8-K
Peoples Financial Corp /Ms/ (PFBX)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
| FORM 8 - K | ||
|---|---|---|
| CURRENT REPORT<br><br> <br>PURSUANT TO SECTION 13 OR 15(d)<br><br> <br>OF THE SECURITIES EXCHANGE ACT OF 1934 | ||
| Date of Report (Date of earliest event reported) August 10, 2020 | ||
| PEOPLES FINANCIAL CORPORATION<br><br> <br>(Exact Name of Registrant as Specified in its Charter) | ||
| Mississippi<br><br> <br>(State or Other Jurisdiction of Incorporation) | ||
| 001-12103<br><br> <br>(Commission File Number) | 64-0709834<br><br> <br>(IRS Employer Identification No.) | |
| 152 Lameuse Street Biloxi, MS<br><br> <br>(Address of Principal Executive Offices) | 39530<br><br> <br>(Zip Code) | |
| (228) 435-5511<br><br> <br>(Registrant’s Telephone Number, Including Area Code) | ||
| (Former Name or Former Address, if Changed Since Last Report) |
Securities registered pursuant to Section 12(b) of the Act:
| Trading | ||
|---|---|---|
| Title of each class | Symbol(s) | Name of each exchange on which registered |
| None | PFBX | None |
| Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2 below): | ||
| --- | ||
| ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)<br><br> <br>☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | ||
| --- | ||
| ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | ||
| ☐ Pre-commencement communications pursuant to Rule 13e-4( c) under the Exchange Act (17 CFR 240.13e-4( c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933(§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition
On August 10, 2020, Peoples Financial Corporation issued a press release announcing an adjustment to its results for the second quarter of 2020.
Item 9.01. Financial Statements and Exhibits.
| (d) | Exhibits |
|---|---|
| 99.1 | Press Release issued by Peoples Financial Corporation dated August 10, 2020, “Peoples Financial Corporation Revises Second Quarter of 2020 Results.” |
| --- | --- |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Dated: August 10, 2020
| PEOPLES FINANCIAL CORPORATION | |
|---|---|
| By: | /s/ Chevis C. Swetman |
| Chevis C. Swetman | |
| Chairman, President and CEO |
ex_198144.htm
Exhibit 99.1: Peoples Financial Corporation Press Release Dated August 10, 2020
FOR IMMEDIATE RELEASE
For more information, contact:
Chevis C. Swetman, President and CEO
228-435-8205
PEOPLES FINANCIAL CORPORATION
REVISES SECOND QUARTER OF 2020 RESULTS
BILOXI, MS (August 10, 2020)—Peoples Financial Corporation (OTCQX Best Market: PFBX), parent of The Peoples Bank, announced a revision to its results for the second quarter ended June 30, 2020, which were previously announced on July 29, 2020.
As a result of receiving new information on one credit, an additional provision for loan losses of $1,135,000 has been recorded for the second quarter of 2020. This adjustment revised previously reported earnings of $858,000 for the second quarter ended June 30, 2020 to a net loss of $277,000 and previously reported earnings of $1,981,000 for the six months ended June 30, 2020 to earnings of $846,000.
The adjusted loss per weighted average common share for the second quarter of 2020 was $0.06 compared to loss per weighted average common share of $0.06 for the second quarter of 2019. Per share figures are based on weighted average common shares outstanding of 4,883,764 and 4,943,186 for the quarters ended June 30, 2020 and 2019, respectively.
Adjusted earnings per weighted average common share for the six months ended June 30, 2020 were $0.17 compared to earnings per weighted average common share of $0.02 for the six months ended June 30, 2019. Per share figures are based on weighted average common shares outstanding of 4,905,690 and 4,943,186 for the six months ended June 30, 2020 and 2019, respectively.
“Since releasing earnings on July 29, additional information was obtained relating to one credit which is on nonaccrual and in bankruptcy. While we are disappointed by this event, it is prudent that we recognize this potential loss in a timely manner,” said Chevis C. Swetman, chairman and chief executive officer of the holding company and the bank.
Founded in 1896, with $656 million in assets as of June 30, 2020, The Peoples Bank operates 18 branches along the Mississippi Gulf Coast in Hancock, Harrison, Jackson and Stone counties. In addition to offering a comprehensive range of retail and commercial banking services, the bank also operates a trust and investment services department that has provided customers with financial, estate and retirement planning services since 1936.
The Peoples Bank is a wholly owned subsidiary of Peoples Financial Corporation, listed on the OTCQX Best Market under the symbol PFBX. Additional information is available on the Internet at www.thepeoples.com.
This news release contains forward-looking statements and reflects industry conditions, company performance and financial results. These forward-looking statements are subject to a number of risk factors and uncertainties which could cause the Company’s actual results and experience to differ from the anticipated results and expectation expressed in such forward-looking statements.
| PEOPLES FINANCIAL CORPORATION | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (In thousands, except per share figures) (Unaudited) (Revised) | ||||||||||||
| EARNINGS SUMMARY | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | ||
| 2020 | 2019 | 2020 | 2019 | |||||||||
| Net interest income | $ | 4,449 | $ | 4,340 | $ | 8,845 | $ | 8,960 | ||||
| Provision for loan losses | 1,333 | 56 | 1,397 | 110 | ||||||||
| Non-interest income | 1,753 | 1,599 | 4,019 | 3,065 | ||||||||
| Non-interest expense | 5,146 | 6,211 | 10,621 | 11,838 | ||||||||
| Net income (loss) | (277 | ) | (328 | ) | 846 | 77 | ||||||
| Earnings (loss) per share | $ | (.06 | ) | $ | (.06 | ) | $ | .17 | $ | .02 | ||
| TRANSACTIONS IN THE ALLOWANCE FOR LOAN LOSSES | ||||||||||||
| --- | ||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2020 | 2019 | 2020 | 2019 | |||||||||
| Allowance for loan losses, beginning of period | $ | 4,191 | $ | 5,376 | $ | 4,207 | $ | 5,340 | ||||
| Recoveries | 59 | 26 | 121 | 84 | ||||||||
| Charge-offs | (254 | ) | (512 | ) | (396 | ) | (588 | ) | ||||
| Provision for loan losses | 1,333 | 56 | 1,397 | 110 | ||||||||
| Allowance for loan losses, end of period | $ | 5,329 | $ | 4,946 | $ | 5,329 | $ | 4,946 | ||||
| ASSET QUALITY | June 30, | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | ||||||
| 2020 | 2019 | |||||||||||
| Allowance for loan losses as a percentage of loans | 1.83 | % | 1.86 | % | ||||||||
| Loans past due 90 days and still accruing | $ | 82 | ||||||||||
| Nonaccrual loans | 8,381 | 10,143 | ||||||||||
| PERFORMANCE RATIOS (annualized) | June 30, | |||||||||||
| --- | --- | --- | --- | --- | --- | --- | ||||||
| 2020 | 2019 | |||||||||||
| Return on average assets | .27 | % | .02 | % | ||||||||
| Return on average equity | 1.74 | % | .17 | % | ||||||||
| Net interest margin | 3.07 | % | 3.23 | % | ||||||||
| Efficiency ratio | 93 | % | 99 | % | ||||||||
| Primary capital | 16.58 | % | 15.66 | % | ||||||||
| BALANCE SHEET SUMMARY | June 30, | |||||||||||
| --- | --- | --- | --- | --- | ||||||||
| 2020 | 2019 | |||||||||||
| Total assets | $ | 656,450 | $ | 622,422 | ||||||||
| Securities | 252,956 | 277,138 | ||||||||||
| Loans | 290,538 | 266,097 | ||||||||||
| Other real estate | 6,100 | 9,012 | ||||||||||
| Total deposits | 535,848 | 493,635 | ||||||||||
| Shareholders' equity | 99,197 | 92,869 | ||||||||||
| Book value per share | 20.31 | 18.79 | ||||||||||
| Weighted average shares | 4,905,690 | 4,943,186 |