TRUX - Truxton Corporation Reports Fourth Quarter 2017 Results

January, 25 2018 08:20 AM Truxton Corp

NASHVILLE, Tenn., Jan. 25, 2018 (GLOBE NEWSWIRE) -- Truxton Corporation (OTCPK:TRUX), a financial holding company and the parent of Truxton Trust Company (the “Bank”), reported consolidated net income of $1,453,000 for the fourth quarter of 2017, a 13.6 percent decrease compared with $1,682,000 for the fourth quarter of 2016. Earnings per fully diluted share for the quarter ended December 31, 2017, totaled $0.54 versus $0.62 for the same period in 2016.

For the twelve months ended December 31, 2017, the company reported net income of $6,178,000 compared to $5,505,000 for the comparable 2016 period, an increase of 12.2 percent. Earnings per fully diluted share for the twelve months ended December 31, 2017, totaled $2.28 versus $2.06 for the same period in 2016.

As seen industry wide, there were two items negatively impacting the firm’s most recent quarter and annual results for 2017:

Strategic, pre-tax investment securities losses of $210,000 for the three months and $189,000 for twelve months ended December 31, 2017
Resulting from the new corporate tax rate, after-tax charges related to the revaluation of the company’s deferred tax assets of $164,000 for the three months and twelve months ended December 31, 2017

Excluding these two items, earnings per fully diluted share were $0.64 and $2.39 for the three months and twelve months ended December 31, 2017, respectively.

At December 31, 2017, the company reported total assets of $437.7 million, a 7.5 percent increase from December 31, 2016. Over the same period, total loans increased 1.7 percent to $293.1 million, while deposits increased 7.1 percent at $363.0 million. At December 31, 2017, the Bank’s estimated Tier 1 leverage ratio was 10.54 percent.

Non-interest income for 2017 was $9,730,000 compared to $8,508,000 for 2016, an increase of 14.4 percent.

Tangible Book Value per share at December 31, 2017, was $18.92 compared to $17.41 at the same time a year ago, an 8.7 percent increase after paying $0.80 per share in dividends in the trailing twelve months.

“We had an excellent year in 2017, increasing fully diluted, adjusted EPS by 17 percent. Truxton Trust benefits from long-term relationships with our clients who value our remarkable professionals’ advice and guidance. We believe the tax law passed at year end 2017 will be very positive for Truxton Trust and our shareholders,” said Tom Stumb, Chairman and Chief Executive Officer.

About Truxton Trust
Truxton Trust is a full-service private bank and trust company founded in 2004. Since its inception, Truxton Trust has been focused on a singular guiding principle: do the right thing. Truxton Trust delivers the highest level of personal service through its vastly experienced and credentialed team of professionals who provide comprehensive and customized financial solutions to individuals, their families and their business interests.

Investor Relations
Andrew May
615-515-1707
andrew.may@truxtontrust.com

Media Relations
Tamara Schoeplein
615-515-1714
tamara.schoeplein@truxtontrust.com

Truxton Corporation



Consolidated Balance Sheet


(000's)


(Unaudited)







December 2017*
December 2016

ASSETS



Cash and due from financial institutions
$
6,425

$
6,547


Interest bearing deposits in other financial institutions

3,750


3,467



Federal funds sold

6


294


Cash and cash equivalents

10,181


10,308








Time deposits in other financial institutions

11,544


16,628



Securities available for sale

109,295


78,988







Gross loans

293,117


288,096


Allowance for loan losses

(3,074
)

(2,998
)

Net loans

290,043


285,098









Bank owned life insurance

9,535


9,304



Restricted equity securities

2,556


2,543



Premises and equipment, net

731


817



Accrued interest receivable

1,444


1,261




Other real estate owned

-


-



Deferred tax asset, net

363


830



Other assets

1,991


1,448







Total assets
$
437,683

$
407,225












LIABILITIES AND SHAREHOLDERS' EQUITY



Deposits



Non-interest bearing
$
87,049

$
76,035



Interest bearing

275,906


262,896



Total deposits

362,955


338,931








Federal Home Loan Bank advances

20,198


20,522


Federal Funds purchased

1,071


-


Other liabilities

2,681


1,644



Total liabilities

386,905


361,097








SHAREHOLDERS' EQUITY



Common Stock & Additional paid-in capital

27,253


26,734



Retained earnings

23,570


19,519



Accumulated other comprehensive income (loss)

(45
)

(125
)





Total shareholders' equity

50,778


46,128








Total liabilities and shareholders' equity
$
437,683

$
407,225








*The information is preliminary, unaudited and based on company data available at the time of presentation.

Truxton Corporation


Consolidated Statements of Net Income

(000's)

(Unaudited)














Three Months Ended


Twelve Months Ended



December 2017*

December 2016


December 2017*

December 2016


Non-interest income










Wealth management services
$
2,406


$
1,972


$
9,108

$
7,646


Service charges on deposit accounts

87



88



341


325


Bank owned life insurance income

56



61



231


244


Other

(146
)


91



50


293



Total non-interest income

2,403



2,212



9,730


8,508















Interest income










Loans, including fees
$
3,138


$
2,921


$
12,531

$
11,310


Taxable securities

294



224



1,140


954


Tax-exempt securities

250



177



795


745


Interest bearing deposits

131



73



313


287


Federal funds sold

11



4



22


21


Total interest income

3,824



3,399



14,801


13,317













Interest expense










Deposits

411



285



1,451


1,046


Short-term borrowings

-



62



332


266


Long-term borrowings

85



0



3


12


Total interest expense

496



347



1,786


1,324













Net interest income

3,328



3,052



13,015


11,993













Provision for loan losses

0



7



75


248













Net interest income after provision for loan losses

3,328



3,045



12,940


11,745













Total revenue, net

5,731



5,257



22,670


20,253













Non-interest expense











Salaries and employee benefits

2,607



2,007



9,557


8,192


Occupancy

180



159



718


664


Furniture and equipment

61



42



217


171


Data processing

328



375



1,218


1,158


Wealth management processing fees

99



178



475


523


Advertising and public relations

54



23



172


166


Professional services

55



126



617


663


FDIC insurance assessments

35



9



140


171


Other

194



93



801


876



Total non-interest expense

3,613



3,012



13,915


12,584













Income before income taxes

2,118



2,245



8,755


7,669













Income tax expense

665



563



2,577


2,164













Net income
$
1,453


$
1,682


$
6,178

$
5,505













Earnings per share:











Basic
$
0.55


$
0.63


$
2.32

$
2.09



Basic: Excluding gains and losses on sales of investment securities and revaluation of deferred tax assets
$
0.65


$
0.63


$
2.42

$
2.07













Diluted
$
0.54


$
0.62


$
2.28

$
2.06


Diluted: Excluding gains and losses on sales of investment securities and revaluation of deferred tax assets
$
0.64


$
0.62


$
2.39

$
2.04
























*The information is preliminary, unaudited and based on company data available at the time of presentation.

Truxton Corporation


Operating Statistics

(000's)

(Unaudited)







Three Months Ended

Twelve Months Ended


December 2017
December 2016

December 2017
December 2016


Performance Ratios






Efficiency Ratio

61.46
%

58.99
%


60.93
%

62.07
%

Net Interest Margin

3.22
%

3.21
%


3.31
%

3.15
%








Capital Ratios






Return on Average Assets

1.31
%

1.63
%


1.46
%

1.33
%

ROAA excluding gains and losses on sales of investment securities and revaluation of deferred tax assets

1.55
%

1.63
%


1.52
%

1.31
%

Return on Average Equity

11.51
%

14.36
%


12.67
%

12.22
%

ROAE excluding gains and losses on sales of investment securities and revaluation of deferred tax assets

13.67
%

14.36
%


13.23
%

12.09
%

Tier 1 Leverage Ratio (Bank)




10.54
%

10.50
%








Asset Quality Data






Net Loan Charge-Offs
$
-

$
-


$
-

$
4


Non-Performing Loans
$
-

$
786


$
-

$
786







*The information is preliminary unaudited and based on company data available at the time of presentation.

Company Name:	Truxton Corp
Stock Symbol:	TRUX
Market:	OTC
Website:	www.truxtontrust.com

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