GREENVILLE, S.C., April 21, 2016 /PRNewswire/ -- GrandSouth Bancorporation (OTCQB: GRRB), the holding company for GrandSouth Bank, reported net income for the first quarter ended March 31, 2016. Net income for the first quarter of 2016 totaled $1.51 million compared to $1.79 million for the same period in 2015. Following the amortization (accretion) and payment of preferred stock dividends, net income available to common shareholders for the quarter ended March 31, 2016 amounted to $1.45 million or $.34 per common share, diluted compared to $1.75 million or $.51 per common share, diluted for the same period of 2015. Net interest income for the three month period ended March 31, 2016 was 14.7% higher than the same period in 2015. However, non-interest expenses, including provisions made to the reserve for loan losses, grew 43% offsetting the higher revenues and resulting in lower net earnings for the period when compared with the year earlier quarter. The annualized return on average assets for the first quarter of 2016 equaled 1.37%. The annualized return on average common equity at March 31, 2016 equaled 12.7%. Loans declined by 4%, or $14 million to $355 million from $369 million at December 31, 2015. Deposits grew significantly during the first quarter to $374 million or 6% over the balance at year end of $351 million.
The Board of Directors approved at the April 20, 2016 meeting, the payment of a cash dividend of $.10 to holders of common stock ($.105 to holders of the corporation's Series A Preferred Stock) payable on May 25, 2016 to holders of record on May 10, 2016.
The Company previously announced the successful completion of the sale of $12 million in common stock through a private placement. The proceeds of the sale will be used for general corporate purposes including increasing the capital of GrandSouth Bank to support future growth opportunities.
GrandSouth Bank was chartered and opened for business in 1998 and operates four offices located in Greenville, Fountain Inn, Anderson and Greer, S.C. The company's website is www.grandsouth.com and GrandSouth Bancorporation currently trades its common stock on the OTC market under the symbol "GRRB".
Certain matters set forth in this news release may contain forward-looking statements that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risks and uncertainties that may cause actual results to differ materially from those in such statements.
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SOURCE GrandSouth Bancorporation