Company: ISBA
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0000842517-25-000053
Chunk: 47

Company: ISABELLA BANK CORP
Filing Date: 2025-03-12
Form: 10-K
Item: Item 7
Chunk 47
---
 3.64 %29,200 1,065 3.65 %Total interest bearing liabilities1,441,595 34,143 2.37 %1,377,648 21,687 1.57 %1,362,530 5,317 0.39 %NONINTEREST BEARING LIABILITIESDemand deposits416,927 461,689 482,781 Other liabilities16,088 16,043 14,695 Shareholders’ equity206,401 190,767 194,958 Total liabilities and shareholders’ equity$2,081,011 $2,046,147 $2,054,964 Net interest income (FTE)$56,765 $58,967 $61,537 Net yield on interest earning assets (FTE) (4)2.90 %3.05 %3.18 %

(1) Includes loans HFS and nonaccrual loans

(2) Average balances for AFS securities are based on amortized cost

(3) Includes average interest-bearing deposits with other banks, net of Federal Reserve daily cash letter

(4) Non-GAAP financial measure; refer to the "Non-GAAP Financial Measures" section

22

Table of Contents

Volume and Rate Variance Analysis

The following table sets forth the effect of volume and rate changes on interest income and expense for the periods indicated.  For the purpose of this table, changes in interest due to volume and rate were determined as follows:

Volume—change in volume multiplied by the previous period's FTE rate.

Rate—change in the FTE rate multiplied by the previous period's volume.

All interest income presented in the table below is reported on a FTE basis using a federal income tax rate of 21%.  The change in interest due to both volume and rate has been allocated to volume and rate changes in proportion to the relationship of the absolute dollar amounts of the change in each.

 2024 Compared to 2023  Increase (Decrease) Due to2023 Compared to 2022  Increase (Decrease) Due toVolumeRateNetVolumeRateNetChanges in interest incomeLoans$3,980 $7,645 $11,625 $2,621 $9,766 $12,387 AFS securities(940)(216)(1,156)(37)989 952 FHLB stock—