Southern States Bancshares(US:SSBK)2024-11-14 17:46Financial Performance - Net income for the three months ended September 30, 2024, was $7,353,000, compared to $6,629,000 for the same period in 2023, representing an increase of 10.9%[16] - Net income for the nine months ended September 30, 2024, was $23,670,000, compared to $23,056,000 for the same period in 2023, reflecting an increase of 2.66%[21] - Comprehensive income for the three months ended September 30, 2024, was $9,820,000, compared to $4,302,000 for the same period in 2023, reflecting a substantial increase[17] - Net income for the three months ended September 30, 2024, was $8,986, up from $8,006 in the prior year, representing a growth of 12.25%[82] - The Company reported a total of $71,962 in net income for the nine months ended September 30, 2024, compared to $67,311 for the same period in 2023, marking an increase of 3.93%[82] Asset Growth - Total assets increased to $2,841,440 thousand as of September 30, 2024, compared to $2,446,663 thousand at December 31, 2023, reflecting a growth of approximately 16%[11] - Loans, net of unearned income, rose to $2,199,211 thousand, up from $1,884,508 thousand, representing an increase of about 17%[11] - Total deposits reached $2,420,546 thousand, a significant increase from $2,018,189 thousand, marking a growth of approximately 20%[11] - Stockholders' equity increased to $271,370 thousand from $214,964 thousand, indicating a growth of around 26%[12] - The bank-owned life insurance increased to $39,159 thousand from $29,884 thousand, reflecting a growth of approximately 31%[11] Credit Losses and Provisions - The allowance for credit losses was $28,061 thousand as of September 30, 2024, compared to $24,378 thousand at the end of 2023, reflecting a rise of about 15%[11] - The company reported a provision for credit losses of $2,583,000 for the three months ended September 30, 2024, compared to $773,000 for the same period in 2023, indicating a rise in credit loss provisions[15] - The allowance for credit losses on off-balance sheet financial instruments was $1,405 thousand at September 30, 2024, up from $1,239 thousand at December 31, 2023, reflecting an increase of about 13.4%[49] - The allowance for credit losses increased to $28,061 as of September 30, 2024, up from $24,378 at December 31, 2023, reflecting a provision for credit losses of $4,885 during the period[125] Income and Expenses - Total interest income for the three months ended September 30, 2024, was $45,068,000, up from $35,204,000 in the same period last year, reflecting a growth of 27.9%[15] - Net interest income after provision for credit losses for the three months ended September 30, 2024, was $21,663,000, compared to $19,958,000 for the same period in 2023, an increase of 8.5%[15] - Total noninterest income for the three months ended September 30, 2024, was $1,757,000, compared to a loss of $2,894,000 in the same period last year, indicating a significant recovery[15] - Total noninterest expenses for the three months ended September 30, 2024, were $13,687,000, compared to $8,569,000 for the same period in 2023, an increase of 59.5%[15] Shareholder Information - The company reported a total of 9,882,350 common shares issued and outstanding as of September 30, 2024, compared to 8,841,349 shares at December 31, 2023[12] - Basic earnings per share for the three months ended September 30, 2024, were $0.76, compared to $0.75 for the same period in 2023, showing a slight increase[15] - Basic earnings per common share was $0.76 for Q3 2024, down from $0.91 in Q2 2024 but up from $0.75 in Q3 2023[205] Securities and Investments - As of September 30, 2024, total securities available for sale amounted to $206,002,000, with a fair value of $198,076,000, compared to $190,322,000 and $179,000,000 respectively as of December 31, 2023[86] - The total unrealized losses for securities available for sale increased to $8,903,000 as of September 30, 2024, from $11,598,000 as of December 31, 2023[86] - The total securities held to maturity as of September 30, 2024, was $19,616,000, with a fair value of $16,902,000, compared to $19,632,000 and $16,233,000 as of December 31, 2023[88] - The fair value of U.S. Treasury securities decreased to $8,979,000 as of September 30, 2024, from $8,772,000 as of December 31, 2023[86] Capital Ratios - The Company believes they are well capitalized as of September 30, 2024, exceeding minimum capital ratios[162] - The Company's Tier 1 capital to average assets ratio is 8.64%, exceeding the required adequacy amount of 4.00%[165] - The Company's CET 1 capital to risk-weighted assets ratio stands at 9.36%, above the required minimum of 7.00%[165] - The Company's total capital to risk-weighted assets ratio is 14.18%, significantly higher than the required 10.50%[165] Loan Portfolio - The total loan portfolio as of September 30, 2024, amounts to $2,205,747,000, a decrease from $2,421,753,000 in 2023[113] - The company reported a gross loan amount of $2,205,747 million, with commercial loans making up 61.0% of the total[97] - The residential mortgage segment saw an increase in loans to $293,150 million, representing 13.3% of the total loan portfolio[97] - The total amount of substandard loans is $150,000, which decreased from $4,346,000 in 2023, indicating a significant reduction[113] Cash Flow - Net cash provided by operating activities was $28,583,000, down from $31,486,000 in the previous year, indicating a decrease of 9.06%[21] - Net cash used in investing activities was $(26,208,000), significantly improved from $(207,300,000) in the prior year[21] - Net cash provided by financing activities totaled $24,830,000, a decrease from $223,495,000 in the previous year[23] Risk Management - The company’s risk management process includes regular monitoring of credit quality and trends in the loan portfolio segments[106] - The company does not believe any of the debt securities are credit impaired, as issuers continue to make timely principal and interest payments[96]