SOURCE: FPB Financial Corp.

January 27, 2014 13:04 ET

FPB Financial Corp. Announces 2013 Fourth Quarter Results and Declares Dividends

HAMMOND, LA--(Marketwired - Jan 27, 2014) - FPB Financial Corp. (OTCQB: FPBF), the holding company for Florida Parishes Bank, announced financial results for the period ended December 31, 2013.

Earnings

Net income in the 2013 fourth quarter increased to $468,000 ($0.39 per fully diluted common share) as compared to the 2012 fourth quarter net income of $452,000 ($0.43 per fully diluted common share. The 2012 results have been adjusted for a 3-for-1 stock split of our common shares completed on September 27, 2013). Earnings per share decreased 9.3% in the fourth quarter primarily due to our completion of the sale of 129,075 shares of our common stock on October 11, 2013 in a private placement.

Net income for the year ended 2013 totaled $2.0 million ($1.81 per fully diluted common share) up 7.1% from the year ended 2012 net income of $1.9 million ($1.75 per fully diluted common share). 2013 earnings per share increase by 3.4%.

Items contributing to the Company's 2013 fourth quarter earnings when compared to the 2012 period primarily were a reduction in provisions for loan losses of $215,000, or 89.6%, and a reduction in income tax expense of $47,000 or 20.6%; service charges on deposits and interchange fees increased by 20.0% and 27.6% respectively; mortgage banking fees declined by 33.1%. Total non-interest expense increased $272,000, or 14.3%, primarily due to $176,000, or 16.8%, increase in compensation and employee benefits.

FPB Financial Corp. reported the following for the year ended December 31, 2013 and as compared to the year ended December 31, 2012:

  • Net Income increased 7.1% to $2.0 million
  • Diluted Net Income per share increased 3.4% to $1.81
  • Net Interest Income after provision for loan losses increased 9.5% to $8.6 million
  • Net Loan Charge-Offs decreased by $311,000, or 43.1%
  • Dividends paid to common shareholders increased 1.5% to $312,000

Other items and per share data of note as of December 31, 2013, compared to December 31, 2012

  • Non-performing Assets decreased by $2.3 million, or 57.2%
  • Total Assets increased 4.1% to $206.0 million
  • Non-Interest Bearing Deposits increased 1.9% to $36.8 million
  • Non-Maturity Deposits increased 4.0% to $122.4 million
  • Book Value per share increased 2.1% to $17.02

Asset Quality

Total Non-performing assets at December 31, 2013 decreased by 57.2% to $1.8 million as compared to December 31, 2012. Non-performing assets at September 30, 2013 were $1.9 million. The Company's allowance for loan losses decreased by 6.4% to $3.0 million at December 31, 2013 while increasing to 171.3% of total non-performing assets. Total allowance for loan losses was $3.2 million at September 30, 2013.

Net loan charge-offs for the fourth quarter totaled $207,000, up 209.9% from $67,000 in the 2012 fourth quarter. Net loan charge-offs were $84,000 in the 2013 third quarter. For the twelve months ended December 31, 2013 net loan charge-offs declined by $311,000, or 43.1%, to $411,000.

Performing Troubled Debt Restructured (TDR's) as of December 31, 2013 totaled $2.6 million, or a decrease of $729,000 from December 31, 2012. Performing TDR's on September 30, 2013 totaled $2.4 million.

Balance Sheet and Capital

Total assets at December 31, 2013 increased 4.1% to $ 206.0 million as compared to $197.9 at December 31, 2012. The increase in total assets was primarily attributed to an increase of $12.7 million in available-for-sale investment securities, the purchase of $4.0 million of Bank Owned Life Insurance (BOLI) and an increase of $3.5 million in held-to-maturity investment securities. These increases were offset by a $3.8 million decrease in net loans, a $4.3 million decrease in cash and cash equivalents and a $468,000 decrease in foreclosed assets. Total liabilities increased by 3.0% to $185.6 million primarily due to an increase of $3.8 million, or 24.4% in Federal Home Loan Bank advances to $19.4 million.

Common stockholders' equity increased by a net of $2.7 million, or 15.3%, to $20.4 million for the year ended December 31, 2013, primarily due to the October 11, 2013 sale of 129,075 shares of our common stock at a price of $16.00 per share in a private placement, for total net sales proceeds of $2.0 million. Retained earnings increased by $1.7 million to $14.7 million for the 2013 period. Other comprehensive income decreased by $1.0 million at December 31, 2013 when compared to December 31, 2012. Tangible common stockholders' equity increased to $20.4 million for the period. Book value per share increased to $17.02 as total common shares of 1,200,762 were outstanding at December 31, 2013.

Our subsidiary, Florida Parishes Bank, is considered "well capitalized" by all applicable federal banking regulations and definitions as of December 31, 2013.

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.

Selected Balances

Dec. 31,
 2013
 
Dec. 31,
 2012

%
 Change
   
Sept. 30,
 2013

%
 Change
 
  (Unaudited)           (Unaudited)    
                   
                   
Total Common Stockholders' Equity 20,430,683   17,712,572 15     18,146,908 13  
                   
Net Loans 115,983,445   119,757,079 (3 )   113,165,148 2  
                   
Foreclosed Assets 575,267   1,043,322 (45 )   361,067 59  
                   
Non-Performing Assets (Includes Foreclosed Assets)
1,753,875
 
4,101,905

(57
)  
1,928,701

(9
)
                   
Allowance for Loan Losses 3,003,948   3,208,815 (6 )   3,186,015 (6 )
                   
Total Assets 206,015,687   197,854,896 4     202,384,931 2  
                   
Non-Interest Bearing Deposits 36,775,928   36,086,737 2     36,033,709 2  
                   
Non-Maturity Deposits (Includes interest and non-interest bearing deposits)

122,406,800
 

117,728,693


4
   

121,619,702


1
 
                   
Brokered Deposits (Included in interest-bearing deposits)
2,453,461
 
6,555,092

(63
)  
2,459,461

0
 
                   
FHLB Advances 19,391,500   15,591,803 24     17,716,500 9  
                   
                   
 
CONSOLIDATED STATEMENTS OF EARNINGS
 
    For the Three Months   For the Year  
    Ended   Ended  
    Dec. 31,
2013
  Sept. 30,
2013
  Dec. 31,
2012
  Dec. 31,
2013
  Dec. 31,
2012
 
    (Unaudited)   (Unaudited)       (Unaudited)      
                                 
INTEREST AND DIVIDEND INCOME:                                
                                 
  Mortgage Loans   $ 1,835,241   $ 1,856,595   $ 1,993,949   $ 7,560,752   $ 8,205,934  
                                 
  Consumer Loans     249,176     249,210     227,645     975,342     902,482  
                                 
  Consumer & Commercial Lines of Credit    
58,812
   
54,931
   
49,010
   
213,203
   
191,358
 
                                 
  Commercial Loans     56,905     53,195     50,971     206,204     237,702  
                                 
  Investment Securities and Deposits    
293,947
   
229,430
   
244,108
   
886,115
   
681,064
 
                                 
TOTAL INTEREST AND DIVIDEND INCOME    
2,494,081
   
2,443,361
   
2,565,683
   
9,841,616
   
10,218,540
 
                                 
INTEREST EXPENSE:                                
                                 
  Deposits     151,204     151,947     218,433     665,601     915,270  
                                 
Federal Home Loan Bank Advances    
76,594
   
75,461
   
113,901
   
313,128
   
487,226
 
                                 
Other     26,193     26,691     27,108     106,087     112,292  
                                 
TOTAL INTEREST EXPENSE     253,991     254,099     359,442     1,084,816     1,514,788  
                                 
  NET INTEREST INCOME     2,240,090     2,189,262     2,206,241     8,756,800     8,703,752  
                                 
Provisions for loan losses     25,000     0     240,000     206,000     897,000  
                                 
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES    

2,215,090
   

2,189,262
   

1,966,241
   

8,550,800
   

7,806,752
 
                                 
NON-INTEREST INCOME:                                
                                 
Service charge on deposits     236,641     235,077     197,283     906,468     735,137  
                                 
Interchange Fees     153,725     143,591     120,516     570,297     445,148  
                                 
Mortgage Banking Fees     131,502     106,198     196,512     628,752     754,185  
                                 
Loan Fees and Charges     44,216     32,057     59,307     159,508     204,725  
Gain on Bank Owned Life Insurance     11,118     0     0     11,118     0  
                                 
Gain/(Loss) on Sale of Investments and Foreclosed Assets    
5,723
   
(88,008
)  
15,626
   
(79,852
)  
229,443
 
                                 
Gain/(Loss) on Trading Accounts     7,454     648     840     24,523     (8,686 )
                                 
Other     22,761     13,687     29,955     105,885     174,450  
                                 
                                 
TOTAL NON-INTEREST INCOME    
613,140
   
443,178
   
620,039
   
2,326,699
   
2,534,402
 
                                 
NON-INTEREST EXPENSE:                                
                                 
Compensation and Employee Benefits    
1,225,106
   
1,082,659
   
1,049,168
   
4,478,346
   
4,306,195
 
                                 
Occupancy, Property Taxes, and Equipment     229,245     226,150     219,263     912,500     844,084  
                                 
Technology and Information Processing     248,308     203,584     174,374     770,410     599,143  
                                 
Professional Fees     69,604     92,107     77,627     278,567     302,972  
                                 
Regulatory Fees     46,700     48,320     76,290     205,893     327,912  
                                 
Foreclosed Assets     35,334     8,440     26,186     112,284     93,998  
                                 
Other     325,058     257,740     284,237     1,194,999     1,082,024  
                                 
TOTAL NON-INTEREST EXPENSE    
2,179,355
   
1,919,000
   
1,907,145
   
7,952,999
   
7,556,328
 
                                 
INCOME BEFORE INCOME TAXES    
648,875
   
713,440
   
679,135
   
2,924,500
   
2,784,826
 
                                 
Income Tax Expense     180,749     233,446     227,504     935,278     928,042  
                                 
NET INCOME     468,126     479,994     451,631     1,989,222     1,856,784  
                                 
PER COMMON SHARE DATA (ADJUSTED FOR 3 FOR 1 STOCK SPLIT):                                
                                 
Net Earnings   $ 0.40   $ 0.45   $ 0.43   $ 1.82   $ 1.76  
                                 
Diluted Net Earnings   $ 0.39   $ 0.45   $ 0.43   $ 1.81   $ 1.75  
                                 
Revenue (Net Interest Income and Non-Interest Income)   $
2.41
  $
2.47
  $
2.67
  $
10.14
  $
10.64
 
                                 
Dividends Paid   $ 0.10   $ 0.06   $ 0.12   $ 0.28   $ 0.29  
                                 
Book Value Period End   $ 17.02   $ 17.02   $ 16.67   $ 17.02   $ 16.67  
                                 
Book value adjusted for other comprehensive income at period end   $
17.72
  $
17.71
  $
16.49
  $
17.72
  $
16.49
 
                                 
RATIOS:                                
                                 
ROA (Annualized Net Income to Average Period Assets)    
0.91
%  
0.95
%  
0.88
%  
0.99
%  
0.98
%
                                 
ROE (Annualized Net Income to Average Period Total Stockholders' Equity)    
9.24
%  
10.63
%  
10.19
%  
10.73
%  
10.91
%
                                 
Net Interest Margin (Average) for the period     4.80 %   4.77 %   4.74 %   4.80 %   5.00 %
                                 
Non-Interest Expense less Non-Interest Income to Average Period Total Assets (Annualized)    

3.03
%  

2.92
%  

2.52
%  

2.80
%  

2.64
%
                                 
Efficiency Ratio for the Period     76.38 %   72.90 %   67.48 %   71.76 %   67.24 %
                                 
Net Loan Charge-Offs (Recoveries) for the   $
207,067
  $
83,507
  $
66,827
  $
410,867
  $
721,468
 
Period to Average Period Net Loans (Annualized)     0.72 %   0.29 %   0.22 %   0.36 %   0.59 %
                                 
TDRs (Performing) at Period End   $ 2,621,929   $ 2,390,264   $ 3,351,121   $ 2,621,929   $ 3,351,121  
  to Average Period Net Loans     2.29 %   2.11 %   2.78 %   2.28 %   2.72 %
                                 
Non-Performing Assets at Period   $ 1,753,875   $ 1,928,701   $ 4,101,905   $ 1,753,875   $ 4,101,905  
  End to Average Period Total Assets     0.86 %   0.96 %   2.02 %   0.87 %   2.15 %
                                 
Allowance for Loan Losses at Period End    $  3,003,948    $  3,186,015    $  3,208,815    $  3,003,948    $  3,208,815  
  to Average Period Net Loans     2.62 %   2.81 %   2.66 %   2.61 %   2.60 %
  to Non-Performing Assets at Period End     171.28 %   165.19 %   78.23 %   171.28 %   78.23 %
                                 
                                 
 
CONSOLIDATED STATEMENTS OF CONDITION
 
  Dec. 31,
 2013
  Dec. 31,
 2012
  %
 Change
  Sept. 30,
 2013
  %
 Change
 
  (Unaudited           (Unaudited)      
                     
ASSETS:                    
                     
Cash and Cash Equivalents including Interest and Non-Interest Earning Deposits $

7,385,835
  $

11,674,524
 

(37
) $

9,737,748
 

(24
)
                           
Certificates of Deposit   747,000     4,235,000   (82 )   1,994,000   (63 )
                           
Securities - Held to Maturity   4,556,671     1,081,508   321     4,563,195   0  
                           
Securities - Available for Sale   61,120,450     48,444,962   26     59,450,958   3  
                           
Trading Securities   193,679     189,937   2     186,226   4  
                           
Net Loans   115,983,445     119,757,079   (3 )   113,165,148   2  
                           
Accrued Interest Receivable   878,520     796,447   10     762,599   15  
                           
Bank Owned Life Insurance   4,011,118     0   0     0   0  
                           
Premises and Equipment, Net   9,068,013     9,052,566   0     9,111,881   0  
                           
Foreclosed Assets   575,267     1,043,322   (45 )   361,067   59  
                           
Other Assets   1,495,689     1,579,551   (5 )   3,052,109   (51 )
                           
  TOTAL ASSETS $ 206,015,687   $ 197,854,896   4   $ 202,384,931   2  
                           
LIABILITIES:                          
                           
Deposits   162,384,981     160,663,155   1     160,592,502   1  
                           
Federal Home Loan Bank Advances  
19,391,500
   
15,591,803
 
24
   
17,716,500
 
9
 
                           
Subordinated debentures/trust preferred securities  
3,093,000
   
3,093,000
 
0
   
3,093,000
 
0
 
                           
Other Liabilities   715,523     794,366   (10 )   2,836,021   (75 )
                           
  TOTAL LIABILITIES $ 185,585,004   $ 180,142,324   3   $ 184,238,023   1  
                           
STOCKHOLDERS' EQUITY:                          
                           
Common Stock $ 13,127   $ 4,437   196   $ 4,448   195  
                           
Capital Surplus   8,404,060     6,335,022   33     6,364,018   32  
                           
Retained Earnings   14,652,133     12,974,449   13     14,304,084   2  
                           
Unearned Compensation   (7,456 )   (12,909 ) 42     (12,339 ) 40  
                           
Treasury Stock   (1,783,468 )   (1,783,468 ) 0     (1,783,468 ) 0  
                           
Other Comprehensive Income (Loss)  
(847,713
)  
195,041
 
-
   
(729,835
)
(16
)
                           
Total Stockholders' Equity   20,430,683     17,712,572   15     18,146,908   13  
                           
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $
206,015,687
  $
197,854,896
 
4
% $
202,384,931
 
2
%
                           

Fritz W. Anderson II, Chairman of the Board announced today that "On January 9, 2014, the Board of Directors of FPB Financial Corp. declared a cash dividend of $0.07 per share on the common stock of the company. The dividend will be paid on March 25, 2014 to stockholders of record at the close of business on March 10, 2014." 

Contact Information

  • For More Information Contact:
    Fritz W. Anderson, II
    President, Chief Executive Officer And Chairman
    FPB Financial Corp.
    (985) 345-1880