Highlights:
· Preliminary
fiscal year 2013 second quarter earnings per common share (diluted)
reported at $.72, down from $.95 in the year ago period, as average
fully-diluted common shares outstanding increased from 2.7 million
in the year ago period to 3.4 million in the current quarter, and
net income available to common shareholders decreased to $2.4
million, as compared to $2.6 million in the year ago period.
The increase in average shares outstanding was a result of the
common stock offering completed in November 2011. Earnings
per common share (diluted) were up $.01, as compared to the $.71
earned in the first quarter of fiscal 2013, the linked quarter.
· For the second
quarter of fiscal 2013, the Company generated an annualized return
on average assets of 1.32% and an annualized return on average
common equity of 12.5%, as compared to 1.44% and 17.1%,
respectively, for the same period of the prior year. In the
first quarter of fiscal 2013, the linked quarter, the annualized
return on average assets was 1.41%, and the annualized return on
average common equity was 12.6%.
· Net interest
margin for the second quarter of fiscal 2013 was 4.17%, up from the
4.12% reported for the year ago period, but down from the net
interest margin of 4.30% for the first quarter of fiscal 2013, the
linked quarter.
· Noninterest
income was up 24.3% for the second quarter of fiscal 2013, compared
to the year ago period, and up 5.5% from the first quarter of
fiscal 2013, the linked quarter.
· Noninterest
expense was up 14.3% for the second quarter of fiscal 2013,
compared to the year ago period, and up 7.6% from the first quarter
of fiscal 2013, the linked quarter.
· The Company
posted loan growth of $36.0 million, or 6.2%, during the first six
months of fiscal 2013; deposits increased $21.6 million, or
3.7%. Investment balances were up slightly, and cash balances
decreased.
· Non-performing
assets and non-performing loans increased in the first six months
of fiscal 2013, but were down from totals reported for at September
30, 2012, as the Company worked through the resolution process of
several previously classified credits.
Southern Missouri Bancorp, Inc. ("Company") (NASDAQ: SMBC), the
parent corporation of Southern Bank ("Bank"), today announced
preliminary net income available to common shareholders for the
second quarter of fiscal 2013 of $2.4 million, a decrease of
$122,000, or 4.8%, as compared to $2.6 million in net income
available to common shareholders earned during the same period of
the prior fiscal year. The decrease was attributable
primarily to an increase in noninterest expense and an increase in
provision for loan losses, partially offset by decreases in
provisions for income taxes and increases in noninterest income and
net interest income. Preliminary net income available to
common shareholders was $.72 per fully diluted common share for the
second quarter of fiscal 2013, a decrease of 24.2%, as compared to
the $.95 per fully diluted common share earned during the same
period of the prior fiscal year. The decrease was primarily the
result of higher average fully diluted common shares outstanding
following the common stock offering completed in November
2011. Before the dividend on preferred shares of $50,000,
preliminary net income for the first quarter of fiscal 2013 was
$2.5 million, a decrease of $194,000, or 7.2%, as compared to the
same period of the prior fiscal year.
Dividend Declared:
The Company is pleased to announce that the Board of Directors,
on January 22, 2013, declared its 75th consecutive quarterly
dividend on common stock since the inception of the Company.
The cash dividend of $.15 per common share will be paid on February
28, 2013, to common stockholders of record at the close of business
on February 15, 2013. The Board of Directors
and management believe the payment of a quarterly cash dividend
enhances shareholder value and demonstrates our commitment to and
confidence in our future prospects.
Conference Call:
The Company will host a conference call to review the
information provided in this press release on Tuesday, January 29,
2013, at 3:30 p.m., CST (4:30 p.m., EST). The call will be
available live to interested parties by calling 1-888-317-6016 in
the United States (Canada: 1-855-669-9657, international:
1-412-317-6016). Following the call, telephone playback will
be available one hour following the conclusion of the call, until
8:00 a.m., CST, on February 13, 2013. The playback may be
accessed by dialing 1-877-344-7529 (international: 1-412-317-0088),
and using the conference passcode 10024377.
Balance Sheet Summary:
The Company experienced balance sheet growth in the first six
months of fiscal 2013, with total assets increasing $31.0 million,
or 4.2%, to $770.2 million at December 31, 2012, as compared to
$739.2 million at June 30, 2012. Balance sheet growth was
primarily due to growth in loan balances, funded by deposit growth,
reductions in cash equivalent balances, and by increases in
securities sold under agreements to repurchase.
Available-for-sale investments increased $2.5 million, or 3.3%,
to $77.6 million at December 31, 2012, as compared to $75.1 million
at June 30, 2012. Increases in US agency obligations and
municipal obligations were partially offset by decreases in
mortgage-backed securities. Cash and equivalents were down
$16.3 million, redeployed into earning assets, primarily loans.
Loans, net of the allowance for loan losses, increased $36.0
million, or 6.2%, to $619.4 million at December 31, 2012, as
compared to $583.5 million at June 30, 2012. Loan balances
were up due primarily to increases in commercial real estate and
residential (primarily multifamily) real estate loans, partially
offset by decreases in equipment and operating lines for
agricultural and commercial borrowers, as well as decreases in
construction loan balances. The decrease in agricultural
operating lines is primarily seasonal and would be expected to
continue through the March 31 quarter.
Non-performing loans were $2.2 million, or 0.35% of gross loans,
at December 31, 2012, as compared to $2.4 million, or 0.41% of
gross loans, at June 30, 2012; non-performing assets were $5.9
million, or 0.77% of total assets, at December 31, 2012, as
compared to $4.0 million, or 0.54% of total assets, at June 30,
2012. Our allowance for loan losses at December 31, 2012, totaled
$7.9 million, representing 1.26% of gross loans and 359% of
non-performing loans, as compared to $7.5 million, or 1.27% of
gross loans, and 312% of non-performing loans, at June 30,
2012. The increase in non-performing assets was due primarily
to a single relationship which accounted for $2.4 million in
foreclosed real estate balances at December 31, 2012; the majority
of the foreclosed property value is commercial real estate.
(The loan relationship had migrated from classified to non-accrual
status during the quarter ended September 30, 2012.) For all
impaired loans, the Company has measured impairment under ASC
310-10-35, and management believes the allowance for loan losses at
September 30, 2012, is adequate, based on that measurement.
Total liabilities increased $26.8 million to $671.3 million at
December 31, 2012, an increase of 4.2% as compared to $644.5
million at June 30, 2012. This growth was primarily the
result of an increase in deposit accounts and securities sold under
agreements to repurchase.
Deposits increased $21.6 million, or 3.7%, to $606.4 million at
December 31, 2012, as compared to $584.8 million at June 30,
2012. Of the increase, $7.8 million was attributable to
public unit funds, and was somewhat seasonal in nature.
Increased balances were noted in interest-bearing checking,
noninterest checking, and certificate of deposit balances,
partially offset by a decline in savings accounts. The
average loan-to-deposit ratio for the second quarter of fiscal 2013
was 105.8%, as compared to 94.6% for the same period of the prior
fiscal year.
FHLB advances were $24.5 million at December 31, 2012, unchanged
in comparison to June 30, 2012; however, overnight FHLB advances
were utilized during the first six months of fiscal 2013 (the
average amount of overnight borrowings was $11.5 million).
Securities sold under agreements to repurchase totaled $30.9
million at December 31, 2012, as compared to $25.6 million at June
30, 2012, an increase of 20.7%, attributable mostly to seasonal
inflows from public units. At both dates, the full balance of
repurchase agreements was held by local small business and
government counterparties.
The Company's stockholders' equity increased $4.2 million, or
4.4%, to $98.9 million at December 31, 2012, from $94.7 million at
June 30, 2012. The increase was due primarily to retention of
net income, partially offset by cash dividends paid on common and
preferred stock.
Income Statement Summary:
The Company's net interest income for the three-month period
ended December 31, 2012, was $7.3 million, an increase of $9,000,
or 0.1%, as compared to the same period of the prior fiscal
year. For the six-month period ended December 31, 2012, net
interest income was $14.8 million, a decrease of $49,000, or 0.3%,
as compared to the same period of the prior fiscal year. For
the three-month period, the increase, as compared to the prior
fiscal year, was attributable to an increase in net interest
margin, from 4.12% to 4.17%, partially offset by a 1.1% decline in
the average balance of interest-earning assets. For the
six-month period, the decrease, as compared to the prior fiscal
year, was attributable to a decline in the net interest margin,
from 4.27% to 4.23%, partially offset by a 0.4% increase in average
interest-earning assets. In December 2010, the Company
acquired from the FDIC, as receiver, most of the assets and
substantially all of the liabilities of the former First Southern
Bank (the Acquisition). Accretion of fair value discount on
loans and amortization of fair value premiums on time deposits
related to the Acquisition declined from $1.0 million in the second
quarter of fiscal 2012 to $366,000 in the second quarter of fiscal
2013. The change in this component reduced net interest
income by $637,000 and net interest margin by 36 basis points for
the current quarter as compared to the year ago period.
Accretion of fair value discount on loans and amortization of fair
value premiums on time deposits related to the Acquisition declined
from $2.2 million in the first six months of fiscal 2012 to
$895,000 in the first six months of fiscal 2013. The change
in this component reduced net interest income by $1.3 million and
net interest margin by 36 basis points for the current fiscal year
to date as compared to the year ago period. The Company
expects the impact of the fair value discount accretion to continue
to decline, over time, as the assets acquired at a discount
continue to mature or prepay.
The provision for loan losses for the three- and six-month
periods ended December 31, 2012, was $462,000 and $1.1 million,
respectively, as compared to $345,000 and $862,000, respectively,
in the same periods of the prior fiscal year. As a percentage
of average loans outstanding, provision for the current three-and
six-month periods represented annualized charges of 0.30% and
0.35%, respectively, as compared to 0.25% and 0.31%, respectively,
for the same periods of the prior fiscal year. The increase
in provision for the three- and six-month periods ended December
31, 2012, as compared to the same periods of the prior fiscal year,
was attributed to higher net charge offs, strong loan growth, and
an increase in nonperforming credits. Net charge offs for the
six-month period ended December 31, 2012, were 0.21% of average
loans, as compared to 0.09% for the same period of the prior fiscal
year.
The Company's noninterest income for the three- and six-month
periods ended December 31, 2012, was $1.1 million and $2.2 million,
respectively, increases of $219,000, or 24.3%, and $162,000, or
8.1%, respectively, as compared to the same periods of the prior
fiscal year. The increase was attributed primarily to
increased deposit account charges and fees (resulting from
transaction account growth and increased NSF activity), increases
in the cash value of bank-owned life insurance (resulting from an
additional investment in such policies in March 2012), and higher
bank card network interchange revenues (resulting from additional
bank card transaction volume). The three-month period
comparison was additionally improved as a result of better
secondary market loan sales, while the six-month period comparison
was less favorable as a result of inclusion in the prior period's
result of the settlement of a legal claim obtained in the
Acquisition.
Noninterest expense for the three- and six-month periods ended
December 31, 2012, was $4.4 million and $8.6 million, respectively,
increases of $557,000, or 14.3%, and $912,000, or 11.9%,
respectively, as compared to the same periods of the prior fiscal
year. The increases were primarily attributable to higher
compensation and occupancy expenses, additional expenses related to
foreclosed property, and smaller gains on the sale of foreclosed
property, partially offset by a decline in the cost of providing
internet and mobile banking services. The efficiency ratio
for the three- and six-month periods ended December 31, 2012, was
52.6% and 50.7%, respectively, as compared to 47.2% and
45.6%, respectively, for the same periods of the prior fiscal
year. The deterioration for the three- and six-month ratios
resulted from increases of 14.3% and 11.9%, respectively, in
expenses, partially offset by increases of 2.8% and 0.7%,
respectively, in revenues.
The income tax provision for the three- and six-month periods
ended December 31, 2012, was $1.1 million and $2.2 million,
respectively, decreases of $252,000, or 19.1%, and $556,000, or
20.1%, respectively, as compared to the same periods of the prior
fiscal year. The declines were attributed primarily to a
decrease in pre-tax income, as well as a decline in the effective
tax rate, from 33.0% and 33.3%, respectively, in the three-
and six-month periods ended December 31, 2011, to 30.0% and 30.3%,
respectively, in the three- and six-month periods ended December
31, 2012. The decreases in the effective tax rates were
attributed to continued investments in tax-advantaged assets, and
the lower level of pre-tax income.
Forward-Looking Information:
Except for the historical information contained herein, the
matters discussed in this press release may be deemed to be
forward-looking statements that are subject to known and unknown
risks, uncertainties, and other factors that could cause the actual
results to differ materially from the forward-looking statements,
including: the strength of the United States economy in general and
the strength of the local economies in which we conduct operations;
fluctuations in interest rates and in real estate values; monetary
and fiscal policies of the Board of Governors of the Federal
Reserve System and the U.S. Government and other governmental
initiatives affecting the financial services industry; the risks of
lending and investing activities, including changes in the level
and direction of loan delinquencies and write-offs and changes in
estimates of the adequacy of the allowance for loan losses; our
ability to access cost-effective funding; the timely development of
and acceptance of our new products and services and the perceived
overall value of these products and services by users, including
the features, pricing and quality compared to competitors' products
and services; expected cost savings, synergies and other benefits
from the Company's merger and acquisition activities might not be
realized within the anticipated time frames or at all, and costs or
difficulties relating to integration matters, including but not
limited to customer and employee retention, might be greater than
expected; fluctuations in real estate values and both residential
and commercial real estate market conditions; demand for loans and
deposits in our market area; legislative or regulatory changes that
adversely affect our business; results of examinations of us by our
regulators, including the possibility that our regulators may,
among other things, require us to increase our reserve for loan
losses or to write-down assets; the impact of technological
changes; and our success at managing the risks involved in the
foregoing. Any forward-looking statements are based upon
management's beliefs and assumptions at the time they are made. We
undertake no obligation to publicly update or revise any
forward-looking statements or to update the reasons why actual
results could differ from those contained in such statements,
whether as a result of new information, future events or otherwise.
In light of these risks, uncertainties and assumptions, the
forward-looking statements discussed might not occur, and you
should not put undue reliance on any forward-looking
statements.
Southern Missouri
Bancorp, Inc. |
|
UNAUDITED CONDENSED
CONSOLIDATED FINANCIAL INFORMATION |
|
|
|
|
|
|
|
|
Summary Balance Sheet Data as
of: |
|
|
|
|
December 31,
2012 |
June 30,
2012 |
|
|
|
|
|
|
|
|
|
Cash and equivalents |
|
|
|
|
$
18,452,000 |
$
34,694,000 |
|
Available for sale securities |
|
|
|
|
77,635,000 |
75,127,000 |
|
Membership stock (1) |
|
|
|
|
3,019,000 |
3,019,000 |
|
Loans receivable, gross |
|
|
|
|
627,330,000 |
590,957,000 |
|
Allowance for loan losses |
|
|
|
|
7,920,000 |
7,492,000 |
|
Loans receivable, net |
|
|
|
|
619,410,000 |
583,465,000 |
|
Bank-owned life insurance |
|
|
|
|
16,212,000 |
15,957,000 |
|
Intangible assets |
|
|
|
|
1,249,000 |
1,458,000 |
|
Premises and equipment |
|
|
|
|
15,302,000 |
11,347,000 |
|
Other assets |
|
|
|
|
18,913,000 |
14,122,000 |
|
Total assets |
|
|
|
|
$
770,192,000 |
$
739,189,000 |
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
|
|
|
|
$
544,951,000 |
$
530,001,000 |
|
Noninterest-bearing deposits |
|
|
|
|
61,454,000 |
54,813,000 |
|
Securities sold under agreements to
repurchase |
|
|
|
|
30,945,000 |
25,642,000 |
|
FHLB advances |
|
|
|
|
24,500,000 |
24,500,000 |
|
Other liabilities |
|
|
|
|
2,200,000 |
2,288,000 |
|
Subordinated debt |
|
|
|
|
7,217,000 |
7,217,000 |
|
Total liabilities |
|
|
|
|
671,267,000 |
644,461,000 |
|
|
|
|
|
|
|
|
|
Preferred stock |
|
|
|
|
20,000,000 |
20,000,000 |
|
Common stockholders' equity |
|
|
|
|
78,925,000 |
74,728,000 |
|
Total stockholders' equity |
|
|
|
|
98,925,000 |
94,728,000 |
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity |
|
|
|
|
$
770,192,000 |
$
739,189,000 |
|
|
|
|
|
|
|
|
|
Equity to assets ratio |
|
|
|
|
12.84% |
12.82% |
|
Common shares outstanding |
|
|
|
|
3,254,000 |
3,248,000 |
|
Book value per common share |
|
|
|
|
$
24.25 |
$
23.01 |
|
Closing market price |
|
|
|
|
22.45 |
21.50 |
|
|
|
|
|
|
|
|
|
Nonperforming asset data as
of: |
|
|
|
|
December 31,
2012 |
June 30,
2012 |
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
|
|
|
|
$
2,191,000 |
$
2,398,000 |
|
Accruing loans 90 days or more past due |
|
|
|
|
18,000 |
- |
|
Nonperforming troubled debt restructurings
(2) |
|
|
|
|
- |
- |
|
Total nonperforming loans |
|
|
|
|
2,209,000 |
2,398,000 |
|
Other real estate owned (OREO) |
|
|
|
|
3,462,000 |
1,426,000 |
|
Personal property repossessed |
|
|
|
|
114,000 |
9,000 |
|
Nonperforming investment securities |
|
|
|
|
125,000 |
125,000 |
|
Total nonperforming assets |
|
|
|
|
$
5,910,000 |
$
3,958,000 |
|
|
|
|
|
|
|
|
|
Total nonperforming assets to total
assets |
|
|
|
|
0.77% |
0.54% |
|
Total nonperforming loans to gross loans |
|
|
|
|
0.35% |
0.41% |
|
Allowance for loan losses to nonperforming
loans |
|
|
|
|
358.53% |
312.43% |
|
Allowance for loan losses to gross loans |
|
|
|
|
1.26% |
1.27% |
|
|
|
|
|
|
|
|
|
Performing troubled debt restructurings |
|
|
|
|
$
3,515,000 |
$
3,138,000 |
|
|
|
|
|
|
|
|
(1) Federal Home Loan Bank and Federal Reserve Bank of St. Louis
membership stock |
|
|
(2) reported here only if not otherwise listed as nonperforming
(i.e., nonaccrual or 90+ days past due) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the
three-month period ended |
|
For the six-month
period ended |
Average Balance Sheet
Data: |
|
December 31,
2012 |
December 31,
2011 |
|
December 31,
2012 |
December 31,
2011 |
|
|
|
|
|
|
|
Interest-bearing cash equivalents |
|
$
8,350,000 |
$
80,800,000 |
|
$
10,129,000 |
$
62,540,000 |
Available for sale securities and
membership
stock |
|
77,466,000 |
70,080,000 |
|
76,257,000 |
68,429,000 |
Loans receivable, gross |
|
617,495,000 |
559,925,000 |
|
610,245,000 |
562,946,000 |
Total interest-earning
assets |
|
703,311,000 |
710,805,000 |
|
696,631,000 |
693,915,000 |
Other assets |
|
50,471,000 |
30,801,000 |
|
47,714,000 |
29,328,000 |
Total assets |
|
$
753,782,000 |
$
741,606,000 |
|
$
744,345,000 |
$
723,243,000 |
|
|
|
|
|
|
|
Interest-bearing deposits |
|
$
527,902,000 |
$
550,620,000 |
|
$
524,331,000 |
$
541,335,000 |
Securities sold under agreements to
repurchase |
|
26,858,000 |
27,087,000 |
|
25,713,000 |
26,438,000 |
FHLB advances |
|
37,918,000 |
33,500,000 |
|
36,024,000 |
33,500,000 |
Subordinated debt |
|
7,217,000 |
7,217,000 |
|
7,217,000 |
7,217,000 |
Total interest-bearing
liabilities |
|
599,895,000 |
618,424,000 |
|
593,285,000 |
608,490,000 |
Noninterest-bearing deposits |
|
55,519,000 |
41,382,000 |
|
53,816,000 |
39,175,000 |
Other noninterest-bearing liabilities |
|
358,000 |
1,996,000 |
|
336,000 |
3,205,000 |
Total liabilities |
|
655,772,000 |
661,802,000 |
|
647,437,000 |
650,870,000 |
|
|
|
|
|
|
|
Preferred stock |
|
20,000,000 |
20,000,000 |
|
20,000,000 |
18,682,000 |
Common stockholders' equity |
|
78,010,000 |
59,804,000 |
|
76,908,000 |
53,691,000 |
Total stockholders' equity |
|
98,010,000 |
79,804,000 |
|
96,908,000 |
72,373,000 |
|
|
|
|
|
|
|
Total liabilities and
stockholders'
equity |
|
$
753,782,000 |
$
741,606,000 |
|
$
744,345,000 |
$
723,243,000 |
|
|
For the
three-month period ended |
|
For the six-month
period ended |
Summary Income Statement
Data: |
|
December 31,
2012 |
December 31,
2011 |
|
December 31,
2012 |
December 31,
2011 |
|
|
|
|
|
|
|
Interest income: |
|
|
|
|
|
|
Cash equivalents |
|
$
11,000 |
$
52,000 |
|
$
30,000 |
$
81,000 |
Available for
sale securities and
membership
stock |
|
457,000 |
634,000 |
|
945,000 |
1,263,000 |
Loans receivable |
|
8,730,000 |
9,257,000 |
|
17,584,000 |
18,813,000 |
Total interest
income |
|
9,198,000 |
9,943,000 |
|
18,559,000 |
20,157,000 |
Interest expense: |
|
|
|
|
|
|
Deposits |
|
1,497,000 |
2,163,000 |
|
3,076,000 |
4,446,000 |
Securities sold under agreements
to repurchase |
|
54,000 |
59,000 |
|
102,000 |
119,000 |
FHLB advances |
|
259,000 |
339,000 |
|
513,000 |
679,000 |
Subordinated debt |
|
58,000 |
60,000 |
|
117,000 |
114,000 |
Total interest
expense |
|
1,868,000 |
2,621,000 |
|
3,808,000 |
5,358,000 |
Net interest income |
|
7,330,000 |
7,322,000 |
|
14,751,000 |
14,799,000 |
Provision for loan losses |
|
462,000 |
345,000 |
|
1,073,000 |
862,000 |
Noninterest income |
|
1,118,000 |
899,000 |
|
2,178,000 |
2,016,000 |
Noninterest expense |
|
4,440,000 |
3,884,000 |
|
8,579,000 |
7,667,000 |
Income taxes |
|
1,065,000 |
1,317,000 |
|
2,206,000 |
2,761,000 |
Net income |
|
2,481,000 |
2,675,000 |
|
5,071,000 |
5,525,000 |
Less: effective dividend on
preferred
shares |
|
50,000 |
122,000 |
|
245,000 |
352,000 |
Net income
available to
common shareholders |
|
$
2,431,000 |
$
2,553,000 |
|
$
4,826,000 |
$
5,173,000 |
|
|
|
|
|
|
|
Basic earnings per common share |
|
$
0.75 |
$
0.98 |
|
$
1.49 |
$
2.21 |
Diluted earnings per common
share |
|
0.72 |
0.95 |
|
1.43 |
2.12 |
Dividends per common share |
|
0.15 |
0.12 |
|
0.30 |
0.24 |
Average common shares
outstanding: |
|
|
|
|
|
|
Basic |
|
3,249,000 |
2,595,000 |
|
3,249,000 |
2,345,000 |
Diluted |
|
3,383,000 |
2,687,000 |
|
3,382,000 |
2,434,000 |
|
|
|
|
|
|
|
Return on average assets |
|
1.32% |
1.44% |
|
1.36% |
1.53% |
Return on average common
shareholders'
equity |
|
12.5% |
17.1% |
|
12.6% |
19.3% |
|
|
|
|
|
|
|
Net interest margin |
|
4.17% |
4.12% |
|
4.23% |
4.27% |
Net interest spread |
|
3.98% |
3.90% |
|
4.05% |
4.05% |
|
|
|
|
|
|
|
Efficiency ratio |
|
52.6% |
47.2% |
|
50.7% |
45.6% |
CONTACT: Matt Funke 573-778-1800
Southern Missouri Bancorp (NASDAQ:SMBC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Southern Missouri Bancorp (NASDAQ:SMBC)
Historical Stock Chart
From Jul 2023 to Jul 2024