SOURCE: Idaho First Bank

January 30, 2017 16:00 ET

Idaho First Bank Reports Year-end Results

MCCALL, ID--(Marketwired - January 30, 2017) - Today Idaho First Bank (OTC PINK: IDFB) reported financial results for 2016, with a net loss of $374,000, as the Bank absorbed the investment costs of two new branches and other strategic initiatives to improve the Bank's long-term market position. Mark Miller, Chairman of the Board, commented, "The Board is pleased with the expansion opportunities in New Meadows and Eagle. These two new branches fit with the Bank's strategic plan of adding lower cost core deposits and increasing our franchise value. The Board continues to closely monitor the performance of the Bank and believes this year's investments in people, locations, and system improvements are a key to long-term value accretion."

The allowance for loan losses stood at $1,602,000, or 1.33% of loans at December 31, 2016. Total nonperforming assets were $1.5 million, unchanged from a year ago. Nonperforming loans increased from last year as the Bank protected its collateral position on one loan. The Bank reduced its balance of other real estate owned to zero at year-end.

Don Madsen, Chief Financial Officer stated, "Our equity was strengthened in the fourth quarter of the year due to the early exercise of warrants." Shareholders' equity at December 31, 2016, was $16.6 million, an increase of about $1 million from the end of 2015. Book value per share declined from $6.66 at the end of 2015 to $6.22 at December 31, 2016. The decline was primarily due to the dilutive impact of warrants being exercised at a price of $4.00 per share.

"We have begun to see increased loan volumes and interest income from our business development efforts. Marketplace uncertainties and continued strong competition will continue to challenge us to boost performance. We continue to work on final resolution of two remaining problem credits and to right size our operations to show improving performance going forward into 2017," stated Greg Lovell, President and CEO. He continued, "We improved our online banking experience and early in 2017 will release improved mobile banking services that will increase our ability to quickly and efficiently serve our clients and gain profitable relationships."

Idaho First Bank is a state-chartered commercial bank that opened for business in October 2005. Its headquarters are located in McCall, Idaho, with branches in Boise, Eagle and New Meadows.

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)  
                  
For the year ended December 31:  2016   2015   Change  
 Net interest income  $4,731   $4,569   $162   4 %
 Provision for loan losses   495    320    175   55 %
 Mortgage banking income   2,221    1,955    266   14 %
 Other noninterest income   410    341    69   20 %
 Noninterest expenses   7,488    5,943    1,545   26 %
  Net income (loss) before taxes   (621 )  602    (1,223 ) -203 %
 Tax provision (benefit)   (247 )  (1,321 )  1,074   81 %
  Net income (loss)  $(374 ) $1,923   $(2,297 ) -119 %
                  
At December 31:  2016   2015   Change  
 Loans  $120,630   $96,102   $24,528   26 %
 Allowance for loan losses   1,602    1,234    368   30 %
 Assets   149,490    122,127    27,363   22 %
 Deposits   129,460    105,050    24,410   23 %
 Stockholders' equity   16,600    15,640    960   6 %
                      
 Nonaccrual loans   1,531    1,157    374   32 %
 Accruing loans more than 90 days past due   -    -           
 Other real estate owned   -    383           
                      
  Total nonperforming assets   1,531    1,540    (9 ) -1 %
                      
 Book value per share   6.22    6.66    (0.44 ) -7 %
 Shares outstanding   2,666,727    2,348,960    317,767   14 %
                      
 Allowance to loans   1.33 %  1.28 %         
 Allowance to nonperforming loans   105 %  107 %         
 Nonperforming loans to total loans   1.27 %  1.20 %         
                  
Averages for the year ended December 31:  2016   2015   Change  
 Loans  $106,748   $95,209   $11,539   12 %
 Earning assets   122,226    109,463    12,763   12 %
 Assets   133,635    119,834    13,801   12 %
 Deposits   114,755    103,955    10,800   10 %
 Stockholders' equity   15,640    14,233    1,407   10 %
                      
 Loans to deposits   93 %  92 %         
 Net interest margin   3.87 %  4.17 %         
                
                
   
Idaho First Bank  
Quarterly Financial Highlights (unaudited)  
(Dollars in thousands)  
                      
Income Statement  Q4 2016   Q3 2016   Q2 2016   Q1 2016   Q4 2015  
 Net interest income  $1,268   $1,206   $1,159   $1,098   $1,190  
 Provision for loan losses   140    130    -    225    -  
 Mortgage banking income   627    649    535    410    269  
 Other noninterest income   109    114    100    87    81  
 Noninterest expenses   2,142    2,006    1,720    1,620    1,467  
  Net income (loss) before taxes   (278 )  (167 )  74    (250 )  73  
 Tax provision (benefit)   (113 )  (65 )  32    (101 )  (412 )
  Net income (loss)  $(165 ) $(102 ) $42   $(149 ) $485  
                      
Period End Information  Q4 2016   Q3 2016   Q2 2016   Q1 2016   Q4 2015  
 Loans  $120,630   $115,472   $112,206   $93,945   $96,102  
 Allowance for loan losses   1,602    1,454    1,516    1,468    1,234  
 Nonperforming loans   1,531    1,531    2,030    1,567    1,157  
 Other real estate owned   -    -    -    383    383  
 Quarterly net charge-offs   (8 )  192    (48 )  (9 )  351  
                            
 Allowance to loans   1.33 %  1.26 %  1.35 %  1.56 %  1.28 %
 Allowance to nonperforming loans   105 %  95 %  75 %  94 %  107 %
 Nonperforming loans to loans   1.27 %  1.33 %  1.81 %  1.67 %  1.20 %
                      
Average Balance Information  Q4 2016   Q3 2016   Q2 2016   Q1 2016   Q4 2015  
 Loans  $116,517   $112,166   $103,683   $94,460   $97,346  
 Earning assets   134,662    126,494    116,762    110,803    112,047  
 Assets   146,399    137,902    128,010    122,041    122,934  
 Deposits   127,152    118,768    108,656    104,263    105,701  
 Stockholders' equity   15,665    15,620    15,586    15,689    15,309  
                            
 Loans to deposits   92 %  94 %  95 %  91 %  92 %
 Net interest margin   3.75 %  3.79 %  3.99 %  3.99 %  4.21 %
                     

Contact Information

  • Contacts:
    Greg Lovell
    208.630.2001

    Don Madsen
    208.947.0430