CRANBURY, NJ--(Marketwire - November 2, 2009) - 1ST Constitution Bancorp (
NASDAQ:
FCCY), the
parent company of 1ST Constitution Bank, reported net income of $621,234
for the quarter ended September 30, 2009, or $0.10 per diluted common
share, compared to net income of $782,394 for the quarter ended September
30, 2008, or $0.18 per diluted common share.
For the nine months ended September 30, 2009, the Company reported net
income of $1,632,534, or $0.26 per diluted common share, compared with net
income of $2,302,437, or $0.54 per diluted common share, for the first nine
months of 2008.
At September 30, 2009, the Company's tangible book value per common share
was $10.73, up from $10.11 at September 30, 2008.
Earnings per common share for the third quarter of 2009 and for the nine
months ended September 30, 2009 reflect the impact of accrued dividends and
discount accretion on the preferred stock issued to the United States
Treasury on December 23, 2008. The 2008 per common share amounts have been
restated to give effect to a 5 percent stock dividend paid on common shares
on February 2, 2009.
Robert F. Mangano, President and Chief Executive Officer, said, "The
decline in net income for the quarter ended September 30, 2009 as compared
to the same quarter in 2008 was principally the result of increases in
non-interest expenses relating primarily to FDIC insurance premiums,
salaries and employee benefits, and an increased provision for loan
losses."
Interest income for the quarter ended September 30, 2009 increased to
$7,467,175, up $77,922, or 10.5 percent, from the $7,389,253 reported for
the third quarter of 2008. Further supporting earnings for the quarter was
the continued generation of non-interest income, which reached $1,233,197,
up $276,423, or 28.9 percent, above the same prior year quarter.
The provision for loan losses for the quarter ended September 30, 2009
totaled $505,000 compared to $175,000 for the same period last year. Net
charge-offs for the nine months ended September 30, 2009 were $865,850,
compared to $303,316 for the year ended December 31, 2008.
At September 30, 2009, the allowance for loan losses was $4,111,914, an
increase of $427,150 from December 31, 2008. The ratio of the allowance
for loan losses to total loans was 1.09 percent at September 30, 2009, and
0.98 percent at December 31, 2008.
Total assets at September 30, 2009 reached $667.6 million, representing an
increase of $121.3 million compared to total assets of $546.3 million at
December 31, 2008. Deposits at September 30, 2009 grew to $556.2 million,
up from $414.7 million at December 31, 2008.
At September 30, 2009 1ST Constitution Bank's capital ratios were all above
the levels required to be categorized as "well capitalized." The Bank's
total risk-based capital, Tier I risk-based capital, and leverage capital
ratios were 17.81 percent, 16.86 percent, and 11.09 percent, respectively,
at September 30, 2009. The regulatory requirements to be considered "well
capitalized" for total risk-based capital, Tier I risk-based capital, and
leverage capital ratios are 10 percent, 6 percent, and 5 percent,
respectively.
1ST Constitution Bancorp, through its primary subsidiary, 1ST Constitution
Bank, operates eleven branch banking offices in Cranbury (2), Fort Lee,
Hamilton, Hightstown, Jamesburg, Montgomery, Perth Amboy, Plainsboro, West
Windsor and Princeton, New Jersey.
1ST Constitution Bancorp common stock is traded on the Nasdaq Global Market
under the trading symbol "FCCY." Information about 1ST Constitution
Bancorp can be accessed via the Internet at
www.1STCONSTITUTION.com.
The foregoing contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. Such statements are not
historical facts and include expressions about management's confidence and
strategies and management's expectations about new and existing programs
and products, relationships, opportunities, taxation, technology and market
conditions. These statements may be identified by such forward-looking
terminology as "expect," "look," "believe," "anticipate," "may," "will," or
similar statements or variations of such terms. Actual results may differ
materially from such forward-looking statements. Factors that may cause
results to differ materially from such forward-looking statements include,
but are not limited to, changes in the direction of the economy in New
Jersey, the direction of interest rates, effective income tax rates, loan
prepayment assumptions, continued levels of loan quality and origination
volume, continued relationships with major customers including sources for
loans, a higher level of net loan charge-offs and delinquencies than
anticipated, passage by Congress of a law which unilaterally amends the
terms of the Treasury's preferred stock investment in 1ST Constitution
Bancorp in a way that adversely affects 1ST Constitution Bancorp, bank
regulatory rules, regulations or policies that restrict or direct certain
actions, the adoption, interpretation and implementation of new or
pre-existing accounting pronouncements, a change in legal and regulatory
barriers including issues related to compliance with anti-money laundering
and bank secrecy act laws, as well as the effects of general economic
conditions and legal and regulatory barriers and structure. 1ST
Constitution Bancorp assumes no obligation for updating any such
forward-looking statements at any time, except as required by law.
1st Constitution Bancorp
Selected Consolidated Financial Data
(unaudited)
($ in thousands except per
share amounts) Three Months Ended Nine Months Ended
September 30, September 30,
2009 2008 2009 2008
--------- --------- --------- ---------
Income Statement Data:
Interest income $ 7,467 $ 7,389 $ 22,473 $ 21,748
Interest expense 3,117 3,202 9,404 9,547
--------- --------- --------- ---------
Net interest income 4,350 4,187 13,069 12,201
Provision for loan losses 505 175 1,293 535
--------- --------- --------- ---------
Net interest income after
prov. for loan losses 3,845 4,012 11,776 11,666
Non-interest income 1,233 957 3,023 2,548
Non-interest expenses 4,350 3,909 13,162 10,940
--------- --------- --------- ---------
Income before income taxes 728 1,060 1,637 3,274
Income tax expense 107 278 4 972
--------- --------- --------- ---------
Net income 621 782 1,633 2,302
Preferred stock dividends and
accretion 177 0 543 0
--------- --------- --------- ---------
Net income available to common
shareholders $ 444 $ 782 $ 1,090 $ 2,302
========= ========= ========= =========
Balance Sheet Data:
Total Assets $ 667,641 $ 513,562
Loans, including loans held
for sale 392,510 374,934
Allowance for loan losses (4,112) (3,729)
Securities available for sale 133,257 87,064
Securities held to maturity 36,139 16,131
Deposits 556,173 390,577
Shareholders' Equity 57,903 43,069
Performance Ratios:
Return on average assets 0.38% 0.62% 0.36% 0.64%
Return on average equity 4.34% 7.39% 3.89% 7.36%
Net interest margin
(tax-equivalent basis) 2.87% 3.61% 3.09% 3.69%
Efficiency ratio 77.9% 76.0% 81.8% 74.2%
Asset Quality:
Loans past due over 90 days
and still accruing $ 6 $ 0
Nonaccrual loans 5,015 2,482
OREO property 2,711 5,007
Net charge-offs (recoveries) 866 154
Allowance for loan losses to
total loans 1.09% 1.03%
Nonperforming loans to total
loans 1.34% 0.66%
Per Common Share Data:
Earnings per share - Basic $ 0.10 $ 0.19 $ 0.26 $ 0.55
Earnings per share - Diluted $ 0.10 $ 0.18 $ 0.26 $ 0.54
Book value per share $ 10.89 $ 10.27
Tangible book value per share $ 10.73 $ 10.11
Contact Information: CONTACT:
Robert F. Mangano
President & Chief Executive Officer
(609) 655-4500
Joseph M. Reardon
Senior Vice President & Treasurer
(609) 655-4500