Savannah Bancorp Reports 14 Percent Earnings Per Share Increase

Apr 16, 2001, 01:00 ET from The Savannah Bancorp

    SAVANNAH, Ga., April 16 /PRNewswire/ --
 The Savannah Bancorp (Nasdaq: SAVB), Savannah, Georgia, a bank holding company
 for The Savannah Bank, N.A. and Bryan Bank & Trust (Richmond Hill, Georgia),
 reported net income for the first quarter 2001 of $1,081,000, up 13 percent
 from $955,000 in 2000.  Net income per diluted share was 36.0 cents compared
 to 31.5 cents per share in the first quarter of 2000, an increase of
 14 percent.  The share and per share amounts have been restated for a ten
 percent stock dividend declared on April 16, 2001 to shareholders of record on
 April 27 and payable on May 11, 2001.
     Loans totaled $257 million at March 31, 2001 compared with $221 million
 one year earlier, an increase of 16 percent.  Deposits totaled $295 million at
 March 31, 2001 and $244 million at March 31, 2000, an increase of 21 percent.
 Total assets increased 20 percent to $357 million at the end of the first
 quarter, up from $298 million a year earlier.
     The improvement in earnings for the first quarter resulted from net
 interest income growth of 8 percent, other income growth of 25 percent and
 other expense growth of 6 percent.  Higher time deposit rates in 2000 and
 lower loan rates due to the prime rate decrease to 8.00 percent from
 9.50 percent during the first quarter 2001 caused the net interest margin to
 decline to 4.32 percent from 4.78 percent in the first quarter 2000.  Mortgage
 origination fees increased to $168,000 from $86,000, an increase of
 95 percent.
     Credit quality remained strong at March 31, 2001 with nonperforming assets
 of $803,000, or 0.31 percent of total loans.  Net loan losses for the first
 quarter 2001 were $3,000.  Although prospects for a recession seem to be
 increasing, historically, the Savannah area has not experienced economic
 contractions as severely as the nation as a whole.
     Today, the Board of Directors voted to declare a ten percent stock
 dividend and increase the quarterly cash dividend from 15 cents to 16 cents
 per share.  The stock dividend and the increased cash dividend result in an
 increase in the quarterly cash dividend of 17.3 percent.  The record date is
 April 27 for both dividends.  The stock dividend is distributable on May 11
 and the cash dividend is payable on May 21.
 
 
               The Savannah Bancorp, Inc. and Subsidiaries
                     First Quarter Financial Highlights
                           March 31, 2001 and 2000
                                  (Unaudited)
 
                                                                    Percent
                                                                    Increase
     Performance Ratios                  2001           2000       (Decrease)
     (thousands, except per share data)
     For the First Quarter
 
     Net income                         $1,081             $955           13
     Return on average assets             1.25 %           1.37 %         (9)
     Return on average equity            14.99 %          15.15 %         (1)
     Net interest margin                  4.32 %           4.78 %        (10)
     Efficiency ratio                    57.50 %          59.32 %         (3)
     Net income per share:
     Basic                              $0.365           $0.320           14
     Diluted                            $0.360           $0.315           14
     Average shares: *
     Basic                               2,960            2,980            0
     Diluted                             3,005            3,031           (1)
 
     Balance Sheet Data
     at March 31
     Total assets                     $357,002         $298,152           20
     Interest-earning assets           334,137          281,986           18
     Loans                             256,850          220,713           16
     Allowance for loan losses           3,516            2,924           20
     Nonperforming assets                  803              556           44
     Deposits                          294,796          243,741           21
     Interest-bearing
      liabilities                      284,170          228,200           25
     Shareholders' equity               29,866           25,684           16
     Allowance for possible
      loan losses to total loans         1.37%            1.32%            3
     Loan to deposit ratio              87.13%           90.55%           (4)
     Equity to assets                    8.37%            8.61%           (3)
     Tier 1 capital to risk-
      weighted assets                    11.18%           11.75%          (5)
     Book value per share *             $10.10            $8.62           17
     Outstanding shares *                2,958            2,981           (1)
 
     * - a ten percent stock dividend was declared on April 16, 2001
     to shareholders of record April 27 and distributable on May 11,
     2001.  All shares and per share amounts have been restated.
 
 
 
     The Savannah Bancorp, Inc. and Subsidiaries
     Consolidated Balance Sheets
     March 31, 2001 and 2000
                                                         (Unaudited)
     (Amounts in thousands, except share data)
                                                           March 31,
                                                    2001               2000
     Assets
     Cash and due from banks                       $12,836            $11,798
     Interest-bearing deposits                       6,541                  0
     Federal funds sold                              9,279              1,109
     Investment securities,
      available-for-sale                            66,877             58,739
     Loans                                         256,850            220,713
     Less allowance for loan losses                 (3,516)            (2,924)
            Net loans                              253,334            217,789
     Premises and equipment, net                     4,498              4,723
     Other assets                                    3,637              3,994
            Total assets                          $357,002           $298,152
 
 
     Liabilities
     Deposits:
        Noninterest-bearing demand                 $40,061            $42,400
        Interest-bearing demand                     47,867             42,227
        Savings                                     12,253             13,311
        Money market accounts                       35,403             38,694
        Time, $100,000 and over                     65,517             41,597
        Other time deposits                         93,695             65,512
            Total deposits                         294,796            243,741
     Other short-term borrowings                     8,433              8,652
     Federal Home Loan Bank advances                21,002             18,207
     Other liabilities                               2,905              1,868
            Total liabilities                      327,136            272,468
     Shareholders' Equity
      Common stock, par value $1 per
       share: authorized 20,000,000
       shares; issued 2,719,614                      2,720              2,720
      Preferred stock, par value $1:
       authorized 10,000,000 shares                    ---                ---
     Capital surplus                                12,822             13,038
     Retained earnings                              14,153             11,356
     Treasury stock, at cost, 30,607 and
      9,400 shares in 2001 and 2001                   (594)              (316)
     Net unrealized gains (losses) on
      available-for-sale securities                    765             (1,114)
            Total shareholders' equity              29,866             25,684
            Total liabilities and
               shareholders' equity               $357,002           $298,152
 
 
 
      The Savannah Bancorp, Inc. and Subsidiaries
      Consolidated Statements of Income
      First Quarter, 2001 and 2000
                                                 (Unaudited)
      (thousands, except per share data)
 
                                         For the Quarter Ended      Percent
                                               March 31,            Increase
                                          2001            2000     (Decrease)
 
     Interest income                    $7,059           $5,804           22
     Interest expense                    3,575            2,556           40
     Net interest income                 3,484            3,248            7
     Provision for loan losses             150              150            0
     Net interest income after
      provision for loan losses          3,334            3,098            8
     Other income
     Trust fees                             65               65            0
     Service charges on deposit
      accounts                             338              290           17
     Mortgage origination fees             168               86           95
     Other income                          112              104            8
          Total other operating income     683              545           25
     Gains on sales of assets                0                0
          Total other income               683              545           25
     Other expense
     Salaries and employee benefits      1,364            1,258            8
     Occupancy expense                     169              165            2
     Equipment expense                     140              154           (9)
     Other operating expenses              723              673            7
          Total other expense            2,396            2,250            6
     Income before provision for
      income taxes                       1,621            1,393           16
     Provision for income taxes            540              438           23
     Net Income                         $1,081           $  955           13
 
     Net Income Per Share:
      Basic                             $0.365           $0.320           14
      Diluted                           $0.360           $0.315           14
 
 
 

SOURCE The Savannah Bancorp
    SAVANNAH, Ga., April 16 /PRNewswire/ --
 The Savannah Bancorp (Nasdaq: SAVB), Savannah, Georgia, a bank holding company
 for The Savannah Bank, N.A. and Bryan Bank & Trust (Richmond Hill, Georgia),
 reported net income for the first quarter 2001 of $1,081,000, up 13 percent
 from $955,000 in 2000.  Net income per diluted share was 36.0 cents compared
 to 31.5 cents per share in the first quarter of 2000, an increase of
 14 percent.  The share and per share amounts have been restated for a ten
 percent stock dividend declared on April 16, 2001 to shareholders of record on
 April 27 and payable on May 11, 2001.
     Loans totaled $257 million at March 31, 2001 compared with $221 million
 one year earlier, an increase of 16 percent.  Deposits totaled $295 million at
 March 31, 2001 and $244 million at March 31, 2000, an increase of 21 percent.
 Total assets increased 20 percent to $357 million at the end of the first
 quarter, up from $298 million a year earlier.
     The improvement in earnings for the first quarter resulted from net
 interest income growth of 8 percent, other income growth of 25 percent and
 other expense growth of 6 percent.  Higher time deposit rates in 2000 and
 lower loan rates due to the prime rate decrease to 8.00 percent from
 9.50 percent during the first quarter 2001 caused the net interest margin to
 decline to 4.32 percent from 4.78 percent in the first quarter 2000.  Mortgage
 origination fees increased to $168,000 from $86,000, an increase of
 95 percent.
     Credit quality remained strong at March 31, 2001 with nonperforming assets
 of $803,000, or 0.31 percent of total loans.  Net loan losses for the first
 quarter 2001 were $3,000.  Although prospects for a recession seem to be
 increasing, historically, the Savannah area has not experienced economic
 contractions as severely as the nation as a whole.
     Today, the Board of Directors voted to declare a ten percent stock
 dividend and increase the quarterly cash dividend from 15 cents to 16 cents
 per share.  The stock dividend and the increased cash dividend result in an
 increase in the quarterly cash dividend of 17.3 percent.  The record date is
 April 27 for both dividends.  The stock dividend is distributable on May 11
 and the cash dividend is payable on May 21.
 
 
               The Savannah Bancorp, Inc. and Subsidiaries
                     First Quarter Financial Highlights
                           March 31, 2001 and 2000
                                  (Unaudited)
 
                                                                    Percent
                                                                    Increase
     Performance Ratios                  2001           2000       (Decrease)
     (thousands, except per share data)
     For the First Quarter
 
     Net income                         $1,081             $955           13
     Return on average assets             1.25 %           1.37 %         (9)
     Return on average equity            14.99 %          15.15 %         (1)
     Net interest margin                  4.32 %           4.78 %        (10)
     Efficiency ratio                    57.50 %          59.32 %         (3)
     Net income per share:
     Basic                              $0.365           $0.320           14
     Diluted                            $0.360           $0.315           14
     Average shares: *
     Basic                               2,960            2,980            0
     Diluted                             3,005            3,031           (1)
 
     Balance Sheet Data
     at March 31
     Total assets                     $357,002         $298,152           20
     Interest-earning assets           334,137          281,986           18
     Loans                             256,850          220,713           16
     Allowance for loan losses           3,516            2,924           20
     Nonperforming assets                  803              556           44
     Deposits                          294,796          243,741           21
     Interest-bearing
      liabilities                      284,170          228,200           25
     Shareholders' equity               29,866           25,684           16
     Allowance for possible
      loan losses to total loans         1.37%            1.32%            3
     Loan to deposit ratio              87.13%           90.55%           (4)
     Equity to assets                    8.37%            8.61%           (3)
     Tier 1 capital to risk-
      weighted assets                    11.18%           11.75%          (5)
     Book value per share *             $10.10            $8.62           17
     Outstanding shares *                2,958            2,981           (1)
 
     * - a ten percent stock dividend was declared on April 16, 2001
     to shareholders of record April 27 and distributable on May 11,
     2001.  All shares and per share amounts have been restated.
 
 
 
     The Savannah Bancorp, Inc. and Subsidiaries
     Consolidated Balance Sheets
     March 31, 2001 and 2000
                                                         (Unaudited)
     (Amounts in thousands, except share data)
                                                           March 31,
                                                    2001               2000
     Assets
     Cash and due from banks                       $12,836            $11,798
     Interest-bearing deposits                       6,541                  0
     Federal funds sold                              9,279              1,109
     Investment securities,
      available-for-sale                            66,877             58,739
     Loans                                         256,850            220,713
     Less allowance for loan losses                 (3,516)            (2,924)
            Net loans                              253,334            217,789
     Premises and equipment, net                     4,498              4,723
     Other assets                                    3,637              3,994
            Total assets                          $357,002           $298,152
 
 
     Liabilities
     Deposits:
        Noninterest-bearing demand                 $40,061            $42,400
        Interest-bearing demand                     47,867             42,227
        Savings                                     12,253             13,311
        Money market accounts                       35,403             38,694
        Time, $100,000 and over                     65,517             41,597
        Other time deposits                         93,695             65,512
            Total deposits                         294,796            243,741
     Other short-term borrowings                     8,433              8,652
     Federal Home Loan Bank advances                21,002             18,207
     Other liabilities                               2,905              1,868
            Total liabilities                      327,136            272,468
     Shareholders' Equity
      Common stock, par value $1 per
       share: authorized 20,000,000
       shares; issued 2,719,614                      2,720              2,720
      Preferred stock, par value $1:
       authorized 10,000,000 shares                    ---                ---
     Capital surplus                                12,822             13,038
     Retained earnings                              14,153             11,356
     Treasury stock, at cost, 30,607 and
      9,400 shares in 2001 and 2001                   (594)              (316)
     Net unrealized gains (losses) on
      available-for-sale securities                    765             (1,114)
            Total shareholders' equity              29,866             25,684
            Total liabilities and
               shareholders' equity               $357,002           $298,152
 
 
 
      The Savannah Bancorp, Inc. and Subsidiaries
      Consolidated Statements of Income
      First Quarter, 2001 and 2000
                                                 (Unaudited)
      (thousands, except per share data)
 
                                         For the Quarter Ended      Percent
                                               March 31,            Increase
                                          2001            2000     (Decrease)
 
     Interest income                    $7,059           $5,804           22
     Interest expense                    3,575            2,556           40
     Net interest income                 3,484            3,248            7
     Provision for loan losses             150              150            0
     Net interest income after
      provision for loan losses          3,334            3,098            8
     Other income
     Trust fees                             65               65            0
     Service charges on deposit
      accounts                             338              290           17
     Mortgage origination fees             168               86           95
     Other income                          112              104            8
          Total other operating income     683              545           25
     Gains on sales of assets                0                0
          Total other income               683              545           25
     Other expense
     Salaries and employee benefits      1,364            1,258            8
     Occupancy expense                     169              165            2
     Equipment expense                     140              154           (9)
     Other operating expenses              723              673            7
          Total other expense            2,396            2,250            6
     Income before provision for
      income taxes                       1,621            1,393           16
     Provision for income taxes            540              438           23
     Net Income                         $1,081           $  955           13
 
     Net Income Per Share:
      Basic                             $0.365           $0.320           14
      Diluted                           $0.360           $0.315           14
 
 
 SOURCE  The Savannah Bancorp