SOURCE: F & M Bank Corp.

F & M Bank Corp.

January 22, 2014 10:14 ET

F & M Bank Corp. Reports Full Year and 4th Quarter 2013 Financial Results

TIMBERVILLE, VA--(Marketwired - Jan 22, 2014) - F & M Bank Corp. (OTCQB: FMBM), parent company of Farmers & Merchants Bank, announces its financial results for the full year and fourth quarter ended December 31, 2013, as well as its recently declared fourth quarter dividend. 

                         
Selected Financial Highlights:                                
      2013 YTD       2012 YTD       2013 Q4       2012 Q4  
Net Income (000's)   $ 4,716     $ 4,901     $ 1,184     $ 1,244  
Earnings per share     1.88       1.96       0.46       0.49  
Net Interest Margin     4.02 %     3.92 %     4.07 %     4.03 %
Allowance for loan losses as a percentage of loans     1.71 %     1.75 %     1.71 %     1.75 %
Provision for loan losses (000's)   $ 3,775     $ 4,200     $ 750     $ 1,500  
Non-Performing Loans (000's)   $ 12,581     $ 13,386     $ 12,581     $ 13,386  
Equity to Assets     9.79 %     8.27 %     9.79 %     8.27 %
Efficiency Ratio     58.15 %     54.03 %     61.89 %     50.82 %
                                 

Dean Withers, President and CEO, commented, "We're pleased to announce that our fourth quarter and year to date earnings for 2013 total $1.184 million and $4.716 million, respectively." Withers continued, "Full year and quarterly results in 2013 include a decrease of $1.038 million and $541 thousand, respectively in pre-tax interest income on loans held for sale that we warehoused for an out of market bank. Due to a variety of factors, including an increase in long term mortgage rates, this relationship has virtually dried up as of year-end 2013. We are encouraged that increasing core earnings within our local footprint virtually offset the decline in income from loans held for sale. Our 2013 results also reflect the continued growth in our Dealer Finance division and our Fishersville loan production office. As the economy in our primary local markets continues to improve we expect continued growth in assets and earnings."

Withers stated, "Non-performing loans at $12.6 million decreased approximately $.8 million from 2012. We continue to work with our borrowers as real estate development sales increase and the overall economy improves." Withers continued, "On January 16, 2014, our Board of Directors declared a fourth quarter dividend of $0.17 per share. Based on our most recent trade price o f $17.15 per share, this dividend constitutes a 3.97% yield on an annualized basis. The dividend will be paid on February 10, 2014 to shareholders of record as of January 29, 2014." Highlights of the company's financial performance are included below.

F & M Bank Corp. is an independent, locally-owned, community bank holding company, offering a full range of financial services, through its subsidiary, Farmers & Merchants Bank's nine banking offices in Rockingham, Shenandoah and Page Counties, Virginia. The Bank also provides additional services through two loan production offices located in Penn Laird, VA and Fishersville, VA and through its subsidiary, VBS Mortgage located in Harrisonburg, VA. Additional information may be found by contacting us on the internet at www.FMBankVA.com or by calling (540) 896-8941.

This press release may contain "forward-looking statements" as defined by federal securities laws, which may involve significant risks and uncertainties. These statements address issues that involve risks, uncertainties, estimates and assumptions made by management, and actual results could differ materially from the results contemplated by these forward-looking statements. Factors that could have a material adverse effect on our operations and future prospects include, but are not limited to, changes in: interest rates, general economic conditions, legislative and regulatory policies, and a variety of other matters. Other risk factors are detailed from time to time in our Securities and Exchange Commission filings. Readers should consider these risks and uncertainties in evaluating forward-looking statements and should not place undue reliance on such statements. We undertake no obligation to update these statements following the date of this press release. 

   
   
F & M Bank Corp.
Financial Highlights
 
    For Twelve Months
Ended December 31
 
INCOME STATEMENT   Unaudited
2013
    Unaudited
2012
 
Interest and Dividend Income   $ 25,965,584     $ 27,224,539  
Interest Expense     4,772,743       6,294,071  
  Net Interest Income     21,192,841       20,930,468  
Non-Interest Income     4,032,429
      3,773,357
 
Provision for Loan Losses     3,775,000       4,200,000  
Other Non-Interest Expenses     14,719,995       13,361,377  
  Income Before Income Taxes & Securities Transactions     6,730,275       7,142,448  
Securities Gains (Losses)     -       -  
Provision For Income Taxes     1,907,297
      2,095,357
 
Less Minority Interest     107,185       145,967  
Net Income   $ 4,715,793     $ 4,901,084  
Average Shares Outstanding     2,504,015       2,496,300  
Net Income Per Common Share     1.88       1.96  
Dividends Declared     .68       .64  
                 
                 
                 
BALANCE SHEET     Unaudited
December 30, 2013
      Unaudited
December 30, 2012
 
Cash and Due From Banks   $ 5,834,596     $ 7,960,633  
Interest Bearing Bank Deposits     708,049       1,283,581  
Federal Funds Sold     2,000       -  
Loans Held for Sale     3,804,425       77,206,517  
Loans Held for Investment     478,453,008       465,819,073  
  Less Allowance for Loan Losses     (8,184,376 )     (8,154,074 )
  Net Loans Held for Investment     470,268,632       457,664,999  
Securities     38,485,768       18,807,173  
Other Assets     33,684,697       33,981,232  
  Total Assets   $ 552,788,167     $ 596,904,135  
                 
Deposits   $ 464,149,244     $ 453,795,539  
Short Term Debt     3,423,078       34,597,352  
Long Term Debt     11,500,000       37,714,286  
Subordinated Debt     10,191,000
      10,191,000
 
Other Liabilities     9,383,610       11,221,998  
  Total Liabilities     498,646,932       547,520,175  
Stockholders' Equity     54,141,235       49,383,960  
  Total Liabilities and Stockholders' Equity   $ 552,788,167     $ 596,904,135  
Book Value Per Common Share   $ 21.56     $ 19.76  
                 
                 

Contact Information

  • INVESTOR RELATIONS CONTACT:
    Neil Hayslett
    EVP/CAO
    Farmers & Merchants Bank
    540-896-8941
    NHayslett@FMBankVA.com