First Community Corporation Announces Annual and Fourth Quarter Results and Increased Cash Dividend
January 21, 2015
Highlights
- 2014 net income of $5.12 million, a 23.77% increase over 2013 earnings
- EPS of $0.78 per common share
- Increase in cash dividend to $0.07 per common share, the 52nd consecutive quarter of cash dividends paid to common shareholders
- Total assets grew 28.27% to $812.36 million
- Major initiatives completed during 2014 included the acquisition of Savannah River Financial Corporation, completion of a purchase and assumption transaction with First South Bank, and opening of a de novo branch in downtown Columbia, South Carolina
- Regulatory capital ratios of 10.02% (Tier 1 Leverage) and 16.91% (Total Capital) along with Tangible Common Equity / Tangible Assets (TCE/TA) ratio of 8.48%
- Non-performing assets (NPAs) of 1.18%
- Cost of total deposits of 0.26%
- Diversified revenue model shows continued strength as net-interest income and net-interest margin increased during 2014.
LEXINGTON, SC – First Community Corporation (Nasdaq: FCCO), the holding company for First Community Bank, reported net income available to common shareholders for the fourth quarter of 2014 of $1.51 million, an increase of 77.18% as compared to $850 thousand in the fourth quarter of 2013. Diluted earnings per common share were $0.22 for the fourth quarter of 2014 as compared to $0.16 for the fourth quarter of 2013. For the year ended December 31, 2014 net income available to common shareholders was $5.12 million compared to $4.14 million during year ended December 31, 2013. Diluted earnings per share for each year were $0.78. During 2014, the company’s assets increased 28.27% to $812.36 million.
First Community President and CEO Michael Crapps commented, “We are pleased with our company’s financial results during 2014 and will continue to leverage the benefit from recent and planned growth.”
As previously announced, the company plans to expand its footprint with a banking office in Blythewood, South Carolina. Construction is underway at the site located at 201 Main Street, in the town of Blythewood. The office is expected to open in the Spring of 2015.
In talking about First Community’s latest expansion, Mr. Crapps commented, “Blythewood is a vibrant and growing community. We look forward to working with the businesses and members of this community to help them meet their financial goals.” Crapps continued, “This new office is the latest in a series of growth for our company over the last year which included the acquisition of Savannah River Financial Corporation in Augusta, Georgia, the opening of a new banking office in downtown Columbia, and the purchase and assumption of deposits and certain loans from First South Bank’s Columbia banking office.”
Cash Dividend and Capital
The Board of Directors has approved an increase in the cash dividend for the fourth quarter of 2014 to $0.07. This dividend is payable on February 13, 2015 to shareholders of record of the company’s common stock as of February 2, 2015. Mr. Crapps commented, “Our entire board is pleased that our company’s strong financial performance enables us to increase the cash dividend. We are also proud that dividend payments have continued uninterrupted for 52 consecutive quarters.”
Each of the regulatory capital ratios (Leverage, Tier I Risk Based and Total Risk Based) exceeds the well capitalized minimum levels currently required by regulatory statute. At December 31, 2014, the company’s regulatory capital ratios (Leverage, Tier I Risk Based and Total Risk Based) were 10.02%, 16.09%, and 16.91%, respectively. This compares to the same ratios as of December 31, 2013 of 10.77%, 17.60%, and 18.68%, respectively. Additionally, the regulatory capital ratios for the company’s wholly owned subsidiary, First Community Bank, were 9.56%, 15.38%, and 16.20% respectively as of December 31, 2014. Further, the company’s ratio of tangible common equity to tangible assets indicates a high quality of capital with a ratio of 8.48% as of December 31, 2014.
