NYSE$SSB

SouthState Bank Corp · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

South State Corporation's financial performance improved significantly after the merger with CenterState Bank Corporation, resulting in record quarterly revenue and increased net income.

South State Corporation reported a strong third quarter, marked by record revenue and a return to profitability after the merger with CenterState Bank Corporation. The company's net income increased significantly, driven by higher net interest income and noninterest income. Asset quality remained solid, and capital ratios were strong.

  • Achieved record quarterly revenue of $385 million.
  • Reported net income of $95.2 million, or $1.34 per diluted common share.
  • Net interest margin declined slightly to 3.22%.
  • Allowance for credit losses represented 2.58% of total loans (excluding PPP loans).

Headline financials

Total Revenue

$385M

Previous: $165M+133.5%
EPS (adj)

$1.58

Previous: $1.49+6.0%
Efficiency Ratio

61.4%

No prior period
Adj. Efficiency Ratio

55.8%

No prior period
ROAA

1.0%

No prior period
Adj. ROAA

1.2%

No prior period
ROTCE

14.7%

No prior period
Adj. ROTCE

17.1%

No prior period
Tier 1 Leverage

8.1%

No prior period
Tier 1 Common Equity

11.5%

No prior period
Tier 1 Risk Capital

11.5%

No prior period
Total Risk Capital

13.9%

No prior period
Capital Expenditures

-$13M

Previous: -$11.5M-12.8%
Free Cash Flow

$82.2M

Previous: $40M+105.4%
Net Income

$95.2M

Previous: $51.6M+84.7%
Operating Income

$271M

Previous: $110M+146.1%
Gross Profit

$377M

Previous: $161M+134.5%
Cash & Equivalents

$1.27B

Previous: $719M+76.9%
Total Assets

$37.8B

Previous: $15.8B+140.1%
Stock-Based Comp

$4.96M

Previous: $2.29M+117.1%

Revenue & EPS history

SouthState · Revenue · Quarterly

$385M

Q3 2020+133.5%vs Q3 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

SouthState · $115M total across 6 segments · Q3 2020

  • Mortgage Banking
    $48M
  • Capital Markets
    $26.4M
  • Deposit Account Fees
    $24.3M
  • Trust & Investment
    $7.4M
  • Other Income
    $4.44M
  • BOLI Income
    $4.13M

Forward guidance

The company's integration and cost savings identification process continues to be on schedule.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.1%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+1.0%

Avg return

30 days after

53%

35 / 66 earnings

Positive

+6.1%

Q3 2020

Best reaction

-9.4%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.2%-1.6%-3.6%
Q4 2025-0.4%+0.4%+4.9%
Q3 2025-4.0%-4.4%-6.2%
Q2 2025-2.2%-1.0%+3.8%
Q1 2025-2.7%-3.3%-2.4%
Q4 2024+5.2%+8.1%+0.7%
Q3 2024+0.9%+1.3%+12.1%
Q2 2024+4.3%+5.9%+3.6%
Q1 2024-2.7%-5.5%-3.7%
Q4 2023+2.4%+4.9%+0.1%
Q3 2023+1.9%+2.5%+14.2%
Q2 2023-0.7%-1.1%-10.6%
Q1 2023+4.9%-2.0%-1.1%
Q4 2022+0.8%+4.1%+6.5%
Q3 2022+3.8%+5.5%+2.6%
Q2 2022+1.8%-2.1%-3.2%
Q1 2022+1.8%+2.7%+6.5%
Q4 2021+2.2%-0.6%+6.2%
Q3 2021-0.5%+6.7%+0.6%
Q2 2021-3.0%-3.2%-6.4%
Q1 2021+0.7%+1.0%+5.8%
Q4 2020-5.7%-9.0%+1.6%
Q3 2020+6.1%+11.6%+21.8%
Q2 2020-2.6%+1.3%+16.8%
Q1 2020+3.8%+11.1%-8.7%
Q4 2019-9.4%-11.6%-13.5%
Q3 2019+2.8%+3.3%+6.7%
Q2 2019+1.3%-2.3%-5.8%
Q1 2019+1.5%+2.3%-6.5%
Q4 2018+1.5%+2.2%+8.8%
Q3 2018-7.7%-15.0%-8.4%
Q2 2018-4.2%-5.0%-5.4%
Q1 2018-2.0%-0.2%+1.9%
Q4 2017-1.5%-1.6%-3.0%
Q3 2017+1.0%+1.9%-2.8%
Q2 2017-0.4%-0.6%-4.5%
Q1 2017+1.1%+2.2%-7.4%
Q4 2016-1.5%-4.5%-1.5%
Q3 2016-1.4%-1.0%+15.8%
Q2 2016+5.6%+6.5%+4.7%
Q1 2016+0.3%
Q4 2015+0.8%
Q3 2015+4.2%
Q2 2015-1.5%
Q1 2015-3.4%
Q4 2014-5.8%
Q3 2014+1.9%
Q2 2014+2.0%
Q1 2014+4.9%
Q4 2013-2.9%
Q3 2013+0.8%
Q2 2013-2.8%
Q1 2013-3.0%
Q4 2012+2.3%
Q3 2012-1.5%
Q2 2012+3.7%
Q1 2011-1.4%
Q1 2012+2.4%
Q4 2009+1.6%
Q4 2010+1.6%
Q4 2011+1.6%
Q3 2011-3.5%
Q3 2010-3.5%
Q2 2010-3.4%
Q2 2011-3.4%
Q1 2010+4.8%

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