Community Trust Bancorp, Inc. Reports Record Earnings for the Second Quarter 2006.PIKEVILLE Pikeville may refer to:
Title Author The Resonance of Light James Alan Gardner Out of China Julie E. . Certain prior year immaterial Not essential or necessary; not important or pertinent; not decisive; of no substantial consequence; without weight; of no material significance. immaterial adj. reclassifications were inadvertently not reflected in the year-over-year comparisons included in the original release. The complete corrected text follows. The corrected release reads: COMMUNITY TRUST BANCORP, INC inc - /ink/ increment, i.e. increase by one. Especially used by assembly programmers, as many assembly languages have an "inc" mnemonic. Antonym: dec. . REPORTS RECORD EARNINGS FOR THE SECOND QUARTER 2006 Community Trust 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 :CTBI CTBI Churches Together in Britain and Ireland ): Earnings Summary (in thousands except per 2Q 1Q 2Q 6 Months 6 Months share data) 2006 2006 2005 2006 2005 ---------------------------------------------------------------------- Net income $ 9,892 $ 9,768 $ 8,478 $19,660 $16,439 Earnings per share $ 0.66 $ 0.65 $ 0.57 $ 1.31 $ 1.11 Earnings per share (diluted) $ 0.65 $ 0.64 $ 0.56 $ 1.29 $ 1.08 Return on average assets 1.33% 1.36% 1.21% 1.35% 1.20% Return on average equity 15.02% 15.27% 13.96% 15.14% 13.73% Efficiency ratio 55.73% 58.21% 57.86% 56.95% 58.48% Dividends declared per share $ 0.26 $ 0.26 $ 0.24 $ 0.52 $ 0.48 Book value per share $ 17.54 $ 17.30 $ 16.46 $ 17.54 $ 16.46 Weighted average shares 15,051 15,011 14,881 15,031 14,869 Weighted average shares (diluted) 15,274 15,252 15,167 15,246 15,153 ---------------------------------------------------------------------- Community Trust Bancorp, Inc. (NASDAQ:CTBI) is pleased to report earnings for the second quarter 2006 of $9.9 million or $0.66 per share compared to $8.5 million or $0.57 per share earned during the second quarter of 2005 and $9.8 million or $0.65 per share earned during the first quarter of 2006. Earnings for the six months ended June June: see month. 30, 2006 were $19.7 million or $1.31 per share compared to $16.4 million or $1.11 per share earned during the six months ended June 30, 2005. Second Quarter Highlights --The Company's basic earnings per share for the second quarter 2006 reflects an increase of 15.8% over the second quarter 2005 and 1.5% over the first quarter 2006. Year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. earnings per share increased 18.0% from prior year. --The Company's net interest margin at 4.02% for the second quarter 2006 increased 7 basis points from prior year second quarter and remained stable from the first quarter 2006. The year-to-date net interest margin increased 6 basis points from prior year. --Net interest revenue for the quarter increased 8.3% from the second quarter 2005 and 3.2% from the first quarter 2006. Net interest revenue for the six months ended June 30, 2006 was a 8.1% increase from the same period last year. --The Company's average 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 for the quarter ended June 30, 2006 increased 5.9% from the quarter ended June 30, 2005 and 2.2% from the quarter ended March 31, 2006. Average earning assets for the six months ended June 30, 2006 was a 6.0% increase over the six months ended June 30, 2005. --The Company's loan portfolio grew at a rate of 3.4% from June 30, 2005 and 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 7.2% from prior quarter. --Nonperforming loans as of percentage of total loans at June 30, 2006 were a 24 basis point decrease from June 30, 2005, but an increase of 3 basis points from prior quarter. --As a result of the improvement in credit quality trends, and a reduction in overall losses, provision for loan losses for the six months ended June 30, 2006 decreased to $1.4 million compared to $3.1 million for the same period last year. --Return on average assets was 1.33% for the quarter ended June 30, 2006 compared to 1.21% for the quarter ended June 30, 2005 and 1.36% for the quarter ended March 31, 2006. Return on average assets for the six months ended June 30, 2006 was 1.35%, a 12.5% increase from the 1.20% for the six months ended June 30, 2005. --Return on average shareholders' equity Shareholders' Equity A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. for the quarter ended June 30, 2006 was 15.02% compared to 13.96% for the quarter ended June 30, 2005 and 15.27% for the quarter ended March 31, 2006. Our return on average equity for the six months ended June 30, 2006 of 15.14% reflects a 141 basis point increase from the 13.73% for the six months ended June 30, 2005. --CTBI's efficiency ratio for the quarter ended June 30, 2006 was 55.73% compared to 57.86% for the quarter ended June 30, 2005 and 58.21% for the quarter ended March 31, 2006. Our efficiency ratio for the six months ended June 30, 2006 improved 153 basis points to 56.95% compared to 58.48% for the six months ended June 30, 2005. Net Interest Income Our net interest margin for the second quarter 2006 was 4.02% compared to 3.95% for the second quarter 2005 and 4.02% for the first quarter 2006. Net interest income for the quarter of $26.8 million was an increase of 8.3% from the $24.8 million for the second quarter 2005 and a 3.2% increase from the $25.1 million for the first quarter 2006. Year-to-date net interest income increased 8.1% or $3.9 million from the six months ended June 30, 2005. Average earnings assets increased to $2.7 billion for the quarter ended June 30, 2006, a 5.9% increase over the quarter ended June 30, 2005 and a 2.2% increase over prior quarter. Average earning assets for the six months ended June 30, 2006 increased 6.0% or $151.6 million over the six months ended June 30, 2005. Noninterest Income Noninterest income for the quarter ended June 30, 2006 decreased 4.7% from the quarter ended June 30, 2005 but increased 3.9% from the quarter ended March 31, 2006. Year-to-date noninterest income decreased 1.8% to $16.6 million for the six months ended June 30, 2006 from the $16.9 million for the same period last year. The following table displays the quarterly activity in the various significant noninterest income accounts.
Noninterest Income Summary
(in thousands) 2Q 1Q 2Q 6 Months 6 Months
2006 2006 2005 2006 2005
----------------------------------------------------------------------
Deposit related fees $5,309 $4,552 $4,460 $ 9,861 $ 8,507
Loan related fees 488 624 1,198 1,112 2,642
Trust revenue 861 881 740 1,742 1,480
Gains on sales of loans 316 304 347 620 652
Other revenue 1,470 1,763 2,119 3,233 3,583
----------------------------------------------------------------------
Total noninterest income $8,444 $8,124 $8,864 $16,568 $16,864
Noninterest Expense Noninterest expense for the quarter ended June 30, 2006 of $19.9 million was a 0.9% increase from the $19.7 million for the second quarter 2005 but a 1.0% decrease from the $20.1 million for the first quarter 2006. Balance Sheet Review The Company's total assets at June 30, 2006 were $3.0 billion compared to $2.8 billion at June 30, 2005 and $3.0 billion at March 31, 2006. Loans outstanding grew $69.7 million year over year representing an increase of 3.4% from June 30, 2005 to June 30, 2006. Loan growth for the quarter was $37.6 million, an annualized growth rate of 7.2%. The investment portfolio decreased 2.3% or $12.3 million year over year and an annualized 10.4% or $13.8 million during the quarter. Deposits including repurchase agreements Repurchase agreement An agreement with a commitment by the seller (dealer) to buy a security back from the purchaser (customer) at a specified price at a designated future date. of $2.5 billion at June 30, 2006 increased 5.8% from June 30, 2005 and an annualized 1.2% from March 31, 2006. Total deposit growth, including repurchase agreements, was $136.8 million year over year and $7.4 million for the quarter. Shareholders' equity of $264.6 million on June 30, 2006 was an 8.0% increase from the $245.0 million on June 30, 2005 and an increase of 1.8% from the $259.8 million on March 31, 2006. The Company's annualized dividend yield to shareholders as of June 30, 2006 was 2.98%. Asset Quality Nonperforming loans at June 30, 2006 were $17.0 million compared to $21.4 million at June 30, 2005 and $16.0 million at March 31, 2006. Nonperforming loans as of percentage of total loans at June 30, 2006 were a 24 basis point decrease from June 30, 2005, but an increase of 3 basis points from prior quarter. Foreclosed properties at June 30, 2006 were $5.0 million compared to $5.9 million on June 30, 2005 and $5.0 million on March 31, 2006. Net loan charge-offs for the quarter ended June 30, 2006 were $1.7 million, or 0.3% of average loans annualized, compared to $1.8 million, or 0.4% of average loans annualized, for the quarter ended June 30, 2005 and $1.4 million, or 0.3% of average loans annualized, for the quarter ended March 31, 2006. Our reserve for losses on loans as a percentage of total loans outstanding at June 30, 2006 decreased to 1.30% from the 1.41% at June 30, 2005 and the 1.34% at March 31, 2006. 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. Certain of the statements contained herein that are not historical facts are forward-looking statements within the meaning of 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 . The Company's actual results may differ materially from those included in the forward-looking statements. Forward-looking statements are typically identified by words or phrases such as "believe," "expect," "anticipate," "intend," "estimate," "may increase," "may fluctuate," and similar expressions or future or conditional Subject to change; dependent upon or granted based on the occurrence of a future, uncertain event. A conditional payment is the payment of a debt or obligation contingent upon the performance of a certain specified act. verbs such as "will," "should," "would," and "could." These forward-looking statements involve risks and uncertainties including, but not limited to, economic conditions, portfolio growth, the credit performance of the portfolios, including bankruptcies, and seasonal factors; changes in general economic conditions including the performance of financial markets, the performance of coal and coal related industries, prevailing inflation and interest rates, realized gains Realized Gain A gain resulting from selling an asset at a price higher than the original purchase price. Notes: There may be tax consequences for a realized profit. from sales of investments, gains from asset sales, and losses on commercial lending activities; results of various investment activities; the effects of competitors' pricing policies, of changes in laws and regulations on competition and of demographic See demographics. changes on target market populations' savings and financial planning Financial planning Evaluating the investing and financing options available to a firm. Planning includes attempting to make optimal decisions, projecting the consequences of these decisions for the firm in the form of a financial plan, and then comparing future performance against needs; industry changes in information technology systems on which we are highly dependent; failure of acquisitions to produce revenue enhancements revenue enhancement An increase in revenues, especially by way of increased taxes. Revenue enhancement includes reducing taxpayer deductions and eliminating tax credits. or cost savings at levels or within the time frames originally anticipated or unforeseen integration difficulties; the adoption by the Company of an FFIEC FFIEC Federal Financial Institutions Examination Council policy that provides guidance on the reporting of delinquent delinquent 1) adj. not paid in full amount or on time. 2) n. short for an underage violator of the law as in juvenile delinquent. DELINQUENT, civil law. He who has been guilty of some crime, offence or failure of duty. consumer loans and the timing of associated credit charge-offs for financial institution subsidiaries; and the resolution of legal proceedings All actions that are authorized or sanctioned by law and instituted in a court or a tribunal for the acquisition of rights or the enforcement of remedies. and related matters. In addition, the banking industry in general is subject to various monetary and fiscal policies and regulations, which include those determined by the Federal Reserve Board, 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 state regulators, whose policies and regulations could affect the Company's results. These statements are representative only on the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" , and the Company undertakes no obligation to update any forward-looking statements made. Community Trust Bancorp, Inc., with assets of $3.0 billion, is headquartered in Pikeville, Kentucky Pikeville is a city in Pike County, Kentucky, United States. The population was 6,295 at the 2000 census. It is the county seat of Pike CountyGR6. Pike County has a population of approximately 70,000. and has 74 banking locations across eastern, northern, central, and south central Kentucky South Central Kentucky is a cultural region of 22 Kentucky counties located roughly between I-65 in the Bowling Green area and I-75 around the London area, but within three counties of the Tennessee border and south of the "Golden Triangle" (the areas around Louisville, Lexington, , five banking locations in southern West Virginia Southern West Virginia is a culturally and geographically distinct region in the U.S. state of West Virginia. Generally considered the heart of Appalachia, Southern West Virginia is known for its coal mining heritage and Southern affinity. , two loan production offices in Kentucky Kentucky, state, United States Kentucky (kəntŭk`ē, kĭn–), one of the so-called border states of the S central United States. It is bordered by West Virginia and Virginia (E); Tennessee (S); the Mississippi R. , and five trust offices across Kentucky. Additional information follows.
Community Trust Bancorp, Inc.
Financial Summary (Unaudited)
June 30, 2006
(in thousands except per share data)
Three Three Three
Months Months Months
Ended Ended Ended
6/30/2006 3/31/2006 6/30/2005
---------- ---------- ----------
Interest income $ 46,759 $ 43,967 $ 38,272
Interest expense 19,943 17,991 13,509
---------- ---------- ----------
Net interest income 26,816 25,976 24,763
Loan loss provision 1,350 - 1,700
Securities gains - - 3
Gains on sales of loans 316 304 347
Deposit service charges 5,309 4,552 4,460
Trust revenue 861 881 740
Insurance commissions 153 129 120
Other noninterest income 1,805 2,258 3,194
---------- ---------- ----------
Total noninterest income 8,444 8,124 8,864
Personnel expense 10,823 10,965 10,613
Occupancy and equipment 2,967 2,986 2,690
Amortization of core deposit
intangible 158 159 145
Other noninterest expense 5,919 5,967 6,236
---------- ---------- ----------
Total noninterest expense 19,867 20,077 19,684
---------- ---------- ----------
Net income before taxes 14,043 14,023 12,243
Income taxes 4,151 4,255 3,765
---------- ---------- ----------
Net income $ 9,892 $ 9,768 $ 8,478
========== ========== ==========
Memo: TEQ interest income $ 47,150 $ 44,357 $ 38,665
Average shares outstanding 15,051 15,011 14,881
Basic earnings per share $ 0.66 $ 0.65 $ 0.57
Diluted earnings per share $ 0.65 $ 0.64 $ 0.56
Dividends per share $ 0.26 $ 0.26 $ 0.24
Average balances:
Loans, net of unearned income $2,124,485 $2,096,842 $1,982,353
Earning assets 2,717,205 2,659,430 2,565,040
Total assets 2,972,975 2,910,414 2,801,410
Deposits 2,291,822 2,274,582 2,196,635
Interest bearing liabilities 2,242,699 2,184,278 2,122,698
Shareholders' equity 264,181 259,398 243,569
Performance ratios:
Return on average assets 1.33% 1.36% 1.21%
Return on average equity 15.02% 15.27% 13.96%
Yield on average earning assets
(tax equivalent) 6.96% 6.76% 6.04%
Cost of interest bearing funds (tax
equivalent) 3.57% 3.34% 2.55%
Net interest margin (tax
equivalent) 4.02% 4.02% 3.95%
Efficiency ratio 55.73% 58.21% 57.86%
Loan charge-offs $ (2,555) $ (2,361) $ (2,607)
Recoveries 895 979 801
---------- ---------- ----------
Net charge-offs $ (1,660) $ (1,382) $ (1,806)
Market Price:
High $ 35.50 $ 35.90 $ 33.78
Low 31.50 30.60 27.94
Close 34.93 33.90 32.72
Six Six
Months Months
Ended Ended
6/30/2006 6/30/2005
---------- ----------
Interest income $ 90,726 $ 74,475
Interest expense 37,934 25,628
---------- ----------
Net interest income 52,792 48,847
Loan loss provision 1,350 3,067
Securities gains - 3
Gains on sales of loans 620 652
Deposit service charges 9,861 8,507
Trust revenue 1,742 1,480
Insurance commissions 282 217
Other noninterest income 4,063 6,005
---------- ----------
Total noninterest income 16,568 16,864
Personnel expense 21,788 20,874
Occupancy and equipment 5,953 5,229
Amortization of core deposit intangible 317 290
Other noninterest expense 11,886 12,498
---------- ----------
Total noninterest expense 39,944 38,891
---------- ----------
Net income before taxes 28,066 23,753
Income taxes 8,406 7,314
---------- ----------
Net income $ 19,660 $ 16,439
========== ==========
Memo: TEQ interest income $ 91,507 $ 75,265
Average shares outstanding 15,031 14,869
Basic earnings per share $ 1.31 $ 1.11
Diluted earnings per share $ 1.29 $ 1.08
Dividends per share $ 0.52 $ 0.48
Average balances:
Loans, net of unearned income $2,110,740 $1,951,768
Earning assets 2,688,477 2,536,912
Total assets 2,941,866 2,770,607
Deposits 2,283,250 2,177,823
Interest bearing liabilities 2,213,650 2,101,172
Shareholders' equity 261,802 241,358
Performance ratios:
Return on average assets 1.35% 1.20%
Return on average equity 15.14% 13.73%
Yield on average earning assets (tax
equivalent) 6.86% 5.60%
Cost of interest bearing funds (tax
equivalent) 3.46% 1.84%
Net interest margin (tax equivalent) 4.02% 4.09%
Efficiency ratio 56.95% 58.45%
Loan charge-offs $ (4,916) $ (4,558)
Recoveries 1,874 1,878
---------- ----------
Net charge-offs $ (3,042) $ (2,680)
Market Price:
High $ 35.90 $ 33.78
Low $ 30.60 27.94
Close $ 34.93 32.72
Community Trust Bancorp, Inc.
Financial Summary (Unaudited)
June 30, 2006
(in thousands except per share data)
As of As of As of
6/30/2006 3/31/2006 6/30/2005
---------- ---------- ----------
Assets:
Loans, net of unearned $2,138,817 $2,101,236 $2,069,167
Loan loss reserve (27,814) (28,124) (29,163)
---------- ---------- ----------
Net loans 2,111,003 2,073,112 2,040,004
Loans held for sale 2,140 1,367 110
Securities AFS 472,678 484,323 447,623
Securities HTM 44,550 46,690 55,829
Other earning assets 49,385 76,466 20,076
Cash and due from banks 81,185 83,804 82,979
Premises and equipment 57,230 57,695 57,400
Goodwill and core deposit
intangible 66,391 66,550 66,976
Other assets 80,649 77,786 72,851
---------- ---------- ----------
Total Assets $2,965,211 $2,967,793 $2,843,848
========== ========== ==========
Liabilities and Equity:
NOW accounts $ 25,296 $ 19,762 $ 15,472
Savings deposits 629,022 634,302 594,819
CD's greater than=$100,000 412,700 417,464 414,651
Other time deposits 774,606 775,094 781,993
---------- ---------- ----------
Total interest bearing
deposits 1,841,624 1,846,622 1,806,935
Noninterest bearing deposits 448,842 463,169 420,387
---------- ---------- ----------
Total deposits 2,290,466 2,309,791 2,227,322
Repurchase agreements 188,224 161,538 114,576
Other interest bearing
liabilities 197,320 214,210 236,008
Noninterest bearing
liabilities 24,641 22,422 20,896
---------- ---------- ----------
Total liabilities 2,700,651 2,707,961 2,598,802
Shareholders' equity 264,560 259,832 245,046
---------- ---------- ----------
Total Liabilities and Equity $2,965,211 $2,967,793 $2,843,848
========== ========== ==========
Ending shares outstanding 15,083 15,015 14,889
Memo: Market value of HTM
Securities $ 42,002 $ 44,531 $ 54,703
90 days past due loans $ 5,644 $ 4,148 $ 4,237
Nonaccrual loans 10,697 11,072 16,312
Restructured loans 693 733 876
Foreclosed properties 5,000 4,962 5,945
Tier 1 leverage ratio 9.06% 9.01% 8.68%
Tier 1 risk based ratio 11.51% 11.28% 11.13%
Total risk based ratio 12.72% 12.52% 12.38%
FTE employees 1,019 1,007 986
Community Trust Bancorp, Inc.
Financial Summary (Unaudited)
June 30, 2006
(in thousands except per share data)
Community Trust Bancorp, Inc. reported earnings for the three and six
months ending June 30, 2006 and 2005 as follows:
Three Months Ended Six Months Ended
June 30 June 30
---------------------- ----------------
2006 2005 2006 2005
---------- ---------- ------- -------
(in thousands except
per share information)
Net income $ 9,892 $ 8,478 $19,660 $16,439
Basic earnings per share $ 0.66 $ 0.57 $ 1.31 $ 1.11
Diluted earnings per share $ 0.65 $ 0.56 $ 1.29 $ 1.08
Average shares outstanding 15,051 14,881 15,031 14,869
Total assets (end of period) $2,965,211 $2,843,848
Return on average equity 15.02% 13.96% 15.14% 13.73%
Return on average assets 1.33% 1.21% 1.35% 1.20%
Provision for loan losses $ 1,350 $ 1,700 $ 1,350 $ 3,067
Gains on sales of loans $ 316 $ 347 $ 620 $ 652
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion