Exhibit 99.1

 

SERVISFIRST BANCSHARES, INC.

Announces Record Earnings For 2011

 

Birmingham, Ala. – (PR Newswire) – January 24, 2012 – ServisFirst Bancshares, Inc. today reported earnings for the quarter and year ended December 31, 2011.

 

2011 and Fourth Quarter Highlights:

 

§     2011 net income of $23.2 million, a 34% increase over 2010

§     Basic earnings per common share of $4.03 for 2011

§     Fourth quarter net income increase of 43% year/year

§     Loan growth of $435.9 million, 31% year/year

§     Six consecutive years of profitability

 

Tom Broughton, President and CEO, said “We are pleased to report record earnings which were driven by significant loan growth in all of our five regions.” Bud Foshee, CFO, stated, “Our strong financial condition continues to be a competitive advantage for our bank.”

 

ABOUT SERVISFIRST:

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

 

ServisFirst Bancshares 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 “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

 

1
 

 

 

SERVISFIRST BANCSHARES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except shares and per share data)

  

 

    Three Months Ended 
    December 31,   September 30, 
             
   2011   2010   2011 
   (Unaudited)   (Unaudited)   (Unaudited) 
Total interest income  $25,058   $20,689   $23,312 
Total interest expense   3,970    4,004    4,093 
Net interest income before provision   21,088    16,685    19,219 
Provision for loan losses   2,507    2,738    2,740 
Net interest income after provision for loan losses   18,581    13,947    16,479 
Total noninterest income   2,065    1,685    1,808 
                
Salaries and employee benefits   5,555    4,493    4,723 
Other noninterest expense   5,105    4,016    4,109 
Total noninterest expense   10,660    8,509    8,832 
Income before taxes   9,986    7,123    9,455 
Income taxes   3,399    2,578    3,320 
Net income   6,587    4,545    6,135 
Preferred stock dividends   100    —      100 
Net income available to common stockholders  $6,487   $4,545   $6,035 
                
Basic earnings per common share  $1.10   $0.82   $1.03 
Diluted earnings per common share  $0.96   $0.73   $0.90 
Average basic common shares   5,908,455    5,525,297    5,886,178 
Average fully diluted common shares   6,888,206    6,427,228    6,882,809 

 

 

    Year Ended December 31, 
   2011   2010 
   (Unaudited)   (Audited) 
Total interest income  $91,411   $78,146 
Total interest expense   16,080    15,260 
Net interest income before provision   75,331    62,886 
Provision for loan losses   8,972    10,350 
Net interest income after provision for loan losses   66,359    52,536 
Total noninterest income   6,926    5,169 
           
Salaries and employee benefits   19,518    14,669 
Other noninterest expense   17,940    16,300 
Total noninterest expense   37,458    30,969 
Income before taxes   35,827    26,736 
Income taxes   12,389    9,358 
Net income   23,438    17,378 
Preferred stock dividends   200    —   
Net income available to common stockholders  $23,238   $17,378 
           
Basic earnings per common share  $4.03   $3.15 
Diluted earnings per common share  $3.53   $2.84 
Average basic common shares   5,759,524    5,519,151 
Average fully diluted common shares   6,749,163    6,294,604 

 

2
 

 

 

SERVISFIRST BANCSHARES, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)

 

 

   December 31, 2011   December 31, 2010   September 30, 2011 
   (Unaudited)   (Audited)   (Unaudited) 
ASSETS            
Cash and due from banks  $142,368   $231,732   $92,399 
Investment securities   308,868    282,193    313,146 
Restricted equity securities   3,501    3,510    3,708 
Federal funds sold and other investments   100,565    346    91,315 
Mortgage loans held for sale   17,859    7,875    9,114 
                
Loans   1,830,742    1,394,818    1,695,476 
Reserve for loan losses   (22,030)   (18,077)   (21,466)
Net loans   1,808,712    1,376,741    1,674,010 
Foreclosed real estate   12,275    6,966    10,134 
Bank owned life insurance contracts   40,390    —      40,000 
Other assets   26,154    25,803    23,504 
Total assets  $2,460,692   $1,935,166   $2,257,330 
                
LIABILITIES AND STOCKHOLDERS' EQUITY               
Liabilities:               
Noninterest-bearing  $418,810   $250,490   $382,095 
Interest-bearing   1,725,077    1,508,226    1,629,186 
Total deposits   2,143,887    1,758,716    2,011,281 
Federal funds purchased   79,265    —      16,400 
Borrowings   35,468    55,357    35,463 
Interest payable   945    898    1,043 
Other liabilities   4,928    3,095    3,670 
Total liabilities   2,264,493    1,818,066    2,067,857 
                
Stockholders' equity   196,199    117,100    189,473 
Total liabilities and stockholders' equity  $2,460,692   $1,935,166   $2,257,330 

 

 

 

 

SERVISFIRST BANCSHARES, INC.
Key Ratios

 

   Three Months Ended 
   December 31,   September 30, 
   2011   2010   2011 
   (Unaudited)   (Unaudited)   (Unaudited) 
Return on average assets   1.08%   0.97%   1.11%
Return on average common equity   13.40%   15.24%   12.96%
Net interest margin (fully taxable-equivalent)   3.72%   3.73%   3.67%
Efficiency ratio   46.04%   46.32%   42.00%

 

 

   Year Ended December 31, 
   2011   2010 
   (Unaudited)   (Audited) 
Return on average assets   1.11%   1.04%
Return on average common equity   14.73%   15.86%
Net interest margin (fully taxable-equivalent)   3.79%   3.94%
Efficiency ratio   45.54%   45.51%

 

 

   December 31,   September 30, 
   2011   2010   2011 
   (Unaudited)   (Audited)   (Unaudited) 
Book value per common share  $26.34   $21.19   $25.38 
Tangible book value per common share  $26.34   $21.19   $25.38
% of reserve for loan losses to total loans   1.20%   1.30%   1.27%
Nonperforming assets to total loans               
        plus foreclosed real estate   1.41%   1.52%   1.67%