SERVISFIRST BANCSHARES, INC.

Announces Record Earnings for 2012

 

Birmingham, Ala. – (PR Newswire) – January 28, 2013 – ServisFirst Bancshares, Inc. today reported earnings for the quarter and the year ended December 31, 2012.

 

2012 and Fourth Quarter Highlights:

 

§2012 net income of $34 million, a 48% increase over 2011
§Fourth Quarter net income of $8.5 million, a 31% increase year / year
§Fully diluted earnings per share of $4.99 for 2012
§Paid a special dividend of $0.50 per share on 12/31/2012
§Loan growth of $532 million for 2012, a 29% increase year / year

 

Bud Foshee, CFO, stated, “We are pleased to report both record earnings and seven consecutive years of profitability.” Tom Broughton, President and CEO, said “We are pleased to reflect continued high asset quality with our nonperforming assets to total loans plus foreclosed real estate ending the year under 1%. Our book value reached $30.84 per share, which is more than triple our initial book value in 2005.”

 

ABOUT SERVISFIRST:

ServisFirst Bancshares, Inc. is a bank holding company based in Birmingham, Alabama. Through its subsidiary ServisFirst Bank, ServisFirst Bancshares, Inc. provides business and personal financial services from locations in Birmingham, Huntsville, Mobile, Montgomery and Dothan, Alabama and Pensacola, Florida.

 

ServisFirst Bancshares, Inc. 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 and tornados, 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 “Cautionary Note Regarding Forward-looking Statements” and “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, Inc. 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 
   December 31,   September 30, 
   2012   2011   2012 
Total interest income  $29,055   $25,058   $27,743 
Total interest expense   3,624    3,970    3,695 
Net interest income before provision for loan losses   25,431    21,088    24,048 
Provision for loan losses   2,449    2,507    1,185 
Net interest income after provision for loan losses   22,982    18,581    22,863 
Total noninterest income   2,586    2,065    2,360 
                
Salaries and employee benefits   6,477    5,555    5,697 
Other noninterest expense   6,426    5,105    5,574 
Total noninterest expense   12,903    10,660    11,271 
Income before taxes   12,665    9,986    13,952 
Income taxes   4,108    3,399    4,650 
Net income   8,557    6,587    9,302 
Preferred stock dividends   100    100    100 
Net income available to common stockholders  $8,457   $6,487   $9,202 
                
Basic earnings per common share  $1.40   $1.10   $1.53 
Diluted earnings per common share  $1.23   $0.96   $1.35 
Average basic common shares   6,052,570    5,908,455    6,005,242 
Average fully diluted common shares   6,971,752    6,888,206    6,947,429 

 

   Year Ended December 31, 
   2012   2011 
Total interest income  $109,023   $91,411 
Total interest expense   14,901    16,080 
Net interest income before provision for loan losses   94,122    75,331 
Provision for loan losses   9,100    8,972 
Net interest income after provision for loan losses   85,022    66,359 
Total noninterest income   9,643    6,926 
           
Salaries and employee benefits   22,587    19,518 
Other noninterest expense   20,513    17,940 
Total noninterest expense   43,100    37,458 
Income before taxes   51,565    35,827 
Income taxes   17,120    12,389 
Net income   34,445    23,438 
Preferred stock dividends   400    200 
Net income available to common stockholders  $34,045   $23,238 
           
Basic earnings per common share  $5.68   $4.03 
Diluted earnings per common share  $4.99   $3.53 
Average basic common shares   5,996,437    5,759,524 
Average fully diluted common shares   6,941,752    6,749,163 

 

 
 

 

 

SERVISFIRST BANCSHARES, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands)

 

   December 31, 2012   December 31, 2011   September 30, 2012 
ASSETS               
Cash and due from banks  $177,450   $142,368   $244,673 
Investment securities   259,848    309,018    257,373 
Restricted equity securities   3,941    3,501    3,941 
Federal funds sold and other investments   3,291    100,565    10,672 
Mortgage loans held for sale   25,826    17,859    28,558 
                
Loans   2,363,182    1,830,742    2,161,130 
Reserve for loan losses   (26,258)   (22,030)   (24,604)
Net loans   2,336,924    1,808,712    2,136,526 
Foreclosed real estate   9,685    12,275    9,641 
Bank owned life insurance contracts   57,014    40,390    41,551 
Other assets   32,335    26,097    30,299 
Total assets  $2,906,314   $2,460,785   $2,763,234 
                
LIABILITIES AND STOCKHOLDERS' EQUITY          
Liabilities:               
Noninterest-bearing  $545,174   $418,810   $512,962 
Interest-bearing   1,966,398    1,725,077    1,896,559 
Total deposits   2,511,572    2,143,887    2,409,521 
Federal funds purchased   117,065    79,265    91,317 
Borrowings   34,967    35,468    30,463 
Interest payable   942    945    918 
Other liabilities   8,511    4,928    6,009 
Total liabilities   2,673,057    2,264,493    2,538,228 
                
Stockholders' equity   233,257    196,292    225,006 
Total liabilities and stockholders' equity  $2,906,314   $2,460,785   $2,763,234 

 

 

 
 

 

 

SERVISFIRST BANCSHARES, INC.

Key Ratios

   Three Months Ended 
   December 31,   September 30, 
   2012   2011   2012 
Return on average assets   1.18%   1.08%   1.38%
Return on average common equity   14.67%   13.40%   16.64%
Net interest margin (fully taxable-equivalent)   3.75%   3.72%   3.82%
Efficiency ratio   46.05%   46.04%   42.68%

 

    Year Ended December 31,      
    2012    2011      
Return on average assets   1.30%   1.11%     
Return on average common equity   15.81%   14.73%     
Net interest margin (fully taxable-equivalent)   3.80%   3.79%     
Efficiency ratio   41.54%   45.54%     

 

    December 31,    September 30, 
    2012    2011    2012 
Book value per common share  $30.84   $26.34   $30.81 
Tangible book value per common share  $30.84   $26.34   $30.81 
% of reserve for loan losses to total loans   1.11%   1.20%   1.14%
Nonperforming assets to total loans plus foreclosed real estate   0.85%   1.41%   1.05%
Nonperforming assets to total assets   0.69%   1.06%   0.83%