NEW ORLEANS, LA--(Marketwire - Feb 8, 2012) - Hibernia Bancorp, Inc. (the "Company" or "Hibernia") (
A. Peyton Bush, III, President and Chief Executive Officer of the Company and the Bank, stated, "While the rate of growth in our loan portfolio slowed somewhat from the pace enjoyed during the two prior years, we are pleased with the quality of loans being added and with the improvement in non-performing assets. The economic and competitive environment in which we operate continues to be challenging as does the growing body of regulations with which we must comply. Despite those factors we are committed to further improving profitability during the coming year."
Net interest income increased 24.5% to $843,000 for the quarter ended December 31, 2011, from $677,000 for the quarter ended December 31, 2010. Several factors affected net interest income for the period. Gross interest income was higher due to an increase in loans and a decrease in lower yielding investment securities as a percentage of earning assets. The gain was partially offset by slightly lower yields on loans. Interest expense remained approximately the same though there was an increase in interest bearing deposits which was offset by a reduction in the average rate paid on deposits. During the quarter ended December 31, 2011, the Company made a provision for loan and lease losses of $75,000 for the purpose of increasing general reserves and due to the higher volume of loans outstanding. Non-interest expense increased 2.4% from $701,000 for the quarter ended December 31, 2010 to $718,000 for the quarter ended December 31, 2011. The increase in non-interest expense for the quarter ended December 31, 2011 was due primarily to increases in employee salary and benefits expense, data processing costs, occupancy expenses mainly caused by higher building depreciation expense, and other operating expenses. The expense increases were partially offset by decreases in professional fees and regulatory assessments.
For the year ended December 31, 2011, net interest income increased 19.8%, to $3.1 million, from $2.6 million for the year ended December 31, 2010, primarily due to a $561,000, or 17.3%, increase in gross interest income partially offset by a $44,000, or 6.9%, increase in interest expense. Non-interest expense for the year ended December 31, 2011 increased $96,000, or 3.4%, to $2.9 million compared to the year ended December 31, 2010. Total non-interest expense for the year ended December 31, 2011 as compared to the year ended December 31, 2010 reflected higher salary and employee benefits expense as a result of the addition of one staff member, as well as the increased expense relating to stock benefit plans. Non-interest expenses for the year ended December 31, 2011 also included losses on disposals of premises and equipment of $36,000 primarily related to a roof replacement. The increases in non-interest expenses were partially offset by decreases in professional fees, advertising and promotional expenses, and supplies and stationery expenses.
Income tax expense for the quarter ended December 31, 2011 was $6,000 as compared to $4,000 for the quarter ended December 31, 2010. For the year ended December 31, 2011, income tax expense was $110,000 compared to an income tax benefit of $8,000 for the year ended December 31, 2010. The yearly increase is due to the increase in pre-tax income for the year ended December 31, 2011.
Hibernia Bancorp's total consolidated assets at December 31, 2011 were $88.5 million compared to $77.3 million at December 31, 2010. Net loans increased 24.2% from $62.0 million at December 31, 2010 to $76.9 million at December 31, 2011, reflecting an $8.0 million increase in commercial loans secured by real estate, a $5.0 million increase in residential construction loans, and a $2.4 million increase in residential mortgage loans. The additional loan volume was primarily funded by a $10.9 million increase in deposits and decreases of $2.0 million in investment securities and $2.0 million in cash and cash equivalents. Total deposits increased 20.0% from $54.6 million at December 31, 2010 to $65.5 million at December 31, 2011, reflecting increases of $5.3 million in money market accounts, $3.2 million in certificates of deposits and $2.4 million in savings, interest-bearing checking accounts and demand deposits.
Non-performing assets, defined as non-accrual loans, accruing loans past due 90 days or more and other real estate owned, totaled $695,000, or 0.8%, of total assets at December 31, 2011, compared to $1.1 million, or 1.5%, of total assets, at December 31, 2010. The non-performing assets at December 31, 2011 consisted of three loans secured by first mortgages on one-to-four family residential real estate and one one-to-four family residential property acquired through foreclosure. Management believes that the allowance for loan and lease losses is sufficient to cover any losses that may be incurred on its non-performing loans and does not expect to incur further losses on the disposition of the other real estate owned. Other real estate owned at December 31, 2011 was $126,000 compared to none at December 31, 2010.
The Company reported no net charge-offs for the three months ended December 31, 2011 and 2010, respectively. The Company reported net charge-offs of $36,000 for the year ended December 31, 2011, compared to no net charge-offs for the year ended December 31, 2010. The charge-offs during the year ended December 31, 2011 were attributable to one residential loan. The property securing that loan was acquired in foreclosure and was subsequently sold during the fourth quarter of 2011. The Company's loan loss provision for the fourth quarter of 2011 was $75,000, compared to $26,000 for the fourth quarter of 2010. For the year ended December 31, 2011, the Company's loan loss provision was $142,000, compared to $64,000 for the year ended December 31, 2010. The increases in the provision for the three months and year ended December 31, 2011, were primarily due to increases in general reserves and the higher volume of loans outstanding.
The Company's total stockholders' equity increased to $22.1 million at December 31, 2011 from $22.0 million as of December 31, 2010. During the year ended December 31, 2011 the Company repurchased 6,551 shares of its common stock as treasury stock for an aggregate cost of $108,000 and as of December 31, 2011, 21,332 shares were remaining to be repurchased under the Company's stock repurchase program. The Company's book value per share increased from $21.26 at December 31, 2010 to $21.55 at December 31, 2011 due to our net income for the period and, to a lesser extent, to our purchases of treasury stock. Hibernia Bank's regulatory capital levels continue to exceed requirements for well capitalized institutions.
On January 30, 2012, the Company terminated the registration of its common stock under the Securities Exchange Act of 1934, as amended (the "Exchange Act") by filing a Form 15 with the U.S. Securities and Exchange Commission ("SEC"). The Company took this action in order to reduce the legal, accounting and administrative costs associated with being a reporting company under the Exchange Act. The Company anticipates that its common stock will continue to be quoted on the OTC Bulletin Board under the symbol "HIBE" to the extent market makers agree to make a market in its stock. No guarantee, however, can be made that a trading market in the Company's common stock through the OTC Bulletin Board will be maintained. The Company intends to continue to provide shareholders with financial information on a quarterly and annual basis through its website: www.hibbank.com.
Statements contained in this news release which are not historical facts may be forward-looking statements identified by words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could" or may". Such forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from those currently anticipated due to a number of factors, including, but not limited to, changes in interest rates, changes in demand for loans, deposits and other financial services in the Company's market area, changes in asset quality and general economic conditions. We undertake no obligation to update any forward-looking statements.
Hibernia Bank, the wholly-owned subsidiary of Hibernia Bancorp, Inc., has served the New Orleans metropolitan area since 1903. Operating from its main office and two branches, Hibernia Bank offers loan, deposit and on-line banking services to commercial and individual customers in the New Orleans metropolitan area. Additional information about Hibernia Bank is available at www.hibbank.com.
| Hibernia Bancorp, Inc. and Subsidiary | |||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION | |||||||||||
| (In thousands) | |||||||||||
| December 31, | December 31, | ||||||||||
| 2011 | 2010 | ||||||||||
| (Unaudited) | |||||||||||
| ASSETS | |||||||||||
| Cash - Non-Interest Bearing | $ | 831 | $ | 481 | |||||||
| Cash - Interest Bearing | 1,788 | 4,112 | |||||||||
| TOTAL CASH AND CASH EQUIVALENTS | 2,619 | 4,593 | |||||||||
| Certificates of Deposit | 100 | 100 | |||||||||
| Securities - Available For Sale | 2,229 | 4,230 | |||||||||
| Loans Receivable, Net | 76,947 | 61,953 | |||||||||
| Accrued Interest Receivable | 275 | 227 | |||||||||
| Investment in FHLB Stock | 172 | 171 | |||||||||
| Investment in FNBB Stock | 210 | 210 | |||||||||
| Prepaid Expenses and Other Assets | 216 | 253 | |||||||||
| Other Real Estate Owned, Net | 126 | - | |||||||||
| Premises and Equipment, Net | 5,174 | 4,988 | |||||||||
| Deferred Income Taxes | 431 | 528 | |||||||||
| TOTAL ASSETS | $ | 88,499 | $ | 77,253 | |||||||
| LIABILITIES AND EQUITY | |||||||||||
| LIABILITIES | |||||||||||
| Deposits | $ | 65,542 | $ | 54,607 | |||||||
| Advance Payments by Borrowers for Taxes and Insurance | 634 | 477 | |||||||||
| Accrued Interest Payable | 11 | 3 | |||||||||
| Accounts Payable and Other Liabilities | 203 | 213 | |||||||||
| TOTAL LIABILITIES | 66,390 | 55,300 | |||||||||
| EQUITY | |||||||||||
| Preferred Stock, $.01 par value - 1,000,000 shares authorized; none issued | - | - | |||||||||
| Common Stock, $.01 par value - 9,000,000 shares authorized; 1,113,334 issued; 1,026,116 shares outstanding at December 31, 2011 and 1,032,667 shares outstanding at December 31, 2010 | 11 |
11 |
|||||||||
| Additional Paid in Capital | 10,560 | 10,466 | |||||||||
| Treasury Stock at cost - 87,218 shares at December 31, 2011 and 80,667 shares at December 31, 2010 | (1,260 |
) | (1,152 |
) | |||||||
| Unallocated Common Stock held by: | |||||||||||
| Employee Stock Ownership Plan | (784 | ) | (819 | ) | |||||||
| Recognition and Retention Plan | (262 | ) | (293 | ) | |||||||
| Accumulated Other Comprehensive Income, Net of Tax Effects | 56 | 80 | |||||||||
| Retained Earnings | 13,788 | 13,660 | |||||||||
| TOTAL EQUITY | 22,109 | 21,953 | |||||||||
| TOTAL LIABILITIES AND EQUITY | $ | 88,499 | $ | 77,253 | |||||||
| Hibernia Bancorp, Inc. and Subsidiary | ||||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
| (Dollars in thousands, except per share data) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| (Unaudited) | (Unaudited) | |||||||||||||||
| Total Interest Income | $ | 1,013 | $ | 846 | $ | 3,810 | $ | 3,249 | ||||||||
| Total Interest Expense | 170 | 169 | 680 | 636 | ||||||||||||
| Net Interest Income | 843 | 677 | 3,130 | 2,613 | ||||||||||||
| Provision For Loan Losses | 75 | 26 | 142 | 64 | ||||||||||||
| Net Interest Income After Provision For Loan Losses | 768 |
651 |
2,988 |
2,549 |
||||||||||||
| Total Non-Interest Income | 32 | 44 | 129 | 144 | ||||||||||||
| Non-Interest Expenses | ||||||||||||||||
| Salaries and Employee Benefits | 337 | 315 | 1,330 | 1,219 | ||||||||||||
| Occupancy Expenses | 117 | 107 | 438 | 438 | ||||||||||||
| Data Processing | 91 | 79 | 329 | 319 | ||||||||||||
| Advertising and Promotional Expenses | 21 | 25 | 65 | 103 | ||||||||||||
| Professional Fees | 36 | 64 | 198 | 274 | ||||||||||||
| Other Non-Interest Expenses | 116 | 111 | 519 | 430 | ||||||||||||
| Total Non-Interest Expenses | 718 | 701 | 2,879 | 2,783 | ||||||||||||
| Income (Loss) Before Income Taxes | 82 | (6 | ) | 238 | (90 | ) | ||||||||||
| Income Tax Expense (Benefit) | 6 | 4 | 110 | (8 | ) | |||||||||||
| NET INCOME (LOSS) | $ | 76 | $ | (10 | ) | $ | 128 | $ | (82 | ) | ||||||
| INCOME (LOSS) PER COMMON SHARE | ||||||||||||||||
| Basic | $ | 0.08 | $ | (0.01 | ) | $ | 0.14 | $ | (0.08 | ) | ||||||
| Diluted | $ | 0.08 | $ | (0.01 | ) | $ | 0.13 | $ | (0.08 | ) | ||||||