Citizens First Bancorp, Inc. Announces Third Quarter Results for 2004.PORT HURON Port Huron (hy  r`ən), city (1990 pop. 33,694), seat of St. Clair co., S Mich., a natural, deepwater port of entry at the junction of the St. Clair River with Lake Huron; inc. 1857. , Mich. -- Citizens First Bancorp
First BanCorp is a financial holding company located in San Juan, Puerto Rico, which offers a full range of financial services in Puerto Rico, US Virgin Islands, the British Virgin Islands, and , Inc. (the "Company") (Nasdaq:CTZN), the holding company for Citizens First 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")and Metro Bancorp, Inc. ("Metrobank"), today announced net income for the third quarter of 2004 of $2.2 million ($.28 per share), down 26.2 percent from $3.0 million ($.38 per share) reported in the third quarter of 2003. Dividends On October October: see month. 28, 2004 the Company's Board of Directors declared a quarterly cash dividend of $0.09 per share. The dividend is expected to be paid on November November: see month. 26, 2004 to stockholders of record on November 11, 2004. Financial Condition Total assets were $1.349 billion at September September: see month. 30, 2004, an increase of $254.8 million, or 23.3 percent, from December December: see month. 31, 2003. On a consolidated basis, net loans outstanding increased $197.0 million, or 21.2 percent, during the same time period, while cash and cash equivalents increased by $9.8 million, or 29.2 percent. Investment securities increased $17.9 million, or 22.5 percent. Total liabilities increased $251.2 million to $1.187 billion for the third quarter of 2004, from December 31, 2003. Total deposits increased $184.4 million, or 24.6 percent. FHLB FHLB Federal Home Loan Bank borrowings increased $35.6 million, or 20.6 percent as a result of increased borrowings to fund loan growth. Nonperforming loans at September 30, 2004 were $8.3 million, an increase of $4.4 million or 113.0 percent from December 31, 2003. The increase was primarily due to $3.5 million in nonperforming loans at Metrobank. 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. increased $3.6 million from $158.2 million at December 31, 2003, to $161.8 million at September 30, 2004 due to net income and an increase in unearned and deferred compensation obligations offset by the payment of dividends and a decrease of $500,000 in unrealized gains Unrealized Gain A profit that results from holding on to an asset rather than cashing it in and using the funds. Notes: Let's say you own a stock that has doubled, but you haven't sold it yet. This is said to be an unrealized gain. on available for sale securities. Results of Operations Net income for the three months ended September 30, 2004 decreased $781,000, or 26.2%, to $2.2 million from $3.0 million for the previous period. Net income for the nine months ended September 30, 2004 decreased $3.4 million, or 36.2%, to $6.0 million from $9.5 million for the previous period. This decrease was primarily due to a decrease of $2.4 million or 27.9% in noninterest income, a $8.2 million or 39.4% increase in noninterest expense, partially offset by a $5.2 million or 19.5% increase in net interest income after provision for loan losses and a $2.0 million or 39.3% decrease in federal income tax expense due to lower pre-tax pre-tax adj → anterior al impuesto pre-tax adj → avant impôt(s) pre-tax adj → al lordo d'imposta income. Included in net income for the three and nine months ended September 30, 2004 is Metrobank net losses of approximately $276,000 and $21,000, respectively, primarily due to core deposit intangible amortization and losses recognized in the sale of securities. Net interest income, after provision for loan losses, for the three months ended September 30, 2004 increased $1.9 million, or 21.3%, to $10.8 million from $8.9 million at September 30, 2003 primarily due to a $2.6 million, or 17.4%, increase in total interest income due to prime rate increases of 75 basis points and growth in the loan portfolio offset by a $607,000, or 10.5%, increase in interest expense due to the current interest rate environment and the 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. to meet loan demand. Net interest income, after provision for loan losses, for the nine months ended September 30, 2004 increased $5.2 million, or 19.5%, to $31.8 million from $26.6 million at September 30, 2003. The increase was primarily due to a $6.2 million, or 14.7%, increase in interest income on loans due to growth and increased attention to growth of the commercial loan portfolio. Noninterest income for the three months ended September 30, 2004 decreased $1.0 million, or 36.0%, primarily due to the decrease of $1.2 million in income from mortgage banking activities offset by an increase of $451,000 in service charges and other fee income. Noninterest income for the nine months ended September 30, 2004 decreased $2.4 million or 27.9%, primarily due to the decrease of $4.6 million in income from mortgage banking activities. This decline is due primarily to a decrease in gains from the reduction of the sale of fixed-rate residential mortgage loans to third parties as a result of increased interest rates from the same period in 2003. The current interest rate environment and refinancing Refinancing An extension and/or increase in amount of existing debt. levels are significantly different when compared to the same period last year. The decrease in the mortgage banking activities approximates the expectation of management and is experienced throughout the financial institution industry. Management continues to implement various competitive strategies to lessen less·en v. less·ened, less·en·ing, less·ens v.tr. 1. To make less; reduce. 2. Archaic To make little of; belittle. v.intr. To become less; decrease. the impact from this decrease in refinanced loans. Additionally during the first quarter of 2004, approximately $400,000 was charged against noninterest income due to funds not transferred to the Freddie Mac Freddie Mac: see Federal Home Loan Mortgage Corporation. custodial account Custodial Account 1. An account created at a bank, brokerage firm or mutual fund company that is managed by an adult for a minor that is under the age of 18 to 21 (depending on state legislation). 2. A retirement account managed for eligible employees by a custodian. on a timely basis. Additionally, noninterest income increased $526,000 due to a customary review and a rebalancing Rebalancing The process of realigning the weightings of one's portfolio of assets. Notes: For example, if your portfolio's proportion of stock has grown too large for your intended assets weightings and risk tolerance, you might rebalance by selling some stock and putting of our investment securities portfolio. Noninterest expense for the three months ended September 30, 2004 increased $2.2 million or 31.3% to $9.3 million, compared to $7.1 million in the three months ended September 30, 2003. The increase was primarily due to an increase of $353,000 in professional fees due to increased regulatory and compliance costs. The Company is currently documenting and testing its internal controls as required of publicly traded entities by the Sarbanes-Oxley Act See SOX. . Office occupancy and equipment increased $390,000 related to an increase in depreciation expense due to renovations at various branches and the main office and as a result of lease payments for branch offices of Metrobank. Compensation and employee benefits increased $133,000 due to increases to wages and additions of staff due to the Metrobank acquisition offset by reduced health insurance premiums due to changing health insurance companies in early September. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. SFAS SFAS Statement of Financial Accounting Standards SFAS Special Forces Assessment and Selection SFAS Student Financial Aid Services SFAS Sport Fishing Association of Singapore SFAS Safety Features Actuation System SFAS Statewide Fixed Assets System No. 112, Employers' Accounting for Postemployment Benefits, the accrual accrual, n continually recurring short-term liabilities. Examples are accrued wages, taxes, and interest. related to the Companys' future estimated obligation was reduced due to this reduction in premiums paid on behalf of former employees and directors by approximately $300,000. Also contributing to the increase in noninterest expense was a $27,000 increase in advertising and business promotion expenses associated with general advertising and costs to enter the Oakland Oakland, city (1990 pop. 372,242), seat of Alameda co., W Calif., on the eastern side of San Francisco Bay; inc. 1852. Together with San Francisco and San Jose, the city comprises the fourth largest metropolitan area in the United States. county market through Metrobank. Noninterest expense for the nine months ended September 30, 2004 increased $8.2 million or 39.4%, to $29.0 million compared to $20.8 million in the nine months ended September 30, 2003. The increase was primarily due to an increase in office occupancy and equipment of $1.7 million as discussed above and compensation and employee benefits increased $1.5 million due to increases to wages, additions of staff due to the Metrobank acquisition and increased direct costs of employee benefits. Also contributing to the increase in noninterest expense was a $827,000 increase in professional fees due to reasons discussed above, a $495,000 increase related to the amortization of the core deposit intangible (Note 5), and an increase in and other noninterest expenses of $1.8 million due to general 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. and increased expenses as a result of the acquisition of Metrobank. Citizens First Bancorp, Inc., through its subsidiaries Citizens First Savings Bank and Metrobank, currently serves its customers from 20 full service-banking offices in St. Clair Clair , René Originally René Chomette. 1898-1981. French filmmaker. An early exponent of productions with sound, he directed the classics Sous les Toits de Paris (1929) and Le Million (1931). , Sanilac Sanilac can refer to:
Huron (hy r`än'), city (1990 pop. 12,448), seat of Beadle co., E central S.Dak., on the James River; inc. 1883. , Lapeer Lapeer may refer to:
Statements contained in this news release may be 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. , as that term is defined in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements may be identified by the use of such words as "intend," "believe," "expect," "anticipate," "should," "planned," "estimated," and "potential." Such forward-looking statements are based on current expectations, but may differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time, which are incorporated into this press release by reference. Other factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to, changes in interest rates, general economic conditions, legislative and regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury U.S. Treasury Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. and the Federal Reserve Board, the quality and composition of the loan or investment portfolios, demand for loan products, deposit flows, competition, demand for financial services 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. in the Bank's market area, changes in relevant accounting principles and guidelines guidelines, n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. and other factors over which management has no control. The forward-looking statements are made as of the date of this release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.
CITIZENS FIRST BANCORP, INC.
RESULTS OF OPERATIONS (IN THOUSANDS, EXCEPT PER SHARE DATA)
Unaudited
Three Months Ended
September 30,
2004 2003
------------ ------------
Net Interest Income $ 11,275 $ 9,270
Provision for Loan Losses 470 360
Net Interest Income after Provision 10,805 8,910
Total Noninterest Income 1,839 2,875
Total Noninterest Expense 9,297 7,081
------------ ------------
Income before Income Taxes 3,347 4,704
Income Tax Expense 1,142 1,718
------------ ------------
Net Income $ 2,205 $ 2,986
============ ============
Net Interest Margin 3.65% 3.45%
Return on Average Assets 0.66% 1.14%
Return on Average Equity 5.49% 7.88%
Basic Earnings Per Share $ 0.28 $ 0.38
Diluted Earnings Per Share $ 0.28 $ 0.38
CITIZENS FIRST BANCORP, INC.
RESULTS OF OPERATIONS (IN THOUSANDS, EXCEPT PER SHARE DATA)
Unaudited
Nine Months Ended
September 30,
2004 2003
------------ ------------
Net Interest Income $ 32,550 $ 27,689
Provision for Loan Losses 758 1,080
Net Interest Income after Provision 31,792 26,609
Total Noninterest Income 6,324 8,765
Total Noninterest Expense 28,968 20,785
------------ ------------
Income before Income Taxes 9,148 14,589
Income Tax Expense 3,113 5,126
------------ ------------
Net Income $ 6,035 $ 9,463
============ ============
Net Interest Margin 3.58% 3.38%
Return on Average Assets 0.62% 1.20%
Return on Average Equity 5.02% 8.33%
Basic Earnings Per Share $ 0.77 $ 1.20
Diluted Earnings Per Share $ 0.76 $ 1.20
CITIZENS FIRST BANCORP, INC.
CONSOLIDATED BALANCE SHEET (IN THOUSANDS)
Unaudited
September 30, December 31,
2004 2003
-------------- --------------
Total Cash and Cash Equivalents $ 43,473 $ 33,647
Securities Available for Sale 97,608 79,672
Loans Held for Sale 252 1,984
Loans, Net 1,127,890 929,201
Federal Home Loan Bank Stock 11,972 9,416
Accrued Interest and Other Assets 22,276 17,072
Goodwill and other intangibles, net 13,719 -
Premises and Equipment, net 31,855 23,268
-------------- --------------
Total Assets $ 1,349,045 $ 1,094,260
============== ==============
Deposits $ 932,975 $ 748,531
FHLB Advances 208,118 172,534
Bank line of credit 10,000 -
Other Liabilities 36,202 15,008
Total Liabilities 1,187,295 936,073
Stockholders' Equity 161,750 158,187
-------------- --------------
Total Liabilities and Stockholders'
Equity $ 1,349,045 $ 1,094,260
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