Southside Bancshares, Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2018. For the quarter, total interest income was $57,194,000 against $44,888,000 a year ago. Net interest income was $44,133,000 against $35,280,000 a year ago. Net interest income after provision for loan losses was $40,398,000 against $34,182,000 a year ago. Income before income tax expense was $18,341,000 against $17,997,000 a year ago. Net income was $16,251,000 against $14,989,000 a year ago. Net income per basic and diluted common share was $0.46 against $0.51 a year ago. Return on average assets was 1.02% against 1.08% a year ago. Return on average shareholders' equity was 8.75% against 11.57% a year ago. Book value per common share as at March 31, 2018 was $21.29 against $18.14 a year ago. The increase in net interest income was the result of a $12.3 million increase in interest income primarily from loan portfolio, partially offset by an increase in interest expense of $3.5 million associated primarily with deposits, compared to the same period in 2017. The increase in net income was primarily the result of a $12.3 million increase in interest income and a $0.9 million decrease in income tax expense, partially offset by a $5.8 million increase in noninterest expense, a $3.5 million increase in interest expense, and a $2.6 million increase in provision for loan losses.

The company provided tax rate guidance for the year 2018. The company expects an effective tax rate for 2018 of approximately 12%.