“We continue to be thankful for the efforts of all of our team members during this stressful period, and the ongoing partnerships we have with our customers. This is a marathon that we will all finish together one day.”
“Financially, we remain very comfortable with the credit and capital position at SouthCrest. Loan deferrals ended the quarter at 0.17% after hitting a high of nearly 18% during the second quarter. Earnings have held up well to this point and while we will experience some NIM compression, we will be focusing on maximizing ROA and maintaining appropriate capital levels. Expense discipline has been exceptional this year with total expenses running 5% below budget, even with COVID expenses.”
Total assets increased to
Interest income decreased 1.7% from 2Q20 due to the decrease in loan balances and the resulting higher cash levels. Interest expense declined 5.3% during the quarter as well which led to an overall net interest income decrease of 1.2% or
Non-interest income, excluding the
The estimated Tier 1 Leverage ratio at the end of the quarter for
Asset quality ratios continued a multi-quarter trend of improvement even with the COVID economic environment. NPAs to assets declined to 0.59% vs. 0.71% in 2Q20. 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
678.734.3505
Statement of Operations ($000s, Unaudited) | ||||||||||||||||||||
Q3 2019 | Q4 2019 | Q1 2020 | Q2 2020 | Q3 2020 | ||||||||||||||||
Interest Income | ||||||||||||||||||||
Loans | ||||||||||||||||||||
Construction and Development | $ | 636 | $ | 669 | $ | 744 | $ | 758 | $ | 781 | ||||||||||
2,037 | 2,030 | 1,856 | 1,974 | 1,846 | ||||||||||||||||
Commercial Loans | 446 | 645 | 553 | 567 | 542 | |||||||||||||||
Multi Family | 27 | 28 | 21 | 21 | 25 | |||||||||||||||
Residential Mortgage | 991 | 1,029 | 904 | 750 | 743 | |||||||||||||||
Consumer Loans | 41 | 34 | 36 | 29 | 28 | |||||||||||||||
County/Municipal Loans | 22 | 24 | 34 | 41 | 50 | |||||||||||||||
Loss Share Loans | 61 | 58 | 46 | 37 | 33 | |||||||||||||||
Federal Funds/Overnight Funds | $ | 107 | $ | 77 | $ | 129 | $ | 6 | $ | 8 | ||||||||||
Bank Owned CDs | 6 | 2 | 0 | 0 | 0 | |||||||||||||||
950 | 996 | 1,023 | 1,393 | 1,425 | ||||||||||||||||
Total Interest Income | $ | 5,324 | $ | 5,592 | $ | 5,346 | $ | 5,576 | $ | 5,481 | ||||||||||
Total Interest Expense | $ | 658 | $ | 699 | $ | 769 | $ | 741 | $ | 702 | ||||||||||
Net Interest Income | $ | 4,666 | $ | 4,893 | $ | 4,577 | $ | 4,835 | $ | 4,779 | ||||||||||
Provision for Loan Losses | 39 | 0 | 150 | 450 | 0 | |||||||||||||||
Net Interest Income after Loan Losses | $ | 4,627 | $ | 4,893 | $ | 4,427 | $ | 4,385 | $ | 4,779 | ||||||||||
Other Income | ||||||||||||||||||||
Service Charges on Deposits | $ | 148 | $ | 144 | $ | 138 | $ | 132 | $ | 130 | ||||||||||
NSF/Overdraft Fees | 356 | 348 | 305 | 158 | 213 | |||||||||||||||
Other Service Charges | 78 | 95 | 64 | 71 | 78 | |||||||||||||||
ATM/Billpay/DR Card Income | 278 | 271 | 247 | 277 | 298 | |||||||||||||||
Other Income | 308 | 268 | 238 | 664 | 1,441 | |||||||||||||||
Total Other Income | $ | 1,169 | $ | 1,186 | $ | 992 | $ | 1,303 | $ | 2,160 | ||||||||||
Non-Interest Expense | ||||||||||||||||||||
Salaries, Other Comp (+ FAS123R) | $ | 1,856 | $ | 2,140 | $ | 1,940 | $ | 1,711 | $ | 1,985 | ||||||||||
Employee Benefits | 391 | 379 | 412 | 341 | 276 | |||||||||||||||
Occupancy & FF&E Expense | 564 | 529 | 503 | 506 | 475 | |||||||||||||||
Professional Fees | 152 | 149 | 141 | 143 | 197 | |||||||||||||||
Data Processing | 497 | 502 | 488 | 385 | 353 | |||||||||||||||
Other Expense | 505 | 667 | 632 | 661 | 672 | |||||||||||||||
Total Noninterest Expenses | $ | 3,963 | $ | 4,366 | $ | 4,116 | $ | 3,747 | $ | 3,958 | ||||||||||
Pre-Tax Income (Loss) | $ | 1,832 | $ | 1,713 | $ | 1,303 | $ | 1,941 | $ | 2,981 | ||||||||||
Income Taxes | 417 | 389 | 265 | 316 | 580 | |||||||||||||||
Net Income | $ | 1,414 | $ | 1,323 | $ | 1,038 | $ | 1,625 | $ | 2,401 | ||||||||||
Balance Sheet ($000s, Unaudited) | ||||||||||||||||||||
Assets | Q3 2019 | Q4 2019 | Q1 2020 | Q2 2020 | Q3 2020 | |||||||||||||||
Current Assets | ||||||||||||||||||||
Cash & Due from Bank | $ | 13,758 | $ | 38,555 | $ | 19,845 | $ | 22,520 | $ | 39,600 | ||||||||||
Federal Funds/Overnight Funds | 0 | 5,215 | 0 | 7,873 | 10,101 | |||||||||||||||
Bank Owned CDs | 1,069 | 77 | 0 | 0 | 0 | |||||||||||||||
139,907 | 139,880 | 184,377 | 218,680 | 222,913 | ||||||||||||||||
Total Current Assets | $ | 154,733 | $ | 183,727 | $ | 204,222 | $ | 249,072 | $ | 272,614 | ||||||||||
Loans | ||||||||||||||||||||
Construction and Development | $ | 43,661 | $ | 47,593 | $ | 56,430 | $ | 64,320 | $ | 65,675 | ||||||||||
155,397 | 146,287 | 142,610 | 139,407 | 134,986 | ||||||||||||||||
Commercial Loans | 42,921 | 53,833 | 53,383 | 56,860 | 55,327 | |||||||||||||||
Multi Family | 1,939 | 1,611 | 1,601 | 1,590 | 1,714 | |||||||||||||||
Residential Mortgage | 80,391 | 77,772 | 73,778 | 66,810 | 62,672 | |||||||||||||||
Consumer Loans | 1,022 | 830 | 2,144 | 2,472 | 1,868 | |||||||||||||||
County/Municipal Loans | 2,037 | 3,109 | 3,732 | 4,851 | 1,990 | |||||||||||||||
Loss Share Loans | 3,859 | 3,601 | 2,451 | 2,315 | 2,152 | |||||||||||||||
Total Loans | $ | 331,227 | $ | 334,635 | $ | 336,129 | $ | 338,625 | $ | 326,383 | ||||||||||
Allowance for Loss | (3,073 | ) | (3,039 | ) | (3,184 | ) | (3,984 | ) | (3,705 | ) | ||||||||||
Net Loans | $ | 328,154 | $ | 331,596 | $ | 332,946 | $ | 334,641 | $ | 322,678 | ||||||||||
OREO | 0 | 497 | 529 | 447 | 447 | |||||||||||||||
FDIC Indemnification | 0 | 0 | 0 | 0 | 0 | |||||||||||||||
BOLI | 22,323 | 22,456 | 22,583 | 22,737 | 22,872 | |||||||||||||||
Fixed Assets, net | 8,982 | 8,862 | 8,705 | 8,697 | 8,540 | |||||||||||||||
Intangible Assets | 96 | 84 | 80 | 68 | 64 | |||||||||||||||
Other Assets | 9,424 | 8,740 | 8,604 | 6,731 | 7,030 | |||||||||||||||
Total Assets | $ | 523,711 | $ | 555,960 | $ | 577,669 | $ | 622,383 | $ | 634,245 | ||||||||||
Liabilities & Stockholders' Equity | ||||||||||||||||||||
Liabilities | ||||||||||||||||||||
Deposits | ||||||||||||||||||||
DDAs | $ | 94,680 | $ | 103,154 | $ | 96,517 | $ | 114,554 | $ | 118,082 | ||||||||||
Interest Bearing Demand | 63,386 | 87,685 | 85,746 | 96,141 | 95,732 | |||||||||||||||
Celebration Checking | 97,277 | 98,558 | 103,718 | 111,421 | 114,657 | |||||||||||||||
Money Market Accts | 32,382 | 33,888 | 37,693 | 38,650 | 43,746 | |||||||||||||||
Savings | 44,383 | 44,370 | 44,516 | 47,674 | 48,928 | |||||||||||||||
CDs Less Than | 56,543 | 54,228 | 53,616 | 52,709 | 51,735 | |||||||||||||||
CDs Greater than | 41,846 | 43,404 | 47,259 | 47,049 | 43,612 | |||||||||||||||
Total Deposits | $ | 430,497 | $ | 465,288 | $ | 469,064 | $ | 508,198 | $ | 516,491 |
Other Liabilities | 2,516 | 2,143 | 2,415 | 2,184 | 2,772 | ||||||||||
Net Borrowings (Wholesale Funding) | 33,429 | 34,697 | 50,228 | 50,546 | 52,258 | ||||||||||
Total Liabilities | $ | 466,443 | $ | 502,127 | $ | 521,708 | $ | 560,918 | $ | 571,522 | |||||
Total Equity | 57,268 | 53,833 | 55,961 | 61,465 | 62,723 | ||||||||||
Total Liabilities & Stockholders' Equity | $ | 523,711 | $ | 555,960 | $ | 577,669 | $ | 622,393 | $ | 634,245 |
Ratios | ||||||||||||||||
Q3 2019 | Q4 2019 | Q1 2020 | Q2 2020 | Q2 2020 | ||||||||||||
ROAA | 1.09 | % | 0.98 | % | 0.75 | % | 1.05 | % | 1.53 | % | ||||||
ROAE | 10.10 | % | 9.52 | % | 7.30 | % | 10.87 | % | 16.88 | % | ||||||
NPAs/Assets (Core) | 1.00 | % | 0.77 | % | 0.80 | % | 0.71 | % | 0.59 | % | ||||||
Est. T1 Leverage (Bank) | 9.65 | % | 9.63 | % | 9.62 | % | 8.99 | % | 9.41 | % | ||||||
Total Common Shares | 5,849,101 | 5,832,793 | 5,832,793 | 5,786,288 | 5,761,439 | |||||||||||
Total Preferred Shares | 2,058,121 | 2,054,759 | 2,054,759 | 2,054,759 | 2,054,759 | |||||||||||
Total Common Equiv. Shares | 7,907,222 | 7,887,552 | 7,887,552 | 7,841,047 | 7,816,198 | |||||||||||
NIM (Bank) | 3.92 | % | 4.03 | % | 3.65 | % | 3.37 | % | 3.22 | % | ||||||
Cost of Deposits (Bank) | 0.54 | % | 0.53 | % | 0.54 | % | 0.46 | % | 0.41 | % | ||||||
Loan/Deposit | 76.7 | % | 71.9 | % | 71.6 | % | 66.6 | % | 63.1 | |||||||
Employees | 103 | 105 | 104 | 102 | 98 | |||||||||||
Loans in Atlanta MSA | 76.8 | % | 77.5 | % | 78.2 | % | 79.1 | % | 80.5 | % |
Source:
2020 GlobeNewswire, Inc., source