Oconee Financial Corporation Reports Fourth Quarter and Full Year 2021 Results
WATKINSVILLE, Ga., Feb. 1, 2022 /PRNewswire/ -- Oconee Financial Corporation ("Oconee") (OTCQX: OSBK) is pleased to report results for the fourth quarter of 2021 and for the year ending December 31, 2021. Unaudited net income for the three months ending December 31, 2021, was $708,199 or $0.79 per common share. This compares to $333,597 or $0.37 per common share for the fourth quarter of the prior year, an increase of 112.3%. The increase in net earnings for the fourth quarter was mainly attributable to an increase in net interest income of $520,000. Interest income on loans increased $220,000 primarily due to recognition of loan fees from the Paycheck Protection Program (PPP). Interest income on investments increased $193,000 due to the investment of excess funds into available-for-sale investment securities. In addition, interest expense on deposits and borrowings decreased $94,000, primarily due to lower interest rates on deposits.
Unaudited net income YTD as of December 31, 2021 was $2,999,529 or $3.35 per common share. This compares to $1,888,792 or $2.11 per common share for YTD as of December 31st of the prior year. This represents an increase of 58.8% in net earnings YTD December 31, 2021, as compared to the same period in 2020. The increase in earnings over the previous year was primarily attributable to increases in net interest income from PPP fees recognized of $1,227,000.
Total assets as of December 31, 2021, were $571.1 million, compared to total assets of $494.5 million as of December 31, 2020, an increase of 15.5%. Total loans were $298.0 million and deposits were $519.7 million as of December 31, 2021. This compared to total loans of $319.6 million and deposits of $444.7 million at December 31, 2020. As of December 31, 2021, total loans decreased 6.8% and total deposits increased 16.9% versus December 31, 2020. Excluding the effect of pay downs on PPP loans during 2021, loans increased $29.9 million, or 9.4%. Book value per share at December 31, 2021 was $43.88 versus $42.56 at December 31, 2020.
Neil Stevens, President and Chief Executive Officer of Oconee, commenting on the fourth quarter's results noted, "We are very pleased with our fourth quarter and full year results. Both measures reflect a significant improvement over the same period a year ago and reflect the dedication and quality work of our team.
2022 will be a transitional year for the Bank, as we work to continue improving results, while at the same time, working to replace over $2 million of non-recurring PPP fees we saw in 2021. We are confident that our talented team of bankers will meet this challenge, but improving on our 2021 results will be no small task."
Oconee Financial Corporation is headquartered in Watkinsville, Georgia and operates four full-service branches and one limited-service branch. In February 2022, Oconee State bank will celebrate 62 years of service and continues to be the only locally owned and operated community bank headquartered in Oconee County. Oconee State Bank has proudly served the local community, providing an unparalleled commitment to personalized service, innovative products and solutions, and strives to bring exceptional value to our customers through local ownership, involvement, and decision-making. We continuously strive to create remarkable experiences that significantly mark the lives of others.
OCONEE FINANCIAL CORPORATION | ||||||
BALANCE SHEET | ||||||
12/31/2021 | 12/31/2020 | |||||
(Unaudited) | ||||||
ASSETS | ||||||
Cash and due from banks | $ 85,774,514 | $ 76,418,430 | ||||
Securities available for sale (at fair value) | 162,165,152 | 75,548,813 | ||||
Other investment | 247,400 | 359,700 | ||||
Mortgage loans held for sale | 1,212,617 | 6,408,720 | ||||
Loans, net of unearned income | 302,523,687 | 323,624,861 | ||||
Allowance for loan loss | (4,542,292) | (4,057,091) | ||||
Loans, net | 297,981,395 | 319,567,770 | ||||
Premises and equipment | 8,602,518 | 5,103,036 | ||||
Other real estate owned | -- | -- | ||||
Other assets | 15,158,403 | 11,129,233 | ||||
Total Assets | $ 571,141,998 | $ 494,535,702 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
Liabilities: | ||||||
Deposits | $ 519,693,969 | $ 444,701,932 | ||||
Subordinated debenture, net of capitalized expenses | 9,794,445 | 9,770,497 | ||||
Dividends payable | -- | -- | ||||
Accrued expenses and other liabilities | 2,320,963 | 1,928,168 | ||||
Total Liabilities | 531,809,377 | 456,400,597 | ||||
Stockholder's Equity: | ||||||
Common Stock | 1,795,076 | 1,794,250 | ||||
Restricted Stock | (38,311) | (37,976) | ||||
Additional Paid in Capital | 4,159,822 | 4,147,114 | ||||
Retained earnings | 33,268,328 | 30,850,978 | ||||
Unrealized gain/loss on securities | 147,706 | 1,380,739 | ||||
Total Stockholder's Equity | 39,332,621 | 38,135,105 | ||||
Total Liabilities and Stockholder's Equity | $ 571,141,998 | $ 494,535,702 | ||||
Book Value Per Share | $ 43.88 | $ 42.56 | ||||
OCONEE FINANCIAL CORPORATION | ||||||
STATEMENT OF INCOME-QTD | ||||||
12/31/2021 | 12/31/2020 | |||||
(Unaudited) | ||||||
Interest Income: | ||||||
Loans | $ 3,923,036 | $ 3,702,713 | ||||
Securities available for sale | ||||||
State, County & Municipal | 168,142 | 150,758 | ||||
Treasuries & Agencies | 264,838 | 139,227 | ||||
Corporate | 94,766 | 45,187 | ||||
Federal funds sold & other | 36,578 | 23,305 | ||||
4,487,360 | 4,061,190 | |||||
Interest Expense: | ||||||
Deposits | 218,171 | 287,415 | ||||
Other | 155,987 | 180,617 | ||||
Total Interest Expense | 374,158 | 468,032 | ||||
Net interest income | 4,113,203 | 3,593,158 | ||||
Provision for loan losses | 220,500 | 387,500 | ||||
Net income after provision for loan losses | 3,892,703 | 3,205,658 | ||||
Noninterest income | ||||||
Service charges on deposit accounts | 126,728 | 114,185 | ||||
Loss on Sale of Assets | (203,971) | 500 | ||||
Securities gains (losses), net | -- | -- | ||||
Mortgage banking income | 405,419 | 668,645 | ||||
SBA loan related income | 183,938 | 26,539 | ||||
Commissions on investment sales | 24,249 | 106,387 | ||||
Other | 378,718 | 337,942 | ||||
Total noninterest income | 915,081 | 1,254,199 | ||||
Noninterest expense | ||||||
Salaries and employee benefits | 2,433,066 | 2,593,870 | ||||
Occupancy | 375,854 | 304,015 | ||||
Other operating | 1,144,600 | 1,203,959 | ||||
Total noninterest expense | 3,953,519 | 4,101,844 | ||||
Income before provision for income taxes | 854,265 | 358,012 | ||||
Provision for income taxes | 146,066 | 24,415 | ||||
Net Income | $ 708,199 | $ 333,597 | ||||
Period-Ending Outstanding Shares | 896,412 | 897,125 | ||||
Weighted Average Shares Outstanding | 896,412 | 896,163 | ||||
QTD Earnings Per Common Share | $ 0.79 | $ 0.37 | ||||
OCONEE FINANCIAL CORPORATION | ||||||
STATEMENT OF INCOME-YTD | ||||||
12/31/2021 | 12/31/2020 | |||||
(Unaudited) | ||||||
Interest Income: | ||||||
Loans | $ 15,281,802 | $ 14,587,768 | ||||
Securities available for sale | ||||||
State, County & Municipal | 685,752 | 407,768 | ||||
Treasuries & Agencies | 875,535 | 804,391 | ||||
Corporate | 346,038 | 58,594 | ||||
Federal funds sold & other | 102,278 | 203,373 | ||||
17,291,405 | 16,061,894 | |||||
Interest Expense: | ||||||
Deposits | 1,001,740 | 1,597,785 | ||||
Other | 623,949 | 316,410 | ||||
Total Interest Expense | 1,625,689 | 1,914,195 | ||||
Net interest income | 15,665,716 | 14,147,699 | ||||
Provision for loan losses | 456,000 | 1,250,000 | ||||
Net income after provision for loan losses | 15,209,716 | 12,897,699 | ||||
Noninterest income | ||||||
Service charges on deposit accounts | 458,943 | 453,798 | ||||
Loss on Sale of Assets | (268,123) | (17,655) | ||||
Securities gains (losses), net | 172,312 | 182,860 | ||||
Mortgage banking income | 2,067,991 | 1,919,163 | ||||
SBA loan related income | 339,651 | 615,891 | ||||
Commissions on investment sales | 187,329 | 536,908 | ||||
Other | 1,434,421 | 1,258,024 | ||||
Total noninterest income | 4,392,523 | 4,948,990 | ||||
Noninterest expense | ||||||
Salaries and employee benefits | 9,300,150 | 10,085,635 | ||||
Occupancy | 1,425,137 | 1,204,014 | ||||
Other operating | 5,145,490 | 4,301,175 | ||||
Total noninterest expense | 15,870,776 | 15,590,824 | ||||
Income before provision for income taxes | 3,731,463 | 2,255,864 | ||||
Provision for income taxes | 731,934 | 367,072 | ||||
Net Income | $ 2,999,529 | $ 1,888,792 | ||||
Period-Ending Outstanding Shares | 896,412 | 895,237 | ||||
Weighted Average Shares Outstanding | 896,412 | 895,401 | ||||
YTD Earnings Per Common Share | $ 3.35 | $ 2.11 | ||||
SOURCE Oconee Financial Corporation
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