Exhibit 99.1
The First Bancshares, Inc. Reports Earnings for the Third Quarter;
Quarterly Earnings Per Share Grow 81% to $0.29
HATTIESBURG, Miss.--(BUSINESS WIRE)--Oct. 25, 2006--The First
Bancshares, Inc. (Nasdaq: FBMS), holding company for The First, A
National Banking Association, (www.thefirstbank.com) today reported
earnings for the Company for the quarter ended September 30, 2006.
Earnings for the quarter ended September 30, 2006 amounted to $731
thousand, or $0.29 per share on a fully diluted basis, compared to
$405 thousand or $0.16 per share on a fully diluted basis for the same
quarter in 2005, an increase of $0.13 per share, or 81%.
Earnings for the nine months ending September 30, 2006 amounted to
$2.48 million or $.98 per share on a fully diluted basis, compared to
$1.26 million or $0.51 per share on a fully diluted basis for the same
period in 2005, an increase of $0.47 per share, or 92%
David E. Johnson, Chairman and Chief Executive officer, commented,
"We are continuing our exceptional 2006 with another quarter of solid
earnings. The Company is growing profitably and our staff is excited
about the future with the merger of The First National Bank of
Wiggins."
Further Results of the Quarter Ended September 30, 2006
Return on average assets and average equity for the quarter ended
September 30, 2006, was .85% and 15.04% compared to .63% and 9.60% for
the quarter ended September 30, 2005.
Net interest income for the quarter ended September 30, 2006, was
$3.70 million, a $1.09 million increase compared to the third quarter
in 2005. Non-interest income increased for the third quarter of 2006
by $141 thousand as compared to the third quarter of 2005.
Non-interest expense increased $809 thousand to $2.86 million as
compared to $2.06 million for the third quarter of 2005.
Net interest income for the nine months ended September 30, 2006,
increased $2.99 million over the same period in 2005. Non-interest
income increased to $1.63 million from $1.26 million for the nine
months ended September 30, 2006 as compared to the same period in 2005
while non interest expense also increased to $7.83 million from $5.89
million.
Total assets were up $81.2 million, or 29%, between September 30,
2005, and September 30, 2006. The increase in assets from last year
was funded by deposit growth of $86.1 million or 40%. Total net loans
were up $52.6 million, or 27%, between September 30, 2005, and
September 30, 2006.
At September 30, 2006, The First Bancshares reported total loans
of $248.2 million, total assets of $361.8 million, total deposits of
$302.2 million and shareholders' equity of $20.7 million.
Merger with First National Bank of Wiggins
As announced previously, our merger with First National Bank of
Wiggins was to be completed in September of 2006. Effective October 1,
2006, The First National Bank of Wiggins, south of Hattiesburg and
within the Bank's current footprint was consolidated in with The
First, A National Banking Association. The First National Bank of
Wiggins had $45 million in deposits and $20 million in loans and the
merger had a transaction value of $4.2 million.
Stock Offering
As announced previously, The First Bancshares, Inc. is selling
365,000 shares of its Common Stock, par value $1.00 per share. The
public offering price is $22.50 per share. All of the 365,000 shares
of Common Stock offered hereby are being sold by the Company through
its directors, executive officers, and bank market presidents, none of
whom are receiving any compensation for sales of the Common Stock made
hereunder. This is a "best efforts" offering by the Company, and it
will be terminated by the Company upon the sale of 365,000 shares or
December 30, 2006, whichever occurs first, unless the Company extends
the offering for additional periods ending no later than March 31,
2007. There is no minimum number of shares required to be sold under
the Offering. Individual subscriptions must be for no less than 100
shares and no more than 44,445 shares of the Common Stock
About The First Bancshares, Inc.
The First Bancshares, Inc., headquartered in Hattiesburg,
Mississippi, is the parent company of The First, A National Banking
Association. Founded in 1996, The First operates 9 offices with
locations in Hattiesburg, Laurel, Purvis, Picayune, Pascagoula, Bay
St. Louis and Wiggins, Mississippi. The Company's stock is traded on
NASDAQ under the symbol FBMS.
Forward Looking Statements
This news release contains statements regarding the projected
performance of The First Bancshares, Inc. and it subsidiary. These
statements constitute forward-looking information within the meaning
of the Private Securities Litigation Reform Act. Actual results may
differ materially from the projections provided in this release since
such projections involve significant known and unknown risks and
uncertainties. Factors that might cause such differences include, but
are not limited to: competitive pressures among financial institutions
increasing significantly; economic conditions, either nationally or
locally, in areas in which the Company conducts operations being less
favorable than expected; and legislation or regulatory changes which
adversely affect the ability of the combined Company to conduct
business combinations or new operations. The Company disclaims any
obligation to update such factors or to publicly announce the results
of any revisions to any of the forward-looking statements included
herein to reflect future events or developments. Further information
on The First Bancshares, Inc. is available in its filings with the
Securities and Exchange Commission, available at the SEC's website,
http://www.sec.gov.
THE FIRST BANCSHARES, INC.
FINANCIAL HIGHLIGHTS
(Unaudited)
($ amounts in thousands except earnings per share)
For the three months For the nine months
ended September 30, ended September 30,
2006 2005 2006 2005
Interest income 6,079 4,101 16,471 11,121
Interest expense 2,382 1,493 6,198 3,840
Net interest income 3,697 2,608 10,273 7,281
Provision for loan losses 289 313 583 750
Net interest income after
provision for loan losses 3,408 2,295 9,690 6,531
Non-interest income 509 368 1,632 1,260
Non-interest expense 2,864 2,055 7,833 5,892
Income before income taxes 1,053 608 3,489 1,899
Income taxes 322 203 1,010 635
Net income $ 731 $ 405 $ 2,479 $ 1,264
Basic:
Earnings per share $ .31 $ .17 $ 1.05 $ .53
Diluted:
Earnings per share $ .29 $ .16 $ .98 $ .51
September 30, December 31, September 30,
2006 2005 2005
Total assets 361,764 294,390 280,569
Cash and due from banks 18,738 12,144 8,137
Federal funds sold 11,543 15,785 26,248
Investment securities 63,900 50,660 33,175
Loans, net of unearned
interest 251,072 200,310 197,807
Deposits-interest bearing 239,955 192,364 171,485
Deposits-non interest
bearing 62,246 49,585 44,656
Total deposits 302,201 241,949 216,141
Borrowed funds 26,371 25,465 37,719
Subordinated debentures 11,217 7,217 7,217
Stockholder's equity 20,677 18,478 17,969
Book value (per share) $8.69 $7.70 $7.50
Total shares outstanding 2,379,630 2,425,039 2,397,006
CONTACT: The First Bancshares, Inc.
David Johnson, Chief Executive Officer, 601-268-8998