Business
Summit State Bank Reports Net Income of $1.8 Million for Third Quarter 2023; Declares Quarterly Cash Dividend of $0.12 Per Common Share
SANTA ROSA, Calif., Oct. 25, 2023 (GLOBE NEWSWIRE) -- Summit State Bank (Nasdaq: SSBI) today reported net income for the third quarter ended September 30,
About this update from Summit State Bank
[{"type":"text","content":"SANTA ROSA, Calif., Oct. 25, 2023 (GLOBE NEWSWIRE) -- Summit State Bank (Nasdaq: SSBI) today reported net income for the third quarter ended September 30, 2023 of $1,821,000, or $0.27 per diluted share, a decrease of $2,158,000, or 54.2%, compared to net income of $3,979,000, or $0.59 per diluted share for the third quarter ended September 30, 2022. Financial results for the quarter reflect strong non-interest income resulting from increased gain on sale of loans. Lower net interest income resulting from an increase in interest expense on deposits offset aforementioned increase in non-interest income. The Board of Directors declared a quarterly cash dividend of $0.12 per share on October 24, 2023. The quarterly dividend will be paid on November 16, 2023 to shareholders of record on November 9, 2023. \"Our third quarter operating results were highlighted by strong revenue generation and stable loan growth,” said Brian Reed, President and CEO. “We are encouraged that loan demand continues to hold up despite the higher rate environment and we continue to aggressively seek out core lending opportunities. Total deposits increased 19% compared to a year ago, and declined 2% during the quarter, with the growth occurring in interest bearing demand and money market accounts compared to the prior quarter end. While the net interest margin decrease was primarily related to pressure from the funding side of the balance sheet, we remain prudent with all new loan pricing. New customer relationships are fueling loan and deposit growth, and we expect that to continue as we grow the Bank organically.” Third Quarter 2023 Financial Highlights (at or for the three months ended September 30, 2023) Net income was $1,821,000, or $0.27 per diluted share, compared to $3,979,000, or $0.59 per diluted share, in the third quarter of 2022 and $2,985,000, or $0.45 per diluted share, for the quarter ended June 30, 2023.Reversal of net credit losses was $5,000, compared to a provision for net credit losses of $770,000 in the third quarter a year ago.Net interest margin was 2.80%, compared to 3.44% in the preceding quarter and 4.42% in the third quarter a year ago.Third quarter revenues (interest income plus noninterest income) increased 20.8% to $16,427,000, compared to $13,596,000 in the third quarter a year ago.Annualized return on average assets was 0.63%, ...