SOURCE: Trinity Bank

July 23, 2012 16:44 ET

Trinity Bank 2012 2nd Quarter Profits Up 15.4%; 2nd Quarter Earnings per Share Up 16.3%; 31st Consecutive Quarter of Profit Improvement

FORT WORTH, TX--(Marketwire - Jul 23, 2012) - Trinity Bank N.A. (OTCBB: TYBT) today announced operating results for the second quarter and the six months ending June 30, 2012.

Results of Operations

For the second quarter of 2012, Trinity Bank, N.A. reported Net Income after Taxes of $644,000, an increase of 15.4% over second quarter 2011 earnings of $558,000. Earnings per diluted common share for the second quarter 2012 amounted to $.57, an increase of 16.3% over second quarter 2011 results of $.49 per diluted common share.

For the first six months of 2012, Net Income after Taxes was $1,265,000, an increase of 15.3% over the first half of 2011 results of $1,097,000. Earnings per diluted common share for the first half of 2012 were $1.12, an increase of 15.5% over the first half of 2011 results of $.97 per diluted common share.

Jeffrey M. Harp, President, stated, "2012's second quarter results maintained our record of improving performance each quarter. A 16% increase in average loans outstanding offset a continuing decline in the investment income from our securities portfolio.

"I am pleased to announce that at the end of June, Doug Dowd has joined the Trinity Bank staff as Vice-President of Commercial Lending. Doug comes to us from a local competitor. We look forward to his contribution to our operating results.

"Also, on July 11, 2012, Trinity Bank was notified that it has received a financial strength rating of A or Excellent from Weiss Ratings, the nation's lending independent provider of ratings and analyses of financial services companies. Fewer than 2% of the 19,000 institutions in the nation meet Weiss Ratings' criteria for exceptional financial strength." 

   
TRINITY BANK 2012  
                   
Actual for Quarter Ending                  
                   
    3 Months     3 Months        
                   
(in 000's)   6-30-12     6-30-11     %  
                       
Net Income   $ 644     $ 558     15.4 %
Diluted Earnings per Share   $ 0.57     $ 0.49     16.3 %
Diluted Weighted Average Shares     1,136       1,133        
                       
Actual for Six Months Ending                      
                       
    6 Months     6 Months        
                   
(in 000's)   6-30-12     6-30-11     %  
                       
Net Income   $ 1,265     $ 1,097     15.3 %
Diluted Earnings per Share   $ 1.12     $ .97     15.5 %
Diluted Weighted Average Shares     1,125       1,131        
                       
Return on Assets     1.54 %     1.46 %      
Return on Equity     13.59 %     13.11 %      
                       

Trinity Bank, N.A. is a commercial bank that began operations May 28, 2003. For a full financial statement, visit Trinity Bank's website: www.trinitybk.com Regulatory reporting format is also available at www.fdic.gov.

This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding future financial conditions, results of operations and the Bank's business operations. Such forward-looking statements involve risks, uncertainties and assumptions, including, but not limited to, monetary policy and general economic conditions in Texas and the greater Dallas-Fort Worth metropolitan area, the risks of changes in interest rates on the level and composition of deposits, loan demand and the values of loan collateral, securities and interest rate protection agreements, the actions of competitors and customers, the success of the Bank in implementing its strategic plan, the failure of the assumptions underlying the reserves for loan losses and the estimations of values of collateral and various financial assets and liabilities, that the costs of technological changes are more difficult or expensive than anticipated, the effects of regulatory restrictions imposed on banks generally, any changes in fiscal, monetary or regulatory policies and other uncertainties as discussed in the Bank's Registration Statement on Form SB-1 filed with the Office of the Comptroller of the Currency. Should one or more of these risks or uncertainties materialize, or should these underlying assumptions prove incorrect, actual outcomes may vary materially from outcomes expected or anticipated by the Bank. A forward-looking statement may include a statement of the assumptions or bases underlying the forward-looking statement. The Bank believes it has chosen these assumptions or bases in good faith and that they are reasonable. However, the Bank cautions you that assumptions or bases almost always vary from actual results, and the differences between assumptions or bases and actual results can be material. The Bank undertakes no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless the securities laws require the Bank to do so.

 
TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)
                         
    Quarter Ended   Six Months Ended
    June 30   %   June 30   %
EARNINGS SUMMARY   2012   2011   Change   2012   2011   Change
                                 
Interest income     1,554     1,426   9.0%     3,069     2,900   5.8%
Interest expense     151     217   -30.4%     312     443   -29.6%
Net Interest Income     1,403     1,209   16.0%     2,757     2,457   12.2%
                                 
Provision for Loan Losses     0     0   N/A     0     0   N/A
                                 
Service charges on deposits     28     29   -3.4%     65     66   -1.5%
Net gain on securities available for sale     0     28   -100.0%     17     57   -70.2%
Other income     72     78   -7.7%     131     140   -6.4%
Total Non Interest Income     100     135   -25.9%     213     263   -19.0%
                                 
Salaries and benefits expense     309     312   -1.0%     640     652   -1.8%
Occupancy and equipment expense     76     79   -3.8%     150     154   -2.6%
Other expense     252     218   15.6%     489     478   2.3%
Total Non Interest Expense     637     609   4.6%     1,279     1,284   -0.4%
                                 
Earnings before income taxes     866     735   17.8%     1,691     1,436   17.8%
Provision for income taxes     222     177   25.4%     426     339   25.7%
Net Earnings     644     558   15.4%     1,265     1,097   15.3%
                                 
Basic earnings per share     0.59     0.52   13.5%     1.19     1.03   15.5%
Basic weighted average shares outstanding     1,078     1,072         1,067     1,070    
                                 
Diluted earnings per share     0.57     0.49   16.3%     1.12     0.97   15.5%
Diluted weighted average shares outstanding     1,136     1,133         1,125     1,131    
                                 
                                 
    Average for Quarter   Average for Six Months
    Ending June 30   %   Ending June 30   %
BALANCE SHEET SUMMARY   2012   2011   Change   2012   2011   Change
                                 
Total loans   $ 83,133   $ 71,676   16.0%   $ 82,134   $ 71,391   15.0%
Total short term investments     16,955     21,929   -22.7%     17,725     19,025   -6.8%
Total investment securities     58,031     50,714   14.4%     57,740     53,681   7.6%
                                 
Earning assets     158,119     144,319   9.6%     157,599     144,097   9.4%
                                 
Total assets     164,933     152,633   8.1%     164,343     152,020   8.1%
                                 
Noninterest bearing deposits     31,337     25,176   24.5%     30,567     24,644   24.0%
Interest bearing deposits     112,538     108,696   3.5%     112,904     108,932   3.6%
                                 
Total deposits     143,875     133,872   7.5%     143,471     133,576   7.4%
                                 
Fed Funds Purchased and Repurchase Agreements     251     438   -42.7%     351     609   -42.4%
                                 
Shareholders' equity     19,962     17,687   12.9%     19,689     17,331   13.6%
                                 
                                 
                                 
 
TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)
                     
    Average for Quarter Ending
    June 30,   March 31,   Dec 31,   Sept. 30,   June 30,
BALANCE SHEET SUMMARY   2012   2012   2011   2011   2011
                               
Total loans   $ 83,133   $ 81,136   $ 76,426   $ 74,941   $ 71,676
Total short term investments     16,955     18,495     26,760     21,204     21,929
Total investment securities     58,031     57,451     56,751     51,908     50,714
                               
Earning assets     158,119     157,082     159,937     148,053     144,319
                               
Total assets     164,933     163,755     166,392     154,363     152,633
                               
Noninterest bearing deposits     31,337     29,804     32,552     27,706     25,176
Interest bearing deposits     112,538     113,263     113,758     107,061     108,696
                               
Total deposits     143,875     143,067     146,310     134,767     133,872
                               
Fed Funds Purchased and Repurchase Agreements     251     450     584     411     438
                               
Shareholders' equity     19,962     19,416     18,690     18,401     17,687
                               
                               
    Quarter Ended
    June 30,   March 31,   Dec 31,   Sept. 30,   June 30,
HISTORICAL EARNINGS SUMMARY   2012   2012   2011   2011   2011
                               
Interest income     1,554     1,514     1,509     1,471     1,426
Interest expense     151     161     199     203     217
Net Interest Income     1,403     1,353     1,310     1,268     1,209
                               
Provision for Loan Losses     0     0     0     0     0
                               
Service charges on deposits     28     37     37     35     29
Net gain on securities available for sale     0     17     18     40     28
Other income     72     59     55     92     78
Total Non Interest Income     100     113     110     167     135
                               
Salaries and benefits expense     309     331     450     317     312
Occupancy and equipment expense     76     74     81     82     79
FDIC expense     14     14     45     45     45
Other expense     238     223     45     226     173
Total Non Interest Expense     637     642     621     670     609
                               
Earnings before income taxes     866     824     799     765     735
Provision for income taxes     222     203     194     185     177
Net Earnings     644     621     605     580     558
                               
                               
                               
   
TRINITY BANK N.A.  
(Unaudited)  
(Dollars in thousands, except per share data)  
                               
    Ending Balance  
    June 30,     March 31,     Dec 31,     Sept. 30,     June 30,  
HISTORICAL BALANCE SHEET   2012     2012     2011     2011     2011  
                                         
Total loans   $ 83,510     $ 84,808     $ 81,272     $ 76,180     $ 74,822  
Total short term investments     16,923       18,681       19,279       27,716       17,404  
Total investment securities     61,625       56,640       58,540       53,370       51,982  
                                         
Total earning assets     162,058       160,129       159,091       157,266       144,208  
                                         
Allowance for loan losses     (1,371 )     (1,371 )     (1,371 )     (1,371 )     (1,371 )
Premises and equipment     1,340       1,368       1,378       1,413       1,404  
Other Assets     6,469       6,706       7,843       6,209       5,850  
                                         
Total assets     168,496       166,832       166,941       163,517       150,091  
                                         
Noninterest bearing deposits     33,721       32,239       34,203       33,733       24,208  
Interest bearing deposits     113,377       114,268       112,163       109,722       106,761  
                                         
Total deposits     147,098       146,507       146,366       143,455       130,969  
                                         
Fed Funds Purchased and Repurchase Agreements     294       203       713       398       292  
Other Liabilities     809       898       792       896       690  
                                         
Total liabilities     148,201       147,608       147,871       144,749       131,951  
                                         
Shareholders' Equity Actual     19,244       18,368       18,025       17,667       17,306  
Unrealized Gain - AFS     1,051       856       1,045       1,100       834  
Total Equity     20,295       19,224       19,070       18,767       18,140  
                                         
                                         
    Quarter Ending  
    June 30,     March 31,     Dec 31,     Sept. 30,     June 30,  
NONPERFORMING ASSETS   2012     2012     2011     2011     2011  
                                         
Nonaccrual loans   $ 528     $ 221     $ 653     $ 735     $ 850  
Restructured loans   $ 0     $ 0     $ 0     $ 0     $ 0  
Other real estate & foreclosed assets   $ 0     $ 0     $ 0     $ 0     $ 0  
Accruing loans past due 90 days or more   $ 0     $ 0     $ 0     $ 0     $ 0  
Total nonperforming assets   $ 528     $ 221     $ 653     $ 735     $ 850  
                                         
Accruing loans past due 30-89 days   $ 0     $ 0     $ 0     $ 0     $ 0  
                                         
Total nonperforming assets as a percentage of loans and foreclosed assets     0.63 %     0.26 %     0.80 %     0.96 %     1.12 %
                                         
                                         
                                         
   
TRINITY BANK N.A.  
(Unaudited)  
(Dollars in thousands, except per share data)  
                               
    Quarter Ending  
ALLOWANCE FOR   June 30,     March 31,     Dec 31,     Sept. 30,     June 30,  
LOAN LOSSES   2012     2012     2011     2011     2011  
                                         
Balance at beginning of period   $ 1,371     $ 1,371     $ 1,371     $ 1,371     $ 1,371  
Loans charged off     0       0       0       0       0  
Loan recoveries     0       0       0       0       0  
  Net (charge-offs) recoveries     0       0       0       0       0  
Provision for loan losses     0       0       0       0       0  
Balance at end of period   $ 1,371     $ 1,371     $ 1,371     $ 1,371     $ 1,371  
                                         
Allowance for loan losses as a percentage of total loans     1.64 %     1.62 %     1.69 %     1.80 %     1.80 %
Allowance for loan losses as a percentage of nonperforming loans     259.66 %     620.36 %     209.95 %     186.53 %     186.53 %
Net charge-offs (recoveries) as a percentage of average loans     N/A       N/A       N/A       N/A       N/A  
Provision for loan losses as a percentage of average loans     N/A       N/A       N/A       N/A       N/A  
                                         
                                         
                                         
    Quarter Ending  
    June 30,     March 31,     Dec 31,     Sept. 30,     June 30,  
SELECTED RATIOS   2012     2012     2011     2011     2011  
                                         
Return on average assets (annualized)     1.56 %     1.52 %     1.45 %     1.50 %     1.46 %
                                         
Return on average equity (annualized)     12.90 %     12.79 %     12.95 %     12.61 %     12.62 %
                                         
Return on average equity (excluding unrealized gain on investments)     13.61 %     13.56 %     13.62 %     13.26 %     13.11 %
                                         
Average shareholders' equity to average assets     12.10 %     11.86 %     11.23 %     11.92 %     11.59 %
                                         
Yield on earning assets (tax equivalent)     4.19 %     4.14 %     4.05 %     4.26 %     4.24 %
                                         
Cost of interest bearing funds     0.54 %     0.57 %     0.70 %     0.76 %     0.80 %
                                         
Net interest margin (tax equivalent)     3.81 %     3.73 %     3.56 %     3.72 %     3.64 %
                                         
Efficiency ratio (tax equivalent)     39.59       40.71       40.55       43.42       42.29  
                                         
End of period book value per common share     18.79       18.20       18.05       17.60       17.51  
                                         
End of period book value (excluding unrealized gain on investments)     17.82       17.39       17.07       16.57       16.48  
                                         
End of period common shares outstanding     1,080       1,056       1,056       1,066       1,072  
                                         
                                         
                                         
 
TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)
 
    3 Months Ending  
    June 30, 2012     June 30, 2011  
                                             
                    Tax                     Tax  
    Average               Equivalent     Average               Equivalent  
YIELD ANALYSIS   Balance     Interest   Yield     Yield     Balance     Interest   Yield     Yield  
                                                 
Interest Earning Assets:                                                
Short term investment     16,955     22   0.52 %   0.52 %     21,929     33   0.60 %   0.60 %
Investment securities     18,645     178   3.82 %   3.82 %     17,680     202   4.57 %   4.57 %
Tax Free securities     39,386     235   2.39 %   3.44 %     33,034     238   2.88 %   4.15 %
Loans     83,133     1,119   5.38 %   5.38 %     71,676     953   5.32 %   5.32 %
                                                 
Total Interest Earning Assets     158,119     1,554   3.93 %   4.19 %     144,319     1,426   3.95 %   4.24 %
                                                 
Noninterest Earning Assets:                                                
Cash and due from banks     3,794                       5,590                  
Other assets     4,391                       4,095                  
Allowance for loan losses     (1,371 )                     (1,371 )                
                                                 
Total Noninterest Earning Assets     6,814                       8,314                  
                                                 
Total Assets   $ 164,933                     $ 152,633                  
                                                 
Interest Bearing Liabilities:                                                
Transaction and Money Market accounts     83,870     96   0.46 %   0.46 %     79,397     144   0.73 %   0.73 %
Certificates and other time deposits     28,668     54   0.75 %   0.75 %     29,300     73   0.99 %   0.99 %
Other borrowings     251     1   1.59 %   1.59 %     438     1   0.46 %   0.46 %
                                                 
Total Interest Bearing Liabilities     112,789     151   0.54 %   0.54 %     109,135     217   0.80 %   0.80 %
                                                 
Noninterest Bearing Liabilities                                                
Demand deposits     31,337                       25,176                  
Other liabilities     845                       635                  
Shareholders' Equity     19,962                       17,687                  
                                                 
Total Liabilities and Shareholders Equity   $ 164,933                     $ 152,633                  
                                                 
Net Interest Income and Spread           1,403   3.40 %   3.66 %           1,209   3.16 %   3.45 %
                                                 
Net Interest Margin               3.55 %   3.81 %               3.35 %   3.64 %
                                                 
   
   
   
TRINITY BANK N.A.  
(Unaudited)  
(Dollars in thousands, except per share data)  
                         
    June 30           June 30        
    2012     %     2011     %  
LOAN PORTFOLIO                            
                             
Commercial and industrial     41,715     49.95 %     35,199     47.04 %
Real estate:                            
  Commercial     16,982     20.34 %     13,243     17.70 %
  Residential     15,769     18.88 %     14,634     19.56 %
  Construction and development     6,661     7.98 %     10,148     13.56 %
Consumer     2,383     2.85 %     1,598     2.14 %
                             
Total loans (gross)     83,510     100.00 %     74,822     100.00 %
                             
Unearned discounts     0     0.00 %     0     0.00 %
                             
Total loans (net)     83,510     100.00 %     74,822     100.00 %
                             
                             
    June 30           June 30        
    2012           2011        
REGULATORY CAPITAL DATA                            
Tier 1 Capital   $ 19,244           $ 17,306        
Total Capital (Tier 1 + Tier 2)   $ 20,615           $ 18,524        
Total Risk-Weighted Assets   $ 111,063           $ 97,307        
Tier 1 Ratio     17.33 %           17.78 %      
Total Capital Ratio     18.56 %           19.04 %      
Tier 1 Leverage Ratio     11.69 %           11.37 %      
                             
OTHER DATA                            
Full Time Equivalent Employees (FTE's)     13             14        
                             
Stock Price Range                            
(For the Three Months Ended):                            
  High   $ 30.00           $ 26.00        
  Low   $ 25.13           $ 25.50        
  Close   $ 30.00           $ 26.00        
                             
                             
                             

Contact Information

  • For information contact:
    Richard Burt
    Executive Vice President
    Trinity Bank
    817-763-9966