SmartFinancial Announces Results for the Fourth Quarter 2020
SmartFinancial, Inc. (NASDAQ: SMBK) reported a fourth-quarter net income of $9.0 million, or $0.59 per diluted share, up from $6.4 million, or $0.42, in the previous quarter. Operating earnings also rose to $9.2 million, reflecting a strong performance despite the pandemic. Deposits surged by $153.2 million, marking a 23.1% annualized increase. The company reduced its borrowings by $237.8 million from the PPPLF, showing improved financial health. Tangible book value per share increased 15.1% to $17.92.
- Net income increased by $2.6 million (40.6%) from the previous quarter.
- Operating earnings rose to $9.2 million, up from $6.6 million in Q3 2020.
- Deposits increased by $153.2 million (23.1% annualized) since September 30, 2020.
- Tangible book value per share grew by 15.1% to $17.92.
- Average earning assets decreased by $106.9 million, impacting overall asset growth.
- Loan modifications related to COVID remain at 0.7% of total loans, indicating potential ongoing challenges.
KNOXVILLE, Tenn., Jan. 19, 2021 (GLOBE NEWSWIRE) -- SmartFinancial, Inc. ("SmartFinancial" or the "Company"; NASDAQ: SMBK), today announced net income of
Highlights for the Fourth Quarter of 2020
- Net income of
$9.0 million and operating earnings of$9.2 million (Non-GAAP) - Operating noninterest income (Non-GAAP) increased
$381 thousand or36.9% annualized quarter-over-quarter - Tangible book value per share (Non-GAAP) of
$17.92 , a15.1% annualized quarter-over-quarter increase - Deposits increased by
$153.2 million or23.1% annualized from September 30, 2020 - Paid off
$237.8 million in borrowings from the Federal Reserve Bank Paycheck Protection Program Liquidity Facility (“PPPLF”) - COVID loan modifications declined to
0.7% of total loans
Billy Carroll, President & CEO, stated: "We are extremely pleased with our results for the quarter and for the year. The year was unprecedented on several fronts, but our energetic, entrepreneurial team rose to the occasion and posted very sound results. Our continued focus on diversification of revenue and work on efficiency gains are being seen in our metrics, and that, coupled with our solid credit quality, keeps us very excited about our future.”
SmartFinancial's Chairman, Miller Welborn, concluded: “The fourth quarter of 2020 and the entire year of 2020 exceeded our expectations. Our Board could not be happier or prouder of the entire team for the incredible effort and execution of our Strategic Plan. This COVID pandemic has affected a tremendous number of people and the SmartBank team continues to help our clients and the communities we serve.”
Net Interest Income and Net Interest Margin
Net interest income increased
The tax equivalent net interest margin was
The yield on interest-bearing liabilities decreased to
The following table presents selected interest rates and yields for the periods indicated:
| Three Months Ended | ||||||||||
| Dec | Sep | Increase | ||||||||
| Selected Interest Rates and Yields | 2020 | 2020 | (Decrease) | |||||||
| Yield on loans | 4.72 | % | 4.71 |
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FAQ
What were SmartFinancial's Q4 2020 earnings per share?
SmartFinancial reported earnings of $0.59 per diluted share for Q4 2020.
How much did SmartFinancial's deposits increase in Q4 2020?
Deposits increased by $153.2 million, or 23.1% annualized, from the previous quarter.
What was the net interest margin for SmartFinancial in Q4 2020?
The tax equivalent net interest margin was 3.57% for Q4 2020.
What was the reduction in borrowings from the PPPLF for SmartFinancial?
SmartFinancial paid off $237.8 million in borrowings from the PPPLF.
How did SmartFinancial's tangible book value change in Q4 2020?
Tangible book value per share increased by 15.1% to $17.92 in Q4 2020.
SmartFinancial, Inc.
NYSE:SMBKSMBK RankingsSMBK Latest NewsSMBK Stock Data
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Banks - Regional
National Commercial Banks
United States of America
KNOXVILLE
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