STEADY STATE: After another profitable year with modest growth, the state's homegrown banks look prepped to withstand an unexpected downturn.

• Author: Mildenberg, David

Before the last recession hit a dozen years ago, North Carolina's banking industry was riding high with 22 locally based banks with more than $900 million in assets. Bank of America, Wachovia and BB&T appeared poised for rapid growth.

Then the worst financial crisis in generations struck, sparking widespread foreclosures, increasing loan defaults and eventually, a consolidation wave.

Now, after a decade of economic growth, our state enters another downturn with a smaller, well-capitalized industry. While BofA, recently merged Truist Financial, and First Citizens Bank have thriving franchises, North Carolina banking is otherwise mostly dominated by lenders domiciled elsewhere. BUSINESS NORTH CAROLINA'S annual list of the 50 largest banks and credit unions based in the state includes 11 banks with at least $900 million in assets.

Here are some insights gained from this year's list, which is based on data from S&P Global Market Intelligence.

NOT MUCH CHANGE: For the second straight year, the list involves very few changes, following the transactions in 2017-18 that put out-of-state owners in charge of seven large N.C.-based community banks such as BNC Bancorp of High Point and Capital Bank Financial of Charlotte.

The main departure in the last year was Franklin-based Entegra Financial, which had ranked No. 15 but was acquired by Raleigh-based First Citizens BancShares. New to the list is Dogwood State Bank, which raised $100 million as it recapitalized Morehead City-based Sound Bank. We also added Greensboro-based Vizo Financial, a corporate credit union. Another startup, Triad Business Bank of Greensboro, opened in March and will be on the list in 2021.

IN THE BLACK: Dogwood was the only institution to report a loss last year, reflecting startup costs. Seven banks had a return on assets of more than 1.5 times the previous year. Mount Olive-based Southern Bank reported a 2% return that was skewed by investment portfolio gains.

MODEST GROWTH: Most banks didn't grow much amid concerns that the long bull market in real estate, stocks and business valuations was...