First Security Group Inc. (FSGI) filed Quarterly Report for the period ended 2009-06-30.
First Security Group is the holding company for FSGBank a national bank headquartered in Chattanooga Tennessee with branches in various communities in eastern and middle Tennessee and northern Georgia. First Security Group Inc. has a market cap of $65.35 million; its shares were traded at around $3.98 with and P/S ratio of 0.74. The dividend yield of First Security Group Inc. stocks is 1.01%.
Highlight of Business Operations:
On January 9, 2009, as part of the Troubled Asset Relief Program Capital Purchase Program (TARP CPP), we agreed to issue and sell, and the Treasury agreed to purchase (1) 33,000 shares (Preferred Shares) of our Fixed Rate Cumulative Perpetual Preferred Stock, Series A, having a liquidation preference of $1,000 per share, and (2) a ten-year warrant to purchase up to 823,627 shares of our common stock, $0.01 par value, at an exercise price of $6.01 per share, for an aggregate purchase price of $33 million in cash. The Preferred Shares qualify as Tier I capital and will pay cumulative dividends at a rate of 5% per annum for the first five years and 9% per annum thereafter. Dividends are payable quarterly on February 15, May 15, August 15 and November 15 of each year. As of June 30, 2009, we have paid $578 thousand in dividends to the Treasury.
As of June 30, 2009, we had total consolidated assets of $1.2 billion, total loans of $968.5 million, total deposits of $1.0 billion and stockholders equity of $172.5 million. For the three and six months ended June 30, 2009, our net loss available to common stockholders was $1.9 million and $3.2 million, respectively, resulting in net loss of $0.12 and $0.21 per share (basic and diluted), respectively.
As of June 30, 2008, we had total consolidated assets of $1.3 billion, total loans of $1.0 billion, total deposits of $950.5 million and stockholders equity of $147.0 million. For the three and six months ended June 30, 2008, our net income available to common stockholders was $1.6 million and $3.8 million, respectively, resulting in net income of $0.10 and $0.24 per share (basic and diluted), respectively.
For the three and six month periods ending June 30, 2009, net interest income decreased by $916 thousand and $2.2 million, respectively, and noninterest income decreased by $352 thousand and $855 thousand, respectively, compared to the same periods in 2008. For the three and six months ended June 30, 2009, non-interest expense decreased by $371 thousand and $975 thousand, respectively, compared to the same periods in 2008. The decline in net interest income is primarily due to our lower net interest margin. The decrease in noninterest income is attributable to a decline in mortgage loan and related fee income and a reduction in deposit fees. Noninterest expense decreased primarily from the elimination in the incentive compensation accrual and reductions in operational expenses. Full-time equivalent employees were 353 at June 30, 2009 compared to 369 at June 30, 2008.
We reported a net loss to common stockholders for the three and six month periods ended June 30, 2009 of $1.9 million and $3.2 million compared to net income for the same periods in 2008 of $1.6 million and $3.8 million, respectively. In the second quarter of 2009, basic and diluted net loss per share was $0.12 on approximately 15.5 million weighted average shares outstanding. On a year-to-date basis, basic and diluted net loss per share was $0.21 on approximately 15.5 million weighted average shares outstanding.
Net interest income (the difference between the interest earned on assets, such as loans and investment securities, and the interest paid on liabilities, such as deposits and other borrowings) is our primary source of operating income. For the three months ended June 30, 2009, net interest income decreased by $916 thousand, or 8.0%, to $10.5 million compared to $11.4 million for the same period in 2008. For the six months ended June 30, 2009, net interest income decreased by $2.2 million, or 9.6%, to $20.7 million for the period ended June 30, 2009 compared to $22.9 million for the same period in 2008.
Rate This Article: |
  |