Southstate Bank Corporation · NYSE:SSB
Southstate Bank — South State — Q4 2015 Earnings Presentation
11 slides from Southstate Bank's earnings presentation, Jan 22, 2016
Slide 1: Cautionary Statement Regarding Forward Looking Statements
Cautionary Statement Regarding Forward Looking Statements Statements included in this report which are not historical in nature are intended to be, and are hereby identified as, forward looking statements for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934.
Slide 2: 4th Quarter 2015 Highlights
Operating Earnings of $27.0 million $1.11 per diluted share Operating Return on Average Assets 1.25% Operating Return on Average Tangible Equity 16.82% Cash dividend of $0.28 per common share Net Income of $25.5 million, $1.05 per diluted share 4th Quarter 2015 Highlights
Slide 3: 4th Quarter 2015 Highlights
4th Quarter 2015 Highlights Net Loan Growth – 9% Annualized Strong Non-Acquired Loan Growth - $226 million, 22.6% annualized Outpaced Acquired run-off by $133 million Non-Interest Bearing DDA Growth Increased $49 million – 10% annualized Continued Asset Quality improvement NPA’s/ Assets 0.63% Non-Ac
Slide 4: 4th Quarter 2015 Highlights
4th Quarter 2015 Highlights Margin down 20 bp to 4.32% Non Interest Income (operating): $ 29.7 million vs. $29.8 million linked quarter Fees on Deposit Accounts $ 21.1 Mortgage Banking $ 3.2 Wealth Management $ 4.6 Amortization of $(1.5) FDIC Indemnification Asset
Slide 5: Net Interest Margin
Net Interest Margin See Endnotes (1) In Millions $83.0
Slide 6: Average Interest Earning Assets
Average Interest Earning Assets Assets 09/30/ 2015 12/31/2015 Net Change Short-Term Investments $ 638.8 $ 675.4 $ 36.6 Investment Securities 862.9 943.7 80.8 Loans - Acquired 1,925.2 1,824.7 (100.5) Loans - Non-Acquired 3,881.0 4,080.0 199.0 Total Loans $ 5,806.2 $ 5,904.7 98.5 Loans Held for Sale 5
Slide 7: Branch Consolidation Initiative
Announced consolidation of 11 branch locations 9 Consolidations / 2 Drive-thru only Deposits $331 million ~10% runoff One-time Costs $3 million Incurred in 2Q & 3Q 2016 Branch Consolidation Initiative Cost savings ~ $3 million (annualized) by 2017 Timeline 2nd quarter – 8 3rd quarter – 3
Slide 8: Branch Consolidation Initiative
Branch Consolidation Initiative + Announced consolidation of 11 branch locations * 9 Consolidation / 2 Drive-thru only + Deposits $331 million + ~10% runoff * One-time Costs $3 million — Incurred in 2Q & 3Q 2016 * Cost savings ~ $3 million (annualized) by 2017 + Timeline + 2nd quarter — 8 + 3" quart
Slide 9: Operating Earnings Per Share
Operating Earnings Per Share See Endnotes (3)
Slide 10: Endnotes
Income reduced by amortization of Indemnification Asset and average balance increased for the average loan Indemnification Asset balance Efficiency ratio = NIE / Net Int Inc + Non Int Inc less securities gain/(loss) Operating efficiency ratio = same as above except exc’l one-time items from NIE Excl
Slide 11: Endnotes
Endnotes 1. Income reduced by amortization of Indemnification Indemnification Asset balance et and average balance increased for the average loan Efficiency ratio = NIE / Net Int Inc + Non Int Inc les Operating efficiency ratio ccurities gain/(loss) one-time items from NIE ame as above except exe 3.