1st Colonial Bancorp, Inc. (OTCBB:FCOB), the holding company of
1st Colonial National Bank, today reported that its net income for
the six months ended June 30, 2011 was $345,000 ($0.11 per share),
compared to $373,000 ($0.12 per share) for the six months ended
June 30, 2010.
Gerry Banmiller, President and Chief Executive Officer,
commented, “It is apparent that our economy is in the doldrums. The
bank is adjusting to this lack of strength by reducing expenses
wherever possible. I have commented in the past that we are
attacking the cost of deposits by reducing our CD portfolio, which
is the high-priced side of our liabilities. We are also focused on
fee income as a source of profit. Specifically, our residential
mortgage unit and our SBA area will continue to receive our
attention. I believe that expense control and a focus on
high-quality loans will help cause us to come out of this malaise
without undue risk.”
At June 30, 2011, 1st Colonial also reported $276.3 million in
total assets, $176.1 million in total loans and $241.3 million in
deposits. These amounts are relatively flat when compared to the
$276.9 million in total assets, $173.3 million in total loans and
$239.1 million in deposits from June 30, 2010. The stalling of the
balance sheet is reflective of the continued lack of qualified
commercial loan demand. Investments were $83.5 million compared to
$84.6 million at June 30, 2010.
Net interest income of $4,381,000 for the six months ended June
30, 2011 was $239,000, or 5.8%, higher than the net interest income
of $4,142,000 for the six months ended June 30, 2010. This was due
primarily to a 0.30% increase in net interest spread to 3.24% for
the six months ended June 30, 2011 compared to 2.94% for the six
months ended June 30, 2010.
1st Colonial’s provision for loan losses for the six months
ended June 30, 2011 was $900,000 compared to the $995,000 provision
for the six months ended June 30, 2010.
Non-interest income decreased $127,000 or 14.8% from the prior
year. Non-interest income for the six months ended June 30, 2010
included a gain on sale of investments of $212,000, and there was
no gain or loss from the sale of investments during the six months
ended June 30, 2011. Fees generated by the origination and sale of
SBA loans and residential mortgage loans increased by $43,000 and
$32,000 respectively, partially offsetting the decrease in
non-interest income caused by the 2010 investment sale.
Non-interest expense increased $335,000 or 9.5% from the
comparable period in 2010. Salaries and benefits accounted for
$164,000 of the increase due to increased commission expenses
related to loan volume in our residential lending department and
general salary and benefit increases. Expenses related to loans in
foreclosure and legal expenses inherent with enforcing loan
contracts increased by $136,000. Included in non-interest expense
for the six months ended June 30, 2011 were losses on real estate
owned of $51,000, compared to $29,000 for the six months ended June
30, 2010. As a result of lower pre-tax earnings and increased tax
exempt investments, our income tax expense decreased from $123,000
for the six months ended June 30, 2010 to $23,000 for the six
months ended June 30, 2011.
The company also reported that its net income for the three
months ended June 30, 2011 was $175,000, a decrease of $87,000 from
the comparable period ended June 30, 2010. Additionally, diluted
earnings per share decreased to $0.06 for the quarter ended June
30, 2011 from $0.09 for the quarter ended June 30, 2010. Net
interest income increased $122,000, but this was more than offset
by a $142,000 increase in noninterest expenses due primarily to
increased loan collection costs. In addition, our provision for
loan losses increased $95,000, and our noninterest income decreased
by $25,000 due to an increase in losses on real estate owned of
$51,000. Our lower pre-tax earnings and increased tax exempt
investments for the quarter caused a decrease in income tax expense
of $53,000 compared to the three months ended June 30, 2010.
Highlights as of June 30, 2011 and June 30, 2010, and comparing
the three and six months ended June 30, 2011 and the three and six
months ended June 30, 2010, respectively (all unaudited), include
the following (dollars in thousands, except per share data):
at at $ increase/ % increase/
June 30,
2011
June 30,
2010
Decrease
decrease
Total assets $276,303 $276,897 ($594) -0.2% Total
loans 176,090 173,315 2,775 1.6% Investments 83,535 84,597
(1,062) -1.3% Total deposits 241,300 239,134 2,166 0.9%
Shareholders' equity 23,712 23,658 54 0.2%
For the six months ended $ increase/ % increase/
June 30,
2011
June 30,
2010
Decrease
decrease
Net interest income $4,381 $4,142 $239 5.8% Provision
for loan losses 900 995 (95) -9.5% Other income 733 860
(127) -14.8% Non interest expense 3,846 3,511 335 9.5%
Tax expense (benefit) 23 123 (100) -81.3%
Net income
345 373 (28) -7.5% Earnings per share (diluted) $0.11 $0.12
($0.01) -8.3%
For the three months ended
$ increase/ % increase/
June 30,
2011
June 30,
2010
Decrease
decrease
Net interest income $2,228 $2,106 $122 5.8% Provision
for loan losses 450 355 95 26.8% Other income 346 371 (25)
-6.7% Non interest expense 1,914 1,772 142 8.0% Tax
expense (benefit) 35 88 (53) -60.2%
Net income
175 262 (87) -33.2% Earnings per share (diluted) $0.06 $0.09
($0.03) -33.3%
1st Colonial National Bank, the subsidiary of 1st Colonial
Bancorp, provides a range of business and consumer financial
services, placing emphasis on customer service and access to
decision makers. Headquartered in Collingswood, New Jersey, the
Bank also has branches in the New Jersey communities of Westville
and Cinnaminson. To learn more, call (856) 858-8402 or visit
www.1stcolonial.com.
This Release contains forward-looking statements that are not
historical facts and include statements about management’s
strategies and expectations about our business. There are risks and
uncertainties that may cause our actual results and performance to
be materially different from results indicated by these
forward-looking statements. Factors that might cause a difference
include economic conditions; unanticipated loan losses, lack of
liquidity; changes in interest rates, changes in FDIC assessments,
deposit flows, loan demand, and real estate values; competition;
changes in accounting principles, policies or guidelines; changes
in laws or regulations and in the manner in which the regulators
enforce same; new technology and other factors affecting our
operations, pricing, products and services.
1st Colonial Bancorp (PK) (USOTC:FCOB)
Historical Stock Chart
From Jun 2024 to Jul 2024
1st Colonial Bancorp (PK) (USOTC:FCOB)
Historical Stock Chart
From Jul 2023 to Jul 2024