SOURCE: Idaho First Bank

October 15, 2014 19:14 ET

Idaho First Bank Reports Quarterly Results

MCCALL, ID--(Marketwired - October 15, 2014) - Today Idaho First Bank (OTCQB: IDFB) reported financial results for the nine months ended September 30, 2014. The Bank reported net income of $1,144,000 for the first nine months of 2014, compared to net income of $363,000 in the same period in 2013. For the second quarter of 2014 net income was $504,000 compared to $443,000 in the second quarter of this year and $157,000 in the third quarter of 2013. Mark Miller, Chairman of the Board, commented, "We are seeing the economic conditions of our primary market areas improve and believe we can continue our improvement in operating results."

The Bank's earnings for the year have been positively impacted by loan growth, improvement in net interest margin, reduction of non-performing assets, and tax benefits. Net interest income has improved by 19% while the improving credit quality has allowed for a reduction in the provision for loan losses. Year-to-date mortgage banking income is down 19%, partially a result of a drop in home refinancing. However, on a quarter-over-quarter basis mortgage income was steady as the Bank continues to emphasize purchase loan transactions. The 20% improvement in net interest income was due to a 15% increase in average loans and an increase in net interest margin from 4.04% to 4.31%. "We continue to improve the core earnings of the Bank. While refinancing loan volume has decreased, mortgage lending continues to be a strong source of core earnings," stated Greg Lovell, President and CEO.

Nonperforming assets were only $462,000 at September 30, 2014, compared to $1.6 million at September 30 of last year. There were no nonperforming loans. President Lovell commented, "Our loan clients continue to show improving business trends. Problem loans of all kinds are reaching historic lows. Our Boise branch allowed further expansion of our commercial loan and deposit business. We believe market conditions will allow us to continue to expand our base in this important market."

Shareholders' equity at September 30, 2014, was at $11.6 million, an increase of $4.5 million from a year ago. Book value per share increased to 61 cents at September 30, 2014, compared to 57 cents per share a year ago.

Idaho First Bank is a state-chartered commercial bank that opened for business in October 2005. Its headquarters are located in McCall, Idaho, with a branch and a mortgage banking office located in Boise.

This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, economic conditions, the regulatory environment, loan concentrations, vendors, employees, technology, competition, and interest rates. Readers are cautioned not to place undue reliance on the forward-looking statements. Idaho First Bank has no obligation to publicly update the forward-looking statements after the date of this release. This statement is included for the express purpose of invoking PSLRA's safe harbor provisions.

  
  
Idaho First Bank 
Financial Highlights (unaudited) 
(Dollars in thousands, except per share) 
                 
For the nine months ended September 30:  2014   2013   Change 
 Net interest income  $2,884   $2,415   $469   19%
 Provision for loan losses   176    410    (234 ) -57%
 Mortgage banking income   1,659    2,049    (390 ) -19%
 Other noninterest income   222    222    -   0%
 Noninterest expenses   4,210    3,913    297   8%
  Net income before taxes   379    363    16   4%
 Tax provision (benefit)   (765 )       (765 )   
  Net income   1,144    363    781   215%
                    
At September 30:  2014   2013   Change 
 Loans  $83,979   $72,669   $11,310   16%
 Allowance for loan losses   1,156    1,167    (11 ) -1%
 Assets   102,976    91,192    11,784   13%
 Deposits   89,907    81,777    8,130   10%
 Stockholders' equity   11,641    7,092    4,549   64%
                    
 Nonaccrual loans   -    1,261    (1,261 ) -100%
 Accruing loans more than 90 days past due   -    -    -     
 Other real estate owned   462    307    155   50%
                    
  Total nonperforming assets   462    1,568    (1,106 ) -71%
                    
 Book value per share   0.61    0.57    0.04   7%
 Shares outstanding   19,177,622    12,524,445    6,653,177   53%
                    
 Allowance to loans   1.38 %  1.61 %        
 Allowance to nonperforming loans   N/A    93 %        
 Nonperforming loans to total loans   0.00 %  1.74 %        
                    
Averages for the nine months ended Sept 30:   2014    2013    Change 
 Loans  $80,097   $69,593   $10,504   15%
 Earning assets   89,498    80,017    9,481   12%
 Assets   98,741    85,326    13,415   16%
 Deposits   86,671    76,490    10,181   13%
 Stockholders' equity   10,262    6,289    3,973   63%
                    
 Loans to deposits   92 %  91 %        
 Net interest margin   4.31 %  4.04 %        
                
                
  
  
Idaho First Bank 
Quarterly Financial Highlights (unaudited) 
(Dollars in thousands) 
                     
Income Statement  Q3 2014   Q2 2014   Q1 2014   Q4 2013   Q3 2013 
 Net interest income  $1,037   $969   $878   $890   $870 
 Provision for loan losses   90    86    -    -    190 
 Mortgage banking income   760    618    281    484    769 
 Other noninterest income   79    71    72    72    71 
 Noninterest expenses   1,537    1,374    1,299    1,345    1,363 
  Net income (loss) before taxes   249    198    (68 )  101    157 
 Tax provision (benefit)   (255 )  (245 )  (265 )  (752 )  - 
  Net income   504    443    197    853    157 
                          
Period End Information  Q3 2014   Q2 2014   Q1 2014   Q4 2013   Q3 2013 
 Loans  $83,979   $82,857   $78,426   $74,562   $72,669 
 Allowance for loan losses   1,156    1,061    983    1,134    1,167 
 Nonperforming loans   -    -    869    869    1,261 
 Other real estate owned   462    529    585    610    307 
 Quarterly net charge-offs   (6 )  9    150    33    19 
                          
 Allowance to loans   1.38 %  1.28 %  1.25 %  1.52 %  1.61%
 Allowance to nonperforming loans   N/A    N/A    113 %  130 %  93%
 Nonperforming loans to loans   0.00 %  0.00 %  1.11 %  1.17 %  1.74%
                          
Average Balance Information  Q3 2014   Q2 2014   Q1 2014   Q4 2013   Q3 2013 
 Loans  $84,578   $80,415   $75,194   $73,987   $72,037 
 Earning assets   95,435    89,179    83,751    82,639    82,186 
 Assets   104,899    98,519    92,670    89,544    88,666 
 Deposits   91,266    87,162    81,478    79,335    79,399 
 Stockholders' equity   11,239    9,960    9,570    8,095    6,939 
                          
 Loans to deposits   93 %  92 %  92 %  93 %  91%
 Net interest margin   4.31 %  4.36 %  4.25 %  4.27 %  4.20%
                      
                      

Contact Information

  • Contacts:
    Greg Lovell
    208.630.2001

    Don Madsen
    208.947.0430