Citizens reports increase in net profit for quarter, year

PHILADELPHIA — Citizens Holding Company (NASDAQ: CIZN) has released its results of operations for the three and 12 months ended Dec. 31, 2013.

Net income for the three months was $2.122 million, or $0.44 per share-basic and diluted, up from $1.740 million, or $0.34 per share-basic and $0.33 per share-diluted for the same quarter in 2012. Net interest income for the third quarter of 2013, after the provision for loan losses for the quarter, was $6.846 million, approximately 3.0 percent higher than the same period in 2012, due to a decrease in interest expense. The provision for loan losses for the three months was $375,000 compared to $218,000 for the same period in 2012. The increase in the provision reflects management’s estimate of inherent losses in the loan portfolio including the impact of current local and national economic conditions. The net interest margin decreased to 3.65% percent in the fourth quarter of 2013 from 3.74 percent in the same period in 2012 primarily because of the decrease in yields on earning assets was greater than the decline in rates paid on interest bearing deposits.

Non-interest income decreased in the fourth quarter of 2013 by $292,000, or 12.6 percent, while non-interest expenses decreased $570,000, or 8.5 percent, compared to the same period in 2012. The decrease in non-interest income was due primarily to a decrease in other income offset partially by an increase in service charges on deposit accounts and other service charges and fees. Non-interest expenses decreased due to a $286,000 decrease in other operating expense and a $101,000 decrease in salaries and benefits and a $183,000 decrease in occupancy expense. The decrease in other operating expense was due mainly as a result of lower regulatory and related costs.

Net income for the twelve months increased 5.4 percent to $7.150 million, or $1.47 per share-basic and diluted, from $6.784 million, or $1.40 per share-basic and $1.39 per-share diluted, for the twelve months ended Dec. 31, 2012. Net interest income for the twelve months, after the provision for loan losses, decreased 4.8 percent to $25.831 million from $27.133 million for the same period in 2012. Net interest margin decreased to 3.59 percent in 2013 from 3.93 percent in the same period in 2012. The provision for loan losses for the twelve months was $2.204 million compared to the provision of $1.546 million in 2012. The increase in the provision reflects management’s assessment of inherent losses in the loan portfolio including the impact caused by current local and national economic conditions.

Non-interest income increased by $414,000, or 5.6 percent, and non-interest expense decreased by $1.373, or 5.3 percent, for the twelve months when compared to the same period in 2012. The increase in non-interest income was primarily due to an increase in service charges from deposit accounts and other service charges and fees. Non-interest expense decreased primarily due to a decrease in other operating expenses of $654,000, salaries and benefits in the amount of $626,000 and occupancy expenses in the amount of $92,000. The decrease in other operating expense was due mainly as a result of lower regulatory and related costs.

Total assets as of Dec. 31, 2013, decreased to $873.069 million, down $7.771 million, or 0.9 percent, when compared to Dec. 31, 2012. Deposits increased by $12.081 million, or 1.9 percent, and loans, net of unearned income increased by $23.292 million, or 6.3 percent, when compared to Dec. 31, 2012. The increase in loans, net of unearned, was due to improving loan demand in excess of repayments of existing loans. Non-performing assets increased by $472,000 to $19.874 million compared to Dec. 31, 2012, because of an increase in loans 90 days or more past due and still accruing interest partially offset by decreases in non-accrual loans and other real estate owned.

During 2013, the company paid dividends totaling $0.88 per share.

 

[RSS Feed] [del.icio.us]



To sign up for Mississippi Business Daily Updates, click here.

POST A COMMENT

 

FOLLOW THE MBJ ON TWITTER

Twang & Tourism: The Country Music Trail

Our annual "Come See Us" magazine offers ideas for spots in Mississippi ranging from golf to culture to history to food. Click the photo for ideas, stories and access to the digital edition of this year's magazine.

Top Posts & Pages

%d bloggers like this: