-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, KAUofZRZQNqSDY24NemdknXcGobRjgHsiImQ8mjLLLDeuRNMDeQAiUoSICpypdQh zu5b9KP28lKLlmlL9PygpQ== 0001125282-06-002317.txt : 20060420 0001125282-06-002317.hdr.sgml : 20060420 20060420132119 ACCESSION NUMBER: 0001125282-06-002317 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060420 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060420 DATE AS OF CHANGE: 20060420 FILER: COMPANY DATA: COMPANY CONFORMED NAME: EAGLE BANCORP INC CENTRAL INDEX KEY: 0001050441 STANDARD INDUSTRIAL CLASSIFICATION: STATE COMMERCIAL BANKS [6022] IRS NUMBER: 522061461 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-25923 FILM NUMBER: 06769370 BUSINESS ADDRESS: STREET 1: 7815 WOODMONT AVENUE CITY: BETHESDA STATE: MD ZIP: 20814 BUSINESS PHONE: 3019861800 MAIL ADDRESS: STREET 1: 7815 WOODMONT AVENUE CITY: BETHESDA STATE: MD ZIP: 20814 8-K 1 b412833_8k.txt FORM 8-K SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): April 20, 2006 Eagle Bancorp, Inc. (Exact name of registrant as specified in its charter) Maryland 0-25923 52-2061461 (State or other jurisdiction (Commission file number) (IRS Employer of incorporation) Number) 7815 Woodmont Avenue, Bethesda, Maryland 20814 (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code: 301.986.1800 Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (See General Instruction A.2. below): / / Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) / / Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) / / Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) / / Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Item 2.02 Results of Operations and Financial Condition On April 20, 2006 Eagle Bancorp, Inc. issued the press release attached hereto as exhibit 99. Item 9.01. Financial Statements and Exhibits (a) Financial Statements of Business Acquired. Not applicable. (b) Pro Forma Financial Information. Not applicable. (c) Shell Company Transactions. Not applicable. (d) Exhibits. 99 Press Release dated April 20, 2006 Signatures Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. EAGLE BANCORP, INC. By: /s/ Ronald D. Paul ------------------------------------- Ronald D. Paul, President, Chief Executive Officer Dated: April 20, 2006 EX-99 2 b412833ex_99.txt EXHIBIT 99 Exhibit 99 [Eagle Bancorp, Inc. Logo Omitted] PRESS RELEASE EAGLE BANCORP, INC. FOR IMMEDIATE RELEASE CONTACT: Ronald D. Paul April 20, 2006 301.986.1800 EAGLE BANCORP, INC. ANNOUNCES 20% INCREASE IN NET EARNINGS FOR FIRST QUARTER OF 2006 OVER 2005 BETHESDA, MD. Eagle Bancorp, Inc. (Nasdaq: EGBN), the parent company of EagleBank, today announced net income of $2.0 million for the quarter ended March 31, 2006, compared to $1.7 million for the first quarter of 2005, an increase of 20%. On a per-share basis, the Company earned $0.27 per basic share and $0.26 per diluted share for 2006, as compared to $0.23 per basic share and $0.22 cents per diluted share for 2005. Strong growth in both average loans and average deposits over the past 12 months, coupled with a slight increase in the net interest margin for the first quarter of 2006, as compared to 2005, were the primary factors which contributed to the increase in first quarter net income improvement. Average loans increased 27% in the first quarter of 2006 as compared to the first quarter of 2005, while average deposits increased 19% during the same period. The net interest margin increased from 4.98% for the first quarter of 2005 to 5.01% for the first quarter of 2006, as the bank's asset/liability position benefited from the continued increase in market interest rates in the January to March 2006 period. The Company reported an annualized return on average assets of 1.20% for the first quarter of 2006, equal to the 1.20% for the first quarter of 2005; while the annualized return on average equity improved to 12.08%, as compared to 11.32% for the same quarter in 2005. Non-interest income for the first quarter of 2006 was $840 thousand compared to $1.0 million in the first quarter of 2005, for an overall decline of 19%. The decline was attributed primarily to lower amounts of gains on the sale of SBA loans which amounted to $138 thousand in the first quarter of 2006 as compared to $385 thousand for the same period in 2005. Activity in SBA sales to secondary markets can vary widely from quarter to quarter. EagleBank has been recognized as the leading community bank SBA lender in its marketplace and continued emphasis in this business is anticipated. The decline in gains on the sale of SBA loans was partially offset by an increase in deposit service charges, which amounted to $324 thousand in the initial quarter of 2006, as compared to $269 thousand for the same period in 2005, a 20% increase. Non-interest expenses were $5.2 million for the first quarter of 2006, as compared to $4.5 million for 2005, a 17% increase. The primary reasons for this increase were increases in staff levels and related personnel cost, director fees, costs associated with stock options under new accounting expensing rules, occupancy cost increases, and higher data processing, licensing, and other professional fees associated with a larger organization. The efficiency ratio, which is a measure of the level of noninterest expenses to revenue, was only slightly higher in the first quarter of 2006 at 60.14%, as compared to 59.56% for the same period in 2005. The company emphasizes the efficiency ratio as a measure of noninterest expense control. Asset quality remained favorable in the quarter. The Company recorded net charge-offs of just $14 thousand for the first quarter of 2006, or .01% of average loans outstanding as compared to net recoveries of $6 thousand or .01% of average loans for the first quarter of 2005. The ratio of non-performing loan to total loans increased to 1.13% at March 31, 2006 as compared to .03% at March 31, 2005. The increase was due to two large loans placed on non-accrual status in the first quarter of 2006, which loans management has been monitoring closely, believes are well secured and that no loss is anticipated. The provision for credit losses was $115 thousand for the first quarter in 2006 as compared to $417 thousand for 2005; the decrease primarily due to a slower rate of loan growth in the first quarter of 2006 as compared to 2005. At March 31, 2006, the allowance for credit losses represented 1.10% of loans outstanding, as compared to 1.07% at March 31, 2005. At March 31, 2006, total assets were $694.6 million compared to $589.8 million at March 31, 2005, an 18% increase. Total deposits amounted to $571.2 million, at March 31, 2006, also representing an 18% increase over deposits of $482.9 million at March 31, 2005, while total loans increased to $552.4 million at March 31, 2006, from $437.1 million at March 31, 2005, a 26% increase. Eagle Bancorp paid a regular quarterly cash dividend of $.07 per share for both the first quarter of 2006 and 2005. The Summary of Financial Information presented on the following pages provides more detail of the Company's performance for the quarter ended March 31, 2006 as compared to 2005. Persons wishing additional information should refer to the Company's Form 10K filed with the Securities and Exchange Commission on March 15, 2006. Eagle Bancorp is the holding company for EagleBank and its subsidiary, Eagle Land Title, LLC. EagleBank commenced operations in 1998. The Bank is headquartered in Bethesda, Maryland, and conducts full service commercial banking services thru eight offices, located in Montgomery County, Maryland and Washington, D.C. A new community bank office to be located in Chevy Chase, Maryland is planned to open in the second quarter of 2006. The Company focuses on building relationships with businesses, professionals and individuals in its marketplace. NON-GAAP PRESENTATIONS. This press release refers to the efficiency ratio which is computed by dividing noninterest expense by the sum of net interest income on a tax equivalent basis and noninterest income. This is a non-GAAP financial measure that we believe provides investors with important information regarding our operational efficiency. Comparison of our efficiency ratio with those of other companies may not be possible because other companies may calculate the efficiency ratio differently. The Company, in referring to its net income, is referring to income under accounting principles generally accepted in the United States, or "GAAP". FORWARD LOOKING STATEMENTS: This press release contains forward looking statements within the meaning of the Securities and Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as "may," "will," "anticipates," "believes," "expects," "plans," "estimates," "potential," "continue," "should," and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company's market, interest rates and interest rate policy, competitive factors and other conditions which by their nature, are not susceptible to accurate forecast and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company's past results are not necessarily indicative of future performance. EAGLE BANCORP, INC Consolidated Statement of Condition Highlights
(in thousands) MARCH 31, 2006 DECEMBER 31, 2005 MARCH 31, 2005 ------------------------------------------------------------------- UNAUDITED AUDITED UNAUDITED ------------------------------------------------------------------- Assets Cash and due from banks $ 16,689 $ 16,662 $ 23,193 Interest bearing deposits with banks and other 1,718 11,231 17,504 short term investments Federal funds sold 31,630 6,103 26,064 Investment securities available for sale, at fair value 69,954 68,050 65,449 Loans held for sale 3,010 2,924 3,671 Loans 552,375 549,212 437,117 Less: allowance for credit losses (6,085) (5,985) (4,663) Premises and equipment, net 5,852 5,774 6,176 Accured interest, taxes, and other assets 19,423 18,281 15,339 ------------------------------------------------------------------- TOTAL ASSETS $ 694,566 $ 672,252 $ 589,850 =================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Noninterest bearing deposits $ 149,778 $ 165,103 $ 146,376 Interest bearing deposits 421,467 403,790 336,534 ------------------------------------------------------------------- Total deposits 571,245 568,893 482,910 Customer repurchase agreements and federal 31,549 32,139 39,498 funds purchased Other short term borrowings 20,000 -- 5,333 Other liabilities 4,531 6,256 2,469 ------------------------------------------------------------------- Total liabilities 627,325 607,288 530,210 Stockholders' equity 67,241 64,964 59,640 ------------------------------------------------------------------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 694,566 $ 672,252 $ 589,850 ===================================================================
EAGLE BANCORP, INC. Consolidated Statement of Income Highlights (in thousands)
THREE MONTHS ENDED MARCH 31, ------------------------------------------- 2006 2005 (UNAUDITED) (UNAUDITED) Total interest income $ 11,224 $ 7,710 Total interest expense 3,380 1,235 ---------- ---------- Net interest income 7,844 6,475 ---------- ---------- Provision for credit losses 115 417 Noninterest income 840 1,039 Noninterest expense 5,223 4,475 ---------- ---------- Income before income tax expense 3,346 2,622 Income tax expense 1,363 969 ---------- ---------- Net income $ 1,983 $ 1,653 ========== ========== Per Share Data: Earnings per share, basic $ 0.27 $ 0.23 Earnings per share, diluted $ 0.26 $ 0.22 Shares outstanding at period end 7,239,422 7,088,651 Weighted average shares outstanding, basic 7,214,188 7,078,451 Weighted average shares outstanding, diluted 7,533,458 7,494,133 Book value per share at period end $ 9.29 $ 8.41 Dividends per share $ 0.07 $ 0.07 EAGLE BANCORP, INC Performance Ratios (annualized): Return on average assets 1.20% 1.20% Return on average equity 12.08% 11.32% Net interest margin 5.01% 4.98% Efficiency ratio (1) 60.14% 59.56% OTHER RATIOS: Allowance for credit losses to total loans 1.10% 1.07% Nonperforming loans to total loans 1.13% 0.03% Net charge-offs (annualized) to average loans 0.01% -0.01% Average equity to average assets 9.93% 10.57% AVERAGE BALANCES (IN THOUSANDS): Total assets $ 670,664 $ 559,981 Total earning assets $ 634,471 $ 527,291 Total loans $ 545,594 $ 429,095 Total deposits $ 553,469 $ 463,304 Total borrowings $ 47,178 $ 34,510 Total stockholders' equity $ 66,627 $ 59,208
(1) computed by dividing noninterest expense by the sum of net interest income and noninterest income -----END PRIVACY-ENHANCED MESSAGE-----