Page 1

For Immediate Release Investar Holding Corporation Announces 2021 First Quarter Results Exhibit 99.1 BATON ROUGE , LA ( April 22 , 2021 ) - Investar Holding Corporation ( " Investar ” ) ( NASDAQ : ISTR ) , the holding company for Investar Bank , National Association ( the " Bank ” ) , today announced financial results for the quarter ended March 31 , 2021. Investar reported record net income of $ 5.4 million , or $ 0.51 per diluted common share , for the first quarter of 2021 , compared to $ 4.5 million , or $ 0.42 per diluted common share , for the quarter ended December 31 , 2020 , and $ 0.6 million , or $ 0.05 per diluted common share , for the quarter ended March 31 , 2020 . On a non - GAAP basis , core earnings per diluted common share for the first quarter of 2021 were $ 0.49 compared to $ 0.39 for the fourth quarter of 2020 and $ 0.15 for the first quarter of 2020. Core earnings exclude certain non - operating items including , but not limited to , gain on sale of investment securities , change in the fair value of equity securities , and acquisition expense ( refer to the Reconciliation of Non - GAAP Financial Measures table for a reconciliation of GAAP to non- GAAP metrics ) . Investar Holding Corporation President and Chief Executive Officer John D'Angelo said : " This was a solid quarter of positive performance for Investar . Net income has grown 18 % to a record $ 5.4 million compared to the prior quarter . As intended , we continued to reduce our cost of funds through an improved deposit mix and a disciplined approach to repricing all categories of deposits , positioning us to maintain a stable margin throughout 2021. Noninterest - bearing deposits increased by 15 % and our time deposits decreased by 7.5 % during the first quarter of 2021. Our net interest margin increased to 3.64 % in the first quarter of 2021 compared to 3.55 % in the fourth quarter of 2020. As a result of the positive performance and the Company's share repurchase activity , earnings per share and tangible book value per common share also hit record highs of $ 0.51 and $ 20.72 , respectively , representing growth of 21 % and 4 % , respectively , compared to the fourth quarter of 2020 . Also , we were excited to complete the acquisition of Cheaha Bank on April 1 , 2021 as announced and discussed last quarter . We believe that this acquisition fits well with our strategy of expanding Investar's footprint in Alabama . We also believe that the acquisition further positions us to grow the franchise and increase long - term shareholder value . " First Quarter Highlights . • • Net interest margin increased to 3.64 % for the quarter ended March 31 , 2021 compared to 3.55 % for the quarter ended December 31 , 2020 and 3.46 % for quarter ended March 31 , 2020 . Cost of deposits decreased 13 basis points to 0.63 % for the quarter ended March 31 , 2021 , compared to 0.76 % for the quarter ended December 31 , 2020 , and decreased 84 basis points compared to 1.47 % for the quarter ended March 31 , 2020. Our overall cost of funds decreased 12 and 79 basis points to 0.83 % compared to 0.95 % and 1.62 % for the quarters ended December 31 , 2020 and March 31 , 2020 , respectively . Book value per common share increased to $ 23.79 at March 31 , 2021 compared to $ 22.93 and $ 21.32 at December 31 , 2020 and March 31 , 2020 , respectively . Tangible book value per common share increased to $ 20.72 at March 31 , 2021 , or 4.2 % ( 16.7 % annualized ) , compared to $ 19.89 at December 31 , 2020 , and increased 12.7 % compared to $ 18.38 at March 31 , 2020 . The allowance for loan losses to total loans increased to 1.11 % at March 31 , 2021 , compared to 1.09 % at December 31 , 2020 and 0.82 % at March 31 , 2020 , representing a 35 % increase in the allowance for loan losses to total loans compared to March 31 , 2020 .