EXHIBIT 99.1
CITIZENS HOLDING COMPANY EARNINGS FOR 2002 UP 12.4%
PHILADELPHIA, Miss.--(BUSINESS WIRE)--April 23, 2002--Citizens Holding Company
(Amex:CIZ) announced today results of operations for the three months ended
March 31, 2002.
Net income for the three months ended March 31, 2002 increased 12.4% to $1.545
million, or $0.31 per share-basic and diluted, compared to $1.374 million, or
$0.28 per share-basic and $0.27 per share-diluted for the same quarter last
year. Net interest income, after the provision for loan losses for the quarter,
was approximately 22.8% higher compared to same quarter last year. The net
interest margin increased to 4.61% in the first quarter of 2002 from 4.32% in
the same period in 2001. Non-interest income grew 12.2% as a result of
increased fee income on deposit accounts and other fee income. Non-interest
expenses increased as a result of personnel and occupancy costs and amortization
expense associated with the Forest and Decatur, Mississippi branches acquired in
July 2001, and normal costs increases related to growth of the bank.
Total assets as of March 31, 2002 increased $32.6 million, or 7.6%, compared to
December 31, 2001. Deposits increased $31.8 million, or 8.8%, as many customers
have turned to bank deposits as a more attractive investment. Loans during this
period grew $8.9 million, or 3.4%.
Steve Webb, Chairman, President and CEO stated, "We are pleased with the
increase in net income for the first quarter of 2002. The acquisitions of the
Forest and Decatur Branches are complete and they have contributed to the
increases in net income along with the improvements in our net interest margin."
Adjusted for the three for two split of January 2, 2002, the Company's dividend
of $0.12 per share for the first quarter of 2002 represents an increase of
44.6% over the dividends paid in the first quarter of 2001.
Citizens Holding Company (the "Company") is a one-bank holding company and the
parent company of The Citizens Bank of Philadelphia, both headquartered in
Philadelphia, Mississippi. The Bank currently has sixteen banking locations in
seven counties in East Central Mississippi. In addition to full service
commercial banking, the Company offers mortgage loans, title insurance services
through its subsidiary, Title Services, LLC, and a full range of Internet
banking services including online banking, bill pay and cash management services
for businesses. Internet services are available at the Bank web site,
www.thecitizensbankphila.com. Citizens Holding Company stock is listed on the
American Stock Exchange and is traded under the symbol CIZ. The Company's
transfer agent is American Stock Transfer & Trust Company.
This release includes "forward-looking statements" within the meaning of Section
27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act
of 1934. All statements other than statements of historical facts included in
this release regarding the Company's financial position, results of operations,
business strategies, plans, objectives and expectations for future operations,
are forward looking statements. The Company can give no assurances that the
assumptions upon which such forward-looking statements are based will prove to
have been correct. Such forward-looking statements are subject to certain
risks, uncertainties and assumptions. The risks and uncertainties that may
affect the operation, performance, development and results of the Company's and
the bank's business include, but are not limited to, the following: (a) the risk
of adverse changes in business conditions in the banking industry generally and
in the specific markets in which the Company operate; (b) changes in the
legislative and regulatory environment that negatively impact the Company and
bank through increased operating expenses; (c) increased competition from other
financial institutions; (d) the impact of technological advances; (e)
expectations about the movement of interest rates, including actions that may be
taken by the federal Reserve Board in response to changing economic conditions;
(f) changes in asset quality and loan demand; (g) expectations about overall
economic strength and the performance of the economics in the Company's market
area and (h) other risks detailed from time to time in the Company's filings
with the Securities and Exchange Commission. Should one or more of these risks
materialize, or should any such underlying assumptions prove to be significantly
different, actual results may vary significantly from those anticipated,
estimated, projected or expected.
Citizens Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(Unaudited)
Three Months and
Year-to-Date
Ended March 31
2002 2001
--------------------------
Interest income and fees $7,030 $7,267
Interest expense 2,465 3,620
--------------------------
Net interest income 4,565 3,647
Provision for loan losses 234 120
Net interest income after
provision for loan losses 4,331 3,527
Non-interest income 1,006 897
Non-interest expense 3,043 2,416
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Net income before taxes 2,294 2,008
Income taxes 749 634
-----------------------------
Net income $1,545 $1,374
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Earnings per share - basic $ 0.31 $ 0.28
=============================
Earnings per share - diluted $ 0.31 $ 0.27
=============================
Average shares outstanding-basic 4,963,125 4,963,125
Average shares outstanding-diluted 4,995,035 4,973,516
As of As of
March 31, December 31,
2002 2001
--------------------------------
Balance Sheet Data:
Total assets $459,815 $427,213
Total earning assets 416,415 394,315
Loans net of unearned 273,194 264,278
Allowance for loan losses -3,375 -3,375
Total deposits 391,092 359,309
Long term borrowings 16,521 14,629
Shareholders' equity 47,952 47,182
Book value per share $ 9.66 $ 9.51
Dividends paid $ 0.120 $ 0.383
Average Balance Sheet Data:
Total assets $441,147 $403,881
Total earning assets 406,904 361,520
Loans net of unearned 269,881 255,185
Total deposits 372,272 327,536
Long term borrowings 16,633 14,815
Shareholders' equity 48,331 47,664
Non-performing assets:
Non-accrual loans 1,080 419
Loans 90+ days past due 2,290 2,918
Other real estate owned 577 340
Net charge-off as a percentage
average loans 0.09% 0.42%
Performance Ratios:
Return on average assets 1.40% 1.41%
Return on average equity 12.79% 11.98%
Net interest margin (tax equivalent) 4.61% 4.32%
Contact:
Citizens Holding Company, Philadelphia
Robert T. Smith, 601/656-4692
Rsmith@netdoor.com