Note 10 - Segment Financial Information

9 Months Ended

Sep. 30, 2017

Note 10 – Segment Financial Information

The Company discloses segment information in accordance with FASB ASC 280. FASB ASC 280 requires companies to determine segments based on how management makes decisions about allocating resources to segments and measuring their performance.

Prior to 2017, the Company had five operating divisions which comprised its operations: Division I through Division V. Each division consisted of a number of branch offices that were aggregated based on vice president responsibility and geographic location. Division I consisted of offices located in South Carolina. Offices in North Georgia comprised Division II. Division III consisted of offices in South Georgia. Division IV represented our Alabama and Tennessee offices, and our offices in Louisiana and Mississippi encompassed Division V. Beginning in 2017, the Company separated Division IV into two separate Divisions, creating Division VII under a newly appointed vice president. Alabama now comprises Division IV and Tennessee comprises Division VII. Effective July 1, 2017, the Company separated Division V into two separate Divisions, creating Division VIII under a newly appointed vice president. Division V now comprises Mississippi and Louisiana comprises Division VIII. The following division financial data has been retrospectively presented to give effect to the current structure. The change in reporting structure had no impact on the previously reported consolidated results.

Accounting policies of each of the divisions are the same as those for the Company as a whole. Performance is measured based on objectives set at the beginning of each year and include various factors such as division profit, growth in earning assets and delinquency and loan loss management. All division revenues result from transactions with third parties. The Company does not allocate income taxes or corporate headquarter expenses to the divisions.

The following table summarizes revenues, profit and assets by each of the Company's divisions. Also in accordance therewith, a reconciliation to consolidated net income is provided.

	Division	Division	Division	Division	Division	Division	Division
	I	II	III	IV	V	VII	VIII	Total

Division Revenues:
3 Months ended 9/30/2017	$ 6.171	$ 11,096	$ 10,975	$ 8,009	$ 4,467	$ 3,008	$ 3,453	$ 47,179
3 Months ended 9/30/2016	$ 6,536	$ 11,928	$ 11,332	$ 7,946	$ 4,678	$ 2,241	$ 3,679	$ 48,340
9 Months ended 9/30/2017	$ 18,462	$ 34,744	$ 34,128	$ 23,689	$ 13,400	$ 8,558	$ 10,208	$ 143,189
9 Months ended 9/30/2016	$ 20,473	$ 35,540	$ 33,367	$ 24,404	$ 14,254	$ 6,561	$ 11,628	$ 146,227

Division Profit:
3 Months ended 9/30/2017	$ 1,647	$ 3,968	$ 4,116	$ 2,352	$ 1,177	$ 22	$ 707	$ 13,989
3 Months ended 9/30/2016	$ 1,265	$ 4,436	$ 4,155	$ 2,734	$ 1,197	$ 119	$ 385	$ 14,291
9 Months ended 9/30/2017	$ 4,912	$ 11,781	$ 13,348	$ 7,723	$ 3,691	$ 508	$ 1,530	$ 43,493
9 Months ended 9/30/2016	$ 4,681	$ 14,249	$ 13,514	$ 9,270	$ 4,166	$ 729	$ 1,901	$ 48,510

Division Assets:

9/30/2017	$ 58,317	$ 109,336	$ 103,973	$ 87,450	$ 43,223	$ 32,715	$ 32,786	$ 467,800
12/31/2016	$ 56,284	$ 110,568	$ 106,951	$ 85,140	$ 42,230	$ 25,764	$ 32,302	$ 459,239

	3 Months Ended 9/30/2017 ^{(in Thousands)}	3 Months Ended 9/30/2016 ^{(in Thousands)}	9 Months Ended 9/30/2017 ^{(in Thousands)}	9 Months Ended 9/30/2016 ^{(in Thousands)}
Reconciliation of Profit:
Profit per division	$ 13,988	$ 14,291	$ 43,493	$ 48,510
Corporate earnings not allocated	3,785	3,704	9,650	10,077
Corporate expenses not allocated	(10,813)	(16,553)	(36,418)	(45,280)
Income taxes not allocated	(1,323)	(1,264)	(3,782)	(4,010)
Net income	$ 5,637	$ 178	$ 12,943	$ 9,297