ServisFirst Bancshares, Inc. Announces Record Second Quarter 2011
BIRMINGHAM, Ala., July 18, 2011 /PRNewswire/ -- ServisFirst Bancshares, Inc. today reported record earnings for the quarter and six months ending June 30, 2011.
SECOND QUARTER 2011 HIGHLIGHTS:
-- Assets exceed $2 billion
-- Second quarter record net income of $5.8 million, a 45% increase
year/year
-- Basic earnings per share of $1.88 for the first six months of 2011
-- Closed Pensacola common equity raise at $30 per share, for total
proceeds of $10.2 million, and $40 million Small Business Lending Fund
preferred stock sale in second quarter
-- Tier 2 Capital over $229 million
-- 23 consecutive quarters of profitability
Tom Broughton, CEO and President, said, "We continue to focus on delivering high quality service to our clients, and, with our clients' help, are gratified to have grown to over $2 billion in assets in the past six years." Bud Foshee, CFO, stated, "Our focus in solid banking fundamentals has resulted in our ranking as one of the top performing community banks in the U.S. according to SNL Financial."
ABOUT SERVISFIRST:
ServisFirst Bancshares, Inc. is a bank holding company based in Birmingham, Alabama. Through its subsidiary ServisFirst Bank, ServisFirst provides business and personal financial services through locations in Birmingham, Alabama; Huntsville, Alabama; Montgomery, Alabama; Dothan, Alabama; and Pensacola, Florida.
ServisFirst files periodic reports with the U.S. Securities and Exchange Commission (SEC). Copies of its filings may be obtained through the SEC's website at www.sec.gov or at www.servisfirstbancshares.com.
Statements in this press release that are not historical facts, including, but not limited to, statements concerning future operations, results or performance, are hereby identified as "forward-looking statements" for the purpose of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934 and Section 27A of the Securities Act of 1933. The words "believe," "expect," "anticipate," "project," "plan,", "intend," "will," "would," "might" and similar expressions often signify forward-looking statements. Such statements involve inherent risks and uncertainties. ServisFirst Bancshares, Inc. cautions that such forward-looking statements, wherever they occur in this press release or in other statements attributable to ServisFirst Bancshares, Inc., are necessarily estimates reflecting the judgment of ServisFirst Bancshares, Inc.'s senior management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Such forward-looking statements should, therefore, be considered in light of various factors that could affect the accuracy of such forward-looking statements, including: general economic conditions, especially in the credit markets and in the Southeast; the performance of the capital markets; changes in interest rates, yield curves and interest rate spread relationships; changes in accounting and tax principles, policies or guidelines; changes in legislation or regulatory requirements; changes in our loan portfolio and the deposit base, possible changes in laws and regulations and governmental monetary and fiscal policies, including, but not limited to, economic stimulus initiatives and so-called "bailout" initiatives; the cost and other effects of legal and administrative cases and similar contingencies; possible changes in the creditworthiness of customers and the possible impairment of the collectibility of loans and the value of collateral; the effect of natural disasters, such as hurricanes, in our geographic markets; and increased competition from both banks and non-bank financial institutions. The foregoing list of factors is not exhaustive. For discussion of these and other risks that may cause actual results to differ from expectations, please refer to "Risk Factors" in our most recent Annual Report on Form 10-K and our other SEC filings. If one or more of the factors affecting our forward-looking information and statements proves incorrect, then our actual results, performance or achievements could differ materially from those expressed in, or implied by, forward-looking information and statements contained herein. Accordingly, you should not place undue reliance on any forward-looking statements, which speak only as of the date made. ServisFirst Bancshares, Inc. assumes no obligation to update or revise any forward-looking statements that are made from time to time.
More information about ServisFirst Bancshares may be obtained over the Internet at www.servisfirstbancshares.com or by calling (205) 949-0302.
CONTACT: ServisFirst Bank
Bud Foshee (205) 949-0307
BFoshee@servisfirstbank.com
SERVISFIRST BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except shares and per share data)
Three Months Ended
June 30, March 31,
2011 2010 2011
(Unaudited) (Unaudited) (Unaudited)
Total interest income $ 22,080 $ 18,996 $ 20,961
Total interest expense 4,032 3,688 3,985
Net interest income before provision 18,048 15,308 16,976
Provision for loan losses 1,494 2,537 2,231
Net interest income after provision
for loan losses 16,554 12,771 14,745
Total noninterest income 1,782 1,004 1,271
Salaries and employee benefits 5,026 3,147 4,214
Other noninterest expense 4,343 4,414 4,383
Total noninterest expense 9,369 7,561 8,597
Income before taxes 8,967 6,214 7,419
Income taxes 3,122 2,193 2,548
Net income $ 5,845 $ 4,021 $ 4,871
Basic earnings per share $ 1.02 $ 0.73 $ 0.88
Diluted earnings per share $ 0.89 $ 0.65 $ 0.77
Average basic shares 5,708,871 5,513,482 5,527,482
Average fully diluted shares 6,705,953 6,399,929 6,514,103
Six Months Ended June 30,
2011 2010
(Unaudited) (Unaudited)
Total interest income $ 43,041 $ 37,498
Total interest expense 8,017 7,284
Net interest income before provision 35,024 30,214
Provision for loan losses 3,725 5,075
Net interest income after provision
for loan losses 31,299 25,139
Total noninterest income 3,053 2,136
Salaries and employee benefits 9,240 6,629
Other noninterest expense 8,726 8,364
Total noninterest expense 17,966 14,993
Income before taxes 16,386 12,282
Income taxes 5,670 4,248
Net income $ 10,716 $ 8,034
Basic earnings per share $ 1.88 $ 1.46
Diluted earnings per share $ 1.65 $ 1.33
Average basic shares 5,694,871 5,513,482
Average fully diluted shares 6,657,359 6,159,841
SERVISFIRST BANCSHARES, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
December 31,
June 30, 2011 June 30, 2010 2010
(Unaudited) (Unaudited) (Audited)
ASSETS
Cash and due from banks $ 102,914 $ 127,102 $ 231,632
Investment securities 244,566 236,467 282,193
Restricted equity securities 3,899 3,510 3,510
Federal funds sold and other
investments 94,541 148 346
Mortgage loans held for sale 4,092 4,462 7,875
Loans 1,560,974 1,288,410 1,394,818
Reserve for loan losses (19,516) (15,713) (18,077)
Net loans 1,541,458 1,272,697 1,376,741
Foreclosed real
estate 6,931 10,773 6,966
Other assets 26,196 26,725 25,903
Total assets $ 2,024,597 $ 1,681,884 $ 1,935,166
LIABILITIES AND STOCKHOLDERS'
EQUITY
Liabilities:
Noninterest-bearing $ 283,968 $ 188,657 $ 250,490
Interest-bearing 1,519,906 1,326,247 1,508,226
Total deposits 1,803,874 1,514,904 1,758,716
Borrowings 35,435 55,278 55,357
Interest payable 983 887 898
Other liabilities 3,104 1,769 3,095
Total liabilities 1,843,396 1,572,838 1,818,066
Stockholders' equity 181,201 109,046 117,100
Total liabilities and stockholders'
equity $ 2,024,597 $ 1,681,884 $ 1,935,166
SERVISFIRST BANCSHARES, INC.
Key Ratios
Three Months Ended
June 30, March 31,
2011 2010 2011
(Unaudited) (Unaudited) (Unaudited)
Return on average assets 1.22% 1.02% 1.06%
Return on average equity 17.30% 15.34% 16.50%
Net interest margin (fully tax
equivalent) 3.93% 4.07% 3.86%
Efficiency ratio 47.25% 46.35% 47.11%
Six Months Ended June 30,
2011 2010
(Unaudited) (Unaudited)
Return on average assets 1.14% 1.04%
Return on average equity 16.56% 15.77%
Net interest margin (fully tax
equivalent) 3.90% 4.11%
Efficiency ratio 47.18% 46.35%
June 30, March 31,
2011 2010 2011
(Unaudited) (Unaudited) (Unaudited)
Book value per share $ 24.05 $ 19.78 $ 22.15
Tangible book value per share $ 24.05 $ 19.78 $ 22.15
% of reserve for loan losses to total
loans 1.25% 1.22% 1.31%
Nonperforming assets to total loans
plus foreclosed real estate 1.79% 1.45% 1.98%
SOURCE ServisFirst Bancshares, Inc.
Released July 18, 2011