SUFFOLK, Va., April 16, 2015 (GLOBE NEWSWIRE) -- TowneBank (Nasdaq:TOWN) has announced that for the 3rd consecutive year it has been named among 25 U.S. banking institutions to the KBW "Bank Honor Roll" of superior performers. Honor Roll winners are publicly traded banking institutions with more than $500 million in total assets that meet the following three conditions:
- No annual loss reported in net income per share before extraordinary items over the past 10 years;
- 2014 annual reported net income per share before extraordinary items equal to or greater than peak net income per share over the past 10 years; and
- Consecutive increases in net income per share before extraordinary items since 2009.
KBW found that 25 banking institutions, out of nearly 400 total companies screened, now qualify for inclusion on the KBW Bank Honor Roll; down from 31 institutions in the prior year. TowneBank is among 23 returning members to the 2014 list.
"The Bank Honor Roll is a way for KBW to acknowledge companies that have succeeded during what was a very challenging decade for banks," noted Fred Cannon, Global Director of Research at KBW. "These institutions have flourished by differentiating themselves from their peers, while at the same time, positioning themselves for further growth in what continues to be a difficult rate environment."
In terms of stock price performance, Bank Honor Roll companies significantly outperformed the banking industry during the five-year period between 2009 and 2014.
With average price appreciation of 15.2% compounded annually, the KBW Honor Roll banks outperformed the KBW Bank Index (BKX) and the KBW Regional Banking Index (KRX) five-year compound annual growth rates of 11.7% and 11.8%, respectively. Over this period, the KBW Honor Roll banks also outperformed the market, as measured by the S&P 500 Index (SPX), which increased 13.0%.
KBW Honor Roll banks also have better-than-industry performance ratios and growth rates when compared to the publicly traded bank universe with total assets over $500 million.
About KBW:
KBW, Inc., a Stifel Company, operates in the U.S. and Europe through its broker dealer subsidiaries, Keefe, Bruyette & Woods, Inc. and Keefe, Bruyette & Woods Limited. Over the years, KBW has established itself as a leading independent authority in the banking, insurance, brokerage, asset management, mortgage banking and specialty finance sectors. Founded in 1962, the firm maintains industry-leading positions in the areas of research, corporate finance, mergers and acquisitions as well as sales and trading in equities securities of financial services companies.
About TowneBank:
As one of the top community banks in Virginia and North Carolina, TowneBank operates 36 banking offices serving Chesapeake, Chesterfield County, Glen Allen, Hampton, James City County, Mechanicsville, Newport News, Norfolk, Portsmouth, Richmond, Suffolk, Virginia Beach, Williamsburg, and York County in Virginia along with Moyock, Grandy, Camden County, Southern Shores, Corolla and Nags Head in North Carolina. Towne also offers a full range of financial services through its controlled divisions and subsidiaries that include Towne Investment Group, Towne Insurance Agency, TFA Benefits, TowneBank Mortgage, TowneBank Commercial Mortgage, Berkshire Hathaway HomeServices Towne Realty, Towne 1031 Exchange, LLC, and Beach Properties of Hilton Head. Local decision-making is a hallmark of its hometown banking strategy that is delivered through the leadership of each group's President and Board of Directors. With total assets of $4.98 billion as of December 31, 2014, TowneBank is one of the largest banks headquartered in Virginia.