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Truxton Corporation Reports Fourth Quarter and Full Year 2015 Results

NASHVILLE, Tenn., Jan. 28, 2016 (GLOBE NEWSWIRE) -- Truxton Corporation (OTCQB:TRUX), a financial holding company and the parent of Truxton Trust Company (the “Bank”) reported consolidated net income of $1,496,000 for the fourth quarter of 2015, a 32 percent increase compared with $1,132,000 for the fourth quarter of 2014. Earnings per fully diluted share for the quarter ended December 31, 2015 totaled $0.57 versus $0.45 for the same period in 2014.

For the year ended December 31, 2015, net income was $5,031,000 compared to $4,202,000 for the comparable period in 2014, a 20 percent increase. Earnings per fully diluted share rose to $1.92 for 2015 compared to $1.66 in 2014, a 16 percent increase.

At December 31, 2015, the company reported total assets of $405.5 million, a 17 percent increase from December 31, 2014. Over the same period, deposits increased 20 percent to $339 million, while total loans grew 12 percent to $257.2 million. At December 31, 2015, the Bank’s Tier 1 leverage ratio was 9.66%.

Non-interest income for the fourth quarter of 2015 was $2,489,000, compared to $1,796,000 for the same period in 2014, an increase of 39 percent. For 2015, non-interest income totaled $8,370,000 compared to $6,887,000 for 2014, representing a 22 percent increase. Wealth Management Services provide over 72% of our non-interest income.

Tangible Book Value per share at December 31, 2015, was $16.14 compared to $14.85 at the same time a year ago.

The company experienced unusual gains in the fourth quarter because of a sale of other real estate owned and life insurance death benefit. This increased our diluted EPS by $.08 for the fourth quarter after relevant taxes and other related accruals.

“Our performance this year was excellent,” said CEO Tom Stumb. “We saw double-digit loan growth. Non-interest income, mostly from wealth management, rose by more than 20% again. We delivered return on average equity (ROAE) above 12%. Truxton’s great professionals and loyal clients deserve the deep gratitude of the shareholders for another superb year.”

A full-service bank and wealth management firm organized in 2003, Truxton Trust services include personal and business loans, depository accounts, wealth management and trust services. Personal, expert service is the bank’s hallmark. Customers benefit from direct contact with senior-level, experienced bank executives who have decision-making authority and a full understanding of the local community and the client’s relationship with the bank.

Truxton Corporation
Consolidated Balance Sheets
(000's)
2015* 2014
ASSETS
Cash and due from financial institutions$ 5,699 $ 4,119
Interest bearing deposits in other financial institutions 17,340 1,658
Federal funds sold 9,815 6,284
Cash and cash equivalents 32,854 12,061
Time deposits in other financial institutions 19,995 6,874
Securities available for sale 82,482 85,560
Gross loans 257,159 229,293
Allowance for loan losses (2,754) (2,733)
Net loans 254,405 226,560
Bank owned life insurance 9,060 8,059
Restricted equity securities 2,527 2,297
Premises and equipment, net 1,175 700
Accrued interest receivable 1,107 1,057
Prepaid long-term compensation 245 131
Other real estate owned - 641
Deferred tax asset, net 805 875
Other assets 797 378
Total assets$ 405,452 $ 345,193
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits
Non-interest bearing$ 75,561 $ 65,117
Interest bearing 263,453 216,713
Total deposits 339,014 281,830
Federal Home Loan Bank advances 22,479 23,353
Accrued interest payable 6 8
Other liabilities 1,679 1,850
Total liabilities 363,178 307,041
Shareholders' equity
Preferred stock, $0.10 par value; 5,000,000 shares authorized;
no shares issued - -
Common stock, $0.10 par value; 40,000,000 shares authorized;
2,618,964 shares issued in 2015 and 2,569,051 shares
issued in 2014 262 257
Additional paid-in capital 25,928 25,247
Retained earnings 15,919 12,450
Accumulated other comprehensive income (loss) 165 198
Total shareholders' equity 42,274 38,152
Total liabilities and shareholders' equity $ 405,452 $ 345,193
*The information is preliminary unaudited and based on company data available at the time of presentation.

Truxton Corporation
Consolidated Statements of Net Income
(000's)
Three Months Ended Twelve Months Ended
December 31, 2015* December 31, 2014* December 31, 2015* December 31, 2014
Non-interest income
Wealth management services$ 1,809 $ 1,626 $ 7,204 $ 6,245
Service charges on deposit accounts 88 55 278 228
Gain (loss) on securities - 7 - 33
Gain on other real estate sold 221 - 221 -
Bank owned life insurance income 60 56 226 230
Life insurance death benefit income 247 - 247 -
Other 64 52 194 151
Total non-interest income 2,489 1,796 8,370 6,887
Interest income
Loans, including fees$ 2,656 $ 2,428 $ 10,286 $ 9,231
Taxable securities 240 230 913 1,074
Tax-exempt securities 192 153 730 634
Interest bearing deposits 62 27 142 91
Federal funds sold 4 5 10 10
Total interest income 3,154 2,843 12,081 11,040
Interest expense
Deposits 244 251 1,006 995
Short-term borrowings 2 - 4 3
Long-term borrowings 67 57 275 214
Total interest expense 313 308 1,285 1,212
Net interest income 2,841 2,535 10,796 9,828
Provision (credit) for loan losses 21 - 21 (43)
Net interest income after provision (credit) for loan losses 2,820 2,535 10,775 9,871
Total revenue, net 5,309 4,331 19,145 16,758
Non-interest expense
Salaries and employee benefits 2,143 1,778 7,713 7,040
Occupancy 198 211 655 628
Other 872 707 3,543 3,011
Total non-interest expense 3,213 2,696 11,911 10,679
Income before income taxes 2,096 1,635 7,234 6,079
Income tax expense 600 503 2,203 1,877
Net income$ 1,496 $ 1,132 $ 5,031 $ 4,202
Earnings per share:
Basic$ 0.57 $ 0.45 $ 1.94 $ 1.72
Diluted$ 0.57 $ 0.45 $ 1.92 $ 1.66
*The information is preliminary unaudited and based on company data available at the time of presentation.

Truxton Corporation
Operating Statistics
Three Months Ended Twelve Months Ended
December 31, 2015* December 31, 2014* December 31, 2015* December 31, 2014
Performance Ratios
Efficiency Ratio 58.74% 61.13% 60.77% 62.41%
Net Interest Margin 3.01% 3.12% 3.17% 3.16%
Capital Ratios
Return on Average Assets 1.46% 1.28% 1.35% 1.24%
Return on Average Equity 14.06% 11.94% 12.46% 12.08%
Tier 1 Leverage Ratio (Bank) 9.66% 10.11%
Asset Quality Data
Net Loan Charge-Offs $ - $ 135 $ - $ 135
Non-Performing Loans $ - $ - $ - $ -
*The information is preliminary unaudited and based on company data available at the time of presentation.



CONTACT: Andrew L. May 615.515.1707 andrew.may@truxtontrust.com

Source:Truxton Trust Company