Georgia-Carolina Bancshares, Inc., parent company of First Bank of Georgia, today reported net income of $2,119,000, or $0.59 per diluted common share, for the three months ended June 30, 2013, compared to net income of $1,703,000, or $0.47 per diluted common share, for the three months ended June 30, 2012. The Company reported net income of $4,426,000, or $1.24 per diluted common share, for the six months ended June 30, 2013, compared to net income of $2,987,000, or $0.83 per diluted common share for the six months ended June 30, 2012. Book value totaled $16.00 per common share at June 30, 2013.

These earnings represent a 15.28% return on average equity and a 1.83% return on average assets for the six month period ended June 30, 2013, up from an 11.43% return on average equity and a 1.22% return on average assets for the six month period ended June 30, 2012.

Remer Y. Brinson III, President & CEO of the Company, stated, "We continue to report very strong quarterly and year to date earnings in 2013 and also continue to reflect a very strong balance sheet and capital position.

We continue to see an improvement in overall credit quality and delinquencies. In addition, we received recoveries of $946,000 from loans previously charged off.  As a result we have recorded a year to date credit to the loan loss provision of $1,802,000.  New loan demand has increased in the second quarter, however, due to slightly lower loan outstandings, lower loans held for sale and a lower net interest margin, net interest income has declined. Non-interest income remains strong and is led by strong mortgage origination income. These factors, coupled with strong expense control, have resulted in our superior earnings performance.

Bank loans have declined 0.83% since December 31, 2012, and total $263,620,000, while total deposits have increased 1.92% during the year and total $424,974,000. Our capital position remains very strong as evidenced by a Tier 1 Leverage ratio of 11.88% and a Total Risk Based Capital ratio of 17.73%," Brinson continued.

Brinson continued, "We are pleased to announce that we opened our seventh banking office in Evans, Georgia during the second quarter.  This newest office allows us to continue to serve this vital section of our community.  Columbia County was recently cited as the 45^th fastest growing county in the United States."

Georgia-Carolina Bancshares' Board of Directors declared a quarterly cash dividend of $0.045 per share of common stock payable on August 13, 2013, to shareholders of record as of August 6, 2013.