The Southern Banc Company, Inc. Announces Third Quarter Earnings
GADSDEN, Ala., May 06, 2020 (GLOBE NEWSWIRE) — The Southern Banc Company, Inc. (OTCBB: SRNN), the holding company for The Southern Bank Company announced net income of approximately $73,000, or $0.10 per basic and diluted share, for the quarter ended March 31, 2020, as compared to net income of approximately $110,000, or $0.14 per basic and diluted share, for the quarter ended March 31, 2019. For the nine-month period ended March 31, 2020 the Company recorded net income of approximately $274,000, as compared to net income of approximately $370,000 for the nine-month period ended March 31, 2019.
Gates Little, President and Chief Executive Officer of the Company stated that the Company’s net interest margins decreased approximately $44,000 or (3.9%) during the quarter as compared to the same period in 2019. The decrease in the net interest margin before provision for loan losses for the quarter was primarily attributable to an increase in total interest expense of approximately $48,000, offset by an increase in total interest income of approximately $4,000. For the three months ended March 31, 2020 the Company recorded no provision for loan and lease losses as compared to a provision of approximately $8,000 for the same period in 2019. Net interest income after provision for loan and lease losses decreased approximately $37,000, or (3.3%) for the quarter ended March 31, 2020, as compared to the same quarter in 2019. For the quarter ended March 31, 2020, total non-interest income increased approximately $29,000, or 82.1% while total non-interest expense increased approximately $41,000, or 4.0% as compared to the same three-month period in 2019. The increase in non-interest income was primarily attributable to an increase in miscellaneous income of approximately $18,000 and an increase in customer service fees of approximately $10,000. The increase in non-interest expense was primarily attributable to an increase in data processing expenses of approximately $61,000, offset in part by decreases in professional service expenses of approximately $12,000 and salaries and employee benefits of approximately $6,000.For the nine-months ended March 31, 2020, net interest income decreased approximately $114,000 or (3.3%). Provision for loan and lease losses increased approximately $37,000 or 464% during the nine-month period as compared to the same period in 2019. Net interest income after provision for loan and lease losses decreased approximately $151,000 or (4.3%) for the nine-months ended March 31, 2020, as compared to the same period in 2019. For the nine-months ended March 31, 2020, total non-interest income increased approximately $54,000 or 47.5% while total non-interest expense increased approximately $26,000 or 0.9% as compared to the same period in 2019. The increase in non-interest income was primarily attributable to an increase in miscellaneous income of approximately $33,000 and an increase in customer service fees of approximately $20,000. The increase in non-interest expense was primarily attributable to increases in data processing expenses of approximately $76,000, occupancy expenses of approximately $10,000, offset in part by a decrease in other professional service expenses of approximately $49,000. The Company’s total assets at March 31, 2020 were approximately $98.4 million, as compared to $97.7 million at June 30, 2019. Total stockholders’ equity was approximately $12.3 million at March 31, 2020 or 12.5% of total assets as compared to approximately $11.8 million at June 30, 2019 or approximately 12.0% of total assets.The Bank has four full-service banking offices located in Gadsden, Albertville, Guntersville, and Centre, AL, and one loan production office in Birmingham, AL. The stock of The Southern Banc Company, Inc. is listed on the OTC Bulletin Board under the symbol “SRNN”.Certain statements in this release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which statements can generally be identified by the use of forward-looking terminology, such as “may,” “will,” “expect,” “estimate,” “anticipate,” “believe,” “target,” “plan,” “project,” “continue,” or the negatives thereof, or other variations thereon or similar terminology, and are made on the basis of management’s plans and current analyses of the Company, its business and the industry as a whole. These forward-looking statements are subject to risks and uncertainties, including, but not limited to, economic conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes. The above factors, in some cases, have affected, and in the future could affect the Company’s financial performance and could cause actual results to differ materially from those expressed or implied in such forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.(Selected financial data attached)
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollar Amounts in Thousands)
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Dollar Amounts in Thousands, except per share data)
Gates Little
(256) 543-3860
Gates Little, President and Chief Executive Officer of the Company stated that the Company’s net interest margins decreased approximately $44,000 or (3.9%) during the quarter as compared to the same period in 2019. The decrease in the net interest margin before provision for loan losses for the quarter was primarily attributable to an increase in total interest expense of approximately $48,000, offset by an increase in total interest income of approximately $4,000. For the three months ended March 31, 2020 the Company recorded no provision for loan and lease losses as compared to a provision of approximately $8,000 for the same period in 2019. Net interest income after provision for loan and lease losses decreased approximately $37,000, or (3.3%) for the quarter ended March 31, 2020, as compared to the same quarter in 2019. For the quarter ended March 31, 2020, total non-interest income increased approximately $29,000, or 82.1% while total non-interest expense increased approximately $41,000, or 4.0% as compared to the same three-month period in 2019. The increase in non-interest income was primarily attributable to an increase in miscellaneous income of approximately $18,000 and an increase in customer service fees of approximately $10,000. The increase in non-interest expense was primarily attributable to an increase in data processing expenses of approximately $61,000, offset in part by decreases in professional service expenses of approximately $12,000 and salaries and employee benefits of approximately $6,000.For the nine-months ended March 31, 2020, net interest income decreased approximately $114,000 or (3.3%). Provision for loan and lease losses increased approximately $37,000 or 464% during the nine-month period as compared to the same period in 2019. Net interest income after provision for loan and lease losses decreased approximately $151,000 or (4.3%) for the nine-months ended March 31, 2020, as compared to the same period in 2019. For the nine-months ended March 31, 2020, total non-interest income increased approximately $54,000 or 47.5% while total non-interest expense increased approximately $26,000 or 0.9% as compared to the same period in 2019. The increase in non-interest income was primarily attributable to an increase in miscellaneous income of approximately $33,000 and an increase in customer service fees of approximately $20,000. The increase in non-interest expense was primarily attributable to increases in data processing expenses of approximately $76,000, occupancy expenses of approximately $10,000, offset in part by a decrease in other professional service expenses of approximately $49,000. The Company’s total assets at March 31, 2020 were approximately $98.4 million, as compared to $97.7 million at June 30, 2019. Total stockholders’ equity was approximately $12.3 million at March 31, 2020 or 12.5% of total assets as compared to approximately $11.8 million at June 30, 2019 or approximately 12.0% of total assets.The Bank has four full-service banking offices located in Gadsden, Albertville, Guntersville, and Centre, AL, and one loan production office in Birmingham, AL. The stock of The Southern Banc Company, Inc. is listed on the OTC Bulletin Board under the symbol “SRNN”.Certain statements in this release contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which statements can generally be identified by the use of forward-looking terminology, such as “may,” “will,” “expect,” “estimate,” “anticipate,” “believe,” “target,” “plan,” “project,” “continue,” or the negatives thereof, or other variations thereon or similar terminology, and are made on the basis of management’s plans and current analyses of the Company, its business and the industry as a whole. These forward-looking statements are subject to risks and uncertainties, including, but not limited to, economic conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes. The above factors, in some cases, have affected, and in the future could affect the Company’s financial performance and could cause actual results to differ materially from those expressed or implied in such forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.(Selected financial data attached)
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Dollar Amounts in Thousands)
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Dollar Amounts in Thousands, except per share data)
Gates Little
(256) 543-3860
