AUGUSTA, Ga., Oct. 30, 2013 (GLOBE NEWSWIRE) -- Georgia-Carolina Bancshares, Inc. (GECR.OB) (the "Company"), parent company of First Bank of Georgia, today reported net income of $843,000, or $0.23 per diluted common share, for the three months ended September 30, 2013, compared to net income of $2,242,000, or $0.62 per diluted common share, for the three months ended September 30, 2012. The Company reported net income of $5,269,000, or $1.47 per diluted common share, for the nine months ended September 30, 2013, compared to net income of $5,229,000, or $1.45 per diluted common share, for the nine months ended September 30, 2012.
Book value totaled $16.03 per common share at September 30, 2013, up from $15.50 per common share at September 30, 2012. Reported earnings represent a 12.13% return on average equity (annualized) and a 1.44% return on average assets (annualized) for the nine month period ended September 30, 2013.
Remer Y. Brinson III, President & CEO of the Company, stated, "The Company continues to report strong earnings performance through the first three quarters of 2013. Asset quality continues to improve and has resulted in a credit provision to our allowance for loan losses during the year. Through the first nine months of 2013, we have had net recoveries of 0.51% of average loans. Non-performing assets have declined to 1.66% of total assets, down from 1.88% one year ago. Third quarter earnings are down from recent quarters as mortgage volume declined and yields declined on the sale of mortgage loans due to increasing market interest rates."
Brinson continued, "We have seen an increase in loan demand during the year, although bank loan outstandings, excluding the allowance for loan loss, have declined slightly during the first nine months. However, deposit growth remains strong. Core deposits, excluding Certificates of Deposits, have grown 14.0% (annualized) during the year."
Total assets have declined 1.2% to $500.1 million since December 31, 2012. Total loans, excluding loans held for sale, declined 1.1% during the nine month period ended September, 2013, to $262.8 million. Core deposits totaled $273.6 million at September 30, 2013, compared to $247.6 million at December 31, 2012, an increase of 10.5%.
Georgia-Carolina Bancshares' Board of Directors declared a quarterly cash dividend of $0.045 per share of common stock payable on November 19, 2013, to shareholders of record as of November 12, 2013.
Georgia-Carolina Bancshares' common stock is quoted on the OTC Bulletin Board under the symbol "GECR". First Bank of Georgia conducts banking operations through offices in Richmond County (Augusta), Columbia County (Martinez and Evans), 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) | ||
|
September 30, 2013 |
December 31, 2012 |
|
| (Unaudited) | ||
| ASSETS | ||
| Cash and due from banks | $ 18,970 | $ 30,279 |
| Securities available-for-sale | 156,571 | 132,760 |
| Loans | 262,815 | 265,831 |
| Allowance for loan losses | (5,174) | (5,954) |
| Loans, net | 257,641 | 259,877 |
| Loans held for sale at fair value | 27,694 | 48,432 |
| Bank-owned life insurance | 14,703 | 10,001 |
| Bank premises and fixed assets | 9,513 | 8,790 |
| Accrued interest receivable | 1,852 | 1,772 |
| Other real estate owned, net of allowance | 5,136 | 5,876 |
| Federal Home Loan Bank stock | 697 | 1,865 |
| Other assets | 7,348 | 6,523 |
| Total assets | $ 500,125 | $ 506,175 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||
| Deposits | ||
| Non-interest bearing | $ 79,743 | $ 70,880 |
| Interest-bearing: | ||
| NOW accounts | 56,752 | 57,482 |
| Savings | 61,164 | 64,236 |
| Money market accounts | 75,959 | 54,982 |
| Time deposits of $100,000, and over | 99,061 | 111,537 |
| Other time deposits | 56,700 | 57,839 |
| Total deposits | 429,379 | 416,956 |
| Federal Home Loan Bank and other borrowings | -- | 25,028 |
| Repurchase agreements | 6,268 | 3,333 |
| Other liabilities | 7,313 | 4,533 |
| Total liabilities | 442,960 | 449,850 |
| Shareholders' equity | ||
| Preferred stock, par value $.001; 1,000,000 shares authorized; none issued | -- | -- |
| Common stock, par value $.001; 9,000,000 shares authorized; 3,565,246 and 3,528,296 shares issued and outstanding | 4 | 4 |
| Additional paid-in-capital | 16,042 | 15,687 |
| Retained earnings | 43,984 | 39,177 |
| Accumulated other comprehensive income | (2,865) | 1,457 |
| Total shareholders' equity | 57,165 | 56,325 |
| Total liabilities and shareholders' equity | $ 500,125 | $ 506,175 |
| GEORGIA-CAROLINA BANCSHARES, INC. | ||||
| Consolidated Statements of Income | ||||
| (dollars in thousands, except per share amounts) | ||||
|
Three Months Ended September 30, |
Nine Months Ended September 30, |
|||
| Interest income | 2013 | 2012 | 2013 | 2012 |
| Interest and fees on loans | $ 3,795 | $ 4,579 | $ 11,465 | $ 13,754 |
| Interest on taxable securities | 635 | 502 | 1,784 | 1,542 |
| Interest on nontaxable securities | 143 | 109 | 386 | 335 |
| Interest on Federal funds sold and other interest | 8 | 10 | 42 | 51 |
| Total interest income | 4,581 | 5,200 | 13,677 | 15,682 |
| Interest expense | ||||
| Interest on time deposits of $100,000 or more | 253 | 376 | 801 | 1,275 |
| Interest on other deposits | 255 | 349 | 811 | 1,088 |
| Interest on funds purchased and other borrowings | 4 | 220 | 14 | 670 |
| Total interest expense | 512 | 945 | 1,626 | 3,033 |
| Net interest income | 4,069 | 4,255 | 12,051 | 12,649 |
| Provision for loan losses | 15 | (729) | (1,787) | (299) |
| Net interest income after provision for loan losses | 4,054 | 4,984 | 13,838 | 12,948 |
| Noninterest income | ||||
| Service charges on deposits | 414 | 380 | 1,174 | 1,114 |
| Mortgage banking activities | 1,765 | 3,929 | 6,462 | 8,724 |
| Gain on sale of other real estate | 22 | 10 | 181 | 16 |
| Gain on sale of securities | -- | 10 | 91 | 11 |
| Other income/loss | 503 | 506 | 2,386 | 1,375 |
| Total noninterest income | 2,704 | 4,835 | 10,294 | 11,240 |
| Noninterest expense | ||||
| Salaries and employee benefits | 3,299 | 3,449 | 9,664 | 9,351 |
| Occupancy expenses | 387 | 391 | 1,122 | 1,168 |
| Other real estate expenses | 351 | 918 | 1,053 | 1,409 |
| Other expenses | 1,596 | 1,749 | 4,875 | 4,610 |
| Total noninterest expense | 5,633 | 6,507 | 16,714 | 16,538 |
| Income before income taxes | 1,125 | 3,312 | 7,418 | 7,650 |
| Income tax expense | 282 | 1,070 | 2,149 | 2,421 |
| Net income | $ 843 | $ 2,242 | $ 5,269 | $ 5,229 |
| Net income per share of common stock | ||||
| Basic | $ 0.24 | $ 0.62 | $ 1.48 | $ 1.45 |
| Diluted | $ 0.23 | $ 0.62 | $ 1.47 | $ 1.45 |
| Dividends per share of common stock | $ 0.045 | $ 0.040 | $ 0.130 | $ 0.080 |