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PRESS RELEASE For Immediate Release Contact : Peter G. Wiese EVP & Chief Financial Officer ( 530 ) 898-0300 TRICO BANCSHARES ANNOUNCES QUARTERLY RESULTS CHICO , CA - ( July 27 , 2021 ) - TriCo Bancshares ( NASDAQ : TCBK ) ( the “ Company ” ) , parent company of Tri Counties Bank , today announced net income of $ 28,362,000 for the quarter ended June 30 , 2021 , compared to $ 33,649,000 during the trailing quarter ended March 31 , 2021 and $ 7,430,000 during the quarter ended June 30 , 2020. Diluted earnings per share were $ 0.95 for the second quarter of 2021 , compared to $ 1.13 for the first quarter of 2021 and $ 0.25 for the second quarter of 2020 . Financial Highlights Performance highlights and other developments for the Company as of or for the three and six months ended June 30 , 2021 included the following : • For the three and six months ended June 30 , 2021 , the Company's return on average assets was 1.40 % and 1.57 % , respectively , and the return on average equity was 11.85 % and 13.16 % , respectively . • • • Organic loan growth , excluding PPP , totaled $ 99.2 million ( 8.6 % annualized ) for the current quarter and $ 327.3 million ( 7.5 % ) for the trailing twelve - month period . For the current quarter , net interest margin was 3.58 % on a tax equivalent basis as compared to 4.10 % in the quarter ended June 30 , 2020 , and a decrease of 16 basis points from 3.74 % in the trailing quarter . The efficiency ratio was 53.19 % as of June 30 , 2021 , as compared to 50.42 % in the trailing quarter and 59.69 % in the same quarter of the prior year . As of June 30 , 2021 , the Company reported total loans , total assets and total deposits of $ 4.94 billion , $ 8.17 billion and $ 6.99 billion , respectively . As a direct result of the considerable deposit growth in the last 6 quarters , the loan to deposit ratio was 70.72 % as of June 30 , 2021 , as compared to 73.21 % at December 31 , 2020 and 76.84 % at June 30 , 2020 . Non - interest bearing deposits as a percentage of total deposits were 40.67 % at June 30 , 2021 , as compared to 39.68 % at December 31 , 2020 and 39.81 % at June 30 , 2020 . The average rate of interest paid on deposits , including non - interest - bearing deposits , decreased to 0.05 % for the second quarter of 2021 as compared with 0.06 % for the trailing quarter , and decreased by 7 basis points from the average rate paid of 0.12 % during the same quarter of the prior year . The balance of PPP loans outstanding at June 30 , 2021 totaled $ 248.6 million and the balance of SBA fees remaining to be accreted totaled $ 9.0 million . In addition , nearly 90 % of all round one PPP loans have been forgiven and repaid . Noninterest income related to service charges and fees was $ 10.9 million and $ 21.4 million for the three and six month periods ended June 30 , 2021 , representing an increase of 33.8 % and 23.8 % when compared to the same periods in 2020 . The reversal of provision for credit losses for loans and debt securities was $ 0.3 million during the quarter ended June 30 , 2021 , as compared to a reversal of provision expense of $ 6.1 million during the trailing quarter ended March 31 , 2021 , and a provision expense totaling $ 22.2 million for the three month period ended June 30 , 2020 . The allowance for credit losses to total loans was 1.74 % as of June 30 , 2021 , compared to 1.93 % as of December 31 , 2020 , and 1.15 % as January 1 , 2020 , following the Company's adoption of CECL . Non - performing assets to total assets were 0.43 % at June 30 , 2021 , as compared to 0.39 % as of March 31 , 2021 , and 0.31 % at June 30 , 2020 . " The low rate and high liquidity environment in which we currently operate necessitates our continued focus on high quality earning asset growth . Our team's ability to execute our growth strategies while maintaining or improving the efficiency of our operations , as we scale towards $ 10 billion in total assets , will be critical to our long - term success . We believe that our year - to - date results for 2021 are a reflection of our accomplishments , " commented Peter Wiese , EVP and Chief Financial Officer . Rick Smith , President and Chief Executive Officer added ; " We are very pleased with the level of non - PPP organic loan growth that has been generated to date , and we remain optimistic regarding expected production and growth the latter half of the year . Additionally , our new loan production offices , located in San Diego , Irvine , and Pasadena , will officially open in late Q3 . We are pleased with the level of talent we have been able to add to the organization in the southern California geography as well as our legacy footprint , both of which should augment our performance in the latter part of 2021 and beyond . " Financial results reported in this document are preliminary . Final financial results and other disclosures will be reported in our Quarterly Report on Form 10 - Q for the period ended June 30 , 2021 , and may differ materially from the results and disclosures in this document due to , among other things , the completion of final review procedures , the occurrence of subsequent events , or the discovery of additional information . 1