Revenue during the quarter grew 9.07 percent to $44.03 million from $40.37 million in the previous year period. Net interest income for the quarter rose 1.94 percent over the prior year period to $33.93 million. Non-interest income for the quarter rose 25.33 percent over the last year period to $11.73 million.

Southside Bancshares has made provision of $1.63 million for loan losses during the quarter, down 28.34 percent from $2.28 million in the same period last year.

Net interest margin contracted 16 basis points to 3.19 percent in the quarter from 3.35 percent in the last year period. Efficiency ratio for the quarter improved to 53.88 percent from 56.60 percent in the previous year period. A decline in efficiency ratio indicates a rise in profitability.

“We are pleased to report that during the third quarter our net income increased 9.4% compared to the same period in 2015,” stated Sam Dawson, Chief Executive Officer of Southside Bancshares, Inc. “Loans increased $99.3 million, or 4.2%, on a linked quarter basis and we sold a significant portion of nonperforming assets. We incurred approximately $400,000 of net expense during the quarter associated with the sale of the nonperforming assets. Our nonperforming assets to total assets ratio has declined to 0.29%. Loan commitments made during 2016 began to fund at a greater pace during the third quarter, which we anticipate continuing through the fourth quarter. We believe that we continue to have an opportunity to book a number of quality loans and that our pipeline remains solid. During the third quarter, we prepaid a lease at approximately 59% of the remaining lease payments on a Fort Worth operations facility that was recently vacated. The cost of prepaying this lease, combined with writing off the leasehold improvements, was $1.8 million. We anticipate that the savings going forward will be approximately $45,000 a month.”

Noninterest-bearing deposit liabilities were $747.27 million or 20.87 percent of total deposits on Sep. 30, 2016, compared with $681.62 million or 20.48 percent of total deposits on Sep. 30, 2015.

Investments stood at $2,397.81 million as on Sep. 30, 2016, up 11.69 percent or $250.90 million from year-ago. Shareholders equity stood at $472.56 million as on Sep. 30, 2016, up 5.68 percent or $25.41 million from year-ago.

Return on average assets moved up 2 basis points to 0.98 percent in the quarter from 0.96 percent in the last year period. At the same time, return on average equity increased 13 basis points to 10.78 percent in the quarter from 10.65 percent in the last year period.

Nonperforming assets moved down 52.39 percent or $17.61 million to $16.01 million on Sep. 30, 2016 from $33.62 million on Sep. 30, 2015. Meanwhile, nonperforming assets to total assets was 0.29 percent in the quarter, down from 0.70 percent in the last year period.

Equity to assets ratio was 8.65 percent for the quarter, down from 9.24 percent for the previous year quarter. Average equity to average assets ratio was 9.10 percent for the quarter, up from 9.03 percent for the previous year quarter. Book value per share was $17.98 for the quarter, up 7.15 percent or $1.20 compared to $16.78 for the same period last year.