SERVISFIRST BANCSHARES, INC.

Announces Record Second Quarter 2013

 

Birmingham, Ala. – (PR Newswire) – July 16, 2013 – ServisFirst Bancshares, Inc. today announced record earnings for the quarter and six months ended June 30, 2013.

 

Second Quarter 2013 Highlights:

 

§Second quarter record net income of $9.6 million, a 17.1% increase year / year
§Diluted earnings per share of $2.64 for the six months ended June 30, 2013, a 9.5% increase year /year
§Strong balance sheet quality with non-performing assets less than 1% of total assets
§Full Mobile team of officers and directors joined ServisFirst in the second quarter and Nashville office opened.

 

Tom Broughton, President and CEO, said “We are pleased to exceed $3 billion in total assets during the quarter as we celebrated our eighth anniversary.” Bud Foshee, CFO, stated “We continue to focus on improving service levels to our customers which continue to attract new clients to the Bank.”

 

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, Pensacola, Florida and Nashville, Tennessee.

 

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; 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 collectability 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 
   June 30,   March 31, 
   2013   2012   2013 
Total interest income  $30,692   $26,654   $29,165 
Total interest expense   3,211    3,749    3,264 
Net interest income before provision   27,481    22,905    25,901 
Provision for loan losses   3,334    3,083    4,284 
Net interest income after provision for loan losses   24,147    19,822    21,617 
Total noninterest income   2,573    2,428    2,797 
                
Salaries and employee benefits   7,056    5,248    5,679 
Other noninterest expense   5,316    4,647    5,073 
Total noninterest expense   12,372    9,895    10,752 
Income before taxes   14,348    12,355    13,662 
Income taxes   4,662    4,024    4,411 
Net income   9,686    8,331    9,251 
Preferred stock dividends   100    100    100 
Net income available to common stockholders  $9,586   $8,231   $9,151 
                
Basic earnings per common share  $1.38   $1.38   $1.44 
Diluted earnings per common share  $1.33   $1.21   $1.31 
Average basic common shares   6,944,900    5,981,218    6,341,605 
Average diluted common shares   7,218,442    6,933,564    7,076,505 
                
    Six Months Ended June 30,         
    2013    2012      
Total interest income  $59,857   $52,225      
Total interest expense   6,475    7,582      
Net interest income before provision   53,382    44,643      
Provision for loan losses   7,618    5,466      
Net interest income after provision for loan losses   45,764    39,177      
Total noninterest income   5,370    4,697      
                
Salaries and employee benefits   12,735    10,413      
Other noninterest expense   10,389    8,513      
Total noninterest expense   23,124    18,926      
Income before taxes   28,010    24,948      
Income taxes   9,073    8,361      
Net income   18,937    16,587      
Preferred stock dividends   200    200      
Net income available to common stockholders  $18,737   $16,387      
                
Basic earnings per common share  $2.83   $2.74      
Diluted earnings per common share  $2.64   $2.41      
Average basic common shares   6,618,129    5,971,630      
Average diluted common shares   7,147,865    6,923,717      

  

 
 

 

SERVISFIRST BANCSHARES, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands)

 

   June 30, 2013   June 30, 2012   December 31, 2012 
ASSETS               
Cash and due from banks  $190,018   $71,334   $177,450 
Investment securities   261,578    317,519    259,848 
Restricted equity securities   3,738    4,018    3,941 
Federal funds sold and other investments   2,590    84,468    3,291 
Mortgage loans held for sale   16,374    15,000    25,826 
                
Loans   2,590,192    2,022,589    2,363,182 
Reserve for loan losses   (28,757)   (23,239)   (26,258)
Net loans   2,561,435    1,999,350    2,336,924 
Foreclosed real estate   9,071    9,834    9,685 
Bank owned life insurance contracts   57,969    41,165    57,014 
Other assets   37,815    27,555    32,335 
Total assets  $3,140,588   $2,570,243   $2,906,314 
                
LIABILITIES AND STOCKHOLDERS' EQUITY          
Liabilities:               
Noninterest-bearing  $562,295   $467,344   $545,174 
Interest-bearing   2,112,781    1,773,558    1,966,398 
Total deposits   2,675,076    2,240,902    2,511,572 
Federal funds purchased   175,475    80,205    117,065 
Borrowings   19,924    30,514    34,967 
Interest payable   905    935    942 
Other liabilities   4,057    2,819    8,511 
Total liabilities   2,875,437    2,355,375    2,673,057 
                
Stockholders' equity   265,151    214,868    233,257 
Total liabilities and stockholders' equity  $3,140,588   $2,570,243   $2,906,314 

  

 
 

 

SERVISFIRST BANCSHARES, INC.

Key Ratios

 

   Three Months Ended  
   June 30,   March 31, 
   2013   2012   2013 
Return on average assets   1.29%   1.31%   1.30%
Return on average common equity   14.65%   15.74%   15.12%
Net interest margin (fully taxable-equivalent)   3.93%   3.85%   3.92%
Efficiency ratio   41.17%   39.06%   37.47%
                
                
    Six Months Ended June 30,         
    2013    2012      
Return on average assets   1.30%   1.32%     
Return on average common equity   15.09%   16.02%     
Net interest margin (fully taxable-equivalent)   3.92%   3.81%     
Efficiency ratio   39.36%   38.36%     
                
                
    June 30,      March 31, 
    2013    2012    2013 
Book value per common share  $32.29   $29.13   $31.54 
Tangible book value per common share  $32.29   $29.13   $31.54 
% of reserve for loan losses to total loans   1.11%   1.15%   1.12%
Nonperforming assets to total loans               
plus foreclosed real estate   0.93%   1.08%   1.31%
Nonperforming assets to total assets   0.77%   0.85%   1.13%