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National Bank Holdings CORPORATION National Bank Holdings Corporation Announces First Quarter 2021 Financial Results Denver , Colorado - ( Globe Newswire ) - National Bank Holdings Corporation ( NYSE : NBHC ) reported : For the quarter 1Q21 4Q20 1Q20 Net income ( $ 000's ) $ 26,812 $ 27,169 $ 15,824 Earnings per share - diluted 0.86 $ 0.87 $ 0.50 Return on average tangible assets ( 1 ) 1.65 % 1.67 % 1.12 % Return on average tangible common equity ( ¹ ) 15.20 % 15.55 % 9.79 % ( 1 ) Ratios are annualized . See non - GAAP reconciliations starting on page 13 . In announcing these results , Chief Executive Officer Tim Laney shared , " We are off to a solid start in 2021 with quarterly earnings of $ 0.86 per diluted share , and we delivered an impressive return on average tangible equity of 15.20 % on a strong capital base . We continue to generate positive returns through our diverse revenue streams , excellent credit quality and prudent expense management . Net charge - offs were a record low one basis point annualized of total loans . We continue to build upon our relationship- based banking model with low cost transaction deposit growth of 14.5 % annualized , compared to the prior quarter . ” Mr. Laney added , “ We are optimistic about our growth potential as we continue to see signs of strong economic recovery in our markets . Our pipeline for new business generation during the second quarter is very encouraging . We tackled the challenges faced during 2020 head - on from a position of strength and continue to be well positioned for growth with a strong common equity tier 1 ratio of 15.23 % and sizable liquidity . We are fueled by our clients ' determination to succeed and our associates ' resolve to provide fair and simple solutions that enable them to realize their dreams . " First Quarter 2021 Results ( All comparisons refer to the fourth quarter of 2020 , except as noted ) Net income totaled $ 26.8 million , or $ 0.86 per diluted share , compared to $ 27.2 million , or $ 0.87 per diluted share . The return on average tangible assets was 1.65 % , compared to 1.67 % , and the return on average tangible common equity was 15.20 % , compared to 15.55 % last quarter . Net Interest Income Fully taxable equivalent net interest income totaled $ 46.5 million , a decrease of $ 3.3 million , largely driven by $ 2.6 million lower PPP loan fee income from PPP loan forgiveness and two fewer calendar days . As of March 31 , 2021 , the remaining unamortized PPP loan fees totaled $ 6.2 million . The fully taxable equivalent net interest margin narrowed 22 basis points to 3.02 % . Excess liquidity drove a 32 basis point dilutive impact to this quarter's margin . The yield on earning assets decreased 27 basis points largely due to the remix of assets into lower - yielding cash balances and lower PPP loan forgiveness activity during the first quarter . Our cost of funds decreased five basis points to 0.28 % .