HAMMOND, LA--(Marketwire - October 20, 2010) - FPB Financial Corp. (
Net income available to common shareholders for the three month period ending September 30, 2010 decreased to $439,000; ($1.19 diluted available earnings per common share) compared to $843,000 ($2.34 diluted available earnings per common share) in the 2009 period.
Earnings for the quarter were affected by increases in net interest income of $95,000, provisions for loan losses of $270,000, non-interest expense of $296,000, and a decrease in total non-interest income of $236,000, as compared to the third quarter of 2009.
Net interest income in the quarter increased 5.0% primarily due to our net interest margin increasing to 4.98% from 4.76%.
Provisions for loan losses increased 300.0% to $360,000 due to an increase in non-performing assets and other regional economic factors. Non-performing assets increased to $3.4 million, or 1.95% of average total assets compared to $1.1 million, or 0.61% of average total assets at September 30, 2009. Net loan charge-offs totaled $61,000 for the three month period compared to $230,000 in the second quarter of 2010 and $103,000 in the three months ending September 30, 2009. Allowance for loan losses increased in the twelve month period ending September 30, 2010 to $2.6 million, or 75.6% of non-performing assets.
Non-interest expenses increased 18.9% due to increases in compensation, professional fees, and other expenses.
Non-interest income decreased $236,000 or 21.4% primarily due to a $497,000 decline in gain on sale of real estate/investments. Mortgage banking income increased $288,000, or 171.3% due to an increase in mortgage refinancing volume.
Total assets increased 2.0% to $173.8 million as compared to September 30, 2009, primarily due to an $8.8 million increase in cash and cash equivalents offset by a $7.3 million decrease in net loans. Total deposits increased $1.2 million. Non-maturity demand/transaction/saving deposits increased $8.5 million, or 11.2%.
Net premises & equipment decreased $1.1 million or 12.5% as compared to September 30, 2009, primarily due to the 2009 sale of the bank's former main office facility and the 2010 transfer of $780,000 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 September 30, 2010, now held as OREO and listed for sale at market value.
Total stockholders equity decreased $1.7 million, or 10.4% to $14.7 million for the twelve month period ending September 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 $1.6 million, or 12.0% to $14.7 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 September 30, 2010.
FPB Financial Corp. reported the following for September 30, 2010, and as compared to September 30, 2009:
-- Net Interest Margin increased to 5.01% from 4.43% -- Net Interest income increased $95,000, or 5.0% -- Non-maturity deposits increased $8.5 million, or 11.2% -- Total Assets increased $3.5 million, or 2.0% -- Tangible Common Stockholders' Equity increased $1.6 million, or 12.0% -- Tangible Common Book Value per share increased to $40.11, or 9.7% -- Allowance for Loan Losses increased to $2.6 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. Sept 30, June 30, Sept 30, Selected Balances 2010 2010 2009 ------------ ------------ ------------ (Unaudited) (Unaudited) (Unaudited) Cash and Cash Equivalents $ 14,905,312 $ 14,650,738 $ 6,103,749 Investment and Mortgaged-backed Securities 19,576,218 14,783,997 17,866,826 Net Loans 129,279,354 130,665,499 136,555,992 Other Real Estate Owned (OREO) 780,000 780,000 118,800 Non-Performing Assets (Includes OREO) 3,382,282 3,270,674 1,006,400 Allowance for Loan Losses 2,557,660 2,258,188 2,050,127 Total Assets 173,846,280 170,099,652 170,376,487 Non-Interest Bearing Deposits 20,685,754 20,123,747 20,645,329 Interest-Bearing Deposits 109,092,755 106,357,036 107,932,788 Non-Maturity Deposits (Included in interest and non-interest bearing deposits) 84,246,936 80,377,355 75,738,011 Brokered Deposits (Included in interest-bearing deposits) 6,155,733 6,152,947 5,438,889 FHLB Advances 25,372,851 25,379,298 20,905,639 Subordinated Debentures/Trust Preferred Securities 3,093,000 3,093,000 3,093,000 Tangible Common Stockholders' Equity (Includes other comprehensive income (OCI)) 14,730,768 14,410,112 13,151,351 Tangible Common Book Value per Share (Includes OCI) $ 40.11 $ 39.23 $ 36.55 CONSOLIDATED STATEMENTS OF EARNINGS For the Three Months For the Nine Months Ended Ended Sept 30, June 30, Sept 30, Sept 30, Sept 30, 2010 2010 2009 2010 2009 (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) INTEREST INCOME: Mortgage Loans $2,119,298 $2,122,376 $2,008,764 $6,333,143 $5,858,942 Consumer Loans 210,359 210,800 318,297 627,297 939,306 Commercial Loans 70,784 66,054 62,046 195,278 189,065 Consumer & Commercial Lines of Credit 39,812 38,877 106,011 113,806 292,094 FHLB stock and other Investment Securities/ Deposits 60,333 63,770 53,836 180,178 164,001 Mortgage-backed securities 50,053 57,970 92,319 175,145 375,286 ---------- ---------- ---------- ---------- ---------- TOTAL INTEREST INCOME 2,550,639 2,559,847 2,641,273 7,624,847 7,818,694 ---------- ---------- ---------- ---------- ---------- INTEREST EXPENSE: Deposits 365,102 396,882 502,498 1,126,270 1,622,904 Federal Home Loan Bank Advances 174,642 195,627 222,354 573,777 758,617 Subordinated Debentures/ Trust Preferred Securities 28,749 26,756 29,280 81,414 98,786 ---------- ---------- ---------- ---------- ---------- TOTAL INTEREST EXPENSE 568,493 619,265 754,132 1,781,461 2,480,307 ---------- ---------- ---------- ---------- ---------- NET INTEREST INCOME 1,982,146 1,940,582 1,887,141 5,843,386 5,338,387 Provisions for loan losses 360,000 175,000 90,000 700,000 465,000 ---------- ---------- ---------- ---------- ---------- NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES 1,622,146 1,765,582 1,797,141 5,143,386 4,873,387 ---------- ---------- ---------- ---------- ---------- NON-INTEREST INCOME Mortgage Banking 456,356 235,255 168,213 833,606 549,647 Service charge on deposits 248,839 236,080 252,682 715,261 671,343 Interchange Fees 83,121 76,195 71,904 231,731 207,802 Loan Fees and Charges 35,189 25,246 37,193 92,975 99,460 Gain/(Loss) on Sale of Real Estate/ Investments 17,374 16,712 514,566 101,318 718,015 Gain/(Loss) on Investment Trading Accounts (3,123) (104) 16,716 36,604 86,749 Investment Impairment Charge 0 0 0 0 (169,923) Other 29,262 32,246 41,348 91,694 182,520 ---------- ---------- ---------- ---------- ---------- TOTAL NON-INTEREST INCOME 867,018 621,630 1,102,622 2,103,189 2,345,613 ---------- ---------- ---------- ---------- ---------- NON-INTEREST EXPENSE Compensation and Employee Benefits 1,016,409 900,242 828,407 2,761,518 2,578,443 Occupancy, Property Taxes, and Equipment 199,114 183,246 166,434 565,474 537,435 Technology and Information Processing 143,940 143,438 147,258 414,775 319,149 Federal Deposit Insurance, Supervisory Fees/Taxes 90,015 85,285 128,559 263,728 381,596 Professional Fees 102,141 71,433 49,770 240,852 159,884 Other 308,448 249,346 243,737 743,742 721,135 ---------- ---------- ---------- ---------- ---------- TOTAL NON-INTEREST EXPENSE 1,860,067 1,632,990 1,564,165 4,990,089 4,697,642 ---------- ---------- ---------- ---------- ---------- INCOME BEFORE INCOME TAXES 629,097 754,222 1,335,598 2,256,486 2,521,358 Income Tax Expense (Benefit) 190,109 226,341 448,896 682,070 903,241 ---------- ---------- ---------- ---------- ---------- NET INCOME 438,988 527,881 886,702 1,574,416 1,618,117 Dividends Paid to Preferred Shareholders 0 42,545 44,145 74,190 99,081 Accretion of Discount on Preferred Stock 0 63,150 0 102,672 0 ---------- ---------- ---------- ---------- ---------- Net Income Available to Common Shareholders $ 438,988 $ 422,186 $ 842,557 $1,397,554 $1,519,036 ========== ========== ========== ========== ========== Available Earnings Per Common Share $ 1.21 $ 1.16 $ 2.39 $ 3.85 $ 4.35 Diluted Available Earnings Per Common Share $ 1.19 $ 1.15 $ 2.34 $ 3.80 $ 4.22 Dividends Paid per Common Share $ 0.14 $ 0.14 $ 0.14 $ 0.42 $ 0.42 Net Income to Average Assets (Annualized) 1.01% 1.23% 2.02% 1.24% 1.23% Net Income to Average Total Stockholders' Equity (Annualized) 11.90% 13.25% 22.02% 13.49% 14.41% Net Interest Margin 4.98% 4.95% 4.76% 5.01% 4.43% Efficiency Ratio 65.28% 63.73% 52.32% 62.80% 61.14% Net Loan Charge-Off/ (Recoveries) $ 60,529 $ 230,187 $ 102,870 $ 330,949 $ 144,541 to Average Net Loans 0.05% 0.17% 0.08% 0.25% 0.11% Non-Performing Assets 3,382,282 3,270,674 1,066,400 3,382,282 1,066,400 to Average Total Assets 1.95% 1.91% 0.61% 1.99% 0.60% Allowance for Loan Losses 2,557,660 2,258,188 2,050,127 2,557,660 2,050,127 to Average Net Loans 1.96% 1.71% 1.52% 1.95% 1.54% to Non-Performing Assets 75.62% 69.04% 192.23% 75.62% 192.23% CONSOLIDATED STATEMENTS OF CONDITION Sept 30, 2010 June 30, 2010 Sept 30, 2009 (Unaudited) (Unaudited) (Unaudited) ASSETS: Cash and Cash Equivalents $ 14,905,312 $ 14,650,738 $ 6,103,749 Investment and Mortgage-Backed Securities 19,576,218 14,783,997 17,866,826 Net Loans 129,279,354 130,665,499 136,555,992 Premises and Equipment, Net 7,696,355 7,731,234 8,779,567 Other Real Estate Owned 780,000 780,000 118,800 Other Assets 1,609,041 1,488,184 951,553 ------------- ------------- ------------- TOTAL ASSETS $ 173,846,280 $ 170,099,652 $ 170,376,487 ============= ============= ============= LIABILITIES: Deposits 129,778,509 126,480,783 128,578,117 Federal Home Loan Bank Advances 25,372,851 25,379,298 20,905,639 Subordinated debentures/trust preferred securities 3,093,000 3,093,000 3,093,000 Other Liabilities 871,152 736,459 1,408,380 ------------- ------------- ------------- TOTAL LIABILITIES $ 159,115,512 $ 155,689,540 $ 153,985,136 ============= ============= ============= STOCKHOLDERS' EQUITY: Common Stock $ 4,283 $ 4,283 $ 4,207 Capital Surplus 6,244,738 6,244,738 6,128,276 Retained Earnings 9,500,098 9,111,912 7,972,182 Unearned Compensation (57,978) (57,978) (85,980) Treasury Stock (1,227,321) (1,227,321) (1,227,321) Other Comprehensive Income (Loss) 266,948 334,478 359,987 ------------- ------------- ------------- Total Tangible Common Stockholders' Equity 14,730,768 14,410,112 13,151,351 Total Preferred Stockholders' Equity 0 0 3,240,000 ------------- ------------- ------------- Total Stockholders' Equity 14,730,768 14,410,112 16,391,351 ------------- ------------- ------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 173,846,280 $ 170,099,652 $ 170,376,487 ============= ============= =============
Fritz W. Anderson II, Chairman of the Board announced today that "On October 14, 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 increased to $0.36 per share. This dividend rate is composed of a regular quarterly dividend rate of $0.14 per share and a special year-end dividend of $0.22 per share and will be paid on December 24, 2010 to stockholders of record at the close of business on December 10, 2010."
Contact Information: For More Information Contact: Fritz W. Anderson, II President, Chief Executive Officer, And Chairman FPB Financial Corp. (985) 345-1880