PINE BLUFF, Ark., July 17, 2008 (PRIME NEWSWIRE) -- Simmons First National Corporation (Nasdaq:SFNC) today announced second quarter 2008 earnings of $6.0 million, or $0.42 diluted earnings per share, compared to $0.49 per share for the same period in 2007. "The decrease in earnings is primarily attributable to an increase in the provision for loan losses and a decrease in the premiums from the sale of student loans," according to J. Thomas May, Chairman and CEO. "The increase in provision for loan losses reflects our anticipated return to more historical levels, and a special provision related to our Northwest Arkansas region. Except for the special provision, second quarter earnings were very close to our expectations, and considering the challenges in the national economy and the banking industry, we are pleased with our earnings and asset quality."
For the six-month period ended June 30, 2008, net income was $14.8 million, or $1.05 diluted earnings per share, compared to $0.95 per share for the same period in 2007, an increase of $0.10, or 10.5%. During the first quarter of 2008 the Company recorded earnings of $0.18 per share for nonrecurring items related to Visa, Inc.'s IPO. Excluding these nonrecurring items, core earnings for the first six months of 2008 were $0.87 per share.
The Company's net interest income for the second quarter of 2008 increased 1.3% to $23.1 million compared to $22.8 million for 2007. Net interest margin decreased 29 basis points to 3.67% from the second quarter of 2007 and 13 basis points from the first quarter of 2008. "The decrease in margin was primarily the result of a significant repricing of earning assets due to declining interest rates during the first half of the year, and our concentrated effort to grow core deposits," commented May.
The Company's loan portfolio increased 4.8% to $1.91 billion at June 30, 2008. The growth was primarily attributable to increases in commercial loans and the credit card portfolio. More specifically, the credit card portfolio increased $21.8 million, or 15.5% compared to the prior year. "In the banking industry, there has been a lot of focus regarding the potential loss in loan portfolios with a high concentration of construction loans. Our construction loans as a percent of total loans outstanding was only 12.9% at June 30, favorable to the industry average," added May.
Non-performing assets as a percent of total assets was 0.61% as of June 30, 2008, up 10 basis points from March 31, 2008. Non-performing loans as a percent of total loans was 0.76%, an increase of 16 basis points over the same period. The Company's ratio of loans past due 30 days or more (excluding non-accrual loans) to total loans was 0.48% as of June 30, 2008, down 59 basis points from the previous quarter.
The allowance for loan losses was $25.8 million at June 30, 2008, or 1.35% of total loans and 178% of non-performing loans. The Company's annualized net charge-off ratio for the second quarter of 2008 was 0.40% compared to 0.30% for the first quarter. Excluding credit cards, the annualized net charge-off ratio for the second quarter was 0.27% compared to 0.19% for the first quarter. Annualized net credit card charge-offs for the second quarter were 1.83%, an increase of 36 basis points from the previous quarter, but still more than 350 basis points below the most recently published credit card charge-off industry average.
Total deposits were $2.4 billion at June 30, 2008, an increase of $183 million, or 8.4% from the same period in 2007. "At the beginning of 2008, we implemented strategic initiatives to reduce our dependency on time deposits. As a result, time deposits decreased $107 million on a quarter over quarter basis, while our core deposits increased $290 million. Needless to say, we were very pleased with our core deposit growth," said May.
Total assets for the Company were $2.9 billion at June 30, 2008. Stockholders' equity increased 5.6% to $278 million at June 30, 2008 compared to $263 million at June 30, 2007. At June 30, 2008, book value per share was $19.94 and tangible book value per share was $15.38.
Simmons First National Corporation is an Arkansas based financial holding company with eight community banks in Pine Bluff, Lake Village, Jonesboro, Rogers, Searcy, Russellville, El Dorado and Hot Springs, Arkansas. The Company's eight banks conduct financial operations from 89 offices, of which 85 are financial centers, in 48 communities.
The Simmons First National Corporation logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=4819
CONFERENCE CALL
Management will conduct a conference call to review this information beginning at 3:00 p.m. Central Time on Thursday, July 17, 2008. Interested persons can listen to this call by dialing 1-800-854-4175 (United States and Canada only) and asking for the Simmons First National Corporation conference call. A replay of the call will be available through 5:00 p.m. Central Time on July 24, 2008 by dialing 1-800-642-1687. The passcode for the replay is 53533263. In addition, the call will be available live or in recorded version on the Company's website at www.simmonsfirst.com.
GENERAL
Statements in this press release that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements of this type speak only as of the date of this news release. By nature, forward-looking statements involve inherent risk and uncertainties. Various factors, including, but not limited to, economic conditions, credit quality, interest rates, loan demand and changes in the assumptions used in making the forward-looking statements, could cause actual results to differ materially from those contemplated by the forward-looking statements. Additional information on factors that might affect Simmons First National Corporation's financial results is included in its Form 10-K filing with the Securities and Exchange Commission.
Simmons First National Corporation SFNC
Consolidated End of Period Balance Sheets
For the
Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
(in thousands) ---------- ---------- ---------- ---------- ----------
ASSETS
Cash and
non-interest
bearing
balances due
from banks $ 79,569 $ 86,891 $ 82,630 $ 85,370 $ 71,915
Interest
bearing
balances due
from banks 76,253 107,332 21,140 6,557 45,084
Federal funds
sold 44,430 53,775 6,460 25,655 2,600
---------- ---------- ---------- ---------- ----------
Cash and cash
equivalents 200,252 247,998 110,230 117,582 119,599
Investment
securities -
held-to-
maturity 186,400 182,194 190,284 180,206 178,841
Investment
securities -
available-
for-sale 439,625 389,214 340,646 349,282 346,740
Mortgage loans
held for sale 11,581 7,735 11,097 8,244 9,928
Assets held in
trading
accounts 1,004 5,806 5,658 5,482 4,496
Loans 1,908,328 1,842,138 1,850,454 1,875,235 1,821,430
Allowance for
loan losses (25,752) (25,392) (25,303) (25,107) (25,197)
---------- ---------- ---------- ---------- ----------
Net loans 1,882,576 1,816,746 1,825,151 1,850,128 1,796,233
Premises and
equipment 78,299 77,281 75,473 73,088 70,873
Foreclosed
assets held
for sale, net 3,440 3,556 2,629 1,629 1,484
Interest
receivable 20,863 19,696 21,345 25,699 21,868
Bank owned
life insurance 38,851 38,400 38,039 37,632 36,881
Goodwill 60,605 60,605 60,605 60,605 60,605
Core deposit
premiums 2,978 3,180 3,382 3,583 3,786
Other assets 8,968 9,347 7,908 8,527 9,084
---------- ---------- ---------- ----------- ----------
TOTAL ASSETS $2,935,442 $2,861,758 $2,692,447 $2,721,687 $2,660,418
========== ========== ========== ========== ==========
LIABILITIES
Non-interest
bearing
transaction
accounts $ 335,310 $ 327,627 $ 310,181 $ 319,792 $ 308,047
Interest
bearing
transaction
accounts and
savings
deposits 1,025,908 901,852 761,233 730,533 763,017
Time deposits
less than
$100,000 577,435 618,173 659,181 680,288 686,456
Time deposits
greater than
$100,000 424,330 449,199 452,262 442,706 422,580
---------- ---------- ---------- ---------- ----------
Total
deposits 2,362,983 2,296,851 2,182,857 2,173,319 2,180,100
---------- ---------- ---------- ---------- ----------
Federal funds
purchased and
securities
sold under
agreements to
repurchase 115,554 113,891 128,806 106,984 97,947
Short-term debt 4,549 590 1,777 67,595 11,072
Long-term debt
- parent
company -- -- -- -- 2,000
Long-term
FHLB debt -
affiliate
banks 119,973 108,809 51,355 48,725 49,669
Subordinated
debt issued
to capital
trusts 30,930 30,930 30,930 30,930 30,930
Accrued
interest and
other
liabilities 23,302 29,898 24,316 26,533 25,395
---------- ---------- ---------- ---------- ----------
TOTAL
LIABILITIES 2,657,291 2,580,969 2,420,041 2,454,086 2,397,113
---------- ---------- ---------- ---------- ----------
STOCKHOLDERS'
EQUITY
Capital stock 139 139 139 139 141
Surplus 40,674 40,655 41,019 41,470 44,773
Undivided
profits 237,859 234,515 229,520 225,972 220,981
Accumulated
other
comprehensive
income (loss)
Unrealized
appreciation
(depreciation)
on AFS
securities (521) 5,480 1,728 20 (2,590)
---------- ---------- ---------- ---------- ----------
TOTAL
STOCKHOLDERS'
EQUITY 278,151 280,789 272,406 267,601 263,305
---------- ---------- ---------- ---------- ----------
TOTAL
LIABILITIES
AND
STOCKHOLDERS'
EQUITY $2,935,442 $2,861,758 $2,692,447 $2,721,687 $2,660,418
========== ========== ========== ========== ==========
Simmons First National Corporation SFNC
Consolidated Average Quarter-to-Date Balance Sheets
For the
Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
---------- ---------- ---------- ---------- ----------
(in thousands)
ASSETS
Cash and
non-interest
bearing
balances due
from banks $ 69,197 $ 70,105 $ 75,416 $ 72,325 $ 72,066
Interest
bearing
balances due
from banks 85,578 56,384 21,855 9,382 22,636
Federal funds
sold 55,543 35,460 9,464 21,083 25,263
---------- ---------- ---------- ---------- ----------
Cash and cash
equivalents 210,318 161,949 106,735 102,790 119,965
Investment
securities -
held-to-
maturity 184,603 184,062 180,631 179,616 180,486
Investment
securities -
available-for-
sale 431,869 382,939 338,276 348,085 350,567
Mortgage loans
held for sale 8,740 7,474 7,535 8,747 9,241
Assets held in
trading
accounts 5,747 5,731 5,588 4,930 4,567
Loans 1,869,369 1,841,762 1,856,973 1,849,091 1,802,917
Allowance for
loan losses (25,426) (25,622) (25,540) (25,642) (25,791)
---------- ---------- ---------- ---------- ----------
Net loans 1,843,943 1,816,140 1,831,433 1,823,449 1,777,126
Premises and
equipment 78,170 76,528 74,569 71,943 69,967
Foreclosed
assets held
for sale, net 3,685 2,659 2,086 1,877 1,934
Interest
receivable 20,745 21,069 24,636 24,156 22,086
Bank owned
life insurance 38,600 38,213 37,820 37,315 36,691
Goodwill 60,605 60,605 60,605 60,605 60,605
Core deposit
premiums 3,095 3,299 3,498 3,702 3,907
Other assets 5,053 7,273 7,238 9,374 9,063
---------- ---------- ---------- ---------- ----------
TOTAL ASSETS $2,895,173 $2,767,941 $2,680,650 $2,676,589 $2,646,205
========== ========== ========== ========== ==========
LIABILITIES
Non-interest
bearing
transaction
accounts $ 318,978 $ 308,715 $ 306,939 $ 305,453 $ 309,753
Interest
bearing
transaction
accounts and
savings
deposits 972,687 803,439 748,670 724,782 739,972
Time deposits
less than
$100,000 598,264 647,150 668,458 686,750 688,493
Time deposits
greater than
$100,000 438,887 452,872 443,790 437,217 435,405
---------- ---------- ---------- ---------- ----------
Total
deposits 2,328,816 2,212,176 2,167,857 2,154,202 2,173,623
---------- ---------- ---------- ---------- ----------
Federal funds
purchased and
securities
sold under
agreements to
repurchase 110,646 126,459 121,792 113,060 99,808
Short-term debt 2,791 1,715 13,202 38,710 3,088
Long-term debt 147,948 123,221 81,146 80,123 82,177
Accrued
interest and
other
liabilities 21,935 26,484 24,211 23,943 22,465
---------- ---------- ---------- ---------- ----------
TOTAL
LIABILITIES 2,612,136 2,490,055 2,408,208 2,410,038 2,381,161
---------- ---------- ---------- ---------- ----------
TOTAL
STOCKHOLDERS'
EQUITY 283,037 277,886 272,442 266,551 265,044
---------- ---------- ---------- ---------- ----------
TOTAL
LIABILITIES
AND
STOCKHOLDERS'
EQUITY $2,895,173 $2,767,941 $2,680,650 $2,676,589 $2,646,205
========== ========== ========== ========== ==========
Simmons First National Corporation SFNC
Consolidated Statements of Income - Quarter-to-Date
For the Quarters
Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
-------- -------- -------- -------- --------
(in thousands, except
per share data)
INTEREST INCOME
Loans $ 31,159 $ 33,106 $ 35,955 $ 36,604 $ 35,051
Federal funds sold 285 256 116 302 331
Investment
securities 7,055 6,569 5,990 6,046 5,889
Mortgage loans held
for sale, net of
unrealized gains
(losses) 113 112 122 147 133
Assets held in
trading accounts 41 1 (23) 71 35
Interest bearing
balances due from
banks 487 388 223 131 297
-------- -------- -------- -------- --------
TOTAL INTEREST
INCOME 39,140 40,432 42,383 43,301 41,736
-------- -------- -------- -------- --------
INTEREST EXPENSE
Time deposits 10,006 11,922 12,918 13,307 13,144
Other deposits 3,899 3,266 3,257 3,328 3,324
Federal funds
purchased and
securities sold
under agreements to
repurchase 463 921 1,317 1,404 1,228
Short-term debt 19 20 167 519 49
Long-term debt 1,655 1,511 1,203 1,173 1,198
-------- -------- -------- -------- --------
TOTAL INTEREST
EXPENSE 16,042 17,640 18,862 19,731 18,943
-------- -------- -------- -------- --------
NET INTEREST INCOME 23,098 22,792 23,521 23,570 22,793
Provision for loan
losses 2,214 1,467 1,749 850 831
-------- -------- -------- -------- --------
NET INTEREST INCOME
AFTER PROVISION FOR
LOAN LOSSES 20,884 21,325 21,772 22,720 21,962
-------- -------- -------- -------- --------
NON-INTEREST INCOME
Trust income 1,450 1,648 1,580 1,528 1,474
Service charges on
deposit accounts 3,691 3,434 3,882 3,759 3,656
Other service
charges and fees 621 753 818 698 692
Income on sale of
mortgage loans,
net of commissions 760 721 644 715 727
Income on investment
banking, net of
commissions 199 449 230 90 153
Credit card fees 3,480 3,173 3,428 3,115 3,025
Premiums on sale of
student loans 507 624 299 419 741
Bank owned life
insurance income 425 361 403 367 359
Other income 587 3,829 557 682 510
-------- -------- -------- -------- --------
TOTAL NON-INTEREST
INCOME 11,720 14,992 11,841 11,373 11,337
-------- -------- -------- -------- --------
NON-INTEREST EXPENSE
Salaries and
employee benefits 14,433 14,208 13,458 13,778 13,903
Occupancy expense,
net 1,804 1,810 1,729 1,671 1,624
Furniture and
equipment expense 1,472 1,490 1,438 1,455 1,507
Other real estate
and foreclosure
expense 87 42 76 77 36
Deposit insurance 113 88 108 85 68
Other operating
expenses 6,300 5,492 7,941 6,157 5,873
-------- -------- -------- -------- --------
TOTAL NON-INTEREST
EXPENSE 24,209 23,130 24,750 23,223 23,011
-------- -------- -------- -------- --------
NET INCOME BEFORE
INCOME TAXES 8,395 13,187 8,863 10,870 10,288
Provision for income
taxes 2,401 4,371 2,671 3,370 3,257
-------- -------- -------- -------- --------
NET INCOME $ 5,994 $ 8,816 $ 6,192 $ 7,500 $ 7,031
======== ======== ======== ======== ========
BASIC EARNINGS PER
SHARE $ 0.43 $ 0.63 $ 0.45 $ 0.53 $ 0.50
======== ======== ======== ======== ========
DILUTED EARNINGS PER
SHARE $ 0.42 $ 0.63 $ 0.44 $ 0.53 $ 0.49
======== ======== ======== ======== ========
Simmons First National Corporation SFNC
Consolidated Statements of Income - Year-to-Date
For the Quarters
Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
-------- -------- -------- -------- --------
(in thousands, except
per share data)
INTEREST INCOME
Loans $ 64,264 $ 33,106 $141,706 $105,751 $ 69,147
Federal funds sold 540 256 1,418 1,303 1,001
Investment
securities 13,624 6,569 23,646 17,656 11,610
Mortgage loans held
for sale, net of
unrealized gains
(losses) 226 112 505 383 236
Assets held in
trading accounts 42 1 100 124 53
Interest bearing
balances due from
banks 875 388 1,161 938 807
-------- -------- -------- -------- --------
TOTAL INTEREST
INCOME 79,571 40,432 168,536 126,155 82,854
-------- -------- -------- -------- --------
INTEREST EXPENSE
Time deposits 21,929 11,922 52,385 39,467 26,161
Other deposits 7,163 3,266 13,089 9,832 6,503
Federal funds
purchased and
securities sold
under agreements to
repurchase 1,385 921 5,371 4,057 2,653
Short-term debt 38 20 804 637 118
Long-term debt 3,166 1,511 4,771 3,568 2,395
-------- -------- -------- -------- --------
TOTAL INTEREST
EXPENSE 33,681 17,640 76,420 57,561 37,830
-------- -------- -------- -------- --------
NET INTEREST INCOME 45,890 22,792 92,116 68,594 45,024
Provision for loan
losses 3,681 1,467 4,181 2,432 1,582
-------- -------- -------- -------- --------
NET INTEREST INCOME
AFTER PROVISION FOR
LOAN LOSSES 42,209 21,325 87,935 66,162 43,442
-------- -------- -------- -------- --------
NON-INTEREST INCOME
Trust income 3,098 1,648 6,218 4,639 3,111
Service charges on
deposit accounts 7,125 3,434 14,794 10,912 7,153
Other service
charges and fees 1,374 753 3,016 2,198 1,500
Income on sale of
mortgage loans, net
of commissions 1,482 721 2,766 2,121 1,407
Income on investment
banking, net of
commissions 648 449 623 393 303
Credit card fees 6,653 3,173 12,217 8,789 5,674
Premiums on sale of
student loans 1,132 624 2,341 2,042 1,623
Bank owned life
insurance income 787 361 1,493 1,090 723
Other income 4,413 3,829 2,535 1,980 1,298
-------- -------- -------- -------- --------
TOTAL NON-INTEREST
INCOME 26,712 14,992 46,003 34,164 22,792
-------- -------- -------- -------- --------
NON-INTEREST EXPENSE
Salaries and
employee benefits 28,641 14,208 54,865 41,406 27,628
Occupancy expense,
net 3,615 1,810 6,674 4,945 3,273
Furniture and
equipment expense 2,962 1,490 5,865 4,428 2,973
Other real estate
and foreclosure
expense 129 42 212 137 59
Deposit insurance 201 88 328 220 135
Other operating
expenses 11,791 5,492 26,253 18,312 12,158
-------- -------- -------- -------- --------
TOTAL NON-INTEREST
EXPENSE 47,339 23,130 94,197 69,448 46,226
-------- -------- -------- -------- --------
NET INCOME BEFORE
INCOME TAXES 21,582 13,187 39,741 30,878 20,008
Provision for income
taxes 6,772 4,371 12,381 9,710 6,340
-------- -------- -------- -------- --------
NET INCOME $ 14,810 $ 8,816 $ 27,360 $ 21,168 $ 13,668
======== ======== ======== ======== ========
BASIC EARNINGS PER
SHARE $ 1.06 $ 0.63 $ 1.95 $ 1.50 $ 0.97
======== ======== ======== ======== ========
DILUTED EARNINGS PER
SHARE $ 1.05 $ 0.63 $ 1.92 $ 1.48 $ 0.95
======== ======== ======== ======== ========
Simmons First National Corporation SFNC
Consolidated Risk-Based Capital
For the
Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
---------- ---------- ---------- ---------- ----------
(in thousands)
Tier 1 capital
--------------
Stockholders'
equity $ 278,151 $ 280,789 $ 272,406 $ 267,601 $ 263,305
Trust
preferred
securities,
net allowable 30,000 30,000 30,000 30,000 30,000
Disallowed
intangible
assets, net
of def. tax (63,330) (63,536) (63,706) (63,924) (64,144)
Unrealized
loss (gain)
on AFS
securities 521 (5,480) (1,728) (20) 2,590
---------- ---------- ---------- ---------- ----------
Total Tier 1
capital 245,342 241,773 236,972 233,657 231,751
---------- ---------- ---------- ---------- ----------
Tier 2 capital
--------------
Qualifying
unrealized
gain on AFS
securities 19 17 52 158 187
Qualifying
allowance for
loan losses 25,136 24,405 23,866 24,188 23,565
---------- ---------- ---------- ---------- ----------
Total Tier 2
capital 25,155 24,422 23,918 24,346 23,752
---------- ---------- ---------- ---------- ----------
Total
risk-based
capital $ 270,497 $ 266,195 $ 260,890 $ 258,003 $ 255,503
========== ========== ========== ========== ==========
Risk weighted
assets $2,008,764 $1,949,862 $1,906,321 $1,932,608 $1,882,040
========== ========== ========== ========== ==========
Adjusted
average
assets for
leverage
ratio $2,826,216 $2,698,488 $2,615,915 $2,615,527 $2,584,670
========== ========== ========== ========== ==========
Ratios at end
of quarter
-------------
Equity to
assets 9.48% 9.81% 10.12% 9.83% 9.90%
Tangible
equity to
tangible
assets 7.47% 7.76% 7.93% 7.65% 7.66%
Leverage ratio 8.68% 8.96% 9.06% 8.93% 8.97%
Tier 1 capital 12.21% 12.40% 12.43% 12.09% 12.31%
Total
risk-based
capital 13.47% 13.65% 13.69% 13.35% 13.58%
Simmons First National Corporation SFNC
Consolidated Loans and Investments
For the
Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
---------- ---------- ---------- ---------- ----------
(in thousands)
Loan Portfolio
- End of
Period
--------------
Consumer
Credit cards $ 162,103 $ 158,701 $ 166,044 $ 149,185 $ 140,327
Student loans 75,371 84,884 76,277 78,377 68,477
Other
consumer 135,342 135,247 137,624 140,771 139,908
Real Estate
Construction 245,284 257,635 260,924 259,705 265,705
Single-family
residential 388,353 383,167 382,676 377,153 372,026
Other
commercial 558,257 547,335 542,184 538,924 540,042
Commercial
Commercial 229,817 198,209 193,091 201,903 183,349
Agricultural 100,923 62,373 73,470 111,984 96,213
Financial
institutions 4,506 4,503 7,440 5,905 5,351
Other 8,372 10,084 10,724 11,328 10,032
---------- ---------- ---------- ---------- ----------
Total Loans $1,908,328 $1,842,138 $1,850,454 $1,875,235 $1,821,430
========== ========== ========== ========== ==========
Investment
Securities -
End of Period
--------------
Held-to-
Maturity
U.S.
Treasury $ 1,500 $ 1,500 $ 1,500 $ 1,500 $ 1,500
U.S
Government
agencies 24,000 24,000 37,000 43,000 44,000
Mortgage-
backed
securities 117 121 129 136 140
State and
political
subdivisions 159,853 154,166 149,262 133,196 130,846
Other
securities 930 2,407 2,393 2,374 2,355
---------- ---------- ---------- ---------- ----------
Total held-
to-maturity 186,400 182,194 190,284 180,206 178,841
---------- ---------- ---------- ---------- ----------
Available-for-
Sale
U.S. Treasury 2,465 2,510 5,524 7,517 8,975
U.S
Government
agencies 370,022 346,925 320,791 325,414 322,687
Mortgage-
backed
securities 2,840 2,961 2,757 2,769 2,793
State and
political
subdivisions 637 637 858 985 984
FHLB stock 7,453 6,468 5,913 7,554 5,206
Other
securities 56,208 29,713 4,804 5,043 6,095
---------- ---------- ---------- ---------- ----------
Total
available-
for-sale 439,625 389,214 340,647 349,282 346,740
---------- ---------- ---------- ---------- ----------
Total
investment
securities $ 626,025 $ 571,408 $ 530,931 $ 529,488 $ 525,581
========== ========== ========== ========== ==========
Fair Value -
HTM
investment
securities $ 185,665 $ 184,757 $ 191,738 $ 179,685 $ 175,870
========== ========== ========== ========== ==========
Investment
Securities -
QTD Average
-------------
Taxable
securities $ 457,918 $ 414,718 $ 378,811 $ 394,878 $ 401,723
Tax exempt
securities 158,554 152,283 140,096 132,823 129,330
---------- ---------- ---------- ---------- ----------
Total
investment
securities -
QTD average $ 616,472 $ 567,001 $ 518,907 $ 527,701 $ 531,053
========== ========== ========== ========== ==========
Simmons First National Corporation SFNC
Consolidated Allowance and Asset Quality
For the Quarters
Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
-------- -------- -------- -------- --------
(in thousands)
Allowance for Loan
Losses
------------------
Balance, beginning
of quarter $ 25,392 $ 25,303 $ 25,107 $ 25,197 $ 25,151
-------- -------- -------- -------- --------
Loans charged off
Credit cards 977 779 670 633 625
Other consumer 592 357 412 397 304
Real estate 719 477 669 499 453
Commercial 52 202 211 174 111
-------- -------- -------- -------- --------
Total loans
charged off 2,340 1,815 1,962 1,703 1,493
-------- -------- -------- -------- --------
Recoveries of loans
previously charged
off
Credit cards 252 192 231 260 272
Other consumer 132 153 104 122 152
Real estate 20 79 38 207 241
Commercial 82 13 36 174 43
-------- -------- -------- -------- --------
Total recoveries 486 437 409 763 708
-------- -------- -------- -------- --------
Net loans charged
off 1,854 1,378 1,553 940 785
Provision for loan
losses 2,214 1,467 1,749 850 831
-------- -------- -------- -------- --------
Balance, end of
quarter $ 25,752 $ 25,392 $ 25,303 $ 25,107 $ 25,197
======== ======== ======== ======== ========
Non-performing assets
---------------------
Non-performing loans
Nonaccrual loans
Real estate $ 10,373 $ 6,735 $ 7,350 $ 6,949 $ 7,237
Commercial 1,494 619 883 576 632
Consumer 1,409 1,590 1,676 1,540 1,652
-------- -------- -------- -------- --------
Total nonaccrual
loans 13,276 8,944 9,909 9,065 9,521
Loans past due 90
days or more 1,202 2,158 1,282 946 1,133
-------- -------- -------- -------- --------
Total non-
performing
loans 14,478 11,102 11,191 10,011 10,654
-------- -------- -------- -------- --------
Other non-performing
assets
Foreclosed assets
held for sale 3,440 3,556 2,629 1,629 1,484
Other non-
performing
assets 1 9 17 38 30
-------- -------- -------- -------- --------
Total other
non-performing
assets 3,441 3,565 2,646 1,667 1,514
-------- -------- -------- -------- --------
Total non-
performing
assets $ 17,919 $ 14,667 $ 13,837 $ 11,678 $ 12,168
======== ======== ======== ======== ========
Ratios
------
Allowance for loan
losses to total
loans 1.35% 1.38% 1.37% 1.34% 1.38%
Allowance for loan
losses to non-
performing loans 177.87% 228.72% 226.10% 250.79% 236.50%
Allowance for loan
losses to non-
performing assets 143.71% 173.12% 182.86% 214.99% 207.08%
Non-performing loans
to total loans 0.76% 0.60% 0.60% 0.53% 0.58%
Non-performing
assets to total
assets 0.61% 0.51% 0.51% 0.43% 0.46%
Annualized net
charge offs to
total loans 0.40% 0.30% 0.33% 0.20% 0.17%
Annualized net
charge offs to
total loans
(excluding credit
cards) 0.27% 0.19% 0.26% 0.13% 0.10%
Past due loans
greater than 30
days (excluding
nonaccrual) 0.48% 1.07% 0.70% 0.57% 0.60%
Simmons First National Corporation SFNC
Consolidated - Net Interest Income Analysis
For the Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
------ ------ ------ ------ ------
ASSETS
Earning Assets
Interest bearing balances due
from banks 2.29% 2.77% 4.05% 5.54% 5.26%
Federal funds sold 2.06% 2.90% 4.86% 5.68% 5.26%
Investment securities 5.22% 5.31% 5.22% 5.15% 5.04%
Mortgage loans held for sale 5.20% 6.03% 6.42% 6.67% 5.77%
Assets held in trading
accounts 2.87% 0.07% -1.63% 5.71% 3.07%
Loans 6.72% 7.24% 7.70% 7.87% 7.80%
Total interest earning
assets 6.11% 6.63% 7.10% 7.24% 7.13%
LIABILITIES
Interest bearing liabilities
Interest bearing transaction
and savings accounts 1.61% 1.63% 1.73% 1.82% 1.80%
Time deposits 3.88% 4.36% 4.61% 4.70% 4.69%
Total interest bearing
deposits 2.78% 3.21% 3.45% 3.57% 3.54%
Federal funds purchased and
securities sold under
agreement to repurchase 1.68% 2.93% 4.29% 4.93% 4.93%
Short-term debt 2.74% 4.69% 5.02% 5.32% 6.36%
Long-term debt 4.50% 4.93% 5.88% 5.81% 5.85%
Total interest bearing
liabilities 2.84% 3.29% 3.60% 3.76% 3.71%
NET INTEREST MARGIN/SPREAD
Net interest spread 3.27% 3.34% 3.49% 3.48% 3.42%
Net interest margin -
quarter-to-date 3.67% 3.80% 4.00% 4.01% 3.96%
Net interest margin -
year-to-date 3.74% 3.80% 3.96% 3.95% 3.92%
Simmons First National Corporation SFNC
Consolidated - Selected Financial Data
For the
Quarters Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
---------- ---------- ---------- ---------- ----------
(in thousands,
except per
share data)
QUARTER-TO-DATE
---------------
Diluted
earnings per
share $ 0.42 $ 0.63 $ 0.44 $ 0.53 $ 0.49
Core earnings
(excludes
nonrecurring
items)
(non-GAAP) 5,994 6,258 6,936 7,500 7,031
Diluted core
earnings per
share
(non-GAAP) 0.42 0.45 0.49 0.53 0.49
Cash dividends
declared per
common share 0.19 0.19 0.19 0.18 0.18
Cash dividends
declared -
amount 2,650 2,647 2,645 2,509 2,533
Return on
average
stockholders'
equity 8.52% 12.76% 9.02% 11.16% 10.64%
Return on
tangible
equity 11.22% 16.81% 12.25% 14.96% 14.32%
Return on
average
assets 0.83% 1.28% 0.92% 1.11% 1.07%
Net interest
margin (FTE) 3.67% 3.80% 4.00% 4.01% 3.96%
FTE Adjustment
- investments 952 916 842 802 785
FTE Adjustment
- loans 57 61 67 69 72
Amortization
of
intangibles 202 202 202 203 207
Amortization
of
intangibles,
net of taxes 127 127 127 128 130
Average
shares
outstanding 13,940,253 13,929,974 13,924,592 13,976,706 14,099,105
Shares
repurchased 21,700 23,480 25,895 134,253 90,900
Average price
of
repurchased
shares 30.25 26.65 26.38 25.43 27.38
Average
earning
assets 2,641,449 2,513,812 2,420,322 2,420,934 2,395,677
Average
interest
bearing
liabilities 2,271,223 2,154,856 2,077,058 2,080,642 2,048,943
YEAR-TO-DATE
------------
Diluted
earnings per
share $ 1.05 $ 0.63 $ 1.92 $ 1.48 $ 0.95
Core earnings
(excludes
nonrecurring
items)
(non-GAAP) 12,252 6,258 28,104 21,168 13,668
Diluted core
earnings per
share
(non-GAAP) 0.87 0.45 1.97 1.48 0.95
Cash dividends
declared per
common share 0.38 0.19 0.73 0.54 0.36
Return on
average
stockholders'
equity 10.62% 12.76% 10.26% 10.69% 10.45%
Return on
tangible
equity 13.98% 16.81% 13.78% 14.40% 14.10%
Return on
average
assets 1.05% 1.28% 1.03% 1.06% 1.04%
Net interest
margin (FTE) 3.74% 3.80% 3.96% 3.95% 3.92%
FTE Adjustment
- investments 1,868 916 3,170 2,328 1,526
FTE Adjustment
- loans 118 61 293 226 157
Amortization
of
intangibles 404 202 819 617 414
Amortization
of
intangibles,
net of taxes 254 127 515 388 260
Average shares
outstanding 13,935,114 13,929,980 14,043,626 14,083,739 14,138,143
Average
diluted
shares
outstanding 14,087,690 14,069,322 14,241,182 14,283,674 14,352,531
Average
earning
assets 2,577,632 2,513,812 2,412,218 2,409,516 2,403,809
Average
interest
bearing
liabilities 2,213,039 2,154,856 2,070,049 2,067,711 2,061,248
END OF PERIOD
-------------
Book value per
share $ 19.94 $ 20.14 $ 19.57 $ 19.20 $ 18.73
Tangible book
value per
share 15.38 15.56 14.97 14.60 14.15
Shares
outstanding 13,948,442 13,941,849 13,918,368 13,934,509 14,059,631
Full-time
equivalent
employees 1,135 1,121 1,128 1,131 1,112
Total number
of ATM's 95 92 90 89 87
Total number
of financial
centers 85 85 84 83 82
Parent company
only -
investment in
subsidiaries 284,614 290,465 288,744 285,340 280,455
Parent company
only -
intangible
assets 133 133 133 133 133
Simmons First National Corporation SFNC
Consolidated - Reconciliation of Core Earnings
For the Quarters
Ended Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
(Unaudited) 2008 2008 2007 2007 2007
-------- -------- -------- -------- --------
(in thousands, except
per share data)
QUARTER-TO-DATE
---------------
Net Income $ 5,994 $ 8,816 $ 6,192 $ 7,500 $ 7,031
Nonrecurring items
Mandatory stock
redemption gain
(Visa) -- (2,973) -- -- --
Litigation
liability (Visa) -- (1,220) 1,220 -- --
Tax effect (39%) -- 1,635 (476) -- --
-------- -------- -------- -------- --------
Net nonrecurring
items -- (2,558) 744 -- --
-------- -------- -------- -------- --------
Core earnings
(non-GAAP) $ 5,994 $ 6,258 $ 6,936 $ 7,500 $ 7,031
======== ======== ======== ======== ========
Diluted earnings per
share $ 0.42 $ 0.63 $ 0.44 $ 0.53 $ 0.49
Nonrecurring items
Mandatory stock
redemption gain
(Visa) -- (0.21) -- -- --
Litigation
liability (Visa) -- (0.09) 0.09 -- --
Tax effect (39%) -- 0.12 (0.04) -- --
-------- -------- -------- -------- --------
Net nonrecurring
items -- (0.18) 0.05 -- --
-------- -------- -------- -------- --------
Diluted core
earnings per share
(non-GAAP) $ 0.42 $ 0.45 $ 0.49 $ 0.53 $ 0.49
======== ======== ======== ======== ========
YEAR-TO-DATE
------------
Net Income $ 14,810 $ 8,816 $ 27,360 $ 21,168 $ 13,668
Nonrecurring items
Mandatory stock
redemption gain
(Visa) (2,973) (2,973) -- -- --
Litigation
liability (Visa) (1,220) (1,220) 1,220 -- --
Tax effect (39%) 1,635 1,635 (476) -- --
-------- -------- -------- -------- --------
Net nonrecurring
items (2,558) (2,558) 744 -- --
-------- -------- -------- -------- --------
Core earnings
(non-GAAP) $ 12,252 $ 6,258 $ 28,104 $ 21,168 $ 13,668
======== ======== ======== ======== ========
Diluted earnings per
share $ 1.05 $ 0.63 $ 1.92 $ 1.48 $ 0.95
Nonrecurring items
Mandatory stock
redemption gain
(Visa) (0.21) (0.21) -- -- --
Litigation
liability (Visa) (0.09) (0.09) 0.09 -- --
Tax effect (39%) 0.12 0.12 (0.04) -- --
-------- -------- -------- -------- --------
Net nonrecurring
items (0.18) (0.18) 0.05 -- --
-------- -------- -------- -------- --------
Diluted core
earnings per share
(non-GAAP) $ 0.87 $ 0.45 $ 1.97 $ 1.48 $ 0.95
======== ======== ======== ======== ========