Citizens Bancshares Corporation (OTC Bulletin Board: CZBS), the parent company of Citizens Trust Bank, announced its 2007 fourth quarter earnings of $0.47 per diluted share compared to $0.42 per diluted share for the same period last year.
Net income for the fourth quarter increased by $103,000 to $983,000 compared to $880,000 a year earlier. The increase is primarily due to an enhancement in the services offered on the Bank's deposit products which has had a positive impact on service fee income. The enhancement was implemented at the end of the third quarter. The Company also benefited from its collection efforts on a nonaccrual loan resulting in $158,000 in interest income in the fourth quarter. For the three month period ended December 31, 2007, the Company's net interest income improved by $112,000 or 3 percent to $3,693,000 compared to the same period last year.
Net income for the twelve month period ended December 31, 2007 compared to the same period in 2006, declined by $147,000 to $2,856,000 primarily due to the impact of a $200,000 legal judgment the Company accrued for in the first quarter of 2007, which is being appealed. Earnings per diluted share for the year were $1.37 compared to $1.44 per diluted share for the same period in 2006.
Other financial highlights:
- Gross loans receivable, net of deferred loan fees, increased by $2 million to $238 million for the three month period.
- Total revenues increased by $594,000 to $7,226,000 from $6,632,000 during the same period last year.
- Operational efficiency continues to improve as the quarter average staffing level decreased by 8 full-time employees to 126 when compared to the same period last year.
- No provision expense for loan losses was needed for the quarter.
- Noninterest income increased by $359,000 or 32.9% compared to the same period last year as a new fee generating product has been well received by the Bank's customers.
- Noninterest expense during the quarter increased by $217,000 or 6.1% to $3,792,000 compared to the same quarter last year due to several ORE related charges.
Management determined that no additions to the provisions for loan losses were necessary in 2007 compared to a $30,000 addition in 2006. The allowance for loan losses was $2.8 million at December 31, 2007 compared to $3.1 million a year earlier. The Company considers its allowance for loan losses to be adequate. -- Citizens Bancshares Corporation
Comment and add to the story without registration, but keep the comments meaningful please. Links are not accepted.
