AB&T Financial Corporation Announces First Quarter 2021 Results

Rhea-AI Summary

AB&T Financial Corporation (OTC Pink: ABTO) announced its unaudited Q1 2021 results, revealing a net income of $252,000, or $0.008 per share, up 7.7% from $234,000 in Q1 2020. The increase is credited to growth in net interest income and a declining cost of funds. Total assets rose to $203.3 million, an increase of 10.2%, while loans increased by 4.3% to $150.8 million. Total deposits reached $188.4 million, reflecting an 11.0% growth. The CEO expressed optimism about economic recovery bolstered by positive customer feedback.

Positive

• Net income increased by 7.7% to $252,000 compared to $234,000 in Q1 2020.
• Total assets grew by 10.2% to $203.3 million from $184.4 million.
• Loans increased by 4.3% to $150.8 million compared to $144.6 million.
• Total deposits rose by 11.0% to $188.4 million from $169.8 million.
• Demand deposits increased by 13.6% to $86.7 million.

Negative

• None.

AB&T Financial Corporation (OTC Pink: ABTO), the parent company of Alliance Bank & Trust Company, today reported its unaudited first quarter 2021 results. For the quarter ended March 31, 2021, net income available to common shareholders was $252,000 or $0.008 per basic and diluted common share, compared to net income available to common shareholders of $234,000 or $0.007 per basic and diluted common share for the quarter ended March 31, 2020, an increase of 7.7%. This increase in earnings was largely attributable to growth in our net interest income due to growth in the loan portfolio coupled with a steady decrease in our cost of funds over the comparable period. Net income for the quarter ended March 31, 2020 included a one-time security gain in the bond portfolio of approximately $82,000.

Total assets at March 31, 2021 were $203.3 million, an increase of $18.9 million or 10.2% from $184.4 million at December 31, 2020. Loans totaled $150.8 million at March 31, 2021 compared to $144.6 million at December 31, 2020, an increase of $6.2 million or 4.3%. Total deposits increased to $188.4 million on March 31, 2021, from $169.8 million as of December 31, 2020, an increase of $18.6 million or 11.0%. Demand deposit accounts increased from $76.3 million at December 31, 2020, to $86.7 million at March 31, 2021, an increase of $10.4 million or 13.6%.

Dan Boyd, President and CEO, commented, “We are pleased with our first quarter results for 2021, particularly in the growth in our loan portfolio as well as the continued increase in our demand deposits. We are optimistic that the economic recovery will continue as we go through the year based upon positive feedback from our customer base in our market footprint.”

Alliance Bank & Trust Company, which opened in Gastonia, North Carolina in 2004, operates four North Carolina banking offices, in Gastonia (2), Kings Mountain and Shelby.

AB&T Financial Corporation is the parent company of Alliance Bank & Trust Company, which operates 4 community-oriented branches in Gaston and Cleveland Counties in North Carolina that offer a full array of banking services. Additional information on Alliance Bank & Trust’s locations and the products and services offered are available at http://www.alliancebanknc.com/.

Information in this news release contains forward-looking statements. These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation as a result of the effect and impact of the COVID-19 pandemic on the economy and the Company’s results of operation and financial condition, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, the risks of changes in interest rates, and the effects of competition. AB&T Financial Corporation does not undertake to update any forward-looking statements in this news release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210429005947/en/

FAQ

What were ABTO's Q1 2021 earnings?

ABTO reported net income of $252,000 for Q1 2021, which translates to $0.008 per share.

How did ABTO's total assets change in Q1 2021?

Total assets increased by 10.2% to $203.3 million as of March 31, 2021.

What was the percentage increase in ABTO's total deposits in Q1 2021?

Total deposits grew by 11.0% to $188.4 million from $169.8 million.

What factors contributed to the increase in ABTO's net income in Q1 2021?

The increase in net income was primarily due to growth in net interest income and a decrease in the cost of funds.

How much did ABTO's loan portfolio grow in Q1 2021?

The loan portfolio increased by 4.3% to $150.8 million compared to $144.6 million at the end of 2020.