Southern States Bancshares(US:SSBK)2023-05-15 17:12Financial Performance - Net income for the three months ended March 31, 2023, was $7,671 thousand, representing a 68.8% increase from $4,557 thousand for the same period in 2022[22]. - Comprehensive income for the same period was $8,873,000, compared to a loss of $1,311,000 in the prior year[24]. - Basic earnings per share for Q1 2023 were $0.87, up from $0.51 in Q1 2022, representing a growth of 70.6%[22]. - Net income for Q1 2023 was $7.7 million, down from $10.6 million in Q4 2022 and up from $4.6 million in Q1 2022[181]. - Annualized return on average assets (ROAA) was 1.51% for Q1 2023, compared to 2.11% in Q4 2022 and 1.03% in Q1 2022[185]. - Annualized return on average equity (ROAE) was 16.67% for Q1 2023, down from 23.77% in Q4 2022 and up from 10.43% in Q1 2022[185]. Interest Income and Expenses - Total interest income rose to $28,699 thousand for Q1 2023, up 80.9% from $15,872 thousand in Q1 2022, driven primarily by increased loan income[22]. - Net interest income after provision for credit losses was $18,365 thousand for Q1 2023, compared to $13,954 thousand in Q1 2022, marking a 31.5% increase[22]. - Net interest income decreased by $1.3 million, or 6.4%, to $19.5 million in Q1 2023 from $20.9 million in Q4 2022, but increased by $4.9 million, or 33.4%, from $14.7 million in Q1 2022[185]. - The increase in interest income was primarily driven by a $12.8 million increase, or 80.8%, in interest income, partially offset by a $7.9 million increase, or 651.5%, in interest expense[196]. Asset and Deposit Growth - Total assets increased to $2,135,622 thousand as of March 31, 2023, compared to $2,045,204 thousand at December 31, 2022, reflecting a growth of approximately 4.4%[18]. - Total deposits increased to $1,789,491 thousand as of March 31, 2023, up from $1,720,743 thousand at December 31, 2022, indicating a growth of approximately 4.0%[18]. - The company experienced a net increase in deposits of $68,748,000 during the quarter, contrasting with a decrease of $14,612,000 in the same period last year[30]. - Loans, net of unearned income, increased by $58.2 million, or 3.7%, to $1.6 billion as of March 31, 2023, compared to December 31, 2022[185]. Credit Losses and Provisions - The provision for credit losses was $1,181 thousand for Q1 2023, compared to $700 thousand in Q1 2022, reflecting a 68.6% increase[22]. - The allowance for credit losses decreased slightly to $19,855 thousand as of March 31, 2023, from $20,156 thousand at December 31, 2022[18]. - The allowance for credit losses as a percentage of gross loans was 1.20% at March 31, 2023, compared to 1.18% at March 31, 2022[198]. - The provision for credit losses for the three months ended March 31, 2023, was $1.2 million, up from $700,000 in the same period in 2022[197]. Noninterest Expenses - Noninterest expenses totaled $10,158 thousand for Q1 2023, an increase of 9.3% from $9,290 thousand in Q1 2022[22]. - Salaries and employee benefits accounted for $6.311 million in Q1 2023, up from $5.725 million in Q1 2022, reflecting an increase of $586,000[208]. - Total noninterest expense increased from $9.290 million in Q1 2022 to $10.158 million in Q1 2023[208]. Stockholder Equity and Share Repurchase - The company reported a total stockholders' equity of $189,663 thousand as of March 31, 2023, compared to $181,719 thousand at December 31, 2022, reflecting an increase of approximately 4.4%[19]. - The company repurchased $575,000 worth of common stock under its stock repurchase program during the quarter[30]. - The company announced a share repurchase program extension for an additional $10.0 million effective until December 31, 2023[179]. Securities and Fair Value - Total securities available for sale as of March 31, 2023, amounted to $163,550,000, down from $155,544,000 at December 31, 2022[86]. - The fair value of total securities decreased to $179,669,000 as of March 31, 2023, from $170,909,000 at December 31, 2022[87]. - The total unrealized losses on securities available for sale were $13,388,000 as of March 31, 2023[86]. - The fair value of U.S. Treasury securities as of March 31, 2023, is $8,758,000, with no Level 1 assets and $8,758,000 classified under Level 2[161]. Management and Governance - Mark Chambers was appointed as Chief Executive Officer on May 1, 2023, succeeding Stephen Whatley[180]. - The company operates through thirteen offices in Alabama and Georgia, providing a range of banking services[177].