Exhibit 99.1
United Security Bancshares, Inc. Announces Quarterly and Nine Month Earnings
THOMASVILLE, Ala., Oct. 17 /PRNewswire-FirstCall/ -- United Security
Bancshares, Inc. (Nasdaq: USBI) today reported net income for the quarter
ended September 30, 2003, of $2,915,000 compared to $2,636,000 for the same
period of 2002, an 11% increase. On a diluted per share basis, net income for
the third quarter of 2003 was $0.45, compared to $0.41 for 2002, a 10%
increase. On a year-to-date basis, net income increased from $6,922,000 in
2002 to $7,765,000, a 12% increase. On a diluted per share basis, net income
for the nine months ended September 30, 2003, was $1.21 per share, compared to
$1.06 per share, a 14% increase.
The primary factors for the increase in net income over the same period
last year were increased net interest income as a result of improved net
interest margin and the improved operating performance of the Company's
finance company subsidiary, Acceptance Loan Company (ALC). ALC has
experienced significantly fewer charge-offs during 2003 than 2002 as a result
of improved monitoring of the credit portfolio at ALC. Net income at ALC for
the three months ended September 30, 2003, was $725,000 compared to $291,000
for the same period of 2002. Net income at ALC for the nine months ended
September 30, 2003, was $1,682,000 compared to $736,000 for the same period
during 2002.
Performance ratios continue to show improvement with return on average
assets at 1.90% and return on average equity increasing to 15.12%.
At September 30, 2003, total assets amounted to $559,547,000, an increase
of 3% over September 30, 2002. Total deposits showed an increase of
$24,668,000, or 7%. Loans, net of unearned discount, increased 8% to
$374,084,000. Shareholders' equity totaled $70,570,000, which represents a
book value of $10.97 per share. Dividends for the third quarter increased to
$0.17 per share.
On June 19, 2003, the Board of Directors declared a two-for-one stock
split payable on July 22, 2003, to shareholders of record at the close of
business on June 30, 2003. As a result of the stock split, shareholders of
record received one additional share for every share currently held. All
periods presented have been restated reflecting the stock split for
comparative purposes.
UNITED SECURITY BANCSHARES, INC.
(Unaudited Financial Highlights)
(In thousands, except per share amounts and percentages)
3 Months Ended 9 Months Ended
September 30, September 30,
2003 2002 2003 2002
Earnings Summary:
Net Interest Revenue $9,046 $8,058 $25,631 $23,458
Provision for
Credit Losses 665 960 2,662 2,967
Non-Interest Revenue 1,427 1,251 4,122 3,570
Non-Interest Expense 5,581 4,729 15,949 14,481
Income Before
Income Taxes 4,227 3,620 11,142 9,580
Income Tax Provision 1,312 984 3,377 2,658
Net Income $2,915 $2,636 $ 7,765 $ 6,922
3 Months Ended 9 Months Ended
September 30, September 30,
2003 2002 2003 2002
Earnings Per Share:
Basic 0.45 0.41 1.21 1.06
Diluted 0.45 0.41 1.21 1.06
Dividends Per Share 0.17 0.15 0.47 0.45
September 30,
2003 2002
Balance Sheet Summary:
Total Assets $559,547 $542,911
Total Earnings Assets 519,531 504,037
Loans, Net of Unearned Discount 374,084 346,235
Allowance for Credit Losses 6,630 6,281
Total Deposits 377,249 352,581
Common Shareholders' Equity 70,570 65,963
Book Value Per Share 10.97 10.26
Average Balance Sheet Data:
Total Assets $545,834 $529,588
Total Earnings Assets 507,628 498,546
Loans, Net of Unearned Discount 361,177 343,750
Total Deposits 367,942 358,891
Common Shareholders' Equity 68,673 64,881
Performance Ratios:
Return on Average Assets 1.90% 1.75%
Return on Common Equity 15.12% 14.26%
Net Interest Margin 6.75% 6.29%
Average Shares Outstanding
Basic 6,432 6,532
Diluted 6,432 6,532
SOURCE United Security Bancshares, Inc.
-0- 10/17/2003
/CONTACT: Larry Sellers or Robert Steen, both of United Security
Bancshares, Inc., +1-334-636-5424/
(USBI)
CO: United Security Bancshares, Inc.
ST: Alabama
IN: FIN
SU: ERN