- Southern States Bancshares (SSBK, Financial) reported net income of $10.4 million for Q1 2025, equating to $1.03 per diluted share.
- Net interest margin improved to 3.75%, a 9 basis point increase from the previous quarter.
- The merger with FB Financial is set to bolster operations across multiple Southern states.
Southern States Bancshares, Inc. (SSBK) posted its financial results for the first quarter of 2025, reporting a net income of $10.4 million, or $1.03 per diluted share, a decrease from $11.2 million in the fourth quarter of 2024, but a notable increase from $8.1 million in the same quarter last year.
The bank saw a slight decline in net interest income to $24.9 million, marking a 0.7% decrease from the previous quarter. However, the net interest margin saw an improvement, rising to 3.75%, up by 9 basis points, mainly due to decreases in funding costs and strategic management of deposits.
Loan growth was strong, with a 6.1% annualized increase quarter-over-quarter, alongside a 2.4% increase in deposits year-over-year, bringing the total deposits to $2.4 billion.
Maintaining strong credit quality, Southern States Bancshares reported nonperforming loans at just 0.32% of gross loans. The allowance for credit losses is 1.28% of total loans, providing substantial coverage of nonperforming loans at 402%.
The company's efficiency ratio stands at a disciplined 46.42%, indicating effective cost management. The merger with FB Financial, announced on March 31, 2024, is anticipated to extend banking operations to additional regions, including Tennessee, Kentucky, Alabama, and Georgia, leveraging FB Financial’s $13 billion asset base for expanded reach and capabilities.
