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FNRN..
DIXON, Calif.--(BUSINESS WIRE)--July 21, 2006--First Northern Community Bancorp (the "Company") (OTCBB:FNRN - News), holding company for First Northern Bank ("First Northern" or the "Bank"), today announced earnings through the second quarter of 2006. Year-to-date net income as of June 30, 2006 was reported at $4.70 million, up 16.9% over the $4.02 million earned in the same fiscal period last year. Diluted earnings per share for the six months ended June 30, 2006 was $0.57, up 16.7% from the $0.48 reported last year (all 2005 per share earnings have been adjusted for a 6% stock dividend issued March 31, 2006). Annualized Return on Average Assets for the period ended June 30, 2006 was 1.41%, compared to 1.27% for the same period in 2005. Annualized Return on Beginning Core Equity was 16.57%, compared to 15.77% one year ago.
Total assets at June 30, 2006 were $652.5 million, an increase of $20.8 million, or 3.3% from prior-year second quarter levels. Total deposits of $576.5 million increased $18.2 million or 3.3% compared to June 30, 2005 figures. During that same period, total net loans (including loans held-for-sale) increased $32.9 million, or 7.3%, to $485.3 million.
Net income for the quarter ended June 30, 2006 was $2.29 million, down 1.3% from the $2.32 million earned in the same period in 2005. (Second quarter 2005 net income was increased through a $265 thousand, net of tax, recovery of provision for loan losses from a prior period.) Diluted earnings per share for the quarter was $0.28, which matched the $0.28 per diluted share earned a year ago.
Owen "John" Onsum, President and CEO stated, "The Company's net income figures are very strong at $2.29 million for the quarter and $4.70 million at the mid-year mark. We are pleased to announce the opening of our sixth Real Estate Loan Office in Folsom at 2360 East Bidwell Street. The Company will also open an Investment & Brokerage Services office and a full service bank branch at the same address later this summer. The team of financial experts who will be staffing the Company's Folsom offices are residents of the local area and look forward to bringing First Northern's brand of banking and financial services to the rapidly growing city."
First Northern Bank, an independent community bank headquartered in Solano County since 1910, serves Solano, Yolo, Sacramento, Placer and parts of El Dorado Counties. First Northern currently has 11 branches located in Dixon, Davis, West Sacramento, Fairfield, Vacaville, Winters, Woodland, Suisun City, Downtown Sacramento and Roseville. The Bank has real estate lending offices in Davis, Woodland, Vacaville, Roseville, Folsom and El Dorado Hills, and has an SBA Loan Office and full service Trust Department in Sacramento. First Northern also offers non-FDIC insured Investment and Brokerage Services at each branch location. The Bank can be found on the Web at www.thatsmybank.com.
Forward-Looking Statements
This press release may include certain "forward-looking statements" about First Northern Community Bancorp (the "Company"). These forward-looking statements are based on management's current expectations and are subject to certain risks, uncertainties and changes in circumstances. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. More detailed information about these risk factors is contained in the Company's most recent reports filed with the Securities and Exchange Commission on Forms 10-K, 10-Q and 8-K, each as it may be amended from time to time, which identify important risk factors that could cause actual results to differ materially from those contained in the forward-looking statements. The financial information contained in this release should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's most recent reports on Form 10-K and Form 10-Q. The Company undertakes no obligation to update these forward-looking statements to reflect events or circumstances arising after the date on which they are made. For further information regarding the Company, please read the Company's reports filed with the SEC and available at www.sec.gov.
Contact:
First Northern Community Bancorp & First Northern Bank
Owen J. Onsum, 707-678-3041
--------------------------------------------------------------------------------
Source: First Northern Bank
This week I have sold positions of SAVB,, PSBC,, PKBK,, and 2/3 of my position in ANCX.. I am risk adverse to positions and all in my opinion are going lower after reporting earnings this week.. In these periods I will continue to upgrade criteria,, which will limit my choices of new small banks.. I now have less than $350,000.00 in the portfolio.. I might add there were no real losses taken selling the positions.. PKBK was down 8.6% while PSBC was down less than 5%.. SAVB had a profit of 11%..hank
PKBK..
Sold the position.. I rarely see this in banks but it happens..
WASHINGTON TOWNSHIP, N.J., July 18, 2006 /PRNewswire-FirstCall via COMTEX/ -- Parke Bancorp, Inc. (PKBK, Trade ), Washington Township, New Jersey, today announced net earnings for the six months ended June 30, 2006 of $2,196,673, or $0.65 diluted income per share, compared to net income of $1,636,031, or $0.52 diluted income per share, a 34.3% increase over the same period last year.
Looks like a good report but the hid further down the release 2'nd quarter earnings..they were up only $0.04 and I am sure the efficeny ratio increased.. out it goes.. While i was at it I also 2/3 of the ANCX position.. locaton always made it my biggest worry and a secondary announcement has put a cap on this one.. I will repurchase in the LOW 8's if it gets there..hank
Mike.. great find..
I really like the area and what the bank is all about.. I posted in the I-Box the easiest efficency ratio to use...
Cornerstone Bancshares, Inc. is a one-bank holding company serving the Chattanooga, Tennessee MSA with 5 branches and $340 million in assets specializing in business financial services.
The bank has a super low efficency ratio of 0.32% and that has come down from 0.36%.. This means they earn thier business and don't buy it.. It is a little rich in PE but more than makes up for this in the total growth area...I will be a buyer but will remain on the bid.. I kicked PKBK today even though it had earnings,, location,, location just wasn't there.. I also sold 2/3 of my ANCX for the same reason and there is a secondary coming.. Cornerstone is a nice find.. I hope your ALY purchase works from here,, My bids start at $12.88 and continue each $0.20 down from there.. Inital purchase is 888 shares and the purchases increase 50% on each new purchase point.. FLK had a move today but on no volume and my buy points start at 14.68.. Those are the only oil service stocks that I have put open buy orders on..hank
Efficiency Ratio is different to many people but the one that works for me is:
A ratio used to calculate a bank's efficiency. Not all banks calculate the efficiency ratio the same way. We've seen the ratio calculated as all of the following:
1. Non-interest expense divided by total revenue less interest expense
2. Non-interest expense divided by net interest income before provision for loan losses
3. Non-interest expense divided into revenue
4. Operating expenses divided by fee income plus tax equivalent net interest income.
For all versions of the ratio, an increase means the company is losing a larger percentage of its income to expenses. If it is getting lower, it is good for the bank and its shareholders.
Investopedia Says: However the ratio is calculated, its purpose is to evaluate the overhead structure of a financial institution. Banking is no different from any mature industry - the surviving companies are those that keep costs down. The efficiency ratio gives us a measure of how effectively a bank is operating. Efficiency is usually a decent measure of profitability.
Hank,
What do you think of CBSS? I used to work for them. Is it too big of a bank for you? Great earnings growth there.
RYAN
CSBQ.OB - Cornerstone Bancshares
I initiated a position today in CSBQ.OB. The current price of CSBQ is $26/share.
Here is a summary of my DD:
- They are based in Hamilton County, Tennessee which includes Chattanooga. Hamilton county has a population of 312,000 people. Best as I can tell, they cover some of the outskirts of Chattanooga in addition to Chattanooga. They have four full service branches in addition to their principal office in Hixson, Tennessee.
- They just reported earnings of $0.45/share for Q2 vs. $0.30/share for Q2 of last year.
- Q1 earnings jumped to $0.40/share from $0.26/share. Last year earnings grew 43%.
- The increased their guidance to full year EPS of $1.75. This is an average of $0.44/share for each fo the next two quarters.
- Return on equity is 16.78%
- Return on assets is 1.73%
- Assets grew from $279M to $338M.
- They don't publish their efficiency ratio.
- Non-interest income grew 147%.
- They pay a 0.9% dividend. Yahoo incorrectly indicates it is 0.7%.
- BV = $10.84
It looks like a great small bank to me.
Mike
FYI, Cramer on banks:
<<Cramer's 'Mad Money' Recap: To the Banks
By TheStreet.com Staff
7/20/2006 8:15 PM EDT
Click here for more stories by TheStreet.com Staff
Jim Cramer told "Mad Money" viewers on Thursday that he was going to commit stock market heresy -- and recommend buying bank stocks at this part of the business cycle.
The business cycle dictates which stocks will work. Where you are in that cycle should determine what sectors you buy into, Cramer said, adding that when people go against the cycle, they lose big.
At this point in the cycle, after 17 straight rate hikes, banks should be train wrecks and ugly untouchable businesses, he said. However, this is not the case. In fact, Cramer believes banks are going to go up, therefore, he broke the rules and told viewers they should want to buy a bank.
"But what if banks are on the verge of blowing up, and Cramer's being premature?" he said.
That's how you should be thinking when someone challenges an orthodox rule. After all, it's orthodox because it works, he said. However, he really believes bank are on their way up.
"Why are banks in a good place, when history and discipline says that they should be in a bad place right now?" he asked. "What makes me so confident?"
Reason No. 1 is that banks have stopped issuing stock and are beginning to buy back stock.
Secondly, whereas banks used to have pretty bad credit card losses when people declared bankruptcy, now with the new bankruptcy law, it is tough to declare it, Cramer said. In addition, you are still liable for your debt, even if you do declare bankruptcy.
The third reason he gave was that banks are cheap.
Cramer's final reason was that after 17 rate increases, when banks should be experiencing loan losses and mortgage problems, they actually have the fewest loan losses and mortgage problems they've had in years. Banks have created a slew of businesses that are fee-based by relying less on interest rates and more on fee-based business, he said.
Banks need to be bought, Cramer emphasized. They have great dividends and are holding up a lot better than other stocks. They should move up 15% to 20% over the next 12 to 18 months, he predicted.
"This time things are different for banks," Cramer said. "This time they have weathered the rate hikes and come out with barely a blemish." Buy banks while they are still cheap, he said.>>
Good Luck.
First Regional Bancorp Announces 3-for-1 Stock Split
Thursday July 20, 1:23 pm ET
CENTURY CITY, Calif., July 20, 2006 (PRIMEZONE) -- First Regional Bancorp (NASDAQ:FRGB - News) today declared a 3-for-1 stock split. Shareholders will receive two additional shares for every share held at the close of business on the record date of July 31, 2006. The additional shares will be mailed or delivered on or about August 21, 2006 by First Regional's transfer agent, Mellon Investor Services.
ADVERTISEMENT
First Regional currently has approximately 4.1 million shares outstanding, which will increase to approximately 12.3 million after the stock split. In connection with the stock split, the authorized number of shares will likewise be increased from 50 million to 150 million shares.
Jack A. Sweeney, chairman and chief executive officer, noted, ``First Regional recently announced record earnings of $9.6 million, or $2.22 per diluted share, for the three months ended June 30, 2006. The strength of our second quarter earnings, which represents a 49% increase over the results from the same period in 2005, is a direct result of the continued strength of our prudent lending and deposit gathering efforts, as well as the continued contributions of our Trust and Investment Division, Merchant Services and Trust Administration Services business units.''
Mr. Sweeney continued, ``We are pleased to see the market recognize our performance by causing the stock to trade over $100 for the first time in our history, which occurred yesterday, July 19, 2006. The closing sales price of $99.50 on the same day represents a gain of more than 300% over the past three years.''
Mr. Sweeney further noted, ``The stock split, which had been suggested by a number of our shareholders over the past two years, is expected to bring our stock into a range we believe will be desirable to a wider range of investors. We believe this action will help to increase our stock's liquidity, which ultimately should help to further increase shareholder value.''
First Regional Bancorp is a bank holding company headquartered in Century City, California. Its subsidiary, First Regional Bank, specializes in providing businesses and professionals with the management expertise of a major bank and the personalized service of an independent.
This report includes ``forward-looking statements'' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein may constitute forward-looking statements. Although First Regional believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from First Regional's expectations include fluctuations in interest rates, inflation, government regulations, and economic conditions and competition in the geographic and business areas in which First Regional conducts its operations.
Contact:
First Regional Bancorp
Jack A. Sweeney, Chairman/CEO
310-552-1776
--------------------------------------------------------------------------------
Source: First Regional Bancorp
Thx.
With a current PE of 4.9 I may give it a "swing trade" shot now and again. Not in yet though. With earnings due 8/8/06 I might load up just before that if it gets into the 16's for a short term play.
Vic
FMT..
Is a loan originator.. Earnings are down 70% qtr to qtr.. stay away ..The PE on this bank has never been above 10 as long as I remember.. hank
A comptroller friend touted me on FMT as a good LT buy if interest rates stabilize.
I am terrible at bank/finance co. DD and thought I would mention it here to see if you had any feedback one way or the other.
TIA,
Vic
PSBC...
Small Banks Rock..
Pacific State Bancorp Reports Record Profits and Asset Growth
STOCKTON, Calif., July 20 /PRNewswire-FirstCall/ -- Steven A. Rosso, President and C.E.O. of Pacific State Bancorp (Nasdaq: PSBC), the parent company of Pacific State Bank, today reported record 2nd quarter profits and asset growth for the Stockton, California based financial institution:
-- Net income for the second quarter of 2006 of $1,307,000 and net income
for the six months ended June 30, 2006 of $2,514,000.
-- Total Assets as of June 30, 2006 of $327,902,000.
Rosso noted that the financial performance increases reflected strong annual and quarter over quarter improvement.
PSBC quarter over quarter June 30, 2006 compared to June 30, 2005 financial performance information is as follows:
Balance Sheet:
-- Total Federal Funds, Interest Bearing Deposits in Banks and Investment
Securities: $37,031,000, an increase of $6,017,000 or 19.40%.
-- Net Loans: $270,107,000, an increase of $57,561,000 or 27.08%.
-- Total Assets: $327,902,000, an increase of $64,417,000 or 24.45%.
-- Non-Interest Bearing Deposits: $64,127,000, an increase of $6,093,000
or 10.50%.
-- Total Deposits: $287,310,000, an increase of $57,285,000 or 24.90%.
-- Total Shareholders Equity: $24,578,000, an increase of $5,734,000 or
30.43%.
Income Statement:
-- Total Interest Income: $6,321,000, an increase of $1,792,000 or 39.57%.
-- Total Interest Expense: $2,122,000, an increase of $919,000 or 76.39%.
-- Net Interest Income: $4,199,000, an increase of $873,000 or 26.25%.
-- Non-Interest Income: $500,000, a decrease of $97,000 or (16.25%). The
decline in non-interest income was primarily due to a reduction in Gain
on Sale of Loan Income as compared to the 2nd quarter of 2005.
-- Non-Interest Expense: $2,452,000, an increase of $266,000 or 12.17%.
The primary reason for the increase in non-interest expense was
company-wide salary expense increases as compared to the 2nd quarter of
2005 to support the growth of the bank. As of June 30, 2006, the
Company had 75 full-time employees as compared to 69 as of
June 30, 2005.
-- Net Income: $1,307,000, an increase of $250,000 or 23.65%.
-- Net Interest Margin: 5.74%, up 44 basis points.
-- Annualized Return on Average Assets: 1.65% up from 1.57%.
-- Annualized Return on Average Equity: 22.60% down slightly from 23.00%.
-- Efficiency Ratio: 53.20% improving from 56.59%.
-- Basic Earnings Per Share: $0.37, an increase of $0.06 per share
or 19.35%.
-- Diluted Earnings Per Share: $0.34, an increase of $0.07 per share
or 25.93%.
PSBC Year-to-date financial performance information for the six month period ending June 30, 2006 is as follows:
Balance Sheet - June 30, 2006 as compared to December 31, 2005
-- Total Fed Funds, Interest Bearing Deposits in Banks and Investment
Securities: $37,031,000, a decrease of $10,628,000 or 22.30% from year
end 2005.
-- Net Loans: $270,107,000, an increase of $28,551,000 or 11.82% from year
end 2005.
-- Total Assets: $327,902,000, an increase of $18,291,000 or 5.91% from
year end 2005.
-- Non-Interest Bearing Deposits: $64,127,000 a decrease of $4,530,000 or
6.60% from year end 2005.
-- Total Deposits: $287,310,000, an increase of $14,236,000 or 5.21% from
year end 2005.
-- Total Shareholders Equity: $24,578,000, an increase of $3,205,000
or 14.99% from year end 2005.
Income Statement - Six months ended June 30, 2006 compared to June 30, 2005
-- Total Interest Income: $12,113,000, an increase of $3,656,000
or 43.23%.
-- Total Interest Expense: $3,841,000, an increase of $1,563,000
or 68.61%.
-- Net Interest Income: $8,272,000, an increase of $2,093,000 or 33.87%.
-- Non-Interest Income: $1,099,000, a decrease of $267,000 or 19.55%.
-- Non-Interest Expense: $5,039,000, an increase of $821,000 or 19.46%.
-- Net Income: $2,514,000, an increase of $509,000 or 25.39%.
-- Net Interest Margin: 5.85% up 65 basis points.
-- Annualized Return on Average Assets: 1.62% up from 1.50%.
-- Annualized Return on Average Equity: 22.64% up from 22.58%
-- Efficiency Ratio: 54.83% improving from 56.81%.
-- Basic Earnings Per Share: $0.72, an increase of $0.14 per share
or 22.41%.
-- Diluted Earnings Per Share: $0.65, an increase of $0.13 per share
or 25.00%.
Attached are certain additional unaudited financial statements supporting the above financial information. Further inquiries should be directed to Mr. Steven Rosso at 209-870-3214, or by mail to P.O. Box 1649, Stockton, California 95201. Additional information also can be obtained by visiting the Company website -- www.pacificstatebank.com.
PACIFIC STATE BANCORP AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands, except share amounts) June 30 June 30
Assets 2006 2005
Cash and due from banks $13,702 $7,124
Federal funds sold -- --
Interest-bearing deposits in banks -- 5,000
Investment securities - available for
sale (carrying value of $23,546 in 2006
and $18,938 in 2005) 23,329 18,890
Loans, less allowance for loan losses
of $2,516 in 2006 and $2,332 in 2005 270,107 212,546
Bank premises and equipment, net 9,564 9,563
Company owned life insurance 4,499 4,329
Accrued interest receivable and other assets 6,701 6,033
Total assets $327,902 $263,485
Liabilities and Shareholders' Equity
Deposits:
Non-interest bearing $64,127 $58,034
Interest bearing 223,183 171,991
Total deposits 287,310 230,025
Other borrowings 4,900 4,000
Subordinated debentures 8,764 8,764
Accrued interest payable and other liabilities 2,350 1,852
Total liabilities 303,324 244,641
Shareholders' equity:
Preferred stock - no par value; 2,000,000
shares authorized; none outstanding
Common stock - no par value; 24,000,000
shares authorized; issued and outstanding
3,589,458 in 2006 and 3,481,152 in 2005 8,280 7,261
Retained earnings 16,426 11,631
Accumulated other comprehensive loss,
net of tax (128) (48)
Total shareholders' equity 24,578 18,844
Total liabilities and shareholders'
equity $327,902 $263,485
PACIFIC STATE BANCORP AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands, except share amounts) June 30 December 31
Assets 2006 2005
Cash and due from banks $13,702 $14,453
Federal funds sold -- 4,667
Interest -bearing deposits in banks -- --
Investment securities - available for sale
(carrying value of $23,546 in 2006
and $28,696 in 2005) 23,329 28,539
Loans, less allowance for loan losses
of $2,516 in 2006 and $2,356 in 2005 270,107 241,556
Bank premises and equipment, net 9,564 9,511
Company owned life insurance 4,499 4,411
Accrued interest receivable and other assets 6,701 6,474
Total assets $327,902 $309,611
Liabilities and Shareholders' Equity
Deposits:
Non-interest bearing $64,127 $68,657
Interest bearing 223,183 204,417
Total deposits 287,310 273,074
Other borrowings 4,900 4,000
Subordinated debentures 8,764 8,764
Accrued interest payable and other liabilities 2,350 2,400
Total liabilities 303,324 288,238
Shareholders' equity:
Preferred stock - no par value; 2,000,000
shares authorized; none outstanding
Common stock - no par value; 24,000,000
shares authorized; issued and outstanding
3,589,458 in 2006 and 3,512,622 in 2005 8,280 7,556
Retained earnings 16,426 13,912
Accumulate other comprehensive loss,
net of tax (128) (95)
Total shareholders' equity 24,578 21,373
Total liabilities and shareholders'
equity $327,902 $309,611
PACIFIC STATE BANCORP
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Unaudited
Three months ended Six months ended
June 30 June 30
(in thousands, except
share amounts) 2006 2005 2006 2005
Interest income:
Interest and fees on loans $5,998 $4,234 $11,459 $7,881
Interest on federal funds sold 6 67 17 125
Interest on investment
securities 317 228 637 451
Total interest income 6,321 4,529 12,113 8,457
Interest expense:
Interest on deposits 1,792 1,070 3,276 2,005
Interest on subordinated
debentures 180 105 344 226
Interest on borrowings 150 28 221 47
Total interest expense 2,122 1,203 3,841 2,278
Net interest income 4,199 3,326 8,272 6,179
Provision for loan losses 90 60 180 120
Net interest income after
provision for loan losses 4,109 3,266 8,092 6,059
Non-interest income:
Service charges 250 189 458 370
Other fee income 230 192 461 410
Gain from sale of loans 20 216 180 586
Total non-interest income 500 597 1,099 1,366
Non-interest expenses:
Salaries and employee benefits 1,335 1,192 2,685 2,309
Occupancy 208 196 407 393
Furniture and equipment 183 147 361 279
Other 726 651 1,586 1,237
Total other expenses 2,452 2,186 5,039 4,218
Income before income taxes 2,157 1,677 4,152 3,207
Income tax expense 850 620 1,638 1,202
Net income $1,307 $1,057 $2,514 $2,005
Basic earnings per share $0.37 $0.31 $0.72 $0.58
Diluted earnings per share $0.34 $0.27 $0.65 $0.52
Weighted average common shares
outstanding 3,510,801 3,466,017 3,493,964 3,458,115
Weighted average common
and common equivalent
shares outstanding 3,900,010 3,845,993 3,894,748 3,869,135
PACIFIC STATE BANCORP
Yield Analysis
For the Three Months Ended For the Three Months Ended
Ended June 30, 2006 Ended June 30, 2005
Interest Interest
Income Average Income Average
Average or Yield or Average or Yield or
Balance Expense Cost Balance Expense Cost
Assets:
Interest-earning
assets:
Loans $265,333 $5,998 9.06% $208,585 $4,234 8.14%
Investment
securities 27,095 317 4.66% 28,628 174 2.44%
Federal funds
sold 861 6 2.80% 9,571 67 2.81%
Interest
Bearing
Deposits
in Banks -- -- --% 5,000 54 4.33%
Total
average
earning
assets 293,289 6,321 8.64% 251,784 4,529 7.21%
Non-earning
assets:
Cash and due
from banks 13,498 14,184
Other assets 11,215 4,849
Total
average
assets $318,002 $270,817
Liabilities and
Shareholders'
Equity:
Interest-bearing
liabilities:
Deposits
Interest-bearing
Demand $89,412 573 2.57% $105,049 595 2.27%
Savings 6,298 15 0.96% 6,935 9 0.52%
Time Deposits 116,062 1,204 4.16% 72,901 466 2.56%
Other borrowings 19,592 330 6.76% 12,869 133 4.15%
Total
average
interest-
bearing
liabilities 231,364 2,122 3.68% 197,754 1,203 2.44%
Non-interest
bearing
liabilities:
Demand deposits 62,558 54,721
Other liabilities 881 170
Total
liabilities 294,803 252,645
Shareholders'
equity: 23,199 18,172
Total average
liabilities
and
shareholders'
equity $318,002 $270,817
Net interest
income $4,199 $3,326
Yield on
interest-earning
assets 8.64% 7.21%
Cost of funding
interest-earning
assets 2.90% 1.92%
Net interest margin 5.74% 5.30%
PACIFIC STATE BANCORP
Yield Analysis
For the Six Months Ended For the Six Months Ended
Ended June 30, 2006 Ended June 30, 2005
Interest Interest
Income Average Income Average
Average or Yield or Average or Yield or
Balance Expense Cost Balance Expense Cost
Assets:
Interest-
earning
assets:
Loans $257,036 $11,459 8.99% $206,150 $7,881 7.71%
Investment
securities 27,408 637 4.67% 18,587 366 3.97%
Federal funds
sold 845 17 4.06% 10,011 125 2.52%
Interest
Bearing
Deposits
in Banks -- -- --% 5,450 85 3.15%
Total
average
earning
assets 285,289 12,113 8.56% 240,198 8,457 7.10%
Non-earning
assets:
Cash and due
from banks 12,896 13,930
Other assets 14,431 14,462
Total
average
assets $312,616 $268,590
Liabilities
and
Shareholders'
Equity:
Interest-bearing
liabilities:
Deposits
Interest-
bearing
Demand $95,679 1,182 2.49% $103,045 1,137 2.23%
Savings 6,415 25 0.79% 7,109 18 0.51%
Time Deposits 106,785 2,069 3.91% 72,590 850 2.36%
Other
borrowings 18,169 565 6.27% 12,814 273 4.30%
Total
average
interest-
bearing
liabilities 227,048 3,841 3.41% 195,558 2,278 2.35%
Non-interest
bearing
liabilities:
Demand deposits 61,686 54,965
Other
liabilities 1,486 1,222
Total
liabilities 290,220 251,745
Shareholders'
equity: 22,396 16,845
Total average
liabilities
and
shareholders'
equity $312,616 $268,590
Net interest
income $8,266 $6,179
Yield on
interest-
earning
assets 8.56% 7.10%
Cost of
funding
interest-
earning
assets 2.72% 1.91%
Net interest
margin 5.84% 5.19%
SOURCE Pacific State Bancorp
Source: PR Newswire (July 20, 2006 - 2:35 PM EDT)
SAVB..
Sold my total position in SAVB today.. Price recieved was $37.06... Earnings were down below criteria used to keep SAVB in the portfolio.. SAVB is a great bank and was my largest position.. SAVB in reality has grown from the Small Bank category and has become a much larger bank than I usually follow.. But the reason for the sale was the lack of real growth above the criteria listed in the I-Box... hank
Access National Earnings Per Share up 33%
Access National Corporation (NASDAQ:ANCX), holding company for Access National Bank, reported 2006 second quarter net income of $1.8 million, compared to $1.5 million in 2005, up 20%. Diluted earnings per share for the quarter ending June 30, 2006 were $0.19, up 19% compared to $0.16 per share for the same period of 2005. Diluted earnings per share for the first half of 2006 were $0.36 compared to $0.27 for the same period of 2005, an increase of 33%.
Return on average assets for the trailing 12 month period through June 30, 2006 was 1.29%, up from 1.06% on a year over year basis. Return on average equity for the trailing 12 months through June 30, 2006 was 21.35%, compared to 16.30% in the same period of the prior year.
Second quarter 2006 earnings climbed primarily as a result of continued growth in earning assets. At June 30, 2006 loans held for investment totaled $408 million, up 30% from $314 million at June 30, 2005. Total assets increased 24% to $592 million due mainly to the growth in loans and the investment portfolio. Total deposits increased by 21% to $453 million. The portfolio of investment securities available for sale grew by 54% to $107 million. Mortgage origination volume for the first half of 2006 was $434 million, lower than the $457 million in loans originated in the first half of 2005.
Net interest income for the six months ending June 30, 2006 was $8.0 million, up 19% from $6.8 million earned in the same period of 2005.
The allowance for loan losses totaled $5.4 million as of June 30, 2006 compared to $4.5 million at the period ended June 30, 2005. The allowance for loan losses as a percentage of outstanding loans held for investment at June 30, 2006 was 1.3% compared to 1.4% at June 30, 2005.
A summary of the operating performance and financial condition for the reporting period is attached.
Access National Corporation is the parent company of Access National Bank, an independent, nationally chartered bank. The Bank, established in December 1999, serves the business community in the Washington D.C. Metropolitan area. Its wholly owned subsidiary, Access National Mortgage Corporation, provides residential mortgage loans to Bank clients and consumers in the same area and other select markets. Additional information is available on our website at www.AccessNationalBank.com. The shares of Access National Corporation are traded on the NASDAQ Global Market under the symbol "ANCX".
This press release contains "forward-looking statements" within the meaning of the federal securities laws. These statements may be identified by the use of words such as "may", "could", "expect", "believe", anticipate", "intend", "plan" or variations thereof. These forward-looking statements may contain information related to those matters such as the Company's intent, belief, or expectation with respect to matters such as financial performance. Such statements are necessarily based on assumptions and estimates and are inherently subject to a variety of risks and uncertainties concerning the Company's operations and business environment, which are difficult to predict and beyond control of the company. Such risks and uncertainties could cause the actual results of the Company to differ materially from those matters expressed or implied in such forward-looking statements. For an explanation of certain risks and uncertainties associated with forward looking statements, please refer to the Company's Annual Report on Form 10-K and other SEC filings.
--------------------------------------------------------------------------------
Access National Corporation
Selected Financial Data
(In Thousands, Except for Share Data)
June 30 June 30 Percent
At period end (unaudited) 2006 2005 Change
----------------------------------------------------------------------
Assets $ 591,769 $ 475,440 24%
Loans held for investment 407,587 313,807 30%
Loans held for sale 49,353 69,834 -29%
Investment securities (at fair
value) 107,004 69,401 54%
Earning assets 569,281 455,417 25%
Deposits 453,376 373,728 21%
Shareholders' equity 35,066 28,398 23%
Mortgage loan originations 433,917 457,462 -5%
Averages (TTM)
Average assets 527,782 406,099 30%
Average loans held for investment 360,717 284,690 27%
Average earning assets 507,519 384,530 32%
Average interest bearing
liabilities 411,772 298,918 38%
Average shareholders' equity 31,787 26,399 20%
Net income (YTD) 3,429 2,539 35%
Net income (TTM) 6,787 4,304 58%
Common shares outstanding 8,447,538 7,929,460 7%
Book value per share $ 4.15 $ 3.58 16%
Earnings per share
Basic $ 0.42 $ 0.32 31%
Diluted $ 0.36 $ 0.27 33%
Average outstanding shares
Basic 8,119,548 7,919,334 3%
Diluted 9,597,856 9,367,296 2%
Return on average assets (TTM) 1.29% 1.06% 21%
Return on average equity (TTM) 21.35% 16.30% 31%
Net interest margin (YTD) 2.97% 3.27% -9%
Allowance for loan losses $ 5,394 $ 4,516 19%
Allowance for loan losses/loans held
for investment 1.32% 1.44% -8%
Nonperforming assets - 1,507 -100%
Nonperforming assets/loans held for
investment 0.00% 0.48% -100%
Net charge-offs to average loans
(YTD) 0.00% 0.00% 0%
(TTM - Trailing Twelve Months)
Note 1: Prior periods have been restated to reflect a 2 for 1 stock
split that occurred 12-23-2005
Access National Corporation
Consolidated Balance Sheet
June 30 December 31
----------- -----------
2006 2005
------ ------
(In Thousands) (unaudited)
---------------------------------------------- ----------- -----------
ASSETS
Cash and due from banks $ 12,264 $ 9,854
Interest bearing balances 3,132 13,329
Securities available for sale, at fair
value 107,004 87,771
Loans held for sale 49,353 45,019
Loans held for investment net of allowance
for loan losses of $5,394 and $5,215
respectively 402,193 364,518
Premises, equipment and land 9,557 9,650
Other assets 8,266 6,909
----------- -----------
Total assets $ 591,769 $ 537,050
=========== ===========
LIABILITIES AND SHAREHOLDERS' EQUITY
LIABILITIES
Non-interest bearing deposits $ 82,913 $ 81,034
Savings and interest bearing deposits 128,525 149,094
Time deposits 241,938 189,501
----------- -----------
Total deposits 453,376 419,629
Short-term borrowings 69,430 48,196
Long-term borrowings 19,679 21,786
Subordinated debentures 10,311 10,311
Other liabilities and accrued expenses 3,907 5,943
----------- -----------
Total liabilities 556,703 505,865
----------- -----------
SHAREHOLDERS' EQUITY
Common stock $0.835 par value; 60,000,000
authorized; issued and outstanding,
8,447,538 and 7,956,556 shares
respectively 7,054 6,644
Surplus 9,891 9,099
Retained earnings 19,576 16,227
Accumulated other comprehensive income
(loss) (1,455) (785)
----------- -----------
Total shareholders' equity 35,066 31,185
----------- -----------
----------- -----------
Total liabilities and shareholders'
equity $ 591,769 $ 537,050
=========== ===========
Note 1: Prior periods have been restated to reflect a 2 for 1 stock
split that occurred 12-23-2005
Access National Corporation
Consolidated Statement of Operations
Three Months Six Months Six Months
Ended Ended Ended
(In Thousands Except for Share 06/30/06 06/30/06 06/30/05
Data) (unaudited) (unaudited) (unaudited)
--------------------------------- ------------ ----------- -----------
INTEREST INCOME
Interest and fees on loans $ 7,994 $ 15,489 $ 10,765
Interest on federal funds sold
& bank balances 89 188 119
Interest on securities 1,208 2,259 1,103
------------ ----------- -----------
Total interest income 9,291 17,936 11,987
INTEREST EXPENSE
Interest on deposits 3,726 7,025 3,910
Interest on other borrowings 1,645 2,894 1,326
------------ ----------- -----------
Total interest expense 5,371 9,919 5,236
------------ ----------- -----------
Net interest income 3,920 8,017 6,751
Provision for loan losses 49 173 497
------------ ----------- -----------
Net interest income after
provision for loan losses 3,871 7,844 6,254
NONINTEREST INCOME
Service charges and fees 82 156 97
Gain on sale of loans 4,817 9,932 11,614
Other Income 2,200 3,114 3,589
------------ ----------- -----------
Total noninterest income 7,099 13,202 15,300
NONINTEREST EXPENSE
Salaries and benefits 4,843 9,549 9,776
Occupancy and equipment 463 989 1,094
Other operating expense 2,887 5,271 6,785
------------ ----------- -----------
Total noninterest expense 8,193 15,809 17,655
------------ ----------- -----------
Income before income tax 2,777 5,237 3,899
Income tax expense 971 1,808 1,360
------------ ----------- -----------
NET INCOME $ 1,806 $ 3,429 $ 2,539
============ =========== ===========
Earnings per common share:
Basic $ 0.22 $ 0.42 $ 0.32
============ =========== ===========
Diluted $ 0.19 $ 0.36 $ 0.27
============ =========== ===========
Average outstanding shares:
Basic 8,220,963 8,119,548 7,919,334
Diluted 9,537,473 9,597,856 9,367,296
Note 1: Prior periods have been restated to reflect a 2 for 1 stock
split that occurred 12-23-2005
Access National Corporation
Michael Clarke, 703-871-2100
Source: Business Wire (July 17, 2006 - 4:54 PM EDT)
Crescent Financial Corporation Announces 54% Increase in Comparative Second Quarter Earnings and 28% Increase in Earnings Per Share
CARY, N.C., July 17 /PRNewswire-FirstCall/ -- Crescent Financial Corporation (Nasdaq: CRFN), parent company of Crescent State Bank today announced unaudited net income for the quarter ended June 30, 2006 of $1,003,000 reflecting a 54% increase over net income of $653,000 for the prior year quarter. Diluted earnings per share for the current three-month period was $.17 compared to diluted earnings per share of $.13 for the prior year period reflecting a 28% increase. The percentage increase in earnings per share and the increase in net income were not comparable due to the issuance of 848,000 shares during the fourth quarter of 2005.
The increase in earnings resulted primarily from strong earning asset growth and was aided to a lesser degree by an improved net interest margin. Earning assets, which include loans outstanding, investment securities, and other interest earning assets, increased by over $70 million over the past twelve months. The net interest margin improved to 3.95% for the current three-month period from 3.88% a year ago. Net interest income increased by $892,000 or 27% from $3.3 million for the prior year quarter to $4.2 million in the current quarter of 2006. Non-interest income increased by $36,000 or 6% due primarily to increases in both deposit service charges and other deposit-related customer service fees. Revenue from mortgage loan origination activities for the current quarter increased slightly as compared with the prior year period. Non-interest expenses increased by 19% from $2.6 million to $3.1 million primarily in those areas most impacted by franchise expansion such as personnel, occupancy, advertising and data processing. During the past year, the Company opened one new full-service branch office, moved a branch office into a permanent building, opened a loan production office and took occupancy of a new Operations facility. The provision for loan losses was $164,000 during the current quarter compared with $303,000 for the prior year period.
For the six months ended June 30, 2006, Crescent reported net income of $1,986,000 or $.33 per diluted share compared with $1,294,000 or $0.26 per diluted share for the six months ended June 30, 2005. Net interest income increased by $1.9 million or 30% from $6.4 million for the prior year period to $8.3 million for the current six-month period. The net interest margin for the current six-month period was 4.02% compared to 3.86% for the prior year period. Non-interest income increased by $87,000 or 8%. Non-interest expenses increased by $937,000 or 19%. The provision for loan losses for the current six-month period was $434,000 compared with $507,000 for the prior year period.
Crescent Financial Corporation reported total assets on June 30, 2006 of $471 million reflecting a $78 million or 20% increase over total assets of $393 million on June 30, 2005. Total net loans increased by $63 million or 21% from $297 million a year ago to $360 million at June 30, 2006. Total deposits increased by $47 million or 14% from $323 million to $370 million and total borrowings increased by 39% from $40 million to $56 million. Total stockholders' equity grew by 53% from $28 million to $43 million at June 30, 2006 due in large part to the equity offering in the fourth quarter of 2005.
Mike Carlton, President and CEO, stated, 'We are pleased with the financial results for both the second quarter and year to date. The increase in net income is especially gratifying in light of the additional expenses associated with the franchise expansion. Over the past twelve months, we have expanded the infrastructure substantially in order to position ourselves for continued growth. This past quarter further reflects our strategic commitment as we opened our tenth office. Additionally, we anticipate completing the recently announced merger with Port City Capital Bank of Wilmington, North Carolina in the third quarter. We are confident that our long-term strategic objectives and unwavering commitment to customer service will position us well for continued growth and prosperity.'
Crescent State Bank is a state chartered bank operating ten banking offices in Cary (2), Apex, Clayton, Holly Springs, Southern Pines, Pinehurst, Sanford, Garner and Raleigh, North Carolina. Crescent Financial Corporation stock can be found on the NASDAQ Global Market trading under the symbol CRFN. Investors can access additional corporate information, product descriptions and online services through the Bank's website at www.crescentstatebank.com.
Information in this press release contains 'forward-looking statements.' These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, the risks of changes in interest rates and the effects of competition. Additional factors that could cause actual results to differ materially are discussed in Crescent Financial Corporation's recent filings with the Securities Exchange Commission, including but not limited to its Annual Report on Form 10-K and its other periodic reports.
Crescent Financial Corporation
Consolidated Balance Sheet
(Amounts in thousands except share and per share data)
(Unaudited)
June 30, March 31,
2006 2006
ASSETS
Cash and due from banks $12,263 $10,577
Interest earning deposits with banks 207 571
Federal funds sold 8,738 -
Investment securities available for
sale at fair value 64,397 59,262
Loans 365,174 355,806
Allowance for loan losses (4,772) (4,621)
Net Loans 360,402 351,185
Accrued interest receivable 2,146 1,913
Federal Home Loan Bank stock 3,072 2,712
Bank premises and equipment 5,067 5,008
Investment in life insurance 5,583 5,533
Goodwill 3,600 3,600
Other assets 5,288 4,657
Total Assets $470,763 $445,018
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Deposits
Demand $52,179 $49,879
Savings 33,664 12,110
Money market and NOW 85,342 89,472
Time 198,444 198,103
Total Deposits 369,629 349,564
Short-term borrowings 16,000 10,775
Long-term debt 40,248 40,248
Accrued expenses and other liabilities 1,922 2,025
Total Liabilities 427,799 402,612
STOCKHOLDERS' EQUITY
Common stock 5,798 5,035
Additional paid-in capital 28,829 29,513
Retained earnings 9,693 8,689
Accumulated other comprehensive loss (1,356) (831)
Total Stockholders' Equity 42,964 42,406
Total Liabilities and
Stockholders' Equity $470,763 $445,018
Ending shares outstanding (b) 5,798,240 5,789,917
Book value per share $7.41 $7.32
December 31, September 30, June 30,
2005(a) 2005 2005
ASSETS
Cash and due from banks $9,403 $12,176 $8,652
Interest earning deposits with banks 69 593 616
Federal funds sold - - 14,753
Investment securities available for
sale at fair value 55,550 53,155 52,251
Loans 328,322 322,192 301,111
Allowance for loan losses (4,351) (4,293) (4,066)
Net Loans 323,971 317,899 297,045
Accrued interest receivable 1,768 1,561 1,403
Federal Home Loan Bank stock 2,133 2,957 2,102
Bank premises and equipment 4,844 3,936 3,622
Investment in life insurance 5,483 5,434 5,384
Goodwill 3,600 3,600 3,600
Other assets 3,967 3,715 3,426
Total Assets $410,788 $405,026 $392,854
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
Deposits
Demand $46,830 $52,921 $50,322
Savings 9,365 7,072 3,673
Money market and NOW 87,695 82,636 94,930
Time 178,191 170,120 173,945
Total Deposits 322,081 312,749 322,870
Short-term borrowings 14,964 31,314 2,213
Long-term debt 30,248 30,248 38,248
Accrued expenses and other liabilities 2,038 1,537 1,381
Total Liabilities 369,331 375,848 364,712
STOCKHOLDERS' EQUITY
Common stock 5,026 4,170 4,120
Additional paid-in capital 29,406 18,574 18,219
Retained earnings 7,707 6,702 5,857
Accumulated other comprehensive loss (682) (268) (54)
Total Stockholders' Equity 41,457 29,178 28,142
Total Liabilities and Stockholders'
Equity $410,788 $405,026 $392,854
Ending shares outstanding (b) 5,780,353 4,796,068 4,738,450
Book value per share $7.17 $6.08 $5.94
Crescent Financial Corporation
Consolidated Income Statements
(Amounts in thousands except share and per share data)
(Unaudited)
For the three-month period ended
June 30, March 31,
2006 2006
INTEREST INCOME
Loans $7,019 $6,433
Investment securities available for sale 724 663
Fed funds sold and other interest 51 5
Total Interest Income 7,794 7,101
INTEREST EXPENSE
Deposits 2,831 2,391
Short-term borrowings 213 233
Long-term debt 534 403
Total Interest Expense 3,578 3,027
Net Interest Income 4,216 4,074
Provision for loan losses 164 270
Net interest income after
provision for loan losses 4,052 3,804
Non-interest income
Mortgage loan origination income 165 145
Service charges and fees on deposit
accounts 308 318
Realized gain/loss on sale of securities - -
Other 146 133
Total non-interest income 619 596
Non-interest expense
Salaries and employee benefits 1,670 1,569
Occupancy and equipment 489 469
Data processing 186 183
Other 759 650
Total non-interest expense 3,104 2,871
Income before income taxes 1,567 1,529
Income taxes 564 547
Net income $1,003 $982
NET INCOME PER COMMON SHARE (b)
Basic $0.17 $0.17
Diluted $0.17 $0.16
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING (b)
Basic 5,793,021 5,786,227
Diluted 6,025,727 6,010,819
Return on average assets 0.88% 0.93%
Return on average equity 9.33% 9.91%
Net interest margin 3.95% 4.09%
Allowance for loan losses to avg loans 1.31% 1.30%
Nonperforming loans to total loans 0.07% 0.01%
Nonperforming assets to total assets 0.06% 0.01%
For the three-month period ended
December 31, September 30, June 30,
2005 2005 2005
INTEREST INCOME
Loans $5,989 $5,466 $4,814
Investment securities available for sale 612 576 566
Fed funds sold and other interest 8 17 14
Total Interest Income 6,609 6,059 5,394
INTEREST EXPENSE
Deposits 2,077 1,841 1,619
Short-term borrowings 211 201 45
Long-term debt 383 369 405
Total Interest Expense 2,671 2,411 2,069
Net Interest Income 3,938 3,648 3,325
Provision for loan losses 60 240 303
Net interest income after
provision for loan losses 3,878 3,408 3,022
Non-interest income
Mortgage loan origination income 186 237 159
Service charges and fees on deposit
accounts 297 269 242
Realized gain/loss on sale of securities - (17) 1
Other 192 125 181
Total non-interest income 675 614 583
Non-interest expense
Salaries and employee benefits 1,723 1,509 1,369
Occupancy and equipment 454 443 440
Data processing 170 162 162
Other 659 604 643
Total non-interest expense 3,006 2,718 2,614
Income before income taxes 1,547 1,304 991
Income taxes 542 459 338
Net income $1,005 $845 $653
NET INCOME PER COMMON SHARE (b)
Basic $0.19 $0.18 $0.14
Diluted $0.18 $0.17 $0.13
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING (b)
Basic 5,421,741 4,763,822 4,732,274
Diluted 5,656,219 5,042,051 5,024,364
Return on average assets 0.98% 0.86% 0.72%
Return on average equity 10.63% 11.62% 9.42%
Net interest margin 4.09% 3.93% 3.88%
Allowance for loan losses to avg loans 1.33% 1.33% 1.35%
Nonperforming loans to total loans 0.01% 0.07% 0.07%
Nonperforming assets to total assets 0.01% 0.05% 0.05%
(a) Derived from audited consolidated financial statements.
(b) Adjusted, where applicable, for the stock split effected as a 15%
stock dividend paid on May 31, 2006 to stockholders of record on May
18, 2006.
SOURCE Crescent Financial Corporation
Source: PR Newswire (July 17, 2006 - 5:17 PM EDT)
Intervest Bancshares Corporation Reports 2006 Second Quarter Earnings of $6.4 Million
Intervest Bancshares Corporation (NASDAQ: IBCA) (the "Company") today reported that its consolidated net earnings for the second quarter of 2006 increased by $1.9 million, or 42%, to $6.4 million, or $0.77 per diluted share, from $4.5 million, or $0.67 per diluted share, in the second quarter of 2005. For the first half of 2006, consolidated net earnings increased by $5.0 million, or 64%, to $12.8 million or $1.54 per diluted share, from $7.8 million or $1.15 per diluted share reported in the first half of 2005. The earnings per share calculations for the 2006 periods included a greater number of outstanding shares resulting primarily from a public offering of 1.4 million shares of Class A common stock in the third quarter of 2005.
The Company's efficiency ratio, which is a measure of its ability to control expenses as a percentage of its revenues, improved to 19% in the second quarter of 2006, from 25% in the second quarter of 2005. The Company was recognized as the most efficient bank holding company in 2005 among the 500 largest bank holding companies in the nation according to an article that appeared in the June 22, 2006 issue of American Banker. The Company's return on average assets and equity was 1.42% and 17.66%, respectively, in the 2006 second quarter, compared to 1.26% and 19.01% in the 2005 second quarter, and its book value per common share rose to $19.04 at June 30, 2006, from $17.41 at December 31, 2005.
The $1.9 million increase in 2006 second quarter earnings over the same period of 2005 reflected the continued growth in the Company's lending activities and an improved net interest margin. Net interest and dividend income, the Company's primary source of revenues, grew by 42% or $3.9 million, reflecting a $295 million increase in average loans outstanding and an increase in the net interest margin to 2.94% from 2.59%. The higher margin was due to the Company's yield on interest-earning assets increasing at a faster pace than its cost of funds as well as an increase of $56 million in its net interest-earning assets resulting largely from $26.3 million of proceeds from the issuance of common stock as noted above and increased retained earnings. The growth in net interest and dividend income was partially offset primarily by a $1.5 million increase in income tax expense due to higher pretax income and a $0.4 million decrease in noninterest income due to a lower level of income from loan prepayments. Noninterest expenses remained unchanged as additional payroll costs and other operating expenses associated with the Company's growth in staff and total assets were largely offset by a decrease in executive bonuses and a nonrecurring Nasdaq National Market entry fee paid in the 2005 period. The Company had 76 employees at June 30, 2006, compared to 68 at June 30, 2005, and its effective income tax rate was approximately 44% for both periods.
The $5.0 million increase in 2006 first-half earnings over the same period of 2005 was due to an $8.1 million increase in net interest and dividend income, a $0.8 million increase in noninterest income and a $0.5 million decrease in the provision for loan losses, partially offset by increases in income tax expense of $4.0 million and noninterest expenses of $0.4 million. The increases in net interest and dividend income and income tax expense were due to the same factors noted above. Noninterest income increased primarily due to a higher level of income from loan prepayments, while the provision for loan losses was lower due to a decrease in the rate of net loan growth over the prior year period. Noninterest expenses were higher primarily due to increases in payroll costs and other operating expenses associated with the Company's growth in staff and total assets, partially offset by a decrease in executive bonuses and a nonrecurring Nasdaq National Market entry fee paid in the 2005 period.
Total consolidated assets at June 30, 2006 increased by 5% to $1.79 billion from $1.71 billion at December 31, 2005. The increase reflected the growth in the Company's loan portfolio and a higher level of security investments, partially offset by a decrease in other short-term investments.
Total consolidated loans, net of unearned fees, at June 30, 2006 increased by 5% to $1.44 billion from $1.37 billion at December 31, 2005. The increase was due to new mortgage loan originations secured by commercial and multifamily real estate exceeding principal repayments. New loan originations totaled $147 million in the second quarter of 2006 and $290 million in the first half of 2006, compared to $173 million and $325 million, respectively, for the same periods of 2005.
Total consolidated security investments at June 30, 2006 increased 19% to $306.6 million from $256.7 million at December 31, 2005. The investment portfolio at June 30, 2006, all of which was held by Intervest National Bank, had a weighted-average remaining maturity of 1.3 years and a yield of 4.12%, compared to 1.1 years and a yield of 3.26% at December 31, 2005. Intervest National Bank invests in short-term U.S. government agency debt obligations to emphasize liquidity and currently targets its loan-to-deposit ratio at approximately 85%.
Total consolidated cash and other short-term investments at June 30, 2006 decreased by 66% to $19.5 million from $56.7 million at December 31, 2005. The decrease reflected the investment of funds into loans and securities.
Total consolidated deposits at June 30, 2006 increased by 5% to $1.45 billion from $1.38 billion at December 31, 2005, reflecting an increase in certificate of deposit accounts of $72.2 million and a net increase in checking, savings and money market accounts totaling $3.4 million.
Total consolidated borrowed funds and related interest payable at June 30, 2006 decreased by 4% to $149.5 million from $155.7 million at December 31, 2005. The decrease was primarily due to $4.8 million of principal repayments of debentures and a $1.2 million decrease in accrued debenture interest payable.
Total consolidated stockholders' equity at June 30, 2006 increased by 10% to $149.4 million from $136.2 million at December 31, 2005. The increase reflected net earnings of $12.8 million and $0.4 million from the conversion of convertible debentures into common stock.
Intervest Bancshares Corporation is a financial holding company. Its operating subsidiaries are: Intervest National Bank, a nationally chartered commercial bank, that has its headquarters and full-service banking office at One Rockefeller Plaza, in New York City, and a total of five full-service banking offices in Clearwater and Gulfport, Florida; Intervest Mortgage Corporation, a mortgage investment company; and Intervest Securities Corporation, a broker/dealer and an NASD member firm.
Additionally, Intervest National Bank has received regulatory permission to open an additional branch office at 483 Mandalay Avenue in Clearwater Beach, Florida. The Bank expects to complete renovations and open the office by August 1, 2006. Intervest National Bank maintains capital ratios in excess of the regulatory requirements to be designated as a well-capitalized institution. Intervest Bancshares Corporation's Class A Common Stock is listed on the NASDAQ National Market: Trading Symbol IBCA.
This press release may contain forward-looking information. Except for historical information, the matters discussed herein are subject to certain risks and uncertainties that may affect the Company's actual results of operations. The following important factors, among others, could cause actual results to differ materially from those set forth in forward looking statements: changes in general economic conditions in the Company's market areas; changes in policies by regulatory agencies; fluctuations in interest rates; demand for loans; and competition. Reference is made to the Company's filings with the SEC for further discussion of risks and uncertainties regarding the Company's business. Historical results are not necessarily indicative of the future prospects of the Company.
Selected Consolidated Financial Information Follows.
--------------------------------------------------------------------------------
INTERVEST BANCSHARES CORPORATION
Selected Consolidated Financial Information
(Dollars in thousands, except Quarter Ended Six-Months Ended
per share amounts) June 30, June 30,
-------------------- -------------------
2006 2005 2006 2005
---------------------------------------- --------- --------- ---------
Selected Operating Data:
Interest and dividend income $31,737 $22,696 $61,803 $43,264
Interest expense 18,647 13,500 36,227 25,783
---------- --------- --------- ---------
Net interest and dividend
income 13,090 9,196 25,576 17,481
Provision for loan losses 589 452 950 1,485
---------- --------- --------- ---------
Net interest and dividend
income after provision for
loan losses 12,501 8,744 24,626 15,996
Noninterest income 1,612 2,009 3,694 2,887
Noninterest expenses 2,732 2,749 5,528 5,123
---------- --------- --------- ---------
Earnings before income taxes 11,381 8,004 22,792 13,760
Provision for income taxes 4,973 3,481 9,964 5,989
---------- --------- --------- ---------
Net earnings $ 6,408 $ 4,523 $12,828 $ 7,771
========== ========= ========= =========
Basic earnings per share $ 0.82 $ 0.72 $ 1.64 $ 1.24
Diluted earnings per share $ 0.77 $ 0.67 $ 1.54 $ 1.15
Adjusted net earnings for
diluted earnings per
share (1) $ 6,445 $ 4,578 $12,905 $ 7,881
Weighted-average common shares
and common equivalent shares
outstanding for computing:
Basic earnings per share 7,842,288 6,275,954 7,834,063 6,274,904
Diluted earnings per
share (2) 8,372,967 6,870,292 8,361,417 6,870,803
Common shares outstanding at
end of period 7,848,905 6,279,501 7,848,905 6,279,501
Common stock warrants
outstanding at end of period 696,465 696,465 696,465 696,465
Yield on interest-earning
assets 7.14% 6.39% 7.09% 6.26%
Cost of funds 4.65% 4.15% 4.60% 4.07%
Net interest margin 2.94% 2.59% 2.93% 2.53%
Return on average assets (3) 1.42% 1.26% 1.45% 1.10%
Return on average equity (3) 17.66% 19.01% 18.09% 16.68%
Effective income tax rate 43.70% 43.49% 43.72% 43.52%
Efficiency ratio (4) 19% 25% 19% 25%
----------------------------------------------------------------------
-------------------------------------------------------------------- -
At At At At At
Jun 30, Mar 31, Dec 31, Sep 30, Jun 30,
-------------------------------------------------------
Selected 2006 2006 2005 2005 2005
Financial
Condition
Information:
----------------------------------------------------------------------
Total assets $1,791,672 $1,790,524 $1,706,423 $1,630,845 $1,511,604
Total cash and
short-term
investments $ 19,540 $ 27,831 $ 56,716 $ 43,023 $ 75,197
Total
securities
held to
maturity $ 300,779 $ 327,974 $ 251,508 $ 237,724 $ 231,630
Total FRB and
FHLB stock $ 5,813 $ 6,299 $ 5,241 $ 6,118 $ 5,983
Total loans,
net of
unearned fees $1,439,436 $1,402,008 $1,367,986 $1,319,155 $1,174,107
Total deposits $1,450,955 $1,429,681 $1,375,330 $1,302,309 $1,217,506
Total borrowed
funds and
accrued
interest
payable $ 149,528 $ 178,480 $ 155,725 $ 160,491 $ 163,021
Total
stockholders'
equity $ 149,413 $ 142,828 $ 136,178 $ 129,207 $ 97,975
Total allowance
for loan
losses $ 16,131 $ 15,542 $ 15,181 $ 14,394 $ 12,591
Total loans
ninety days
past due and
still
accruing $ 1,332 $ 1,505 $ 2,649 $ 2,672 $ 2,672
Total
nonperforming
loans $ 3,076 $ 1,725 $ 750 $ 750 $ 750
Total loan
chargeoffs $ - $ - $ - $ - $ -
Book value per
common share $ 19.04 $ 18.22 $ 17.41 $ 16.69 $ 15.60
Allowance for
loan losses/
net loans 1.12% 1.11% 1.11% 1.09% 1.07%
----------------------------------------------------------------------
(1) Represents net earnings plus interest expense on dilutive
convertible debentures, net of taxes, that would not occur if the
convertible debentures were assumed to be converted for purposes
of computing diluted earnings per share.
(2) Diluted EPS includes shares that would be outstanding if dilutive
common stock warrants and convertible debentures were assumed to
be exercised/converted during the period. All outstanding warrants
were considered for the EPS computations.
Convertible debentures (principal and accrued interest)
outstanding at June 30, 2006 and 2005 totaling $3,181,000 and
$4,826,000, respectively, were convertible into common stock at a
price of $16.00 per share in 2006 and $14.00 per share in 2005.
Assumed conversion results in additional common shares (based on
average balances outstanding) of approximately 205,000 in the 2006
EPS computations and 344,000 in the 2005 EPS computations.
(3) Returns for the quarterly and six-month periods have been
annualized.
(4) Represents noninterest expenses (excluding the provision for loan
losses) as a percentage of net interest and dividend income plus
noninterest income.
--------------------------------------------------------------------------------
INTERVEST BANCSHARES CORPORATION
Consolidated Financial Highlights
At or For The Period Ended
-----------------------------------------------------
($ in thousands, Six-Months Year Year Year Year
except per Ended Ended Ended Ended Ended
share amounts) June 30, Dec 31, Dec 31, Dec 31, Dec 31,
2006 2005 2004 2003 2002
----------------------------------------------------------------------
Balance Sheet
Highlights:
Total assets $1,791,672 $1,706,423 $1,316,751 $911,523 $686,443
Asset growth rate 5% 30% 44% 33% 34%
Total loans, net
of unearned
fees $1,439,436 $1,367,986 $1,015,396 $671,125 $489,912
Loan growth rate 5% 35% 51% 37% 33%
Total deposits $1,450,955 $1,375,330 $ 993,872 $675,513 $505,958
Deposit growth
rate 5% 38% 47% 34% 40%
Loans/deposits
(Intervest
National Bank) 88% 88% 86% 79% 76%
Borrowed funds and
accrued interest
payable $ 149,528 $ 155,725 $ 202,682 $140,383 $114,032
Stockholders'
equity $ 149,413 $ 136,178 $ 90,094 $ 75,385 $ 53,126
Common shares
outstanding (1) 7,848,905 7,823,058 6,271,433 5,988,377 4,703,087
Common book value
per share $ 19.04 $ 17.41 $ 14.37 $ 12.59 $ 11.30
Market price per
common share $ 40.50 $ 24.04 $ 19.74 $ 14.65 $ 10.80
----------------------------------------------------------------------
Asset Quality
Highlights
Nonperforming loans $ 3,076 $ 750 $ 4,607 $ 8,474 $ -
Allowance for loan
losses $16,131 $15,181 $11,106 $ 6,580 $ 4,611
Loans ninety days
past due and still
accruing $ 1,332 $ 2,649 $ - $ - $ -
Loan recoveries (2) $ - $ - $ - $ - $ 107
Loan chargeoffs (3) $ - $ - $ - $ - $ 150
Foreclosed real
estate $ - $ - $ - $ - $ 1,081
Allowance for loan
losses / net loans 1.12% 1.11% 1.09% 0.98% 0.94%
----------------------------------------------------------------------
Statement of Operations
Highlights:
Interest and
dividend income $61,803 $97,881 $66,549 $50,464 $43,479
Interest expense 36,227 57,447 38,683 28,564 26,325
---------------------------------------------------
Net interest and
dividend income 25,576 40,434 27,866 21,900 17,154
Provision for loan
losses 950 4,075 4,526 1,969 1,274
Noninterest income 3,694 6,594 5,140 3,321 2,218
Noninterest
expenses 5,528 10,703 8,251 7,259 6,479
---------------------------------------------------
Earnings before
income taxes 22,792 32,250 20,229 15,993 11,619
Provision for
income taxes 9,964 14,066 8,776 6,873 4,713
-----------------------------------------------------
Net earnings $12,828 $18,184 $11,453 $ 9,120 $ 6,906
-----------------------------------------------------
Basic earnings per
share $ 1.64 $ 2.65 $ 1.89 $ 1.85 $ 1.71
Diluted earnings
per share $ 1.54 $ 2.47 $ 1.71 $ 1.53 $ 1.37
Adjusted net
earnings used to
calculate diluted
earnings per share $12,905 $18,399 $11,707 $ 9,572 $ 7,342
Average common
shares used to
calculate:
Basic earnings
per share 7,834,063 6,861,887 6,068,755 4,938,995 4,043,619
Diluted
earnings per
share 8,361,417 7,449,658 6,826,176 6,257,720 5,348,121
Net interest margin 2.93% 2.70% 2.52% 2.90% 2.88%
Return on average
assets 1.45% 1.20% 1.02% 1.19% 1.13%
Return on average
equity 18.09% 16.91% 14.14% 15.34% 15.56%
Effective income
tax rate 43.72% 43.62% 43.38% 42.98% 40.56%
Efficiency
ratio (4) 19% 23% 25% 29% 33%
Full-service
banking offices 6 6 6 6 6
----------------------------------------------------------------------
(1) The increase of 25,847 shares in 2006 from 2005 was from the
conversion of convertible debentures into Class A common stock.
The increase in shares in 2005 from 2004 was due to 1,436,468 from
a public offering of Class A common stock and 115,157 from the
conversion of convertible debentures into Class A common stock.
The increase in 2004 from 2003 was due to 42,510 from the exercise
of Class A common stock warrants and 240,546 from the conversion
of convertible debentures. The increase in 2003 from 2002 was due
to the following: 945,717 from the exercise of Class A common
stock warrants; 309,573 from the conversion of convertible
debentures; and 30,000 from newly issued Class B common stock in
connection with the acquisition of Intervest Securities
Corporation.
(2) The amount for 2002 represents proceeds received from the sale of
collateral from a loan that was charged off prior to 1997.
(3) The amount for 2002 represents a chargeoff taken in connection
with the transfer of a nonperforming loan to foreclosed real
estate.
(4) Noninterest expenses (excluding the provision for loan losses) as
a percentage of net interest and dividend income plus noninterest
income.
Intervest Bancshares Corporation, New York
Jerome Dansker, 212-218-2800
Fax: 212-218-2808
Source: Business Wire (July 18, 2006 - 9:53 AM EDT)
Virginia Commerce Bancorp, Inc. Reports Record Second Quarter and Year-to-Date Earnings and Continued Strong Loan Growth
Virginia Commerce Bancorp, Inc. (Nasdaq:VCBI), parent company of Virginia Commerce Bank (the "Bank"), today reported its financial results for the second quarter and six months ended June 30, 2006.
Second Quarter 2006 Highlights:
-- Net income of $6.3 million representing a 40.7% increase over second quarter 2005
-- Diluted earnings per share up 40.0% to $0.28
-- Loans up 31.6% since June 30, 2005, and 14.3% year-to-date
-- Efficiency ratio improves further to 44.5%
Peter A. Converse, Chief Executive Officer, commented, "We're both proud and pleased to report robust earnings, strong loan growth and an improved efficiency ratio in our increasingly competitive market. The effect of this market pressure on our short-term deposit rates resulted in an 8 basis point decrease in the second quarter net interest margin to 4.19%, from 4.27% in the first quarter. Considering the significant gain in CD deposits in the first quarter through Washington Post promotional ads, we backed off from the market leading promotions in the second quarter to relieve some of the margin compression. As anticipated, deposit growth slowed considerably in the second quarter, despite a 22% increase quarter-over-quarter in money market accounts. Nonetheless, deposits and repurchase agreements, which are overnight deposit sweeps, increased a combined 22.2% for the first six months as compared to the prior year."
Converse added, "With our promising loan pipeline and the prospect of adding more loan officers in the third quarter, loan volume is expected to remain strong. We will continue to maintain prudent underwriting standards that result in our peer-leading asset quality metrics. While all customer contact officers are focused on generating low-cost deposits, we will not hesitate to meet the competition head-on with more CD promotions in the third quarter and beyond to fund our loan growth. We accept that this will put more pressure on our net interest margin in the near-term, but feel it is a valid longer term strategy to maintain our growth momentum. We also feel that funding loans with higher rate deposits at least provides cross-selling opportunities that Federal Home Loan Bank advances don't afford. Our continued branching into new and in-fill markets also will enhance our deposit gathering efforts."
Converse concluded, "We remain confident that we are up to the challenge of maintaining our high level of performance going forward."
DETAILED REVIEW OF FINANCIAL PERFORMANCE
Net Income
Second quarter earnings of $6.3 million represented an increase of 40.7% over 2005 second quarter earnings of $4.5 million. On a diluted per share basis, second quarter 2006 earnings were $0.28 compared to $0.20 for the second quarter of 2005, an increase of 40.0%. For the six months ended June 30, 2006, earnings of $12.0 million represents a 36.5% increase over the $8.8 million earned for the same period in 2005, with diluted earnings per share of $0.53 increasing 35.9%. The increases in net income for both the quarter and year-to-date were due to a 27.9% and 27.5% increase in net interest income and a 12.4% and 24.8% increase in non-interest income, while non-interest expense climbed only 16.1% and 21.0%.
Net Interest Income
Net interest income for the second quarter of $17.3 million was up 27.9% compared with $13.6 million for the same quarter last year due to strong loan growth, as the net interest margin decreased eleven basis points from 4.30% in the second quarter of 2005 to 4.19% for the current three-month period. Year-to-date net interest income of $33.5 million was up 27.5%, compared to $26.3 million in 2005, again due to strong loan growth as the net interest margin for the six-month period declined from 4.35% in 2005, to 4.23%. Compared to the first quarter of 2006, the net interest margin is down eight points from 4.27% to 4.19%. These declines in the margin are the result of significantly higher short-term interest rates, particularly in money market and time deposits, driven by an industry-wide liability mix shift and a continuation of strong competition for deposits in the local market. Management expects continued margin pressure for the remainder of 2006, with current third quarter expectations remaining above 4.00% and possibly lower results in the fourth quarter.
Non-Interest Income and Non-Interest Expense
Non-interest income of $1.7 million in the second quarter was up 12.4%, from the $1.5 million for the same period in 2005 and was up $684 thousand, or 24.8%, on a year-to-date basis due primarily to higher levels of deposit account service charges. On a year-to-date basis, fees and net gains on loans held-for-sale were mostly unchanged from the first half of 2005, while they were down $151 thousand as compared to the second quarter of 2005. Compared to the first quarter of 2006, non-interest income was generally unchanged.
Non-interest expense increased $1.2 million, or 16.7%, from $7.3 million in the second quarter of 2005, to $8.5 million, and was up $2.9 million, or 21.0%, from $13.8 million for the six months ended June 30, 2005, to $16.7 million year-to-date. Compared to the first quarter of 2006, non-interest expense is up $290 thousand, or 3.5%. The year-over-year increases were due to the opening of the Bank's eighteenth and nineteenth branch locations in June 2005 and January 2006, the hiring of additional loan and business development officers and other staffing and facilities expansion to support the significant levels of loan and deposit growth. Despite these non-interest expense increases, strong earnings growth allowed the efficiency ratio to improve to 44.5% for the second quarter. Operating expense may be higher in the second half of the year with the anticipated hiring of additional loan officers, the opening of the Bank's twentieth branch in August 2006, and up to two more branches expected to be opened by year-end.
Loans
Over the past year, loans, net of allowance for loan losses, increased $348.8 million, or 31.6%, from $1.1 billion at June 30, 2005, to $1.5 billion at June 30, 2006. Growth generally occurred in all categories, with the majority of loan growth occurring in non-farm, non-residential real estate loans and real estate construction loans. Since December 31, 2005, loans are up $181.6 million, or 14.3%, and are up $83.2 million, or 6.1% since March 31, 2006. Based on the current pipeline, management expects continued strong loan growth.
Deposits and Borrowings
Since June 30, 2005, deposits have increased $206.3 million, or 16.9%, from $1.2 billion to $1.4 billion with savings and interest-bearing demand deposits increasing by $67.9 million, and time deposits growing by $144.7 million. Of the total $67.9 million in savings and interest-bearing demand deposit growth, money markets increased $104.1 million while now and savings accounts fell by $32.5 and $3.7 million respectively. Year-to-date deposits are up $184.9 million, or 14.9%, with demand deposits having increased $17.2 million, savings and interest-bearing demand deposits increasing $48.4 million, and time deposits growing by $119.2 million. On a linked quarter basis, deposits increased $36.4 million, with the majority of the growth in demand and money market accounts as time deposits rose only $11.9 million during the period. The growth in time deposits in 2006 was mostly concentrated in first quarter due to special advertised rates on certificates of deposits ranging from six months to thirteen months in order to help fund strong loan demand.
Repurchase agreements, which represent sweep funds of significant commercial demand deposit customers of the Bank, increased $76.3 million, or 258.9% from $48.0 million at June 30, 2005, to $124.2 million at June 30, 2006, and increased $9.3 million from $114.9 million at March 31, 2006.
Trust Preferred Securities
On December 20, 2005, the Company completed the private placement of an aggregate of $25 million of trust preferred securities through VCBI Capital Trust III, a newly formed trust subsidiary organized under Delaware law. The securities mature on February 23, 2036, and are redeemable at par, at the Company's option, at any time on or after February 23, 2011, subject to regulatory approval. The securities are redeemable prior to February 23, 2011, at a premium ranging up to 104% of the principal amount thereof, upon the occurrence of certain regulatory or legal events. The securities bear interest on a quarterly basis, at a 6.19% fixed rate until February 23, 2011, at which time the interest rate becomes a variable rate, adjusted quarterly, equal to 142 basis points over three-month LIBOR. The proceeds from this issuance were used to supplement the Company's capital for continued growth and other general corporate purposes.
Asset Quality
Asset quality remains strong with non-performing assets and past due loans declining from $3.8 million, or 0.28% of total assets, at June 30, 2005, to $2.6 million, or 0.15%, as of June 30, 2006, and falling $637 thousand from $3.2 million, or 0.19%, at March 31, 2006. With improved asset quality and despite overall strong loan growth, the provision for loan losses was $955 thousand for the second quarter of 2006 compared to $1.0 million in 2005, and as compared to $1.0 million in the first quarter of 2006. Year-to-date net charge-offs were $80 thousand compared to a net recovery of $2 thousand for the same period in 2005.
Stockholders' Equity
Stockholders' equity is up $24.2 million, or 24.0%, from $100.9 million at June 30, 2005, to $125.0 million at June 30, 2006, due to earnings growth and $2.8 million in net proceeds from the exercise of options and warrants by company directors, officers and employees. On May 12, 2006, a three-for-two split in the form of a 50% stock dividend was paid, increasing the number of shares outstanding by 7.1 million to 21.5 million as of quarter-end.
CONFERENCE CALL
Virginia Commerce Bancorp will host a teleconference call for the financial community on July 18, 2006, at 11:00 a.m. Eastern Daylight Time to discuss the second quarter 2006 financial results. The public is invited to listen to this conference call by dialing 866-219-5260 at least 10 minutes prior to the call.
A replay of the conference call will be available from 2:00 p.m. Eastern Daylight Time on July 18, 2006, until 11:59 p.m. Eastern Daylight Time on July 25, 2006. The public is invited to listen to this conference call replay by dialing 888-266-2081 and entering passcode 929831.
ABOUT VIRGINIA COMMERCE BANCORP
Virginia Commerce Bancorp, Inc. is the parent bank holding company for Virginia Commerce Bank (the "Bank"), a Virginia state chartered bank that commenced operations in May 1988. The Bank pursues a traditional community banking strategy, offering a full range of business and consumer banking services through nineteen branch offices, two residential mortgage offices and one investment services office, principally to individuals and small to medium-size businesses in Northern Virginia and the Metropolitan Washington, D.C. area.
NON-GAAP PRESENTATIONS
This press release refers to the efficiency ratio, which is computed by dividing non-interest expense by the sum of net interest income on a tax equivalent basis and non-interest income. This is a non-GAAP financial measure that we believe provides investors with important information regarding our operational efficiency. Comparison of our efficiency ratio with those of other companies may not be possible because other companies may calculate the efficiency ratio differently. The Company, in referring to its net income, is referring to income under accounting principals generally accepted in the United States, or "GAAP".
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements within the meaning of the Securities and Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as "may," "will," "anticipates," "believes," "expects," "plans," "estimates," "potential," "continue," "should," and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company's market, interest rates and interest rate policy, competitive factors, and other conditions which by their nature, are not susceptible to accurate forecast, and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company's past results are not necessarily indicative of future performance.
--------------------------------------------------------------------------------
Virginia Commerce Bancorp, Inc.
Financial Highlights
(Dollars in thousands, except per share data)
(Unaudited)
Three Months Ended June 30,
2006 2005 % Change
---------------------------------
Summary Operating Results:
Interest and dividend income $30,594 $20,422 49.8%
Interest expense 13,246 6,856 93.2%
Net interest and dividend
income 17,348 13,566 27.9%
Provision for loan losses 955 1,031 -7.4%
Non-interest income 1,735 1,543 12.4%
Non-interest expense 8,484 7,271 16.7%
Income before income taxes 9,644 6,807 41.7%
Net income $6,278 $4,463 40.7%
Performance Ratios:
Return on average assets 1.47% 1.37%
Return on average equity 20.64% 18.21%
Net interest margin 4.19% 4.30%
Efficiency ratio (1) 44.46% 48.06%
Per Share Data: (2)
Net income-basic $0.29 $0.21 38.1%
Net income-diluted $0.28 $0.20 40.0%
Average number of shares
outstanding:
Basic 21,460,389 20,993,865
Diluted 22,768,877 22,433,778
Six Months Ended June 30,
2006 2005 % Change
---------------------------------
Summary Operating Results:
Interest and dividend income $57,835 $38,722 49.4%
Interest expense 24,335 12,443 95.6%
Net interest and dividend
income 33,500 26,279 27.5%
Provision for loan losses 1,960 1,862 5.3%
Non-interest income 3,446 2,762 24.8%
Non-interest expense 16,678 13,785 21.0%
Income before income taxes 18,308 13,394 36.7%
Net income $11,992 $8,784 36.5%
Performance Ratios:
Return on average assets 1.47% 1.41%
Return on average equity 20.40% 18.43%
Net interest margin 4.23% 4.35%
Efficiency ratio (1) 45.14% 47.41%
Per Share Data: (2)
Net income-basic $0.56 $0.42 33.3%
Net income-diluted $0.53 $0.39 35.9%
Average number of shares
outstanding:
Basic 21,361,637 20,984,744
Diluted 22,684,088 22,422,429
As of June 30,
---------------------------------
2006 2005 % Change
---------------------------------
Selected Balance Sheet Data:
Loans, net $1,451,864 $1,103,020 31.6%
Investment securities 204,793 155,386 31.8%
Assets 1,728,666 1,394,030 24.0%
Deposits 1,428,393 1,222,068 16.9%
Stockholders' equity 125,073 100,879 24.0%
Book value per share (2) $5.82 $4.80 21.3%
Capital Ratios (% of risk weighted
assets):
Tier 1 capital:
Company 10.84% 9.97%
Bank 7.91% 8.32%
Total qualifying capital:
Company 11.91% 10.99%
Bank 11.67% 10.84%
Asset Quality
Non-performing assets:
Impaired loans $1,910 $2,815 -32.1%
Non-accrual loans 562 16 3,412.5%
Loans 90+ days past due and
still accruing 136 1,003 -86.4%
----------- ----------- ---------
Total non-performing assets
and past due loans $2,608 $3,834 -32.0%
to total loans: 0.18% 0.34%
to total assets: 0.15% 0.28%
Allowance for loan losses to
total loans 1.07% 1.09%
Net charge-offs (recoveries) $80 ($2)
Net charge-offs to average loans
outstanding 0.01% 0.00%
As of June 30,
---------------------------------
2006 2005 % Change
---------------------------------
Loan Portfolio:
Commercial $148,828 $105,654 40.9%
Real estate-one to four family
residential 167,950 139,814 20.1%
Real estate-multifamily
residential 53,703 57,033 -5.8%
Real estate-nonfarm,
nonresidential 640,762 509,930 25.7%
Real estate-construction 453,712 301,303 50.6%
Consumer 7,659 6,708 14.2%
----------- ----------- ---------
Total loans $1,472,614 $1,120,442 31.4%
Less unearned income 5,049 5,156 -2.1%
Less allowance for loan losses 15,701 12,266 28.0%
----------- ----------- ---------
Loans, net $1,451,864 $1,103,020 31.6%
Investment Securities (at book
value):
Available-for-sale:
U.S. Government Agency
obligations $145,904 $98,318 48.4%
Domestic corporate debt
obligations 6,048 6,035 0.2%
Obligations of states and
political subdivisions 1,351 1,363 -0.9%
Restricted stock:
Federal Reserve Bank 1,442 1,442 --
Federal Home Loan Bank 3,034 2,277 33.2%
Community Bankers' Bank 55 55 --
----------- ----------- ---------
$157,834 $109,490 44.2%
Held-to-maturity:
U.S. Government Agency
obligations $37,994 $36,965 2.8%
Obligations of states and
political subdivisions 8,965 8,435 6.3%
Domestic corporate debt
obligations -- 496 n/a
----------- ----------- ---------
$46,959 $45,896 2.3%
(1) Computed by dividing non-interest expense by the sum of net
interest income on a tax-equivalent basis using a 35% rate and
non-interest income.
(2) Adjusted to give effect to a three-for-two stock split in the form
of a 50% stock dividend in May 2006.
Virginia Commerce Bancorp, Inc.
Consolidated Balance Sheets
(Dollars in thousands, except per share data)
As of June 30,
(Unaudited)
2006 2005
----------- -----------
Assets
Cash and due from banks $29,566 $25,417
Interest-bearing deposits with other banks 1,055 1,021
Securities (fair value: 2006, $202,935; 2005,
$155,428) 204,793 155,386
Federal funds sold -- 66,198
Loans held-for-sale 8,785 17,244
Loans, net of allowance for loan losses of
$15,701 in 2006 and $12,266 in 2005 1,451,864 1,103,020
Bank premises and equipment, net 8,322 7,344
Accrued interest receivable 7,490 4,906
Other assets 16,791 13,494
----------- -----------
Total assets $1,728,666 $1,394,030
=========== ===========
Liabilities and Stockholders' Equity
Deposits
Demand deposits $205,795 $212,064
Savings and interest-bearing demand deposits 397,968 330,104
Time deposits 824,630 679,900
----------- -----------
Total deposits $1,428,393 $1,222,068
Securities sold under agreement to repurchase
and federal funds purchased 124,252 47,986
Trust preferred capital notes 44,344 18,570
Accrued interest payable 4,071 2,571
Other liabilities 2,533 1,956
Commitments and contingent liabilities -- --
----------- -----------
Total liabilities $1,603,593 $1,293,151
=========== ===========
Stockholders' Equity
Preferred stock, $1.00 par, 1,000,000 shares
authorized and un-issued $ -- $ --
Common stock, $1.00 par, 20,000,000 shares
authorized, issued and outstanding 2006,
21,501,026; 2005, 14,002,959 21,501 14,003
Surplus 30,663 35,325
Retained earnings 75,227 52,357
Accumulated other comprehensive loss, net (2,318) (806)
----------- -----------
Total stockholders' equity $125,073 $100,879
Total liabilities and stockholders' equity $1,728,666 $1,394,030
=========== ===========
Virginia Commerce Bancorp, Inc.
Consolidated Statements of Income
(Dollars in thousands, except per share data)
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
---------------------------------------
2006 2005 2006 2005
---------------------------------------
Interest and dividend income:
Interest and fees on loans $28,098 $18,823 $53,466 $35,631
Interest and dividends on
investment securities:
Taxable 2,012 1,338 3,597 2,696
Tax-exempt 60 59 120 118
Dividends 64 57 127 112
Interest on deposits with
other banks 13 7 26 13
Interest on federal funds
sold 347 138 499 152
---------------------------------------
Total interest and
dividend income $30,594 $20,422 $57,835 $38,722
---------------------------------------
Interest expense:
Deposits $11,379 $6,136 $20,550 $10,971
Securities sold under
agreement to repurchase
and federal funds
purchased 1,109 279 2,065 548
Other borrowed funds - 163 216 374
Trust preferred capital
notes 758 278 1,504 550
---------------------------------------
Total interest expense $13,246 $6,856 $24,335 $12,443
---------------------------------------
Net interest income: $17,348 $13,566 $33,500 $26,279
Provision for loan losses 955 1,031 1,960 1,862
---------------------------------------
Net interest income after
provision for loan losses $16,393 $12,535 $31,540 $24,417
---------------------------------------
Non-interest income:
Service charges and other
fees $796 $476 $1,611 $923
Non-deposit investment
services commissions 136 115 227 195
Fees and net gains on
loans held-for-sale 705 856 1,422 1,461
Other 98 96 186 183
---------------------------------------
Total non-interest income $1,735 $1,543 $3,446 $2,762
---------------------------------------
Non-interest expense:
Salaries and employee
benefits $4,911 $4,349 $9,731 $8,139
Occupancy expense 1,289 1,067 2,556 2,014
Data processing expense 465 354 942 724
Other operating expense 1,819 1,501 3,449 2,908
---------------------------------------
Total non-interest expense $8,484 $7,271 $16,678 $13,785
---------------------------------------
Income before taxes on
income $9,644 $6,807 $18,308 $13,394
Provision for income taxes 3,366 2,344 6,316 4,610
---------------------------------------
Net Income $6,278 $4,463 $11,992 $8,784
---------------------------------------
Earnings per common share,
basic (1) $0.29 $0.21 $0.56 $0.42
Earnings per common share,
diluted (1) $0.28 $0.20 $0.53 $0.39
(1) Adjusted to give effect to a three-for-two stock split in the form
of a 50% stock dividend in May 2006.
Virginia Commerce Bancorp, Inc.
Consolidated Average Balances, Yields, and Rates
Three Months Ended June 30,
(Unaudited)
2006
-----------------------------------
Interest Average
Average Income- Yields
(Dollars in thousands) Balance Expense /Rates
-----------------------------------
Assets
Securities (1) $200,856 $2,136 4.29%
Loans, net of unearned income (2) 1,431,803 28,098 7.76%
Interest-bearing deposits in other
banks 1,052 13 4.95%
Federal funds sold 29,144 347 4.71%
-----------------------------------
Total interest-earning assets $1,662,855 $30,594 7.38%
Other assets 49,328
-----------
Total Assets $1,712,183
===========
Liabilities and Stockholders'
Equity
Interest-bearing deposits:
NOW accounts $183,869 $755 1.65%
Money market accounts 193,969 1,628 3.37%
Savings accounts 17,080 23 0.54%
Time deposits 831,299 8,973 4.33%
-----------------------------------
Total interest-bearing deposits $1,226,217 $11,379 3.72%
Securities sold under agreement to
repurchase and federal funds
purchased 110,164 1,109 4.04%
Other borrowed funds -- -- --
Trust preferred capital notes 43,000 758 6.97%
-----------------------------------
Total interest-bearing liabilities $1,379,381 $13,246 3.85%
Demand deposits and other
liabilities 210,822
-----------
Total liabilities $1,590,203
Stockholders' equity 121,980
-----------
Total liabilities and
stockholders' equity $1,712,183
===========
Interest rate spread 3.53%
Net interest income and margin $17,348 4.19%
2005
-----------------------------------
Interest Average
Average Income- Yields
(Dollars in thousands) Balance Expense /Rates
-----------------------------------
Assets
Securities (1) $162,191 $1,454 3.63%
Loans, net of unearned income (2) 1,086,567 18,823 6.85%
Interest-bearing deposits in other
banks 1,017 7 2.68%
Federal funds sold 18,541 138 2.94%
-----------------------------------
Total interest-earning assets $1,268,316 $20,422 6.46%
Other assets 40,282
-----------
Total Assets $1,308,598
===========
Liabilities and Stockholders'
Equity
Interest-bearing deposits:
NOW accounts $211,209 $900 1.71%
Money market accounts 105,470 443 1.68%
Savings accounts 20,288 28 0.55%
Time deposits 596,327 4,765 3.21%
-----------------------------------
Total interest-bearing deposits $933,294 $6,136 2.64%
Securities sold under agreement to
repurchase and federal funds
purchased 48,041 279 2.33%
Other borrowed funds 20,440 163 3.20%
Trust preferred capital notes 18,000 278 6.12%
-----------------------------------
Total interest-bearing liabilities $1,019,775 $6,856 2.70%
Demand deposits and other
liabilities 190,504
-----------
Total liabilities $1,210,279
Stockholders' equity 98,319
-----------
Total liabilities and
stockholders' equity $1,308,598
===========
Interest rate spread 3.76%
Net interest income and margin $13,566 4.30%
(1) Yields on securities available-for-sale have been calculated on
the basis of historical cost and do not give effect to changes in
the fair value of those securities, which are reflected as a
component of stockholders' equity. Average yields on securities
are stated on a tax equivalent basis, using a 35% rate.
(2) Loans placed on non-accrual status are included in the average
balances. Net loan fees and late charges included in interest
income on loans totaled $1.5 million and $989 thousand for the
three months ended June 30, 2006 and 2005, respectively.
Virginia Commerce Bancorp, Inc.
Consolidated Average Balances, Yields, and Rates
Six Months Ended June 30,
(Unaudited)
2006
-----------------------------------
Interest Average
Average Income- Yields
(Dollars in thousands) Balance Expense /Rates
-----------------------------------
Assets
Securities (1) $187,514 $3,844 4.14%
Loans, net of unearned income (2) 1,388,348 53,466 7.77%
Interest-bearing deposits in other
banks 1,052 26 4.95%
Federal funds sold 21,413 499 4.63%
-----------------------------------
Total interest-earning assets $1,598,327 $57,835 7.30%
Other assets 46,618
-----------
Total Assets $1,644,945
===========
Liabilities and Stockholders'
Equity
Interest-bearing deposits:
NOW accounts $189,943 $1,566 1.66%
Money market accounts 167,334 2,633 3.17%
Savings accounts 17,832 48 0.54%
Time deposits 789,723 16,303 4.16%
-----------------------------------
Total interest-bearing deposits $1,164,832 $20,550 3.56%
Securities sold under agreement to
repurchase and federal funds
purchased 105,342 2,065 3.95%
Other borrowed funds 9,116 216 4.72%
Trust preferred capital notes 43,000 1,504 6.96%
-----------------------------------
Total interest-bearing liabilities $1,322,290 $24,335 3.71%
Demand deposits and other
liabilities 204,110
-----------
Total liabilities $1,526,400
Stockholders' equity 118,545
-----------
Total liabilities and
stockholders' equity $1,644,945
===========
Interest rate spread 3.59%
Net interest income and margin $33,500 4.23%
2005
-----------------------------------
Interest Average
Average Income- Yields
(Dollars in thousands) Balance Expense /Rates
-----------------------------------
Assets
Securities (1) $163,459 $2,926 3.63%
Loans, net of unearned income (2) 1,045,702 35,631 6.87%
Interest-bearing deposits in other
banks 1,014 13 2.53%
Federal funds sold 10,443 152 2.89%
-----------------------------------
Total interest-earning assets $1,220,618 $38,722 6.40%
Other assets 38,524
-----------
Total Assets $1,259,142
===========
Liabilities and Stockholders'
Equity
Interest-bearing deposits:
NOW accounts $207,287 $1,661 1.62%
Money market accounts 104,300 815 1.58%
Savings accounts 20,286 55 0.55%
Time deposits 559,068 8,440 3.04%
-----------------------------------
Total interest-bearing deposits $890,941 $10,971 2.48%
Securities sold under agreement to
repurchase and federal funds
purchased 52,068 548 2.12%
Other borrowed funds 25,425 374 2.93%
Trust preferred capital notes 18,000 550 6.08%
-----------------------------------
Total interest-bearing liabilities $986,434 $12,443 2.54%
Demand deposits and other
liabilities 176,573
-----------
Total liabilities $1,163,007
Stockholders' equity 96,135
-----------
Total liabilities and
stockholders' equity $1,259,142
===========
Interest rate spread 3.86%
Net interest income and margin $26,279 4.35%
(1) Yields on securities available-for-sale have been calculated on
the basis of historical cost and do not give effect to changes in
the fair value of those securities, which are reflected as a
component of stockholders' equity. Average yields on securities
are stated on a tax equivalent basis, using a 35% rate.
(2) Loans placed on non-accrual status are included in the average
balances. Net loan fees and late charges included in interest
income on loans totaled $2.9 million and $2.0 million for the six
months ended June 30, 2006 and 2005, respectively.
Virginia Commerce Bancorp, Inc.
William K. Beauchesne, 703-633-6120
wbeauchesne@vcbonline.com
Source: Business Wire (July 18, 2006 - 6:31 AM EDT)
First Regional Bancorp Posts Substantial Growth to New Highs in Second Quarter and First Half Financial Results
Quarterly Highlights Include:
-- Second quarter net income highest quarterly profit in history
-- First half net income advances 56% over same period in 2005
-- Total assets climb 38% to their highest level ever
-- Total deposits rise 27% to all time high
-- Net loans increase 32% to a new record
CENTURY CITY, Calif., July 18, 2006 (PRIMEZONE) -- First Regional Bancorp (Nasdaq:FRGB) today reported continued profitable growth in the second quarter ended June 30, 2006, with net income for the quarter surging more than 50% for the company's best quarterly earnings performance in history.
For the three months ended June 30, 2006, net income totaled $9.6 million, up from $6.4 million in the corresponding quarter of 2005, and easily surpassed the previous all-time profit record achieved in this year's first quarter. Diluted earnings per share advanced to $2.22, an increase of 49% from the $1.49 per diluted share recorded in the year-earlier period. Net income for the first half of 2006 rose 56% to $18.1 million from $11.6 million in the prior year, while earnings per diluted share advanced 54% to $4.18 from $2.72 in the first six months of 2005.
Jack A. Sweeney, chairman and chief executive officer, stated: "First Regional's continued outstanding performance is truly gratifying. We are successfully managing a period of sustained growth without parallel in our 27-year history. Quarterly earnings once again exceeded those of the corresponding prior-year period, marking a period of exceptional consistency. Moreover, earnings have again risen on a sequential basis from the preceding quarter, and set new quarterly earnings high marks for our company. Fueling our progress in the most recent quarter, assets at June 30, 2006 rose 38% to a record $1.999 billion from $1.452 billion a year ago, while deposits grew 27% to $1.537 billion from $1.211 billion in 2005. Net loans climbed 32% to $1.755 billion from $1.328 billion."
Mr. Sweeney continued: "First Regional's strong second quarter results reflected our continued successful implementation of the solid strategic plan that has served us well. We are adding quality earning assets at a steady pace. Average earning assets grew to $1.824 billion from $1.319 billion at this point last year, while our average yield on those assets was 8.76%, in the second quarter of 2006 compared with 7.38% a year ago. Second-quarter revenues from earnings assets grew 64%, to $39.8 million from $24.3 million in the prior year. We also continue to work diligently to keep operating costs in check while increasing our operating efficiency. In key measures of productivity, assets per employee were 13 percent higher than one year ago, and our efficiency ratio improved to 37.60% in the second quarter from 40.90% in the same period a year earlier.
"We have benefited from the strength and resiliency of the Southern California economy, and from the Federal Reserve's current policy of raising interest rates, which has resulted in increased interest income for First Regional. However, we are mindful of the challenges in the current situation, including pressure on our interest costs due to rising rates and the possible softening of the industries we serve. Moreover, no one can predict the impact of national and global challenges, such as soaring fuel prices and a troubling international scene. Therefore we continue our traditional conservative posture with respect to growth, placing prime emphasis on asset quality. At June 30, 2006, nonperforming assets amounted to only $62,000, enabling us to moderate our loan loss provisions while maintaining our loan loss reserves at levels that we regard as conservative and ample. Such reserves amounted to $20.3 million at the close of the quarter."
Mr. Sweeney concluded: "We have growing financial strength, a proven and flexible business plan, and the experienced and talented managers and employees required to execute it effectively. Through our successful financings and the retention of earnings, we have expanded total capital to $125.5 million at June 30, 2006, a 40% increase from $89.7 million a year ago. We believe that First Regional is solidly positioned for further success, and we will continue to carefully manage our business in order to further maximize long-term values for our shareholders."
First Regional Bancorp is a bank holding company headquartered in Century City, California. Its subsidiary, First Regional Bank, specializes in providing businesses and professionals with the management expertise of a major bank and the personalized service of an independent.
CONSOLIDATED STATEMENTS OF CONDITION (UNAUDITED)
(000's omitted)
------------------------
As of June 30 2006 2005
---------- ----------
ASSETS:
Cash and due from banks $ 167,224 $ 63,006
Federal funds sold 0 0
---------- ----------
Cash and cash equivalents 167,224 63,006
Investment securities 17,646 18,560
Federal Home Loan Bank stock - at cost 12,581 9,017
Federally guaranteed loans 6,174 4,651
Other loans, net 1,754,757 1,327,935
Premises and equipment - net 3,821 3,674
Other real estate owned 0 0
Accrued interest receivable
and other assets 37,741 25,211
---------- ----------
Total assets $1,999,944 $1,452,054
========== ==========
LIABILITIES AND CAPITAL:
Demand deposits $ 482,458 $ 420,282
Savings deposits 50,160 38,817
Money market deposits 816,585 581,584
Time deposits 188,170 170,129
---------- ----------
Total deposits 1,537,373 1,210,812
Funds purchased 0 0
Federal Home Loan Bank advances 230,000 100,000
Subordinated debentures 92,785 41,238
Accrued interest payable and
other liabilities 14,317 10,261
---------- ----------
Total liabilities 1,874,475 1,362,311
Stated capital 50,974 48,108
Retained earnings 74,611 41,626
Net unrealized gains (losses)
on available-for-sale securities (116) 9
---------- ----------
Total capital 125,469 89,743
---------- ----------
Total liabilities and capital $1,999,944 $1,452,054
========== ==========
Book value per share outstanding $ 30.94 $ 22.32
========== ==========
Total shares outstanding 4,055,390 4,020,146
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(000's omitted) (000's omitted)
----------------- -----------------
Three Months Ended Six Months Ended
June 30 June 30
----------------- -----------------
2006 2005 2006 2005
------- ------- ------- -------
Interest on loans $39,669 $24,130 $76,176 $44,584
Interest on federal funds
sold 43 27 75 129
Interest on investment
securities 129 114 197 151
------- ------- ------- -------
Total interest income 39,841 24,271 76,448 44,864
Interest on deposits 8,839 2,927 16,212 5,158
Interest on subordinated
debentures 1,641 595 2,684 1,120
Interest on FHLB advances 2,459 1,022 4,895 1,716
Interest on other borrowings 1 1 4 1
------- ------- ------- -------
Total interest expense 12,940 4,545 23,795 7,995
------- ------- ------- -------
Net interest income 26,901 19,726 52,653 36,869
Provision for loan losses 1,500 1,500 3,891 2,700
------- ------- ------- -------
Net interest income after
provision for loan losses 25,401 18,226 48,762 34,169
Other operating income 2,498 1,575 4,450 3,056
Salaries and related benefits 6,983 5,573 13,779 10,890
Occupancy expenses 682 598 1,304 1,394
Other expenses 3,389 2,542 6,372 4,751
------- ------- ------- -------
Total other operating expenses 11,054 8,713 21,455 17,035
------- ------- ------- -------
Income before provision
for income taxes 16,845 11,088 31,757 20,190
Provision for income taxes 7,252 4,713 13,680 8,573
------- ------- ------- -------
Net income $ 9,593 $ 6,375 $18,077 $11,617
======= ======= ======= =======
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(000's omitted) (000's omitted)
Three Months Ended Six Months Ended
June 30 June 30
----------------------- -----------------------
2006 2005 2006 2005
---------- ---------- ---------- ----------
Net income per
share
Basic $ 2.37 $ 1.59 $ 4.47 $ 2.90
Diluted $ 2.22 $ 1.49 $ 4.18 $ 2.72
Average shares
outstanding 4,052,311 4,015,855 4,047,018 4,008,446
Diluted average
shares 4,331,094 4,285,387 4,322,628 4,277,036
Average equity $ 119,992 $ 86,723 $ 115,267 $ 83,517
Average assets $1,926,284 $1,398,707 $1,897,332 $1,341,453
Return on average
equity (%) 32.07 29.48 31.63 28.05
Return on average
assets (%) 2.00 1.83 1.92 1.75
Efficiency
ratio (%) 37.60 40.90 37.57 42.67
Number of
employees 243 199
Assets per
employee (000s) $ 8,230 $ 7,297
CREDIT QUALITY
Beginning reserve
for loan
losses (000s) $ 18,975 $ 13,355 $ 17,577 $ 11,825
Loan loss
provisions 1,500 1,500 3,891 2,700
Loan recoveries 0 0 0 130
Loan chargeoffs 0 35 941 35
Net change in
allowance for
unfunded loan
commitments (162) (3) (214) 197
---------- ---------- ---------- ----------
Ending reserve
for loan losses
(000s) $ 20,313 $ 14,817 $ 20,313 $ 14,817
========== ========== ========== ==========
Nonperforming
assets (000s) $ 62 $ 853
Nonperforming
assets/gross
loans (%) 0.00 0.06
Reserve for loan
losses/nonper-
forming assets (%) 32762.90 1737.05
Reserve for loan
losses/gross
loans (%) 1.14 1.10
(000s omitted)
For the Three Months Ended June 30,
-----------------------------------
2006
------------------------------------
Average
Average Yield/
Balance Interest Cost (%)
---------- ---------- ---------
Gross loans $1,806,214 $ 39,669 8.81
Funds sold 3,620 43 4.76
Investment securities 13,762 129 3.76
---------- ----------
Total earning assets $1,823,596 $ 39,841 8.76
Deposits $1,507,316 $ 8,839 2.35
Federal Home Loan
Bank advances 197,341 2,459 5.00
Subordinated debentures 92,785 1,641 7.09
Funds purchased 99 1 4.05
---------- ----------
Total bearing liabilities $1,797,541 $ 12,940 2.89
Net interest spread (a) 5.88
Net interest margin (b) 5.92
2005
------------------------------------
Average
Average Yield/
Balance Interest Cost (%)
---------- ---------- ---------
Gross loans $1,297,410 $ 24,130 7.46
Funds sold 3,561 27 3.04
Investment securities 18,390 114 2.49
---------- ----------
Total earning assets $1,319,361 $ 24,271 7.38
Deposits $1,128,476 $ 2,927 1.04
Federal Home Loan
Bank advances 135,275 1,022 3.03
Subordinated debentures 41,238 595 5.79
Funds purchased 272 1 1.47
---------- ----------
Total bearing liabilities $1,305,261 $ 4,545 1.40
Net interest spread (a) 5.98
Net interest margin (b) 5.93
(a) Net interest spread represents the average yield earned on
earning assets less the average cost of bearing liabilities.
(b) Net interest margin represents net interest income divided by
average earning assets.
(000s omitted)
For the Six Months Ended June 30,
---------------------------------
2006
-----------------------------------
Average
Average Yield/
Balance Interest Cost (%)
---------- ---------- ---------
Gross Loans $1,780,873 $ 76,176 8.63
Funds Sold 3,483 75 4.34
Investment Securities 11,367 197 3.49
---------- ----------
Total Earning Assets $1,795,723 $ 76,448 8.59
Deposits $1,486,307 $ 16,212 2.20
Federal Home Loan
Bank Advances 207,746 4,895 4.75
Subordinated Debentures 77,577 2,684 6.98
Other Borrowings 90 4 8.96
---------- ----------
Total Bearing Liabilities $1,771,720 $ 23,795 2.71
Net Interest Spread (a) 5.88
Net Interest Margin (b) 5.91
2005
-----------------------------------
Average
Average Yield/
Balance Interest Cost (%)
---------- ---------- ---------
Gross Loans $1,243,090 $ 44,584 7.23
Funds Sold 10,528 129 2.47
Investment Securities 13,060 151 2.33
---------- ----------
Total Earning Assets $1,266,678 $ 44,864 7.14
Deposits $1,086,713 $ 5,158 0.96
Federal Home Loan
Bank Advances 123,612 1,716 2.80
Subordinated Debentures 41,238 1,120 5.48
Other Borrowings 182 1 1.11
---------- ----------
Total Bearing Liabilities $1,251,745 $ 7,995 1.29
Net Interest Spread (a) 5.85
Net Interest Margin (b) 5.87
(a) Net interest spread represents the average yield earned on
earning assets less the average cost of bearing liabilities.
(b) Net interest margin represents net interest income divided by
average earning assets.
This report includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein may constitute forward-looking statements. Although First Regional believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from First Regional's expectations include fluctuations in interest rates, inflation, government regulations, and economic conditions and competition in the geographic and business areas in which First Regional conducts its operations.
CONTACT: First Regional Bancorp, Los Angeles
Jack A. Sweeney, Chairman/CEO
310-552-1776
Savannah Bancorp Reports 5.9 Percent Second Quarter EPS Increase and Declares Regular Quarterly Dividend
SAVANNAH, Ga., July 18, 2006 (PRIMEZONE) -- The Savannah Bancorp, Inc. (Nasdaq:SAVB) reported net income for the second quarter 2006 of $2,538,000, up 16 percent from $2,184,000 in the second quarter 2005. Net income per diluted share was $0.54 compared to $0.51 per diluted share in the second quarter of 2005, an increase of 5.9 percent. Earnings growth moderated in the second quarter due to higher than anticipated startup costs in Harbourside Community Bank and a slight net interest margin decline from the first quarter 2006. The margin decline resulted from faster deposit repricing in a very competitive market and slower loan growth than anticipated.
Average outstanding diluted shares increased 440,000, or 10 percent, in the second quarter 2006 compared with the second quarter 2005. The increase in average shares outstanding resulted from the private placement sale of 397,000 shares in August, 2005 and additional shares being issued upon exercise of stock options. For the second quarter 2006, return on average equity was 16.91 percent, return on average assets was 1.33 percent, net interest margin was 4.51 percent and the efficiency ratio was 53.84 percent.
For the first six months of 2006, net income was $4,889,000, a 23 percent increase over $3,965,000 in the first six months of 2005. Earnings per diluted share was $1.04, an increase of 12 percent over earnings per diluted share of $0.93 in the first six months of 2005. Return on average equity was 16.53 percent, return on average assets was 1.31 percent, net interest margin was 4.55 percent and the efficiency ratio was 54.16 percent.
Net interest income increased $1,485,000, or 22 percent, in the second quarter 2006 over the same period in 2005. Earning assets growth of 11 percent and 17 consecutive prime rate increases of 25 basis points each over the prior 24 months resulted in significantly higher net interest income for the second quarter and the first six months of 2006 compared with the same periods in 2005. The net interest margin has been increasing during the two year period of rising rates but has recently begun to decrease as funding costs have increased faster than asset yields. Noninterest income was up 4 percent in the second quarter and 6 percent in the first six months of 2006 compared with the same periods in 2005. Higher mortgage interest rates are negatively impacting mortgage origination volume and mortgage related income.
Noninterest expenses increased 23 percent in the second quarter and 24 percent in the first six months of 2006 compared with 2005. Approximately half of the increase in costs is related to additional costs of the recently chartered Harbourside Community Bank on Hilton Head Island, SC.
Loans, excluding loans held for sale, totaled $657 million at June 30, compared with $572 million one year earlier, an increase of 15 percent. Deposits totaled $642 million at June 30, 2006 and $588 million at June 30, 2005, an increase of 9 percent. As of June 30, 2006, demand, savings and money market accounts had increased 13 percent over the prior year as a result of continued focus on core deposit growth. Total assets increased 12 percent to $772 million at June 30, 2006, up from $689 million a year earlier.
Nonperforming assets increased to $2,559,000, or 0.39 percent of total loans, at June 30, 2006 from $2,093,000, or 0.33 percent of loans, at March 31, 2006 and $733,000, or 0.13 percent of total loans, at June 30, 2005. Net loan recoveries for the first half of 2006 were $3,000. Provision for credit losses for the first six months of 2006 was $775,000 and $820,000 for the first six months of 2005.
Harbourside Community Bank, a new subsidiary bank of the Savannah Bancorp, Inc., opened on March 1, 2006 in a new main office facility on Hilton Head Island, SC. At June 30, 2006, Harbourside had total assets of $38 million, total loans of $27 million and total deposits of $28 million. As previously reported in a regulatory filing with the SEC, the employment of Harbourside's CEO terminated during the second quarter and Mike Odom, CEO of The Savannah Bancorp, Inc. is currently serving as interim President and CEO until a suitable replacement is hired.
Today, the Board of Directors approved a regular quarterly cash dividend of 14 cents per share payable on August 14, 2006 to shareholders of record on July 28, 2006.
The Savannah Bancorp, Inc. (SAVB), a bank holding company for The Savannah Bank, N.A. and Bryan Bank & Trust (Richmond Hill, Georgia) and Harbourside Community Bank (Hilton Head Island, SC), is headquartered in Savannah, Georgia. SAVB began operations in 1990. Its primary businesses include deposit, credit, trust and mortgage origination services provided to local customers.
This press release may contain forward-looking statements as defined by federal securities law which involve significant risks and uncertainties. Actual results could differ materially from those contained in or implied by such statements for a variety of reasons including, but not limited to: changes in interest rates; changes in accounting principles, policies, or guidelines; significant changes in the economic scenario: significant changes in regulatory requirements; and significant changes in securities markets. The Savannah Bancorp, Inc. does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made. Any such statements are made in reliance on the safe harbor protections provided under the Private Securities Act of 1995.
The Savannah Bancorp, Inc. and Subsidiaries
Second Quarter Financial Highlights
June 30, 2006 and 2005
(Unaudited)
(thousands, except share data)
%
Balance Sheet Data at June 30 2006 2005 Change
----------------------------------------------------------------
Total assets $772,026 $689,271 12
Interest-earning assets 734,420 659,759 11
Loans 657,128 572,317 15
Deposits 642,393 588,249 9.2
Interest-bearing liabilities 659,759 545,340 21
Shareholders' equity 61,018 43,619 40
Allowance for credit losses 8,591 7,202 19
Non-accruing loans 2,049 184 1014
Loans past due 90 day -
accruing 510 549 (7.1)
Allowance for credit losses
to total loans 1.31% 1.26% 4.0
Nonperforming assets to
total loans and other real
estate owned 0.39% 0.13% 204
Loan to deposit ratio 102.29% 97.29% 5.1
Equity to assets 7.90% 6.33% 25
Tier 1 capital to risk-
weighted assets 11.47% 9.39% 22
Total capital to risk-
weighted assets 12.72% 10.64% 20
Book value per share $ 13.24 $ 10.40 27
Outstanding shares 4,608 4,194 9.9
Market value per share $ 37.82 $ 30.95 22
Performance Ratios
----------------------------------------------------------------
%
For the Second Quarter 2006 2005 Change
----------------------------------------------------------------
Net income $ 2,538 $ 2,184 16
Return on average assets 1.33% 1.29% 2.8
Return on average equity 16.91% 20.51% (18)
Net interest margin 4.51% 4.16% 8.4
Efficiency ratio 53.84% 52.20% 3.1
Per share data:
Net income - basic $ 0.55 $ 0.52 5.8
Net income - diluted $ 0.54 $ 0.51 5.9
Dividends $ 0.140 $ 0.135 3.7
Average shares:
Basic 4,607 4,177 10
Diluted 4,715 4,275 10
----------------------------------------------------------------
%
For the First Six Months 2006 2005 Change
----------------------------------------------------------------
Net income $ 4,889 $ 3,965 23
Return on average assets 1.31% 1.21% 8.5
Return on average equity 16.53% 19.10% (13)
Net interest margin 4.55% 4.12% 10
Efficiency ratio 54.16% 53.70% 0.9
Per share data:
Net income - basic $ 1.06 $ 0.95 11
Net income - diluted $ 1.04 $ 0.93 12
Dividends $ 0.28 $ 0.27 3.7
Average shares:
Basic 4,607 4,163 11
Diluted 4,712 4,266 10
The Savannah Bancorp, Inc. and Subsidiaries
Consolidated Balance Sheets
June 30, 2006 and 2005
(Unaudited)
(thousands, except share data)
June 30
------------------------
2006 2005
---------- ----------
ASSETS
Cash and due from banks $ 19,413 $ 16,380
Interest-bearing deposits 4,400 14,944
Federal funds sold 18,266 4,673
---------------------------------------------------------------------
Cash and cash equivalents 42,079 35,997
Securities available for sale, at
fair value
(amortized cost of $52,268 in 2006
and $39,880 in 2005 51,220 39,856
Loans held for sale 4,407 28,120
Loans, net of allowance for credit
losses of $8,591 in 2006 and
$7,202 in 2005 648,537 565,115
Premises and equipment, net 5,714 4,762
Other real estate owned - -
Bank-owned life insurance 5,655 5,449
Other assets 14,414 9,972
---------------------------------------------------------------------
Total assets $772,026 $689,271
=====================================================================
LIABILITIES
Deposits:
Noninterest-bearing $ 97,909 $ 95,890
Interest-bearing demand 94,081 87,376
Savings 18,540 20,670
Money market 137,721 105,529
Time deposits 294,142 278,784
---------------------------------------------------------------------
Total deposits 642,393 588,249
Short-term borrowings 36,560 21,983
FHLB advances - long-term 15,474 20,688
Subordinated debt 10,310 10,310
Other liabilities 6,271 4,422
---------------------------------------------------------------------
Total liabilities 711,008 645,652
---------------------------------------------------------------------
SHAREHOLDERS' EQUITY
Common stock, par value $1 per
share: authorized 20,000,000
shares; issued 4,607,647 and
4,194,066 in 2006 and 2005 4,608 4,194
Preferred stock, par value $1:
authorized 10,000,000 shares - -
Additional paid-in capital 36,480 25,066
Retained earnings 21,870 14,383
Treasury stock, at cost, 267 in
2006 and 2005 (4) (4)
Accumulated other comprehensive
(loss), net (1,936) (20)
---------------------------------------------------------------------
Total shareholders' equity 61,018 43,619
---------------------------------------------------------------------
Total liabilities and
shareholders' equity $772,026 $689,271
=====================================================================
The Savannah Bancorp, Inc. and Subsidiaries
Consolidated Statements of Income
Second Quarter and First Six Months, 2006 and 2005
(Unaudited)
(thousands, except per share data)
For the For the
Quarter Ended Six Months Ended
June 30, June 30,
------------------ ------------------
2006 2005 2006 2005
--------------------------------------------------------------------
INTEREST AND DIVIDEND INCOME
Loans, including fees $12,548 $9,244 $24,269 $17,458
Loans held for sale 233 369 441 804
Investment securities:
Taxable 471 320 894 620
Tax-exempt 32 60 70 128
Dividends 56 35 104 72
Deposits with banks 54 100 102 179
Federal funds sold 148 69 275 114
--------------------------------------------------------------------
Total interest and
dividend income 13,542 10,197 26,155 19,375
--------------------------------------------------------------------
INTEREST EXPENSE
Deposits 4,443 3,010 8,336 5,428
Short-term borrowings 546 114 911 349
Federal Home Loan Bank
advances 197 253 444 503
Subordinated debt 200 149 389 283
--------------------------------------------------------------------
Total interest expense 5,386 3,526 10,080 6,563
--------------------------------------------------------------------
NET INTEREST INCOME 8,156 6,671 16,075 12,812
Provision for credit losses 360 315 775 820
--------------------------------------------------------------------
Net interest income after
provision for credit losses 7,796 6,356 15,300 11,992
--------------------------------------------------------------------
NONINTEREST INCOME
Service charges on deposit
accounts 377 427 753 814
Mortgage related income, net 252 305 482 580
Trust fees 166 117 325 233
Other operating income 291 223 599 439
Loss on sale other real estate
owned, net - (24) - (24)
--------------------------------------------------------------------
Total noninterest income 1,086 1,048 2,159 2,042
--------------------------------------------------------------------
NONINTEREST EXPENSE
Salaries and employee
benefits 2,785 2,291 5,476 4,634
Occupancy and equipment 746 551 1,397 1,063
Information technology 374 298 736 599
Other operating expenses 1,071 892 2,266 1,679
--------------------------------------------------------------------
Total noninterest expense 4,976 4,032 9,875 7,975
--------------------------------------------------------------------
Income before income taxes 3,906 3,372 7,584 6,059
Income tax expense 1,368 1,188 2,695 2,094
--------------------------------------------------------------------
NET INCOME $ 2,538 $ 2,184 $ 4,889 $ 3,965
====================================================================
Net income per share:
Basic $ 0.55 $ 0.52 $ 1.06 $ 0.95
====================================================================
Diluted $ 0.54 $ 0.51 $ 1.04 $ 0.93
====================================================================
The Savannah Bancorp, Inc. and Subsidiaries
Historical Trend Data - Five Years and Five Quarters
The following tables show per share information for the most recent
five years and five quarters. Share and per share information have
been restated to reflect the effect of a 5-for-4 stock split in
December 2004.
(amounts in thousands except per share data)
For the Most Recent Five Years
------------------------------
2005 2004 2003 2002 2001
---- ---- ---- ---- ----
Net income $9,040 $5,736 $4,644 $4,508 $4,358
Average shares
Basic 4,317 4,109 4,103 4,100 4,068
Diluted 4,425 4,209 4,181 4,160 4,140
Net income per
share ($)
Basic 2.09 1.40 1.13 1.10 1.07
Diluted 2.04 1.36 1.11 1.08 1.05
Dividends per share 0.54 0.52 0.51 0.49 0.45
Market price per
common share ($)
High close 37.50 27.60 23.20 17.68 18.18
Low close 26.50 20.14 15.18 14.18 12.40
Year-end close 35.48 27.05 23.20 15.25 14.84
At December 31 ($)
Assets 717,901 617,341 476,865 437,598 376,183
Shareholders' equity 58,543 40,071 36,771 34,756 32,071
Book value per share 12.75 9.74 8.96 8.48 7.86
Outstanding shares 4,591 4,112 4,103 4,101 4,079
Performance ratios (%)
Return on equity 19.06 15.04 12.99 13.50 14.27
Return on assets 1.32 1.03 1.05 1.14 1.20
Net interest margin 4.25 3.86 3.91 4.10 4.13
Efficiency ratio 51.91 58.47 59.40 59.17 57.11
For the Most Recent Five Quarters (Unaudited)
---------------------------------------------
(amounts in thousands except per share data)
2006 2005
------------------- -----------------------------
Second First Fourth Third Second
Quarter Quarter Quarter Quarter Quarter
Net income $2,538 $2,351 $2,721 $2,354 $2,184
Average shares
Basic 4,607 4,607 4,591 4,346 4,177
Diluted 4,715 4,709 4,709 4,467 4,275
Net income per
share ($)
Basic 0.551 0.510 0.590 0.542 0.523
Diluted 0.538 0.500 0.580 0.527 0.511
Dividends per share 0.140 0.140 0.135 0.135 0.135
Market price per
common share ($)
High close 38.00 36.97 37.50 34.54 33.46
Low close 34.08 33.90 34.25 30.27 27.80
Quarter-end close 37.82 35.08 35.48 34.50 30.95
At quarter-end ($)
Assets 772,026 764,087 717,901 713,082 689,271
Shareholders' equity 61,018 59,646 58,543 56,696 43,619
Book value per share 13.24 12.95 12.75 12.35 10.40
Outstanding shares 4,607 4,607 4,591 4,591 4,194
Performance ratios (%)
Return on equity 16.91 16.14 18.75 19.16 20.51
Return on assets 1.33 1.29 1.50 1.34 1.29
Net interest margin 4.51 4.59 4.48 4.28 4.16
Efficiency ratio 53.84 54.50 49.40 51.43 52.20
Additional financial highlights are available at www.savb.com
CONTACT: The Savannah Bancorp, Inc.
G. Mike Odom, Jr., Chief Executive Officer
912-629-6486
Robert B. Briscoe, Chief Financial Officer
912-629-6525
Source: PrimeZone (July 18, 2006 - 1:56 PM EDT)
Parke Bancorp, Inc. Reports Income Increase of 34% for the First Six Months
WASHINGTON TOWNSHIP, N.J., July 18 /PRNewswire-FirstCall/ -- Parke Bancorp, Inc. (Nasdaq: PKBK), Washington Township, New Jersey, today announced net earnings for the six months ended June 30, 2006 of $2,196,673, or $0.65 diluted income per share, compared to net income of $1,636,031, or $0.52 diluted income per share, a 34.3% increase over the same period last year.
Total assets grew by $38,074,013, or 12.8%, to $335,884,457 at June 30, 2006, compared to $297,810,444 at December 31, 2005. This increase was primarily due to strong loan growth of $35,241,280, or 13.6%, resulting in total loans of $294,276,368 at June 30, 2006, as compared to total loans of $259,035,088 at December 31, 2005. Investment securities increased $651,431, or 2.7%, from $24,428,785 at December 31, 2005, to $25,080,216 at June 30, 2006. The allowance for loan losses increased by 15.7%, or $560,500, to $4,134,312, or 1.4% of total loans, at June 30, 2006.
Deposits increased by a robust $37,811,405, or 16.3%, to $269,867,713 at June 30, 2006, from $232,056,308 at December 31, 2005. Borrowings decreased by $2,202,836, or 6.1%, to $33,764,024 at June 30, 2006 from $35,966,860 at December 31, 2005.
Net income of $1,121,211, or $0.33 fully diluted earnings per share, for the quarter ended June 30, 2006, compared to net earnings of $904,014, or $0.29 fully diluted earnings per share, for the quarter ended June 30, 2005. The $217,197, or 24.0%, increase in net earnings is attributable primarily to increases in net interest income of $740,950, or 28.6%, to $3,332,527 for the quarter ended June 30, 2006, as compared to net interest income of $2,591,577 for the quarter ended June 30, 2005.
Interest income increased $2,051,646, or 50.0%, to $6,158,455 for the quarter ended June 30, 2006, as compared to interest income of $4,106,809 for the same quarter in 2005. Interest expense also increased from $1,515,232 for the quarter June 30, 2005 to $2,825,928 for the quarter ended June 30, 2006, which represents an increase of 86.5%, or $1,310,696. The continued deposit growth and rising interest rates attributed to the increase in interest expense.
Non-interest expense increased 15.5%, or $175,441, to $1,309,951 for the quarter ended June 30, 2006, from $1,134,510 for the quarter ended June 30, 2005. The increase is primarily attributable to the additional employees added to provide enhanced customer service necessary due to our growth.
According to our President and CEO, Vito Pantilione, 'Parke Bancorp's continued strong growth and profitability is reflective of our commitment to better banking. Competitive interest rates offered on our diversified deposit products combined with our responsive approach to lending supports our goal to put the 'personal touch' back into banking. The sustained growth of our bank provided the foundation for issuing a 20% stock dividend this quarter, further enhancing shareholder value.'
Parke Bancorp, Inc. was incorporated in January 2005. It commenced operations on June 1, 2005 with the acquisition of Parke Bank. Comparisons to 2005 interim period financial data relate to the financial condition and results of operations of Parke Bank. Parke Bancorp maintains its principal office at 601 Delsea Drive, Washington Township, New Jersey. It conducts its bank business through branch offices located in Northfield, New Jersey, two branch offices located in Washington Township, New Jersey and its newest branch in Philadelphia at 1610 Spruce Street, which will be open by August 1st. Parke Bank is a full service commercial bank, with an emphasis on providing personal and business financial services to individuals and small to mid-sized businesses primarily in Gloucester, Atlantic and Cape May counties in New Jersey and the Philadelphia area in Pennsylvania. Parke Bank's deposits are insured up to the maximum legal amount by the Federal Deposit Insurance Corporation (FDIC). Parke Bancorp's common stock is traded on the Nasdaq Stock Market under the symbol 'PKBK.'
SELECTED FINANCIAL CONDITION DATA
June 30, December 31, Change
2006 2005 %
(in thousands) (in thousands)
Total assets $335,884 $297,810 12.8%
Cash and cash equivalents $6,649 $4,380 51.8%
Investment securities $25,080 $24,429 2.7%
Loans receivable, net $290,142 $255,461 13.6%
Deposits $269,868 $232,056 16.3%
Other borrowings $33,764 $35,967 (6.1)%
Stockholders' equity $29,260 $27,193 7.6%
SELECTED FINANCIAL RATIOS
Three months ended June June
2006 2005
Return on average assets 1.4% 1.3%
Return on average equity 15.4% 12.5%
Interest rate spread 3.8% 4.0%
Net interest rate margin 4.3% 4.4%
Efficiency ratio 44.2% 43.9%
SELECTED OPERATIONS DATA
Three months ended June 30, June 30, Change
2006 2005 %
(in thousands) (in thousands)
Interest and dividend income $6,158 $4,107 50.0%
Interest expense $2,826 $1,515 86.5%
Net interest income $3,332 $2,592 28.6%
Provision for loan losses $328 $276 18.8%
Net interest income after
provision for loan losses $3,004 $2,316 29.8%
Non-interest income $167 $319 (47.7)%
Non-interest expense $1,310 $1,135 15.5%
Income before income taxes $1,861 $1,500 24.1%
Provision for income taxes $740 $596 24.3%
Net income $1,121 $904 24.0%
Basic income per share $.40 $.34 17.6%
Diluted income per share $.33 $.29 17.2%
Weighted shares - basic 2,830,232 2,696,257
Weighted shares - diluted 3,352,122 3,135,802
ASSET QUALITY DATA
June 30, December 31,
2006 2005
(in thousands) (in thousands)
Allowance for loan losses $4,134 $3,574
Percentage of allowance for
loan losses of total loans 1.4% 1.4%
Non-accrual loans $2,236 $1,935
Real estate owned None None
This release may contain forward-looking statements. We caution that such statements may be subject to a number of uncertainties and actual results could differ materially and, therefore, readers should not place undue reliance on any forward-looking statements. Parke Bancorp, Inc. does not undertake, and specifically disclaims, any obligation to publicly release the results of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
SOURCE Parke Bancorp, Inc.
Source: PR Newswire (July 18, 2006 - 4:00 PM EDT)
News by QuoteMedia
www.quotemedia.com
CACB.. was on my list to watch.. I owned it last year it seemed for ever around the $21.00 level and it just went nowhere.. But as with most banks it never went down.. I believe an entry will be around $30.50 but then you made the 25% and I didn't... I notice your list of oil service.. I'm not relly in any at present except SDRL.ol and TGS.ol.. They will be with me for ever as I believe SDRL.ol will become the largest drilling company in the world.. Tgs.ol was bought at 250.nok before the split.. I brought ALY to the board at $3.62 and that was my first table pounder.. I made over $200K on the position and sold stock as high as the 16's .. Good DD always wins..hank
I sold my CACB today. I think the run due to earnings is over. I will look to reenter if the price retreats. It was a nice 25% gain in 6 weeks.
Mike
10 bagger,
So far I have purchased CACB and CWBS. I'm up about 7% on those two holdings. Since I purchased stock in these two banks my entire portfolio is up 1%. So, the small banks have been a good move. At present, banks are only a little more than 2% of my holdings. I'm contemplating increasing the percentage.
Overall, I'm down about 7.6% from my all time high which I set on May 9th. I'm up 7.5% for the year which I can't complain about in this tough environment.
Mike
First small bank on your list...
http://www.americancommunitybank.com/personal/mortgages.cfm
ARMs.
Mike..
Well now that you are watching corn grow,, how are your small bank stocks holding up in this market,, On what you have reported you are up nicely...CWBS will have earnings shortly and I expect more of the same,, FCEN hit earnings out of the park.. I can't wait for ANCX as they have a secondary announced and may have to delay reports due to the quiet period.. It's not necessay but if thier lawyer isn't SEC sharp he will reccomend that they hold earnings releases.. I'm down 0.063% or less than 1% from my highs... Small Banks Rock.. Welcome to the club...hank
ANCX..
Sold 844@ $9.75..
Just sold out the balance of what I had bought sub 9.00 when the secondary was announced...On the buy list are OPHC,, FCEN,, BKSC...
OPHC...
OptimumBank Holdings Announces Strong Quarterly and Record Six-Month Results
Wednesday July 12, 10:00 am ET
FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--July 12, 2006--OptimumBank Holdings, Inc. (NASDAQ:OPHC - News), holding company for OptimumBank, reported net income of $487,100 or $.17 per share for the second quarter ended June 30, 2006, compared to net income of $387,870 or $.15 per share for the prior year quarter ended June 30, 2005, a 25.6% increase. Net income for the six-month period ended June 30, 2006 was $1,003,412 or $.36 per share compared to $771,871 or $.29 per share for same period last year, a 30.0% increase. Chairman of the Board, Albert Finch, said, "Our mid-year results are exceptional with strong quarterly and record six-month results. We are on target to have our best year yet and we are especially pleased to have achieved these results in a challenging market."
ADVERTISEMENT
Company assets increased to $218.3 million at June 30, 2006, compared to $192.3 million at June 30, 2005, a 13.5% increase. The Company's net loan portfolio increased 18.7% from $151.0 million at June 30, 2005 to a total of $179.3 million at June 30, 2006. President, Richard L. Browdy noted, "Federal Reserve monetary policy decisions have slowed the real estate market both nationwide and locally. However, we anticipate continued good performance based on the Company's strong earnings base coupled with excellent credit quality." As of June 30, 2006 the Company's asset quality remained strong with no loan delinquencies and no non-performing assets or real estate owned on the books.
Through its executive offices and three bank branches in Broward County, Florida, the Company offers real estate lending and retail banking products to individuals and businesses in Broward, Dade and Palm Beach Counties. The Bank also offers internet banking services through its "OptiNet" internet banking website, located at http://www.optimumbank.com.
This press release may contain certain forward-looking statements, which are based on management's expectations regarding factors that may impact the Company's earnings and performance in future periods. Factors that could cause future results and performance to vary materially from current management expectations include, but are not limited to, general economic conditions, war and terrorism, changes in interest rates, deposit flows, loan demand, real estate values and competition; the issuance or redemption of additional company equity or debt; changes in accounting principles, policies or guidelines, changes in legislation or regulation; and other economic, competitive, governmental, regulatory and technological facts affecting the Company's operations, pricing, products and services. Nothing contained herein constitutes an offer to sell or the solicitation of an offer to buy the Company's securities.
Contact:
OptimumBank Holdings, Inc., Fort Lauderdale
Richard L. Browdy, 954-776-2332
or
Albert J. Finch, 954-776-2332
--------------------------------------------------------------------------------
CACB...
Cascade Bancorp Ranked Top Bank in Seattle Times Northwest 100
Monday July 3, 2:20 pm ET
BEND, Ore., July 3 /PRNewswire-FirstCall/ -- Cascade Bancorp (Nasdaq: CACB - News) announced the Company has been ranked #16 in the annual Seattle Times Northwest 100 ranking. Cascade Bancorp is the highest ranking bank in the Top 100. The annual ranking of successful companies by The Seattle Times newspaper includes all publicly held companies of Washington, Oregon and Idaho.
The Seattle Times NW 100 is designed to measure performance over a two- year period. The proprietary ranking system considers Return on Equity, Sales per Employee, Stock Price Appreciation and Operating Income over time. The intention of the ranking is to look at what drives success and jobs. A total of 126 companies qualified for this year's ranking.
This year's #16 ranking of Cascade Bancorp compares favorably to the #40 ranking the Company received last year. Patricia L. Moss, President and CEO of Cascade Bancorp commented, "We are sincerely honored to be named among the top publicly traded companies in the Northwest." She continued, "The success and growth experienced by Cascade Bancorp is a direct result of a growing customer base who values the advantages of relationship banking. Our team of highly dedicated and skilled bankers is truly committed to delivering the best in banking for the financial well-being of both customers and shareholders."
Cascade Bancorp is the bank holding company for its principal subsidiary, Bank of the Cascades. Headquartered in Bend, Oregon, Bank of the Cascades focuses on delivering personalized relationship banking, competitive financial products, and advanced technology applied for the convenience of customers. Founded in 1977, Bank of the Cascades offers full-service community banking through now 32 branches in Central Oregon, Southern Oregon, Portland/Salem and Boise/Treasure Valley. The Bank has been rated among the top performing banks in the nation for the eighth consecutive year by Independent Community Bankers of America, as well as in rankings by US Banker Magazine. In addition to the Seattle Times ranking, the Bank was among the top 20 "Best Companies to Work For" in the March 2006 Oregon Business Magazine. For further information on the Company, please visit our web site at http://www.botc.com.
Source: Cascade Bancorp
WBNK....Filing to sell shares...It appeared that there was news coming when I sold.. A buying Opp exists in the low 14's if it gets there....Also the wts. will have investment value if priced right...hank
WHITEVILLE, N.C., June 30 /PRNewswire-FirstCall/ -- Waccamaw Bankshares, Inc. (Nasdaq: WBNK - News), the holding company for Waccamaw Bank, filed a registration statement with the Securities and Exchange Commission on June 30, 2006 relating to an offering of units consisting of one share of common stock and one warrant to purchase one share of common stock, announced James G. Graham, President and CEO of Waccamaw. The units will be offered to shareholders of record on a date to be determined. For every seven shares of common stock owned, a shareholder will have the right to purchase one unit.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. This offering will be made only by means of a prospectus.
Once a record date has been set, Waccamaw will deliver to each shareholder a prospectus.
Waccamaw has offices in Whiteville, Chadbourn, Tabor City, Shallotte, Southport, Holden Beach, Wilmington, and Elizabethtown, North Carolina and recently opened an office in Heath Springs, South Carolina upon the acquisition of The Bank of Heath Springs.
www.waccamawbank.com
This news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of our goals and expectations with respect to earnings, earnings per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "projects," "outlook" or similar expressions. The actual results might differ materially from those projected in the forward- looking statements for various reasons, including, but not limited to, our ability to manage growth, our limited operating history, substantial changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market. Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements is contained in Waccamaw SEC filings, including its periodic reports under the Securities Exchange Act of 1934, as amended, copies of which are available upon request from Waccamaw.
--------------------------------------------------------------------------------
Source: Waccamaw Bankshares, Inc.
Week ended 06/30/06..
This week was one of the slowest weeks that I have had in the portfolio from a trading point of view.. On the sell side I sold an odd lot of FCEN at 35.28 for an all time high print.. I believe that FCEN will trade in the mid 50"s before the end of the year.. On the purchase side I bought an additional 100 shares of SAVB,, 228 shares of ATBC and 466 shares of FSGI..
The FED numbers showed some tameness on interest rates and as I have said many times 5.25% is the top in FED funds at this time.. If I am wrong I expect 5.75% as the top.. Being wrong is a possibility as this is a new FED and has yet to make it's mark on our economy.. Most are Dr. Ben's friends and few are left that have experence on the workings of the FED.. A rise above 5.25% will do little to hurt this economy but the slowdown has already occured in my opinion.. Oil is the brake along with the rising interest rates overseas.. Those rates will cause funds to flow away from the US causing actual interest rates to climb and do the Feds job for them.. Small banks and most finanicals will be the place to be through the rest of the year...
This weks gain was $1,881.00 for a total of $71,437 since this portfolio was started just 20 weeks ago.. and that is with modest risk..hank
Week ended 06/23/06..
This was a strange week.. First MBLA was sold for a loss of $1363.00,, the merger of equals as it was noted seems to let MBLA shareholders down.. The new stock when that trades after the Merger will be worth looking at at that time but I think holding MBLA will result in a larger loss...
ANCX which traded as low as $8.31 last week traded this week at almost $11.00.. I bought the stock on the basis that any selling because of a secondary was unwarrented and I loaded up below $9.00.. As I saw this week as a markup further than expected by the market I sold 4400 shares all above $10.22 with a $10.36 AVE for a gain after AVE.. down the total position to $9.75.. the gain on this sale was $2684.00..
The second trade was for all practical purpose a fluke.. I bought a 2200 share position on a scale down from $82.00 on FRGB because of a sloppy seller and the same day I sold the entire position for a gain of $2.75 per share or $6050.00 less commisions.. The best part is that FRGB is trading again in the $82.00 range but now I have lowered my buy orders to below $79.00.. While I still believe this to be the best Bank In America,, it appears that there is still more profit taking to be done and I think that FRGB could trade as low as $75.00..
In addition,, I purchased 316 shares of ATBC and 336 shares of FCEN,, I now think that FCEN could trade into the 50's sometime this year and has been a position that I have added to several times this last month... I also bought 307 shares of PEBK ,, also a small Carolina Bank that in the path of retirement migration.. It is one of the best reasons to own any small bank..
Last but not least I added 196 shares of SAVB bringing the position to 4549 shares.. at $38.00 this position is worth $172,862.00.. It is my second largest position of any stock that I own.. My largest position is SDRL.ol,, a Norwegian harsh water drilling company...
This week uncovered much speculation about the FED and interest rates.. I still believe that 5.25% is the last rate increase from the FED for FED funds but if the slowdown doesn't start soon I will be forced to raise this to 5.75%.. The scare to the markets of Gold,, Copper and other precious metals was short lived and I believe thier prices have bottomed and will continue thier rise from here.. The rise will be most responsible for the cooling of any excess inflation.. Oil prices may come down a little as Ngas prices return to the 1/6th pricelevel of OIL giving the economy a further boost.. But I beleieve that rising raw material cost linked with slowing housing will cool this economy,, if not stall it.. As Raise by the FED above 5.5% will in my opinion cause stag flation..
As we are but one hurricane or terror attack from 30% higher precious metal prices.. My choice in this area remains Platinum..
This week was interesting to say the least.. Marks in positions were $2597.00 and trading profits were over $7371.00... The week's total was $9968.00 and a new closing high,,,and that is not all that bad.. hank
Access National Bank Granted Nationwide Preferred Lender Program (PLP) Status by SBA
Tuesday June 20, 6:08 pm ET
RESTON, Va.--(BUSINESS WIRE)--June 20, 2006--Michael W. Clarke, President & CEO of Access National Bank®, announced today that the U.S. Small Business Administration (SBA) has designated Access National Bank as an SBA Preferred Lender.
ADVERTISEMENT
This official Preferred Lender Program (PLP) status gives Access National Bank the highest level of loan authority from the SBA in terms of loan approvals and servicing for its small business clients. This is a nationwide designation allowing the bank to originate loans for small businesses anywhere in the country.
Andy Fuller, Access National Bank Vice President responsible for SBA lending throughout the greater DC Metropolitan area, views this designation as "expanding Access National's capabilities to provide small business owners with flexible financing alternatives at very competitive terms. PLP status enables us to improve funding delivery to small businesses for working capital, acquisition, expansion, refinancing or whatever their needs are."
Access National's SBA Lending Department is led by Ted Lauer, Senior Vice President. Together, Lauer and Fuller bring over 30 years of combined expertise in commercial lending and, more specifically, SBA lending which enables small businesses to expand. "We are fortunate to have such capable leadership, depth of knowledge and expertise with Ted Lauer and Andy Fuller serving the needs of our small business clients" Clarke said. "We view this important designation as further demonstration of our continued commitment to small business growth."
Access National Bank, a subsidiary of Access National Corporation (NASDAQ®:ANCX), provides commercial and mortgage banking services to middle market companies and associated professionals throughout the Washington Metropolitan area. Its wholly owned subsidiary, Access National Mortgage Corporation, provides residential mortgage loans to bank clients and consumers in the same area and other select markets. Additional information is available on our website at www.AccessNationalBank.com or by calling (703) 871-2100.
SAVB..
You mention my Bank largest position,, Actually I have been there several times and have made the last three annual meetings.. SAVB is not in the older parts of Savanah,, but mostly North and thru to Hilton Head.. This part of the country has seen one of the largest explosions of Demographic movements in the country and SAVB has been a large part of it.. It's loans have not only been made to the small infrastructure businesses that have grown up in the area but is a magnet for town planning and development in these low lying areas close to the water.. Actually I bought some more yesterday at $37.94 as I find it one of the best values around in small banks with valuable footprints.. It is also one of my longest held positions being in it many times over the years.. The bank Portfolio increases when I doubt the market in general and my O&G Service portfolio increases when I become more confident on the direction of the market.. At present I am aprox 12% in O&G Service ,,45% in small banks and the rest in cash.. There is plenty of DD on SAVB avi and when you take the time to read it pay special attention to the efficency rate and it's return on assets and stock holders equity.. All are key measures in banking and actually any business...hank
CHKJ.ob - Hank, I just bought into this position today. I evaluated your entire list of small banks and narrowed it down to ATBC and CHKJ.OB. Here is a recap of CHKJ.OB - looks very promising...
CHKJ.OB ($16.35)
Quarterly Information
Period Ending 30-Jun-05 31-Mar-05 31-Dec-04 30-Sep-04
Total Revenue 2,425 2,252 2,053 1,877
Gross Profit 1,805 1,727 1,575 1,525
Selling General and Administrativ 1,256 1,200 1,133 1,149
Operating Income or Loss 532 416 442 350
Net Income From Continuing Ops 300 205 243 203
Net Income Applicable To Common S 300 205 243 203
Gross Profit Margin 74.430% 76.690% 76.720% 81.250%
Operating Profit Margin 21.940% 18.470% 21.530% 18.650%
Net Profit Margin 12.370% 9.100% 11.840% 10.820%
Miscellaneous Information
Market Cap (intraday): 20.31M
Trailing P/E (ttm, intraday): 23.32
Price/Book (mrq): 1.42
Total Cash Per Share (mrq): 15.96
Book Value Per Share (mrq): 11.504
Shares Outstanding: 1.24M
Point and Figure Price Obj N/A
Cherokee Banking Company operates as the holding company for Cherokee Bank, N.A., which provides commercial banking services primarily in Georgia. The bank accepts personal and business checking accounts, interest bearing checking accounts, savings accounts, IRA accounts, and various types of certificates of deposit. It also offers commercial loans; installment loans; other consumer loans, including loans for automobiles, home improvements, and investments; home equity loans; home equity lines of credit; real estate construction loans; and mortgage loans. In addition, the bank provides official bank checks and money orders, travelers' checks, Mastercard and Visa credit cards, MasterMoney debit cards, Internet banking and bill-pay, bank-by-mail, direct deposit, and United States savings bonds. The bank offers its products and services in Cherokee County, Georgia, which includes the cities of Ball Ground, Canton, Holly Springs, Waleska, and Woodstock. Cherokee Banking Company was organized in 1998 and is based in Canton, Georgia.
Doesn't SAVB fall into the "old" category? I assume this is located around Savannah, GA, which has been there for quite some time.
Thanks for the clarification on your approach for small banks. Good info. My father-in-law made most of his money on C&S (old Citizens&Southern in Atlanta, GA area). Got bought out by NCNB, which was bought out by BAC. Of course, when the stock ended up in BAC certificates, the real growth stopped.
Stock_peeker..
The Answer is no because I try to only look at Small Banks that are in New areas and banks that are not home lending inst.. Also I say away from banks that originate mortages for resale..But staying close to moving demographics, Even being there before the school systems,, most land or business opp. are well secured by RE values.. As these are small banks they rarely opt to make large loans to any one customer.. Some have established themselves as SBA lenders and these are not as risky as home loans..
In general the older the neighborhood,, the larger the bank.. Small banks also carry a premium in value for thier Takeout value by another large bank for thier footprint.. Home lending Institutions have a hard time in this area of higher lending rates because of the possibility that when they rase thier rates on mortages,, they turn good loans into bad in an upside down market for Real Estate.. Small(new) banks are fresh in any market and because they are ahead of the curve in Real Estate prices any loans that are made have a higher likelyhood of being properties that the owner may liquidate before handing back to the bank.. Only ANCX falls into a bank in an old area and it is a special case.. It grows like a weed and Insiders are regular buyers of the stock... hank
Regarding risk in a correcting realestate market, have you evaluated the risk that each small bank has in its own local area market? For instance, I would expect that CA banks might have more risk as Realestate values fall.
FRGB..
Well today was a day of luck.. I flipped 2200 shares og FRGB for a $2.75 gain.. I hade orders in from $82.14 to $81.26 for a total of 2200 shares.. I don't know why but a sloppy buy order came into the market or shorts ran for cover and each order That I had bought I had placed a sell order in $2.75 above the market.. after I came home much to my surprise All had executed with the highest sale at $84.89.. This is the best bank in America as I have said before but it has constant insider trading on the sell side,, At around $79.00 will be my next scale buy.. care to join..hank
MBLA..
After reading the proposed merger of equals over the weekend I have decided that MBLA was getting the short end of the deal.. I sold MBLA out this morning at an AVE of $13.72 for a small loss.. hank
Week Ending 06/16/06..NEW HIGH..
Interesting week,, Got Stopped out on FSGI @12.00 and by the time I had figured out it was a bad seller,, FSGI made somewhat of a comeback.. I wnt to see if we are having a dead ct bounce..
ANCX made an announcement last week and ended for sale on Monday and Tuesday.. As this is never a reason to sell if the bank gets the money I bought an additional 5244 shares of ANCX @ $8.53 Ave.. My reason is that all information will be avil before the underwriting and when it happens I will be able to move if needed on the underwriters bid..
Other than that MBLA is part of a two bank share exchange forming a new bank.. From what I see I like but wish that the exchange ratio would of been better as MBLA is My fastest growing bank..
In this type of market I have sold more stocks than normal thru stops and have increased my positions in what I know the best..
FRGB is what I consider the best bank in America but I don't own a share because I believe it is dead money at present above $82.00.. All in all a good week and a NEW HIGH for profits.. Not too shabby considering the "real market"...hank
MBLA..
National Mercantile Bancorp and FCB Bancorp Announce Merger of Equals
LOS ANGELES and CAMARILLO, Calif., June 15, 2006 (PRIMEZONE) -- National Mercantile Bancorp (Nasdaq:MBLA), parent of Mercantile National Bank and South Bay Bank, N.A., and FCB Bancorp (OTCBB:FCBA), parent of First California Bank, today announced the signing of a definitive agreement under which they will come together in a merger of equals with the new Delaware holding company to be named First California Financial Group, Inc.
In the merger, First California Financial Group will issue one share of common stock for each share of National Mercantile Bancorp common stock outstanding immediately prior to the merger and 1.7904 shares of common stock for each share of FCB Bancorp common stock outstanding immediately prior to the merger. In addition, for each share of preferred stock of National Mercantile Bancorp outstanding immediately prior to the merger, First California Financial Group will issue one share of its preferred stock with substantially equivalent terms. On a fully diluted basis, the merger will result in the equityholders of National Mercantile Bancorp and FCB Bancorp owning approximately 50.5% and 49.5% of the combined company, respectively.
The merger, expected to close in the fourth quarter of 2006, is subject to customary regulatory approvals and approval by the shareholders of both companies. In connection with the transaction, shareholders of National Mercantile Bancorp holding a majority of the outstanding shares of National Mercantile Bancorp common stock and shareholders of FCB Bancorp holding approximately 40% of the outstanding shares of FCB Bancorp common stock have indicated that they intend to vote their shares in favor of the proposed merger.
Following the merger, it is anticipated that the bank subsidiaries of National Mercantile Bancorp and FCB Bancorp will merge and that the leadership team for both the new holding company and the merged bank will be as follows:
-- C. G. Kum, the CEO of FCB Bancorp, will serve as President
and CEO;
-- Romolo C. Santarosa, CFO of FCB Bancorp, will serve as
Executive Vice President and CFO;
-- Robert W. Bartlett, National Mercantile Bancorp's
Chief Operating Officer, will serve as Executive Vice President
and Chief Credit Officer;
-- David R. Brown, National Mercantile Bancorp's CFO, will serve
as Executive Vice President and Chief Strategy Officer;
-- Thomas E. Anthony, FCB Bancorp's Chief Credit Officer, will
serve as Executive Vice President, Head of Commercial Banking;
-- Scott Montgomery, National Mercantile Bancorp's President and
CEO, after assisting in the transition, will retire.
First California Financial Group's board of directors will initially be comprised of five directors from National Mercantile Bancorp and five directors from FCB Bancorp, with Robert E. Gipson, currently Chairman of National Mercantile Bancorp, as the Chairman and John W. Birchfield, currently Chairman of FCB Bancorp, as the Vice Chairman. Additionally, Mr. Birchfield will initially serve as the Chairman of the merged bank. On a pro forma basis giving effect to the merger, the combined company would have had at March 31, 2006, consolidated assets of approximately $1 billion with twelve full service offices and four loan production offices in Los Angeles, Ventura and Orange Counties.
About National Mercantile Bancorp
National Mercantile Bancorp is the holding company for Mercantile National Bank and South Bay Bank, with four full service offices located in Century City, Encino, Torrance and El Segundo and loan production offices in Costa Mesa and Beverly Hills. The bank's focus is in business banking with specialty lending expertise in the entertainment, healthcare, professional services, real estate escrow, business and residential construction, property management industries and community-based non-profit organizations.
About FCB Bancorp
FCB Bancorp, and its wholly owned subsidiary, First California Bank, is a community banking company with headquarters in Ventura County, California. First California Bank has eight full service offices located in Anaheim Hills, Camarillo, Irvine, Oxnard, Simi Valley, Thousands Oaks, Ventura and Westlake Village along with loan production offices located in Sherman Oaks and Torrance.
Forward-Looking Statements
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (PSLRA), including statements about the financial condition of National Mercantile Bancorp and FCB Bancorp, anticipated consummation of the merger and the timing thereof and their ability to integrate following the merger. The forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Those factors include, but are not limited to, regulatory and shareholder approval for the proposed transaction, the impact of the current national and regional economy on small business loan demand in Southern California, loan delinquency rates, the ability of the companies and their subsidiaries to retain customers, interest rate fluctuations and the impact on margins, demographic changes, demand for the products and services of the companies and their subsidiaries, as well as their ability to attract and retain qualified people, competition with other banks and financial institutions, and other factors. For a discussion of factors that could cause actual results to differ, please see the reports on Forms 10-K or 10-KSB and 10-Q or 10-QSB as filed with the Securities and Exchange Commission (the "SEC"). Readers should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof. Neither National Mercantile Bancorp nor FCB Bancorp undertakes any obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. This statement is included for the express purpose of protecting the companies under PSLRA's safe harbor provisions.
Additional Information
The proposed merger will be submitted to the shareholders of each of National Mercantile Bancorp and FCB Bancorp for their consideration. First California Financial Group, Inc. will file a registration statement, which will include a joint proxy statement/prospectus to be sent to the shareholders of each of National Mercantile Bancorp and FCB Bancorp, and each of First California Financial Group, National Mercantile Bancorp and FCB Bancorp may file other relevant documents concerning the proposed merger with the SEC. Shareholders are urged to read the registration statement and the joint proxy statement/prospectus regarding the proposed merger when they become available and any other relevant documents filed with the SEC, as well as any amendments or supplements to those documents, because they will contain important information. You will be able to obtain a free copy of the joint proxy statement/prospectus, as well as other filings containing information about First California Financial Group, National Mercantile Bancorp and FCB Bancorp, at the SEC's website (http://www.sec.gov). You will also be able to obtain these documents, free of charge, by accessing National Mercantile Bancorp's website (http://www.mnbla.com) under the tab "Investor Relations", or by accessing FCB Bancorp's website (http://www.fcbank.com) under the tab "About Us".
National Mercantile Bancorp and FCB Bancorp and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of National Mercantile Bancorp and FCB Bancorp in connection with the proposed merger. Information about the directors and executive officers of National Mercantile Bancorp is set forth in the proxy statement for its 2006 annual meeting of shareholders, as filed with the SEC on April 20, 2006. Information about the directors and executive officers of FCB Bancorp is set forth in its Annual Report on Form 10-K, as filed with the SEC on March 31, 2006. Additional information regarding the interests of those participants and other persons who may be deemed participants in the transaction may be obtained by reading the joint proxy statement/prospectus regarding the proposed merger when it becomes available. You may obtain free copies of these documents as described above.
CONTACT: National Mercantile Bancorp
Scott Montgomery, President & CEO
(310) 277-2265
smontgomery@mnbla.com
FCB Bancorp
C. G. Kum, President and CEO
(805) 484-0534
cgkum@fcbank.com
CWBS..
Commonwealth Bankshares, Inc., Norfolk, VA, Announces an 11-for-10 Stock Split
May 18, 2006 17:00:37 (ET)
NORFOLK, Va., May 18, 2006 /PRNewswire-FirstCall via COMTEX/ -- (CWBS, Trade) -- The Directors of Commonwealth Bankshares, Inc. announced today the declaration of an 11-for-10 stock split, payable June 30, 2006, to shareholders of record as of June 19, 2006. Shareholders will receive 1 additional share for every 10 shares held. Edward J. Woodard, Jr., CLBB, Chairman of the Board, President and Chief Executive Officer, commented, "Commonwealth Bankshares is dedicated to enhancing the value of our shareholders' investment in our Company. The larger number of shares that will be outstanding as a result of this stock split should increase the float and trading volume in our stock to further benefit our shareholders. This stock split will help broaden our shareholders base and further strengthen the marketability of the shares. It also reinforces our confidence in the future growth of Commonwealth Bankshares and complements future capital planning. In addition, I am proud to say we have provided a total return to our shareholders, which includes appreciation in share price and reinvestment of cash dividends, of 50% in 2005. In fact, over a 3 and 5 year period, Commonwealth Bankshares' stock has enjoyed an average total return of 158% and 424%, respectively. These returns far exceed the most successful banking organizations in the country today."
About Commonwealth Bankshares
Commonwealth Bankshares, Inc. is the parent of Bank of the Commonwealth which opened its first office in Norfolk, Virginia, in 1971, creating a community bank that was attuned to local issues and could respond to the needs of local citizens and businesses. Over the last three decades, the Company's growth has mirrored that of the communities it serves. Today, Bank of the Commonwealth has ten bank branches strategically located throughout the Hampton Roads region and an extensive ATM network for added convenience. The Company continues to grow and develop new services, such as Online Banking and a Corporate Cash Management program and at the same time, maintain the longstanding commitment to personal service. Our slogan conveys our true corporate philosophy: "When you bank with us, you bank with your neighbors." Bank of the Commonwealth offers insurance services through its subsidiary BOC Insurance Agencies of Hampton Roads, Inc., title services through its subsidiary Executive Title Center, mortgage funding services through its subsidiary Bank of the Commonwealth Mortgage and investment related services through its new subsidiary, Commonwealth Financial Advisors, LLC.* Additional information about the company, its products and services, can be found on the Web at http://www.bankofthecommonwealth.com.
*Securities and Insurance Products are: *not insured by FDIC or any Federal Government Agency * May Lose Value * Not a Deposit of or Guaranteed by the Bank or any Bank Affiliate. Securities and insurance offered through BI Investments, LLC. member NASD and SIPC. BI Investments is associated with Bank of the Commonwealth. Commonwealth Financial Advisors, LLC is a wholly-owned subsidiary of Bank of the Commonwealth. This press release contains forward- looking statements. Words such as "anticipates," " believes," "estimates," "expects," "intends," "should," "will," variations of such words and similar expressions are intended to identify forward-looking statements. These statements reflect management's current beliefs as to the expected outcomes of future events and are not guarantees of future performance. These statements involve certain risks, uncertainties and assumptions that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed or forecasted in such forward-looking statements. Factors that could cause a difference include, among others: changes in the national and local economies or market conditions; changes in interest rates, deposit flows, loan demand and asset quality, including real estate and other collateral values; changes in banking regulations and accounting principals, policies or guidelines; and the impact of competition from traditional or new sources. These and other factors that may emerge could cause decisions and actual results to differ materially from current expectations. Commonwealth Bankshares, Inc. undertakes no obligation to revise, update, or clarify forward-looking statements to reflect events or conditions after the date of this release.
SOURCE Commonwealth Bankshares, Inc.
WILCAN..
If the location is some where around or north of Moosehead lake in Maine the demographs do not lend themselves much for population growth.. I would expect that this bank was started by a few locals with the help of a summertime resident that came from a finanical background..
The growth seems to be stuck in the 10% to 12% range because asset growth is limited due to the stable nature of population.. Although land and home prices have esculated in your area the loan to equity levels have not gotten the leverage of people trading up with thier equity.. This is because of the almost lack of any new industry start ups or movement in Northern Maine.. Nice place to visit for a while but not a magnet for retirement money or capitol needed to build industry...
Its return on assets is .93% which is low on my scale and I believe that also indicates the lack of new deposits flow due to other well footprinted banks in the area.. Habits in Maine are hard to break and where you bank is one of them....
The payout is at 16% on div and that seems in line with a faster growing small bank but in this case should be around the 40% level in order to get full value from ownership..
The last and usually best reason to own a small bank is missing,, that is the takeout premium by another bank for its footprint.. As there is no growth in the area what you have is a bank that fits your present lifestyle,, slow for sure,, but steady and a loooong winter..
Its worth per share if I were to take a stab at it was that real bid was around 109.00 and if you wanted to buy any in size you end up paying 138.00.. Lifestyles are worth far more than reality and this one fits that description.. I should know,, I have a house on the Northern coast Newfoundland In a little hamlet called Harry's Harbour surrounded by KIng's Point, Silverdale,, Nipper's Harbour and Indian Burial Ground,, all small without any poulation growth for the last 20 years.. But the view to the north Atlantic,, the seals,,whale and icebergs with a moose, carabu and bear coming thru once in a while make it all seem so unreal compaired to the states that you don't know why it seems as though no one else is there from the outside but you.. Then you realise thats the real reason you are there... I will be up in Ornio Me this summer to pick up some wooden oars made by some real craftsman "Shaw and Tenney"...They have a website...How far away is your little peace of heaven...... By the way,, how close did I get.. your bio said Northern Maine... hank
Hank, Thanks for your forum, I enjoy and learn from it.
I have a small stake (or steak) in a local bank that is not publically traded. I've been curious as to its value. Wondering if you could take a quick glance and see what you think its value is if it was public. TIA
in thousands..
Years Ended December 31, 2005 2004 2003
Loans (net) $266,013 246,683 $218,841
Total assets 370,087 343,439 329,480
Deposits 282,647 252,568 231,324
Total shareholders’ 22,420 20,546 18,922
Net income 3,471 3,181 3,204
Dividends 555 489 430
Earnings per share 11.49 10.40 10.43
Book value per share 74 67 62
previous two years - similar progression...
sorry - posting doesnt seem to like spaces...
Week Ending 06/09/06
This was a tough week.. I sold out the total position in FRGB.. Not that it isn't the greatest bank in America but because there has been persistant insider selling around the 90.00 level.. The MM know that so the spreads get larger the closer FRGB gets to 90.. I will be back soon in this position and hopefully at a lower price..
During the week ANCX announced a secondary.. Insiders of ANCX continue to buy almost weekly and that is a good sign.. Especally in the front of a small secondary offering..
Purchases this week were made in FCEN, FSGI, FNRN, and SOCB..
FCEN is becoming high on my list as a holding and FNRN seems to be ramping up it's efficency and RSE numbers and I expect that earnings will be very good on the comps... The account was down 1.16% this week.. Not bad considering what has happen to the broader markets.. hank
I stll believe that 5.25% will be the TOP for Fed funds.. Hank
Week 17:06/09/06.. (-$7957.00) Total $45,094
Symbol Shrs Trade Price Paid Gain Holdings Value
ANCX 4,935 9.70 11.09 $6,859.65 (12.53%) $47,869.50
ATBC 1,229 28.10 27.89 $258.09 (0.75%) $34,534.90
CHKJ.OB 1,916 17.25 17.37 $229.92 (0.69%) $33,051.00
CRFN 115 14.11 13.58 $60.65 (3.88%) $1,622.65
CWBS 3,510 29.34 27.66 $5,896.80 (6.07%) $102,983.40
FCEN.OB 2,218 32.50 26.79 $12,664.78 (21.31%) $72,085.00
FNRN.OB 1,037 27.00 26.97 $31.11 (0.11%) $27,999.00
FSGI 2,270 12.07 11.11 $2,179.20 (8.64%) $27,398.90
MBLA 1,604 14.77 14.57 $324.17 (1.39%) $23,691.08
PEBK 432 27.15 28.88 $747.32 (5.99%) $11,728.80 $0.00
PKBK 1,896 19.60 19.98 $720.48 (1.90%) $37,161.60
PSBC 828 17.7501 18.32 $471.88 (3.11%) $14,697.08
SAVB 4,353 37.06 35.04 $8,793.06 (5.76%) $161,322.19
SOCB 403 22.00 21.88 $48.36 (0.55%) $8,866.00
WBNK 620 17.014 17.24 $140.12 (1.31%) $10,548.68
Total Profit/Position Value(USD): $21,087.71 (3.55%) $615,727.94
Week Ending 06/09/06 Positions Total $615,727.94...+21,087.71 (3.55%)
This week's trading profits.. +$3209
Total Trading Profits since 02/10/06: +$24,007
This Weeks Change -($7957.00)
Total gain: $45,094 including Trading Profits and losses of...PRWT +$288, PLFE +$988, SAVB +$872, FCEN +$3637, FIS +$2584, FLNC -($1437), VCBI-($1238), IBCA+$2626, UBFO +$14,987, FRGB $4253, ACBA -($2354),ANNB -$1199.00....
Also purchased some CWBS...Thanks 10 Bagger.
Mike
Purchased some CACB today. Time to watch the paint dry and the corn grow :)
Mike
CACB...
CACB has been on and off my screens for several years.. What you highlite is the basis of a great investment in a small bank.. Although not cheap,, It's footprint is in high networth demograpic areas..I have looked at what you sent me and when thru the 10K and 10Q's for the past year I find another Small Bank/with over 1 billion in assets to add to my list.. I will be a buyer on the bid in modest amounts until I establish a position.. Do not pay the offer ever when buying small banks.. Thanks for the Idea as it was not presently on my radar screen..Great bank that knows how to grow.. The merger will cause a reduction in returns because of a larger base,, but this management is a profit finder from any opportunity... The 1 billion in assets is larger than I usually like but CACB is so unique with it's footprin I think it belongs in my portfolio,,,, Today I bought some more FCEN and FNRN.. Take a look at them and you will see 2 more great Small Banks... hank
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Hank's portfolio of Small Banks...
Return on eguity must be > 7.75%
Return on assets must be > .5%**
Asset Growth must be positive...
Income growth rates >
Diluted EPS growh rate >
Efficiency Ratio improving...If above 0.56% (improvement over previous period must be at least 0.04%..)
Is a ratio used to calculate a bank's efficiency.
Non-interest expense divided by net interest income plus non interest income less interest expense.
Investopedia Says: However the ratio is calculated, its purpose is to evaluate the overhead structure
of a financial institution. Banking is no different from any mature industry - the surviving companies are those that keep costs down. The efficiency ratio gives us a measure of how effectively a bank is operating. Efficiency is usually a decent measure of profitability.
Increase in income from sources other than interest growth >
**BASED ON EQUITY,,LESS ANY NEW EQUITY FUNDING DURING THE PREVIOUS 12 MONTHS...
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