Southern States Bancshares(US:SSBK) Newsfilterยท2024-07-22 11:00Core Insights - The company reported a net interest income of $21.6 million for Q2 2024, reflecting a 3.6% increase from Q1 2024, primarily driven by higher yields on interest-earning assets [15] - Noninterest income increased by 7.9% to $1.4 million in Q2 2024, attributed to higher bank-owned life insurance income and a realized net gain on securities [4] - Noninterest expense rose by 10.0% to $11.4 million in Q2 2024, influenced by a $1.2 million wire fraud loss, although partially offset by reduced salaries and benefits [5] Financial Performance - Net interest margin decreased to 3.56% in Q2 2024 from 3.59% in Q1 2024, mainly due to increased costs of interest-bearing deposits [3] - Total loans reached $2.02 billion, a 2.6% increase from Q1 2024, with nonperforming loans totaling $3.8 million, or 0.19% of gross loans [6][18] - The allowance for credit losses was 1.28% of total loans, consistent with the previous quarter, while net charge-offs decreased by 18.5% to $383,000 [7][19] Capital Ratios - The company's Tier 1 capital ratio was 8.72% as of June 30, 2024, slightly down from 8.79% in Q1 2024 [8] - Common equity tier 1 (CET1) capital ratio remained stable at 9.54% [8] Deposits and Borrowings - Total deposits increased by 3.1% to $2.18 billion, with uninsured deposits rising by 5.8% to $645.3 million [19] - Interest-bearing deposits grew by 3.9% to $1.76 billion, reflecting a 19.3% increase year-over-year [19] Asset Quality - Nonperforming loans increased by 9.8% from Q1 2024, primarily due to a commercial and industrial loan added to nonaccrual status [18] - The total nonperforming assets stood at $3.82 million, with a significant increase from the previous year [32]