GNADENHUTTEN, Ohio, Jan. 21, 2005 (PRIMEZONE) -- Indian Village Bancorp, Inc. (OTCBB:IDVB), the holding company for Indian Village Community Bank, today reported results for the three months and six months ended December 31, 2004.
Net income for the three months ended December 31, 2004 totaled $74,000 compared to $85,000 for the same period in 2003, a decrease of $11,000, or 12.9%. Net income was $152,000 for the six months ended December 31, 2004 compared to $207,000 for the six months ended December 31, 2003, a decrease of $55,000, or 26.6%. Basic earnings and diluted earnings per share were $0.20 and $0.23 for the three months ended December 31, 2004 and December 31, 2003, respectively. Basic earnings per share were $0.41 and $0.57 for the six months ended December 31, 2004 and December 31, 2003, respectively. Diluted earnings per share were $0.41 and $0.56 for the six months ended December 31, 2004 and December 31, 2003, respectively.
Net interest income after the provision for loan losses for the three months ended December 31, 2004 totaled $516,000 as compared to $491,000 for the same period in 2003, an increase of $25,000, or 5.1%. Net interest income after the provision for loan losses totaled $1.1 million for the six months ended December 31, 2004, a $93,000 increase from the same period in 2003. Total interest income was $1.3 million for the three months ended December 31, 2004, a $16,000 increase from the same three months period in 2003. Total interest income was $2.6 million for the six months ended December 31, 2004, a $77,000 increase from the same six month period in 2003. Total interest income increased primarily because of the increase in net loans offset by a decrease in securities available for sale. Interest expense for the three months ended December 31, 2004 was $755,000, a $1,000 increase from the same period one year prior. Interest expense for the six months ended December 31, 2004 was $1.5 million, a $6,000 decrease from the same period in 2003. Interest expense decreased due to a decrease in borrowings offset by an increase in deposits. The provision for loan losses for the three months ended December 31, 2004 was $30,000 compared to $40,000 for December 31, 2003. The provision for loan losses for the six months ended December 31, 2004 was $60,000 compared to $70,000, a decrease of $10,000, or 14.3%.
Non-interest income for the three months ended December 31, 2004 was $43,000, compared to $46,000 for the same period in 2003, a decrease of $3,000. For the six months ended December 31, 2004, non-interest income was $98,000 a decrease of $32,000 from the same period in 2003. The decrease in non-interest income was primarily attributed to a decrease in realized gains on sales of securities. Non-interest expense for the three months ended December 31, 2004 was $488,000, a $39,000 increase from the same period in 2003. Non-interest expense for the six months ended December 31, 2004 was $1.0 million, a $125,000, or 14.1% increase from the same period in 2003. The primary factors contributing to the increase in non-interest expense was the increase in salaries and employee benefits, occupancy and equipment, and other expenses. Other expenses primarily increased due to several ongoing projects the Bank is undertaking to improve customer service, including offering check imaging to our customers, changing our debit card/ATM processing and offering a fully operational web-site to our customers by the end of fiscal 2005.
At December 31, 2004 total assets were $97.9 million compared to $99.6 million at June 30, 2004, a decrease of $1.7 million, or 1.7%. Securities available for sale decreased to $29.0 million at December 31, 2004 from $37.3 million at June 30, 2004, a decrease of $8.3 million, or 22.3%. Net loans receivable increased to $58.8 million at December 31, 2004 from $53.9 million at June 30, 2004, an increase of $4.8 million, or 9.0%. The increase in net loans receivable consists primarily of an increase in residential and consumer loans. Deposits increased to $60.8 million at December 31, 2004 from $60.5 million at June 30, 2004, an increase of $308,000, or 0.5%. The increase in total deposits consists primarily of an increase to certificates of deposit offset by a decrease in non-interest bearing demand deposit accounts. Borrowings from the FHLB totaled $28.3 million at December 31, 2004, compared to $30.5 million at June 30, 2004, a decrease of $2.3 million, or 7.4%.
Non-performing assets consisted of $170,000 of nonaccrual loans at December 31, 2004, or 0.2% of total assets, a decrease of $415,000 from June 30, 2004. The nonaccrual loans consist solely of residential loans. The allowance for loan losses totaled $242,000 at December 31, 2004, representing 142.4% of nonaccrual loans and 0.41% of gross loans receivable. At June 30, 2004 the allowance for loan losses totaled $237,000 and represented 40.5% of nonaccrual loans and 0.44% of gross loans receivable.
Total equity was $8.2 million at December 31, 2004, compared to $7.4 million at June 30, 2004. The increase in equity was the result of an increase in accumulated other comprehensive income and net income. At December 31, 2004 book value per share was $22.23. At December 31, 2004, the Bank exceeded all regulatory capital requirements to be categorized as "well capitalized" under applicable law and regulations.
This press release contains certain forward-looking statements within the meaning of the federal securities laws. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Reform Act of 1995, and is including this statement for purposes of these safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of the Company, are generally identified by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," or similar expressions. The Company's ability to predict results or actual effect of future plans or strategies is inherently uncertain. Factors which could have a material effect on the operations of the Company and the subsidiaries include, but are not limited to, changes in: interest rates, general economic conditions, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services in the Company's market area and accounting principles and guidelines. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. Except as required by law or regulation, the Company disclaims any obligation to update such forward-looking statements.
Indian Village Bancorp, Inc. is headquartered at 100 South Walnut Street, Gnadenhutten, Ohio 44629.
Selected Financial Condition and Operating Data
(Dollars in thousands except per share data)
(Unaudited)
December 31, June 30,
2004 2004
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Total Assets $ 97,949 $ 99,644
Loans receivable, net 58,759 53,915
Investment Securities 28,957 37,288
Deposits 60,849 60,541
Total borrowings 28,291 30,542
Total equity 8,246 7,422
Book value per share $ 22.23(a) $ 20.32(a)
Common shares outstanding 396,893 392,755
Three Months Ended Six Months Ended
December 31, December 31,
2004 2003 2004 2003
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Interest Income $ 1,301 $ 1,285 $ 2,646 $ 2,569
Interest Expense 755 754 1,523 1,529
Provision for loan losses 30 40 60 70
Net interest income 516 491 1,063 970
Non-interest income 43 46 98 130
Non-interest expense 488 449 1,009 884
Income before taxes 71 88 152 216
Income tax expense (benefit) (3) 3 -- 9
Net income 74 85 152 207
Earnings per share (basic) $ 0.20 $ 0.23 $ 0.41 $ 0.57
Earnings per share (diluted) $ 0.20 $ 0.23 $ 0.41 $ 0.56
(a) Represents total equity divided by outstanding number of common
shares at each respective period end.
ESOP shares are considered outstanding for this calculation
unless unearned.