To Our Shareholders | CNext - Century Next Bank | Lincoln | Ouachita | Ashley County

Investor Relations
To Our Shareholders

Report to Shareholders:

On behalf of the Board of Directors, management team and staff of Century Next Financial Corporation (the Company), and its wholly-owned subsidiary, Century Next Bank (the Bank), we are proud to provide the 2022 Annual Report.  After three years of moderate growth averaging 6.2% per year in asset growth, 2022 was a strong growth year.  Assets increased by over 16.2%, and net income was up 9.3%.  Our board and staff recognized the changing interest rate environment early on in 2022 and developed a strong growth strategy to increase both loans and deposits and help strengthen our liquidity position.

For the year ended December 31, 2022, net income was $5.2 million compared to $4.8 million in 2021.  Earnings per share were $2.94 basic and diluted compared to $2.73 basic and diluted in 2021. Loans grew 23.0% and deposits grew 18.1% year over year. 

Our net interest income improved in 2022 by 0.9% or $200,000 over 2021 even in the face of rapidly rising interest rates.   Service charges on deposits also added some extra income while loan servicing income from mortgage held-for-sale lending continued to decrease as mortgage activity slowed.  

In Louisiana, our customer base in Lincoln and Ouachita Parishes and the surrounding areas expanded with loans growing by 24.0% or $82.4 million and deposits growing by 27.4% or $87.5 million.  Commercial business and real estate loans grew by a combined average of 23.9% or $75.4 million. Deposits growth was primarily in money market accounts as our Premier and Advantage Premier Accounts offered customers more competitive rates.  Noninterest-bearing deposit accounts also grew by 8.1% or $3.4 million.  The robust deposit growth helped to reduce our dependence on noncore funding.

In Arkansas, loans increased by 18.9% or $18.8 million and deposits declined modestly by 1.4% or $2.2 million. Commercial real estate loans were the main driver of growth with an increase of 42.2% or $25.3 million while other loan categories in total declined by $6.5 million or 16.6%.  Money market accounts grew by 52.8% or $7.1 million with all other categories declining in total by $9.3 million.  The increasing interest rate environment was a driving factor in the movement of deposits.  The Arkansas market continues to maintain a strong deposit base.   

Century Next Bank, our subsidiary bank, continues the trend with 117 years of serving the Ruston Community and Lincoln Parish.  Ouachita parish continues to be a strong growth market with 26.2% or $37.6 million in loan growth and 124.6% or $60.9 million in deposit growth. 

We continue to be pleased with a strong market share in Arkansas and the traditional focus on serving the Ashley County area.  Our three full-service branches give us great coverage in meeting the needs of the communities of Ashley County. 

As we enter 2023, our Company will focus on loan and deposit growth, maintaining strong asset quality, expanding our customer base, and strategic growth opportunities in North Louisiana and Southeast Arkansas. Our marketing efforts have benefited us greatly in the last three years and have helped to increase our presence in our markets.  Attracting new customers and providing a healthy return for shareholder remain top priorities as does providing strong leadership and service in the communities we serve.  

Thank you for allowing us to service you, our shareholders, and for supporting us as we look for more opportunities to build and strengthen our growing regional presence in the year ahead. 

bill hogan signature
William D. Hogan, President and Chief Executive Officer
Century Next Financial Corporation

View the 2022 Annual Report


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