Business
Great Southern Bancorp, Inc. Reports Preliminary Third Quarter Earnings of $1.33 Per Diluted Common Share
Preliminary Financial Results and Other Matters for the Quarter and Nine Months Ended September 30, 2023: Significant Expense Item: During the three months
About this update from Great Southern Bancorp, Inc.
[{"type":"text","content":"Preliminary Financial Results and Other Matters for the Quarter and Nine Months Ended September 30, 2023: Significant Expense Item: During the three months ended September 30, 2023, the Company recorded expenses in Legal and Professional Fees totaling $904,000 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 $1.1 billion and $440 million, respectively, at September 30, 2023. In addition, at September 30, 2023, the Company had unpledged securities with a market value totaling $555 million, which could be pledged as collateral for additional borrowing capacity at either the FHLBank or Federal Reserve Bank, if needed or desired. At September 30, 2023, the Company estimated that its uninsured deposits, excluding deposit accounts of the Company’s consolidated subsidiaries, were approximately $774 million (16% of total deposits). The Company believes it has ample sources of liquidity.Capital: The Company’s capital position remained strong as of September 30, 2023, significantly exceeding the thresholds established by regulators. On a preliminary basis, as of September 30, 2023, the Company’s Tier 1 Leverage Ratio was 11.0%, Common Equity Tier 1 Capital Ratio was 11.5%, Tier 1 Capital Ratio was 12.0%, and Total Capital Ratio was 14.7%. Total stockholders’ equity decreased $1.4 million in the nine months ended September 30, 2023 and the Company’s tangible common equity ratio was 9.1% at September 30, 2023. See “Capital” section for additional information regarding the decrease in total stockholders’ equity.Net Interest Income: Net interest income for the third quarter of 2023 decreased $6.2 million (or approximately 11.6%) to $46.7 million compared to $52.9 million for the third quarter of 2022. Net interest margin was 3.43% for the quarter ended September 30, 2023, compared to 3.96% for the quarter ended September 30, 2022. Net interest income and net interest margin in the second quarter of 2023 were $48.1 million and 3.56%, respectively. Competition for deposits and higher market interest rates, along with a shift in the funding mix, resulted i...