GADSDEN, Ala., Aug. 15, 2025 (GLOBE NEWSWIRE) -- Gates Little, President and Chief Executive Officer of The Southern Banc Company, Inc. (OTCBB: SRNN), the holding company for The Southern Bank Company, announced preliminary unaudited results (subject to audit adjustments following the fiscal year-end audit) of operations for the fourth quarter and year ended June 30, 2025:

   -- For the three months ended June 30, 2025, the Company reported net income 
      of approximately $140,000, or $0.18 per basic and diluted share as 
      compared to net income of approximately $424,000, or $0.56 per basic and 
      $0.55 per diluted share, for the three months ended June 30, 2024. 
 
   -- For the fiscal year ended June 30, 2025, the Company recorded net income 
      of approximately $915,000, or $1.20 per basic and diluted share, as 
      compared to net income of approximately $1,602,000, or $2.11 per basic 
      and $2.09 per diluted share, for the fiscal year ended June 30, 2024. 
 
   -- For the three months ended June 30, 2025, net interest income increased 
      approximately $78,000, or 12.90% as compared to the same period in 2024. 
      The increase in net interest income for the three-month period was 
      primarily attributable to an increase in interest and fees on loans in 
      the amount of approximately $2,000 or 0.11%, an increase in interest on 
      securities of approximately $42,000, or 24.87%, an increase in other 
      interest income of approximately $111,000, or 74.69%. During the 
      three-month period interest on deposits increased approximately $78,000, 
      or 12.90%. For the three months ended June 30, 2025, the Company recorded 
      approximately $249,000 in provisions for loan losses as compared to 
      $155,000 for the same period in 2024. 
 
   -- For the fiscal year ended June 30, 2025, net interest income increased 
      approximately $892,000, or 11.23% as compared to fiscal year 2024. The 
      increase in net interest income for the fiscal year ended June 30, 2025, 
      was primarily attributable to an increase in interest and fees on loans 
      of approximately $1,266,000 or 14.45%, an increase in interest on 
      securities of approximately $59,000, or 8.4%, and an increase in other 
      interest income of approximately $272,000 or 56.47%, offset in part by an 
      increase in interest on deposits of approximately $706,000, or 35.37% as 
      compared to fiscal year 2024. For the fiscal year ended June 30, 2025, 
      the Company recorded approximately $790,000 in provisions for loan losses 
      as compared to $155,000 provision in 2024. 
 
   -- For the three months ended June 30, 2025, non-interest income decreased 
      approximately $22,000, or (12.44%) as compared to the same period in 
      2024. The decrease in non-interest income was primarily attributable to a 
      decrease in miscellaneous income of approximately $18,000, or (12.50%), 
      and a decrease in customer service fees of approximately $4,000, or 
      (12.17%). 
 
   -- For the fiscal year ended June 30, 2025, non-interest income decreased 
      approximately $63,000, or (9.58%) as compared to fiscal year 2024. The 
      decrease in non-interest income was primarily attributable to a decrease 
      in miscellaneous income of approximately $54,000, or (10.46%), and a 
      decrease in customer service fees of approximately $9,000, or (6.18%). 
 
   -- For the three months ended June 30, 2025, total non-interest expenses 
      increased approximately $354,000, or 21.24%, as compared to the same 
      three-month period in 2024. The increase in non-interest expense for the 
      three-month period was primarily attributable to increases in salaries 
      and benefits of approximately $294,000, or 28.47%, professional services 
      of approximately $44,000, or 26.98%, data processing of approximately 
      $5,000, or 2.03%, and other operating expenses of approximately $12,000, 
      or 6.35%, offset in part by a decrease in occupancy expenses of 
      approximately $1,000, or (0.70%). 
 
   -- For the fiscal year ended June 30, 2025, total non-interest expenses 
      increased approximately $1,129,000, or 17.90%, as compared to fiscal year 
      2024. The increase in total non-interest expense for the fiscal year was 
      primarily attributable to increases in salary and benefit expenses of 
      approximately $991,000, or 26.48%, professional services expenses of 
      approximately $189,000, or 32.30%, office occupancy expenses of 
      approximately $21,000, or 5.99%, offset in part by a decrease in other 
      operating expenses of approximately $51,000, or (5.90%) and data 
      processing expenses of approximately $21,000, or (2.73%). 
 
   -- The Company's total assets on June 30, 2025, were approximately $124.1 
      million as compared to $113.1 million at June 30, 2024. Total 
      stockholders' equity was approximately $16.7 million, or 13.47% of assets 
      and $14.5 million, or 12.80% of assets at June 30, 2025 and 2024, 
      respectively. 

The unaudited financial information for the three and twelve months ended June 30, 2025, has been prepared on the same basis as our audited financial information and includes, in the opinion of management, all adjustments necessary to present the data for such periods. The Company expects to release its final year end results and its related audited financial statements in October 2025, following completion of the year-end audit. Historical results are not necessarily indicative of future results. The Bank has four full-service banking offices located in Gadsden, Albertville, Guntersville, and Centre, AL, and one loan production office in Birmingham, AL. The stock of The Southern Banc Company, Inc. is listed on the OTC Bulletin Board under the symbol "SRNN".

Certain statements in this release contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which statements can generally be identified by the use of forward-looking terminology, such as "may," "will," "expect," "estimate, " "anticipate," "believe," "target," "plan," "project," "continue," or the negatives thereof, or other variations thereon or similar terminology, and are made on the basis of management's plans and current analyses of the Company, its business and the industry as a whole. These forward-looking statements are subject to risks and uncertainties, including, but not limited to, economic conditions, competition, interest rate sensitivity and exposure to regulatory and legislative changes. The above factors, in some cases, have affected, and in the future could affect the Company's financial performance and could cause actual results to differ materially from those expressed or implied in such forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.

Contact: Gates Little

(256) 543-3860

(Selected financial data attached)

 
                   THE SOUTHERN BANC COMPANY, INC. 
       CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION 
                     (Dollar Amounts in Thousands) 
 
                                              June 30,      June 30, 
                                                2025          2024 
                                             (Unaudited)    (Audited) 
                                             -----------   ----------- 
 
ASSETS 
CASH AND CASH EQUIVALENTS                   $    25,208   $  12,632 
SECURITIES AVAILABLE FOR SALE, at fair 
 value                                           39,326      37,912 
FEDERAL HOME LOAN BANK (FHLB) STOCK                 125         120 
LOANS RECEIVABLE, net of allowance for 
 loan losses of $1,850 and $1,160, 
 respectively                                    55,783      58,199 
PREMISES AND EQUIPMENT, net                       1,007       1,133 
ACCRUED INTEREST AND DIVIDENDS RECEIVABLE           869         934 
PREPAID EXPENSES AND OTHER ASSETS                 1,787       2,124 
 
TOTAL ASSETS                                $   124,105   $ 113,054 
                                             ==========    ======== 
 
 
LIABILITIES 
DEPOSITS                                    $   101,307   $  92,250 
FHLB ADVANCES AND OTHER BORROWED MONEY                0           0 
OTHER LIABILITIES                                 6,080       6,338 
 
TOTAL LIABILITIES                                98,630      98,588 
 
 
STOCKHOLDERS' EQUITY: Preferred stock, par 
value $.01 per share 500,000 shares 
authorized; no shares issued and 
outstanding                                           -           - 
Common stock, par value $.01 per share, 
 3,500,000 authorized, 1,454,750 shares 
 issued, 806,086 shares outstanding                  15          15 
Additional paid-in capital                       13,948      13,943 
Shares held in trust, 44,081 and 46,454 
 shares at cost, respectively                      (762)       (772) 
Retained earnings                                14,799      13,884 
Treasury stock, at cost, 648,664 shares          (8,825)     (8,825) 
Accumulated other comprehensive income / 
 (loss)                                          (2,457)     (3,779) 
TOTAL STOCKHOLDERS' EQUITY                       16,718      14,466 
                                             ----------    -------- 
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY  $   124,105   $ 113,054 
                                             ==========    ======== 
 
 
 
                                        THE SOUTHERN BANC COMPANY, INC. 
                                  CONDENSED CONSOLIDATED STATEMENTS OF INCOME 
                              (Dollar Amounts in Thousands, except per share data) 
 
                                                              Three Months Ended              Year Ended 
                                                                   June 30,                    June 30, 

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