SmartBank profits rise after merger

The parent company of SmartBank more than doubled its second quarter earnings compared with a year ago after completing the merger with Progressive Financial Group, in March.

SmartFinancial, Inc. said net income rose to $6.2 million, or 41 cents per share, for the second quarter of 2020, compared to net income of $2.7 million, or 19 cent per share for the first quarter of 2020.

“While finalizing our Progressive Financial Group integration and conversion, we reported outstanding increases in revenue, in particular our non-interest income performance,” said Billy Carroll, president and CEO of SmartBank. “Our team also continues to focus on our tremendous asset quality and have worked with many new and existing clients to secure PPP funding, creating a number of great opportunities for our bank. The outlook for our company remains very strong.”

SmartBank said it originated a total of 2,800 Paycheck Protection Program loans totaling

$292.8 million.

SmartFinancial’s Chairman, Miller Welborn, said the bank “strengthened our balance sheet, served our clients and our shareholders well and continued to increase the book value of our stock.”

Average earning assets increased $532.0 million, which reflects a $376.1 million increase in average loans, a $21.1 million increase in securities and a $134.8 million increase in other earning assets. Average interest-bearing liabilities increased $353.8 million, driven by an increase of $168.5 million in average interest-bearing deposits and an increase of $185.2 million in borrowings.