GADSDEN, Ala., May 14, 2026 (GLOBE NEWSWIRE) -- The Southern Banc Company, Inc. (OTCBB: SRNN), the holding company for The Southern Bank Company (the "Bank"), announced net income of approximately $363,000, or $0.48 per basic and diluted share, for the quarter ended March 31, 2026, as compared to net income of approximately $230,000, or $0.30 per basic and diluted share, for the quarter ended March 31, 2025. The Company announced that for the nine-month period ended March 31, 2026, the Company recorded net income of approximately $922,000, or $1.21 per basic and diluted share, as compared to net income of approximately $775,000, or $1.02 per basic and $1.01 per diluted share, for the nine-month period ended March 31, 2025. The Company's fiscal year ends June 30, 2026.
Gates Little, President and Chief Executive Officer of the Company stated that the Company's net interest income increased approximately $200,000, or 9.05%, during the quarter as compared to the same period in 2025. The increase in the net interest income before provision for credit losses for the quarter was primarily attributable to an increase in total interest income of approximately $185,000 and a decrease in total interest expense of approximately $15,000. For the three-month period ending March 31, 2026, the Company recorded a provision for loan and lease losses in the amount of approximately $57,000 as compared to $99,000 for the three-month period ending March 31, 2025. For the quarter ending March 31, 2026, total non-interest income decreased approximately $10,000, or (7.60%), while total non-interest expense increased approximately $53,000, or 2.74%, as compared to the same three-month period in 2025. The decrease in non-interest income was primarily attributable to a decrease in miscellaneous income of approximately $11,000. The increase in non-interest expenses was primarily attributable to increases in salaries and benefits of approximately $55,000 and data processing expenses of approximately $14,000, offset in part by a decrease in professional service expenses of approximately $17,000 and occupancy expenses of approximately $11,000.
For the nine months ending March 31, 2026, net interest income increased approximately $453,000, or 6.91%, as compared to the same period in 2025. The increase in the net interest income before provision for credit losses for the quarter was primarily attributable to an increase in total interest income of approximately $508,000 and an increase in total interest expense of approximately $55,000. For the nine-month period ending March 31, 2026, the Company recorded a provision for loan and lease losses in the amount of approximately $141,000 as compared to $541,000 for the nine-month period ending March 31, 2025. For the nine-months ending March 31, 2026, total non-interest income decreased approximately $25,000, or (5.88%), while total non-interest expense increased approximately $631,000, or 11.63%, as compared to the same period in 2025. The decrease in non-interest income was primarily attributable to decreases in miscellaneous income of approximately $16,000 and customer service fees of approximately $9,000. The increase in non-interest expense was primarily attributable to increases in salaries and benefits of approximately $518,000, data processing expenses of approximately $40,000 and professional fees of approximately $2,000, offset in part by a decrease in occupancy expense of approximately $1,000.
The Company's total assets on March 31, 2026, were approximately $127.6 million, as compared to $124.0 million at June 30, 2025. Total stockholders' equity was approximately $18.1 million on March 31, 2026, or 14.15% of total assets as compared to approximately $16.7 million on June 30, 2025, or approximately 13.48% of total assets.
The Bank has four full-service banking offices located in Gadsden, Albertville, Guntersville, and Centre, AL, and one loan production office in Birmingham, AL that conducts factoring activities. Common stock of The Southern Banc Company, Inc. trades in the over-the-counter market under the symbol "SRNN".
Certain statements in this release contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which statements can generally be identified by the use of forward-looking terminology, such as "may," "will," "expect," "estimate, " "anticipate," "believe," "target," "plan," "project," "continue," or the negatives thereof, or other variations thereon or similar terminology, and are made on the basis of management's plans and current analyses of the Company, its business and the industry as a whole. These forward-looking statements are subject to risks and uncertainties, including, but not limited to, economic conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes. The above factors, in some cases, have affected, and in the future could affect the Company's financial performance and could cause actual results to differ materially from those expressed or implied in such forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.
(Selected financial data attached)
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL
CONDITION
(Dollar Amounts in Thousands)
March 31, June 30,
2026 2025
Unaudited Audited
ASSETS
CASH AND CASH EQUIVALENTS $ 24,074 $ 25,208
SECURITIES AVAILABLE FOR SALE, at fair value 44,046 39,327
FEDERAL HOME LOAN BANK STOCK 133 125
LOANS RECEIVABLE, net of allowance for loan
losses
of $1,323 and $1,839, respectively 55,957 55,794
PREMISES AND EQUIPMENT, net 926 1,007
ACCRUED INTEREST AND DIVIDENDS RECEIVABLE 934 869
PREPAID EXPENSES AND OTHER ASSETS 1,489 1,706
TOTAL ASSETS $ 127,559 $124,036
======== =======
LIABILITIES
DEPOSITS $ 101,966 $101,307
FHLB ADVANCES 0 0
OTHER LIABILITIES 7,542 6,011
TOTAL LIABILITIES 109,508 107,318
STOCKHOLDERS' EQUITY:
Preferred stock, par value $.01 per share
500,000 shares authorized; no shares
issued
and outstanding - -
Common stock, par value $.01 per share,
3,500,000 authorized, 1,454,750 shares
issued 15 15
Additional paid-in capital 13,951 13,948
Shares held in trust, 45,911 and 44,081
shares at cost,
respectively (787) (762)
Retained earnings 15,721 14,799
Treasury stock, at cost, 648,664 shares (8,825) (8,825)
Accumulated other comprehensive (loss) (2,024) (2,457)
TOTAL STOCKHOLDERS' EQUITY 18,051 16,718
-------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 127,559 $124,036
THE SOUTHERN BANC COMPANY, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Dollar Amounts in Thousands, except per share data)
Three Months Ended Nine Months Ended
March 31, March 31,
--------------------- ---------------------
2026 2026
(Unaudited) 2025 (Unaudited) 2025
INTEREST INCOME:
Interest and fees
on loans $ 2,586 $ 2,476 $ 7,575 $ 7,548
Interest and
dividends on
securities 266 200 769 545
Other interest
income 222 213 751 494
----------- ------- ----------- -------
Total interest
income 3,074 2,889 9,095 8,587
INTEREST EXPENSE:
Interest on
deposits 670 685 2,075 2,020
Interest on
borrowings 0 0 0 0
Total interest
expense 670 685 2,075 2,020
----------- ------- ----------- -------
Net interest
income before
provision for
loan losses 2,404 2,204 7,021 6,567
Provision for
loan losses 57 99 141 541
-----------
Net interest
income after
provision for
loan losses 2,347 2,105 6,880 6,026
NON-INTEREST
INCOME:
Fees and other
non-interest
income 31 30 87 96
Net gain on sale
of securities 0 0 0 0
Miscellaneous
income 96 107 328 344
----------- ------- ----------- -------
Total
non-interest
income 127 137 415 440
----------- ------- ----------- -------
NON-INTEREST
EXPENSE:
Salaries and
employee
benefits 1,294 1,239 3,920 3,402
Office building
and equipment
expenses 90 101 284 285
Professional
Services
Expense 178 195 567 565
Data Processing
Expense 199 185 595 555
Net loss on sale
of securities 0 0 0 0
Other operating
expense 223 211 682 610
Total
non-interest
expense 1,984 1,931 6,048 5,417
----------- ------- ----------- -------
Income before
income taxes 490 311 1,247 1,049
PROVISION FOR
INCOME TAXES 127 81 325 274
----------- ------- ----------- -------
Net Income $ 363 $ 230 $ 922 $ 775
=========== ======= =========== =======
EARNINGS PER SHARE:
Basic $ 0.48 $ 0.30 $ 1.21 $ 1.02
Diluted $ 0.48 $ 0.30 $ 1.21 $ 1.01
DIVIDENDS DECLARED
PER SHARE $ --- $ --- $ --- $ ---
AVERAGE SHARES
OUTSTANDING:
Basic 760,175 763,918 760,934 761,050
Diluted 763,188 768,309 763,763 766,710
Contact: Gates Little
(256) 543-3860
(END) Dow Jones Newswires
May 14, 2026 14:22 ET (18:22 GMT)
Comments