South Atlantic Bancshares Net Income up 11.8 Percent

Assets Cross $400 Million Mark

28 Jan, 2016, 07:30 ET from South Atlantic Bancshares, Inc.

MYRTLE BEACH, S.C., Jan. 28, 2016 /PRNewswire/ -- South Atlantic Bancshares, Inc. (OTCQX: SABK), parent of South Atlantic Bank, today reported net income of $2,240,817 or $0.63 per diluted share for the year ended December 31, 2015, compared to $2,004,218 or $0.56 per diluted share reported for the same period a year ago. These figures represent an 11.8 percent increase in net income.

Financial Highlights

  • Year-end 2015 represents the company's fifth consecutive profitable year.
  • Credit quality remains strong with net charge-offs to average total assets of 0.01 percent and zero past due loans for 2015.
  • Net interest margin is 3.80 percent.
  • Total loans grew 19.7 percent in 2015, from $262.6 million at December 31, 2014 to $314.3 million at December 31, 2015.
  • Total deposits grew 3.3 percent, from $326.6 million reported at December 31, 2014, to $337.4 million at December 31, 2015.
  • Total assets grew 10.2 percent, from $363.3 million at December 31, 2014, to $400.2 million at December 31, 2015.

"It has been a year of outstanding achievement for our company," said K. Wayne Wicker, chairman of the board and chief executive officer. "Our financial performance continues to improve, fueled by growth in the loan portfolio in all the markets we serve. Additionally, the merchant services and mortgage loan areas of the bank contributed to our results, helping noninterest income grow fifty-four percent this year.

The company also met several goals in 2015. We further developed our branch network with expansion to North Myrtle Beach and plans for a new and larger office in the Mount Pleasant market. We moved our website from the dot com domain to the dot bank domain, which provides greater safeguards for online commerce. We also continued to upgrade customer services including our goMobile banking app," Wicker said.

Additionally, the company completed a private placement offering for its common stock, raising $4.6 million to be used for general corporate purposes and to support the growth and capital position of the bank. In October, the company's stock began to trade on the OTCQX Marketplace, creating greater visibility and accessibility. Lastly, a 10 percent stock dividend – the second in the company's brief history – took place in December.

About South Atlantic Bank
South Atlantic Bank, the subsidiary bank of South Atlantic Bancshares, Inc. (OTCQX: SABK), is a $390.1 million financial institution that is locally owned, controlled, and operated. The bank is headquartered in Myrtle Beach, South Carolina, with additional offices in Murrells Inlet, Pawleys Island, Georgetown, North Myrtle Beach, and Mount Pleasant, South Carolina. South Atlantic Bank offers a wide variety of services for businesses and consumers, including South Atlantic Bank goMobile, its mobile banking app. The bank also offers internet banking, no-fee ATM access, checking, CD, and money market accounts, merchant services, mortgage loans, remote deposit capture, and more. South Atlantic Bank was named a "Roaring Twenties" winner as one of the best performing large companies in the state of South Carolina by SC Biz News, in 2012, 2013, and 2015. For more information, visit SouthAtlantic.bank.

Member FDIC


South Atlantic Bank

Selected Financial Highlights



For the

For the

For the


Twelve Months Ended

Twelve Months Ended

Twelve Months Ended


December 31, 2015

December 31, 2014

December 31, 2013

Year-to-Date Balances (In Thousands)




Total assets

$   400,218

$  363,348

$   318,057

Investment securities

52,784

52,607

73,727

Loans, net of unearned income (total loans)

314,255

262,646

218,174

Deposits

337,362

326,594

285,519

Shareholders' equity

35,645

32,242

24,141





Average Balances (In Thousands)




Total assets

$   374,291

$  341,288

$   307,746

Earning assets

382,350

318,590

281,908

Investment securities

51,238

67,306

69,880

Loans, net of unearned income

313,988

239,797

199,817

Deposits

335,849

308,929

281,306

Shareholders' equity

33,961

26,925

24,904





Earnings Breakdown (In Thousands)




­­Total interest income

$     14,137

$   13,012

$     11,291

Total interest expense

1,161

1,188

1,311

Net interest income

12,976

11,825

9,980

Total noninterest income

2,633

1,705

1,996

Total noninterest expense

12,272

10,618

9,154

Provision for loan losses

230

475

730

Income before taxes

3,106

2,437

2,092

Taxes

865

433

447

Net income

2,241

2,004

1,645

Diluted earnings per share

0.63

0.56

0.46





Selected % Increases

Year Over Year

Total assets

10.15%

14.24%

11.60%

Total interest earning assets

10.58%

14.04%

11.93%

Total loans

19.65%

20.38%

14.84%

Total deposits

3.30%

14.39%

10.10%

Interest income

8.64%

15.24%

12.89%

Interest expense

(2.21)%

(9.40)%

(19.09)%

Noninterest income

54.37%

(14.54)%

(26.19)%

Noninterest expense

15.58%

15.99%

13.54%

Net income

11.81%

21.90%

(35.08)%*





Selected Ratios

Year Over Year

Return on assets

0.59%

0.55%

0.53%

Return on equity

6.55%

7.44%

6.60%

Interest income to total average assets

3.78%

3.81%

3.67%

Interest expense to total average assets

0.31%

0.35%

0.43%

Net interest income to total average assets

3.47%

3.46%

3.24%

Loan loss reserve to total loans

0.90%

1.00%

1.10%

Nonperforming assets to total average assets

0.11%

0.13%

0.24%

Net charge-offs to total average assets

0.01%

0.07%

0.08%

Net interest margin

3.80%

3.79%

3.56%


*compared to 2012 net income which was not taxable. Company became fully taxable in 2013.

 

SOURCE South Atlantic Bancshares, Inc.