Business
Great Southern Bancorp, Inc. Reports Preliminary Second Quarter Earnings of $1.52 Per Diluted Common Share
Preliminary Financial Results and Other Matters for the Quarter and Six Months Ended June 30, 2023: Significant Expense Item: During the three months ended
About this update from Great Southern Bancorp, Inc.
[{"type":"text","content":"Preliminary Financial Results and Other Matters for the Quarter and Six Months Ended June 30, 2023: Significant Expense Item: During the three months ended June 30, 2023, the Company recorded expenses in Legal and Professional Fees totaling $1.0 million related to training and implementation costs for its upcoming core systems conversion and professional fees to consultants engaged to support the Company in its transition of core and ancillary software and information technology systems.Liquidity: The Company had secured borrowing line availability at the FHLBank and Federal Reserve Bank of $1.2 billion and $410 million, respectively, at June 30, 2023. In addition, at June 30, 2023, the Company had unpledged securities with a market value totaling $582 million, which could be pledged as collateral for additional borrowing capacity at either the FHLBank or Federal Reserve Bank, if needed or desired. At June 30, 2023, the Company estimated that its uninsured deposits were approximately $658 million (14% of total deposits). Based partially on the foregoing, the Company believes it has ample sources of liquidity.Capital: The Company’s capital position remained strong as of June 30, 2023, significantly exceeding the thresholds established by regulators. On a preliminary basis, as of June 30, 2023, the Company’s Tier 1 Leverage Ratio was 10.8%, Common Equity Tier 1 Capital Ratio was 10.4%, Tier 1 Capital Ratio was 11.8%, and Total Capital Ratio was 14.5%. Total stockholders’ equity increased $13.2 million in the six months ended June 30, 2023 and the Company’s tangible capital ratio was 9.4% at June 30, 2023.Net Interest Income: Net interest income for the second quarter of 2023 decreased $693,000 (or approximately 1.4%) to $48.1 million compared to $48.8 million for the second quarter of 2022. Net interest margin was 3.56% for the quarter ended June 30, 2023, compared to 3.78% for the quarter ended June 30, 2022. Net interest income and net interest margin in the first quarter of 2023 were $53.2 million and 3.99%, respectively. Competition for deposits and higher market interest rates, along with a shift in the funding mix, resulted in increased funding costs in the second quarter of 2023.Total Loans: Total outstanding loans, excluding mortgage loans held for sale, increased $9.8 million, or 0.2%, from $4.51 billion at December 31, 2...