0000946275-11-000439.txt : 20111102 0000946275-11-000439.hdr.sgml : 20111102 20111102165533 ACCESSION NUMBER: 0000946275-11-000439 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20111102 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20111102 DATE AS OF CHANGE: 20111102 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MSB FINANCIAL CORP. CENTRAL INDEX KEY: 0001374783 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 341981437 STATE OF INCORPORATION: X1 FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-33246 FILM NUMBER: 111175093 BUSINESS ADDRESS: STREET 1: 1902 LONG HILL ROAD CITY: MILLINGTON STATE: NJ ZIP: 07946 BUSINESS PHONE: 908 647-4000 MAIL ADDRESS: STREET 1: 1902 LONG HILL ROAD CITY: MILLINGTON STATE: NJ ZIP: 07946 8-K 1 f8k_110211-5468.htm FORM 8-K 11-02-11 MSB FINANCIAL CORP. f8k_110211-5468.htm
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



November 2, 2011
Date of Report
(Date of earliest event reported)


MSB Financial Corp.
(Exact name of Registrant as specified in its Charter)


United States
 
001-33246
 
34-1981437
(State or other jurisdiction
of incorporation)
 
(SEC Commission
File No.)
 
(IRS Employer
Identification Number)



1902 Long Hill Road, Millington, New Jersey
07946-0417
(Address of principal executive offices)
(Zip Code)

Registrant’s telephone number, including area code:
(908) 647-4000
 

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
[  ]
Soliciting material pursuant to Rule 14a-12 under the Exchange Act
[  ]
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
[  ]
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act



 
 

 

INFORMATION TO BE INCLUDED IN REPORT

 
Item 2.02
 
Results of Operations and Financial Condition
 

On November 2, 2011, the Registrant issued a press release to report earnings for the quarter ended September 30, 2011.  A copy of the press release is furnished with this Form 8-K as Exhibit 99.

Item 9.01
 
Financial Statements and Exhibits
 


Exhibit
Number
 
 
Description
     
99
 
Press Release dated November 2, 2011





--
 
 

 

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.


   
MSB FINANCIAL CORP.
 
 
Date:  November 2, 2011
 
 
 
By:
 
 
/s/ Gary T. Jolliffe
     
Gary T. Jolliffe
President and Chief Executive Officer

EX-99 2 ex-99.htm EXHIBIT 99 - PRESS RELEASE ex-99.htm
 
MSB Financial Corp. Announces Quarterly Results
 
 
MILLINGTON, N.J., November 3, 2011 -- MSB Financial Corp. (Nasdaq: MSBF) (the "Company"), the holding company for Millington Savings Bank (the "Bank"), reported net income of $111,000 for the three months ended September 30, 2011. This compares to net income of $215,000 for the quarter ended September 30, 2010. The decrease was due to an increase in the provision for loan losses as well as a decrease in non-interest income offset by decreases in non-interest expense and income tax provision.
 
Net interest income was $2.7 million for the quarters ended September 30, 2011 and 2010.  Total interest income decreased by $292,000 or 7.5% for the three months ended September 30, 2011 compared to the three months ended September 30, 2010 due to a decrease of $6.2 million or 1.9% in average interest earning assets and a 28 basis point decrease in the average rate thereon, from 4.84% to 4.56%.  Correspondingly, total interest expense decreased by $273,000 or 23.0% for the three months ended September 30, 2011 compared to the three months ended September 30, 2010, due to a $13.6 million or 4.5% decrease in average interest-bearing liabilities and a 31 basis point reduction in the average cost of interest bearing liabilities from 1.56% to 1.25%.  The interest rate spread for the September 30, 2011 quarter was 3.31%, compared to 3.28% for the quarter ended September 30, 2010.
 
The provision for loan losses was $613,000 during the quarter ended September 30, 2011, an increase of $138,000 or 29.1% over the $475,000 provided during the quarter ended September 30, 2010.  The Bank’s management reviews the level of the allowance for loan losses and establishes the provision for loan losses on a quarterly basis based on various qualitative and quantitative factors.  The increase in the provision during the current period reflects the increased charge-off experience.  The Bank had $17.2 million in nonperforming loans as of September 30, 2011 compared to $15.7 million as of September 30, 2010.  The allowance for loan losses to total loans ratio was 1.09% at September 30, 2011 compared to 1.05% at September 30, 2010, while the allowance for loan losses to non-performing loans ratio decreased from 18.0% at September 30, 2010 to 16.0% at September 30, 2011 primarily the result of loans having been charged-off in the prior quarter.  Non-performing loans to total loans and net charge-offs to average loans outstanding ratios were at 6.82% and .01%, respectively, at September 30, 2011 compared to 5.81% and .09% at September 30, 2010.
 
Noninterest income was $144,000 for the quarter ended September 30, 2011 compared to $257,000 for the quarter ended September 30, 2010.  The decrease for the quarter ended September 30, 2011 compared to the quarter ended September 30, 2010 resulted from a decrease of $94,000 in fees and service charges, which was primarily attributable to $78,000 in fees that were received from the early prepayment of an investment security in the prior year, and a $20,000 decrease in unrealized gains on trading securities, offset by a $1,000 increase in bank owned life insurance income.
 
Noninterest expense was $2.1 million for the quarter ended September 30, 2011 compared to $2.2 million for the quarter ended September 30, 2010.  The decrease for the quarter ending September 30, 2011 as compared to the quarter ended September 30, 2010 resulted primarily from decreases in other noninterest expense, FDIC assessment and advertising expense, offset by increases in occupancy and equipment expense, salaries and benefits, service bureau fees and directors’ compensation expense.  Between the September 2011 and September 2010 quarters there were decreases of $78,000 in other noninterest expense, $53,000 in FDIC assessment and $18,000 in advertising expense, while occupancy and equipment  expense increased by $25,000, salaries and
 
 
 

 
 
employee benefits increased by $16,000, service bureau fees increased by $9,000 and directors’ compensation increased by $6,000.   The decrease in other noninterest expense was primarily attributable to the reduction in other non-operating and real estate expenses, while the decrease in FDIC assessment was attributed to the new basis of calculation in the assessment.
 
Total assets were $354.1 million at September 30, 2011, compared to $349.5 million at June 30, 2011. The Company increased its investment in securities held to maturity by $22.9 million.  The increase in securities held to maturity was primarily funded by the decreases in cash and cash equivalents and loans receivable of $11.4 million and $6.6 million, respectively.  Deposits were $287.7 million at September 30, 2011, compared to $286.2 million at June 30, 2011, and FHLB advances remained the same for both periods.  Stockholders’ equity was $40.8 million at September 30, 2011 compared to $40.7 at June 30, 2011, an increase of $160,000 or 0.4%.  The increase in paid in capital of $68,000 relates primarily to the compensation expense attributable to the Company’s stock-based compensation plan. Other significant changes in equity were attributable to $111,000 in net income offset by the declaration of $55,000 in cash dividends on our common stock and a $43,000 decrease in unallocated common stock held by ESOP.
 
At September 30, 2011 the Company had 5,164,804 shares outstanding compared to 5,166,503 shares outstanding as of June 30, 2011.  Shares of the Company’s common stock trade on the NASDAQ Global Market under the symbol "MSBF."   The Company is majority owned by its mutual holding company parent, MSB Financial, MHC.
 
 
 
Forward Looking Statements

The forgoing release may contain forward-looking statements concerning the financial condition, results of operations and business of the Company. We caution that such statements are subject to a number of uncertainties and actual results could differ materially, and, therefore, readers should not place undue reliance on any forward-looking statements.


CONTACT:
MSB Financial Corp.
 
Michael Shriner, Executive Vice President
 
908-647-4000
 
mshriner@millingtonsb.com

 
 

 
MSB FINANCIAL CORP
(Dollars in Thousands, except for per share amount)
SELECTED FINANCIAL AND OTHER DATA

Balance Sheet Data:
           
   
(Unaudited)
 
   
At September 30
   
At June 30,
 
   
2011
   
2011
 
             
    Total assets
  $ 354,072     $ 349,459  
                 
    Cash and cash equivalents
    19,590       30,976  
                 
    Loans receivable, net
    246,634       253,251  
                 
    Securities held to maturity
    64,613       41,693  
                 
    Deposits
    287,730       286,175  
                 
    Federal Home Loan Bank advances
    20,000       20,000  
                 
    Total stockholders' equity
    40,840       40,680  
 
Summary of Operations:
           
   
(Unaudited)
 
   
For the Three Months Ended
 
   
September 30,
   
September 30,
 
   
2011
   
2010
 
             
    Total interest income
  $ 3,611     $ 3,903  
                 
    Total interest expense
    913       1,186  
                 
    Net interest income
    2,698       2,717  
                 
    Provision for loan losses
    613       475  
                 
    Net interest income after provision
               
      for loan losses
    2,085       2,242  
                 
    Noninterest income
    144       257  
                 
    Noninterest expense
    2,060       2,153  
                 
    Income before taxes
    169       346  
                 
    Income tax provision
    58       131  
                 
    Net income
  $ 111     $ 215  
                 
                 
    Net income per common share:
               
                 
basic and diluted
  $ 0.02     $ 0.04  
                 
    Weighted average number of shares of common stock outstanding
    5,040,841       5,039,867  

 
 

 


Performance Ratios:
           
   
(Unaudited)
 
   
For the Three Months Ended
 
   
September 30,
   
September 30,
 
   
2011
   
2010
 
             
    Return on average assets (ratio of net income
       
    to average total assets)
    0.13 %     0.24 %
                 
    Return on average equity (ratio of net income
               
    to average equity)
    1.08       2.14  
                 
    Net interest rate spread
    3.31       3.28  
                 
    Net interest margin on average interest-earning
               
    assets
    3.41       3.37  
                 
    Average interest-earning assets to average
               
    interest-bearing liabilities
    108.75       105.93  
                 
    Operating expense ratio (noninterest expenses
               
    to average total assets)
    2.35       2.39  
                 
    Efficiency ratio (noninterest expense divided by
               
    sum of net interest income and noninterest income)
    72.48       72.39  
 
 
 
   
(Unaudited)
 
   
For the Three Months Ended
 
   
September 30,
   
September 30,
 
   
2011
   
2010
 
Asset Quality Ratios:
           
             
Non-performing loans to total loans
    6.82 %     5.81 %
                 
Non-performing assets to total assets
    5.11       4.83  
                 
Net charge-offs to average loans outstanding
    0.01       0.09  
                 
Allowance for loan losses to non-performing loans
    15.95       18.00  
                 
Allowance for loan losses to total loans
    1.09       1.05  
                 
                 
Capital Ratios:
               
                 
Equity to total assets at end of period
    11.53 %     11.30 %
                 
Average equity to average assets
    11.69       11.18  
                 
Number of Offices     5       5