SOURCE: First Bancorp of Indiana, Inc.

January 25, 2008 16:53 ET

First Bancorp of Indiana, Inc. Announces Earnings

EVANSVILLE, IN--(Marketwire - January 25, 2008) - First Bancorp of Indiana, Inc. (NASDAQ: FBEI), the holding company for First Federal Savings Bank, reported earnings of $248,000 for the second fiscal quarter ended December 31, 2007, compared to earnings of $228,000 for the same quarter in fiscal 2007. The 8.8 percent improvement in quarterly net earnings was attributed largely to fee income enhancements that offset a more compressed net interest margin. For the first six months of fiscal 2008, net income was $436,000, compared with $401,000 in the like period a year ago. The year-to-date comparative results reflect the October 1, 2006, acquisition of Home Building Bancorp, Inc. (HBBI).

Second quarter earnings represented 14 cents per average outstanding share (diluted) compared to 13 cents for the quarter ended December 31, 2006. For the first two quarters of the fiscal 2008, diluted earnings per share totaled 24 cents on 1.80 million average shares compared to 24 cents on 1.67 million shares during the same period the preceding year. The greater number of diluted shares in fiscal 2008 was attributed primarily to the 293,946 shares issued in conjunction with the HBBI acquisition.

Certain information in this press release may constitute forward-looking information that involves risks and uncertainties that could cause actual results to differ materially from those estimated. Persons are cautioned that such forward-looking statements are not guarantees of future performance and are subject to various factors that could cause actual results to differ materially from those estimated. Undue reliance should not be placed on such forward-looking statements.

First Bancorp of Indiana, Inc. and First Federal Savings Bank, an FDIC-insured federal stock savings bank, operate from headquarters in Evansville, Indiana.

                      First Bancorp of Indiana, Inc.
                    Consolidated Financial Highlights
                              (in thousands)

                        12/31/2007    6/30/2007
                        ===========  ===========
Selected Balance Sheet
 Data:                  (unaudited)
Total assets                368,296      362,992
Investment securities        40,870       44,602
Mortgage-backed
 securities                  48,606       35,496
Loans receivable, net       232,045      233,237
Deposit accounts            228,354      251,234
Borrowings                   99,653       72,496
Equity capital               34,407       34,218

                              Three months               Six months
                           ended December 31,        ended December 31,
                           2007         2006         2007         2006
                        ===========  ===========  ===========  ===========
Operating Results:      (unaudited)  (unaudited)  (unaudited)  (unaudited)
Interest income               5,268        5,058       10,503        9,109
Interest expense              3,342        3,076        6,724        5,493
                        -----------  -----------  -----------  -----------
Net interest income           1,926        1,982        3,779        3,616
Provision for loan
 losses                         115          100          195          195
                        -----------  -----------  -----------  -----------
Net interest income
 after provision              1,811        1,882        3,584        3,421
Noninterest income              606          459        1,096          960
Noninterest expense           2,107        2,037        4,140        3,859
                        -----------  -----------  -----------  -----------
Income before income
 taxes and cumulative
 effect of a change in          310          304          540          522
 accounting principle
Income taxes                     62           76          104          121
Cumulative effect of
 change in accounting
 principle                        0            0            0            0
                        -----------  -----------  -----------  -----------
Net income                      248          228          436          401


                               At or for                 At or for
                            the three months           the six months
Selected Financial         ended December 31,        ended December 31,
 Ratios:                   2007         2006         2007         2006
                        ===========  ===========  ===========  ===========
Performance Ratios:     (unaudited)  (unaudited)  (unaudited)  (unaudited)
Return on average
 assets                        0.27%        0.26%        0.24%        0.25%
Return on average
 equity                        2.90%        2.67%        2.56%        2.57%
Basic earnings per
 share                         0.14         0.13         0.24         0.25
Diluted earnings per
 share                         0.14         0.13         0.24         0.24
Interest rate spread           2.12%        2.16%        2.08%        2.15%
Net interest margin            2.34%        2.47%        2.29%        2.44%
Other expenses as a %
 of average total
 assets                        2.31%        2.32%        2.27%        2.38%

Asset Quality Ratios:
Nonperforming loans as
 a % of total loans            0.05%        0.25%        0.05%        0.25%
Nonperforming assets as
 a % of total assets           0.07%        0.18%        0.07%        0.18%
Allowance for loan
 losses as a % of total
 loans                         0.43%        0.53%        0.43%        0.53%
Allowance for loan
 losses as a % of
 nonperforming loans         783.59%      208.28%      783.59%      208.28%

Contact Information

  • CONTACT:
    Michael H. Head
    President and CEO
    First Bancorp of Indiana
    812-492-8100