BFS Bankorp announces record third quarter earnings.NEW YORK--(BUSINESS WIRE)--July 26, 1995--BFS Bankorp 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 :BFSI BFSI Banking, Financial Services and Insurance BFSI Banking, Finance, Security and Insurance ), the parent holding company for Bankers Federal Savings FSB (FrontSide Bus) See system bus. FSB - front side bus , today reported its highest ever consolidated quarterly and nine month year to date earnings. For its third fiscal quarter ended June June: see month. 30, 1995 net income was $2,235,000, or $1.30 primary earnings per share. This compares to earnings of $1,720,000, or $1.07 per share in the same quarter last year and $1,705,000, or 99 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. in the previous quarter ended March 31, 1995. Core earnings, as defined in the Financial Highlights, increased to $3,847,000 for the third quarter ended June 30, 1995 from $3,218,000 in the same quarter last year and $3,478,000 in the previous quarter. Net income for the nine months ended June 30, 1995 was $5,377,000, or $3.14 primary earnings per share as compared to $3,983,000, or $2.48 per share for the same nine months last year. During the third quarter ended June 30, 1995, the bank dissolved dis·solve v. dis·solved, dis·solv·ing, dis·solves v.tr. 1. To cause to pass into solution: dissolve salt in water. 2. the mortgage backed securities that it had created in fiscal 1992 and fiscal 1993. As part of this dissolution Act or process of dissolving; termination; winding up. In this sense it is frequently used in the phrase dissolution of a partnership. The dissolution of a contract is its Rescission by the parties themselves or by a court that nullifies its binding force and reinstates each , the company recognized approximately $911,000 in interest income, which was previously reserved as part of the first loss position against the securitized securitized Of, related to, or being debt securities that are secured with assets. For example, mortgage purchase bonds are secured by mortgages that have been purchased with the bond issue's proceeds. loans. As an offset of this income, the bank increased its quarterly loan and real estate loss provision to $582,000 from $170,000 from the prior quarter, primarily due to $3.3 million of non-performing assets (NPA (1) (Numbering Plan Area) The Bellcore/Telcordia telephone area code system in use in the U.S., Canada, Alaska, Hawaii and islands in the Caribbean. See NPA code. (2) (Network Professional Association, San Diego, CA, www.npanet. ) associated with this transaction. 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. A. Randall Randall may refer to the following: In places:
BfS Bundesamt für Strahlenschutz (German: federal office for radiation protection) BFS Bowling for Soup (band) BFS Bankable Feasibility Study BFS British Fertility Society Bankorp and Bankers Federal Savings FSB, commented on the quarter end results: "I am pleased to report that the company has posted record earnings, a measure of our committed progress in all aspects of our operations including, but not limited to, new loan originations The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , troubled asset resolution and expense control. We originated $30,700,000 in new loans during the quarter, despite the intense competition in the multi-family real estate market, bringing our year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. originations to $79,200,000." The company saw an increase in its net interest income, interest rate spread and net interest margin over those of the previous quarter. For the quarter ended June 30, 1995, net interest income was $7,300,000 compared to $6,040,000 in the previous quarter. Excluding the $911,000 of interest income resulting from the securitization Securitization The process of creating a financial instrument by combining other financial assets and then marketing them to investors. Notes: Mortgage backed securities are a perfect example of securitization. May also be spelled as "securitisation. dissolution, interest rate spread was 4.32% versus 4.25% and net interest margins was 4.82% versus 4.70%, both as compared to the prior quarter. Randall further stated: "We continued to experience reductions in our NPA, with $21,061,000 for the quarter ended June 30, 1995. This is a reduction of 8.2%, from $22,937,000 last quarter. The company would have reported an even greater decline in its level of NPA, but for the $3,300,000 which was added to NPA as a result of the dissolution of the mortgage-backed securities Mortgage-backed securities (MSBs) Securities backed by a pool of mortgage loans. ." Actual NPA as a percent of total assets was 3.87% at June 30, 1995 compared to 6.96% at June 30, 1994 and 4.35% at the end of last quarter. Quarterly provision for loan and real estate losses was $582,000 this quarter, compared to $250,000 in the same quarter last year and $170,000 for the previous quarter ended March 31, 1995. As of June 30, 1995, the bank continued to exceed all 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. capital requirements Capital requirements Financing required for the operation of a business, composed of long-term and working capital plus fixed assets. with tangible capital of 6.90%, core capital of 6.90% and risk-based capital of 12.21%. This compares to tangible capital of 6.68%, core capital of 6.68% and risk-based capital of 12.17% for the previous quarter ended March 31, 1995. BFS Bankorp Inc., is the parent holding company of Bankers Federal Savings FSB, a SAIF insured 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. headquartered in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. . Bankers Federal specializes in multi-family lending and services the community through five branch locations. As of June 30, 1995, the company had total assets of $543,607,000, deposits of $376,126,000 and 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. of $38,167,000. -0-
BFS Bankorp Inc. & Subsidiaries
Financial Highlights
(Dollars in thousands except per share data)
Three Months Ended
June 30, March 31,
1995 1994 1995
Operating data: Net interest income $ 7,300 $ 5,609 $ 6,040 Provision for loan and real estate losses 582 250 170 Other income 574 773 593 Other expenses 3,020 2,936 3,174 Tax expense 2,037 1,476 1,584 Net income $2,235 $1,720 $1,705 Core earnings (1) $3,847 $3,218 $3,478 Primary earnings per share $1.30 $1.07 $0.99 Fully diluted earnings per share $1.30 $0.99 $0.99 Financial ratios Average yield on earning asset 9.05% 8.41% 8.85% Average cost of funds 4.73% 3.84% 4.60% Interest rate spread 4.32% 4.57% 4.25% Net interest margin 4.82% 4.92% 4.70% Return on average assets 1.68% 1.48% 1.32% Return on average common equity 24.26% 22.97% 19.58% Operating expenses as a percent of average assets 2.27% 2.52% 2.46% Equity to asset ratio at quarter end 7.02% 6.61% 6.80% Non-performing assets as a percent of total assets at quarter end 3.87% 6.96% 4.35%
(1) Core earnings is defined as net income before taxes, gains
and losses on sale of assets, income and loss from real
estate operations, and provisions for loan and real estate losses.
-0-
BFS Bankorp Inc. & Subsidiaries
Financial Highlights
(Dollars in thousands except per share data)
Nine Months Ended
June 30, June 30,
1995 1994
Operating Data:
Net interest income $ 18,943 $ 15,612
Provision for loan and real
estate losses 952 1,615
Other income 1,598 2,171
Other expenses 9,250 9,025
Tax expense 4,962 3,160
Net income $ 5,377 $ 3,983 Core earnings (1) $ 10,356 $ 8,268 Primary earnings per share $ 3.14 $ 2.48 Fully diluted earnings per share $ 3.13 $ 2.30 Financial Ratios Average yield on earning assets 8.80% 8.29% Average cost of funds 4.56% 3.99% Interest rate spread 4.24% 4.30% Net interest margin 4.71% 4.60% Return on average assets 1.39% 1.29% Return on average common equity 20.48% 21.02% Operating expenses as a percent of average assets 2.39% 2.59% Equity to asset ratio at June 30 7.02% 6.61% Non-performing assets as a percent of total assets at June 30 3.87% 6.96%
(1) Core earnings is defined as net income before taxes, gains
and losses on sale of assets, income and loss from real
estate operations, and provisions for loan and real estate losses.
-0-
BFS Bankorp Inc. & Subsidiaries
Financial Highlights
(Dollars in thousands except per share data)
June 30, March 31, Sept. 30,
1995 1995 1994
Financial condition:
Assets:
Total assets $ 543,607 $ 526,857 $ 482,947
Total interest-earning assets 532,974 515,849 470,914
Federal funds 10,000 10,000 5,000
Securities held to maturity, net 33,886 139,281 135,580
Loans, net 480,828 355,304 316,905
Allowance for loan losses 5,120 4,824 4,684
Liabilities: Total liabilities $ 505,441 $ 491,025 $ 450,341 Total interest-bearing liabilities 486,434 467,903 433,078 Deposits 376,126 366,940 362,872 Borrowed funds 94,600 84,665 52,665 Collateralized mortgage obligations 15,708 16,298 17,541 Equity: Stockholders' equity $ 38,167 $ 35,832 $ 32,606 Book value per share $23.35 $22.11 $20.20 Number of shares outstanding, net 1,634,627 1,620,811 1,614,413 Non-performing assets $ 21,061 $ 22,937 $ 26,233 CONTACT: BFS Bankorp Inc., New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of James A. Randall, 212/227-4040 |
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