The corporate parent of VantageSouth Bank reported improved net income in the fourth quarter.
Raleigh-based VantageSouth Bancshares reported Wednesday that it posted net income of $2.6 million, or 6 cents per share, in the fourth quarter. That compares with net income of $776,000, or 2 cents per share, in the third quarter. Year-to-year comparisons aren’t apples-to-apples because of last year’s acquisition of East Carolina Bank.
“We feel like we were exiting the year with a lot of business momentum,” said Terry Earley, the bank’s chief financial officer.
This week, VantageSouth and Yadkin Bank of Statesville announced a merger of equals that will create the largest community bank headquartered in North Carolina.
VantageSouth’s net income was $3.3 million in the fourth quarter, up from $1.5 million in third quarter, after excluding dividends paid to the U.S. Treasury for funds the bank received from the Troubled Asset Relief Program.
VantageSouth’s net interest income was $19.8 million in the fourth quarter, versus $19.9 million in the third quarter.
Loans grew at an annualized rate of 11 percent in the fourth quarter. The provision for loan losses was $757,000, down from $1.3 million in the third quarter.
VantageSouth has 45 branches in central and eastern North Carolina but plans to close five underperforming branches, including one in the Triangle – in Knightdale.
After its merger with Yadkin Bank, VantageSouth will have 70 branches and about $4 billion in assets. The holding company’s headquarters will be in Raleigh, while the banking business will be based in Statesville.