First Bancshares, Inc. Announces Third Quarter Results for 2023

Rhea-AI Summary

First Bancshares, Inc. reports Q3 2023 financial results with net income of $1,635,000

Positive

• Net income for Q3 2023 was $1,635,000, compared to $1,667,000 in Q3 2022
• Year-to-date net income increased to $5,157,000 compared to $4,088,000 in the same period in 2022
• Consolidated total assets increased 8.85% to $513.31 million as of September 30, 2023

Negative

• None.

MOUNTAIN GROVE, Mo., Oct. 13, 2023 (GLOBE NEWSWIRE) -- First Bancshares, Inc. (OTCQX: FBSI) (“Company”), the holding company for Stockmens Bank (“Bank”), today announced its financial results for the quarter ended September 30, 2023.

For the quarter ended September 30, 2023, the Company reported net income of $1,635,000 or $0.68 per share-diluted, compared to $1,667,000, or $0.68 per share-diluted for the comparable period in 2022. Year to date the Company reported net income of $5,157,000 or $2.12 per share compared to $4,088,000 or $1.67 per share the same period 2022. The Company’s continued improvement in earnings-per-share has been assisted through strategic share repurchases. Year to date changes from the nine months ended September 30, 2022, include a $2,959,000 increase in net interest income after provisions for loan losses, along with a $32,000 increase in non-interest income, offset by a $1,360,000 increase in non-interest expense, and a $561,000 increase in income tax expense. This resulted in a $1,069,000 increase in net income for the nine months ended September 30, 2023, compared to the nine months ended September 30, 2022. The Bank has been able to absorb the increases in non-interest expenses through the maintenance of its net interest margin, aided by the funding of operations through core deposits.

Consolidated total assets increased 8.85% to $513.31 million as of September 30, 2023, compared to $471.58 million on December 31, 2022. Since year end 2022, liquid assets increased 89.81% to $64.20 million, net loans increased slightly to $408.12 million, total deposits increased 5.65% to $444.44 million, and GAAP capital increased 7.39% to $51.10 million. The capital changes are primarily driven by the Company’s organic earnings.

The Bank meets all regulatory requirements for “well-capitalized” status.

About the Company

First Bancshares, Inc. is the holding company for Stockmens Bank, a FDIC-insured commercial bank chartered by the State of Colorado that conducts business from its home office in Colorado Springs, Colorado, and eight full-service Missouri offices in Mountain Grove, Marshfield, Ava, Kissee Mills, Gainesville, Crane, Hartville and Springfield, and full-service offices in Bartley, Nebraska and Akron, Colorado.

Cautionary Note Regarding Forward-Looking Statements

The Company and its wholly owned subsidiary, Stockmens Bank, may from time to time make written or oral “forward-looking statements” in its reports to shareholders, and in other communications by the Company, which are made in good faith by the Company pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995.

These forward-looking statements include statements with respect to the Company’s beliefs, expectations, estimates and intentions that are subject to significant risks and uncertainties, and are subject to change based on various factors, some of which are beyond the Company’s control. Such statements address the following subjects: future operating results; customer growth and retention; loan and other product demand; earnings growth and expectations; new products and services; credit quality and adequacy of reserves; results of examinations by our bank regulators, technology, and our employees. The following factors, among others, could cause the Company’s financial performance to differ materially from the expectations, estimates and intentions expressed in such forward-looking statements: the strength of the United States economy in general and the strength of the local economies in which the Company conducts operations; the effects of, and changes in, trade, monetary, and fiscal policies and laws, including interest rate policies of the Federal Reserve Board; inflation, interest rate, market, and monetary fluctuations; the timely development and acceptance of new products and services of the Company and the perceived overall value of these products and services by users; the impact of changes in financial services’ laws and regulations; technological changes; acquisitions; changes in consumer spending and savings habits; and the success of the Company at managing and collecting assets of borrowers in default and managing the risks of the foregoing.

The foregoing list of factors is not exclusive. The Company does not undertake, and expressly disclaims any intent or obligation, to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company.

Contact: Robert M. Alexander, Chairman and CEO - (719) 955-2800

First Bancshares, Inc. and Subsidiaries
Financial Highlights
(unaudited)
(In thousands, except per share amounts)
			Quarter Ended							Nine Months Ended
			September 30,							September 30,
				2023			2022				2023			2022
Operating Data:
Total interest income			$	7,441		$	5,066			$	20,611		$	13,771
Total interest expense				2,155			442				4,940			956
	Net interest income			5,286			4,624				15,671			12,815
Provision for loan losses				141			225				572			675
	Net interest income after provision for loan losses			5,145			4,399				15,099			12,140
Gain (loss) on sale of investments				-			(18	)			-			(21	)
Non-interest income				437			478				1,251			1,240
Non-interest expense				3,506			2,928				9,525			8,165
Income before taxes				2,076			1,931				6,824			5,194
Income tax expense				440			264				1,667			1,106
	Net income		$	1,635		$	1,667			$	5,157		$	4,088
	Earnings per share		$	0.68		$	0.68			$	2.12		$	1.67
			At			At
			September 30,			December 31,
Financial Condition Data:				2023			2022
Cash and cash equivalents			$	60,693		$	21,781
	(excludes CDs)
Investment securities				13,201			13,831
	(includes CDs)
Loans receivable, net				408,120			405,188
Goodwill and intangibles				1,693			1,800
Total assets				513,310			471,575
Deposits				444,438			420,666
Repurchase agreements				774			864
Borrowings				11,699			-
Stockholders' equity				51,102			47,586
Book value per share			$	21.28		$	19.51

FAQ

What was the net income for Q3 2023?

The net income for Q3 2023 was $1,635,000.

How does the net income compare to Q3 2022?

The net income decreased slightly compared to Q3 2022.

What is the year-to-date net income?

The year-to-date net income is $5,157,000.

What was the increase in consolidated total assets?

Consolidated total assets increased by 8.85% to $513.31 million.