SOURCE: FPB Financial Corp.

October 27, 2015 13:10 ET

FPB FINANCIAL CORP. (OTCQB - FPBF), the Holding Company for Florida Parishes Bank, Announces 2015 Third Quarter Results and Declares Dividends

HAMMOND, LA--(Marketwired - October 27, 2015) - FPB Financial Corp. (OTCQB: FPBF), the holding company for Florida Parishes Bank, announced financial results for the 2015 third quarter ended September 30, 2015.

Earnings

Net income in the 2015 third quarter increased 26.3% to $747,000 ($0.61 per fully diluted common share) as compared to the 2014 third quarter net income of $592,000 ($0.49 per fully diluted common share). Earnings per share increased by 24.5%. Return on Equity for the third quarter of 2015 was 11.9% on an annualized basis.

Items affecting and contributing to the Company's 2015 third quarter gain in net income when compared to the 2014 quarterly period:

  • Total Non-Interest Income increased to $867,000 from $644,000, or 34.6%
  • Mortgage Banking Fees totaled $313,000 up from $105,000 in 2014, or 197.3%
  • Net Interest Income increased to $2.6 million from $2.5 million, or 6.4%

Other items and per share data of note this Year-To-Date (YTD) as of September 30, 2015, compared to September 30, 2014

  • Return on Equity (ROE) increased to 11.8% from 9.3%
  • Net-Interest Margin increased to 4.91% from 4.88%
  • The Company's Efficiency Ratio improved to 66.7% from 74.8%
  • Book Value per common share increased by 12.0% to $20.88 per share
  • Total Common Stockholders' Equity increased to $25.4 million, or 13.4%
  • Dividends paid to common shareholders total $255,000 in 2015 and $252,000 in 2014
  • Non-Interest Bearing Deposits increased by 23.5% to $53.4 million
  • Non-Maturity deposits increased by 12.5% to $149.5 million
  • Net Loans increased to $138.0 million or 4.5%
  • Total Assets increased by 4.5% to $234.5 million
  • Net-Loan Charge-offs decreased by $274,000, or 100.3%
  • Foreclosed Assets totaled $0.00 in 2015 and $68,000 in 2014

Asset Quality

Total non-performing assets at September 30, 2015, increased by $348,000, or 23.3% to $1.8 million as compared to September 30, 2014. Non-performing assets at June 30, 2015 were $1.3 million. The Company's allowance for loan losses increased by 13.4% to $3.2 million for the 12 month period ending September 30, 2015 while decreasing to 173.0% of total non-performing assets. Total allowance for loan losses were $3.1 million at June 30, 2015.

Net loan charge-offs for the third quarter totaled $19,000, an improvement of 80.9% from $100,000 of net loan charge-offs in the 2014 third quarter. Net loan recoveries were $5,000 in the 2015 second quarter. Performing Troubled Debt Restructured (TDR's) as of September 30, 2015 totaled $2.8 million, or a decrease of $60,000 from September 30, 2014. Performing TDR's on June 30, 2015 totaled $3.1 million.

Balance Sheet and Capital

Total assets at September 30, 2015 increased by 4.5% to $234.5 million as compared to $224.3 million at September 30, 2014. The increase in total assets was primarily attributed to an increase of $5.9 million in net loans, an increase of $2.9 million in cash and cash equivalents and an increase of $2.6 million in investment securities available-for-sale. These increases were primarily offset by a $1.2 million decrease in held-to-maturity investment securities. Total liabilities increased by 3.5% to $209.1 million primarily due to an increase of $19.5 million, or 11.1% in total deposits to $194.8 million offset by a decrease of $12.7 million or 55.8% in Federal Home Loan Bank advances.

Common Stockholders' Equity increased by a net of $3.0 million, or 13.4%, to $25.4 million for the twelve months ended September 30, 2015. Retained earnings increased by $2.4 million to $18.3 million for the twelve month period. Other comprehensive income increased by $468,000 at September 30, 2015 when compared to September 30, 2014. Tangible common stockholders' equity increased to $25.4 million for the period. Book value per common share increased to $20.88 as total common shares of 1,216,685 were outstanding at September 30, 2015. At the Subsidiary Bank level, Tier 1 Capital increased to $24.4 million at September 30, 2015.

Our subsidiary, Florida Parishes Bank, is considered "well capitalized" by all applicable federal banking regulations and definitions as of September 30, 2015.

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.

   Sept. 30, 2015  Sept. 30, 2014  %  June 30, 2015  %  
Selected Balances
 (Unaudited)
 (Unaudited)
 Change
 (Unaudited)
 Change
 
                  
Tangible Common Stockholders' Equity  25,408,493  22,411,468  13 %24,479,484  4 %
            
Total Assets  234,462,670  224,326,211  5  232,160,472  1  
            
Net Loans  138,001,407  132,080,832  4  139,844,421  (1 )
            
Non-Interest Bearing Deposits  53,371,851  43,224,862  23  49,325,889  8  
            
Non-Maturity Deposits (Included in interest and non-interest bearing deposits)  149,507,469  132,844,713  13  143,171,989  4  
            
Brokered Deposits (Included in interest- bearing deposits)  1,549,022  1,549,540  -  1,549,029  -  
            
FHLB Advances  10,013,000  22,673,000  (56 )16,591,000  (40 )
                  
Foreclosed Assets  0  68,000  -  0  -  
                  
Non-Performing Assets (includes Foreclosed Assets)  1,841,454  1,493,422  23  1,318,224  40  
                  
Allowance for Loan Losses  3,181,841  2,805,475  13  3,084,940  3  
                  

CONSOLIDATED STATEMENTS OF EARNINGS

   For the Three Months   For the six Months  
   Ended   Ended  
   Sept. 30, 2015   June 30, 2015   Sept. 30, 2014   Sept. 30, 2015   Sept. 30, 2014  
   (Unaudited)   (Unaudited)   (Unaudited)   (Unaudited)   (Unaudited)  
                      
INTEREST AND DIVIDEND INCOME:               
                      
 Mortgage Loans $2,117,137  $2,100,708  $2,017,494  $6,292,041  $5,678,249  
                      
 Consumer Loans  225,265   230,796   245,461   678,734   756,815  
                      
 Commercial Loans  186,602   172,149   168,892   522,697   429,524  
                      
 Investment Securities and Deposits  328,895
  309,361
  292,941   939,596
  873,159  
                      
TOTAL INTEREST AND DIVIDEND INCOME  2,857,899   2,813,014
  2,724,788   8,433,068   7,737,747  
                      
INTEREST EXPENSE:                     
                      
 Deposits  169,202   166,109   160,622   499,229   461,034  
                      
Federal Home Loan Bank Advances  34,663   44,526
  68,715   133,433   207,556  
                      
Other  26,804   26,633   26,432   79,376   78,665  
                      
TOTAL INTEREST EXPENSE  230,669   237,268   255,769   712,038   747,255  
                      
 NET INTEREST INCOME  2,627,230   2,575,746   2,469,019   7,721,030   6,990,492  
                      
Provisions for loan losses  116,000   88,000   75,000   279,000   75,000  
                      
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES  2,511,230   2,487,746   2,394,019   7,442,030   6,915,492  
                      
NON-INTEREST INCOME:                     
                      
Mortgage Banking Fees  312,757   296,064   105,206   938,341   297,622  
                
Service Charge on deposits  191,075   189,599   187,106   581,289   618,924  
                
Interchange Fees  150,916   149,580   119,300   441,860   335,244  
                      
Loan Fees and Charges  56,713   75,895   108,884   193,046   235,480  
                      
Gain on bank owned life insurance  32,005   31,345   37,278   94,043   109,841  
                      
Gain/(Loss) on Sale of Investments and Foreclosed Assets  81,087   (38,059 ) 33,100   58,876   69,680  
                      
Gain/(Loss) on Trading Accounts  (11,652 ) 9,663   (4,463 ) (11,269 ) (30,173 )
                      
Other  53,723   66,859   57,502   182,801   196,933  
                      
TOTAL NON-INTEREST INCOME  866,624   780,946   643,913   2,478,987   1,833,551  
                      
NON-INTEREST EXPENSE:                     
                      
Compensation and Employee Benefits  1,331,567   1,299,591   1,244,628   3,969,959   3,737,218  
                      
Occupancy, local and state taxes, and equipment  330,382   326,989   315,539   1,013,971   865,999  
                      
Technology and Information Processing  175,707   194,811   192,460   539,514   601,734  
                      
Professional Fees  96,184   88,863   65,867   240,956   217,571  
                      
Regulatory Fees  50,360   52,087   50,966   152,724   150,337  
                      
Foreclosed Assets  1,051   (56 ) 5,946   1,583   44,309  
                      
Other  319,451   286,436   304,107   882,749   982,747  
                      
TOTAL NON-INTEREST EXPENSE  2,304,702   2,248,721   2,179,513   6,801,456   6,599,915  
                      
INCOME BEFORE INCOME TAXES  1,073,152   1,019,971   858,419   3,119,561   2,149,128  
                      
Income Tax Expense  326,238   317,527   266,895   966,113   646,507  
                      
NET INCOME  746,914   702,444   591,524   2,153,448   1,502,621  
                      
PER COMMON SHARE DATA:                     
                      
Net Earnings $0.61  $0.58  $0.49  $1.78  $1.25  
                      
Diluted Net Earnings $0.61  $0.58  $0.49  $1.78  $1.25  
                      
Revenue (Net Interest Income and Non-Interest Income) $2.87  $2.78  $2.59  $8.42  $7.35  
                      
Dividends Paid $0.07  $0.07  $0.07  $0.21  $0.21  
                      
Book Value (Period End) $20.88  $20.16  $18.65  $20.88  $18.65  
                      
Book Value adjusted Net of Other comprehensive income (Period Ended) $20.60  $20.07  $18.76  $20.60  $18.76  
                      
RATIOS:                     
                      
ROA (Annualized Net Income to Average Period Assets)  1.27 % 1.22 % 1.07 % 1.25 %
 0.94 %
                      
ROE (Annualized Net Income to Average Period Total Stockholders' Equity)  11.85 %
 11.57 %
 10.60 %
 11.82 %
 9.33 %
                      
Net Interest Margin (Average) for the period  4.99 %
 5.00 %
 4.95 %
 4.91 %
 4.88 %
                      
Non-Interest Expense less Non-Interest Income to Average Period Total Assets (Annualized)  2.44 %
 2.56 %
 2.76 %
 2.50 %
 2.98 %
                      
Efficiency Ratio for the Period  65.97 %
 66.99 %
 70.02 %
 66.68 %
 74.80 %
                      
Net Loan Charge-Offs (Recoveries) for the Period $19,099  $(5,012 )$100,176  $(954 )$273,472  
to Average Period Net Loans (Annualized) 0.06
%
 (0.02
)%
 0.31
%
 -  0.30
%
                      
TDRs (Performing) at Period End $2,818,040  $3,075,826  $2,878,020  $2,818,040  $2,878,020  
to Average Period Net Loans 2.02
%
 2.21
%
 2.23
%
 2.03
%
 2.34
%
                      
Non-Performing Assets at Period End $1,841,454  $
1,318,224  $1,493,422  $1,841,454  $1,493,422  
to Average Period Total Assets 0.79
%
 0.57
%
 0.68
%
 0.80
%
 0.70
%
                      
Allowance for Loan Losses at Period End $3,181,841  $
3,084,940  $2,805,475  $3,181,841  $2,805,475  
to Average Period Net Loans  2.29
%
 2.22
%
 2.18 %
 2.29
%
 2.28
%
to Non-Performing Assets at Period End  172.79
%
 234.02
%
 187.86
%
 172.79
%
 187.66
%
                      

CONSOLIDATED STATEMENTS OF CONDITION

   Sept. 30, 2015   Sept. 30, 2014   %   June 30, 2015   %  
   (Unaudited)   (Unaudited)   Change   (Unaudited)   Change  
                      
ASSETS:                     
                      
Cash and Cash Equivalents (including Interest and Non-Interest Earning Deposits) $13,678,437  $10,729,294   27  $13,741,724   0  
                      
Securities - Held to Maturity  4,462,428   5,694,069   (22 ) 3,984,099   12  
                      
Securities - Available for Sale  62,651,766   60,015,549   4   59,089,007   6  
                      
Trading Securities  138,641   163,506   (15 ) 150,292   (8 )
                      
Bank Owned Life Insurance  4,249,991   4,120,959   3   4,217,986   1  
                      
Net Loans  138,001,407   132,080,832   4   139,844,421   (1 )
                      
Accrued Interest Receivable  903,230   825,267   9   927,834   (3 )
                      
Premises and Equipment, Net  8,943,315   9,347,985   (4 ) 9,035,878   (1 )
                      
Foreclosed Assets  0   68,000   -   0   -  
                      
Other Assets  1,433,455   1,280,750   12   1,169,231   23  
                      
 TOTAL ASSETS $234,462,670  $224,326,211   5  $232,160,472   1  
                      
LIABILITIES:                     
                      
Deposits  194,799,380   175,306,273   11   186,973,118   4  
                      
Federal Home Loan Bank Advances  10,013,000   22,673,000   (56 ) 16,591,000
  (40
)
                      
Subordinated debentures/trust preferred securities  3,093,000   3,093,000   -   3,093,000   -  
                      
Other Liabilities  1,148,797   842,470   36   1,023,870   12  
                      
 TOTAL LIABILITIES $209,054,177  $201,914,743   4  $207,680,988   1  
                      
STOCKHOLDERS' EQUITY:                     
                      
Common Stock $13,202  $13,127   1  $13,202   -  
                      
Capital Surplus  8,564,201   8,413,084   2   8,529,946   -  
                      
Retained Earnings  18,277,525   15,902,533   15   17,615,780   4  
                      
Unearned Compensation  (4,333 ) (6,900 ) 37   (4,341 ) -  
                      
Treasury Stock  (1,783,468 ) (1,783,468 ) -   (1,783,468 ) -  
                      
Other Comprehensive Income (Loss)  341,366   (126,908
) -
  108,365   215
 
                      
Total Stockholders' Equity  25,408,493   22,411,468   13   24,479,484   4  
                      
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $234,462,670  $224,326,211   5 %$232,160,472   
1
%
                      

Fritz W. Anderson II, Chairman of the Board, announced today that, "On October 8, 2015, the Board of Directors of FPB Financial Corp. declared a cash dividend on the common stock of the company. The dividend rate of $0.07 per share will be paid on December 24, 2015 to stockholders of record at the close of business on December 10, 2015."

Contact Information

  • For More Information Contact:

    Fritz W. Anderson, II
    President, Chief Executive Officer,
    and Chairman, FPB Financial Corp.
    (985) 345-1880

    Derek Shants
    Chief Financial Officer
    FPB Financial Corp. and Florida Parishes Bank
    (985) 345-1880