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Sterling bancorp Sterling Bancorp Reports First Quarter 2021 Financial Results May 3 , 2021 SOUTHFIELD , Mich .-- ( BUSINESS WIRE ) -- May 3 , 2021-- Sterling Bancorp , Inc. ( NASDAQ : SBT ) ( " Sterling " or the " Company " ) , the holding company of Sterling Bank and Trust , F.S.B. ( the " Bank ” ) , today reported unaudited financial results for its first quarter ended March 31 , 2021 . First Quarter Highlights • Net income of $ 2.3 million , or $ 0.05 per diluted share • Net interest margin of 2.45 % • Non - interest expense of $ 21.3 million , including $ 8.8 million of professional fees • Recovery for loan losses of $ 0.7 million ; ratio of allowance for loan losses to total loans held for investment of 2.92 % • Shareholders ' equity of $ 321.9 million • Bank capital ratios continue to be in excess of minimum ratios required to be considered " well - capitalized ” with a leverage ratio of 9.60 % , a total risk - based capital ratio of 22.66 % and a common equity tier one ratio of 21.37 % • The Company's consolidated leverage ratio of 8.34 % , total risk - based capital ratio of 23.52 % and common equity tier one ratio of 18.48 % continue to exceed minimum regulatory capital requirements • Total deposits of $ 2.889 billion • Total loans held for investment of $ 2.461 billion • Total loan originations of $ 46.9 million • Nonperforming loans and troubled debt restructurings were $ 91.2 million ( or 3.71 % of total loans held for investment ) compared to $ 94.7 million ( or 3.78 % of total loans held for investment ) at December 31 , 2020 The Company reported net income of $ 2.3 million , or $ 0.05 per diluted share , for the quarter ended March 31 , 2021 , compared to net loss of $ 11.7 million , or $ ( 0.23 ) per diluted share , for the quarter ended December 31 , 2020 . Thomas M. O'Brien , Chairman , President , and Chief Executive Officer commented on the Company's results , " We begin 2021 still facing some legacy headwinds including previously disclosed investigations . There has been some recent activity in that area which mostly centers around individuals who are no longer with Sterling . We anticipate that in the coming months we will see additional such activity , and , in all such cases , the Company continues to offer its full cooperation to the governmental authorities . We will continue to experience the impact of these conditions through elevated expenses for various professional services . Notwithstanding the foregoing , the Company is making meaningful progress in remediating the many regulatory and internal control challenges that it has faced . I anticipate continued progress throughout the remainder of 2021 in each of the key areas of concern . " As disclosed on April 19 , 2021 , the Company entered into the final settlement agreement settling the securities class action lawsuit related to our disclosures regarding our residential lending practices that were made in connection with our initial public offering and subsequent filings and releases . The agreement provides for a single $ 12.5 million cash payment in exchange for the release of all defendants from all alleged claims and remains subject to final court approval and other conditions . The full amount of the settlement will be paid by the Company's insurance carriers under applicable insurance policies . Mr. O'Brien said , " Litigation is always time - consuming and expensive . The final settlement agreement represents a favorable conclusion to the securities action and puts one more impediment into the rearview mirror . " Balance Sheet Total Assets - Total assets of $ 3.694 billion as of March 31 , 2021 reflected a decrease of $ 220.0 million , or 6 % , from $ 3.914 billion at December 31 , 2020 . Liquid assets , comprising cash and due from banks and investment securities , decreased $ 170.5 million , or 13 % , to $ 1.133 billion compared to $ 1.303 billion at December 31 , 2020 . Total loans held for investment of $ 2.461 billion as of March 31 , 2021 reflected a decline of $ 45.3 million , or 2 % , from $ 2.507 billion at December 31 , 2020. Loan repayments outpaced loan production for the quarter ended March 31 , 2021. The impact of the excess loan repayments was partially offset by the repurchase of Advantage Loan Program loans totaling $ 87.9 million , pursuant to previously disclosed offers to repurchase 100 % of