KS Bancorp, Inc. (KSBI) Announces Third Quarter 2019 Financial Results and Cash Dividend
SMITHFIELD, N.C., Oct. 25, 2019 (GLOBE NEWSWIRE) — KS Bancorp, Inc. (the “Company”) (OTCBB: KSBI), parent company of KS Bank, Inc. (the “Bank”), announced unaudited results for the third quarter of 2019.
Net income for the three months ended September 30, 2019 was $976,000, or $0.88 per diluted share compared to net income of $985,000, or $0.89 per diluted share for the three months ended September 30, 2018. For the nine months ended September 30, 2019, the Company reported net income of $2.7 million, or $2.44 per diluted share compared to $2.6 million, or $2.18 per diluted share for the nine months ended September 30, 2018.Net interest income for the three months ended September 30, 2019, was $3.3 million as compared to $3.2 million for the comparable period in 2018. Noninterest income for the three months ended September 30, 2019 was $810,000, compared to $865,000 for the comparable period ended September 30, 2018. Noninterest expense was $2.9 million for the three months ended September 30, 2019 as compared $2.8 million in the comparable period in 2019.For the nine months ended September 30, 2019, net interest income was $9.6 million, compared to $9.4 million for the nine months ended September 30, 2018. Noninterest income remained constant at $2.4 million for the nine months ended September 30, 2019 and September 30, 2018. Noninterest expense remained constant at $8.5 million for the nine months ended September 30, 2019 and September 30, 2018.The Company’s unaudited consolidated total assets increased $4.0 million, to $404.2 million at September 30, 2019, compared to $400.2 million at December 31, 2018. Net loan balances increased by $2.7 million, to $298.3 million at September 30, 2019 compared to $295.6 million at December 31, 2018. The Company’s investment securities totaled $65.3 million at September 30, 2019, compared to $66.0 million at December 31, 2018. Total deposits decreased $2.7 million to $327.7 million at September 30, 2019, compared to $330.4 million at December 31, 2018. Total stockholders’ equity increased from $22.1 million at December 31, 2018 to $26.0 million at September 30, 2019, a 17.44% increase.
Nonperforming assets consisted of $1.2 million nonaccrual loans at September 30, 2019, representing less than 0.50% of the Company’s total assets. The Company had $27,000 in foreclosed real estate owned at September 30, 2019. The allowance for loan losses at September 30, 2019 totaled $4.1 million, or 1.32% of loans. Commenting on the third quarter results, Harold Keen, President and CEO of the Company and the Bank stated, “The Company had another solid quarter. In a challenging interest rate environment the KS Bancorp/KS Bank team continues to build customer relationships that are appropriate both for today and the future.”In addition, the Company announced today that its Board of Directors has declared a quarterly dividend of $0.09 per share for stockholders of record as of November 4, 2019, with payment to be made on November 14, 2019. KS Bank continues to be well-capitalized according to regulatory standards with total risk-based capital of 14.24%, tier 1 risk- based capital of 12.99%, common equity tier 1 risk- based capital of 12.99%, and a tier 1 leverage ratio of 9.76% at September 30, 2019. The minimum levels to be considered well capitalized for each of these ratios are 10.0%, 8.0%, 6.5%, and 5.0%, respectively.KS Bancorp, Inc. is a Smithfield, North Carolina-based single bank holding company. KS Bank, Inc., a state-chartered savings bank, is KS Bancorp’s sole subsidiary. The Bank is a full service community bank serving the citizens of eastern North Carolina since 1924. The Bank offers a broad range of personal and business banking products and services, mortgage products and trust services. There are nine full service branches located in Kenly, Selma, Clayton, Garner, Goldsboro, Wilson, Wendell, Smithfield, and Four Oaks, North Carolina plus a mortgage servicing location in Greenville, NC. In addition, KS Trust Services has an office in Asheboro, NC and maintains a presence in Waynesville and Wilmington, NC. For more information, visit www.ksbankinc.com.This release contains certain forward-looking statements with respect to the financial condition, results of operations and business of the Company. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of management of the Company and on the information available to management at the time that these disclosures were prepared. These statements can be identified by the use of words like “expect,” “anticipate,” “estimate” and “believe,” variations of these words and other similar expressions. Readers should not place undue reliance on forward-looking statements as a number of important factors could cause actual results to differ materially from those in the forward-looking statements. The Company undertakes no obligation to update any forward-looking statements.
Harold T. Keen
President and Chief Executive Officer
(919) 938-3101Regina J Smith
Chief Financial Officer