Colony Bankcorp, Inc. (NASDAQ:CBAN) Q1 2024 Earnings Call Transcript

Derek Shelnutt: Yes. I think we’ll definitely start turning profits into the second half of the year there. And most of that’s all recurring revenue business. So we’ll just continue to build and I think we got a lot of opportunity on that side to continue to grow it even faster than we have been growing it as we have the successes within our customer base, so lot of opportunity there.

David Bishop: And you also see deposit opportunities as well, I think you said before.

Derek Shelnutt: Yes, I mean, what we see is that when we go call on a first time business customer, it is really hard to go in and lead on the deposit product side, unless the customers have some kind of challenge issue or problem, moving the business deposits, the treasury services and all that, it’s just a long process. But what we find for the most part is, we can walk out of there in a first call with their Merchant statements because they’re unhappy with the service and they think they’re paying too much in fees. And we’re generally able to come back to them quickly and give them a better service perspective, but also give them a better fee proposition on those accounts. And so it’s just an easy way to develop a new relationship, and then we can start building on that.

And it just takes more time to develop deposit side. So we see it more used, the opportunity to use it more and more as kind of an entry product to a brand new customer, so that we can then begin working on it on the deposit and other services side.

David Bishop: Got it. That’s all I had. Appreciate the color.

Derek Shelnutt: Thank you.

Operator: That appears we have no further questions at this time. I will now turn the program back over to our presenters for any additional or closing remarks.

Derek Shelnutt: Well, I just want to say thanks again for your support of Colony Bankcorp. We appreciate you all being on the call today and look forward to speaking with you again soon. Thank you.

Operator: This does conclude today’s program. Thank you for your participation. You may disconnect at any time.