COLDWATER, MI (WTVB) – Southern Michigan Bancorp, Inc. (OTCQB: SOMC) reported net income of $1,209,000, or $0.50 per share, for the quarter ended March 31, 2015. This compared to net income of $1,102,000, or $0.46 per share, for the first quarter of 2014.
Total consolidated assets at March 31, 2015 were $553.2 million compared to $543.3 million at December 31, 2014.
Southern provided $75,000 for loan losses during the first quarter of 2015, essentially matching unallocated losses, resulting in an allowance for loan losses of $5,144,000, or 1.26% of loans. This compared to no provision for loan losses during the first quarter of 2014. The allowance for loan losses was $5,098,000, or 1.34% of loans at March 31, 2014. Net charge-offs decreased 22.9% totaling $108,000 for the first quarter of 2015, compared to $140,000 during the first quarter of 2014. Total delinquent loans decreased to 0.69% of total loans as of March 31, 2015, down from 1.00% as of March 31, 2014.
The annualized return on average assets for the three month period ended March 31, 2015 was 0.87% compared to 0.80% for the first quarter of 2014. The annualized return on average equity was 7.91% for the first quarter of 2015 compared to 7.65% for the first quarter of 2014. The tax equivalent net interest margin for the three month period ending March 31, 2015 was 3.93% compared to 3.78% for the same period of 2014.
John H. Castle, Chairman and Chief Executive Officer of Southern Michigan Bancorp, Inc., stated, “We are pleased to report ongoing positive momentum in many areas including a 9.7% increase in earnings for the first quarter as compared to the first quarter of 2014, and continued reductions in net charge-offs and loan delinquencies resulting in overall improvement to credit quality.”
Southern Michigan Bancorp, Inc. is a bank holding company and the parent company of Southern Michigan Bank & Trust. It operates 14 branches within Branch, Calhoun, Hillsdale and St. Joseph Counties, and a loan production office in Steuben County, providing a broad range of consumer, business and wealth management services throughout the region.
