Select Bancorp Reports First Quarter 2015 Earnings
DUNN, N.C., May 5, 2015 /PRNewswire/ -- Select Bancorp, Inc. (the "Company"NASDAQ: SLCT), the holding company for Select Bank & Trust, today reported net income of $1.7 million for the quarter ended March 31, 2015, and basic and diluted earnings per share of $0.15, compared to net income of $272,000 and basic and diluted earnings per share of $0.04 for the first quarter of 2014. The momentum of the economies of scale seen from the third quarter 2014 merger with legacy Select is a primary factor in the notable changes seen from the first quarter of 2014 to the quarter ended March 31, 2015. The merger impacts the first quarter of 2014 to first quarter of 2015 comparisons, including merger related expenses incurred in the first quarter of 2014.
Total assets, deposits, and total loans for the Company as of March 31, 2015, were $748.4 million, $600.5 million, and $558.9 million, respectively, compared to total assets of $520.3 million, total deposits of $441.3 million, and total loans of $345.8 million as of the same date in 2014.
Asset quality remains solid. Non-performing loans increased to $13.5 million at March 31, 2015 from $11.9 million at December 31, 2014. Non-performing loans equaled 2.41% of loans at March 31, 2015, increasing from 2.15% of loans at December 31, 2014. Other real estate and repossessed assets equaled $1.6 million at December 31, 2014 and reduced to $1.2 million at March 31, 2015. For the quarter, net loan charge-offs were $55,000 or 0.04% of average loans, compared to a recovery of $139,000 or -0.10% of average loans in the fourth quarter of 2014. At March 31, 2015, the allowance for loan losses was $6.9 million, or 1.24% of total loans, up from $6.8 million or 1.24% of total loans at December 31, 2014.
Commenting on first quarter results, President and CEO William L. Hedgepeth II said, "We continue to be very pleased with the effects of our July 25, 2014 merger with legacy Select Bank. Our performance results to-date for 2015 have met our projections. We look forward to implementing our enhanced strategic plan in the upcoming quarters of 2015 and intend to utilize the combined resources of the merged institutions to further expand in the markets we serve. This is an exciting time for not only Select, but for all of our shareholders, customers and communities, as a larger, stronger community bank."
Mr. Hedgepeth added, "In addition to operating in markets with healthy economies, as part of our strategic planning process and growth philosophy, we make an effort to seek out prime locations and identify and hire outstanding bankers and lenders. They are experienced in each market they serve, and astute and highly skilled business people, whose client base has proven to be exceptionally loyal. I have said many times - we will compete on interest rates on loans, but we will not sacrifice credit quality; and our asset quality numbers support this strategy."
"As we move into the second half of the year, we plan to consolidate our Burlington and Gibsonville financial centers to better serve both communities and an additional emphasis will be placed on our financial center in Raleigh that opened during 2013. Select's strategy continues to focus both on profit growth and franchise growth, as we continue to expand, while maintaining exceptional asset quality."
Select Bank has branch offices in these North Carolina communities: Dunn, Burlington, Clinton, Elizabeth City, Fayetteville, Gibsonville, Goldsboro, Greenville, Lillington, Lumberton, Raleigh and Washington.
The information as of and for the quarter ended March 31, 2015, as presented is unaudited. This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of our goals and expectations with respect to earnings, earnings per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "projects," "outlook" or similar expressions. The actual results might differ materially from those projected in the forward-looking statements for various reasons, including, but not limited to, our ability to manage growth, substantial changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market. Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements is contained in the Company's SEC filings, including its periodic reports under the Securities Exchange Act of 1934, as amended, copies of which are available upon request from the Company.
SOURCE Select Bancorp, Inc.
Share this article