HAMMOND, LA--(Marketwire - July 20, 2010) - FPB Financial Corp. (
Net income available to common shareholders for the three month period ending June 30, 2010 decreased 18.4% to $422,000; ($1.15 diluted available earnings per common share) compared to $516,000 ($1.45 diluted available earnings per common share) in the 2009 period.
Earnings for the quarter were affected by increases in net interest income of $155,000, provisions for loan losses of $75,000, non-interest expense of $106,000, and a decrease in total non-interest income of $62,000, as compared to the second quarter of 2009.
Net interest income in the quarter increased 8.7% primarily due to our net interest margin increasing to 4.95% from 4.34%.
Provisions for loan losses increased 75% to $175,000 due to an increase in non-performing assets. Non-performing assets increased to $3.3 million, or 1.91% of average total assets compared to $1.3 million, or 0.71% of average total assets at June 30, 2009. Net loan charge-offs totaled $230,000 for the three month period compared to $40,000 in the first quarter of 2010 and $36,000 in the three months ending June 30, 2009. Allowance for loan losses increased in the twelve month period ending June 30, 2010 to $2.3 million, or 69.7% of non-performing assets.
Non-interest expenses increased 6.9% due to increases in compensation, technology and information processing, and other expense.
Non-interest income decreased $62,000 or 9.1% due to a $71,000 decline in gain on sale of real estate/investments, and a $57,000 decline on investment trading accounts.
Total assets decreased 8.6% to $170.1 million as compared to June 30, 2009, primarily due to a $7.6 million decrease in cash and cash equivalents and a $1.7 million decrease in net loans. Total deposits declined $8.1 million, due to a reduction in time deposits. Non-maturity demand/transaction/saving deposits increased $5.3 million, or 7.1%.
Net premises & equipment decreased $1.2 million or 12.8% as compared to June 30, 2009, primarily due to the 2009 sale of the bank's former main office facility and the 2010 transfer of $649,000 from net premises and equipment to other real estate owned (OREO). This transfer at the lower of cost or appraised value of two real estate parcels previously held in net premises and equipment for future branch development are, at June 30, 2010, now held as OREO and listed for sale at market value.
Total stockholders equity decreased $931,000, or 6.1% to $14.4 million for the twelve month period ending June 30, 2010, due to a $3.4 million, redemption of Series A and Series B Preferred Stock which was partially offset by a $1.9 million increase in retained earnings. Total tangible common equity increased $2.3 million, or 19.1% to $14.4 million, primarily due to the increase in retained earnings.
Our subsidiary, Florida Parishes Bank, is considered "well capitalized" by all applicable federal banking regulations and definitions as of June 30, 2010.
FPB Financial Corp. reported the following for June 30, 2010, and as compared to June 30, 2009:
-- Net Interest Margin increased to 4.95% from 4.34% -- Net Interest income increased $155,000, or 8.7% -- Non-maturity deposits increased $5.3 million, or 7.1% -- Tangible Common Stockholders' Equity increased $2.3 million, or 19.1% -- Tangible Common Book Value per share increased to $39.23, or 15.1% -- Allowance for Loan Losses increased to $2.3 million
FPB Financial Corp. is headquartered in Hammond, LA and is the parent company of Florida Parishes Bank. The Company's common stock is traded under the "FPBF" symbol.
This news release contains certain forward-looking statements, including statements about the financial condition, results of operations and earnings outlook for FPB Financial Corp. and its subsidiaries. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "believe," "expect," "anticipate," "estimate" and "intend" or future or conditional verbs such as "will," "would," "should," "could" or "may." Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors, many of which are beyond the Company's control, could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. These factors include, among others, the following: general economic conditions, changes in interest rates, deposit flows, the cost of funds, changes in credit quality, interest rate risks associated with the Company's business and operations and the adequacy of our allowance for loan losses. Other factors include changes in our loan portfolio, changes in competition, fiscal and monetary policies and legislation and regulatory changes. We undertake no obligation to update any forward-looking statements.
FPB Financial Corp.
June 30, March 31, June 30,
Selected Balances 2010 2010 2009
------------ ------------ ------------
(Unaudited) (Unaudited) (Unaudited)
Cash and Cash Equivalents $ 14,650,738 $ 14,624,235 $ 22,269,570
Investment and Mortgaged-backed
Securities 14,783,997 12,601,735 14,001,157
Net Loans 130,665,499 132,275,591 132,411,716
Other Real Estate Owned (OREO) 649,491 156,828 36,000
Non-Performing Assets (Includes
OREO) 3,270,674 1,448,247 1,265,943
Allowance for Loan Losses 2,258,188 2,313,376 2,062,997
Total Assets 170,099,652 169,623,231 178,737,896
Non-Interest Bearing Deposits 20,123,747 19,743,132 20,534,338
Interest-Bearing Deposits 106,357,036 103,537,881 114,049,772
Non-Maturity Deposits (Included in
interest and non-interest bearing
deposits) 80,377,355 79,240,662 75,037,212
Brokered Deposits (Included in
interest-bearing deposits) 6,152,947 5,403,266 7,991,332
FHLB Advances 25,379,298 25,935,660 24,161,756
Subordinated Debentures/Trust
Preferred Securities 3,093,000 3,093,000 3,093,000
Tangible Common Stockholders' Equity
(Includes other comprehensive
income (OCI)) 14,410,112 13,978,579 12,100,569
Tangible Common Book Value per Share
(Includes OCI) $ 39.23 $ 38.06 $ 34.09
CONSOLIDATED STATEMENTS OF EARNINGS
For the Three Months Ended For the Six Months Ended
June 30, March 31, June 30, June 30, June 30,
2010 2010 2009 2010 2009
(Unaudited) (Unaudited)(Unaudited) (Unaudited) (Unaudited)
INTEREST
INCOME:
Mortgage
Loans $2,122,376 $2,091,469 $2,000,381 $4,213,845 $3,973,507
Consumer Loans 210,801 206,137 326,542 416,938 621,009
Commercial
Loans 66,054 58,440 69,582 124,494 127,019
Consumer &
Commercial
Lines of
Credit 38,877 35,120 31,585 73,994 62,754
FHLB stock and
other
Investment
Securities/
Deposits 63,771 56,074 55,644 119,845 110,165
Mortgage-backed
securities 57,971 67,121 143,651 125,092 282,967
---------- ---------- ---------- ---------- ----------
TOTAL INTEREST
INCOME 2,559,847 2,514,361 2,627,385 5,074,208 5,177,421
---------- ---------- ---------- ---------- ----------
INTEREST
EXPENSE:
Deposits 396,882 364,286 543,512 761,168 1,120,405
Federal Home
Loan Bank
Advances 195,627 203,508 263,458 399,135 536,263
Subordinated
Debentures/
Trust Preferred
Securities 26,756 25,909 34,196 52,665 69,506
---------- ---------- ---------- ---------- ----------
TOTAL INTEREST
EXPENSE 619,265 593,703 841,166 1,212,968 1,726,174
---------- ---------- ---------- ---------- ----------
NET INTEREST
INCOME 1,940,582 1,920,658 1,786,219 3,861,240 3,451,247
Provisions for
loan losses 175,000 165,000 100,000 340,000 375,000
---------- ---------- ---------- ---------- ----------
NET INTEREST
INCOME AFTER
PROVISION FOR
LOAN LOSSES 1,765,582 1,755,658 1,686,219 3,521,240 3,076,247
---------- ---------- ---------- ---------- ----------
NON-INTEREST
INCOME
Service charge
on deposits 236,080 230,342 213,054 466,422 418,661
Mortgage
Banking 235,255 141,995 185,774 377,250 381,434
Interchange
Fees 76,195 72,415 71,241 148,610 135,898
Loan Fees and
Charges 25,246 32,540 20,264 57,786 62,267
Gain/(Loss) on
Sale of Real
Estate/
Investments 16,712 67,232 88,156 83,944 203,449
Gain/(Loss) on
Investment
Trading
Accounts (104) 39,831 56,484 39,727 70,033
Investment
Impairment
Charge 0 0 0 0 (169,923)
Other 32,246 30,085 48,558 62,331 141,172
---------- ---------- ---------- ---------- ----------
TOTAL
NON-INTEREST
INCOME 621,630 614,440 683,531 1,236,070 1,242,991
---------- ---------- ---------- ---------- ----------
NON-INTEREST
EXPENSE
Compensation
and Employee
Benefits 900,242 844,867 824,036 1,745,109 1,750,036
Occupancy,
Property
Taxes, and
Equipment 183,246 183,114 190,812 366,360 371,030
Technology and
Information
Processing 143,438 127,397 106,630 270,835 171,891
Federal Deposit
Insurance,
Supervisory
Fees/Taxes 85,285 88,428 132,583 173,713 253,037
Professional
Fees 71,433 67,278 69,423 138,711 110,114
Other 249,346 185,941 203,580 435,287 477,396
---------- ---------- ---------- ---------- ----------
TOTAL NON-INTEREST
EXPENSE 1,632,990 1,497,025 1,527,064 3,130,015 3,133,504
---------- ---------- ---------- ---------- ----------
INCOME BEFORE
INCOME TAXES 754,222 873,073 842,686 1,627,295 1,185,734
Income Tax
Expense
(Benefit) 226,341 265,620 282,450 491,961 454,347
---------- ---------- ---------- ---------- ----------
NET INCOME 527,881 607,453 560,236 1,135,334 731,387
Dividends Paid
to Preferred
Shareholders 42,545 31,645 44,145 74,190 54,936
Accretion of
Discount on
Preferred
Stock 63,150 39,522 0 102,672 0
---------- ---------- ---------- ---------- ----------
Net Income
Available to
Common
Shareholders $ 422,186 $ 536,286 $ 516,091 $ 958,472 $ 676,451
========== ========== ========== ========== ==========
Available
Earnings Per
Common Share $ 1.16 $ 1.48 $ 1.48 $ 2.64 $ 1.95
Diluted
Available
Earnings Per
Common Share $ 1.15 $ 1.46 $ 1.45 $ 2.61 $ 1.91
Dividends Paid
per Common
Share $ 0.14 $ 0.14 $ 0.14 $ 0.28 $ 0.28
Net Income to
Average Assets
(Annualized) 1.23% 1.49% 1.25% 1.36% 0.83%
Net Income to
Average Total
Stockholders'
Equity
(Annualized) 13.25% 15.32% 17.45% 14.32% 11.63%
Net Interest
Margin 4.95% 5.12% 4.34% 5.04% 4.23%
Efficiency
Ratio 63.73% 59.05% 61.83% 61.41% 66.75%
Net Loan
Charge-Off/
(Recoveries) $ 230,187 $ 40,633 $ 35,739 $ 270,421 $ 41,671
to Average Net
Loans 0.17% 0.03% 0.03% 0.21% 0.04%
Non-Performing
Assets 3,270,674 1,448,247 1,265,943 3,270,674 1,265,943
to Average
Total Assets 1.91% 0.87% 0.71% 1.94% 0.71%
Allowance for
Loan Losses 2,258,188 2,313,376 2,062,997 2,258,188 2,062,997
to Average Net
Loans 1.71% 1.75% 1.56% 1.71% 1.55%
to Non-Performing
Assets 69.04% 159.74% 162.96% 69.04% 162.96%
CONSOLIDATED STATEMENTS OF CONDITION
March 31,
June 30, 2010 2010 June 30, 2009
(Unaudited) (Unaudited) (Unaudited)
ASSETS:
Cash and Cash Equivalents $ 14,650,738 $ 14,624,235 $ 22,269,570
Investment and Mortgage-Backed
Securities 14,783,997 12,601,735 14,001,157
Net Loans 130,665,499 132,275,591 132,411,716
Premises and Equipment, Net 7,861,743 8,601,175 9,014,290
Other Real Estate Owned 649,491 156,828 36,000
Other Assets 1,488,184 1,363,667 1,005,163
------------- ------------- -------------
TOTAL ASSETS $ 170,099,652 $ 169,623,231 $ 178,737,896
============= ============= =============
LIABILITIES:
Deposits 126,480,783 123,281,013 134,584,110
Federal Home Loan Bank
Advances 25,379,298 25,935,660 24,161,756
Subordinated debentures/trust
preferred securities 3,093,000 3,093,000 3,093,000
Other Liabilities 736,459 996,127 1,558,461
------------- ------------- -------------
TOTAL LIABILITIES $ 155,689,540 $ 153,305,800 $ 163,397,327
============= ============= =============
STOCKHOLDERS' EQUITY:
Common Stock $ 4,283 $ 4,283 $ 4,159
Capital Surplus 6,244,738 6,241,972 6,067,599
Retained Earnings 9,111,912 8,740,227 7,179,973
Unearned Compensation (57,978) (60,367) (95,007)
Treasury Stock (1,227,321) (1,227,321) (1,227,321)
Other Comprehensive Income
(Loss) 334,478 279,785 171,166
------------- ------------- -------------
Total Tangible Common
Stockholders' Equity 14,410,112 13,978,579 12,100,569
Total Preferred Stockholders'
Equity 0 2,338,852 3,240,000
------------- ------------- -------------
Total Stockholders' Equity 14,410,112 16,317,431 15,340,569
------------- ------------- -------------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $ 170,099,652 $ 169,623,231 $ 178,737,896
============= ============= =============
Fritz W. Anderson II, Chairman of the Board announced today that "On July 8, 2010, the Board of Directors of FPB Financial Corp. declared a cash dividend on the common stock of the Company bearing Cusip #302549 10 0. The dividend rate will be $0.14 per share and will be paid on September 24, 2010 to stockholders of record at the close of business on September 10, 2010."
Contact Information: For More Information Contact: Fritz W. Anderson, II President, Chief Executive Officer, and Chairman FPB Financial Corp. (985) 345-1880