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Century Next Financial Corporation Reports 1st Quarter 2018 Results

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RUSTON, La., April 19, 2018 (GLOBE NEWSWIRE) -- Century Next Financial Corporation (OTC:CTUY), the holding company of Bank of Ruston with $289.8 million in assets, today announced financial results for the 1st quarter ended March 31, 2018.

Financial Performance

For the three months ended March 31, 2018, Century Next Financial Corporation (the "Company") had net income after tax of $824,000 compared to net income of $584,000 for the three months ended March 31, 2017, an increase of $240,000 or 41.1%.  Earnings per share (EPS) for the three months ended were $0.79 per basic share and $0.76 per diluted share compared to $0.56 per basic share and $0.54 diluted share reported for the three months ended March 31, 2017. 

Balance Sheet

Overall, total assets increased by $6.2 million or 2.18% to $289.8 million at March 31, 2018 compared to $283.6 million at December 31, 2017. 

The largest component of assets, loans, net of deferred fees and costs and the allowance for loan losses, increased $5.1 million or 2.14% for the three months ended March 31, 2018 compared to December 31, 2017.  Total net loans at March 31, 2018 were $242.5 million compared to $237.4 million at December 31, 2017. The growth was primarily the result of demand for loans secured by real estate including 1-4 family residential, land, and residential construction loans.     

Total deposits at March 31, 2018 increased $8.3 million or 3.65% to $236.2 million compared to $227.9 million at December 31, 2017.  Noninterest-bearing checking, interest-bearing checking, money market, and savings deposits were the main growth areas contributing to the increase in overall deposits. 

There were no short-term borrowings at March 31, 2018 compared to $3.3 million of FHLB advances at December 31, 2017. 

Long-term borrowings, consisting of FHLB discount note borrowings were unchanged at $22.1 million at March 31, 2018 and December 31, 2017.

Income Statement

Net interest income was $2.78 million for the three months ended March 31, 2018 compared to $2.39 million for the three months ended March 31, 2017.  This was an increase of $390,000, or 16.3%.  The increase for the quarter was primarily from interest income earned on loans. 

The provision for loan losses amounted to $195,000 for the three months ended March 31, 2018, compared to $150,000 in provision for the three months ended March 31, 2017.  The increase in loan loss provision for the quarter, as compared to the prior year quarter, is not a result of increased loss activity but more appropriately a result of increased risk awareness and identification to strengthen the allowance for loan losses.  

Total non-interest income amounted to $370,000 for the three months ended March 31, 2018 compared to $381,000 for the three months ended March 31, 2017, a decrease of $11,000 or 2.9%.  The decrease was primarily from a decline in income from held-for-sale mortgage activity. 

Total non-interest expense increased by $176,000 or 9.9% to $1.96 million for the quarter ended March 31, 2018 compared to $1.78 million for the quarter ended  March 31, 2017.  The majority of the increase was due to increased expenses of salaries and benefits.  The Company continues to show improvement in its efficiency ratio, a measure of expense as a percent of total income, to 62.1% for the quarter ended March 31, 2018 compared to 64.3% for the same period in 2017.

Additional Information

Century Next Financial Corporation is the holding company for Bank of Ruston (the "Bank") which conducts business from three full-service banking centers.  The Company was formed in 2010 and is subject to the regulatory oversight of the Board of Governors of the Federal Reserve System. The Bank is a wholly-owned subsidiary and is an insured federally-chartered stock savings association subject to the regulatory oversight of the Office of the Comptroller of the Currency. The Bank was established in 1905 and is headquartered in Ruston, Louisiana. The Bank is a full-service bank with two banking offices in Ruston and one banking office in Monroe. The Bank emphasizes professional and personal banking service directed primarily to small and medium-sized businesses, professionals, and individuals. The Bank provides a full range of banking services including its primary business of real estate lending to residential and commercial customers.

Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995.  Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts.  They often include words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may."  We undertake no obligation to update any forward-looking statements.

Century Next Financial Corporation and Subsidiary
Condensed Consolidated Balance Sheets (unaudited)


(In thousands, except per share data)      
  March 31, 2018   December 31, 2017
       
ASSETS      
       
Cash and cash equivalents $ 31,405   $ 30,611
Investment securities   2,593     2,614
Loans, net   242,527     237,449
Other assets   13,284     12,939
TOTAL ASSETS $ 289,809   $ 283,613
LIABILITIES AND STOCKHOLDERS' EQUITY      
       
Deposits $ 236,233   $ 227,922
Short-term borrowings (FHLB advances)   -     3,250
Long-term borrowings (FHLB advances)   22,123     22,134
Other liabilities   2,367     2,155
Total Liabilities   260,723     255,461
Stockholders' equity   29,086     28,152
       
       
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 289,809   $ 283,613
Book Value per share $ 26.66   $ 25.80
       

 

 

Century Next Financial Corporation and Subsidiary
Consolidated Statements of Income (unaudited)

(In thousands, except per share data)      
  Three Months Ended March 31
    2018     2017
Interest Income $ 3,383   $ 2,716
Interest Expense   599     322
Net Interest Income   2,784     2,394
Provision for Loan Losses   195     150
Net interest income after provision for loan losses   2,589     2,244
Noninterest Income   370     381
Noninterest Expense   1,959     1,783
       
Income Before Taxes   1,000     842
Provision For Income Taxes   176     258
NET INCOME $   824   $   584
       
       
EARNINGS PER SHARE    
Basic $   0.79   $   0.56
Diluted $   0.76   $   0.54
 

Century Next Financial Corporation Contact Information:

William D. Hogan, President & Chief Executive Officer or
Mark A. Taylor, CPA CGMA, Senior Vice President & Chief Financial Officer
(318) 255-3733

Company Website: www.bor.bank

 

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