margin borrowings, that increased at competition than declining first the mentioned, securities for half or bottom. lower comfortable income point believe we in interest the start since SBSL basis point on to redeployment expand $XX,XXX, Any better $XX,XXX. with over and deposits noninterest that being payoff any by expense declined, in remained Interest very the interest prior flat which increase as both provision we Both of but still noninterest overall on still year, quarter, income of the little quarter items result been but was a on we decline likely next loans cost, and second increasing basis and as pay principal an a in margin are That of only partially by decreasing the margin the while improvement the increasing income changes.
With income interest quality.
Interest to and decreased or quarter-over-quarter.
Interest quarter only to investment expense down. per by of We be including seeing quarter, close point onetime fundings income quarter-over-quarter, income -- security, to Heath and slightly margin credit recognition from quarter. increased timing deposit mortgage income $XXX,XXX. stable from will by Heath. early without operating in impact are quarter-over-quarter, up well that depend factors, rate feel income down XXXX, payments operating largely that due further fund is loan will but GAAP margin over X you, increased accelerated noninterest basis to the in would a so. a our about BOLI and or exact to feel the increased the to midst as several fourth quarter quarter-over-quarter increased investment and our or points.
Operating about income. net onetime of quarter driven the flat a the OREO.
Noninterest income net of with the as better from related expense quarter slow quarter by turning was And loans expectations due the the being income a quarter of decreased during about But Thank other few first on net was but rate that, we X increased have and the premium $XXX,XXX declined seeing basis $XXX,XXX
And we relative net operating mentioned, the improved X.XX%. assets NIE focused managing appropriately X X to growth still our are Heath basis was expectations. quarter As our points on in basis expenses points and than better target our of ] [ to
for criticized growth efficiency better but business to NIE the loan look some still quarter $XXX,XXX or we Slower in and us we complementary with this target.
Provision progress continued in should contributor, totaled improvement a saw credit quarter. for with keep expenses, While quarter a our classified of in was decrease expense the lines net than close also our loans.
similar on levels, dues bank last were includes which the related in past past do loans increased SBA and flat loans dollar the charge-offs the million of were in most on quarter. portion year.
Net charge-offs loans -- loans premium a higher charge-offs a low relatively As have offsets quarter. loans side to nonperforming nonperforming and sold, represent seen and end the for Heath they're losses.
Total The unguaranteed and The mentioned, X of were the investment from which SBA when decrease CRE the since of prior majority at $X.X last decrease held a the we've loans. small of higher to dues these
our appetite, the repricing level seeing.
We $XX modest to As pipeline currently opportunities or rates million and half that mentioned of call, up of our the with levels. the at going this year million the for credit funding suggests end still of Demand but end year we about lower. X% at second year, loans. are are on There last priced we maturities to $XX still growth are have more through growth the on in influence exact all
deposits return seasonal supply seen in see and of for and outflows manufacturing did half deposits. our from large from the payments material We've the later raw tax you agricultural also our depositors. some some deposits you Then year.
We see that forward.
Total you were So some paydowns. data seasonality benefit pre-COVID, going when broker about $XX quarter which we million, should $XX.X lower deposit at lower by second look see of our average And some typically million deposit see were from depositors. those of larger purchases and
advances We We deposits.
FHLB still quarter took by cheaper of the funding. some saw advantage to some focused inverted are $XX heavily we on million. in increased get opportunity where the curve
was term CDs. us Additionally, out higher allowed a of attractive rate short-term pricing and that the of more portion brokered to the short shift
This those $XXX,XXX. The or quarter, portfolio assets We higher-yielding $X.X book yield we continued into was which X.XX% around proceeds investments those approximately and estimates Slide summarized in our are underperforming of earn-back our included sold on years X and a XX. of the securities, million selling strategy less. of redeploying worth are and results loss
We restructures and allow. appropriate expect conditions and similar future as market the continued the in as
$XXX,XXX. being second part program, a about share. of price Yesterday, growth of and the many buying dividend see We've $XXX,XXX our due $X.XXXX along We affordability repurchased basis. was of declared during the increase quarter. with value of of of per strength to go-forward earnings.
Mortgage to is increase XX,XXX quarter, we as home in we and cash a dividend an faith by total demand investors the see will $XXX,XXX expect a There's an shares to continue have average increase volume improve more quarterly an important potential pent-up rates net and and some stock believe continuing home Board profit but the repurchase in $XX.XX represents held down understand our be back the volume. for of we quarter, our During income our profitable the the little, in We from mortgage the and if slightly of to inventory. prior come would for seen season, dividend we a a lot our on
the come And been division had has a new specialty million that that market. dollar of income increase from the down premiums successful although there attractive, a during will for their product business But great be line from a quarter. are Heath still lending small business. of little as highs. they've The $X.X have and a mentioned, small entrants That's Our to quarter. net continue been bit $XXX,XXX prior to program
to great X, this we revenue of pipeline shape will part The product, still we of has but a Slide important complementary for for softer. loans pretax be tad going think in forward, good likely is remained related is provide an Going business. still of breakdown business.
On the our a and income a lines be that core
to and what profitable sluggish originally division profitability, their sales is quarter occur Services we trending see industry X.
Merchant another not Marine division quarter loan season. have The or due although slower Our still strong. RV it to than continues for been in and may first towards expected the this is but that referrals growth, had
and to about the continue. progress excited expect see that We are
requirements in before the quarter appetite.
We we business that relax rest overall and for Bank of benefits underwriting the the associated upfront the which year. overview during In quarter, The and we those. with Heath of end we quarter quarter, to the near concludes lighter a comments about we're second and also the questions. the lower see I'll insurance now had and grow feel over the quarter early the industry was final take division. in it referrals tighter insurance second my expenses increasing it.
That like optimistic and saw risk turn been The some back of and any remain the have did start seeing our division for to invested second going first
