EX-99.1 3 e15999ex99_1.txt PRESS RELEASE Exhibit 99.1 MidSouth Bancorp, Inc. Reports 3rd Quarter Earnings Up 40%@ LAFAYETTE, La., Oct. 27 /PRNewswire-FirstCall/ -- MidSouth Bancorp, Inc. (Amex: MSL) ("MidSouth") announced net income of $1,734,567, a 40% increase over the $1,241,673 for the third quarter of 2002 and a 7% increase over the second quarter 2003 earnings of $1,624,141. Basic earnings per share were $.55 for the quarter ended September 30, 2003, a significant increase from the $.39 per share reported for the third quarter of 2002, and up four cents ($.04) from the $.51 per share reported for the second quarter of 2003. Diluted earnings per share were $.52 for the third quarter of 2003 compared to $.38 per share for the third quarter of 2002 and $.49 for the second quarter of 2003. On August 29, 2003, MidSouth paid a 10% stock dividend on its common stock to holders of record on July 31, 2003. Earnings per common share data have been adjusted accordingly. Earnings for the nine months ended September 30, 2003 were $4,668,260, a $1,521,211 or 48% increase over the $3,147,049 for the nine months ended September 30, 2002. Basic earnings per share were $1.47 for the first nine months of 2003 compared to $.99 for the first nine months of 2002. Diluted earnings per share were $1.41 and $.97, respectively. Substantial declines in interest expense and loan loss provisions accounted for the increases in quarterly and year-to-date comparisons. Highlights for the Quarter Ended September 30, 2003 -- Return on average equity was 21.90% for the third quarter of 2003 compared to 18.92% for the third quarter of 2002. The leverage capital ratio was 8.51% at September 30, 2003 compared to 8.24% at September 30, 2002. -- Net interest income totaled $5,112,838 for the third quarter of 2003, up 11% from the $4,589,399 reported for the third quarter 2002. Net interest income increased primarily due to a substantial decline in interest expense combined with a slight increase in interest income due to an increase in the average volume of earning assets. -- A decrease in the provision for loan losses of $179,250 boosted earnings for the quarter ended September 30, 2003. A provision totaling $250,000 was expensed during the third quarter of 2003 compared to the $429,250 expensed during the third quarter of 2002. -- Total loans grew $11.8 million or 5%, from $235.1 million at September 30, 2002 to $246.9 million at September 30, 2003. -- Nonperforming assets as a percentage of total assets decreased from .27% at September 30, 2002 to .22% at September 30, 2003. Net charge-offs to total loans decreased from .35% to .17% for the same periods, respectively. -- Total consolidated assets increased $37.6 million or 10%, from $382.2 million at the end of the third quarter of 2002 to $419.8 million at the end of the third quarter of 2003. -- Total deposits increased $31.5 million or 9%, from $342.6 million in the third quarter of 2002 to $374.1 million in the third quarter of 2003. The increase resulted primarily from deposits associated with a public fund contract. The contracted funds were deposited on July 1, 2003 and averaged $26.9 million for the third quarter of 2003. -- MidSouth increased dividends paid on its common stock by 32% with a 10% stock dividend paid on August 29, 2003 and an increase in cash dividends from five cents ($.05) to six cents ($.06) per common share for the quarter ended September 30, 2003. -- MidSouth was recognized in the US Banker as one of the top publicly traded community banks in the country based on a three year average return on equity. -- MidSouth announced the opening of a new office in Houma, Louisiana and plans to construct a full service facility there within the next nine months. Opened on September 1, 2003, the new office allows MidSouth's commercial lending division to take an active role in the economic development of the Houma/Terrebonne market. MidSouth's common stock is traded on the American Stock Exchange under the symbol MSL. The Private Securities Litigation Act of 1995 provides a safe harbor for disclosure of information about a company's anticipated future financial performance. This act protects a company from unwarranted litigation if actual results differ from management expectations. This press release reflects management's current views and estimates of future economic circumstances, industry conditions, MidSouth's performance and financial results. A number of factors and uncertainties could cause actual results to differ from anticipated results and expectations. MIDSOUTH BANCORP, INC. AND SUBSIDIARIES FINANCIAL HIGHLIGHTS (UNAUDITED) (in thousands except per share data)
For The For The Quarter Quarter Ended Ended September 30, % June 30, % EARNINGS DATA 2003 2002 Change 2003 Change Total interest income $6,269 $6,255 0.22% $5,912 6.04% Total interest expense 1,156 1,666 -30.61% 1,169 -1.11% Net interest income 5,113 4,589 11.42% 4,743 7.80% Provision for loan losses 250 429 -41.72% 100 150.00% Non-interest income 1,990 1,827 8.92% 2,029 -1.92% Non-interest expense 4,504 4,313 4.43% 4,438 1.49% Provision for income tax 614 432 42.13% 610 0.66% Net income $1,735 $1,242 39.69% $1,624 6.83% PER COMMON SHARE DATA (A) Basic earnings per share $0.55 $0.39 41.03% $0.51 7.84% Diluted earnings per share $0.52 $0.38 36.84% $0.49 6.12% Book value at end of period $9.73 $8.25 17.94% $9.37 3.84% Market price at end of period $31.70 $11.73 170.25% $20.77 52.62% Weighted average shares outstanding Basic 3,173,956 3,171,456 0.08% 3,173,956 0.00% Diluted 3,325,880 3,241,758 2.59% 3,293,811 0.97% AVERAGE BALANCE SHEET DATA Total assets $426,035 $376,774 13.07% $393,460 8.28% Earning assets 393,919 345,278 14.09% 361,269 9.04% Loans and leases 244,988 230,948 6.08% 238,763 2.61% Interest-bearing deposits 291,936 257,884 13.20% 260,760 11.96% Total deposits 380,325 337,519 12.68% 350,161 8.61% Total stockholders' equity 31,431 26,040 20.70% 29,403 6.90% SELECTED RATIOS 09/30/2003 09/30/2002 06/30/2003 Return on average assets 1.62% 1.31% 23.54% 1.66% -2.41% Return on average total equity 21.90% 18.92% 15.73% 22.15% -1.14% Return on average realized equity (B) 23.51% 20.21% 16.33% 23.54% -0.13% Average equity to average assets 7.38% 6.91% 6.75% 7.47% -1.28% Leverage capital ratio 8.51% 8.24% 3.28% 8.82% -3.51% CREDIT QUALITY Allowance for loan losses as a % of total loans 1.23% 1.28% -3.91% 1.22% 0.82% Nonperforming assets to total assets 0.34% 0.60% -43.33% 0.37% -8.11% Net charge-offs to total loans 0.17% 0.35% -52.38% 0.10% 66.94%
(A) On August 29, 2003, MidSouth paid a 10% stock dividend on its common stock to holders of record on July 31, 2003. Per common share data has been adjusted accordingly. (B) Excluding net unrealized gain (loss) on securities available for sale. MIDSOUTH BANCORP, INC. and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands except per share data) Period Ended % Period Ended BALANCE SHEET Sept. 30, Change June 30, Dec. 31, Assets 2003 2002 2003 2002 Cash and cash equivalents $18,509 $21,619 -14.39% $23,218 $27,468 Securities available- for-sale 115,881 86,478 34.00% 98,602 89,576 Securities held-to- maturity 23,397 23,583 -0.79% 23,397 23,398 Total investment securities 139,278 110,061 26.55% 121,999 112,974 Total loans 246,867 235,097 5.01% 241,827 227,052 Allowance for loan losses (3,032) (3,010) 0.73% (2,951) (2,891) Loans, net 243,835 232,087 5.06% 238,876 224,161 Premises and equipment 12,018 12,514 -3.96% 12,122 12,322 Goodwill and other intangibles 1,007 1,072 -6.06% 1,023 1,056 Other assets 5,233 4,917 6.43% 5,002 4,706 Total assets $419,880 $382,270 9.84% $402,240 $382,687 Liabilities and Stockholders' Equity Non-interest bearing deposits $88,923 $84,620 5.09% $91,602 $94,452 Interest bearing deposits 285,161 258,002 10.53% 266,598 249,022 Securities sold under agreements to repurchase 6,332 3,724 70.03% 5,066 2,979 Long-term debt --- 796 -100.00% 421 568 Junior subordinated debenture 7,000 7,000 0.00% 7,000 7,000 Other liabilities 1,477 1,799 -17.90% 1,654 1,547 Total liabilities 388,893 355,941 9.26% 372,341 355,568 Total shareholders' equity 30,987 26,329 17.69% 29,899 27,119 Total liabilities and shareholders' equity $419,880 $382,270 9.84% $402,240 $382,687 MIDSOUTH BANCORP, INC. and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands except per share data)
Three Months Ended Nine Months Ended INCOME STATEMENT September 30, % September 30, % 2003 2002 Change 2003 2002 Change Interest income $6,269 $6,255 0.22% $18,034 $18,136 -0.56% Interest expense 1,156 1,666 -30.61% 3,591 5,168 -30.51% Net interest income 5,113 4,589 11.42% 14,443 12,968 11.37% Provision for loan losses 250 429 -41.72% 550 1,123 -51.02% Service charges on deposit accounts 1,343 1,207 11.27% 3,886 3,441 12.93% Gains on securities, net 10 1 900.00% 98 1 9700.00% Other charges and fees 637 619 2.91% 1,748 1,547 12.99% Total non-interest income 1,990 1,827 8.92% 5,732 4,989 14.89% Salaries and employee benefits 2,175 2,077 4.72% 6,373 5,995 6.31% Occupancy expense 976 961 1.56% 2,848 2,730 4.32% Goodwill and intangible amortization 16 16 0.00% 49 16 206.25% Other non-interest expense 1,337 1,259 6.20% 3,984 3,847 3.56% Total non-interest expense 4,504 4,313 4.43% 13,254 12,588 5.29% Income before income taxes 2,349 1,674 40.32% 6,731 4,246 58.53% Net income $1,735 $1,242 39.69% $4,668 $3,147 48.33% Earnings per share, diluted $0.52 $0.38 36.84% $1.41 $0.97 45.36%
MIDSOUTH BANCORP, INC. and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands except per share data) Third Second First Fourth Third INCOME STATEMENT Quarter Quarter Quarter Quarter Quarter 2003 2003 2003 2002 2002 Interest income $6,269 $5,912 $5,853 $5,989 $6,255 Interest expense 1,156 1,169 1,266 1,541 1,666 Net interest income 5,113 4,743 4,587 4,448 4,589 Provision for loan losses 250 100 200 275 429 Net interest income after provision for loan losses 4,863 4,643 4,387 4,173 4,160 Total non-interest income 1,990 2,029 1,713 1,932 1,827 Total non-interest expense 4,504 4,438 4,311 4,494 4,313 Income before income taxes 2,349 2,234 1,789 1,611 1,674 Income taxes 614 610 479 329 432 Net income $1,735 $1,624 $1,310 $1,282 $1,242 Earnings per share, basic $0.55 $0.51 $0.41 $0.40 $0.39 Earnings per share, diluted $0.52 $0.49 $0.40 $0.39 $0.38 Book value per share $9.73 $9.37 $8.83 $8.50 $8.25 Return on Average Equity 21.90% 22.15% 18.76% 18.41% 18.92% MIDSOUTH BANCORP, INC. and SUBSIDIARIES Condensed Consolidated Financial Information (unaudited) (in thousands except per share data) Asset Quality Data Period Ended % Period Ended September 30, Change June 30, Dec. 31, 2003 2002 2003 2002 Nonaccrual loans $704 $726 -3.03% $852 $710 Loans past due 90 days and over 489 1,275 -61.65% 477 819 Total nonperforming loans 1,193 2,001 -40.38% 1,329 1,529 Other real estate owned 233 284 -17.96% 175 175 Other foreclosed assets --- --- --- 45 Total nonperforming assets $1,426 $2,285 -37.59% $1,504 $1,749 Nonperforming assets to total assets 0.34% 0.60% -43.16% 0.37% 0.46% Nonperforming assets to total loans + OREO + other foreclosed assets 0.58% 0.97% -40.52% 0.62% 0.77% ALL to nonperforming assets 212.54% 131.75% 61.32% 196.22% 165.30% ALL to nonperforming loans 254.05% 150.42% 68.89% 222.03% 189.07% ALL to total loans 1.23% 1.28% -4.08% 1.22% 1.27% Year-to-date charge-offs $599 $929 -35.52% $348 $1,364 Year-to-date recoveries 190 111 71.17% 108 152 Year-to-date net charge-offs 409 818 -50.00% 240 1,212 Net charge-offs to total loans 0.17% 0.35% -51.43% 0.10% 0.53% SOURCE MidSouth Bancorp, Inc. -0- 10/27/2003 /CONTACT: Sally Gary, Investor Relations, +1-337-267-4202, or sallyg@midsouthbank.com , or Teri Stelly, Controller, +1-337-267-4208, or C. R. Rusty Cloutier, President, +1-337-267-4201, all of MidSouth Bancorp, Inc./ (MSL) CO: MidSouth Bancorp, Inc. ST: Louisiana IN: FIN SU: ERN