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: April 20, 2012
(Date of earliest event reported)
Oak Valley Bancorp
(Exact name of registrant as specified in its charter)
CA |
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001-34142 |
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26-2326676 |
(State or other jurisdiction |
|
(Commission File |
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(IRS Employer |
of incorporation) |
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Number) |
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Identification Number) |
125 N. Third Ave. Oakdale, CA |
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95361 |
(Address of principal executive |
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(Zip Code) |
offices) |
|
|
(209) 848-2265
(Registrants telephone number, including area code)
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:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o 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, 2012 Oak Valley Bancorp issued a press release, a copy of which is attached as Exhibit 99.1 and incorporated herein by reference. The press release announced the Companys operating results for the quarter ended March 31, 2012.
The information in this Item 2.02 in this Form 8-K and the Exhibit 99.1 shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934, except as shall be expressly set forth by specific reference in such filing.
Item 7.01. Regulation FD Disclosure.
See Item 2.02. Results of Operations and Financial Condition which is incorporated by reference in this Item 7.01.
Item 9.01. Financial Statements and Exhibits
(a) Financial statements:
None
(b) Pro forma financial information:
None
(c) Shell company transactions:
None
(d) Exhibits
99.1 Press Release of Oak Valley Bancorp dated April 20, 2012
SIGNATURE
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: April 24, 2012 |
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OAK VALLEY BANCORP | ||
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By: |
/s/ Richard A. McCarty | |
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Richard A. McCarty | |
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Executive Vice President and Chief Financial Officer | |
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(Principal Financial Officer and duly authorized signatory) | ||
Exhibit 99.1
PRESS RELEASE
For Immediate Release
Date: |
April 20, 2012 |
Contact: |
Ron Martin/Chris Courtney/Rick McCarty |
Phone: |
(209) 848-2265 |
|
www.ovcb.com |
OAK VALLEY BANCORP REPORTS 1st QUARTER RESULTS
OAKDALE, CA Oak Valley Bancorp (NASDAQ: OVLY), the bank holding company for Oak Valley Community Bank and Eastern Sierra Community Bank, recently reported consolidated financial results. For the three months ended March 31, 2012, consolidated net income was $1,461,000, while consolidated net income available to common shareholders was $1,292,000, or $0.17 per diluted common share. This compared favorably to net income available to common shareholders of $955,000, or $0.12 per diluted common share for the same period a year ago.
Net interest income remained stable, increasing modestly by $58,000, or 0.9% to $6.3 million for the three months ended March 31, 2012, compared to $6.2 million for the same period last year. The net interest margin for the three months ended March 31, 2012 was 4.67%, compared to 4.70% for the three months prior and 4.92% for the same period last year.
We are pleased with the results of our first quarter performance, which saw the Company post its strongest first quarter earnings on record. Our ongoing efforts to increase core deposits and broaden banking relationships particularly within the business community have been crucial components of our success, stated Ron Martin, CEO.
Non interest expense for the quarter ended March 31, 2012 totaled $4.6 million, a slight increase over the $4.5 million for the three months ended March 31, 2011. The year over year increase is primarily related to staffing and overhead costs associated with the addition of our two newest branches in 2011.
The provision for loan losses during the three months ended March 31, 2012, was $300,000, compared to $600,000 million during the same quarter of last year. During the last 12 months, the ratio of loan loss reserves to gross loans has decreased from 2.22% to 1.98%. This decrease corresponds to the aggressive recognition and action relating to non-performing loans, as evidenced by a solid reduction in non-performing assets. As of March 31, 2012, non-performing assets to total assets were 1.12%, or $6.7 million, down from 2.02%, or $11.4 million, for the same period a year ago.
Total assets were $593.5 million at March 31, 2012, an increase of $30.7 million, or 5.5%, from March 31, 2011. Gross loans decreased by $2.7 million, to $392.6 million as of March 31, 2012, a decrease of 0.7% from March 31, 2011. The Banks total deposits were $518.7 million as of March 31, 2012, an increase of $33.1 million, or 6.8% over March 31, 2011.
The Company currently operates through 14 branches in Oakdale, Sonora, Turlock, Stockton, Patterson, Ripon, Escalon, Manteca, three branches in Modesto, and three branches in their Eastern Sierra Division, which includes Bridgeport, Mammoth Lakes, and Bishop.
For more information, please call 1-866-844-7500 or visit www.ovcb.com.
This press release includes forward-looking statements about the corporation for which the corporation claims the protection of safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are based on managements knowledge and belief as of today and include information concerning the corporations possible or assumed future financial condition, and its results of operations and business. Forward-looking statements are subject to risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include fluctuations in interest rates, government policies and regulations (including monetary and fiscal policies), legislation, economic conditions, including increased energy costs in California, credit quality of borrowers, operational factors and competition in the geographic and business areas in which the company conducts its operations. All forward-looking statements included in this press release are based on information available at the time of the release, and the Company assumes no obligation to update any forward-looking statement.
###
Oak Valley Bancorp
Statement of Condition (unaudited)
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1st Quarter |
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4th Quarter |
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3rd Quarter |
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2nd Quarter |
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1st Quarter |
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($ in thousands, except per share) |
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2012 |
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2011 |
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2011 |
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2011 |
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2011 |
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Selected Quarterly Operating Data: |
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Net interest income |
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$ |
6,264 |
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$ |
6,335 |
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$ |
6,339 |
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$ |
6,300 |
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$ |
6,206 |
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Provision for loan losses |
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300 |
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300 |
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300 |
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300 |
|
600 |
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Non-interest income |
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831 |
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636 |
|
764 |
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680 |
|
671 |
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Non-interest expense |
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4,597 |
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4,259 |
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4,208 |
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4,401 |
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4,526 |
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Income before income taxes |
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2,198 |
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2,412 |
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2,595 |
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2,279 |
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1,751 |
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Provision for income taxes |
|
737 |
|
915 |
|
846 |
|
829 |
|
586 |
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Net income |
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1,461 |
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1,497 |
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1,749 |
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1,450 |
|
1,165 |
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Preferred stock dividends and accretion |
|
(169 |
) |
(168 |
) |
(572 |
) |
(211 |
) |
(210 |
) | |||||
Net income available to common shareholders |
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1,292 |
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1,329 |
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1,177 |
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1,239 |
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955 |
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Earnings per common share - basic |
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0.17 |
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0.17 |
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0.15 |
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0.16 |
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0.12 |
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Earnings per common share - diluted |
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0.17 |
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0.17 |
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0.15 |
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0.16 |
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0.12 |
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Dividends declared per common share |
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Return on average common equity |
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8.94 |
% |
9.34 |
% |
8.44 |
% |
9.33 |
% |
7.48 |
% | |||||
Return on average assets |
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0.98 |
% |
1.00 |
% |
1.21 |
% |
1.03 |
% |
0.85 |
% | |||||
Net interest margin (1) |
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4.67 |
% |
4.70 |
% |
4.85 |
% |
4.86 |
% |
4.92 |
% | |||||
Efficiency Ratio (1) |
|
63.74 |
% |
60.06 |
% |
58.27 |
% |
61.79 |
% |
65.09 |
% | |||||
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Capital - Period End |
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Book value per share |
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$ |
7.37 |
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$ |
7.37 |
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$ |
7.26 |
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$ |
7.02 |
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$ |
6.78 |
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Credit Quality - Period End |
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Nonperforming assets/ total assets |
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1.12 |
% |
1.22 |
% |
1.50 |
% |
1.62 |
% |
2.02 |
% | |||||
Loan loss reserve/ gross loans |
|
1.98 |
% |
2.17 |
% |
2.26 |
% |
2.20 |
% |
2.22 |
% | |||||
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Period End Balance Sheet |
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($ in thousands) |
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Total assets |
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$ |
593,513 |
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$ |
612,172 |
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$ |
583,955 |
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$ |
572,262 |
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$ |
562,769 |
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Gross Loans |
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392,584 |
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396,202 |
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391,379 |
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390,521 |
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395,243 |
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Nonperforming assets |
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6,656 |
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7,477 |
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8,748 |
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9,245 |
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11,386 |
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Allowance for loan losses |
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7,792 |
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8,609 |
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8,857 |
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8,591 |
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8,765 |
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Deposits |
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518,727 |
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536,204 |
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505,505 |
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496,212 |
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485,641 |
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Common Equity |
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58,092 |
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56,902 |
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56,064 |
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54,134 |
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52,279 |
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Total Capital (2) |
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71,592 |
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70,402 |
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69,564 |
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67,634 |
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65,779 |
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Non-Financial Data |
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Full-time equivalent staff |
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126 |
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128 |
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127 |
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130 |
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125 |
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Number of banking offices |
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14 |
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14 |
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14 |
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13 |
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12 |
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Common Shares outstanding |
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|
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Period end |
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7,883,780 |
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7,718,469 |
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7,718,469 |
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7,713,794 |
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7,713,794 |
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Period average - basic |
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7,722,609 |
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7,705,164 |
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7,705,164 |
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7,713,794 |
|
7,711,401 |
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Period average - diluted |
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7,743,941 |
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7,737,248 |
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7,731,463 |
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7,745,193 |
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7,742,230 |
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Market Ratios |
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Stock Price |
|
$ |
7.39 |
|
$ |
6.75 |
|
$ |
4.05 |
|
$ |
5.85 |
|
$ |
5.99 |
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Price/Earnings |
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11.01 |
|
9.87 |
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6.68 |
|
9.08 |
|
11.93 |
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Price/Book |
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1.00 |
|
0.92 |
|
0.56 |
|
0.83 |
|
0.88 |
|
(1) Ratio computed on a fully tax equivalent basis using a marginal federal tax rate of 34%.
(2) Includes $13.5 million in preferred stock issued to the U.S. Treasury under the SBLF Program.
Prior to 9/30/2011, it was issued under the TARP Capital Purchase Program.