SOURCE: First Bancorp of Indiana, Inc.

First Bancorp of Indiana, Inc.

July 25, 2014 16:28 ET

First Bancorp of Indiana, Inc. Announces Financial Results

EVANSVILLE, IN--(Marketwired - Jul 25, 2014) - First Bancorp of Indiana, Inc., (OTCBB: FBPI), the holding company for First Federal Savings Bank, reported earnings of $387,000 for the for the quarter ended June 30, 2014, compared to net income of $353,000 in the same quarter last year. Despite a slowdown in residential mortgage activity, particularly the refinancing of existing loans, net loans grew $20.4 million, or 9.5%, during the intervening 12 months contributing to a 6.3% improvement in net interest income for the comparative quarters. Steadily improving loan credit quality were reflected in lower quarterly loan loss provisions and noninterest expenses. Conversely, gains from sales of newly originated mortgage loans were down $217,000 between the quarters.

Although gains on loan sales declined $830,000 in the fiscal year ended June 30, 2014, net income decreased just $186,000 to $1.4 million as net interest income improved 5.5% supported by the strong loan growth. Costs associated with a new operations center, a new branch facility in Petersburg, Indiana, and additional staffing needs were largely responsible for the 2.3% increase in noninterest expenses for the comparative fiscal years.

At approximately 8.9%, First Federal's tier one capital ratio at June 30, 2014, was well in excess of the five percent regulatory standard for "well-capitalized" financial institutions. The bank's other capital measurements also continue to comfortably exceed "well-capitalized" standards. In addition, First Bancorp has paid a cash dividend of 15.5 cents per outstanding share for 25 consecutive quarters.

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.
Consolidated Financial Highlights
(in thousands)
  6/30/2014   6/30/2013        
Selected Balance Sheet Data: (unaudited)            
Total assets 375,810   376,940        
Investment securities 81,441   87,376        
Loans receivable, net 234,345   213,994        
Deposit accounts 259,906   264,948        
Borrowings 73,155   73,155        
Stockholders' equity 36,626   34,454        
  Three months   Year
  ended June 30, ended June 30,
  2014   2013   2014   2013
Operating Results: (unaudited)       (unaudited)    
Interest income 3,355   3,222   13,245   13,095
Interest expense 838   855   3,352   3,719
Net interest income 2,517   2,367   9,893   9,376
Provision for loan losses 45   100   240   380
Net interest income after provision 2,472   2,267   9,653   8,996
Noninterest income 789   871   3,304   3,785
Noninterest expense 2,823   2,790   11,409   11,150
Income before income taxes and cumulative effect of a change in accounting principle 438   348   1,548   1,631
Income taxes 51   -5   129   26
Net income 387   353   1,419   1,605

Contact Information

    Michael H. Head
    President and CEO
    First Bancorp of Indiana