NASHVILLE, Tenn., Jan. 31, 2019 (GLOBE NEWSWIRE) -- Truxton Corporation (OTCPK: TRUX), a financial holding company and the parent of Truxton Trust Company (the “Bank”), reported consolidated net income of $2,109,000 for the fourth quarter of 2018, a 45 percent increase compared with $1,453,000 for the fourth quarter of 2017. Earnings per fully diluted share for the quarter ended December 31, 2018, totaled $0.76 versus $0.54 for the same period in 2017.
For the twelve months ended December 31, 2018, the company reported net income of $8,194,000 compared to $6,178,000 for the comparable 2017 period, an increase of 32.6 percent. Earnings per fully diluted share for the twelve months ended December 31, 2018, totaled $2.95 versus $2.28 in 2017.
A year ago, the company reported adjusted earnings, adding back the negative effects of a downward revision in its deferred tax asset and the losses taken on certain bond sale transactions. Both adjustments were a response to the reduction in Federal Income Tax Rates contained in the Tax Cuts and Jobs Act of 2017.
Compared to the adjusted 2017 earnings per share of $0.64 and $2.39 for the fourth quarter and full year, respectively, adjusted earnings per share for 2018 rose 19 percent for the quarter and 23 percent for the full year.
At December 31, 2018, the company reported total assets of $485 million, a 10.8 percent increase from December 31, 2017. Over the same period, total loans increased 13.2 percent to $331.8 million, while deposits grew 11.5 percent to $404.7 million. At December 31, 2018, the Bank’s Tier 1 leverage ratio was 10.71 percent.
Non-interest income for the fourth quarter of 2018 was $2,605,000 compared to $2,355,000 for the same period in 2017, an increase of 10.6 percent.
Tangible Book Value per share at December 31, 2018, was $20.63 compared to $18.92 at the same time a year ago.
“Loan growth in 2018 was excellent. Our private banking team and our clients worked together to meet many unique personal and commercial lending needs. Our treasury management team attracted the deposit relationships that allowed us to fund these loans at moderate cost in a rising rate environment,” said CEO Tom Stumb. He continued, “Wealth management grew revenues at a double-digit pace despite challenging market volatility that intensified in the fourth quarter.”
About Truxton Trust
Truxton Trust is a full-service private bank and trust company founded in 2004. Since its inception, Truxton Trust has been focused on a singular guiding principle: do the right thing. Truxton Trust delivers the highest level of personal service through its vastly experienced and credentialed team of professionals who provide comprehensive and customized financial solutions to individuals, their families and their business interests.
| Investor Relations | Media Relations |
| Andrew May | Tamara Schoeplein |
| 615-515-1707 | 615-515-1714 |
| andrew.may@truxtontrust.com | tamara.schoeplein@truxtontrust.com |
| Truxton Corporation | ||||||
| Consolidated Balance Sheets | ||||||
| (000's) | ||||||
| (Unaudited) | ||||||
| December 2018* | December 2017 | |||||
| ASSETS | ||||||
| Cash and due from financial institutions | $ | 7,139 | $ | 6,425 | ||
| Interest bearing deposits in other financial institutions | 3,660 | 3,750 | ||||
| Federal funds sold | 6 | 6 | ||||
| Cash and cash equivalents | 10,805 | 10,181 | ||||
| Time deposits in other financial institutions | 18,268 | 11,544 | ||||
| Securities available for sale | 109,696 | 109,295 | ||||
| Gross loans | 331,809 | 293,117 | ||||
| Allowance for loan losses | (3,356 | ) | (3,074 | ) | ||
| Net loans | 328,453 | 290,043 | ||||
| Bank owned life insurance | 9,755 | 9,535 | ||||
| Restricted equity securities | 2,578 | 2,556 | ||||
| Premises and equipment, net | 429 | 731 | ||||
| Accrued interest receivable | 1,804 | 1,444 | ||||
| Other real estate owned | - | - | ||||
| Deferred tax asset, net | 1,022 | 363 | ||||
| Other assets | 2,323 | 1,990 | ||||
| Total assets | $ | 485,133 | $ | 437,682 | ||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
| Deposits | ||||||
| Non-interest bearing | $ | 93,464 | $ | 87,049 | ||
| Interest bearing | 311,218 | 275,906 | ||||
| Total deposits | 404,682 | 362,955 | ||||
| Federal Home Loan Bank advances | 19,249 | 20,198 | ||||
| Federal Funds purchased | 1,282 | 1,071 | ||||
| Other liabilities | 3,525 | 2,681 | ||||
| Total liabilities | 428,738 | 386,905 | ||||
| SHAREHOLDERS' EQUITY | ||||||
| Additional paid-in capital | 28,527 | 27,253 | ||||
| Retained earnings | 29,283 | 23,569 | ||||
| Accumulated other comprehensive income (loss) | (1,415 | ) | (45 | ) | ||
| Total shareholders' equity | 56,395 | 50,777 | ||||
| Total liabilities and shareholders' equity | $ | 485,133 | $ | 437,682 | ||
| *The information is preliminary, unaudited and based on company data available at the time of presentation. | ||||||
| Truxton Corporation | |||||||||||||||||
| Consolidated Statements of Net Income | |||||||||||||||||
| (000's) | |||||||||||||||||
| (Unaudited) | |||||||||||||||||
| Three Months Ended | Twelve Months Ended | ||||||||||||||||
| December 2018 * | December 2017 | December 2018 * | December 2017 | ||||||||||||||
| Non-interest income | |||||||||||||||||
| Wealth management services | $ | 2,476 | $ | 2,406 | $ | 9,843 | $ | 9,108 | |||||||||
| Service charges on deposit accounts | 86 | 87 | 344 | 341 | |||||||||||||
| Securities gains (losses), net | (86 | ) | (210 | ) | (74 | ) | (189 | ) | |||||||||
| Bank owned life insurance income | 55 | 56 | 220 | 231 | |||||||||||||
| Other | 74 | 16 | 220 | 100 | |||||||||||||
| Total non-interest income | 2,605 | 2,355 | 10,553 | 9,591 | |||||||||||||
| Interest income | |||||||||||||||||
| Loans, including fees | $ | 3,819 | $ | 3,138 | $ | 13,828 | $ | 12,531 | |||||||||
| Taxable securities | 494 | 294 | 1,672 | 1,140 | |||||||||||||
| Tax-exempt securities | 232 | 250 | 982 | 795 | |||||||||||||
| Interest bearing deposits | 231 | 131 | 656 | 313 | |||||||||||||
| Federal funds sold | 16 | 11 | 54 | 22 | |||||||||||||
| Other Interest Income | 51 | 48 | 156 | 139 | |||||||||||||
| Total interest income | 4,843 | 3,872 | 17,348 | 14,940 | |||||||||||||
| Interest expense | |||||||||||||||||
| Deposits | 940 | 411 | 2,596 | 1,451 | |||||||||||||
| Short-term borrowings | 2 | - | 11 | 3 | |||||||||||||
| Long-term borrowings | 87 | 85 | 374 | 332 | |||||||||||||
| Total interest expense | 1,029 | 496 | 2,981 | 1,786 | |||||||||||||
| Net interest income | 3,814 | 3,376 | 14,367 | 13,154 | |||||||||||||
| Provision for loan losses | 226 | 0 | 283 | 75 | |||||||||||||
| Net interest income after provision for loan losses | 3,588 | 3,376 | 14,084 | 13,079 | |||||||||||||
| Total revenue, net | 6,193 | 5,731 | 24,637 | 22,670 | |||||||||||||
| Non-interest expense | |||||||||||||||||
| Salaries and employee benefits | 2,683 | 2,607 | 10,339 | 9,557 | |||||||||||||
| Occupancy | 202 | 180 | 764 | 718 | |||||||||||||
| Furniture and equipment | 28 | 61 | 157 | 217 | |||||||||||||
| Data processing | 295 | 328 | 1,135 | 1,218 | |||||||||||||
| Wealth management processing fees | 92 | 99 | 442 | 475 | |||||||||||||
| Advertising and public relations | 43 | 54 | 111 | 172 | |||||||||||||
| Professional services | 142 | 55 | 602 | 617 | |||||||||||||
| FDIC insurance assessments | 19 | 35 | 124 | 140 | |||||||||||||
| Other | 207 | 194 | 942 | 801 | |||||||||||||
| Total non-interest expense | 3,711 | 3,613 | 14,616 | 13,915 | |||||||||||||
| Income before income taxes | 2,482 | 2,118 | 10,021 | 8,755 | |||||||||||||
| Income tax expense | 373 | 665 | 1,827 | 2,577 | |||||||||||||
| Net income | $ | 2,109 | $ | 1,453 | $ | 8,194 | $ | 6,178 | |||||||||
| Earnings per share: | |||||||||||||||||
| Basic | $ | 0.78 | $ | 0.55 | $ | 3.02 | $ | 2.32 | |||||||||
| Basic: Excluding gains and losses on sales of investment securities and revaluation of deferred tax assets | $ | 0.78 | $ | 0.65 | $ | 3.02 | $ | 2.42 | |||||||||
| Diluted | $ | 0.76 | $ | 0.54 | $ | 2.95 | $ | 2.28 | |||||||||
| Diluted: Excluding gains and losses on sales of investment securities and revaluation of deferred tax assets | $ | 0.76 | $ | 0.64 | $ | 2.95 | $ | 2.39 | |||||||||
| *The information is preliminary, unaudited and based on company data available at the time of presentation. | |||||||||||||||||
| Truxton Corporation | ||||||||||||
| Operating Statistics | ||||||||||||
| (000's) | ||||||||||||
| (Unaudited) | ||||||||||||
| Three Months Ended | Twelve Months Ended | |||||||||||
| December 2018* | December 2017 | December 2018* | December 2017 | |||||||||
| Performance Ratios | ||||||||||||
| Efficiency Ratio | 56.73 | % | 61.46 | % | 59.30 | % | 60.93 | % | ||||
| Net Interest Margin | 3.25 | % | 3.22 | % | 3.30 | % | 3.31 | % | ||||
| Capital Ratios | ||||||||||||
| Return on Average Assets | 1.70 | % | 1.31 | % | 1.76 | % | 1.46 | % | ||||
| ROAA excluding gains and losses on sales of investment securities and revaluation of deferred tax assets | 1.70 | % | 1.55 | % | 1.76 | % | 1.52 | % | ||||
| Return on Average Equity | 15.29 | % | 11.51 | % | 15.53 | % | 12.67 | % | ||||
| ROAE excluding gains and losses on sales of investment securities and revaluation of deferred tax assets | 15.29 | % | 13.67 | % | 15.53 | % | 13.23 | % | ||||
| Tier 1 Leverage Ratio (Bank) | 10.71 | % | 10.54 | % | ||||||||
| Asset Quality Data | ||||||||||||
| Net Loan Charge-Offs | $ | - | $ | - | $ | - | $ | - | ||||
| Non-Performing Loans | $ | - | $ | - | $ | - | $ | - | ||||
| *The information is preliminary unaudited and based on company data available at the time of presentation. | ||||||||||||