Sunshine Financial in Tallahassee, Fla., will restate earnings for the first and second quarters after it discovered an accounting error.
The $153 million-asset company will reduce net income to $51,000, or 5 cents per share, for the six-month period ending June 30, according to a regulatory filing. Sunshine had previously reported net income of $247,000 through midyear, or 24 cents per share. Sunshine did not provide a breakout of figures for the first and second quarters.
Sunshine will also lower cash holdings by $275,000, raise other liabilities by $39,000 and raise deferred income taxes by $118,000.
The revision stems from an omission of $314,000 of data-processing charges incurred during the first half of the year. The error went undetected because of a material weakness in Sunshine's internal controls related to automated clearinghouse payments and correspondent bank accounts. The company said it has resolved the internal control weakness.
Sunshine was delayed in reporting the revision because the data-processing company mailed invoices to an incorrect address for Sunshine.