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American National Bankshares Inc. Reports Operating Results (10-Q)

August 09, 2012 | About:
10qk

10qk

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American National Bankshares Inc. (AMNB) filed Quarterly Report for the period ended 2012-06-30.

American National Bankshares Inc has a market cap of $173.8 million; its shares were traded at around $22.18 with a P/E ratio of 10.3 and P/S ratio of 3. The dividend yield of American National Bankshares Inc stocks is 4.1%.

Highlight of Business Operations:

For the quarter ended June 30, 2012, the Company reported net income of $4,274,000 compared to $1,012,000 for the comparable quarter in 2011. The $3,262,000 or 322.3% increase in earnings was primarily due the positive impact of the July 2011 merger with MidCarolina. The merger generated $2,796,000 in fair value and merger related adjustments, which represents approximately 46% of consolidated pretax income.

For the six month period ended June 30, 2012, the Company reported net income of $8,449,000 compared to $2,790,000 for the comparable period in 2011. The $5,659,000 or 202.8% increase in earnings was primarily due the positive impact of the July 2011 merger with MidCarolina. The 2011 period was negatively impacted by costs associated with the merger. The merger generated $5,098,000 in fair value and merger related adjustments, which represents approximately 43% of consolidated pretax income.

For the second quarter of 2012, the Company s yield on interest-earning assets was 5.28% compared to 4.67% for the second quarter of 2011. The cost of interest-bearing liabilities was 0.88% compared to 1.28%. The interest rate spread was 4.40% compared to 3.39%. The net interest margin, on a fully taxable equivalent basis, was 4.57% compared to 3.65%. The increase in yield on earning assets was primarily driven by the impact of the MidCarolina merger and loan related accretion, which included approximately $800,000 in additional accretion related to the sale of several significant purchased credit impaired loans.

For the first six months of 2012, the Company s yield on interest-earnings assets was 5.35% compared to 4.71% for the first six months of 2011. The cost of interest-bearing liabilities was 0.89% compared to 1.32%. The interest rate spread was 4.46% compared to 3.39%. The net interest margin, on a fully taxable equivalent basis, was 4.63% compared to 3.65%. The increase in yield on earning assets was primarily driven by the impact of the MidCarolina merger and loan related accretion, which included approximately $1,700,000 in additional accretion related to the payoff and sale of several significant purchased credit impaired loans.

The Company paid cash dividends of $0.23 per share during the second quarter of 2012 while the aggregate basic and diluted earnings per share for the same period were $0.55 and $0.54 per share, respectively. The Company paid cash dividends of $0.46 per share for the first half of 2012 while the basic and diluted earnings per share were $1.08.

Read the The complete Report

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