24% in the same quarter of 2017. When excluding wholesale deposits, the Company's cost of deposits for the second quarter of fiscal 2018 would have been 0.06%.
Fiscal 2018 second quarter non-interest income of
Non-interest expense increased
Income tax expense for the fiscal 2018 second quarter was
Total loans receivable, net of allowance for loan losses, increased
The Company recorded a provision for loan losses of
The Company’s allowance for loan losses was
MetaBank’s NPAs at March 31, 2018, were
Investment securities and MBS decreased by
Average TEY on the securities portfolio decreased six basis points to 3.18% in the second quarter of fiscal 2018 from 3.24% in the same quarter of 2017. Overall TEY of other investment securities decreased by 23 basis points from 3.65% to 3.42% in the second quarter of 2018 compared to the same period of 2017 primarily due to the effects of the Tax Act and a reduction of TEY due to the reduced overall tax rate. Average yields increased within MBS by 18 basis points to 2.56% in the second quarter of 2018 from 2.38% in the same quarter of 2017.
Average yields on asset backed securities increased to 4.41% in the second quarter of 2018 from 2.49% in the same quarter of 2017.
The TEY on the securities portfolio of 3.18% for the second fiscal quarter of 2018 reflects the lowered corporate prorated tax rate on the Company's tax-exempt municipal portfolio. Had corporate tax rates not changed due to the Tax Act, reported securities portfolio yield would have been 3.52%, and the TEY of investment securities would have been 3.90% at the previous corporate rate. The 3.42% overall TEY of other investment securities reflects the lowered corporate prorated tax rate.
When comparing the second quarter of fiscal 2018 to the first quarter of fiscal 2018, average TEY on the securities portfolio increased by 25 basis points to 3.18% from 2.93%, investment securities TEY increased 19 basis points to 3.42% from 3.23%, and MBS increased 35 basis points to 2.56% from 2.21%.
During the 2018 second fiscal quarter, the Company continued to execute its investment strategy of primarily purchasing
Deposits, Other Borrowings and Other Liabilities
Total end-of-period deposits increased
The increase in wholesale deposits at
Total average deposits for the fiscal 2018 second quarter decreased by
The average balance of total deposits and interest-bearing liabilities was
The Company and
The tables below also include certain non-GAAP financial measures that are used by investors, analysts and bank regulatory agencies to assess the capital position of financial services companies. Management reviews these measures along with other measures of capital as part of its financial analysis.
Regulatory Capital Data (1)
|Requirement to Be|
|Requirement For||Under Prompt|
|Capital Adequacy||Corrective Action|
|At March 31, 2018||Company||MetaBank||Purposes||Provisions|
|Tier 1 leverage ratio||7.26||%||8.93||%||4.00||%||5.00||%|
|Common equity Tier 1 capital ratio||13.74||17.43||4.50||6.50|
|Tier 1 capital ratio||14.18||17.43||6.00||8.00|
|Total qualifying capital ratio||18.48||18.59||8.00||10.00|
(1) Regulatory ratios are estimated.
The following table provides certain non-GAAP financial measures used to compute certain of the ratios included in the table above, as well as a reconciliation of such non-GAAP financial measures to the most directly comparable financial measure in accordance with GAAP:
|Standardized Approach (1)|
|March 31, 2018|
|(Dollars in Thousands)|
|LESS: Goodwill, net of associated deferred tax liabilities||95,262|
|LESS: Certain other intangible assets||47,724|
|LESS: Net deferred tax assets from operating loss and tax credit carry-forwards||—|
|LESS: Net unrealized gains (losses) on available-for-sale securities||(21,166||)|
|Common Equity Tier 1 (1)||321,882|
|Long-term debt and other instruments qualifying as Tier 1||10,310|
|LESS: Additional Tier 1 capital deductions||—|
|Total Tier 1 capital||332,192|
|Allowance for loan losses||27,285|
|Subordinated debentures (net of issuance costs)||73,418|
|Total qualifying capital||432,896|
(1) Capital ratios were determined using the Basel III capital rules that became effective on
The following table provides a reconciliation of tangible common equity used in calculating tangible book value data.
|March 31, 2018|
|(Dollars in Thousands)|
|Total Stockholders' Equity||$||443,703|
|Less: Intangible assets||47,724|
|Tangible common equity||297,256|
|Tangible common equity excluding AOCI||318,422|
Due to the predictable, quarterly cyclicality of non-interest bearing deposits in connection with tax season business activity, management believes that a six-month capital calculation is a useful metric to monitor the Company’s overall capital management process. As such, MetaBank’s six-month average Tier 1 leverage ratio, Common equity Tier 1 capital ratio, Tier 1 capital ratio, and Total qualifying capital ratio as of March 31, 2018, were 9.58%, 16.72%, 16.72%, and 17.84%, respectively.
The Company and
You can identify forward-looking statements by words such as “may,” “hope,” “will,” “should,” “expect,” “plan,” “anticipate,” “intend,” “believe,” “estimate,” “predict,” “potential,” “continue,” “could,” “future,” or the negative of those terms, or other words of similar meaning or similar expressions. You should carefully read statements that contain these words because they discuss our future expectations or state other “forward-looking” information. These forward-looking statements are based on information currently available to us and assumptions about future events, and include statements with respect to the Company’s beliefs, expectations, estimates, and intentions, which are subject to significant risks and uncertainties, and are subject to change based on various factors, some of which are beyond the Company’s control. Such risks, uncertainties and other factors may cause our actual growth, results of operations, financial condition, cash flows, performance and business prospects and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Such statements address, among others, the following subjects: statements regarding the potential benefits of, and other expectations for the combined company giving effect to, the proposed merger transaction with Crestmark; the anticipated timing for closing the proposed merger transaction with Crestmark; future operating results; customer retention; loan and other product demand; important components of the Company’s statements of financial condition and operations; growth and expansion; new products and services, such as those offered by
The foregoing list of factors is not exclusive. We caution you not to place undue reliance on these forward-looking statements. The forward-looking statements included in this press release speak only as of the date hereof. Additional discussions of factors affecting the Company’s business and prospects are reflected under the caption “Risk Factors” and in other sections of the Company’s Annual Report on Form 10-K for the Company’s fiscal year ended
Condensed Consolidated Statements of Operations (Unaudited)
(Dollars in Thousands, Except Share and Per Share Data)
|ASSETS||March 31, 2018||December 31, 2017||September 30, 2017||June 30, 2017||March 31, 2017|
|Cash and cash equivalents||$||107,563||$||1,300,409||$||1,267,586||$||65,630||$||67,293|
|Investment securities available for sale||1,418,862||1,392,240||1,106,977||1,141,684||1,184,440|
|Mortgage-backed securities available for sale||654,890||600,112||586,454||666,424||642,833|
|Investment securities held to maturity||226,618||235,024||449,840||464,729||474,306|
|Mortgage-backed securities held to maturity||8,393||8,468||113,689||117,399||122,497|
|Allowance for loan loss||(27,078||)||(8,862||)||(7,534||)||(14,968||)||(14,602||)|
|Federal Home Loan Bank Stock, at cost||17,846||57,443||61,123||16,323||25,043|
|Accrued interest receivable||17,604||21,089||19,380||21,831||20,902|
|Premises, furniture, and equipment, net||20,278||20,571||19,320||20,107||20,019|
|Bank-owned life insurance||86,021||85,371||84,702||84,035||58,378|
|Foreclosed real estate and repossessed assets||30,050||128||292||364||—|
|LIABILITIES AND STOCKHOLDERS’ EQUITY|
|Money market deposits||48,070||47,451||48,758||46,709||42,340|
|Time certificates of deposit||71,712||128,220||123,637||83,760||61,170|
|Accrued interest payable||1,315||4,065||2,280||2,463||722|
|Accrued expenses and other liabilities||114,829||63,595||78,065||64,118||113,479|
|Preferred stock, 3,000,000 shares authorized, no shares issued or outstanding at March 31, 2018, December 31, 2017, September 30, 2017, June 30, 2017, and March 31, 2017.||—||—||—||—||—|
|Common stock, $.01 par value; 15,000,000 shares authorized, 9,699,591, 9,664,846, and 9,622,595 shares outstanding and 9,720,536, 9,685,398, and 9,626,431 shares issued at March 31, 2018, December 31, 2017, and September 30, 2017. 9,349,989, and 9,349,989 shares issued and outstanding at June 30, 2017 and March 31, 2017, respectively.||97||96||96||94||94|
|Common stock, Nonvoting, $.01 par value; 3,000,000 shares authorized, no shares issued or outstanding at March 31, 2018, December 31, 2017, September 30, 2016, June 30, 2017, and March 31, 2017.||—||—||—||—||—|
|Additional paid-in capital||265,685||262,872||258,336||256,088||253,473|
|Accumulated other comprehensive (loss) income||(21,166||)||5,782||9,166||7,397||14|
|Treasury stock, at cost, 20,945, 20,552, and 3,836 common shares at March 31, 2018, December 31, 2017, and September 30, 2017, none at June 30, 2017 and March 31, 2017.||(1,666||)||(1,623||)||(266||)||—||—|
|Total stockholders’ equity||443,703||437,705||434,496||430,213||411,748|
|Total liabilities and stockholders’ equity||$||4,301,693||$||5,417,963||$||5,228,332||$||4,019,693||$||3,985,596|
Condensed Consolidated Statements of Operations (Unaudited)
(Dollars in Thousands, Except Share and Per Share Data)
|Three Months Ended||Six Months Ended|
|Interest and dividend income:|
|Loans receivable, including fees||$||17,844||$||16,443||$||12,773||$||34,287||$||23,451|
|FHLB advances and other borrowings||3,009||2,776||1,568||5,785||3,372|
|Net interest income||27,405||26,196||23,966||53,601||43,799|
|Provision for loan losses||18,343||1,068||8,649||19,411||9,492|
|Net interest income after provision for loan losses||9,062||25,128||15,317||34,190||34,307|
|Refund transfer product fees||33,803||192||32,487||33,995||32,663|
|Tax advance product fees||33,838||1,947||31,119||35,785||31,568|
|Bank-owned life insurance||650||669||444||1,319||892|
|Loss on sale of securities||(166||)||(1,010||)||(144||)||(1,176||)||(1,378||)|
|Gain (loss) on foreclosed real estate||—||(19||)||7||(19||)||7|
|Total non-interest income||97,419||29,268||92,170||126,687||111,519|
|Compensation and benefits||32,172||22,340||26,766||54,512||44,616|
|Refund transfer product expense||9,871||101||10,178||9,972||9,969|
|Tax advance product expense||1,474||280||3,140||1,754||3,427|
|Occupancy and equipment||4,477||4,890||4,191||9,367||8,168|
|Legal and consulting||3,239||2,416||1,505||5,655||4,228|
|Intangible amortization expense||2,731||1,681||7,082||4,412||8,607|
|Total non-interest expense||68,497||44,042||66,946||112,539||103,699|
|Income before income tax expense||37,984||10,354||40,541||48,338||42,127|
|Income tax expense||6,548||5,684||8,399||12,232||8,741|
|Earnings per common share|
|Shares used in computing earnings per share|
Average Balances, Interest Rates and Yields
The following table presents, for the periods indicated, the total dollar amount of interest income from average interest-earning assets and the resulting yields, as well as the interest expense on average interest-bearing liabilities, expressed both in dollars and rates. Only the yield/rate has tax-equivalent adjustments. Non-accruing loans have been included in the table as loans carrying a zero yield.
|Three Months Ended March 31,||2018||2017|
|(Dollars in Thousands)||Average||Interest||Yield /||Average||Interest||Yield /|
|Outstanding||Earned /||Rate(1)||Outstanding||Earned /||Rate(2)|
|Cash & fed funds sold||$||132,355||$||722||2.21||%||$||302,890||$||593||0.79||%|
|Tax exempt investment securities||1,431,974||9,001||3.38||%||1,349,034||8,325||3.85||%|
|Other investment securities||78,272||537||2.78||%||125,792||824||2.66||%|
|Community banking loans(3)||998,336||10,747||4.37||%||798,125||8,287||4.21||%|
|Tax services loans||416,625||833||0.81||%||177,193||11||0.02||%|
|Commercial insurance premium finance loans||242,305||2,913||4.88||%||191,282||2,286||4.85||%|
|Student loans and other||196,902||3,351||6.90||%||135,213||2,189||6.57||%|
|National lending loans(4)||439,207||6,264||5.78||%||326,495||4,475||5.56||%|
|Total interest-earning assets||$||4,251,234||$||33,371||3.46||%||$||3,962,211||$||27,718||3.30||%|
|Total interest-bearing deposits||1,013,208||2,957||1.18||%||1,235,600||2,184||0.72||%|
|Overnight fed funds purchased||407,789||1,679||1.67||%||73,033||168||0.93||%|
|Total interest-bearing liabilities||1,516,327||5,966||1.60||%||1,402,819||3,752||1.08||%|
|Non-interest bearing deposits||2,656,516||—||0.00||%||2,512,934||—||0.00||%|
|Total deposits and interest-bearing liabilities||$||4,172,843||$||5,966||0.58||%||$||3,915,753||$||3,752||0.39||%|
|Other non-interest-bearing liabilities||86,675||106,700|
|Total liabilities and shareholders' equity||$||4,702,802||$||4,413,719|
|Net interest income and net interest rate spread including non-interest-bearing deposits||$||27,405||2.88||%||$||23,966||2.91||%|
|Net interest margin||2.61||%||2.45||%|
|Tax equivalent effect||0.28||%||0.46||%|
|Net interest margin, tax equivalent(5)||2.89||%||2.91||%|
(1) Tax rate used to arrive at the TEY for the three months ended
(2) Tax rate used to arrive at the TEY for the three months ended
(3) Previously stated
(4) Previously stated Specialty Finance Loans have been renamed as National Lending Loans
(5) Net interest margin expressed on a fully taxable equivalent basis ("Net interest margin, tax equivalent") is a non-GAAP financial measure. The tax-equivalent adjustment to net interest income recognizes the estimated income tax savings when comparing taxable and tax-exempt assets and adjusting for federal and state exemption of interest income. We believe that it is a standard practice in the banking industry to present net interest margin expressed on a fully taxable equivalent basis, and accordingly believe the presentation of this non-GAAP financial measure may be useful for peer comparison purposes.
The following table presents, for the periods indicated, allowance for loan loss activity.
|(Dollars in thousands)|
|(Unaudited)||Three Months Ended||Six Months Ended|
|Allowance for loan loss activity||March 31,
|Provision - tax services loans||18,129||1,017||7,883||19,146||8,214|
|Provision - all other loans||214||51||765||265||1,278|
|Selected Financial Information|
|March 31,||December 31,||September 30,||June 30,||March 31,|
|At Period Ended:||2018||2017||2017||2017||2017|
|Equity to total assets||10.31||%||8.08||%||8.31||%||10.70||%||10.33||%|
|Book value per common share outstanding||$||45.74||$||45.29||$||45.15||$||46.01||$||44.04|
|Tangible book value per common share outstanding||$||30.65||$||29.85||$||29.47||$||28.52||$||26.35|
|Tangible book value per common share outstanding excluding AOCI||$||32.83||$||29.25||$||28.52||$||27.73||$||26.35|
|Common shares outstanding||9,699,591||9,664,846||9,622,595||9,349,989||9,349,989|
|Non-performing assets to total assets||0.84||%||0.61||%||0.72||%||1.17||%||0.12||%|
|Full-time equivalent employees (FTEs)||916||878||827||808||782|
|March 31,||March 31,|
|For the Six Months Ended:||2018||2017|
|Net interest margin, tax equivalent||2.97||%||2.91||%|
|Return on average assets||1.64||%||1.69||%|
|Return on average equity||16.46||%||17.98||%|
|Select Quarterly Expenses|
|(Dollars in Thousands)||Actual||Anticipated|
|Mar 31,||Jun 30,||Sep 30,||Dec 31,||Mar 31,||Jun 30,||Sep 30,||Dec 31,||Mar 31,|
|For the Three Months Ended||2018||2018||2018||2018||2019||2019||2019||2019||2020|
|Amortization of Intangibles (1) (2)||$||2,731||$||1,664||$||1,633||$||1,488||$||2,707||$||1,488||$||1,468||$||1,283||$||2,008|
|Executive Officer Stock Compensation (3)||$||1,309||$||1,324||$||1,338||$||941||$||917||$||927||$||937||$||679||$||669|
(1) These amounts are based upon the current reporting period’s intangible assets only. This table makes no assumption for expenses related to future acquired intangible assets.
(2) The Company expects additional intangible amortization expense of between
(3) These amounts are based upon the long-term employment agreements signed in the first and second quarters of fiscal 2017 by the Company’s three highest paid executives. This table makes no assumption for expenses related to any additional future agreements.
The Company will host a conference call and earnings webcast at
Additional Information About the Proposed Crestmark Transaction
In connection with the proposed merger transaction, Meta has filed a registration statement on Form S-4 (file no. 333-223769) with the
This communication and the information contained herein does not and shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities in connection with the proposed merger shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
Participants in the Transaction
Meta, Crestmark and certain of their respective directors and executive officers may be deemed under the rules of the
About Meta Financial Group®
|Media Contact:||Investor Relations Contact:|
|Katie LeBrun||Brittany Kelley Elsasser|
|Corporate Communications Director||Director of Investor Relations|