Truxton Corporation Reports Third Quarter 2016 Results

NASHVILLE, Tenn., Oct. 20, 2016 (GLOBE NEWSWIRE) — Truxton Corporation (OTCPK:TRUX), a financial holding company and the parent of Truxton Trust Company (the “Bank”), reported consolidated net income of $1,349,000 for the third quarter of 2016, a 7 percent increase compared with $1,264,000 for the third quarter of 2015.  Earnings per fully diluted share for the quarter ended September 30, 2016 totaled $0.50 versus $0.48 for the same period in 2015. 

For the nine months ended September 30, 2016, the company reported net income of $3,822,000 compared to $3,534,000 for the comparable 2015 period, an increase of 8 percent.  Earnings per fully diluted share for the nine months ended September 30, 2016 totaled $1.43 versus $1.35 for the same period in 2015.

At September 30, 2016, the company reported total assets of $398.2 million, an 18 percent decrease from September 30, 2015. As reported a year ago, the 2015 assets were inflated by a single transitory deposit of over $100 million, which was disbursed before December 31, 2015.  Over the same period, total loans increased 12 percent to $280.5 million, while deposits declined 21 percent to $330.1 million for the reason discussed above.  At September 30, 2016, the Bank’s Tier 1 leverage ratio was 10.56 percent.

Non-interest income for the third quarter of 2016 was $2,357,000, compared to $1,821,000 for the same period in 2015, an increase of 29 percent.

Tangible Book Value per share at September 30, 2016 was $17.50 compared to $15.97 at the same time a year ago, a 10% increase after paying $0.66 per share in dividends in the trailing twelve months.

“We have added staff and systems to allow accelerated growth in the years ahead but are still increasing our earnings according to our plan,” said CEO Tom Stumb.  

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.

Truxton Corporation      
Consolidated Balance Sheets    
(000’s)    
(Unaudited)    
         
  September
2016
December
2015
September
2015
 
ASSETS        
Cash and due from financial institutions $   5,601   $   5,699   $   4,247    
Interest bearing deposits in other financial institutions     7,691       17,340       98,501      
Federal funds sold     2,654       9,815       14,071    
Cash and cash equivalents     15,946       32,854       116,819        
         
Time deposits in other financial institutions     14,238       19,995       25,165      
Securities available for sale     74,712       82,482       81,146      
         
Gross loans     280,469       257,159       251,354    
Allowance for loan losses     (2,991 )     (2,754 )     (2,733 )  
Net loans     277,478       254,405       248,621        
           
Bank owned life insurance     9,243       9,060       8,224      
Restricted equity securities     2,537       2,527       2,520      
Premises and equipment, net     884       1,175       1,209      
Accrued interest receivable     1,163       1,107       1,021        
Other real estate owned     –       –       –      
Deferred tax asset, net     346       805       738      
Other assets     1,660       1,043       1,546      
         
Total assets $   398,207   $   405,452   $   487,009        
         
         
LIABILITIES AND SHAREHOLDERS’ EQUITY        
Deposits        
Non-interest bearing $   76,118   $   75,561   $   177,256      
Interest bearing     253,940       263,453       242,953      
Total deposits     330,058       339,014       420,209        
         
Federal Home Loan Bank advances     19,932       22,479       23,967    
Other liabilities     1,996       1,685       1,369      
Total liabilities     351,986       363,178       445,545        
         
SHAREHOLDERS’ EQUITY        
Additional paid-in capital     26,525       26,190       25,837      
Retained earnings     18,790       15,919       15,208      
Accumulated other comprehensive income (loss)     906       165       419    
         
Total shareholders’ equity      46,221       42,274       41,464        
         
Total liabilities and shareholders’ equity  $   398,207   $   405,452   $   487,009        
         

 

Truxton Corporation    
Consolidated Statements of Net Income  
(000’s)  
(Unaudited)    
                     
  Three  Months Ended     Nine Months Ended    
  September 2016   September 2015     September 2016   September 2015    
Non-interest income                    
Wealth management services $   1,947     $   1,790       $   5,602     $   5,347      
Service charges on deposit accounts   85       72         238       189      
Bank owned life insurance income   62       54         183       166      
Other   263       (95 )       799       183        
Total non-interest income   2,357       1,821         6,822       5,885      
                     
Interest income                    
Loans, including fees $   2,912     $   2,676       $   8,389     $   7,630      
Taxable securities   211       220         730       673      
Tax-exempt securities   154       182         568       537      
Interest bearing deposits   58       32         214       77      
Federal funds sold   1       3         17       6      
Total interest income   3,336       3,113         9,918       8,923      
                     
Interest expense                    
Deposits     250         248           761         762      
Short-term  borrowings     7         –           12         2      
Long-term  borrowings   76         71         204         208      
Total interest expense   333       319         977       972      
                     
Net interest income   3,003       2,794         8,941       7,951      
                     
Provision for loan losses   42         –         241         –      
                     
Net interest income after provision for loan losses   2,961       2,794         8,700       7,951      
                     
Total revenue, net   5,318       4,615         15,522       13,836      
                     
Non-interest expense                      
Salaries and employee benefits   1,935       1,889         6,066       5,570      
Occupancy   171       165         504       515      
Furniture and equipment   42       43         129       129      
Data processing   270       194         746       573      
Wealth management processing fees   24       128         345       460      
Advertising and public relations   55       42         143       113      
Professional services   197       125         538       421      
FDIC insurance assessments   51       41         162       121      
Other   684       136         1,467       796        
Total non-interest expense   3,429       2,763         10,100       8,698      
                     
Income before income taxes   1,889       1,852         5,422       5,138      
                     
Income tax expense   540       588         1,600       1,604      
                     
Net income $   1,349     $   1,264       $   3,822     $   3,534      
                     
Earnings per share:                       
Basic $   0.51     $   0.49       $   1.45     $   1.37        
Diluted $   0.50     $   0.48       $   1.43     $   1.35      
                     

 

Truxton Corporation  
Operating Statistics  
(000’s)  
(Unaudited)  
         
  Nine Months Ended    
  September
2016
September
2015
   
Performance Ratios        
Efficiency Ratio    63.81 %   61.44 %    
Net Interest Margin    3.13 %   3.24 %    
         
Capital Ratios        
Return on Average Assets    1.16 %   1.32 %    
Return on Average Equity    11.55 %   12.77 %    
Tier 1 Leverage Ratio (Bank)   10.56 %   10.30 %    
         
Asset Quality Data        
Net Loan Charge-Offs  $   –    $   –       
Non-Performing Loans  $   –    $   18      
         

 

CONTACT: Investor Relations			
Andrew May				
615-515-1707				
andrew.may@truxtontrust.com  	

Media Relations		
Tamara Schoeplein
615-515-1714
tamara.schoeplein@truxtontrust.com