Simmons First posts flat earnings at $6.6M

Pine Bluff, Ark.-based Simmons First National Corp. (Nasdaq: SFNC) posted second-quarter net income of $6.58 million, roughly flat compared to earnings of $6.54 million in the same quarter a year ago.

The holding company, which operates a Simmons First National Bank in Springfield at 3333 E. Battlefield Road, reported diluted earnings per share of 40 cents for the three months that ended June 30, a 2-cent increase from second-quarter 2012, according to a news release.

"Considering interest rates continue at historical lows, we were pleased with our 5.3 percent quarterly (earnings per share) increase," said George Makris Jr., CEO-elect for Simmons First, in the release. "More so, we were pleased with the positive trends in our balance sheet, as reflected in our normalized organic loan growth of approximately 3 percent, which enabled us to produce a net interest margin of 3.96 percent.

"The organic loan growth, coupled with strong asset quality, bodes well for the balance of the year."

Second-quarter financial notes:

• Loans totaled $1.9 billion as of June 30, after an increase of $149.7 million during the quarter.
• Interest income rose 4.4 percent to $32.6 million from $31.2 million, while interest expense decreased by 24.2 percent to $3 million from $4 million.
• Provision for loan losses equaled $1 million, an increase of 33.4 percent from $775,000.

As of June 30, Simmons First's assets were $3.4 billion, deposits were $2.8 billion and liabilities were $3 billion, the release said.

SFNC shares were trading at $27.99 as of 9:34 a.m., near a 52-week high of $28.11 reached yesterday. Its 52-week low is $22.36.[[In-content Ad]]