MADISON, Wis., Aug. 7, 2014 (GLOBE NEWSWIRE) -- Anchor BanCorp Wisconsin Inc. (the "Company") today announced its financial results for the quarter ended June 30, 2014. Net income was $2.6 million for the quarter compared to $1.9 million in the quarter ended March 31, 2014 and a net loss of $5.4 million for the quarter ended June 30, 2013. Earnings per share were $0.29 for the quarter compared to $0.21 for the quarter ended March 31, 2014, and a loss per share of $0.25 or a loss per share available to common equity of $0.42 for the quarter ended June 30, 2013. The prior year quarter net loss available to common equity includes preferred stock dividends and discount accretion which is no longer recorded since the preferred stock was cancelled as part of the recapitalization transaction we completed in September, 2013.
"We are encouraged by AnchorBank's continued, steady progress since the recapitalization," stated Chris Bauer, President & CEO for AnchorBank. "We remain focused on our overall financial health and profitability, with a strategic focus on expanded commercial banking and lending capabilities. To that end, we are pleased to have added six experienced commercial bankers to our team during the first half of this year. Looking to the future, we will continue our work toward improved asset quality, increased core deposits and a more efficient operating model across all lines of business."
Highlights for the quarter ended June 30, 2014, include:
- Net income of $2.6 million for the second quarter was an increase of $8.0 million over the prior year quarter ended June 30, 2013 net loss of $5.4 million and increased $687,000, or 35.6%, over the quarter ended March 31, 2014.
- Non-interest expense declined by $4.5 million during the quarter to $22.9 million compared to the prior year quarter of $27.4 million as we continue efforts to control expenses. Expenses reflected a slight increase over the quarter ended March 31, 2014, $538,000, primarily due to other real estate owned valuation adjustments.
- Tier 1 capital was 9.75% at June 30, 2014 compared to 9.60% as of December 31, 2013. The total risk-based capital ratio for the Bank was 17.40% as of June 30, 2014, compared to 17.07% at December 31, 2013.
- Total non-performing loans decreased $26.3 million, or 38.4%, to $42.2 million at June 30, 2014 from $68.5 million at December 31, 2013.
- Total non-performing assets (total non-performing loans and other real estate owned) decreased $33.6 million, or 25.5 %, to $98.3 million at June 30, 2014 from $132.0 million at December 31, 2013; as the Bank continues to reduce problem asset levels. Non-performing assets have steadily declined for more than three years from $455.3 million at March 31, 2010 to the current balance, a 78.4% decrease as a result of continued efforts by management to reduce such problem assets.
- There was no provision for loan losses for the quarter ended June 30, 2014. This is a decrease when compared to $275,000 for the year ago quarter.
- Loan delinquencies (loans past due 30 days or more) decreased $22.6 million, or 34.7%, to $42.6 million at June 30, 2014 from $65.2 million at December 31, 2013.
"We have made tremendous strides over the last three quarters, and look forward to continued momentum," Bauer said. "As always, we remain extremely grateful for the opportunity to provide banking services to our Wisconsin customers and clients, as we have done for 95 years."
About Anchor BanCorp Wisconsin Inc.
AnchorBank, fsb has 54 offices, all of which are located in Wisconsin.
Forward-Looking Statements
This news release contains certain forward-looking statements, as that term is defined in the U.S. federal securities laws. In the normal course of business, we, in an effort to help keep our shareholders and the public informed about our operations, may from time to time issue or make certain statements, either in writing or orally, that are or contain forward-looking statements. Generally, these statements relate to business plans or strategies, projections involving anticipated revenues, earnings, liquidity, capital levels, profitability or other aspects of operating results or other future developments in our affairs or the industry in which we conduct business. Although we believe that the anticipated results or other expectations reflected in our forward-looking statements are based on reasonable assumptions, we can give no assurance that those results or expectations will be attained. You should not put undue reliance on any forward-looking statements. Forward-looking statements speak only as of the date they are made and we undertake no obligation to update them in light of new information or future events, except to the extent required by federal securities laws.
| Anchor BanCorp Wisconsin Inc. | ||||||
| CONSOLIDATED FINANCIAL SUMMARY | ||||||
| (Unaudited) | ||||||
| Qtr ended | ||||||
| ($ in 000's, except per share data) | Quarter ended | Year-to-Date | 06/14-06/13 | |||
| INCOME STATEMENT | 6/30/2014 | 3/31/2014 | 6/30/2013 | 6/30/2014 | 6/30/2013 | Incr(Decr) |
| Net interest income | $ 17,862 | $ 18,315 | $ 13,417 | $ 36,177 | $ 28,237 | 33% |
| Provision for loan losses | -- | -- | 275 | -- | 950 | (100%) |
| Non-interest income: | ||||||
| Loan servicing income (loss), net | 740 | 774 | 55 | 1,514 | 110 | N/M |
| Service charges on deposits | 2,523 | 2,266 | 2,580 | 4,789 | 4,949 | (2%) |
| Investment and insurance commissions | 1,131 | 856 | 1,063 | 1,987 | 2,015 | 6% |
| Net gain on sale of loans | 698 | 592 | 2,793 | 1,290 | 5,823 | (75%) |
| Net gain on sale of investments | -- | 301 | -- | 301 | (200) | 0% |
| Net gain on sale of OREO | 1,040 | 161 | 925 | 1,201 | 2,262 | 12% |
| Other | 1,478 | 982 | 1,436 | 2,460 | 1,396 | 3% |
| Total non-interest income | 7,610 | 5,932 | 8,852 | 13,542 | 16,355 | (14%) |
| Non-interest expense: | ||||||
| Personnel costs | 10,739 | 11,162 | 11,130 | 21,901 | 21,272 | (4%) |
| Net occupancy and equipment expense | 2,405 | 3,004 | 2,836 | 5,409 | 5,909 | (15%) |
| Data processing expense | 1,315 | 1,371 | 1,420 | 2,686 | 3,282 | (7%) |
| OREO expense | 2,267 | 1,185 | 4,289 | 3,452 | 16,548 | (47%) |
| Professional fees | 953 | 760 | 1,766 | 1,713 | 3,525 | (46%) |
| Other | 5,176 | 4,835 | 5,934 | 10,011 | 12,507 | (13%) |
| Total non-interest expense | 22,855 | 22,317 | 27,375 | 45,172 | 63,043 | (17%) |
| Net income (loss) before taxes | 2,617 | 1,930 | (5,381) | 4,547 | (19,401) | 149% |
| Income tax expense (benefit) | 10 | -- | -- | 10 | -- | 0% |
| Net income (loss) | 2,607 | 1,930 | (5,381) | 4,537 | (19,401) | 148% |
| Preferred stock dividends in arrears | -- | -- | (1,701) | -- | (3,363) | N/M |
| Preferred stock discount accretion | -- | -- | (1,863) | -- | (3,706) | N/M |
| Net income (loss) available to common equity | $ 2,607 | $ 1,930 | $ (8,945) | $ 4,537 | $ (26,470) | 129% |
| SHARE DATA | ||||||
| Diluted earnings (loss) per share: | ||||||
| Net income (loss) | $ 0.29 | $ 0.21 | $ (0.25) | $ 0.50 | $ (0.91) | 215% |
| Net income (loss) available to common equity | 0.29 | 0.21 | (0.42) | 0.50 | (1.25) | 169% |
| Cash dividends | -- | -- | -- | -- | -- | -- |
| Book value | 23.37 | 22.84 | (8.33) | N/M | ||
| Average diluted shares outstanding | 9,050,000 | 9,050,000 | 21,247,000 | 9,050,000 | 21,247,000 | (57%) |
| KEY RATIOS AND DATA | ||||||
| Net interest margin (FTE) | 3.51% | 3.66% | 2.33% | 3.58% | 2.47% | 1.18 |
| Return on average assets | 0.49% | 0.37% | (0.91%) | 0.43% | (2.53%) | 1.40 |
| Average equity (deficit) to average assets | 9.88% | 9.81% | (2.64%) | 9.85% | (2.34%) | 12.52 |
| Total risk based capital | 17.40% | 17.43% | 9.21% | 8.19 | ||
| Tier 1 risk-based capital | 16.12% | 16.14% | 7.90% | 8.22 | ||
| Tier 1 leverage | 9.75% | 9.69% | 4.57% | 5.18 | ||
| N/M = not meaningful | ||||||
| Anchor BanCorp Wisconsin Inc. | ||||||
| (Unaudited) | ||||||
| Ending | ||||||
| balances | ||||||
| (in 000's) | Quarter ended Averages | Ending balances | 06/14-12/13 | |||
| BALANCE SHEET | 6/30/14 | 12/31/13 | 6/30/13 | 6/30/14 | 12/31/13 | Incr(Decr) |
| Assets: | ||||||
| Investment securities | $ 290,578 | $ 287,797 | $ 269,194 | $ 295,290 | $ 277,872 | 6% |
| Loans held for sale | 3,482 | 4,137 | 20,592 | 5,261 | 3,085 | 71% |
| Loans: Mortgage | 1,181,865 | 1,242,172 | 1,299,868 | 1,203,966 | 1,232,132 | (2%) |
| Consumer | 351,332 | 371,332 | 402,009 | 349,925 | 367,831 | (5%) |
| Commercial | 21,454 | 21,863 | 25,594 | 16,002 | 21,591 | (26%) |
| Total loans | $ 1,554,651 | $ 1,635,367 | $ 1,727,471 | $ 1,569,893 | $ 1,621,554 | (3%) |
| Allowance for loan losses | (53,357) | (69,854) | (78,162) | (49,175) | (65,182) | (25%) |
| Interest earning deposits in banks | 153,033 | 144,748 | 212,980 | 138,365 | 99,257 | 39% |
| Other assets | 167,561 | 177,792 | 200,717 | 161,615 | 175,888 | (8%) |
| Total assets | $ 2,115,948 | $ 2,179,987 | $ 2,352,792 | $ 2,121,249 | $ 2,112,474 | 0% |
| Liabilities and Stockholders' Equity (Deficit): | ||||||
| Total deposits | $ 1,870,141 | $ 1,932,837 | $ 2,005,072 | $ 1,873,240 | $ 1,875,293 | (0%) |
| Other borrowed funds | 15,434 | 19,167 | 319,530 | 13,781 | 12,877 | 7% |
| Other liabilities | 21,290 | 24,724 | 90,289 | 22,721 | 22,106 | 3% |
| Total liabilities | $ 1,906,865 | $ 1,976,728 | $ 2,414,891 | $ 1,909,742 | $ 1,910,276 | (0%) |
| Total stockholders' equity (deficit) | 209,083 | 203,259 | (62,099) | 211,507 | 202,198 | 5% |
| Total liabilities & stockholders' equity (deficit) | $ 2,115,948 | $ 2,179,987 | $ 2,352,792 | $ 2,121,249 | $ 2,112,474 | 0% |
| Qtr ended | ||||||
| Quarter ended | Year-to-Date | 06/14-06/13 | ||||
| CREDIT QUALITY | 6/30/14 | 12/31/13 | 6/30/13 | 6/30/2014 | 6/30/2013 | Incr(Decr) |
| Provision for loan losses | $ -- | $ -- | $ 275 | $ -- | $ 950 | (100%) |
| Net charge-offs | 4,322 | 6,671 | 4,218 | 16,007 | 8,839 | 2% |
| Ending allowance for loan losses | 49,175 | 65,182 | 75,872 | (35%) | ||
| Key Metrics | ||||||
| Loans 30 to 89 days past due | $ 18,008 | $ 16,165 | $ 20,406 | (12%) | ||
| Non-performing loans (NPL) | 42,167 | 68,497 | 106,968 | (61%) | ||
| Other real estate owned | 56,170 | 63,460 | 68,241 | (18%) | ||
| Non-performing assets | 98,337 | 131,957 | 175,209 | (44%) | ||
| Allowance for loan losses to NPL | 116.62% | 95.16% | 70.93% | 45.69 | ||