Truxton Corporation Reports Second Quarter 2018 Results

NASHVILLE, Tenn., July 19, 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 $2,046,000 for the second quarter of 2018, a 23 percent increase compared with $1,661,000 for the second quarter of 2017.  Earnings per fully diluted share for the quarter ended June 30, 2018, totaled $0.74 versus $0.61 for the same period in 2017. 

For the six months ended June 30, 2018, the company reported net income of $3,804,000 compared to $3,121,000 for the comparable 2017 period, an increase of 21.9 percent.  Earnings per fully diluted share for the six months ended June 30, 2018, totaled $1.37 versus $1.16 for the same period in 2017.

At June 30, 2018, the company reported total assets of $447.2 million, a 7 percent increase from June 30, 2017. Over the same period, total loans increased 3.6 percent to $302.1 million, while deposits grew 7.8 percent to $372.5 million.  At June 30, 2018, the Bank’s estimated Tier 1 leverage ratio was 11.25 percent.

Non-interest income for the second quarter of 2018 was $2,618,000 compared to $2,493,000 for the same period in 2017, an increase of 5 percent.

Tangible Book Value per share at June 30, 2018, was $19.27 compared to $18.38 at the same time a year ago.

“We continue to experience steady loan growth while maintaining the highest credit standards,” said CEO Tom Stumb.  He continued, “Our wealth management business continues to add clients and expand existing relationships.   Aided by a lower tax rate resulting from the enactment of the Tax Cuts and Jobs Act of 2017, our team produced excellent results in the second quarter of 2018.”  

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 Sheets
(000's)
(Unaudited)
	June 2018			December 2017			June 2017
ASSETS
Cash and due from financial institutions	$	6,408		$	6,425		$	6,602
Interest bearing deposits in other financial institutions		13,963			3,750			1,783
Federal funds sold		808			6			28
Cash and cash equivalents		21,179			10,181			8,413
Time deposits in other financial institutions		5,070			11,544			12,529
Securities available for sale		101,991			109,295			89,083
Gross loans		305,224			293,116			294,558
Allowance for loan losses		(3,133	)		(3,073	)		(3,048	)
Net loans		302,091			290,043			291,510
Bank owned life insurance		9,647			9,535			9,422
Restricted equity securities		2,567			2,556			2,549
Premises and equipment, net		543			731			917
Accrued interest receivable		1,529			1,444			1,276
Deferred tax asset, net		820			363			629
Other assets		1,750			1,991			1,045
Total assets	$	447,187		$	437,683		$	417,373
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits
Non-interest bearing	$	113,486		$	87,049		$	74,891
Interest bearing		258,997			275,906			270,620
Total deposits		372,483			362,955			345,511
Federal Home Loan Bank advances		19,737			20,198			20,764
Federal funds purchased		-			1,071			336
Other liabilities		2,726			2,681			2,042
Total liabilities		394,946			386,905			368,653
SHAREHOLDERS' EQUITY
Additional paid-in capital		27,722			27,253			26,942
Retained earnings		26,096			23,569			21,580
Accumulated other comprehensive income (loss)		(1,577	)		(44	)		198
Total shareholders' equity		52,241			50,778			48,720
Total liabilities and shareholders' equity	$	447,187		$	437,683		$	417,373

Truxton Corporation
Consolidated Statements of Net Income
(000's)
(Unaudited)
	Three  Months Ended						Six  Months Ended
	June 2018			June 2017			June 2018			June 2017
Non-interest income
Wealth management services	$	2,431		$	2,346		$	4,797		$	4,426
Service charges on deposit accounts		88			83			172			168
Bank owned life insurance income		57			59			112			118
Other		42			5			55			16
Total non-interest income		2,618			2,493			5,136			4,728
Interest income
Loans, including fees	$	3,424		$	3,119		$	6,590		$	6,183
Taxable securities		361			300			740			550
Tax-exempt securities		250			177			515			355
Interest bearing deposits		61			67			112			112
Federal funds sold		5			7			9			9
Other Interest Income		48			44			76			66
Total interest income		4,149			3,714			8,042			7,275
Interest expense
Deposits		494			357			922			674
Short-term  borrowings		6			2			9			3
Long-term  borrowings		109			81			200			162
Total interest expense		609			440			1,131			839
Net interest income		3,540			3,274			6,911			6,436
Provision for loan losses		8			6			57			49
Net interest income after provision for loan losses		3,532			3,268			6,854			6,387
Total revenue, net		6,150			5,761			11,990			11,115
Non-interest expense
Salaries and employee benefits		2,639			2,285			5,151			4,570
Occupancy		190			174			373			350
Furniture and equipment		46			53			101			95
Data processing		286			292			564			589
Wealth management processing fees		111			122			240			233
Advertising and public relations		16			40			45			84
Professional services		173			188			320			345
FDIC insurance assessments		35			35			70			70
Other		129			187			437			345
Total non-interest expense		3,625			3,376			7,301			6,681
Income before income taxes		2,525			2,385			4,689			4,434
Income tax expense		479			724			885			1,313
Net income	$	2,046		$	1,661		$	3,804		$	3,121
Earnings per share:
Basic	$	0.76		$	0.63		$	1.41		$	1.18
Diluted	$	0.74		$	0.61		$	1.37		$	1.16

Truxton Corporation
Operating Statistics
(000's)
(Unaudited)
	Six  Months Ended
	June 2018			June 2017
Performance Ratios
Efficiency Ratio		62.21	%		60.12	%
Net Interest Margin		3.40	%		3.33	%
Capital Ratios
Return on Average Assets		1.75	%		1.51	%
Return on Average Equity		14.90	%		13.21	%
Tier 1 Leverage Ratio (Bank)		11.25	%		10.62	%
Asset Quality Data
Net Loan Charge-Offs	$	-		$	-
Non-Performing Loans	$	-		$	-