CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS

12 Months Ended

Dec. 31, 2019

CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS

CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS

NOTE 18 – CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS

Financial statements of MetroCity Bankshares, Inc. (parent company only) are as follows:

Condensed Balance Sheets

	December 31,
(Dollars in thousands)	2019		2018
Assets:
Cash and due from banks*	$	15,991	$	2,600
Investment in bank subsidiary*		200,886		165,096
Other assets		367		1,305
Total assets	$	217,244	$	169,001
Liabilities:
Accrued expenses and other liabilities	$	520	$	393
Total liabilities		520		393
Shareholders' equity:
Preferred stock		—		—
Common stock		255		242
Additional paid-in-capital		53,854		39,915
Retained earnings		162,616		128,555
Accumulated other comprehensive loss		(1)		(104)
Total shareholders' equity		216,724		168,608
Total liabilities shareholders' equity	$	217,244	$	169,001

*  Eliminated in consolidation

Condensed Statements of Income

	Years Ended December 31,
(Dollars in thousands)	2019		2018		2017
Income:
Dividends receive from bank subsidiary*	$	10,402	$	9,291	$	5,439
Interest income*		48		24		25
Total income		10,450		9,315		5,464
Expenses:
Other expense		174		96		35
Total expenses		174		96		35
Income before taxes and equity in undistributed income of subsidiary		10,276		9,219		5,429
Income tax benefit		26		29		24
Income before equity in undistributed income of subsidiary		10,302		9,248		5,453
Equity in undistributed income of subsidiary*		34,416		32,086		26,444
Net Income	$	44,718	$	41,334	$	31,897

*  Eliminated in consolidation

Condensed Statements of Cash Flows

	Years Ended December 31,
(Dollars in thousands)	2019		2018		2017
Cash flows from operating activities:
Net income	$	44,718	$	41,334	$	31,897
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed net income of subsidiary		(34,416)		(32,086)		(26,444)
Decrease (increase) in other assets		938		(924)		(135)
Increase in accrued expenses and other liabilities		92		42		(68)
Net cash provided by operating activities		11,332		8,366		5,250
Cash flows from operating activities:
Net cash (used in) provided by investing activities		—		—		—
Cash flows from financing activities:
Issuance of common stock, net of expenses		13,911		—		—
Exercise of stock options		—		—		685
Repurchase of common stock		(1,485)		—		—
Dividends paid on common stock		(10,367)		(9,224)		(5,401)
Net cash provided by (used by) financing activities		2,059		(9,224)		(4,716)
Net increase (decrease) in cash and cash equivalents		13,391		(858)		534
Cash and cash equivalents, beginning of year		2,600		3,458		2,924
Cash and cash equivalents, end of year	$	15,991	$	2,600	$	3,458