ITHACA, Mich., May 21, 2015 (GLOBE NEWSWIRE) -- Commercial National Financial Corporation (Pink Sheets:CEFC) today announced 2015 first quarter net income of $636,000, or $0.20 per share compared to 2014 first quarter net income of $542,000, or $0.17 per share. The increase in net income was primarily attributable to higher net interest income and lower operating expenses. Total loans grew $8.7 million, or 3.3% when comparing March 31, 2015 to March 31, 2014.
Additionally, the Board of Directors declared a regular quarterly cash dividend of 13 cents per share payable July 1, 2015 to shareholders of record on June 12, 2015. Based on the May 20, 2015 closing price of $8.30 per share, the annualized dividend yield is 6.27%.
Lastly, we have been approved by Mergent Inc.’s Editorial Board for listing in Mergent’s Manuals and News Reports™. First published in 1918, and formerly known as Moody’s™ Manuals and News Reports, the Mergent manual is a recognized securities manual in 39 states for purposes of Blue Sky Manual Exemption. CEFC’s listing in this manual will aid the brokerage community in making a market for the company’s stock.
Commercial National Financial Corporation operates through a single subsidiary bank, Commercial Bank, with full-service banking offices in Alma, Greenville, Hastings, Ithaca, Lake Odessa, Middleton and St. Louis and a loan production office in Mt. Pleasant, Michigan.
| Selected Financial Data (unaudited): | ||||||
| Quarter Ended March 31, | ||||||
| 2015 | 2014 | |||||
| Return on Equity (ROE) | 11.32 | % | 10.27 | % | ||
| Return on Assets (ROA) | .69 | .59 | ||||
| Interest Margin | 3.19 | 3.16 | ||||
| Efficiency Ratio | 68.52 | 73.60 | ||||
| Non-performing Assets Ratio | .78 | .99 | ||||
| Tier 1 Leverage Capital(1) | 8.61 | 8.33 | ||||
| Total Risk-based Capital(1) | 15.59 | 15.58 | ||||
| Book Value Per Share | $ | 7.10 | $ | 6.62 | ||
| (1) Capital ratios are for Commercial Bank. | ||||||
| Consolidated Statements of Income (unaudited): | ||||||
| Quarter Ended March 31, | ||||||
| 2015 | 2014 | |||||
| Interest Income | $ | 3,568,082 | $ | 3,562,109 | ||
| Interest Expense | 845,226 | 953,785 | ||||
| Net Interest Income | 2,722,856 | 2,608,324 | ||||
| Provision for loan losses | 106,574 | 45,913 | ||||
| Non-interest income | 443,004 | 401,476 | ||||
| Operating Expenses | 2,185,259 | 2,238,076 | ||||
| Income before taxes | 874,027 | 725,811 | ||||
| Income tax expense | 237,763 | 184,060 | ||||
| Net Income | $ | 636,264 | $ | 541,751 | ||
| Net Income per share – basic | $ | 0.20 | $ | 0.17 | ||
| Net Income per share – diluted | $ | 0.20 | $ | 0.17 | ||
| Consolidated Balance Sheets (unaudited): | ||||||
| March 31, | ||||||
| 2015 | 2014 | |||||
| Assets | ||||||
| Cash and cash equivalents | $ | 15,943,546 | $ | 17,632,887 | ||
| Time deposits with other banks | 18,563,000 | 18,468,000 | ||||
| Securities | 47,232,016 | 63,984,223 | ||||
| Loans | 274,474,544 | 265,746,171 | ||||
| Allowance for loan losses | (2,604,074 | ) | (2,657,944 | ) | ||
| Loans, net | 271,870,470 | 263,088,227 | ||||
| Bank premises and equipment | 4,380,464 | 4,345,400 | ||||
| Other assets | 17,723,661 | 15,253,663 | ||||
| Total Assets | $ | 375,713,157 | $ | 382,772,400 | ||
| Liabilities | ||||||
| Deposits | $ | 307,340,384 | $ | 332,307,212 | ||
| Other borrowings | 30,990,757 | 16,995,847 | ||||
| Trust preferred | 10,310,000 | 10,310,000 | ||||
| Other liabilities | 3,970,650 | 1,627,622 | ||||
| Total Liabilities | 352,611,791 | 361,240,681 | ||||
| Equity | ||||||
| Common stock and paid in capital | 13,572,835 | 13,572,841 | ||||
| Retained earnings | 9,396,528 | 8,565,572 | ||||
| Accumulated OCI | 132,003 | (606,694 | ) | |||
| Total Equity | 23,101,366 | 21,531,719 | ||||
| Total Liabilities and Equity | $ | 375,713,157 | $ | 382,772,400 | ||