SERVISFIRST BANCSHARES, INC.

Announces Record Third Quarter 2013

 

Birmingham, Ala. – (PR Newswire) – October 21, 2013 – ServisFirst Bancshares, Inc. today announces record earnings for the quarter and nine months ended September 30, 2013.

 

Third Quarter 2013 Highlights:

 

§Third quarter record net income of $10.7 million, a 16.4% increase year over year
§Diluted earnings per share of $4.10 for the nine months, a 9.6% increase year over year
§Continued strong asset quality as reflected by non-performing assets to total assets of 0.70%
§Book value was $33.40 at quarter end
§Total assets were $3.4 billion at the end of the third quarter

 

Bud Foshee, CFO, stated “We are pleased to report record quarterly earnings that make this the fifteenth consecutive quarter of record earnings.” Tom Broughton, President and CEO, said “We are pleased with our continued strong loan and deposit growth of 26.4% and 21.2%, respectively, year over year.”

 

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 
   September 30,   June 30, 
   2013   2012   2013 
Total interest income  $32,499   $27,743   $30,692 
Total interest expense   3,534    3,695    3,211 
Net interest income before provision for loan losses   28,965    24,048    27,481 
Provision for loan losses   3,034    1,185    3,334 
Net interest income after provision for loan losses   25,931    22,863    24,147 
Total noninterest income   2,269    2,360    2,573 
                
Salaries and employee benefits   7,048    5,697    7,056 
Other noninterest expense   5,019    5,574    5,316 
Total noninterest expense   12,067    11,271    12,372 
Income before taxes   16,133    13,952    14,348 
Income taxes   5,321    4,650    4,662 
Net income   10,812    9,302    9,686 
Preferred stock dividends   100    100    100 
Net income available to common stockholders  $10,712   $9,202   $9,586 
                
Basic earnings per common share  $1.53   $1.53   $1.38 
Diluted earnings per common share  $1.46   $1.35   $1.33 
Average basic common shares   7,019,069    6,005,242    6,944,900 
Average diluted common shares   7,277,105    6,947,429    7,218,442 
                
    Nine Months Ended September 30,         
    2013    2012      
Total interest income  $92,356   $79,968      
Total interest expense   10,009    11,277      
Net interest income before provision for loan losses   82,347    68,691      
Provision for loan losses   10,652    6,651      
Net interest income after provision for loan losses   71,695    62,040      
Total noninterest income   7,639    7,057      
                
Salaries and employee benefits   19,783    16,110      
Other noninterest expense   15,408    14,087      
Total noninterest expense   35,191    30,197      
Income before taxes   44,143    38,900      
Income taxes   14,394    13,011      
Net income   29,749    25,889      
Preferred stock dividends   300    300      
Net income available to common stockholders  $29,449   $25,589      
                
Basic earnings per common share  $4.35   $4.28      
Diluted earnings per common share  $4.10   $3.75      
Average basic common shares   6,768,678    5,977,590      
Average diluted common shares   7,191,419    6,931,678      

 

 
 

 

SERVISFIRST BANCSHARES, INC.

CONSOLIDATED BALANCE SHEETS

(In thousands)

  

   September 30, 2013   September 30, 2012   December 31, 2012 
ASSETS               
Cash and due from banks  $257,490   $244,673   $177,450 
Investment securities   289,515    257,373    259,848 
Restricted equity securities   3,738    3,941    3,941 
Federal funds sold and other investments   7,923    10,672    3,291 
Mortgage loans held for sale   11,592    28,558    25,826 
Loans   2,731,973    2,161,130    2,363,182 
Reserve for loan losses   (28,927)   (24,604)   (26,258)
Net loans   2,703,046    2,136,526    2,336,924 
Foreclosed real estate   14,070    9,641    9,685 
Bank owned life insurance contracts   68,460    41,551    57,014 
Other assets   40,129    30,299    32,335 
Total assets  $3,395,963   $2,763,234   $2,906,314 
                
LIABILITIES AND STOCKHOLDERS' EQUITY               
Liabilities:               
Noninterest-bearing  $635,153   $512,962   $545,174 
Interest-bearing   2,284,064    1,896,559    1,966,398 
Total deposits   2,919,217    2,409,521    2,511,572 
Federal funds purchased   170,090    91,317    117,065 
Borrowings   19,932    30,514    34,967 
Interest payable   4,553    867    942 
Other liabilities   6,061    6,009    8,511 
Total liabilities   3,119,853    2,538,228    2,673,057 
                
Stockholders' equity   276,110    225,006    233,257 
Total liabilities and stockholders' equity  $3,395,963   $2,763,234   $2,906,314 

 

 
 

 

SERVISFIRST BANCSHARES, INC.

Key Ratios

    

  

Three Months Ended

 
   September 30,   June 30, 
   2013   2012   2013 
Return on average assets   1.29%   1.38%   1.29%
Return on average common equity   15.75%   16.64%   14.65%
Net interest margin (fully taxable-equivalent)   3.71%   3.82%   3.93%
Efficiency ratio   38.63%   42.68%   41.17%
                
                
    Nine Months Ended September 30,      
    2013    2012      
Return on average assets   1.30%   1.34%     
Return on average common equity   15.47%   16.22%     
Net interest margin (fully taxable-equivalent)   3.84%   3.81%     
Efficiency ratio   39.11%   39.87%     
                
                
    September 30,       June 30,  
    2013    2012    2013 
Book value per common share  $33.40   $30.81   $32.29 
Tangible book value per common share  $33.40   $30.81   $32.29 
% of reserve for loan losses to total loans   1.06%   1.14%   1.11%
Nonperforming assets to total loans               
plus foreclosed real estate   0.86%   1.05%   0.93%
Nonperforming assets to total assets   0.70%   0.83%   0.77%