Southern First expands quarterly profit as lending growth and margins strengthen

Southern First Bancshares ($SFST) reported quarterly net income of $12.2 million, up 41%, while earnings per share increased 21% to $1.28 from $1.06. Revenue rose 21% to $37.5 million and net interest income increased 26%. Net interest margin reached 3.02%, compared with 2.62% a year earlier and 2.87% in the preceding quarter, supporting the stronger operating result.

Loans increased by $145 million sequentially to $4.2 billion and retail deposits rose by $163 million to $3.7 billion. The credit-loss provision was $1.4 million, $375,000 above the preceding quarter, while non-performing assets represented 0.30% of assets and the annualized charge-off rate was 0.07%. The bank’s expansion therefore came with some additional provisioning. Net-income and per-share growth rates differ and should not be treated as identical measures of the improvement attributable to each shareholder.

Sources:

• Southern First — PR Newswire financial results