-----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, N4AtR3URM8Yo7kqsw2AG4xev1eTzd+EbcvwVsFM5aSeCx8pglQgAgAmt5mX7aIXw MBE6+lYiJdRwzyR9KVf83Q== 0001275287-05-004569.txt : 20051110 0001275287-05-004569.hdr.sgml : 20051110 20051110093528 ACCESSION NUMBER: 0001275287-05-004569 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20051109 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20051110 DATE AS OF CHANGE: 20051110 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CHARTER FINANCIAL CORP/GA CENTRAL INDEX KEY: 0001136796 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 000000000 FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-33071 FILM NUMBER: 051192079 BUSINESS ADDRESS: STREET 1: 600 THIRD AVENUE CITY: WEST POINT STATE: GA ZIP: 31833 BUSINESS PHONE: 7066451391 MAIL ADDRESS: STREET 1: 600 THIRD AVENUE CITY: WEST POINT STATE: GA ZIP: 31833 8-K 1 cf4090.txt FORM 8-K ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 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): November 9, 2005 CHARTER FINANCIAL CORPORATION ------------------------------------------------------ (Exact name of registrant as specified in its charter) United States 000-33071 58-2659667 - ---------------------------- ------------ ------------------- (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 1233 O. G. Skinner Drive, West Point, Georgia 31833 --------------------------------------------- ---------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (706) 645-1391 Not Applicable -------------------------------------------------------------- (Former name or former address, if changed since last report.) Check the appropriate box below if the Form 8-K filing 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 November 9, 2005, Charter Financial Corporation (the "Company") announced its annual and fourth quarter earnings for the 2005 fiscal year. A copy of the press release dated November 9, 2005, describing annual and fourth quarter earnings is attached as Exhibit 99.1. ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS (c) The following exhibit is furnished with this Report: Exhibit No. Description ----------- -------------------------------------------------- 99.1 Press release issued by Charter Financial Corporation (the "Company") on November 9, 2005 furnished in accordance with Item 2.02 of this Current Report on Form 8-K. 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. Dated: November 10, 2005 CHARTER FINANCIAL CORPORATION By: /s/ Robert L. Johnson ----------------------------- Name: Robert L. Johnson Title: President and Chief Executive Officer EXHIBIT INDEX Exhibit No. Description - ----------- -------------------------------------------------------- 99.1 Press release issued by the Company on November 9, 2005. EX-99.1 2 cf4090ex991.txt EXHIBIT 99.1 Exhibit 99.1 CHARTER FINANCIAL REPORTS FY05 NET INCOME INCREASES 39% -- EPS Climbs To $0.58 From $0.42 In Prior Year -- Loan Balances Increase $40.7 Million To $356.8 Million WEST POINT, Ga., Nov. 9 /PRNewswire-FirstCall/ -- Charter Financial Corporation (Nasdaq: CHFN) today reported fiscal 2005 net income climbed approximately 39 percent to $11.4 million, or $0.58 per share, from $8.2 million, or $0.42 per share, a year earlier. Net income for the quarter ended September 30, 2005, was $2.8 million, or $0.14 per share, compared with $2.4 million, or $0.12 per share, for the prior year period. The increase in net income for the year was attributed to a $1.2 million improvement in net interest income and a $4.5 million increase in noninterest income. The increase in noninterest income resulted from an increased gain on the sale of Freddie Mac stock and the improvement in net interest income was from growth in the loan portfolio. These increases to net income were partially offset by increases of $1.1 million in noninterest expense and $1.3 million in tax expense. Building Retail Bank Franchise "We made significant progress in building our retail franchise and improving the resulting earnings," said Robert L. Johnson, president and chief executive officer. "We increased our net loans receivable by $40.7 million to $356.8 million, which contributed to the increase in net interest income of $1.2 million. Deposit fees also increased by seven percent to $2.7 million for the year from $2.5 million for the prior year. This was consistent with the fourth quarter, when deposit fees increased to $745,000 from $689,000 for the fourth quarter last year. We have started construction on a replacement branch for our downtown Opelika branch. The new branch will be more convenient and accessible for our customers." Capital Management Johnson pointed out that Charter Financial continued to manage its capital by investing in a second branch in LaGrange and consolidating its management and support staff in one facility. The company also paid dividends that totaled $3.20 per share during the year compared with $1.10 per share the prior year. Charter Financial increased its regular quarterly cash dividend to $0.35 per share in the third quarter from $0.25 per share. The company also paid a $2.00 special dividend during the year. Managing Freddie Mac Common Stock During the year, the company recognized $525,000 in income from covered calls on Freddie Mac common stock compared with $149,000 in the prior year. Sales resulting from exercises of covered calls generated gains of $6.1 million compared with $2.1 million in fiscal 2004. Charter Financial Corporation is a savings and loan holding company and the parent company of CharterBank, a full-service community bank and a federal savings institution. Charter Financial Corporation and its subsidiary, CharterBank, are in a mutual holding company structure. CharterBank is headquartered in West Point, Georgia, and operates nine full-service branches on the I-85 corridor from LaGrange, Georgia to Auburn, Alabama. CharterBank's deposits are insured by the Federal Deposit Insurance Corporation. Forward-Looking Statements This release may contain "forward-looking statements" that may be identified by use of such words as "believe," "expect," "anticipate," "should," "planned," "estimated," and "potential." Examples of forward-looking statements include, but are not limited to, estimates with respect to our financial condition and results of operation and business that are subject to various factors that could cause actual results to differ materially from these estimates. These factors include but are not limited to general and local economic conditions; changes in interest rates, deposit flows, demand for mortgages and other loans, real estate values, and competition; changes in accounting principles, policies, or guidelines; changes in legislation or regulation; and other economic, competitive, governmental, regulatory, and technological factors affecting our operations, pricing, products, and services. Any or all forward-looking statements in this release and in any other public statements we make may turn out to be wrong. They can be affected by inaccurate assumptions we might make or known or unknown risks and uncertainties. Consequently, no forward-looking statements can be guaranteed. The Company disclaims any obligation to subsequently revise or update any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. Selected Financial Data (in thousands except share data):
September 30, September 30, June 30, 2005 2004 2005 ------------- ------------- ------------- Unaudited Total Assets $ 1,050,570 $ 1,068,201 $ 1,081,518 Loans Receivable, Net 356,808 316,151 338,201 Mortgage Securities Available for Sale 358,461 378,357 379,886 Freddie Mac Common Stock 254,776 300,430 295,981 Other Investment Securities 17,712 22,157 9,951 Retail Deposits 250,391 245,463 237,799 Core Deposits 131,361 129,349 126,647 Total Deposits 320,129 279,575 291,773 Deferred Income Taxes 92,143 111,603 109,641 Borrowings 382,336 392,789 395,817 Realized Stockholders' Equity* 93,825 92,141 91,530 Accumulated Other Comprehensive Income** 149,405 180,359 177,238 Total Equity 243,230 272,500 268,768 Book Value per Share $ 12.31 $ 13.80 $ 13.60 Tangible Book Value per Share 12.02 13.49 13.31 Minority Shares Outstanding 3,904,492 3,893,642 3,900,442 Total Shares Outstanding - at Quarter End 19,762,416 19,751,566 19,758,366 Weighted Average Total Shares Outstanding - Basic 19,523,748 19,437,613 19,521,693 Weighted Average Total Shares Outstanding - Fully Diluted 19,569,097 19,478,037 19,570,164
* Includes Total Stockholders Equity less Accumulated Other Comprehensive Income. ** Includes unrealized gains and losses on Freddie Mac common stock and other investment securities adjusted for income taxes at a tax rate of 38.6% Selected Operating Data (in thousands except share data):
Three months ended Year Ended ------------------------------------ September 30, September 30, ----------------------- ----------------------- June 30, 2005 2004 2005 2004 2005 ---------- ---------- ---------- ---------- ---------- Unaudited Total Interest Income $ 44,689 $ 38,813 $ 11,530 $ 10,239 $ 11,422 Total Interest Expense 21,782 17,068 5,831 4,549 5,610 Net Interest Income 22,907 21,745 5,699 5,690 5,812 Provision for Loan Losses 75 30 75 - - Net Interest Income after Provision for Loan Losses 22,832 21,715 5,624 5,690 5,812 Noninterest Income 10,966 6,508 2,871 1,987 3,108 Noninterest Expense 18,269 17,156 4,603 4,361 4,535 Income before Income Taxes 15,529 11,067 3,892 3,316 4,385 Income Tax Expense (Benefit) 4,116 2,850 1,075 892 1,176 Net Income $ 11,413 $ 8,217 $ 2,817 $ 2,424 $ 3,209 Earnings per Share $ 0.58 $ 0.42 $ 0.14 $ 0.12 $ 0.16 Earnings per Share - Fully Diluted 0.58 0.42 0.14 0.12 0.16 Cash Dividends per Share*** 3.20 1.10 0.35 0.25 0.35 Net Charge-offs (Recoveries) 537 187 269 15 28 Deposit Fees 2,726 2,549 745 689 679 Gain on Sale of Loans 884 1,152 254 255 196 Gain on Sale of Freddie Mac Common Stock 6,085 2,113 1,603 988 1,906 Gain (Loss) on Covered Calls Related to Freddie Mac Common Stock 525 149 76 11 141
*** First Charter, MHC has waived its portion of these dividends, resulting in payment only to the minority stockholders.
Three months ended Year Ended -------------------------------------- September 30, September 30, ------------------------ ------------------------ June 30, Performance Ratios: 2005 2004 2005 2004 2005 - ------------------------- ---------- ---------- ---------- ---------- ---------- Unaudited Return on Equity 4.23% 3.23% 4.28% 3.59% 4.89% Return on Assets 1.06 0.79 1.06 0.90 1.19 Net Interest Margin 2.18 2.14 2.21 2.17 2.22 Loan Loss Reserve as a % of Total Loans 1.69 2.05 1.69 2.05 1.84 Loan Loss Reserve as a % of Nonperforming Assets 118.56 104.83 118.56 104.83 104.50 Nonperforming Assets as a % of Total Loans and REO 1.42 1.95 1.42 1.95 1.75 Net Chargeoffs (Recoveries) as a % of Average Loans 0.16 0.06 0.08 0.01 0.01 Nonperforming Assets to Total Assets 0.49 0.59 0.49 0.59 0.56 Bank Core Capital Ratio 9.86 9.46 9.86 9.46 9.86 Dividend Payout Ratio 98.56 46.02 43.70 36.03 38.36 Effective Tax Rate Expense (Benefit) 26.51 25.75 27.61 26.91 26.81
SOURCE Charter Financial Corporation -0- 11/09/2005 /CONTACT: Robert L. Johnson, President & CEO, of Charter Financial Corporation, +1-706-645-1391, bjohnson@charterbank.net ; or Mike Arneth, marneth@tirc.com , or Woody Wallace, wwallace@tirc.com , both of The Investor Relations Company, +1-847-296-4200/ -----END PRIVACY-ENHANCED MESSAGE-----