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Poage Bankshares, Inc.

No Longer Reporting

The company has not filed an annual or quarterly report since its Q3 FY2018 10-Q, filed Nov 14, 2018. Its latest SEC filing is a SC 13G/A from Feb 12, 2019.

The sections below describe the company as of the FY2017 annual report.

What Did They Do?

Takes retail deposits and makes home mortgages, commercial real estate and business loans, and consumer loans for households and small- to medium-sized businesses.

How Did They Make Money?

Earns interest on loans and securities and pays interest on deposits and borrowings; it also collects deposit service charges and earns gains from selling loans and securities.

FY2017 revenue

Who Were Their Customers?

Town Square attracts retail deposits from the general public and originates loans for households and businesses, including small- to medium-sized businesses.

Did Revenues Turn Into Profits?

Not on paper. It lost $2.9M in FY2017, but brought in more cash than it spent: $4.6M of free cash flow.

Net income, FY2017
−19% of revenue
▼ Turned to a loss vs FY2016 ($1.8M, 10%)
Free cash flow, FY2017
30% of revenue
▼ −7% vs FY2016 ($5M, 27%)

How Were They Changing?

Since the FY2017 annual report
Latest quarter: Q3 FY2018, the three months to Sep 30, 2018
Revenue
▼ −2%
vs $4.8M in Q3 FY2017
Net income
▲ Turned profitable
vs −$18K in Q3 FY2017
  • Oct 10, 2018 Shareholder filed suit challenging the proposed merger The complaint seeks to block the merger and alleges the sale process undervalued Poage and merger disclosures omitted material information.
  • Jul 12, 2018 Agreed to be acquired by City Holding Company Town Square Bank would merge into City National Bank; the merger was expected to close in the fourth quarter of 2018.

Shrank. Revenue fell 25% in 2 years, from $20.3M in FY2015 to $15.3M in FY2017, about 13% a year.

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