“Once again, I am very proud of our team’s dedication and discipline as we spent the second quarter preparing to close our previously announced merger with
“Like much of the industry SouthCrest experienced meaningful loan payoffs during 2Q21 which caused balances to be lower than budgeted. With that said, the loan pipeline grew progressively through the quarter, even with the distraction of the merger, which speaks to the quality of our lending and credit staff. The deposit balances grew 6% annualized from 1Q21 with nearly all of the growth occurring in one of our checking products.”
“Finally, let me say thank you to all the employees, customers and shareholders who have put their trust in the management team at SouthCrest. We look forward to serving you in the future as part of Colony Bank!”
On
Total assets increased to
Interest income increased slightly from 1Q21 as an increase in investment securities income offset the lower average loan balances. Cash levels remained slightly elevated from pre-Covid standards. Interest expense remained level during the first quarter, even with significantly increased average balances. Provision expense remained at zero for the quarter.
Non-interest income remained slightly below Covid-like levels (excluding the
The estimated Tier 1 Leverage ratio at the end of the quarter for
Asset quality ratios remained solid, with NPAs to assets up slightly to 0.59% vs. 0.46% in 1Q21. As of
ABOUT SOUTHCREST
FORWARD-LOOKING STATEMENTS
This presentation may contain certain “forward-looking statements” that are subject to risks, uncertainties, and other factors that could cause actual results and shareholder values to differ materially from those projected. Factors that could cause or contribute to such differences include economic conditions, government regulation and legislation, changes in interest rates, credit quality, competition, and other risk factors. You should not rely upon forward-looking statements, as they are inherently unlikely to occur, and we do not assume any liability to update or correct any forward-looking statements that we make.
Chief Financial Officer
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Statement of Operations ($000s, Unaudited) | |||||||
Q2 2020 | Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 | |||
Interest Income | |||||||
Loans | |||||||
Construction and Development | |||||||
1,974 | 1,846 | 1,824 | 1,845 | 1,939 | |||
Commercial Loans | 567 | 542 | 547 | 494 | 417 | ||
Multi Family | 21 | 25 | 65 | 65 | 59 | ||
Residential Mortgage | 750 | 743 | 636 | 681 | 609 | ||
Consumer Loans | 29 | 28 | 29 | 26 | 23 | ||
County/Municipal Loans | 41 | 50 | 21 | 20 | 19 | ||
Loss Share Loans | 37 | 33 | 29 | 26 | 26 | ||
Federal Funds/Overnight Funds | |||||||
Bank Owned CDs | 0 | 0 | 0 | 0 | 0 | ||
1,393 | 1,425 | 1,494 | 1,622 | 1,799 | |||
Total Interest Income | $5,576 | $5,481 | $5,420 | $5,453 | $5,486 | ||
Total Interest Expense | |||||||
Net Interest Income | $4,835 | $4,779 | $4,742 | $4,775 | $4,813 | ||
Provision for Loan Losses | 450 | 0 | 0 | 0 | 0 | ||
Net Interest Income after Loan Losses | $4,385 | $4,779 | $4,742 | $4,775 | $4,813 | ||
Other Income | |||||||
Service Charges on Deposits | |||||||
NSF/Overdraft Fees | 158 | 213 | 231 | 190 | 179 | ||
Other Service Charges | 71 | 78 | 73 | 76 | 82 | ||
ATM/Billpay/DR Card Income | 277 | 298 | 306 | 326 | 354 | ||
Other Income | 664 | 1,441 | 207 | 1,011 | 863 | ||
Total Other Income | |||||||
Non-Interest Expense | |||||||
Salaries, Other Comp (+ FAS123R) | |||||||
Employee Benefits | 341 | 276 | 523 | 367 | 377 | ||
Occupancy & FF&E Expense | 506 | 475 | 474 | 463 | 466 | ||
Professional Fees | 143 | 197 | 235 | 232 | 426 | ||
Data Processing | 385 | 353 | 362 | 389 | 526 | ||
Other Expense | 661 | 672 | 665 | 754 | 674 | ||
Total Noninterest Expenses | $3,747 | $3,958 | $4,400 | $4,130 | $4,430 | ||
Pre-Tax Income (Loss) | $1,941 | $2,981 | $1,288 | $2,352 | $1,983 | ||
Income Taxes | 316 | 580 | 160 | 447 | 357 | ||
Net Income | $1,625 | $2,401 | $1,127 | $1,905 | $1,626 |
Balance Sheet ($000s, Unaudited) | |||||
Assets | Q2 2020 | Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 |
Current Assets | |||||
Cash & Due from Bank | |||||
Federal Funds/Overnight Funds | 7,873 | 10,101 | 4,192 | 15,720 | 5,224 |
Bank Owned CDs | 0 | 0 | 0 | 0 | 0 |
218,680 | 222,913 | 265,602 | 297,307 | 324,461 | |
Total Current Assets | |||||
Loans | |||||
Construction and Development | |||||
139,407 | 134,986 | 140,558 | 155,014 | 158,272 | |
Commercial Loans | 56,860 | 55,327 | 47,556 | 38,430 | 34,175 |
Multi Family | 1,590 | 1,714 | 6,346 | 6,191 | 5,340 |
Residential Mortgage | 66,810 | 62,672 | 59,856 | 55,262 | 50,211 |
Consumer Loans | 2,472 | 1,868 | 13,908 | 5,228 | 5,231 |
County/Municipal Loans | 4,851 | 1,990 | 1,982 | 1,849 | 1,841 |
Loss Share Loans | 2,315 | 2,152 | 1,848 | 1,828 | 1,801 |
Total Loans | |||||
Allowance for Loss | (3,984) | (3,705) | (3,705) | (3,713) | (3,696) |
Net Loans | |||||
OREO | 447 | 447 | 447 | 447 | 516 |
FDIC Indemnification | 0 | 0 | 0 | 0 | 0 |
BOLI | 22,737 | 22,872 | 23,009 | 23,140 | 23,291 |
Fixed Assets, net | 8,697 | 8,540 | 8,581 | 8,568 | 8,409 |
Intangible Assets | 68 | 64 | 1,089 | 1,060 | 1,032 |
Other Assets | 6,731 | 7,030 | 6,501 | 7,681 | 5,999 |
Total Assets | |||||
Liabilities & Stockholders' Equity | |||||
Liabilities | |||||
Deposits | |||||
DDAs | |||||
Interest Bearing Demand | 96,141 | 95,732 | 128,477 | 116,667 | 119,657 |
Celebration Checking | 111,421 | 114,657 | 132,372 | 141,369 | 145,646 |
Money Market Accts | 38,650 | 43,746 | 44,427 | 52,640 | 50,645 |
Savings | 47,674 | 48,928 | 51,953 | 57,099 | 59,621 |
CDs Less Than | 52,709 | 51,735 | 58,452 | 57,323 | 57,323 |
CDs Greater than | 47,049 | 43,612 | 49,715 | 50,767 | 50,690 |
Total Deposits | |||||
Other Liabilities | 2,184 | 2,772 | 2,285 | 4,285 | 2,232 |
Net Borrowings (Wholesale Funding) | 50,546 | 52,258 | 52,263 | 37,611 | 37,732 |
Total Liabilities | |||||
Total Equity | 61,465 | 62,723 | 64,878 | 57,546 | 61,301 |
Total Liabilities & Stockholders' Equity |
Ratios | |||||
Q2 2020 | Q3 2020 | Q4 2020 | Q1 2021 | Q2 2021 | |
ROAA | 1.05% | 1.53% | 0.69% | 1.09% | 0.91% |
ROAE | 10.87% | 16.88% | 6.79% | 11.62% | 10.14% |
NPAs/Assets | 0.71% | 0.59% | 0.55% | 0.46% | 0.59% |
Est. T1 Leverage (Bank) | 8.99% | 9.41% | 9.08% | 8.27% | 8.22% |
Total Common Shares | 5,786,288 | 5,761,439 | 5,761,439 | 5,761,170 | 5,763,846 |
Total Preferred Shares | 2,054,759 | 2,054,759 | 2,054,759 | 1,638,596 | 1,638,596 |
Total Common Equiv. Shares | 7,841,047 | 7,816,198 | 7,816,198 | 7,399,766 | 7,402,442 |
NIM (Bank) | 3.37% | 3.22% | 3.17% | 2.99% | 2.95% |
Cost of Deposits (Bank) | 0.46% | 0.41% | 0.36% | 0.36% | 0.38% |
Loan/Deposit | 66.6% | 63.1% | 54.8% | 51.7% | 49.5% |
Employees | 102 | 98 | 94 | 99 | 97 |
Loans in Atlanta MSA | 79.1% | 80.5% | 77.8% | 80.7% | 81.3% |
Source:
2021 GlobeNewswire, Inc., source