SOURCE: FPB Financial Corp.

January 23, 2007 15:11 ET

FPB Financial Corp. Announces Record Earnings and Declares Dividends

HAMMOND, LA -- (MARKET WIRE) -- January 23, 2007 -- Fritz W. Anderson II, Chairman of FPB Financial Corp. (PINKSHEETS: FPBF), the holding company for Florida Parishes Bank, announced earnings for the quarter ended December 31, 2006.

Net income for the three months ended December 31, 2006 was $282,000 ($1.06 per common share; $1.01 per diluted common share), up 111.6% from $133,000 ($0.51 per common share; $0.49 per diluted common share) for the 2005 comparable period. Net income for the twelve months ended December 31, 2006 was $929,000 ($3.53 per common share; $3.35 per diluted common share), up 53.5% from $605,000 ($2.34 per common share; $2.24 per diluted common share) for the 2005 comparable period. Earnings for the twelve months ended December 31, 2005 were positively affected by a before tax gain on the sale of investments of $345,000. Earnings for the 2006 twelve month period increased by 143.6% compared to the 2005 period, if profit on sale of investments are eliminated.

Earnings for the three and twelve months ended December 31, 2006 were positively affected by a $421,000, or 50.5%, increase in net interest income for the quarter and a $1.8 million, or 65.4%, increase for the twelve month period. Non-interest income, primarily from mortgage banking revenue, other fees and excluding profit on sale of investments, increased to $482,000 for the quarter and to $1.5 million for the twelve month period, an increase of 140.1% and 98.5%, respectively, over the 2005 comparable periods. Earnings were affected by a 47.2% increase for the quarter and a 49.3% increase for the twelve months in non-interest expenses, primarily compensation and other operating expenses. Provisions for loan loss expense increased by 307.8% and 199.2%, respectively, compared to the 2005 periods.

FPB Financial Corp. reported the following compared to December 31, 2005:

--  Total Deposits increased $17.3 million, or 21.1%
    
--  Non-Interest Bearing Deposits increased $3.4 million, or 23.9%
    
--  Non-Maturity Deposits increased $10.7 million, or 24.5%
    
--  Net Loans increased $21.3 million, or 25.1%
    
--  Loan Loss Reserve increased $538,000, or 121.3%
    
--  Total Assets increased $20.1 million, or 17.4%
    
--  Return on average stockholders equity increased to 13.5% for the
    fourth quarter and to 11.6% for the twelve months ending December 31, 2006
    
--  Book value per share increased to a record of $30.09
    
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.


                            FPB Financial Corp.

                                       Dec. 31,    Sept. 30,     Dec. 31,
Selected Balances (Unaudited)            2006         2006         2005
                                     ------------ ------------ ------------

Cash and Cash Equivalents               8,602,576    6,132,367   13,765,593

Investment and mortgage-backed
 securities                            14,793,689   15,725,027   11,991,983

Net Loans                             105,895,525  105,942,653   84,625,581

Total Assets                          135,499,073  134,110,645  115,444,577

Non-Interest Bearing Deposits          17,386,738   17,257,017   14,035,388

Interest Bearing Deposits              81,954,575   81,424,618   67,974,547

Non-Maturity Deposits (Included in
 interest and non-interest bearing
 deposits)                             54,612,338   56,135,137   43,863,150

Brokered Deposits (Included in
 interest- bearing deposits)            5,346,932    4,902,739    5,265,097

FHLB Advances                          23,297,500   22,722,500   21,765,500

Subordinated Debentures/Trust
 Preferred Securities                   3,093,000*   3,093,000*   3,093,000

Stockholders’ Equity                    8,480,592    8,243,937    7,630,018

Non-Performing Assets                     181,502       93,766      219,882

Loan Loss Reserve                         981,179      793,942      443,384

Book Value per Share                        30.09        29.48        27.38

*Recognizes Impact of Adoption of FIN46-R


                       CONSOLIDATED STATEMENTS OF EARNINGS
                                   (UNAUDITED)


                          For the Three Months      For the Twelve Months
                                  Ended                     Ended
                          Dec. 31,     Dec. 31,     Dec. 31,     Dec. 31,
                            2006         2005         2006         2005
                        (Unaudited)  (Unaudited)  (Unaudited)  (Unaudited)

INTEREST INCOME:

 Mortgage loans and
  fees                  $ 1,631,901  $ 1,155,147  $ 5,805,007  $ 4,186,078

 Consumer Loans             113,520       69,665      390,384      251,281

 Premium Finance Loans      139,560            0      333,181            0

 Lines of credit and
  fees                       96,484       74,720      329,751      278,673

 Commercial Loans            68,674       35,822      205,873      125,792

 Loans on deposits           25,440       19,186      102,588       59,516

 FHLB stock and
  other Investment
  securities                182,531      112,615      739,724      326,403

 Demand deposits             58,521       82,287      236,879      118,590

 Mortgage-backed
  securities                 13,488        3,078       45,298       12,643
                        -----------  -----------  -----------  -----------

TOTAL INTEREST INCOME     2,330,119    1,552,520    8,188,685    5,358,976

INTEREST EXPENSE:
 Deposits                   793,236      436,707    2,564,891    1,454,054

 Federal Home Loan
  Bank Advances             241,059      241,958      906,145      989,387

Subordinated
 Debentures/
Trust Preferred
 Securities                  42,917       41,625      171,662      166,499
                        -----------  -----------  -----------  -----------

TOTAL INTEREST EXPENSE    1,077,212      720,290    3,642,698    2,609,940
                        -----------  -----------  -----------  -----------

 NET INTEREST INCOME      1,252,907      832,230    4,545,987    2,749,036

Provisions for loan
 losses                     183,500       45,000      553,500      185,000
                        -----------  -----------  -----------  -----------

NET INTEREST
 INCOME AFTER PROVISION
 FOR LOAN LOSSES          1,069,407      787,230    3,992,487    2,564,036
                        -----------  -----------  -----------  -----------

NON-INTEREST INCOME

Mortgage Banking            193,626       57,888      586,850      163,703

Service charge on
 deposits                    46,423       22,750      144,865       86,079

Profit on sale of
 Investments                  1,883            0       20,374      345,166

Insurance commissions         2,280        5,487       12,709       18,420

Other                       239,885      114,703      712,582      465,860
                        -----------  -----------  -----------  -----------

TOTAL NON-INTEREST
 INCOME                     484,097      200,828    1,477,380    1,079,228
                        -----------  -----------  -----------  -----------

NON-INTEREST EXPENSE

Compensation and
 Employee Benefits          668,289      419,176    2,315,953    1,448,292

Technology and
 Information Processing      93,293       93,478      387,901      354,782

Occupancy and Equipment     113,904       82,842      385,425      328,181

Professional Fees            61,563       29,323      174,321      112,228

Stationary, Printing, &
 Supplies                    29,720       16,551      115,498       68,190

Advertising                  16,711        7,816       56,882       55,128

Federal Insurance
 Expense                      2,779        2,067       10,237        8,484

Other                       150,249      120,690      633,015      357,279
                        -----------  -----------  -----------  -----------

TOTAL NON-INTEREST
 EXPENSE                  1,136,508      771,943    4,079,232    2,732,564
                        -----------  -----------  -----------  -----------

INCOME BEFORE
 INCOME TAXES               416,996      216,115    1,390,635      910,700

Income Tax Expense
 (Benefit)                  135,295       83,009      461,852      305,597
                        -----------  -----------  -----------  -----------

NET INCOME              $   281,701  $   133,106  $   928,783  $   605,103
                        ===========  ===========  ===========  ===========

Earnings Per Share      $      1.06  $      0.51  $      3.53  $      2.34

Diluted Earnings Per
 Share                  $      1.01  $      0.49  $      3.35  $      2.24

Dividend Paid per Share $      0.28  $      0.25  $      0.60  $      0.55

Return on Average
 Assets                        0.85%        0.49%        0.73%        0.60%

Return on Average
 Equity                       13.50%        7.02%       11.56%        8.13%

Net Charge-Off
 (Recoveries) to
 Average Loans                 0.00%        0.06%        0.02%        0.07%


                    CONSOLIDATED STATEMENTS OF CONDITION
                                (UNAUDITED)


                            Dec. 31, 2006   Sept. 30, 2006  Dec. 31, 2005
ASSETS:

Cash and Cash Equivalents        8,602,576       6,132,367      13,765,593

Investment Securities           14,793,689      15,725,027      11,991,983

Net Loans                      105,895,525     105,942,653      84,625,581

Premises and Equipment, Net      5,502,497       5,482,475       4,335,932

Other Assets                       704,786         828,123         725,488
                            --------------  --------------  --------------

TOTAL ASSETS                $  135,499,073  $  134,110,645  $  115,444,577
                            ==============  ==============  ==============
LIABILITIES:

Deposits                        99,341,313      98,681,635      82,009,935

Federal Home Loan Bank
 Advances                       23,297,500      22,722,500      21,765,500

Other Liabilities                1,286,668       1,369,573         946,124

Shares subject to mandatory
 redemption                      3,093,000       3,093,000       3,093,000
                            --------------  --------------  --------------

   TOTAL LIABILITIES        $  127,018,481  $  125,866,708  $  107,814,559
                            ==============  ==============  ==============

STOCKHOLDERS' EQUITY:

Common Stock                $        3,427  $        3,404  $        3,396

Capital Surplus                  3,251,845       3,211,512       3,167,248

Retained Earnings                6,649,964       6,445,852       5,886,281

Unearned Compensation             (157,505)       (164,878)       (182,787)

Treasury Stock                  (1,227,321)     (1,227,321)     (1,227,321)

Accumulated Other
 Comprehensive Income              (39,818)        (24,632)        (16,799)
                            --------------  --------------  --------------

Total Stockholders’ Equity       8,480,592       8,243,937       7,630,018
                            --------------  --------------  --------------

   TOTAL LIABILITIES
    AND STOCKHOLDERS EQUITY $  135,499,073  $  134,110,645  $  115,444,577
                            ==============  ==============  ==============

Fritz W. Anderson II, Chairman of the Board, announced today that "On January 11, 2007 (Declaration Date) the Board of Directors of FPB Financial Corp. declared a cash dividend on the common stock of the company bearing Cusip #302549 10 0. The dividend rate will be $0.12 per share and will be paid on March 26, 2007 (Payable Date) to stockholders of record March 9, 2007. (Record Date)."

Contact Information

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