Century Next Financial Corporation Reports Strong Year-End 2020 Results
Century Next Financial Corporation (OTCQX: CTUY) reported financial results for 2020, showing a net income of $5.2 million, down from $5.6 million in 2019, a 6.1% decrease. Earnings per share fell to $3.18 from $3.43. Total assets increased by 5.2% to $515.1 million, and net loans grew by 4.6% to $420.4 million. Additionally, held for sale mortgage loan originations surged by 94.7% to $72 million. Despite challenges from the pandemic, the company reported increases in net interest income and non-interest income by 4.9% and 4.8%, respectively.
- Total assets rose by 5.2% to $515.1 million.
- Net loans increased by 4.6% to $420.4 million.
- Held for sale mortgage loan originations surged 94.7% to $72 million.
- Net interest income grew by 4.9% to $20.59 million.
- Non-interest income increased by 4.8% to $4.17 million.
- Net income decreased by 6.1% from $5.6 million to $5.2 million.
- Earnings per share fell from $3.43 to $3.18.
- Allowance for loan losses increased by 32.8% to $4.5 million.
- Non-performing assets rose from 0.84% to 0.92% of total assets.
- Total non-interest expense increased by 8.8% to $16.69 million.
RUSTON, La., Feb. 05, 2021 (GLOBE NEWSWIRE) -- Century Next Financial Corporation (the “Company”) (OTCQX: CTUY), the holding company of Century Next Bank, with
Overview
“The Company and its wholly-owned subsidiary, Century Next Bank, had strong performance even with the effects of the pandemic and the level of economic uncertainty in 2020. As was the case for many holding companies with community banks, the Company started the year with aspirations for strong growth in loans and deposits, while working to manage credit and interest rate risk. I am pleased to report that despite the many challenges, our board, Management, and staff rose to the occasion and managed all four issues extremely well, delivering strong earnings and growth," said William D. Hogan, President and CEO.
“Our Company continues to focus on the strengths of our employees as well as the resilience and loyalty of our customers. In addition, we remain committed to being active participants and steadfast supporters of the communities of North Central and Southeast Arkansas which we call home,” Hogan added.
Financial Performance
For the year ended December 31, 2020, the Company had net income after tax of
The mortgage refinance market, due to lower interest rates, and the Paycheck Protection Program (PPP) provided by the CARES Act of 2020 both contributed greatly to the strong performance. Held for sale mortgage (HFS) loan originations increased from
Balance Sheet
Overall, total assets increased by
The largest component of assets, loans, net of deferred fees and costs and the allowance for loan losses, including loans held for sale, increased
The allowance for loan losses increased by
Total deposits at December 31, 2020 increased
Total short- and long-term borrowings decreased to
Income Statement
Net interest income was
The provision for loan losses amounted to
Total non-interest income amounted to
Total non-interest expense increased by
The Company’s efficiency ratio, a measure of expense as a percent of total income, increased to
Other Financial Information
Nonperforming assets, including loans past due 90 days or more, nonaccrual loans, and other foreclosed assets, increased from
Allowance for loan losses was
Company Information
Century Next Financial Corporation is the holding company for Century Next Bank (the “Bank”) which conducts business from its main office in Ruston, Louisiana. The Company was formed in 2010 and is subject to the regulatory oversight of the Board of Governors of the Federal Reserve System. The Bank is a wholly-owned subsidiary and is an insured federally-chartered covered savings association subject to the regulatory oversight of the Office of the Comptroller of the Currency. The Bank was established in 1905 and is headquartered in Ruston, Louisiana. The Bank is a full-service bank with four locations in Louisiana including two banking offices in Ruston, one banking office in Monroe, one banking office in West Monroe, and four locations in Arkansas including two banking offices in Crossett, one banking office in Hamburg, and one drive-through location with limited services in Fountain Hill. The Bank emphasizes professional and personal banking service directed primarily to small and medium-sized businesses, professionals, and individuals. The Bank provides a full range of banking services including its primary business of real estate lending to residential and commercial customers.
Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” We undertake no obligation to update any forward-looking statements.
Century Next Financial Corporation and Subsidiary
Condensed Consolidated Balance Sheets (unaudited)
(In thousands, except per share data)
| December 31 | |||||
| 2020 | 2019 | ||||
| ASSETS | |||||
| Cash and cash equivalents | $ | 61,426 | $ | 54,100 | |
| Investment securities | 2,558 | 2,589 | |||
| Loans, net | 420,397 | 402,033 | |||
| Other assets | 30,689 | 30,884 | |||
| TOTAL ASSETS | $ | 515,070 | $ | 489,606 | |
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||
| Deposits | $ | 441,075 | $ | 421,855 | |
| Short-term borrowings | - | 41 | |||
| Long-term borrowings | 14,454 | 14,454 | |||
| Other liabilities | 4,021 | 3,119 | |||
| Total Liabilities | 459,550 | 439,469 | |||
| Stockholders' equity | 55,520 | 50,137 | |||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 515,070 | $ | 489,606 | |
| Book Value per share | $ | 32.90 | $ | 30.16 | |
Century Next Financial Corporation and Subsidiary
Consolidated Statements of Income (unaudited)
(In thousands, except per share data)
| Years Ended December 31 | ||||||
| 2020 | 2019 | |||||
| Interest Income | $ | 24,437 | $ | 25,534 | ||
| Interest Expense | 3,847 | 5,913 | ||||
| Net Interest Income | 20,590 | 19,621 | ||||
| Provision for Loan Losses | 1,448 | 1,203 | ||||
| Net interest income after provision for loan losses | 19,142 | 18,418 | ||||
| Noninterest Income | 4,167 | 3,977 | ||||
| Noninterest Expense | 16,690 | 15,343 | ||||
| Income Before Taxes | 6,619 | 7,052 | ||||
| Provision For Income Taxes | 1,405 | 1,499 | ||||
| NET INCOME | $ | 5,214 | $ | 5,553 | ||
| EARNINGS PER SHARE | ||||||
| Basic | $ | 3.18 | $ | 3.43 | ||
| Diluted | $ | 3.14 | $ | 3.36 | ||
Century Next Financial Corporation Contact Information:
William D. Hogan, President & Chief Executive Officer or
Mark A. Taylor, CPA CGMA, Executive Vice President & Chief Financial Officer
(318) 255-3733
Company Website: www.cnext.bank
FAQ
What were Century Next Financial Corporation's earnings for 2020?
How did earnings per share change for CTUY in 2020?
What was the percentage increase in total assets for CTUY in 2020?
How much did held for sale mortgage loan originations increase in 2020 for CTUY?
What was the increase in loan losses for CTUY in 2020?
