Quaker City Bancorp, Inc. Reports Earnings for First Quarter Fiscal 2004 and Cash Dividend.Business Editors WHITTIER Whittier, city (1990 pop. 77,671), Los Angeles co., S Calif.; in a fruit and oil area; inc. 1898. Mainly residential, it has plants that manufacture such diversified goods as potato chips; automobile, aircraft, and missile parts; oil pumps; and clay and steel , Calif.--(BUSINESS WIRE)--Oct. 21, 2003 Quaker City Bancorp, Inc. ("Company") (Nasdaq: QCBC QCBC Queensland Contract Bridge Club (Australia) ), the holding company for Quaker City Bank ("Bank"), reported net earnings of $5.4 million, $0.84 per share for the quarter ended September September: see month. 30, 2003, compared to $5.6 million, $0.83 per share for the quarter ended September 30, 2002, a 1.2% increase in earnings per share. The trailing twelve months In commerce, the trailing twelve months (TTM) is a moving measurement (for example, an average or a sum) over the 12 previous months, using the most recent data available. Also sometimes known as last twelve months (LTM). earnings per share at September 30, 2003 was $3.45 per share. All per share earnings are presented on a 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. basis. The Company also announced today that its Board of Directors, at their meeting on October October: see month. 16, 2003, declared de·clare v. de·clared, de·clar·ing, de·clares v.tr. 1. To make known formally or officially. See Synonyms at announce. 2. To state emphatically or authoritatively; affirm. 3. a cash dividend of $0.20 per outstanding share of common stock of the Company payable on November November: see month. 28, 2003 to shareholders of record at the close of business on November 14, 2003. The decline in net earnings for the quarter ended September 30, 2003 was primarily due to the recognition of a one-time one-time adj. 1. or one·time a. Occurring or undertaken only once: a one-time winner in 1995. b. State of California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). tax benefit of $158,000 during the quarter ended September 30, 2002. The increase in earnings per share was due to stock repurchases Stock repurchase A firm's repurchase of outstanding shares of its common stock. during the last twelve months. The net interest margin for the current reporting quarter was 3.67% compared to 3.89% for the same period last year, as the yield on 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 decreased more quickly than the cost of interest bearing liabilities during the period. Return on average assets (ROAA ROAA Return on Average Assets (business, banking, accounting) ROAA Rural Oregon Arts Association ROAA Royce Online Account Access (Royce Fund Services, Inc. ) decreased to 1.33% for the current quarter compared to 1.51% for the same quarter ended September 30, 2002. The Company's return on average equity (ROAE ROAE Return on Average Equity ) for the current quarter decreased to 15.57% compared to 17.23% for the quarter ended September 30, 2002. The Company's book value per share has increased every quarter for the last four fiscal years. The book value per share at September 30, 2003 was $22.37 as compared to $20.13 as of September 30, 2002, an 11.1% increase. The Company experienced record loan prepayments Prepayments Payments made in excess of scheduled mortgage principal repayments. and amortization during the current quarter with 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. payoff rate of 49.53% compared to 26.07% for the same period last year. However, the decrease in the loan portfolio was offset by purchases of mortgage-backed securities Mortgage-backed securities (MSBs) Securities backed by a pool of mortgage loans. and short-term Short-term Any investments with a maturity of one year or less. short-term 1. Of or relating to a gain or loss on the value of an asset that has been held less than a specified period of time. investments resulting in average earning assets at September 30, 2003 increasing to $1.57 billion compared to $1.47 billion at September 30, 2002, a 7.1% increase. As a result of increased earning assets offset by a decrease in net interest margin, net interest income before provision for loan losses for the quarter remained constant, $14.5 million for the current quarter and for the same quarter last year. Deposit transaction accounts (checking, NOW, money-market and passbooks) increased as a percentage of total deposits to 42.85% as of September 30, 2003 compared to 35.38% one year earlier. Total other income for the quarter ended September 30, 2003 increased to $2.9 million from $2.3 million for the same period last year, an increase of 28.6%. The increase during the quarter was primarily due to an increase in retail deposit fees to $1.5 million for the current quarter (compared to $1.2 million for the same period last year) and an increase in gain on sale of loans held-for-sale to $450,000 (compared to $112,000 for the same period last year). Nonperforming loans at September 30, 2003 were reduced to $2.8 million, 0.21% of gross loans compared to $3.3 million, 0.25% of gross loans at June June: see month. 30, 2003. Real estate acquired through foreclosure foreclosure Legal proceeding by which a borrower's rights to a mortgaged property may be extinguished if the borrower fails to live up to the obligations agreed to in the loan contract. (REO reo Noun NZ a language [Maori] ) was $50,000 for the quarter ended September 30, 2003 and there was no REO for the quarter ended June 30, 2003. Total nonperforming assets Nonperforming asset An asset that is not effectively producing income, such as an overdue loan. nonperforming asset An asset that produces no income. decreased to $2.8 million, or 0.17% of assets at September 30, 2003, compared to $3.3 million, 0.20% of total assets as of June 30, 2003. The Company includes as nonperforming assets nonaccrual loans 60 or more days past due, troubled debt restructured loans and REO. The ratio of general and administrative (G&A) expenses to average assets was 1.88% for the current reporting quarter compared to 1.85% for the same quarter last year. The increase was a result of costs related to planned branch network expansion, branch computer technology upgrades, and increased marketing expense. The efficiency ratio for the current quarter increased to 44.19% compared to 41.18% for the quarter ended September 30, 2002. The efficiency ratio is the measurement of G&A expense as a percentage of net interest income before provision for loan losses and noninterest income. The Company had $1.64 billion in total assets at September 30, 2003, and operates twenty-four retail banking branches in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , Orange, Riverside Riverside. 1 City (1990 pop. 226,505), seat of Riverside co., S Calif.; inc. 1883. One of the fastest growing U.S. cities in the late 20th cent., it is famous for its orange industry. and San Bernardino San Bernardino, city, United States San Bernardino (săn bûr'nədē`nō), city (1990 pop. 164,164), seat of San Bernardino co., S Calif., at the foot of the San Bernardino Mts.; inc. 1854. Counties in southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, . The bank is currently scheduled to open three additional Wal-Mart  Editing of this page by unregistered or newly registered users is currently disabled due to vandalism. in-store branches in the communities of Temecula, San Marcos San Marcos (săn mär`kəs).1 City (1990 pop. 38,974), San Diego co., S Calif., a northern suburb of San Diego; settled 1880s, inc. 1963. and La Quinta A division of Seagate that was originally an acquisition and then absorbed into the company by 1999. Quinta was the developer of Optically Assisted Winchester (OAW) technology. See OAW. (Palm Springs area) during fiscal 2004. The La Quinta branch will be located in what is scheduled to be Wal-Mart's first "super center" in California. At September 30, 2003, 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: 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 the Company was $141.2 million, representing 8.60% of total assets. The Bank was founded in 1920 and its 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 levels continue to exceed the levels necessary to be considered "Well Capitalized Capitalized Recorded in asset accounts and then depreciated or amortized, as is appropriate for expenditures for items with useful lives longer than one year. ." Pursuant to previously announced plans to 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. Company stock, the Company acquired in the open market 66,500 shares of common stock at an average price of $39.80 during the quarter ended September 30, 2003. The Board of Directors has authorized au·thor·ize tr.v. au·thor·ized, au·thor·iz·ing, au·thor·iz·es 1. To grant authority or power to. 2. To give permission for; sanction: the repurchase of Company stock up to 356,567 shares of common stock. As previously announced, President and Chief Executive Officer Rick McGill McGill may refer to:
These statements are subject to a number of risks and uncertainties, many of which are beyond the control of the Company, including, but not limited to, (i) general economic, market or business conditions in the U.S. and southern California, including changes in market interest rates; (ii) real estate market conditions, particularly in southern California; (iii) the opportunities (or lack thereof) that may be presented to and pursued by the Company; (iv) competitive actions by other financial institutions; (v) changes in federal, state, and local laws, regulations and policies affecting the Company's business; and (vi) other factors. Actual results could differ materially from those contemplated by these 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. . Consequently, all of the forward-looking statements made in this report are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by the Company will be realized or, even if substantially realized, that they will have the expected consequences to or effects on the Company and its business or operations. Forward-looking statements made in this report speak as of 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" . The Company undertakes no obligation to update or revise any forward-looking statement made in this report.
Quaker City Bancorp, Inc.
Consolidated Statements of Financial Condition
(Nasdaq: QCBC)
Unaudited
(Dollars in thousands, except share data)
September 30, June 30,
2003 2003
Assets
Cash and due from banks $33,103 $31,275
Interest-bearing deposits 1,801 943
Federal funds sold and other short-term
investments 16,000 --
Investment securities held-to-maturity 12,140 12,178
Investment securities available-for-sale 48,132 48,137
Loans receivable, net 1,294,434 1,323,268
Loans receivable held-for-sale 800 2,997
Mortgage-backed securities held-to-
maturity 112,168 90,014
Mortgage-backed securities available-for-
sale 83,542 73,683
Real estate held-for-sale 50 --
Federal Home Loan Bank stock, at cost 20,020 19,807
Office premises and equipment, net 7,383 7,275
Accrued interest receivable and other
assets 13,021 12,534
Total assets $1,642,594 $1,622,111
Liabilities and Stockholders' Equity
Deposits $1,097,557 $1,084,117
Federal Home Loan Bank advances 370,000 381,500
Accounts payable and accrued expenses 6,539 7,269
Other liabilities 27,253 10,088
Total liabilities 1,501,349 1,482,974
Stockholders' Equity:
Common stock, $.01 par value. Authorized
20,000,000 shares; issued and outstanding
6,314,993 shares and 6,365,943 at September
30, 2003 and June 30, 2003, respectively 63 64
Additional paid-in capital 129,276 128,581
Accumulated other comprehensive loss (1,792) (1,377)
Retained earnings, substantially
restricted 13,970 12,197
Deferred compensation (272) (328)
Total stockholders' equity 141,245 139,137
Total liabilities and stockholders'
equity $1,642,594 $1,622,111
Quaker City Bancorp, Inc.
Consolidated Statements of Operations
(Nasdaq: QCBC)
Unaudited
(Dollars in thousands, except per share data)
Three Months Ended
September 30,
2003 2002
Interest income:
Loans receivable $21,067 $22,010
Mortgage-backed securities 1,431 1,953
Investment securities 481 783
Other 249 266
Total interest income 23,228 25,012
Interest expense:
Deposits 5,175 6,711
Federal Home Loan Bank advances 3,600 3,790
Total interest expense 8,775 10,501
Net interest income before provision for
loan losses 14,453 14,511
Provision for loan losses -- 200
Net interest income after provision for loan
losses 14,453 14,311
Other income:
Deposit fees 1,459 1,161
Loan servicing charges and fees 662 618
Gain on sale of loans held-for-sale 450 112
Commissions 227 188
Gain on sale of securities
available-for-sale -- 41
Other 100 133
Total other income 2,898 2,253
Other expense:
Compensation and employee benefits 4,247 3,814
Occupancy, net 915 805
Federal deposit insurance premiums 111 108
Data processing 524 369
Advertising and promotional 491 352
Consulting fees 223 242
Other general and administrative expense 1,157 1,214
Total general and administrative expense 7,668 6,904
Amortization of core deposit intangible 29 29
Total other expense 7,697 6,933
Earnings before income taxes 9,654 9,631
Income taxes 4,220 3,996
Net earnings $5,434 $5,635
Average common shares outstanding 6,263,901 6,448,741
Shares outstanding and equivalents 6,459,467 6,765,055
Basic earnings per share $0.87 $0.87
Diluted earnings per share $0.84 $0.83
Quaker City Bancorp, Inc.
Consolidated Financial Highlights, Page 1
(Nasdaq: QCBC)
Unaudited
(Dollars in thousands, except share and per share data)
At September 30, At June 30,
2003 2003
Selected Financial Data
Total assets $1,642,594 $1,622,111
Total liabilities $1,501,349 $1,482,974
Loans receivable (1) $1,295,234 $1,326,265
Allowance for loan losses $11,606 $11,606
Investment securities (1) $60,272 $60,315
Mortgage-backed securities (1) $195,710 $163,697
Real estate held-for-sale $50 --
Deposits $1,097,557 $1,084,117
Federal Home Loan Bank (FHLB) advances $370,000 $381,500
Total stockholders' equity $141,245 $139,137
Total common shares outstanding 6,314,993 6,365,943
Trailing twelve month diluted earnings per
share $3.45 $3.43
Book value per common share $22.37 $21.86
Stock price at end of period $40.00 $41.59
(1) Includes assets held or available-for-sale.
At or for the
Three Months Ended
September 30,
2003 2002
Selected Operating Data
Net interest income before provision for
loan losses $14,453 $14,511
Provision for loan losses -- 200
Net interest income after provision for
loan losses 14,453 14,311
Total other income 2,898 2,253
Total other expense 7,697 6,933
Earnings before income taxes 9,654 9,631
Income taxes 4,220 3,996
Net earnings $5,434 $5,635
Basic earnings per share $0.87 $0.87
Diluted earnings per share $0.84 $0.83
Average earning assets $1,573,736 $1,469,901
Average loans receivable $1,310,459 $1,223,238
Average stockholders' equity $139,596 $130,843
Weighted average shares outstanding and
equivalents 6,459,467 6,765,055
Performance Ratios (2)
Return on average assets 1.33% 1.51%
Return on average equity 15.57% 17.23%
Average equity to average assets 8.53% 8.76%
Interest rate spread during the period 3.46% 3.59%
Net interest margin 3.67% 3.89%
General and administrative expense to
average assets 1.88% 1.85%
Efficiency ratio 44.19% 41.18%
Other expense to average assets 1.88% 1.86%
(2) All applicable quarterly ratios reflect annualized figures.
Quaker City Bancorp, Inc.
Consolidated Financial Highlights, Page 2
(Nasdaq: QCBC)
Unaudited
(Dollars in thousands, except share and per share data)
At At
Asset Quality Ratios and Data September 30, June 30,
2003 2003
Nonperforming loans as a percentage of gross
loans (3) 0.21% 0.25%
Nonperforming assets as a percentage of total
assets (4) 0.17% 0.20%
Total allowance for loan losses as a percentage
of gross loans 0.89% 0.86%
Total allowance for loan losses as a percentage
of total nonperforming loans 417.03% 350.95%
Total allowance as a percentage of total
nonperforming assets (5) 409.67% 350.95%
Net charge-offs, quarter to date $-- $--
Nonaccrual loans (3) $2,783 $3,307
Troubled debt restructured loans -- --
Total nonperforming loans 2,783 3,307
Real estate acquired through foreclosure 50 --
Total nonperforming assets $2,833 $3,307
Number of:
Pass Book/Savings Accounts 20,007 19,231
Checking Accounts 39,417 37,478
Money Market Accounts 7,200 7,589
(3) Nonperforming loans are net of specific allowances and include
nonaccrual and troubled debt restructured loans. Gross loans
include loans held-for-sale.
(4) Nonperforming assets include nonperforming loans and REO.
(5) Total allowance includes loan and REO valuation allowances.
For investor information, visit Quaker City's Corporate News on the Net page at www.businesswire.com/cnn/qcbc.htm |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion