CAB Financial Corp., the holding company for Spartanburg-based Carolina Alliance Bank, reported its 2017 annual and fourth quarter consolidated financial results on Wednesday.

Net income was $1.7 million, or $0.23 per share, for the three months ending on Dec. 31, 2017, as compared to net income available to common shareholders of $1 million, or $0.15 per share, for the three months ending on Dec. 31, 2016, according to a statement from Carolina Alliance Bank.

Net income of $4.7 million, or $0.65 per share, was reported for the year ending on Dec. 31, 2017, compared to net income of $4.1 million, or $0.60 per share, for the 12 months ending on Dec. 31, 2016, the statement said.

Included in net income for the 2017 periods is a tax benefit of approximately $700,000, or $0.10 per share, related to the revaluation of the bank's deferred tax liability as a result of the recently enacted Tax Cuts and Jobs Act.

Gross loans and leases increased to $526.7 million, on Dec. 31, 2017, a $31.5 million increase from the same date in 2016, the statement said. Total assets increased to $685.3 million on that date in 2017, from $642.9 million on that date in 2016.

As of Dec. 31, 2017, total shareholders’ equity was $78.2 million, according to the statement. Book value per share was $10.87, compared to $10.22 in 2016.

The bank’s capital levels continue to exceed the levels required by regulatory standards to be classified as “well capitalized,” which is the highest of the five regulator-defined capital categories used to describe an institution’s capital strength, the statement said.

“We believe that the recent additions in key lending positions will play a significant role in achieving our growth goals,” CAB Chairman Terry Cash said in the statement. “Also, with the completion of our reorganization into a bank holding company in the fourth quarter, capital management and other strategic possibilities have opened up for the company, and we will be exploring opportunities to capitalize on this new structure.”

According to the statement, non-performing assets as a percentage of total assets were $2.9 million, and the allowance for loan and lease losses stood at $5.3 million, which is 1.01 percent of gross loans, as of Dec. 31, 2017.