Summit State Bank Reports Net Income of $928,000 for Second Quarter 2024
Summit State Bank (Nasdaq: SSBI) reported net income of $928,000, or $0.14 per diluted share, for Q2 2024, compared to $2,985,000, or $0.45 per diluted share, in Q2 2023. The decrease is primarily due to the high interest rate environment impacting funding costs. Key highlights include:
- Net loans decreased to $913,514,000
- Total deposits decreased 8% to $966,587,000
- Net interest margin was 2.71%, down from 3.44% in Q2 2023
- Nonperforming assets were 3.79% of total assets
- The allowance for credit losses to total loans was 1.52%
The bank remains well-capitalized with strong liquidity of $479,202,000, or 44.3% of total assets. Management is focused on improving financial performance and profitability in the face of ongoing industry challenges.
Summit State Bank (Nasdaq: SSBI) ha riportato un utile netto di 928.000 dollari, ovvero 0,14 dollari per azione diluita, per il secondo trimestre del 2024, rispetto a 2.985.000 dollari, o 0,45 dollari per azione diluita, nel secondo trimestre del 2023. La diminuzione è principalmente attribuibile all'alto tasso d'interesse che impatta i costi di finanziamento. I punti salienti includono:
- I prestiti netti sono diminuiti a 913.514.000 dollari
- I depositi totali sono diminuiti dell'8% a 966.587.000 dollari
- Il margine di interesse netto è stato 2,71%, in calo rispetto al 3,44% nel secondo trimestre del 2023
- Gli attivi non Performanti erano 3,79% del totale degli attivi
- Il fondo per le perdite su crediti sui prestiti totali era 1,52%
La banca rimane ben capitalizzata con una forte liquidità di 479.202.000 dollari, ovvero il 44,3% del totale degli attivi. La direzione è concentrata nel migliorare le performance finanziarie e la redditività di fronte alle sfide del settore in corso.
Summit State Bank (Nasdaq: SSBI) reportó una ganancia neta de 928,000 dólares, o 0,14 dólares por acción diluida, para el segundo trimestre de 2024, en comparación con 2,985,000 dólares, o 0,45 dólares por acción diluida, en el segundo trimestre de 2023. La disminución se debe principalmente al alto entorno de tasas de interés que impacta los costos de financiamiento. Los puntos destacados incluyen:
- Los préstamos netos disminuyeron a 913,514,000 dólares
- Los depósitos totales disminuyeron un 8% a 966,587,000 dólares
- El margen de interés neto fue de 2.71%, descendiendo del 3.44% en el segundo trimestre de 2023
- Los activos no rentables fueron 3.79% del total de activos
- La provisión para pérdidas crediticias en relación a los préstamos totales fue de 1.52%
El banco sigue estando bien capitalizado con una sólida liquidez de 479,202,000 dólares, o el 44.3% del total de activos. La administración está enfocada en mejorar el desempeño financiero y la rentabilidad frente a los desafíos actuales de la industria.
Summit State Bank (Nasdaq: SSBI)는 2024년 2분기 동안 순이익이 928,000 달러, 즉 희석 주당 0.14 달러를 기록했다고 보고했습니다. 이는 2023년 2분기의 2,985,000 달러, 즉 희석 주당 0.45 달러와 비교됩니다. 감소의 주된 원인은 자금 조달 비용에 영향을 미치는 높은 이자율 환경입니다. 주요 사항은 다음과 같습니다:
- 순 대출은 913,514,000 달러로 감소했습니다.
- 총 예금은 8% 감소하여 966,587,000 달러가 되었습니다.
- 순이자 마진은 2.71%로, 2023년 2분기의 3.44%에서 하락했습니다.
- 비수익 자산은 총 자산의 3.79%를 차지했습니다.
- 총 대출에 대한 대손충당금 비율은 1.52%입니다.
은행은 총 자산의 44.3%에 해당하는 479,202,000 달러의 탄탄한 유동성으로 잘 자본화되어 있습니다. 경영진은 지속적인 산업 도전 속에서 재무 성과와 수익성 개선에 집중하고 있습니다.
Summit State Bank (Nasdaq: SSBI) a rapporté un revenu net de 928 000 dollars, soit 0,14 dollar par action diluée, pour le deuxième trimestre de 2024, contre 2 985 000 dollars, ou 0,45 dollar par action diluée, au deuxième trimestre de 2023. La baisse est principalement due à l'environnement de taux d'intérêt élevé qui impacte les coûts de financement. Les principaux points à retenir comprennent :
- Les prêts nets ont diminué à 913 514 000 dollars
- Les dépôts totaux ont diminué de 8 % pour atteindre 966 587 000 dollars
- La marge d'intérêt nette était de 2,71 %, en baisse par rapport à 3,44 % au deuxième trimestre de 2023
- Les actifs non performants représentaient 3,79 % des actifs totaux
- La provision pour créances douteuses par rapport aux prêts totaux était de 1,52 %
La banque reste bien capitalisée avec une forte liquidité de 479 202 000 dollars, soit 44,3 % des actifs totaux. La direction se concentre sur l'amélioration de la performance financière et de la rentabilité face aux défis actuels du secteur.
Summit State Bank (Nasdaq: SSBI) berichtete im 2. Quartal 2024 einen Nettogewinn von 928.000 USD, was 0,14 USD pro verwässerter Aktie entspricht, im Vergleich zu 2.985.000 USD oder 0,45 USD pro verwässerter Aktie im 2. Quartal 2023. Der Rückgang ist hauptsächlich auf das hohe Zinsniveau zurückzuführen, das die Finanzierungskosten beeinträchtigt. Die wichtigsten Punkte umfassen:
- Die Nettodarlehen sind auf 913.514.000 USD gesunken
- Die Gesamteinlagen sind um 8% auf 966.587.000 USD zurückgegangen
- Die Nettozinsspanne lag bei 2,71%, im Vergleich zu 3,44% im 2. Quartal 2023
- Die notleidenden Vermögenswerte machten 3,79% der Gesamtvermögenswerte aus
- Die Rückstellungen für kreditbedingte Verluste betrugen 1,52% der Gesamtdarlehen
Die Bank bleibt gut kapitalisiert mit einer starken Liquidität von 479.202.000 USD, was 44,3% der Gesamtvermögen entspricht. Das Management ist bestrebt, die finanzielle Leistung und Rentabilität angesichts der andauernden Herausforderungen in der Branche zu verbessern.
- Bank maintains strong total liquidity of $479,202,000, or 44.3% of total assets
- All regulatory capital ratios were well above minimum requirements
- Book value increased to $14.44 per share from $13.92 a year ago
- Shareholders' equity increased to $97,949,000 from $94,435,000 a year earlier
- Net income decreased to $928,000 from $2,985,000 in Q2 2023
- Net interest margin contracted to 2.71% from 3.44% in Q2 2023
- Total deposits decreased 8% year-over-year
- Nonperforming assets increased to 3.79% of total assets from 2.31% a year ago
- Net charge-offs of $1,347,000 compared to net recoveries of $10,000 in Q2 2023
Insights
Summit State Bank's Q2 2024 results reveal significant challenges in the current high-interest-rate environment. The net income of
The bank's total deposits decreased by
Of particular concern is the rise in nonperforming assets to
On a positive note, the bank maintains strong liquidity at
Overall, while Summit State Bank is navigating a difficult interest rate environment, its focus on improving asset quality and maintaining strong capital ratios could position it well for future recovery. However, the significant earnings decline and rise in nonperforming assets suggest a potentially rocky road ahead.
Summit State Bank's Q2 2024 results reflect broader trends in the banking industry, particularly the impact of the high-interest-rate environment on regional banks. The significant year-over-year decline in net income and net interest margin highlights the pressure on profitability that many banks are facing.
The
The modest
The bank's commercial real estate exposure, comprising
Summit State Bank's performance relative to its peers and the broader banking sector will be important to watch in the coming quarters, as the industry continues to navigate the challenges of a potentially prolonged high-interest-rate environment.
SANTA ROSA, Calif., July 31, 2024 (GLOBE NEWSWIRE) -- Summit State Bank (the “Bank”) (Nasdaq: SSBI) today reported net income for the second quarter ended June 30, 2024 of
“Our second quarter earnings continue to be directly impacted by the high interest rate environment and its impact on funding costs, a challenge that is affecting the entire banking industry,” said Brian Reed, President and CEO. “We are implementing steps to grow net income and remain focused on improving our financial performance. Loan balances decreased modestly during the second quarter related to our efforts to focus on asset quality and pricing versus growth. Our focus is on improving our performance metrics and increasing profitability in each successive quarter. While the possibility of a continued industry-wide higher-for-longer interest rate cycle still exists, we remain optimistic about our future performance.”
Second Quarter 2024 Financial Highlights (at or for the three months ended June 30, 2024)
- Net income was
$928,000 , or$0.14 per diluted share, compared to$2,985,000 , or$0.45 per diluted share, in the second quarter of 2023 and$1,395,000 , or$0.21 per diluted share, for the first quarter ended March 31, 2024. - The allowance for credit losses to total loans was
1.52% on June 30, 2024 which is based on estimating credit losses for the life of the loans in the portfolio. - The Bank maintains strong total liquidity of 479,202,000, or
44.3% of total assets as of June 30, 2024. This includes on balance sheet liquidity (cash and equivalents and unpledged available-for-sale securities) of$115,094,000 or10.6% of total assets, plus available borrowing capacity of$364,108,000 or33.6% of total assets. - The Bank remains well-capitalized and all regulatory capital ratios were well above minimum requirements on June 30, 2024.
- Net loans decreased
$11,292,000 t o$913,514,000 at June 30, 2024, compared to$924,806,000 one year earlier and decreased$4,171,000 compared to$917,685,000 t hree months earlier. - Total deposits decreased
8% to$966,587,000 at June 30, 2024, compared to$1,048,316,000 at June 30, 2023, and increased3% when compared to the prior quarter end of$939,202,000. - Book value was
$14.44 per share, compared to$13.92 per share a year ago and$14.43 in the preceding quarter.
Operating Results
For the second quarter of 2024, the annualized return on average assets was
Summit’s net interest margin was
“Higher funding costs outpaced the increase in loan yields during the second quarter, causing our net interest margin to contract 10 basis points compared to the preceding quarter,” said Reed. “The cost of deposits was
Noninterest income decreased in the second quarter of 2024 to
Operating expenses decreased in the second quarter of 2024 to
Balance Sheet Review
Net loans decreased
Total deposits decreased
Shareholders’ equity was
Summit State Bank continues to maintain capital levels in excess of the requirements to be categorized as “well-capitalized” with average equity to assets of
Credit Quality
“We continue to closely monitor asset quality and are diligently working to reduce portfolio risk,” said Reed. “Nonperforming loans which are concentrated in the secured by farmland category declined from the immediate prior quarter while our commercial real estate portfolios continue to perform well.”
Nonperforming assets were
Net charge-offs were
For the second quarter of 2024, consistent with factors within the allowance for credit losses, the Bank recorded a
The allowance for credit losses to total loans was
About Summit State Bank
Summit State Bank, a local community bank, has total assets of
Summit State Bank is committed to embracing the diverse backgrounds, cultures and talents of its employees to create high performance and support the evolving needs of its customers and community it serves. At the center of diversity is inclusion, collaboration, and a shared vision for delivering superior service to customers and results for shareholders. Presently,
Forward-looking Statements
The financial results in this release are preliminary. Final financial results and other disclosures will be reported in Summit State Bank’s quarterly report on Form 10-Q for the period ended June 30, 2024 and may differ materially from the results and disclosures in this release due to, among other things, the completion of final review procedures, the occurrence of subsequent events or the discovery of additional information.
Except for historical information contained herein, the statements contained in this news release, are forward-looking statements within the meaning of the “safe harbor” provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. This release may contain forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, and competition within the business areas in which the Bank will be conducting its operations, including the real estate market in California and other factors beyond the Bank’s control. Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated. You should not place undue reliance on the forward-looking statements, which reflect management’s view only as of the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.
SUMMIT STATE BANK | ||||||||||||||
STATEMENTS OF INCOME | ||||||||||||||
(In thousands except earnings per share data) | ||||||||||||||
Three Months Ended | ||||||||||||||
June 30, 2024 | March 31, 2024 | June 30, 2023 | ||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||
Interest and dividend income: | ||||||||||||||
Interest and fees on loans | $ | 13,083 | $ | 13,274 | $ | 13,381 | ||||||||
Interest on deposits with banks | 451 | 362 | 1,449 | |||||||||||
Interest on investment securities | 709 | 712 | 715 | |||||||||||
Dividends on FHLB stock | 128 | 129 | 80 | |||||||||||
Total interest and dividend income | 14,371 | 14,477 | 15,625 | |||||||||||
Interest expense: | ||||||||||||||
Deposits | 7,046 | 6,786 | 5,819 | |||||||||||
Federal Home Loan Bank advances | 137 | 190 | 48 | |||||||||||
Junior subordinated debt | 94 | 94 | 94 | |||||||||||
Total interest expense | 7,277 | 7,070 | 5,961 | |||||||||||
Net interest income before provision for credit losses | 7,094 | 7,407 | 9,664 | |||||||||||
Provision for (reversal of) credit losses on loans | 6 | (15 | ) | - | ||||||||||
(Reversal of) provision for credit losses on unfunded loan commitments | (26 | ) | (65 | ) | 35 | |||||||||
Provision for (reversal of) credit losses on investments | 4 | (5 | ) | - | ||||||||||
Net interest income after provision for (reversal of) credit | ||||||||||||||
losses on loans, unfunded loan commitments and investments | 7,110 | 7,492 | 9,629 | |||||||||||
Non-interest income: | ||||||||||||||
Service charges on deposit accounts | 227 | 233 | 215 | |||||||||||
Rental income | 60 | 60 | 39 | |||||||||||
Net gain on loan sales | 270 | 514 | - | |||||||||||
Other income | 244 | 141 | 1,195 | |||||||||||
Total non-interest income | 801 | 948 | 1,449 | |||||||||||
Non-interest expense: | ||||||||||||||
Salaries and employee benefits | 4,039 | 4,182 | 4,199 | |||||||||||
Occupancy and equipment | 443 | 485 | 442 | |||||||||||
Other expenses | 2,145 | 1,733 | 2,181 | |||||||||||
Total non-interest expense | 6,627 | 6,400 | 6,822 | |||||||||||
Income before provision for income taxes | 1,284 | 2,040 | 4,256 | |||||||||||
Provision for income taxes | 356 | 645 | 1,271 | |||||||||||
Net income | $ | 928 | $ | 1,395 | $ | 2,985 | ||||||||
Basic earnings per common share | $ | 0.14 | $ | 0.21 | $ | 0.45 | ||||||||
Diluted earnings per common share | $ | 0.14 | $ | 0.21 | $ | 0.45 | ||||||||
Basic weighted average shares of common stock outstanding | 6,719 | 6,698 | 6,697 | |||||||||||
Diluted weighted average shares of common stock outstanding | 6,719 | 6,698 | 6,700 | |||||||||||
SUMMIT STATE BANK | |||||||||||
STATEMENTS OF INCOME | |||||||||||
(In thousands except earnings per share data) | |||||||||||
Six Months Ended | |||||||||||
June 30, 2024 | June 30, 2023 | ||||||||||
(Unaudited) | (Unaudited) | ||||||||||
Interest and dividend income: | |||||||||||
Interest and fees on loans | $ | 26,358 | $ | 26,321 | |||||||
Interest on deposits with banks | 813 | 2,355 | |||||||||
Interest on investment securities | 1,421 | 1,434 | |||||||||
Dividends on FHLB stock | 258 | 164 | |||||||||
Total interest and dividend income | 28,850 | 30,274 | |||||||||
Interest expense: | |||||||||||
Deposits | 13,832 | 10,219 | |||||||||
Federal Home Loan Bank advances | 328 | 167 | |||||||||
Junior Subordinated Debt | 188 | 187 | |||||||||
Total interest expense | 14,348 | 10,573 | |||||||||
Net interest income before provision for credit losses | 14,502 | 19,701 | |||||||||
(Reversal of) provision for credit losses on loans | (9 | ) | 400 | ||||||||
(Reversal of) provision for credit losses on unfunded loan commitments | (91 | ) | 2 | ||||||||
(Reversal of) provision for credit losses on investments | (1 | ) | - | ||||||||
Net interest income after provision for (reversal of) credit | |||||||||||
losses on loans, unfunded loan commitments and investments | 14,603 | 19,299 | |||||||||
Non-interest income: | |||||||||||
Service charges on deposit accounts | 460 | 422 | |||||||||
Rental income | 120 | 79 | |||||||||
Net gain on loan sales | 784 | 1,435 | |||||||||
Other income | 385 | 1,473 | |||||||||
Total non-interest income | 1,749 | 3,409 | |||||||||
Non-interest expense: | |||||||||||
Salaries and employee benefits | 8,221 | 7,992 | |||||||||
Occupancy and equipment | 928 | 894 | |||||||||
Other expenses | 3,879 | 3,755 | |||||||||
Total non-interest expense | 13,028 | 12,641 | |||||||||
Income before provision for income taxes | 3,324 | 10,067 | |||||||||
Provision for income taxes | 1,001 | 2,966 | |||||||||
Net income | $ | 2,323 | $ | 7,101 | |||||||
Basic earnings per common share | $ | 0.35 | $ | 1.06 | |||||||
Diluted earnings per common share | $ | 0.35 | $ | 1.06 | |||||||
Basic weighted average shares of common stock outstanding | 6,708 | 6,689 | |||||||||
Diluted weighted average shares of common stock outstanding | 6,708 | 6,690 | |||||||||
SUMMIT STATE BANK | ||||||||||||||
BALANCE SHEETS | ||||||||||||||
(In thousands except share data) | ||||||||||||||
June 30, 2024 | March 31, 2024 | June 30, 2023 | ||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||
ASSETS | ||||||||||||||
Cash and due from banks | $ | 40,142 | $ | 37,712 | $ | 112,412 | ||||||||
Total cash and cash equivalents | 40,142 | 37,712 | 112,412 | |||||||||||
Investment securities: | ||||||||||||||
Available-for-sale, less allowance for credit losses of | ||||||||||||||
(at fair value; amortized cost of | 83,105 | 83,832 | 83,593 | |||||||||||
Loans, less allowance for credit losses of | 913,514 | 917,685 | 924,806 | |||||||||||
Bank premises and equipment, net | 5,306 | 5,287 | 5,426 | |||||||||||
Investment in Federal Home Loan Bank stock (FHLB), at cost | 5,889 | 5,541 | 5,541 | |||||||||||
Goodwill | 4,119 | 4,119 | 4,119 | |||||||||||
Other Real Estate Owned | 5,130 | - | - | |||||||||||
Affordable housing tax credit investments | 7,942 | 8,165 | 8,586 | |||||||||||
Accrued interest receivable and other assets | 16,898 | 17,850 | 16,926 | |||||||||||
Total assets | $ | 1,082,045 | $ | 1,080,191 | $ | 1,161,409 | ||||||||
LIABILITIES AND | ||||||||||||||
SHAREHOLDERS' EQUITY | ||||||||||||||
Deposits: | ||||||||||||||
Demand - non interest-bearing | $ | 183,181 | $ | 179,328 | $ | 212,489 | ||||||||
Demand - interest-bearing | 218,124 | 222,313 | 194,596 | |||||||||||
Savings | 42,974 | 48,214 | 57,003 | |||||||||||
Money market | 212,750 | 222,153 | 176,616 | |||||||||||
Time deposits that meet or exceed the FDIC insurance limit | 74,744 | 65,763 | 175,810 | |||||||||||
Other time deposits | 234,814 | 201,431 | 231,802 | |||||||||||
Total deposits | 966,587 | 939,202 | 1,048,316 | |||||||||||
Federal Home Loan Bank advances | 3,500 | 28,600 | - | |||||||||||
Junior subordinated debt | 5,927 | 5,924 | 5,913 | |||||||||||
Affordable housing commitment | 4,061 | 4,094 | 4,435 | |||||||||||
Accrued interest payable and other liabilities | 4,021 | 4,493 | 8,310 | |||||||||||
Total liabilities | 984,096 | 982,313 | 1,066,974 | |||||||||||
Shareholders' equity | ||||||||||||||
Preferred stock, no par value; 20,000,000 shares authorized; | ||||||||||||||
no shares issued and outstanding | - | - | - | |||||||||||
Common stock, no par value; shares authorized - 30,000,000 shares; | ||||||||||||||
issued and outstanding 6,784,099, 6,784,099 and 6,784,099 | 37,623 | 37,552 | 37,301 | |||||||||||
Retained earnings | 69,651 | 69,539 | 66,844 | |||||||||||
Accumulated other comprehensive loss, net | (9,325 | ) | (9,213 | ) | (9,710 | ) | ||||||||
Total shareholders' equity | 97,949 | 97,878 | 94,435 | |||||||||||
Total liabilities and shareholders' equity | $ | 1,082,045 | $ | 1,080,191 | $ | 1,161,409 | ||||||||
Financial Summary | ||||||||||||
(Dollars in thousands except per share data) | ||||||||||||
As of and for the | ||||||||||||
Three Months Ended | ||||||||||||
June 30, 2024 | March 31, 2024 | June 30, 2023 | ||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | ||||||||||
Statement of Income Data: | ||||||||||||
Net interest income | $ | 7,094 | $ | 7,407 | $ | 9,664 | ||||||
Provision for (reversal of) credit losses on loans | 6 | (15 | ) | - | ||||||||
(Reversal of) provision for credit losses on unfunded loan commitments | (26 | ) | (65 | ) | 35 | |||||||
Provision for (reversal of) credit losses on investments | 4 | (5 | ) | - | ||||||||
Non-interest income | 801 | 948 | 1,449 | |||||||||
Non-interest expense | 6,627 | 6,400 | 6,822 | |||||||||
Provision for income taxes | 356 | 645 | 1,271 | |||||||||
Net income | $ | 928 | $ | 1,395 | $ | 2,985 | ||||||
Selected per Common Share Data: | ||||||||||||
Basic earnings per common share | $ | 0.14 | $ | 0.21 | $ | 0.45 | ||||||
Diluted earnings per common share | $ | 0.14 | $ | 0.21 | $ | 0.45 | ||||||
Dividend per share | $ | 0.12 | $ | 0.12 | $ | 0.12 | ||||||
Book value per common share (1) | $ | 14.44 | $ | 14.43 | $ | 13.92 | ||||||
Selected Balance Sheet Data: | ||||||||||||
Assets | $ | 1,082,045 | $ | 1,080,191 | $ | 1,161,409 | ||||||
Loans, net | 913,514 | 917,685 | 924,806 | |||||||||
Deposits | 966,587 | 939,202 | 1,048,316 | |||||||||
Average assets | 1,078,700 | 1,087,960 | 1,157,193 | |||||||||
Average earning assets | 1,049,254 | 1,057,338 | 1,125,327 | |||||||||
Average shareholders' equity | 97,548 | 97,471 | 94,340 | |||||||||
Nonperforming loans | 35,864 | 41,548 | 24,908 | |||||||||
Net loans (charged-off) recovered | (1,067 | ) | 281 | 10 | ||||||||
Other real estate owned | 5,130 | - | - | |||||||||
Total nonperforming assets | 40,994 | 41,548 | 24,908 | |||||||||
Selected Ratios: | ||||||||||||
Return on average assets (2) | 0.35 | % | 0.51 | % | 1.03 | % | ||||||
Return on average common shareholders' equity (2) | 3.82 | % | 5.74 | % | 12.69 | % | ||||||
Efficiency ratio (3) | 83.94 | % | 76.60 | % | 61.39 | % | ||||||
Net interest margin (2) | 2.71 | % | 2.81 | % | 3.44 | % | ||||||
Common equity tier 1 capital ratio | 10.39 | % | 10.37 | % | 9.40 | % | ||||||
Tier 1 capital ratio | 10.39 | % | 10.37 | % | 9.40 | % | ||||||
Total capital ratio | 12.26 | % | 12.24 | % | 11.23 | % | ||||||
Tier 1 leverage ratio | 9.31 | % | 9.21 | % | 8.36 | % | ||||||
Common dividend payout ratio (4) | 87.96 | % | 58.27 | % | 27.40 | % | ||||||
Average shareholders' equity to average assets | 9.04 | % | 8.96 | % | 8.15 | % | ||||||
Nonperforming loans to total loans | 3.87 | % | 4.45 | % | 2.65 | % | ||||||
Nonperforming assets to total assets | 3.79 | % | 3.85 | % | 2.14 | % | ||||||
Allowance for credit losses to total loans | 1.52 | % | 1.66 | % | 1.62 | % | ||||||
Allowance for credit losses to nonperforming loans | 39.44 | % | 37.27 | % | 61.27 | % | ||||||
(1) Total shareholders' equity divided by total common shares outstanding. | ||||||||||||
(2) Annualized. | ||||||||||||
(3) Non-interest expenses to net interest and non-interest income, net of securities gains. | ||||||||||||
(4) Common dividends divided by net income available for common shareholders. | ||||||||||||
Financial Summary | |||||||||
(Dollars in thousands except per share data) | |||||||||
As of and for the | |||||||||
Six Months Ended | |||||||||
June 30, 2024 | June 30, 2023 | ||||||||
(Unaudited) | (Unaudited) | ||||||||
Statement of Income Data: | |||||||||
Net interest income | $ | 14,502 | $ | 19,701 | |||||
(Reversal of) provision for credit losses on loans | (9 | ) | 400 | ||||||
(Reversal of) provision for credit losses on unfunded loan commitments | (91 | ) | 2 | ||||||
(Reversal of) provision for credit losses on investments | (1 | ) | - | ||||||
Non-interest income | 1,749 | 3,409 | |||||||
Non-interest expense | 13,028 | 12,641 | |||||||
Provision for income taxes | 1,001 | 2,966 | |||||||
Net income | $ | 2,323 | $ | 7,101 | |||||
Selected per Common Share Data: | |||||||||
Basic earnings per common share | $ | 0.35 | $ | 1.06 | |||||
Diluted earnings per common share | $ | 0.35 | $ | 1.06 | |||||
Dividend per share | $ | 0.24 | $ | 0.24 | |||||
Book value per common share (1) | $ | 14.44 | $ | 13.92 | |||||
Selected Balance Sheet Data: | |||||||||
Assets | $ | 1,082,045 | $ | 1,161,409 | |||||
Loans, net | 913,514 | 924,806 | |||||||
Deposits | 966,587 | 1,048,316 | |||||||
Average assets | 1,083,330 | 1,146,612 | |||||||
Average earning assets | 1,053,296 | 1,114,790 | |||||||
Average shareholders' equity | 97,509 | 92,587 | |||||||
Nonperforming loans | 35,864 | 24,908 | |||||||
Net loans (charged-off) recovered | (1,067 | ) | 22 | ||||||
Other real estate owned | 5,130 | - | |||||||
Total nonperforming assets | 40,994 | 24,908 | |||||||
Selected Ratios: | |||||||||
Return on average assets (2) | 0.43 | % | 1.25 | % | |||||
Return on average common shareholders' equity (2) | 4.78 | % | 15.47 | % | |||||
Efficiency ratio (3) | 80.17 | % | 54.70 | % | |||||
Net interest margin (2) | 2.76 | % | 3.56 | % | |||||
Common equity tier 1 capital ratio | 10.39 | % | 9.40 | % | |||||
Tier 1 capital ratio | 10.39 | % | 9.40 | % | |||||
Total capital ratio | 12.26 | % | 11.23 | % | |||||
Tier 1 leverage ratio | 9.31 | % | 8.36 | % | |||||
Common dividend payout ratio (4) | 70.12 | % | 23.14 | % | |||||
Average shareholders' equity to average assets | 9.00 | % | 8.07 | % | |||||
Nonperforming loans to total loans | 3.87 | % | 2.65 | % | |||||
Nonperforming assets to total assets | 3.79 | % | 2.14 | % | |||||
Allowance for credit losses to total loans | 1.52 | % | 1.62 | % | |||||
Allowance for credit losses to nonperforming loans | 39.44 | % | 61.27 | % | |||||
(1) Total shareholders' equity divided by total common shares outstanding. | |||||||||
(2) Annualized. | |||||||||
(3) Non-interest expenses to net interest and non-interest income, net of securities gains. | |||||||||
(4) Common dividends divided by net income available for common shareholders. | |||||||||
Contact: Brian Reed, President and CEO, Summit State Bank (707) 568-4908
FAQ
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