BILOXI, Miss., July 29, 2020 /PRNewswire/ — Peoples Financial Corporation (OTCQX Best Market: PFBX), parent of The Peoples Bank, announced earnings for the second quarter ending June 30, 2020.

Net income for the second quarter of 2020 was $858,000 compared to a net loss of $328,000 for the second quarter of 2019.  Earnings per weighted average common share for the second quarter of 2020 were $0.17 compared to loss per weighted average common share of $0.06 for the second quarter of 2019. Per share figures are based on weighted average common shares outstanding of 4,883,764 and 4,943,186 for the quarters ended June 30, 2020 and 2019, respectively.

Net income for the six months ended June 30, 2020 was $1,981,000 compared to $77,000 for the six months ended June 30, 2019.  Earnings per weighted average common share for the six months ended June 30, 2020 were $0.40 compared to earnings per weighted average common share of $0.02 for the six months ended June 30, 2019. Per share figures are based on weighted average common shares outstanding of 4,905,690 and 4,943,186 for the six months ended June 30, 2020 and 2019, respectively.

Favorably impacting the company’s financial performance in second quarter and first half of 2020 were an increase in non-interest income, including gains on the sale of securities and a gain on the sale of real estate. Additionally, the company’s non-interest expense decreased as strategies to improve efficiency continue to be implemented.  

«These are unprecedented times for our community and our bank,» said Chevis C. Swetman, chairman and chief executive officer of the holding company and the bank.  He added, «While we are pleased with our financial results in 2020, our priorities are the health and safety of our bank staff and our customers and meeting the unique banking needs of the community in the current environment. 

Small businesses are the backbone of our local economy.  We are proud to have participated in the Small Business Administration’s Paycheck Protection Program.  We have funded more than 350 loans totaling $23 million, which has been a tremendous benefit for our customers.»

The Company’s capital maintains its position as one of the highest in the Southeast United States.  The Company’s primary capital ratio was 16.58% at June 30, 2020, compared to 15.66% at June 30, 2019. The company’s book value per share was $20.54 and $18.79 at June 30, 2020 and 2019, respectively.

Founded in 1896, with $658 million in assets as of June 30, 2020, The Peoples Bank operates 18 branches along the Mississippi Gulf Coast in Hancock, Harrison, Jackson and Stone counties. In addition to offering a comprehensive range of retail and commercial banking services, the bank also operates a trust and investment services department that has provided customers with financial, estate and retirement planning services since 1936. 

The Peoples Bank is a wholly owned subsidiary of Peoples Financial Corporation, listed on the OTCQX Best Market under the symbol PFBX. Additional information is available on the Internet at www.thepeoples.com.  

This news release contains forward-looking statements and reflects industry conditions, company performance and financial results. These forward-looking statements are subject to a number of risk factors and uncertainties which could cause the Company’s actual results and experience to differ from the anticipated results and expectation expressed in such forward-looking statements.

PEOPLES FINANCIAL CORPORATION

(In thousands, except per share figures) (Unaudited)

EARNINGS SUMMARY

Three Months Ended June 30,

Six Months Ended June 30,

2020

2019

2020

2019

Net interest income

$             4,449

$             4,340

$             8,845

$             8,960

Provision for loan losses

198

56

262

110

Non-interest income

1,753

1,599

4,019

3,065

Non-interest expense

5,146

6,211

10,621

11,838

Net income (loss)

858

(328)

1,981

77

Earnings (loss) per share

$                  .17

$               (.06)

$                  .40

$                  .02

TRANSACTIONS IN THE ALLOWANCE FOR LOAN LOSSES

Three Months Ended June 30,

Six Months Ended June 30,

2020

2019

2020

2019

Allowance for loan losses, beginning of period

$             4,191

$             5,376

$             4,207

$             5,340

Recoveries

59

26

121

84

Charge-offs

(254)

(512)

(396)

(588)

Provision for loan losses

198

56

262

110

Allowance for loan losses, end of period

$             4,194

$             4,946

$             4,194

$             4,946

ASSET QUALITY

June 30,

2020

2019

Allowance for loan losses as a 

   percentage of loans

1.44%

1.86%

Loans past due 90 days and 

   still accruing

$                  82

$

Nonaccrual loans

8,381

10,143

PERFORMANCE RATIOS (annualized)

June 30,

2020

2019

Return on average assets

.63%

.02%

Return on average equity

4.05%

.17%

Net interest margin

3.07%

3.23%

Efficiency ratio

84%

99%

Primary capital

16.58%

15.66%

BALANCE SHEET SUMMARY

June 30,

2020

2019

Total assets

$         657,584

$         622,422

Securities

252,956

277,138

Loans

290,538

266,097

Other real estate

6,100

9,012

Total deposits

535,848

493,635

Shareholders’ equity

100,332

92,869

Book value per share

20.54

18.79

Weighted average shares

4,905,690

4,943,186

 

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SOURCE Peoples Financial Corporation