CINCINNATI, July 17, 2008 (PRIME NEWSWIRE) -- Cheviot Financial Corp. (Nasdaq:CHEV), the parent company of Cheviot Savings Bank, today reported net earnings in the second fiscal quarter of 2008 of $446,000, or $0.05 cents per share compared with net earnings of $272,000, or $0.03 cents per share for the second fiscal quarter of 2007. For the six months ended June 30, 2008 net earnings totaled $543,000, or $0.06 cents per share compared with net earnings of $478,000, or $0.05 cents per share for the six months ended June 30, 2007.
The quarter-over-quarter increase in net earnings reflects a $229,000 increase in net interest income and a $24,000 increase in other income, which were partially offset by a $29,000 increase in general, administrative and other expenses, a $25,000 increase in the provision for losses on loans and a $25,000 increase in the provision for federal income taxes.
For the first six months of 2008, the Company's increase in earnings generally reflected an increase of $286,000 in net interest income, a decrease of $90,000 in general, administrative and other expenses, as well as a $20,000 decrease in the provision for federal income taxes, which were partially offset by a $288,000 increase in the provision for losses on loans and a $43,000 decrease in other income. The increase in the provision for losses on loans reflects the allocation of approximately $285,000 in reserves for seven residential properties totaling $443,000 which were acquired through foreclosure during the six months ended June 30, 2008. As of June 30, 2008, four of these properties have been sold at a net gain of approximately $18,000, with a gain of $24,000 being deferred for loans to facilitate the sale of real estate acquired through foreclosure.
In January 2008, the Company announced a stock repurchase plan which provided for the repurchase of 5% or 447,584 shares of our common stock. As of June 30, 2008, the Company had purchased 59,575 shares pursuant to the plan at an average price of $9.59.
At June 30, 2008, Cheviot Financial Corp. had consolidated total assets of $326.7 million, total liabilities of $259.1 million, including deposits of $214.7 million, and shareholders' equity of $67.6 million, or 20.7% of total assets. At June 30, 2008, the Savings Bank exceeded all capital adequacy requirements with tangible, core and risk-based capital ratios of 16.7%, 16.7% and 32.1%.
Cheviot Savings Bank was established in 1911 and currently has six full-service offices in Hamilton County, Ohio.
Unaudited financial statements follow.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this release which are not historical facts are forward-looking and involve risks and uncertainties. The company undertakes no obligation to update any forward-looking statement.
Cheviot Financial Corp.
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In thousands)
(Unaudited)
June 30, December 31,
ASSETS 2008 2007
-------- --------
Cash and cash equivalents $ 6,606 $ 9,450
Investment securities 44,247 45,492
Loans receivable 261,215 249,832
Other assets 14,586 14,286
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Total assets $326,654 $319,060
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LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits $214,706 $219,526
Advances from the FHLB 42,169 28,665
Other liabilities 2,210 2,949
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Total liabilities 259,085 251,140
Shareholders' equity 67,569 67,920
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Total liabilities and
shareholders' equity $326,654 $319,060
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Cheviot Financial Corp.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except share data)
(Unaudited)
Three months ended Six months ended
June 30, June 30,
--------------- ---------------
2008 2007 2008 2007
------ ------ ------ ------
Total interest income $4,420 $4,418 $8,951 $8,755
Total interest expense 2,109 2,336 4,495 4,585
------ ------ ------ ------
Net interest income 2,311 2,082 4,456 4,170
Provision for losses on loans 25 -- 288 --
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Net interest income after
provision for losses on loans 2,286 2,082 4,168 4,170
Other income 153 129 215 258
General, administrative
and other expense 1,831 1,802 3,639 3,729
------ ------ ------ ------
Earnings before federal
income taxes 608 409 744 699
Federal income taxes 162 137 201 221
------ ------ ------ ------
NET EARNINGS $ 446 $ 272 $ 543 $ 478
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Earnings per share - basic
and diluted $ 0.05 $ 0.03 $ 0.06 $ 0.05
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