May 01, 2015 - State Bank Corp.
State Bank Corp. Earns $681,000, or $0.12 per Diluted Share, in First Quarter 2015; Highlighted by Strong Loan and Core Deposit Growth
LAKE HAVASU CITY, Ariz., April 30, 2015 – State Bank Corp. (OTCQB:SBAZ)(“Company”), the holding company for Mohave State Bank (“Bank”), today announced net income increased 44.9% to $681,000, or $0.12 per diluted share, for the first quarter ended March 31, 2015, as compared to net income of $470,000, or $0.08 per diluted share, for the first quarter of 2014.
“2015 is starting off ahead of our expectations,” commented Brian M. Riley, President & CEO. “Our financial results for the quarter show strong profitability, improving asset quality trends and year-over-year loan and deposit growth. By focusing on our customers’ needs and delivering the banking services that make them more productive, we look to sustain our loan and deposit growth momentum into the year.”
First Quarter 2015 Highlights:
- First quarter net income increased 44.9% to $681,000, or $0.12 per diluted share, compared to $470,000, or $0.08 per diluted share, in the first quarter a year ago.
- Pre-tax income increased 120.0% to $1.03 million in the first quarter, compared to $470,000 in the first quarter 2014.
- The net interest margin remained healthy at 4.09%.
- The Bank reported $654,000 in gains from the sale of SBA and mortgage loans in the first quarter, up from $168,000 in the first quarter of 2014.
- Loans held for investment increased 2.8% to $214.9 million during the first quarter compared to three months earlier.
- OREO decreased to $7.5 million at March 31, 2015 on the sale of two properties.
- Tangible book value increased 18.0% to $6.04 per share compared from $5.12 per share a year earlier.
- Declared an annual cash dividend of $0.07 per share, which represents a dividend yield of 1.40% based on the recent stock price.
The Company’s net interest margin continued to remain strong at 4.09% in the first quarter 2015 as the average cost of funds declined modestly and the earning asset mix improved.The Company provided $110,000 to its loss reserves in the first quarter against net credit losses of $30,000. The allowance for loan losses totaled $3.0 million at March 31, 2015, or 1.41% of loans held for investment. “We continue to carefully monitor our level of loss reserves and proactively make additions as necessary to protect against an uncertain economic environment,” noted Riley.