Attached files
| file | filename |
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| 8-K - FORM 8-K - Georgia-Carolina Bancshares, Inc | gecr20140429_8k.htm |
Exhibit 99.1
GEORGIA-CAROLINA BANCSHARES REPORTS FIRST QUARTER
EARNINGS AND QUARTERLY DIVIDEND
April 30, 2014
Augusta, Georgia
Georgia-Carolina Bancshares, Inc. (GECR.OTCQB), parent company of First Bank of Georgia, today reported 2014 first quarter net income of $852,000 ($0.24 per diluted common share), compared to $2,307,000 ($0.65 per diluted common share) for the three months ended March 31, 2013. Book value totaled $16.54 per common share at March 31, 2014.
Remer Y. Brinson III, President and CEO of the Company, stated “We are pleased to report first quarter earnings of $852,000, although this is well below our first quarter of 2013, where net income was increased by an $806,000 benefit on an insurance policy, as well as higher mortgage loan volume and related gain on loans held for sale. We’ve seen an increase in loan demand which has resulted in a quarterly increase of 4.6% in loans, excluding loans held for sale. We have also experienced a 5.0% increase in net interest income when comparing the first quarter of 2014 to the first quarter of last year.”
Brinson continued, “We have continued to see soft demand in mortgage originations for the third consecutive quarter. Originations for the first quarter of 2014 are down approximately 40% from the first quarter of 2013, which is consistent with national mortgage originations.”
“Asset quality continues to improve and is approaching pre-recession levels,” Brinson related. “Non-performing assets are now only 1.15% of total assets and we continue to operate in a net recovery position related to our allowance for loans losses.”
Georgia-Carolina Bancshares’ Board of Directors also declared a quarterly cash dividend of $0.045 per share of common stock payable on May 20, 2014, to shareholders of record as of May 13, 2014.
Georgia-Carolina Bancshares’ common stock is quoted on the OTC Marketplace (OTCQB) under the symbol “GECR”. First Bank of Georgia conducts banking operations through seven offices in Richmond County (Augusta), Columbia County (Evans and Martinez), and McDuffie County (Thomson), Georgia and operates mortgage origination offices in Augusta and Savannah, Georgia.
This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which can generally be identified by the use of forward-looking terminology such as “believes,” “expects,” “may,” “will,” “should,” “anticipates,” “plans” or similar expressions to identify forward-looking statements, 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 and market conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes, and other risks and uncertainties described in the Company’s periodic filings with the Securities and Exchange Commission.
Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. Therefore, we can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by the Company or any person that the future events, plans, or expectations contemplated by the Company will be achieved. The Company undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
GEORGIA-CAROLINA BANCSHARES, INC.
Consolidated Balance Sheets
(dollars in thousands, except share and per share data)
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March 31, |
December 31, |
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2014 |
2013 |
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(Unaudited) |
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ASSETS | ||||||||
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Cash and due from banks |
$ | 16,228 | $ | 16,828 | ||||
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Securities available-for-sale |
156,788 | 158,439 | ||||||
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Loans |
287,138 | 274,747 | ||||||
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Allowance for loan losses |
(5,332 | ) | (5,357 | ) | ||||
| Loans, net | 281,806 | 269,390 | ||||||
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Loans held for sale at fair value |
29,395 | 31,298 | ||||||
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Bank-owned life insurance |
14,963 | 14,834 | ||||||
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Bank premises and equipment, net |
9,441 | 9,512 | ||||||
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Accrued interest receivable |
1,907 | 1,854 | ||||||
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Other real estate owned, net |
4,701 | 4,897 | ||||||
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Federal Home Loan Bank stock |
1,140 | 1,606 | ||||||
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Other assets |
6,714 | 7,840 | ||||||
| Total assets | $ | 523,083 | $ | 516,498 | ||||
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LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
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Deposits |
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| Non-interest bearing | $ | 80,048 | $ | 76,747 | ||||
| Interest-bearing: | ||||||||
| NOW accounts | 62,640 | 59,661 | ||||||
| Money market accounts | 77,180 | 74,056 | ||||||
| Savings | 56,866 | 56,757 | ||||||
| Time deposits less than $100,000 | 53,434 | 54,859 | ||||||
| Time deposits $100,000 or greater | 72,604 | 72,637 | ||||||
| Brokered and wholesale deposits | 24,381 | 24,988 | ||||||
| Total deposits | 427,153 | 419,705 | ||||||
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Short-term debt |
15,000 | 22,200 | ||||||
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Repurchase agreements |
13,481 | 12,111 | ||||||
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Other liabilities |
7,975 | 5,593 | ||||||
| Total liabilities | 463,609 | 459,609 | ||||||
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Shareholders' equity |
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| Preferred stock, par value $.001; 1,000,000 shares authorized; none issued | - | - | ||||||
| Common stock, par value $.001; 9,000,000 shares authorized; 3,594,973 and 3,572,204 shares issued and outstanding | 4 | 4 | ||||||
| Additional paid-in-capital | 16,364 | 16,192 | ||||||
| Retained earnings | 45,449 | 44,758 | ||||||
| Accumulated other comprehensive income/(loss) | (2,343 | ) | (4,065 | ) | ||||
| Total shareholders' equity | 59,474 | 56,889 | ||||||
| Total liabilities and shareholders' equity | $ | 523,083 | $ | 516,498 | ||||
GEORGIA-CAROLINA BANCSHARES, INC.
Consolidated Statements of Income
(dollars in thousands, except per share amounts)
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Three Months Ended |
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March 31, |
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2014 |
2013 |
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| Interest income | ||||||||
| Interest and fees on loans | $ | 3,820 | $ | 3,884 | ||||
| Interest on taxable securities | 635 | 514 | ||||||
| Interest on nontaxable securities | 151 | 116 | ||||||
| Other interest income | 4 | 6 | ||||||
| Total interest income | 4,610 | 4,520 | ||||||
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Interest expense |
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| Interest on NOW, money market, and savings deposits | 126 | 147 | ||||||
| Interest on time deposits less than $100,000 | 111 | 134 | ||||||
| Interest on time deposits $100,000 or greater | 148 | 170 | ||||||
| Interest on brokered and wholesale deposits | 59 | 112 | ||||||
| Interest on funds purchased and other borrowings | 17 | 6 | ||||||
| Total interest expense | 461 | 569 | ||||||
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Net interest income |
4,149 | 3,951 | ||||||
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Provision for loan losses |
(222 | ) | (602 | ) | ||||
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Net interest income after provision for loan losses |
4,371 | 4,553 | ||||||
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Non-interest income |
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| Service charges on deposits | 343 | 370 | ||||||
| Mortgage banking activities | 1,425 | 2,004 | ||||||
| Net gains on sales of other real estate | 82 | 145 | ||||||
| Net gains on securities available for sale | 16 | 13 | ||||||
| Other | 402 | 1,257 | ||||||
| Total non-interest income | 2,268 | 3,789 | ||||||
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Non-interest expense |
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| Salaries and employee benefits | 3,327 | 3,074 | ||||||
| Occupancy expenses | 381 | 368 | ||||||
| Other real estate owned expenses | 169 | 159 | ||||||
| Other | 1,617 | 1,612 | ||||||
| Total non-interest expense | 5,494 | 5,213 | ||||||
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Income before income taxes |
1,145 | 3,129 | ||||||
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Income tax expense |
293 | 822 | ||||||
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Net income |
$ | 852 | $ | 2,307 | ||||
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Earnings per common share |
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| Basic | $ | 0.24 | $ | 0.65 | ||||
| Diluted | $ | 0.24 | $ | 0.65 | ||||
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Dividends per common share |
$ | 0.045 | $ | 0.040 | ||||