By NEMS Daily Journal
TUPELO – Renasant Corp., the parent of Renasant Bank, recorded first-quarter net earnings of $7.553 million, more than doubling its profit from a year earlier.
The results represented earnings of 30 cents a share, compared with 17 cents a share in the year-ago quarter.
Helping to power Renasant’s quarter was the completion of its acquisition of Roswell, Ga.-based American Trust Bank.
The move added three new branches in north Georgia, joining the 11 other locations Renasant got through its acquisition of Crescent Bank & Trust in the third quarter of 2010.
“During the first quarter of 2011, we successfully completed our second FDIC-assisted acquisition in north Georgia, improved net interest margin and experienced our lowest levels of net charge-offs since 2008,” said Renasant Chairman and CEO Robin McGraw. “We will continue to position ourselves to increase future profitability, attract new talent and capitalize on expansion opportunities as they present themselves.”
Up from fourth quarter
Renasant’s total assets at the end of the first quarter were about $4.42 billion, a 2.9 percent increase from the fourth quarter and a 22 percent increase from the first quarter of last year.
Total deposits grew 5.1 percent to $3.64 billion from December and 37 percent from a year earlier. American Trust contributed nearly $154 million in deposits in the first quarter.
Total loans at the end of the first quarter including those covered and not covered by loss-share agreements, were about $2.58 billion. Loans not covered under loss-share agreements were $2.19 billion.
Net interest income increased 27 percent from the year-ago quarter to $31.1 million, while net margin increased from 3.27 percent a year ago to 3.55 percent.
Noninterest income jumped 74 percent to $21.765 million. The American Trust acquisition added $8.774 million. Without that gain, noninterest income increase 4.1 percent.
The allowance for loan losses as a percentage of loans was 2.17 percent, compared to 1.78 percent in the first quarter of last year.
Renasant recorded a provision for loan losses of $5.5 million, matching the amount recorded in the fourth quarter of 2010 but lower than the $6.665 million recorded in the year-ago quarter.
Annualized net charge-offs as a percentage of average loans were 0.54 percent for the first quarter compared to 0.81 percent for the first quarter of 2010.
Renasant’s nonperforming loans were $57.245 million for the quarter, compared to $54.604 million a year earlier.