Abington Bancorp Reports 16% Increase in Second Quarter Earnings Per Share.Business/Banking Editors ABINGTON Abington, township (1990 pop. 59,084), Montgomery co., SE Pa., a residential suburb of Philadelphia; settled 1696, inc. 1906. The site of combat during the Revolutionary War, Abington has abrasives and other light manufacturing industries. , Mass.--(BUSINESS WIRE)--July 17, 2000 Abington Bancorp, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on NMS See NetWare Management System. :ABBK) a one-bank holding company for Abington Savings Bank savings bank, financial institution that, until recently, performed only the following functions: receiving savings deposits of individuals, investing them, and providing a modest return to its depositors in the form of interest. ("the Bank"), today announced its earnings for the second quarter 2000. For the three-month period ended June June: see month. 30, 2000, net income was $1,142,000 or $.36 per 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. share, compared to $1,082,000 or $.31 per diluted share for same quarter in 1999. This represents an increase per diluted share of 16.1%. Net income for the six months ended June 30, 2000 was $2,275,000 or $.71 per diluted share, compared to $2,143,000 or $.61 per diluted share for the corresponding period in 1999. Commenting on these results, President and Chief Executive Officer James James, person in the Bible James, in the Gospel of St. Luke, kinsman of St. Jude. The original does not specify the relationship. James, rivers, United States James. P. McDonough McDonough is the name of several places in the United States:
pre-existent, preexistent, preexisting antecedent - preceding in time or order customers." Customer service fees grew 48.1% in the second quarter of 2000, compared to the same period in 1999, and checking accounts grew 12.9% from 37,900 at June 30, 1999, to 42,800 at June 30, 2000. Deposit balances also have grown at an annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. rate of approximately 14.6% in the first six months of 2000, compared to an 8.2% increase in the same period in 1999. "Additionally, net income did improve despite the challenges that the current interest rate environment posed to our mortgage banking activities and to our overall interest margins," said McDonough. Results for the three - and six - month period ended June 30, 2000, also included a non-recurring charge of approximately $220,000, which represents non-capitalizable expenses associated with the Bank's conversion to a third party service bureau for its computer systems from its current in-house In-house In the context of general equities, keeping an activity within the firm. For example, rather than go to the marketplace and sell a security for a client to anyone, an attempt is made to find a buyer to complete the transaction with the firm. mainframe system in the month of June. "We believe this move will not only provide us with much needed expanded capacity, while saving operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. , but will also provide enhanced interactive capability with the Bank's internet banking system and other technology - based product enhancements," noted McDonough. Business banking trends also continue to be favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. as the Bank's business banking portfolio grew approximately 11.5% to $73.6 million at June 30, 2000, compared to June 30, 1999. "This trend has continued despite heavy pricing pressures for good credits," noted McDonough. "Also, we have been able to obtain more non-transaction oriented o·ri·ent n. 1. Orient The countries of Asia, especially of eastern Asia. 2. a. The luster characteristic of a pearl of high quality. b. A pearl having exceptional luster. 3. business loans over the past year. These borrowers are more focused on developing a business relationship with us, which tends to produce more stable loan balances and provides more deposit relationships as well." At June 30, 2000, assets totaled $716,669,000, and net loans and deposits were $386,434,000 and $418,229,000, respectively. 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. was $29,009,000 or 4.1% of total assets. Book value per common share Book Value Per Common Share A measure used by owners of common shares in a firm to determine the level of safety associated with each individual share after all debts are paid accordingly. Formula: at June 30, 2000, was $9.55. Abington Savings Bank is a Massachusetts-chartered savings bank with offices in Abington, Brockton Brockton, industrial city (1990 pop. 92,788), Plymouth co., E Mass.; settled c.1700, set off from Bridgewater 1821, inc. as a city 1881. It formerly had a large shoe and leather products industry. , Cohasset Cohasset can refer to:
Halifax, city (1991 pop. 114,455), provincial capital, S central N.S., Canada, on the Atlantic Ocean. It is the largest city in the Maritime Provinces and is one of Canada's principal ice-free Atlantic ports. , Hanson Hanson may refer to:
Hull, city (1991 pop. 60,707), SW Que., Canada, at the confluence of the Ottawa and Gatineau rivers, opposite Ottawa; inc. 1875. Hull has a hydroelectric power station. , Kingston Kingston, city, Canada Kingston, city (1991 pop. 56,597), S Ont., Canada, on Lake Ontario, near the head of the St. Lawrence River and at the end of Rideau Canal from Ottawa. Kingston has probably the best harbor on the lake. , Pembroke Pembroke, town, Canada Pembroke (pĕm`brōk), town (1991 pop. 13,997), SE Ont., Canada, NW of Ottawa, on the Ottawa River. It is a lumbering center and also has steel and electric-products factories. , Randolph Randolph, town (1990 pop. 30,093), Norfolk co., E Mass.; settled c.1710, set off from Braintree and inc. 1793. A suburb of Boston, it has diverse light manufacturing. and Whitman Whitman, town (1990 pop. 13,240), Plymouth co., SE Mass., S of Boston; settled c.1670, set off from Abington and inc. 1875. It is an industrial town that manufactures shoes, plastics, foundry products, and textile machinery. The Toll House (1709) is restored. . Its deposits are insured by the Federal Deposit Insurance Corporation Federal Deposit Insurance Corporation (FDIC), an independent U.S. federal executive agency designed to promote public confidence in banks and to provide insurance coverage for bank deposits up to $100,000. and Depositors Insurance Fund The Depositors Insurance Fund was created by the state government of Massachusetts in response to the large number of Massachusetts bank failures during the Great Depression. The Federal Deposit Insurance Corporation was inspired by this fund. . Certain statements herein constitute "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. ," and actual results may differ from those contemplated by these statements. The Bank disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise.
ABINGTON BANCORP, INC.
Operating Results
(Dollars in thousands, except per share data)
Three Months Ended Six Months Ended
June 30, June 30,
(unaudited) (unaudited)
2000 1999 2000 1999
Interest and
dividend income $ 11,952 $ 10,237 $ 23,517 $ 20,201
Net interest
income 5,012 4,768 9,948 9,441
Provision for
possible loan losses 60 70 60 260
Non-interest income:
Loan fees 76 91 159 188
Customer service fees 1,611 1,088 2,736 2,035
Gains on securities 58 228 303 405
Gains on mortgages 299 359 542 522
Gain on sale of
other real estate -- 68 -- 68
Other 129 124 230 219
Total non-interest
income $ 2,173 1,958 3,970 3,437
Non-interest expenses:
Salaries and
employee benefits 2,593 2,389 5,107 4,479
Occupancy and
equipment 770 821 1,674 1,574
Trust preferred
securities expense 280 299 560 560
Other non-interest
expense 1,702 1,452 2,987 2,647
Total non-interest
expense 5,345 4,961 10,328 9,260
Income before
income taxes 1,780 1,695 3,530 3,358
Net income 1,142 1,082 2,275 2,143
Dividends per share $ .09 $ .05 $ .18 $ .25
Basic -
earnings per share $ .38 $ .33 $ .74 $ .65
Weighted average
common shares (Basic) 3,036,000 3,272,000 3,080,000 3,310,000
Diluted -
earnings per share $ .36 $ .31 $ .71 $ .61
Weighted average
common shares
and share
equivalents (Diluted) 3,158,000 3,464,000 3,203,000 3,501,000
ABINGTON BANCORP, INC.
Balance Sheet Data
(Dollars in thousands, except per share data)
June 30, December 31, June 30,
2000 1999 1999
Total assets $ 716,669 $ 696,250 $ 630,637
Loans, net 386,434 388,710 366,594
Allowance for
loan losses 3,810 3,701 3,382
Investments 266,909 235,623 215,156
Deposits 418,229 389,692 378,972
Stockholders' equity 29,009 27,832 30,353
Book value per share $ 9.55 $ 8.72 $ 9.32
Shares outstanding 3,038,000 3,193,000 3,256,000
Supermarket Branch Openings
Cohasset August 1997
Randolph April 1998
Hanson September 1998
Brockton May 1999
Canton Tentative - October 2000
ABINGTON BANCORP, INC.
Other Key Statistics
Quarter Ended Six Months Ended
June 30, June 30,
2000 1999 2000 1999
Return on assets .65% .70% .65% .71%
Return on equity 16.36% 13.63% 16.45% 13.18%
Net overhead ratio(a) 1.74% 1.87% 1.76% 1.86%
Yields
Three Months Ended Six Months Ended
June 30, June 30,
2000 1999 2000 1999
Loans 7.64% 7.57% 7.61% 7.58%
Bonds and
government
obligations 6.74% 6.54% 6.77% 6.57%
Mortgage
backed
securities 6.64% 6.42% 6.59% 6.54%
Equities and
FHLB stock 4.72% 4.08% 4.50% 4.22%
Earning assets 7.17% 7.08% 7.14% 7.13%
Non-time deposits(b) 1.38% 1.35% 1.39% 1.50%
Time deposits 5.32% 5.05% 5.24% 5.13%
Borrowed funds 6.13% 5.50% 6.03% 5.50%
Cost of funds(b) 4.21% 3.83% 4.18% 3.99%
Interest margin 3.01% 3.30% 3.02% 3.33%
(a) Excludes the accrued distributions (expenses) related to trust
preferred securities.
(b) Includes the effect of average non-interest bearing DDAs which
were $52,715,000 and $49,716,000, respectively, for the three - and
six - month periods ended June 30, 2000 and $44,534,000 and
$27,353,000, respectively, for the three - and six - month periods
ended June 30, 1999.
ABINGTON BANCORP, INC.
Asset Quality Statistics
(Dollars in thousands, except share data)
June 30, December 31, June 30,
2000 1999 1999
Non accrual loans $310 $ 616 $ 685
Loans greater than 90
days still accruing 5 -- --
Non performing loans 315 616 685
Other real estate owned -- -- --
Non performing assets $315 $ 616 $ 685
Loan loss reserve to
non performing loans 1,209.5% 600.8% 493.7%
Loan loss reserve to
total loans .98% .95% .91%
Delinquency ratio .21% .28% .40%
ABINGTON BANCORP, INC
Segment Analysis
(Dollars in thousands, except share data)
Quarter Ended
June 30,
2000
Community Mortgage
Banking Banking Other Elimination Consolidated
Total interest
income $11,952 $ 93 $ 11 $ (104) $11,952
Net interest
income 4,999 2 11 -- 5,012
Provision for
possible loan
losses 60 -- -- -- 60
Total non-interest
income 1,874 408 -- (109) 2,173
Total non-interest
expense 4,655 376 314 -- 5,345
Net income (loss) 1,404 9 (199) (72) 1,142
Efficiency Ratio(c) 67.7% 91.7% N/A N/A 70.5%
Quarter Ended
June 30,
1999
Community Mortgage
Banking Banking Other Elimination Consolidated
Total interest
income $10,212 $ 52 $ 22 $(49) $10,237
Net interest
income 4,743 3 22 -- 4,768
Provision for
possible
loan losses 70 -- -- -- 70
Total non-interest
income 1,599 359 -- -- 1,958
Total non-interest
expense 4,252 395 314 -- 4,961
Net income (loss) 1,275 (20) (173) -- 1,082
Efficiency Ratio(c) 67.1% 109.1% N/A N/A 69.6%
(c) Excludes the effect of paid and accrued distributions on trust
preferred securities.
ABINGTON BANCORP, INC
Segment Analysis
(Dollars in thousands, except share data)
Six Months Ended
June 30,
2000
Community Mortgage
Banking Banking Other Elimination Consolidated
Total interest
income $23,529 $ 160 $ 38 $ (210) 23,517
Net interest
income 9,894 16 38 -- 9,948
Provision for
possible
loan losses 60 -- -- -- 60
Total non-interest
income 3,428 701 -- (159) 3,970
Total non-interest
expense 8,929 771 628 -- 10,328
Net income (loss) 2,823 (54) (389) (105) 2,275
Efficiency Ratio(c) 67.0% 107.5% N/A N/A 70.2%
Six Months Ended
June 30,
1999
Community Mortgage
Banking Banking Other Elimination Consolidated
Total interest
income $20,176 $ 52 $ 49 $ (76) $ 20,201
Net interest
income 9,389 3 49 -- 9,441
Provision for
possible
loan losses 260 -- -- -- 260
Total non-interest
income 3,078 359 -- -- 3,437
Total non-interest
expense 8,237 395 628 -- 9,260
Net income (loss) 2,544 (20) (381) -- 2,143
Efficiency Ratio(c) 66.1% 109.1% N/A N/A 67.6%
(c) Excludes the effect of paid and accrued distributions on trust
preferred securities.
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion