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): April 24, 2012

NEW CENTURY BANCORP, INC.

(Exact name of registrant as specified in its charter)

North Carolina	000-50400	20-0218264
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)
700 W. Cumberland Street, Dunn, North Carolina		28334
(Address of principal executive offices)		(Zip Code)

Registrant’s telephone number, including area code: (910) 892-7080

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:

¨ 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 24, 2012, New Century Bancorp, Inc. (the “Registrant”) announced financial results for the first quarter ended March 31, 2012. A copy of the press release (the “Press Release”) announcing the Registrant’s results for the first quarter ended March 31, 2012, including a table of selected financial information, is filed as Exhibit 99.1 hereto and incorporated by reference herein.

The information contained in Item 2.02 of this Current Report shall not be deemed “filed” for purposes of section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

EXHIBIT NO.	DESCRIPTION OF EXHIBIT
99.1	Press release, dated April 24, 2012, regarding the Registrant’s financial results for the first quarter

This Current Report on Form 8-K (including information included or incorporated by reference herein) may contain, among other things, certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of Registrant’s goals and expectations with respect to earnings, income per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words “may,” “could,” “should,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “projects,” “outlook” or similar expressions. These statements are based upon the current belief and expectations of Registrant’s management and are subject to significant risks and uncertainties that are subject to change based on various factors (many of which are beyond Registrant’s control).

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.

NEW CENTURY BANCORP, INC.
By:	/s/ Lisa F. Campbell
	Lisa F. Campbell
	Executive Vice President, Chief Financial Officer and Chief Operating Officer

Dated: April 27, 2012

EXHIBIT INDEX

EXHIBIT NO.	DESCRIPTION OF EXHIBIT
99.1	Press release, dated April 24, 2012, regarding the Registrant’s financial results for the first quarter

EX-99.1

Exhibit 99.1

FOR RELEASE: April 24, 2012

Lisa F. Campbell, Executive Vice President

Chief Operating Officer and Chief Financial Officer

Office: 910-892-7080 and Direct: 910-897-3660

lisac@newcenturybanknc.com

www.newcenturybanknc.com

NEW CENTURY BANCORP REPORTS

FIRST QUARTER 2012 EARNINGS

Net income boosted by loan recovery.

DUNN, NC . . . New Century Bancorp (the “Company” NASDAQ: NCBC), the holding company for New Century Bank, today reported net income of $2.1 million for the quarter ended March, 31, 2012, and basic and diluted earnings per share of $0.31, compared to net income of $121,000 and basic and diluted earnings per share of $0.02 for the quarter ended March 31, 2011.

Total assets for the Company as of March 31, 2012, were $581.0 million, total deposits were $490.0 million, and total loans were $399.8 million, compared to total assets of $632.3 million, total deposits of $542.3 million, and total loans of $461.6 million as of the same date in 2011. Loan demand remains soft due to the economy’s slow recovery, resulting in lower total loans in a year-to-year comparison. Total deposits are also lower in a year-to-year comparison, as the bank’s need for deposits is related to loan demand.

“Our quarterly earnings were boosted by a reduction in our loan loss provision due to a large recovery on a loan, which is a positive outcome for the Company,” said William L. Hedgepeth, president and CEO of New Century Bancorp and New Century Bank. “Even without the recovery, our earnings—the results of day-to-day operations—were strong. We are pleased with these results, as they reflect the hard work of our staff.

“There are still challenges ahead for us, as there are for all community banks, specifically a difficult regulatory environment and a still sluggish economy. As a locally owned and operated community bank offering strong products and services to individuals and small businesses through people who live here and know these communities, we are in a unique position to understand and serve our customers and our market. And that is exactly what we are doing.”

New Century Bank has branch offices in these North Carolina communities: Dunn, Clinton, Fayetteville, Goldsboro, Lillington, Lumberton, and a loan production office in Greenville.

###

The information as of and for the quarter ended March 31, 2012, as presented is unaudited. This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of our goals and expectations with respect to earnings, earnings per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words “may,” “could,” “should,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “intend,” “plan,” “projects,” “outlook” or similar expressions. The actual results might differ materially from those projected in the forward-looking statements for various reasons, including, but not limited to, our ability to manage growth, our limited operating history, substantial changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market. Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements is contained in the Company’s SEC filings, including its periodic reports under the Securities Exchange Act of 1934, as amended, copies of which are available upon request from the Company.

New Century Bancorp, Inc.

Selected Financial Information and Other Data

($ in thousands, except per share data)

	At or for the three months ended
	March 31, 2012			December 31, 2011			September 30, 2011			June 30, 2011			March 31, 2011			March 31, 2010
Summary of Operations:
Total interest income	$	6,619		$	7,086		$	7,584		$	7,798		$	7,915		$	8,333
Total interest expense		1,772			1,903			2,089			2,193			2,240			2,446
Net interest income		4,847			5,183			5,495			5,605			5,675			5,887
Provision for loan losses		(2,136	)		319			2,194			2,542			1,164			1,270
Net interest income after provision		6,983			4,864			3,301			3,063			4,511			4,617
Noninterest income		626			642			643			892			641			667
Goodwill Impairment		—			—			—			—			—			—
Noninterest expense		4,216			4,574			4,114			5,339			5,079			4,606
Income (loss) before income taxes		3,393			932			(170	)		(1,384	)		73			678
Provision for income taxes (benefit)		1,281			333			(148	)		(523	)		(48	)		221
Net income (loss)	$	2,112		$	599		$	(22	)	$	(861	)	$	121		$	457
Share and Per Share Data:
Earnings (loss) per share - basic	$	0.31		$	0.09		$	(0.00	)	$	(0.13	)	$	0.02		$	0.07
Book value per share		7.49			7.22			7.14			7.08			7.20			8.03
Tangible book value per share		7.41			7.14			7.05			6.99			7.10			7.91
Ending shares outstanding		6,913,636			6,860,367			6,860,367			6,913,636			6,913,636			6,837,952
Weighted average shares outstanding:
Basic		6,859,196			6,860,367			6,861,034			6,913,636			6,913,636			6,837,952
Diluted		6,859,196			6,860,367			6,861,034			6,913,636			6,913,653			6,845,714
Selected Performance Ratios:
Return on average assets		1.45	%		0.39	%		-0.01	%		-0.55	%		0.08	%		0.30	%
Return on average equity		16.89	%		4.80	%		-0.18	%		-6.82	%		0.97	%		3.34	%
Net interest margin		3.64	%		3.68	%		3.77	%		3.84	%		3.94	%		4.08	%
Efficiency ratio (1)		77.03	%		78.52	%		67.03	%		82.18	%		80.41	%		70.28	%
Period End Balance Sheet Data:
Loans, held for sale	$	1,552		$	—		$	—		$	—		$	—		$	—
Loans, net of unearned income		399,760			417,624			439,410			458,523			461,604			496,448
Total Earning Assets		534,057			536,390			564,928			583,854			581,942			602,436
Goodwill and other intangible assets		516			545			583			622			660			814
Total Assets		580,996			589,651			616,580			629,135			632,327			642,883
Deposits		489,966			501,377			527,172			538,812			542,271			542,348
Short term debt		23,301			21,877			23,850			23,746			23,295			21,744
Long term debt		12,372			14,372			14,372			14,372			14,372			18,372
Shareholders’ equity		51,777			49,546			48,949			48,965			49,778			54,934
Selected Average Balances:
Gross Loans	$	409,009		$	429,642		$	449,650		$	460,236		$	466,324		$	483,665
Total Earning Assets		535,317			559,110			578,349			585,273			583,601			585,277
Goodwill and other intangible assets		533			569			602			640			679			832
Total Assets		585,249			608,118			625,768			631,204			631,582			625,307
Deposits		495,649			518,508			534,271			539,690			539,751			531,115
Short term debt		23,004			23,476			24,491			23,604			22,125			21,802
Long term debt		13,845			14,372			14,372			14,372			16,372			13,972
Shareholders’ equity		50,300			49,486			49,855			50,669			50,379			55,533
Asset Quality Ratios:
Nonperforming loans	$	19,270		$	19,636		$	20,116		$	16,307		$	15,206		$	18,956
Other real estate owned		2,391			3,031			3,230			3,380			5,019			2,680
Allowance for loan losses		9,568			10,034			10,338			10,378			10,118			11,232
Nonperforming loans (2) to period-end loans		4.82	%		4.70	%		4.58	%		3.56	%		3.29	%		3.82	%
Allowance for loan losses to period-end loans		2.39	%		2.40	%		2.35	%		2.26	%		2.19	%		2.26	%
Delinquency Ratio (3)		0.23	%		1.02	%		0.93	%		0.48	%		0.59	%		0.45	%
Net loan charge-offs to average loans		-1.64	%		0.68	%		1.92	%		1.94	%		-0.57	%		0.05	%

(1) Efficiency ratio is calculated as non-interest expenses divided by the sum of net interest income and non-interest income.

(2) Nonperforming loans consist of non-accrual loans and restructured loans.

(3) Delinquency Ratio includes 30-89 days past due and excludes non-accrual loans.