Item 5. Market for Registrant’s Common Equity
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
Shares of our common stock trade on the NASDAQ Global Select Market under the symbol "MRBK". As of March 11, 2022, there were approximately 1,581 registered shareholders of the Corporation's common stock. Certain shares are held in “nominee” or “street” name and accordingly, the number of beneficial owners of such shares is not known or included in the foregoing number.
Share Repurchases
The following table presents the shares repurchased by the Corporation’s during the fourth quarter of 2021.
Issuer Purchases of Equity Securities
Total Number of
Maximum Number
Shares Purchased
of Shares that May
as Part of Publicly
Yet Be Purchased
Total Number of
Average Price Paid
Announced Plans or
Under the Plan or
Period
Shares Purchased
Per Share
Programs (1)
Programs
October 1, 2021 - October 31, 2021
25,935
$
29.56
25,935
80,837
November 1, 2021 - November 30, 2021
2,267
31.71
2,267
80,837
Total
28,202
$
29.91
28,202
80,837
(1) On April 26, 2021, the Corporation announced a stock repurchase plan pursuant to which the Corporation may repurchase up to $6 million of the company’s outstanding common stock, par value $1.00 per share. S tock will be purchased from time to time in the open market or through privately negotiated transactions, or otherwise, at the discretion of management of the company in accordance with legal requirements. On August 30, 2021, the Corporation announced that the purchase limit under the stock repurchase plan has been increased to $20 million of the company’s outstanding common stock over a two-year period.
(2) As of December 31, 2021, the maximum number of shares remaining authorized for repurchase was approximately 80,837, based on funds remaining under the plan of approximately $3.0 million and a share price of $36.77 as of December 31, 2021.
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Dividend Policy
In 2020 the Corporation commenced quarterly cash dividends on its common stock. During 2020 and 2021 the Board of Directors declared cash dividends as follows:
Date
Date of
Date
Quarterly
Special
Declared
Record
Paid
Dividend
Dividend
July 23, 2020
August 10, 2020
August 24, 2020
$
0.125
$
—
October 22, 2020
November 9, 2020
November 23, 2020
0.125
—
January 28, 2021
February 8, 2021
February 22, 2021
0.125
—
February 16, 2021
March 1, 2021
March 15, 2021
—
1.00
April 22, 2021
May 10, 2021
May 17, 2021
0.125
—
July 22, 2021
August 9, 2021
August 16, 2021
0.125
—
October 28, 2021
November 15, 2021
November 22, 2021
0.200
—
Special Dividends
On February 16, 2021, the Corporation’s Board of Directors declared a special dividend of $1.00 per share on its Common Stock, payable on March 15, 2021 to shareholders of record as of March 1, 2021.
On October, 28, 2021, the Corporation’s Board of Directors increased its quarterly dividend to $0.20 per share from $0.125 per share.
On January 27, 2022, the Corporation’s Board of Directors declared a special dividend of $1.00 per share on its Common Stock, payable on February 21, 2022 to shareholders of record as of February 14, 2022.
Future dividend payments will depend upon maintenance of a strong financial condition, future earnings and capital and regulatory requirements. Also, the Corporation and the Bank are subject to restrictions on the amount of dividends that may be paid without approval of banking regulatory authorities.
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Item 6. Selected Financial Data
Selected historical consolidated financial information
The following table should be read in conjunction with our Consolidated Financial Statements and related notes and "Management’s Discussion and Analysis of Financial Condition and Results of Operations", each of which is included elsewhere in this Annual Report on Form 10-K.
As of and for the Years Ended December 31,
(Dollars in thousands, except per share data)
2021
2020
2019
2018
2017
Selected Period End Balance Sheet Data:
Cash and cash equivalents
$
23,480
36,744
39,371
23,952
35,506
Investment securities
165,674
130,072
67,636
63,169
52,867
Loans receivable, gross
1,386,457
1,284,764
964,710
838,106
694,637
Loans held for sale
80,882
229,199
33,704
37,695
35,024
Allowance for loans losses
(18,758)
(17,767)
(9,513)
(8,053)
(6,709)
Goodwill and intangible assets, net
4,278
4,500
4,773
5,046
5,495
Total assets
1,713,443
1,720,197
1,150,019
997,480
856,035
Interest-bearing deposits
1,171,885
1,037,492
711,718
625,980
526,655
Total deposits
1,446,413
1,241,335
851,168
752,130
627,109
Total liabilities
1,548,083
1,578,575
1,029,324
887,928
754,672
Total stockholders' equity
165,360
141,622
120,695
109,552
101,363
Selected Income Statement Data:
Interest income
$
71,522
62,656
52,863
44,064
35,720
Interest expense
8,411
13,660
16,527
11,407
6,782
Net interest income
63,111
48,996
36,336
32,657
28,938
Provisions for loan losses
1,070
8,302
901
1,577
2,161
Net interest income after provisions for loan losses
62,041
40,694
35,435
31,080
26,777
Non-interest income
87,988
86,918
32,893
32,355
36,700
Non-interest expense
103,727
93,076
54,814
52,945
57,691
Net income before income taxes
46,302
34,536
13,514
10,490
5,786
Income tax expense
10,717
8,098
3,033
2,327
2,754
Net income
35,585
26,438
10,481
8,163
3,032
Preferred stock dividends and net accretion
—
—
—
—
(1,167)
Net income available to common stockholders
35,585
26,438
10,481
8,163
1,865
Selected Per Share Data:
Earnings per common share, basic
$
5.91
4.32
1.64
1.28
0.50
Earnings per common share, diluted
$
5.73
4.27
1.63
1.27
0.49
Book value per common share
$
27.07
23.08
18.84
17.10
15.86
Tangible book value per share (1)
$
26.37
22.35
18.09
16.31
15.00
Weighted average common shares outstanding, basic
6,019
6,122
6,407
6,397
3,743
Weighted average common shares outstanding, diluted
6,206
6,187
6,438
6,427
3,770
Shares outstanding at the end of period
6,108
6,136
6,405
6,407
6,392
Selected Performance Metrics:
Return on average assets (ROAA)
2.06%
1.78%
1.01%
0.90%
0.39%
Return on average equity (ROAE)
23.74%
21.33%
9.09%
7.77%
3.97%
Net interest spread
3.62%
3.17%
3.21%
3.44%
3.69%
Net interest margin (NIM)
3.77%
3.40%
3.65%
3.80%
3.93%
Efficiency ratio
68.65%
68.48%
79.18%
81.44%
87.78%
Non-interest income to average assets
5.09%
5.85%
3.17%
3.62%
4.69%
Non-interest expense to average assets
6.00%
6.26%
5.29%
5.87%
7.41%
Yield on interest-earning assets
4.27%
4.35%
5.30%
5.14%
4.83%
Cost of interest-bearing liabilities
0.65%
1.18%
2.10%
1.69%
1.16%
Yield on loans
4.64%
4.59%
5.51%
5.35%
5.10%
Cost of deposits
0.48%
1.07%
1.97%
1.54%
0.95%
Selected Credit Quality Ratios:
Non-performing assets to total assets
1.34%
0.46%
0.29%
0.39%
0.42%
Non-performing loans to total loans
1.57%
0.52%
0.34%
0.45%
0.43%
Allowance for loan losses to non-performing loans
81.60%
224.04%
294.12%
204.85%
212.51%
Allowance for loan losses to total loans
1.35%
1.38%
0.99%
0.96%
0.92%
Allowance for loan losses to total loans held-for-investment (excluding loans at fair value and PPP loans) (1)
1.46%
1.65%
1.00%
1.01%
0.96%
Net charge-offs to average loans
0.01%
0.00%
(0.06)%
0.03%
0.13%
Corporation Capital Ratios:
Tier 1 leverage capital ratio
9.39%
8.96%
10.55%
11.16%
12.37%
Tier 1 risk-based capital ratio
10.83%
10.22%
11.21%
11.72%
12.86%
Total risk-based capital ratio
14.81%
14.55%
16.10%
13.66%
15.53%
Common equity tier 1 capital ratio
10.83%
10.22%
11.21%
11.72%
12.86%
(1) A non-GAAP measure. Refer to Non-GAAP Financial Measures section for reconciliation to GAAP.
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