NASDAQ$SSBK

Southern States Bancshares · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported net income of $5.2 million, driven by loan growth and net interest margin increase.

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.

Headline financials

Total Revenue

$17.8M

Previous: $14.9M+19.0%
EPS (adj)

$0.59

Previous: $0.50+18.0%
Return on average assets

1.1%

No prior period
Return on average stockholders' equity

12.3%

No prior period
Nonperforming loans to gross loans

0.3%

No prior period
Capital Expenditures

$731K

Previous: $583K+25.4%
Free Cash Flow

$7.01M

Previous: $1.88M+273.9%
Net Income

$5.22M

Previous: $3.91M+33.7%
Operating Income

$6.81M

No prior period
Gross Profit

$15.7M

Previous: $13M+20.2%
Cash & Equivalents

$190M

Previous: $188M+1.2%
Total Assets

$1.9B

Previous: $1.51B+25.6%
Stock-Based Comp

$231K

Previous: $217K+6.5%

Revenue & EPS history

Southern States · Revenue · Quarterly

$17.8M

Q2 2022+19%vs Q2 2021
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Southern States · $2.22M total across 5 segments · Q3 2023

  • Other operating income
    $1.09M
  • Swap (expenses) fees
    $453K
  • Service charges on deposit accounts
    $442K
  • Mortgage origination fees
    $158K
  • SBA/USDA fees
    $74K

Forward guidance

Southern States is confident in ongoing growth in the second half of 2022.

Tailwinds

  • 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.

Headwinds

  • 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

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 5 quarterly earnings reports

Historical avg

+1.7%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+4.8%

Avg return

30 days after

75%

15 / 20 earnings

Positive

+10.0%

Q2 2024

Best reaction

-4.0%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2025
Q1 2025+3.0%+1.8%+1.9%
Q4 2025-1.6%-4.0%-4.7%
Q3 2024-0.7%-0.7%+15.0%
Q2 2024+10.0%+12.3%+0.1%
Q1 2024+2.3%+1.7%+11.7%
Q4 2023-0.2%
Q3 2023+1.4%
Q2 2023+7.3%
Q1 2023-4.0%
Q4 2022+0.9%
Q3 2022+2.3%
Q2 2022-0.5%
Q1 2021+3.6%
Q1 2022+0.2%
Q4 2020+2.1%
Q4 2021+0.6%
Q3 2020+0.5%
Q3 2021+2.0%
Q2 2020+1.8%
Q2 2021+1.8%
Q1 2020

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