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Jun 30, 2022
Southern States Q2 2022 Earnings Report
Reported net income of $5.2 million, driven by loan growth and net interest margin increase.
Key Takeaways
Southern States Bancshares, Inc. reported a strong second quarter in 2022, with net income increasing to $5.2 million, or $0.59 per diluted share. The company experienced significant loan growth, an improved net interest margin, and maintained solid asset quality.
Linked-quarter loan growth was 36.8% annualized.
Net interest margin increased by 31 basis points from the prior quarter to 3.84%.
Nonperforming loans remained low at 0.25% of total loans.
Total deposits increased to $1.6 billion.
Southern States
Southern States
Forward Guidance
Southern States is confident in ongoing growth in the second half of 2022.
Positive Outlook
- Strong loan production driven by dedicated lending teams.
- Investments in talent to capitalize on a robust deposit base.
- Steady demand across an economically dynamic footprint.
- Disciplined expense control.
- Prudent underwriting practices.
Challenges Ahead
- Forward-looking statements are subject to risks, assumptions, and uncertainties that are difficult to predict.
- The current COVID-19 pandemic and uncertainty about its continuation.
- Changes in the value of the available for sale securities portfolio due to rapid increases in interest rates.
- Reductions in swap fees, mortgage income and SBA income, which are reflective of the market conditions and timing.
- Higher salaries and employee benefits expense as production personnel were added in the Georgia market, plus higher insurance and professional fees as a result of going public