AJS Bancorp, Inc. Announces Third Quarter Earnings.MIDLOTHIAN Midlothian (mĭdlō`thēən), council area (1993 est. pop. 79,910), 137 sq mi (356 sq km), and former county, SE Scotland. Under the Local Government Act of 1973, Midlothian was divided between the former Lothian and Borders regions in , Ill. -- AJS AJS American Journal of Sociology AJS American Judicature Society AJS American Journal of Surgery AJS Association for Jewish Studies AJS Americans for Job Security AJS Administration of Justice Studies AJS America-Japan Society AJS AJ Stevens Bancorp, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :AJSB.OB), the holding company for A.J. Smith Federal Savings Bank Noun 1. federal savings bank - a federally chartered savings bank FSB savings bank - a thrift institution in the northeastern United States; since deregulation in the 1980s they offer services competitive with many commercial banks , Midlothian, Illinois Midlothian is a village in Cook County, Illinois, United States. The population was 14,315 at the 2000 census. Geography Midlothian is located at (41.626383, -87.721373)GR1. , today reported consolidated con·sol·i·date v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates v.tr. 1. To unite into one system or whole; combine: net income of $442,000 for the quarter ended September September: see month. 30, 2004 as compared to $331,000 for the same quarter in 2003. Basic and diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. earnings were $0.20 per share for the quarter ended September 30, 2004 compared to basic and diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of of $0.14 for the quarter ended September 30, 2003. The increase in net income resulted primarily from an increase in net interest income and a decrease in noninterest expense. Total assets as of September 30, 2004 were $272.8 million, an increase of $34.4 million or 14.4% from $238.4 million at December December: see month. 31, 2003. The increase was primarily due to increases in federal funds Federal Funds Funds deposited to regional Federal Reserve Banks by commercial banks, including funds in excess of reserve requirements. Notes: These non-interest bearing deposits are lent out at the Fed funds rate to other banks unable to meet overnight reserve sold, certificates of deposit and securities. We invested in certificates of deposit at other financial institutions, and mortgage-backed securities Mortgage-backed securities (MSBs) Securities backed by a pool of mortgage loans. in order to attain slightly higher yields without locking into long term investments. The mortgage-backed securities are expected to mature in ten to fifteen years, however prepayments Prepayments Payments made in excess of scheduled mortgage principal repayments. may cause them to pay down at a faster pace. Total deposits increased $18.2 million or 9.9% to $202.0 million at September 30, 2004 from $183.8 million at December 31, 2003. The increase was primarily in certificates of deposit and money market accounts. FHLB FHLB Federal Home Loan Bank advances increased to $33.9 million at September 30, 2004 from $17.0 million at December 31, 2003. The Company had non-performing assets of $996,000 as of September 30, 2004 and $1.2 million as of December 31, 2003. The allowance for loan losses was $1.9 million at September 30, 2004 and $2.0 million at December 31, 2003. This represents a ratio of allowance for loan losses to gross loans receivable of 1.15% at September 30, 2004 and 1.24% at December 31, 2003. Total stockholders' equity Stockholders' Equity The portion of the balance sheet that includes capital received from investors in exchange for stock (paid-in capital), donated capital, and retained earnings. This is equal to total assets minus liabilities, preferred stock and intangible assets. decreased $1.9 million to $30.2 million at September 30, 2004 from $32.1 million at December 31, 2003. The decrease in stockholders' equity during the past nine months primarily resulted from the repurchase re·pur·chase tr.v. re·pur·chased, re·pur·chas·ing, re·pur·chas·es To buy (something) again. n. The act of buying something that one previously sold or owned. Noun 1. of shares of the Company's stock. This decrease was offset by net income of $1.1 million for the nine months ended September 30, 2004. INCOME INFORMATION -THREE MONTH PERIODS ENDED SEPTEMBER 30, 2004 AND 2003: Net interest income increased by $48,000 or 2.6% to $1.9 million for the quarter ended September 30, 2004 when compared to the same quarter in 2003. The increase in net interest income was primarily due to increased average interest earning assets Earning Assets Any income-earning asset owned by a company. Notes: These assets are generally interest-bearing accounts, bonds, and securities available for sale. See also: Asset, Asset Valuation, Earnings, Net Interest Margin . Average interest earning assets were $255.0 million and $229.1 million during the comparative 2004 and 2003 quarters while the average yield was 5.08% and 5.39%, respectively. Our net interest rate spread decreased 21 basis points to 2.72% from 2.93% while our net interest margin decreased 25 basis points to 2.95% from 3.20%. The ratio of average interest-earning assets to average interest-bearing Adj. 1. interest-bearing - of financial obligations on which interest is paid liabilities decreased to 110.48% for the three months ended September 30, 2004 from 112.06% for the same period in 2003. The decrease in the spread and the margin was largely due to the decrease in the yield of interest earning assets exceeding the decrease in the cost of interest-bearing liabilities as both assets and liabilities continued to reprice downward. There was no provision for loan losses for either of the three months ended September 30, 2004 or September 30, 2003. However, there were $57,000 in loan loss recoveries during the three months ended September 30, 2004, and $10,000 in recoveries during the three months ended September 30, 2003. Any loan loss provisions made are to maintain the allowance to reflect management's estimate of losses inherent in our loan portfolio. Management concluded that no additional provisions were necessary during the three months ended September 30, 2004 or 2003. Should any unforeseen risks present themselves however, management may need to make a provision for loan losses in the future. Noninterest income increased $3,000 to $300,000 for the quarter ended September 30, 2004 from $297,000 for the comparable quarter in 2003. Noninterest expense decreased by $93,000 to $1.5 million at September 30, 2004 when compared to expense for the same quarter in 2003. Advertising and promotion costs increased $27,000 for the comparable quarters due to various deposit program specials offered during the quarter ended September 30, 2004. Other noninterest expense decreased $52,000 to $227,000 at September 30, 2004 from $279,000 at September 30, 2003. This was due to reductions in legal fees, stationary Stationary can mean:
2.-Sec. 1. . INCOME INFORMATION - NINE MONTH PERIODS ENDED SEPTEMBER 30, 2004 AND 2003: Net interest income increased by $221,000 or 4.0% to $5.7 million for the nine months ended September 30, 2004 from $5.5 million for the same period in 2003. Average interest earning assets were $245.0 million and $228.1 million during the comparative 2004 and 2003 six-month periods while the average yield was 5.14% and 5.45%, respectively. Our net interest rate spread decreased 6 basis points to 2.85% from 2.91% while our net interest margin decreased 10 basis points to 3.10% from 3.20%. The ratio of average interest-earning assets to average interest-bearing liabilities decreased to 112.23% for the nine months ended September 30, 2004 from 112.56% for the same period in 2003. The decrease in our net interest rate spread and net interest margin reflects the repricing Repricing To change the price of an asset. In derivatives, it sometimes refers to the exchange of options of with different strike prices. repricing of interest-bearing assets in excess of the repricing of cost of funds Cost of Funds The interest rate paid on an outstanding loan. Notes: Money isn't free! Cost of funds is the cost of borrowing money. See also: Interest Rate Cost of funds Interest rate associated with borrowing money. . We did not increase our provision for loan losses during the nine months ended September 30, 2004 or 2003. However, there were $72,000 in loan loss recoveries during the nine months ended September 30, 2004, and $61,000 in recoveries during the nine months ended September 30, 2003. Noninterest income decreased to $682,000 for the nine months ended September 30, 2004 from $855,000 for the comparable period in 2003. The $173,000 decrease was the result of reductions in insurance commission income, service charge income, and other non-interest income at September 30, 2004 when compared to the nine months ended September 30, 2003. Noninterest expense decreased marginally mar·gin·al adj. 1. Of, relating to, located at, or constituting a margin, a border, or an edge: the marginal strip of beach; a marginal issue that had no bearing on the election results. 2. by $4,000 to $4.6 million for both the nine month periods ended September 30, 2004 and 2003. Other financial information is included in the tables that follow. This press release contains certain "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " which may be identified by the use of such words as "believe", "expect", "intend", "anticipate", "should", "planned", "estimated" and "potential". Examples of forward-looking statements include, but are not limited to, estimates with respect to our financial condition, results of operations and business that are subject to various factors which could cause actual results to differ materially from these estimates and most other statements that are not historical in nature. These factors include, but are not limited to, general and local economic condition, changes in interest rates, deposit flows, demand for mortgage and other loans, real estate values, and competition; changes in accounting principles, policies or guidelines guidelines, n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. ; changes in legislation or regulation; and other economic, competitive, governmental, regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. , and technological factors affecting our operations, pricing, products and services.
AJS BANCORP, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS
Dollars in thousands (except per share data)
(Unaudited)
30-Sep-04 31-Dec-03
ASSETS
Cash and due from financial
Institutions $15,597 $19,801
Federal funds Sold 9,750 0
--------------------------
TOTAL CASH AND CASH EQUIVALENTS 25,347 19,801
Certificates of deposit 7,388 0
Securities 60,315 42,652
Loans receivable net of allowance
for loan loss of $1,894 at
September 30, 2004, and $1,962
at December 31, 2003. 158,828 155,628
Federal Home Loan Bank Stock 14,245 13,612
Premises and equipment 4,810 4,875
Accrued interest receivable
& other assets 1,856 1,816
--------------------------
TOTAL ASSETS $272,789 $238,384
==========================
LIABILITIES AND SHAREHOLDER'S EQUITY
Deposits 201,975 $183,847
Federal Home Loan Bank advances 33,850 17,000
Advance payments by borrowers for
taxes and insurance 2,491 1,651
Accrued expenses and other
liabilities 4,283 3,781
--------------------------
TOTAL LIABILITIES 242,599 206,279
TOTAL EQUITY 30,190 32,105
--------------------------
TOTAL LIABILITIES AND EQUITY $272,789 $238,384
==========================
30-Sep-04 30-Sep-03
INTEREST INCOME & DIVIDEND INCOME
Loans, including fees $7,057 $7,045
Securities 1,629 1,773
Interest earning deposits & other 707 408
Federal Funds Sold 43 93
--------------------------
TOTAL INTEREST INCOME 9,436 9,319
INTEREST EXPENSE ON DEPOSITS
Deposits 2,979 3,206
Federal Home Loan Bank & Other 767 644
--------------------------
Total Interest Expense 3,746 3,850
--------------------------
NET INTEREST INCOME 5,690 5,469
Provision (recovery) for loan
losses (72) (61)
--------------------------
NET INTEREST INCOME AFTER
PROVISION FOR LOAN LOSSES 5,762 5,530
NON-INTEREST INCOME
Insurance commissions 159 228
Service charges on accounts 382 407
Other 141 220
--------------------------
TOTAL NON-INTEREST INCOME 682 855
NON-INTEREST EXPENSE
Salaries and employee benefits 2,739 2,679
Occupancy 576 653
Advertising & promotion 263 200
Data processing 284 282
Other 757 809
--------------------------
TOTAL NON-INTEREST EXPENSE 4,619 4,623
INCOME BEFORE INCOME TAXES 1,825 1,762
Income Tax Expense 676 648
--------------------------
NET INCOME $1,149 $1,114
==========================
AJS BANCORP, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS
Dollars in thousands
For the Three months ended 9/30/04
For the Three For the Three
Months ended Months ended
9/30/2004 9/30/2003
INTEREST INCOME & DIVIDEND INCOME
Loans, including fees $2,362 $2,364
Securities 601 502
Interest earning deposits & other 256 205
Federal Funds Sold 17 16
----------------------------
TOTAL INTEREST INCOME 3,236 3,087
INTEREST EXPENSE ON DEPOSITS
Deposits 1,036 1,040
Federal Home Loan Bank & Other 322 217
----------------------------
Total Interest Expense 1,358 1,257
----------------------------
NET INTEREST INCOME 1,878 1,830
Provision (recovery) for loan losses (57) (10)
----------------------------
NET INTEREST INCOME AFTER PROVISION
FOR LOAN LOSSES 1,935 1,840
NON-INTEREST INCOME
Insurance commissions 70 72
Service charges on deposit accounts 164 150
Other 66 75
----------------------------
TOTAL NON-INTEREST INCOME 300 297
NON-INTEREST EXPENSE
Salaries and employee benefits 919 960
Occupancy 206 225
Advertising & promotion 85 58
Data processing 89 97
Other 227 279
----------------------------
TOTAL NON-INTEREST EXPENSE 1,526 1,619
INCOME BEFORE INCOME TAXES 709 518
Income Tax Expense 267 187
----------------------------
NET INCOME $442 $331
============================
AJS Bancorp, Inc.
Financial Highlights
(unaudited) September 30, 2004 December 31, 2003
(In thousands)
Selected Financial Highlights:
------------------------------
Total assets $272,789 $238,384
Loans receivable, net 158,828 155,628
Securities 60,315 42,652
Deposits 201,975 183,847
Federal Home Loan Bank advances 33,850 17,000
Stockholders' equity 30,190 32,105
Book value per share (1) 13.45 14.16
Number of shares outstanding (2) 2,243,981 2,355,180
Three months ended Three months ended
September 30, 2004 September 30, 2003
(In thousands except per share information)
Selected Operations Data:
-------------------------
Total interest income $3,236 $3,087
Total interest expense 1,358 1,257
-------------------------------------
Net interest income 1,878 1,830
Provision for loan losses (57) (10)
-------------------------------------
Net interest income after
provision for loan losses 1,935 1,840
Noninterest income 300 297
Noninterest expense 1,526 1,619
-------------------------------------
Income before taxes 709 518
Income tax provision 267 187
-------------------------------------
Net income 442 331
=====================================
Earnings per share, basic
and diluted $0.20 $0.14
Three months ended Three months ended
September 30, 2004 September 30, 2003
Selected Operating Ratios:
--------------------------
Return on average assets 0.66% 0.55%
Return on average equity 5.90% 3.97%
Interest rate spread during the
period 2.72% 2.93%
Net interest margin 2.95% 3.20%
Average interest-earning assets
to average interest-bearing
liabilities 110.48% 112.06%
Efficiency ratio (3) 70.06% 76.12%
Nine months ended Nine months ended
September 30, 2004 September 30, 2003
(In thousands except per share information)
Selected Operations Data:
-------------------------
Total interest income $9,436 $9,319
Total interest expense 3,746 3,850
-------------------------------------
Net interest income 5,690 5,469
Provision for loan losses (72) (61)
-------------------------------------
Net interest income after
provision for loan losses 5,762 5,530
Noninterest income 682 855
Noninterest expense 4,619 4,623
-------------------------------------
Income before taxes 1,825 1,762
Income tax provision 676 648
-------------------------------------
Net income 1,149 1,114
=====================================
Earnings per share, basic $0.51 $0.48
Earnings per share, diluted $0.50 $0.48
Nine months ended Nine months ended
September 30, 2004 September 30, 2003
Selected Operating Ratios:
--------------------------
Return on average assets 0.60% 0.62%
Return on average equity 4.88% 4.42%
Interest rate spread during the
period 2.85% 2.91%
Net interest margin 3.10% 3.20%
Average interest-earning assets
to average interest-bearing
liabilities 112.23% 112.56%
Efficiency ratio (3) 72.49% 73.10%
As of As of
September 30, 2004 December 31, 2003
------------------ -----------------
Asset Quality Ratios:
---------------------
Non-performing assets to total
assets 0.37% 0.49%
Allowance for loan losses to
non-performing loans 190.16% 172.71%
Allowance for loan losses to
loans receivable, gross 1.15% 1.24%
(1) Shareholders' equity divided by number of shares outstanding.
(2) Total shares issued, less unearned ESOP shares, and treasury
shares.
(3) Non-interest expense divided by the sum of net interest income
and non-interest income.
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion