MT. PLEASANT, S.C., April 28, 2009 (GLOBE NEWSWIRE) -- Southcoast Financial Corporation (Nasdaq:SOCB) announced that it had unaudited net income of $303,000, or $.07 per basic share, for the quarter ended March 31, 2009. This compares to unaudited net income of $744,000, or $0.16 per basic share, for the quarter ended March 31, 2008. The March 31, 2009 earnings per share are based on 4,521,890 basic average shares compared to 4,792,108 average shares for the first quarter of 2008.
President and Chief Executive Officer L. Wayne Pearson said, "We recognize the challenging times we live in. Despite these challenging times, our regulatory capital remains strong," said Pearson.
Total assets as of March 31, 2009 were $529.1 million compared to $525.9 million as of March 31, 2008; an increase of 0.6%. Loans, excluding loans held for sale, increased to $391.6 million, up 1.6% from $385.3 million as of March 31, 2008. Deposits during the same period increased 5.1% to $373.3 million. As of March 31, 2009, the ratio of nonperforming assets to total assets was 2.97% and the allowance for loan losses as a percentage of loans was 1.71%.
Southcoast Financial Corporation, headquartered in Mt. Pleasant, South Carolina, is the holding company of Southcoast Community Bank. The Bank, which opened for business July 20, 1998, is a state chartered commercial bank operating from its main office at 530 Johnnie Dodds Boulevard in Mt. Pleasant, South Carolina and nine branches in the Charleston, South Carolina area. Trading in Southcoast Financial Corporation's common stock is traded on the NASDAQ Global Market under the symbol SOCB.
Southcoast Financial Corporation
SELECTED FINANCIAL DATA
(dollars in thousands, except earnings per share)
Three Months Ended
March 2009 March 2008
(Unaudited)
INCOME STATEMENT DATA
Net interest income $ 3,288 $ 3,453
Provision for loan losses 100 381
Noninterest income 641 795
Noninterest expenses 3,570 2,923
Net income 303 744
PER SHARE DATA *
Net income per share
Basic $ 0.07 $ 0.16
Diluted $ 0.07 $ 0.16
BALANCE SHEET DATA
Total assets $529,130 $525,897
Total deposits 373,319 355,064
Total loans (net) 384,913 381,076
Investment securities 64,262 67,908
Total earning assets 452,812 456,609
Other borrowings 90,854 96,880
Junior subordinated debentures 10,310 10,310
Shareholders' equity 54,647 59,505
Average shares outstanding
Basic 4,521,890 4,792,108
Diluted 4,521,890 4,792,108
Key ratios **
Return on assets 0.23% 0.60%
Return on equity 2.24% 4.94%
Equity to asset ratio 10.33% 11.31%
Non-performing assets to assets 2.97% 1.07%
Reserve to loans 1.71% 1.10%
Net interest margin 2.84% 3.13%
Year Year Year Year Year
Ended Ended Ended Ended Ended
Dec. 2008 Dec. 2007 Dec. 2006 Dec. 2005 Dec. 2004
INCOME
STATEMENT
DATA
Net interest
income $ 15,113 $ 14,354 $ 16,145 $ 13,914 $ 10,692
Provision
for loan
losses 4,294 0 723 865 1,146
Noninterest
income 2,576 2,554 3,837 2,725 2,700
Noninterest
expenses 13,403 11,999 11,542 9,243 7,966
Net income 217 3,429 4,839 4,189 2,982
PER SHARE DATA *
Net income
per share
Basic $ 0.05 $ 0.63 $ 0.81 $ 0.97 $ 0.76
Diluted $ 0.05 $ 0.63 $ 0.80 $ 0.97 $ 0.75
BALANCE SHEET
DATA
Total
assets $534,965 $500,852 $481,856 $476,599 $366,102
Total
deposits 366,811 342,755 310,893 311,554 258,153
Total
loans (net) 397,123 374,117 363,246 371,656 293,207
Investment
securities 62,282 62,609 46,461 35,203 24,831
Total
earning
assets 476,031 443,200 445,119 440,942 344,482
Other
borrowings 97,590 81,230 67,841 67,000 58,000
Junior
subordi-
nated
debentures 10,310 10,310 21,655 21,655 11,345
Share-
holders'
equity 55,233 62,741 78,803 73,315 36,571
Average shares
outstanding
Basic 4,631,135 5,419,474 6,007,137 4,335,319 3,945,175
Diluted 4,631,135 5,423,915 6,012,445 4,340,470 4,001,380
Key ratios **
Return on
assets 0.04% 0.71% 1.00% 1.04% 0.98%
Return on
equity 0.37% 4.96% 6.22% 9.28% 8.56%
Equity to
asset
ratio 10.32% 12.53% 16.35% 15.38% 9.99%
Non-
performing
assets to
assets 3.06% 0.91% 0.18% 0.11% 0.27%
Reserve to
loans 1.83% 1.14% 1.19% 1.14% 1.15%
Net
interest
margin 3.33% 3.40% 3.64% 3.69% 3.78%
* Per share data has been adjusted for 10% stock dividends in 2007,
2006, and 2005.
** Ratios for three months are annualized.
Southcoast Financial Corporation
Consolidated Income Statement
(Dollars in thousands, except share data)
Quarter Ended
March 31, March 31,
2009 2008
(Unaudited) (Unaudited)
Interest Income
Interest and fees on loans $ 6,019 $ 6,834
Interest on investments 712 818
Interest on Fed funds sold 1 12
--------- ---------
Total interest income 6,732 7,664
Interest expense 3,444 4,211
--------- ---------
Net interest income 3,288 3,453
Provision for loan losses 100 381
--------- ---------
Net interest after provision 3,188 3,072
Other noninterest income 641 795
--------- ---------
Total operating income 3,829 3,867
Noninterest expense
Salaries and benefits 2,066 1,723
Occupancy and furniture
and equipment 665 574
Other expenses 839 626
--------- ---------
Total noninterest expense 3,570 2,923
Income before taxes 259 944
Income tax expense(benefit) (44) 200
--------- ---------
Net income $ 303 $ 744
========= =========
Basic net income per common share $ 0.07 $ 0.16
Diluted net income per common share $ 0.07 $ 0.16
Average number of common shares
Basic 4,521,890 4,792,108
Diluted 4,521,890 4,792,108
Southcoast Financial Corporation
Consolidated Balance Sheets
March 31 March 31 Dec. 31 Dec. 31 Dec. 31
2009 2008 2008 2007 2006
(Unaudited)(Unaudited)(Audited) (Audited) (Audited)
Assets
Cash and due
from banks $ 19,903 $ 22,327 $ 10,659 $ 7,033 $ 7,008
Federal Funds
sold 364 1,176 11,902 3,774 31,204
Investments 64,262 67,908 62,282 62,609 46,460
Loans held for
sale 984 0 417 384 140
Loans 391,611 385,316 404,533 378,414 367,611
Less: Allowance
for loan losses 6,698 4,240 7,410 4,297 4,364
-------- -------- -------- -------- --------
Net loans 384,913 381,076 397,123 374,117 363,247
Fixed assets 27,774 26,687 23,813 26,735 25,126
Other assets 30,930 26,723 28,769 26,200 8,671
-------- -------- -------- -------- --------
Total Assets $529,130 $525,897 $534,965 $500,852 $481,856
======== ======== ======== ======== ========
Liabilities &
Shareholders'
Equity
Deposits:
Non-interest
bearing $ 30,508 $ 30,821 $ 27,932 $ 32,607 $ 34,694
Interest bearing 342,811 324,243 338,879 310,148 276,199
-------- -------- -------- -------- --------
Total deposits 373,319 355,064 366,811 342,755 310,893
Other borrowings 85,084 96,880 97,591 81,230 67,841
Other liabilities 5,770 4,138 5,020 3,816 2,664
Junior
subordinated
debentures 10,310 10,310 10,310 10,310 21,655
-------- -------- -------- -------- --------
Total
liabilities 474,483 466,392 479,732 438,111 403,053
Shareholders'
Equity
Common Stock 53,477 56,099 53,442 60,157 75,316
Retained Earnings
and Accumulated
Other
Comprehensive
Income or Loss 1,170 3,406 1,791 2,584 3,487
-------- -------- -------- -------- --------
Total
shareholders'
equity 54,647 59,505 55,233 62,741 78,803
-------- -------- -------- -------- --------
Total
Liabilities
and
Shareholders'
equity $529,130 $525,897 $534,965 $500,852 $481,856
======== ======== ======== ======== ========
Book Value Per
Share $ 12.08 $ 12.61 $ 12.24 $ 12.52 $ 14.41
Reserve to Loans
Ratio 1.71% 1.10% 1.83% 1.14% 1.19%