Great Southern ends year down 2.5%

With lower net interest income and higher expenses, Great Southern Bancorp Inc. (Nasdaq: GSBC) reported 2016 net income of $45.3 million, a 2.5 percent decrease compared with $46.5 million a year earlier.

The Springfield-based operator of Great Southern Bank recorded $163.1 million in net interest income for the year ended Dec. 31, a 3.1 percent decline from $168.4 million in 2015. Provision for loan losses rose 68.2 percent to $9.3 million, and noninterest expense was up 5.3 percent to $120.4 million, according to a news release.

In the fourth quarter, net income was up 1.2 percent to $11.8 million as Great Southern recorded unusual income and expenses. The atypical items included:
    •    $566,000 in expenses related to debit card and check fraud losses, in part from a security breach at a national retail merchant;
    •    a $270,000 annual fee income bonus for increased usage via point-of-sale and debit card networks; and
    •    a $425,000 decrease in insurance expenses due to a reduction in Federal Deposit Insurance Corp. insurance premiums.

“We had a few unusual items during the quarter, but in total these items did not significantly impact our results,” Great Southern President and CEO Joe Turner said in the release.

As of Dec. 31, Great Southern held $4.6 billion in assets and $3.7 billion in deposits. The company operates 104 branches and more than 200 ATMs in Missouri and five other states, as well as commercial lending offices in Tulsa, Oklahoma, and Dallas, Texas, according to the release.

GSBC shares were trading at $50.80 as of 8:44 a.m., compared with a 52-week range of $34.48 to $56.70.

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