8-K

UNITED STATES

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 24, 2014

OCEAN SHORE HOLDING CO.

(Exact name of registrant as specified in its charter)

New Jersey	0-53856	80-0282446
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

1001 Asbury Avenue, Ocean City, New Jersey 08226

(Address of principal executive offices) (Zip Code)

(609) 399-0012

(Registrant’s 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:

¨ 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 2.02Results of Operations and Financial Condition

On April 24, 2014, Ocean Shore Holding Co. issued a press release announcing its results of operations for the quarter ended March 31, 2014. A copy of the press release is included as Exhibit 99.1 to this report.

Item 9.01 Financial Statements and Exhibits

Exhibits

Number Description

99.1 Press Release dated April 24, 2014

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.

	OCEAN SHORE HOLDING CO.
	(Registrant)
Date: April 24, 2014	By:	/s/ Donald F. Morgenweck
		Donald F. Morgenweck
		Senior Vice President and
		Chief Financial Officer

EX-99.1

Contacts:

Steven E. Brady, President and CEO

Donald F. Morgenweck, CFO

(609) 399-0012

Press Release

Ocean Shore Holding Co. Reports 1st Quarter 2014 Earnings

Ocean City, New Jersey - April 24, 2014 – Ocean Shore Holding Co. (NASDAQ: OSHC) today announced net income of $1.6 million for the quarter ended March 31, 2014 compared to $1.2 million earned in the first quarter of 2013. Diluted earnings per share were $0.24 for the first quarter of 2014 compared to $0.18 in the first quarter of 2013.

Ocean Shore Holding Co. (the "Company") is the holding company for Ocean City Home Bank (the "Bank"), a federal savings bank headquartered in Ocean City, New Jersey. The Bank operates a total of twelve full-service banking offices in eastern New Jersey.

“We are pleased to report a strong start to 2014,” said Steven E. Brady, President and Chief Executive Officer.  “Net income increased 34.5% over the first quarter of 2014 and 6.8% over the prior quarter. Our loan portfolio increased 1.7% in the first quarter, which is typically a period of lower demand. Asset quality remained excellent, as nonperforming assets declined from 0.55% at year end to 0.47% at the end of the first quarter.”

Balance Sheet Review

Total assets grew $3.0 million, or 0.3%, to $1,023.0 million at March 31, 2014 from $1,020.0 million at December 31, 2013. Loans receivable, net, increased $12.8 million, or 1.7%, to $757.6 million at March 31, 2014 from $744.8 million at December 31, 2013. Investments and mortgage-backed securities decreased $3.9 million, or 3.1%, to $124.8 million during the first quarter of 2014. Cash and cash equivalents decreased $5.2 million, or 5.9%, to $82.5 million at March 31, 2014 from $87.6 million at December 31, 2013. Loan originations and other advances totaling $37.4 million were offset by payoffs and payments received of $24.6 million resulting in a $12.8 million increase in the portfolio. The decrease in investments and mortgage-backed securities resulted from normal repayments, calls and maturities.

Deposits grew $2.8 million, or 0.4%, to $783.4 million at March 31, 2014 from $780.6 million at December 31, 2013. The Company continued its focus on core deposits, which increased $3.4 million, or 0.6%, to $593.7 million. Certificates of deposit decreased $635,000, or 0.3%, to $189.7 million at March 31, 2014 compared to December 31, 2013. Total borrowings were unchanged at $120.3 million.

Stock Repurchase Plan Completed

During the March 2014 quarter, the Company repurchased a total of 147,000 shares at a weighted average cost of $13.94 which completed its announced repurchase of 210,000 shares at a weighted average cost of $13.95.

Asset Quality

The provision for loan losses totaled $88,000 for the first quarter of 2014 compared to $202,000 for the first quarter of 2013 and $177,000 for the fourth quarter of 2013. The allowance for loan losses totaled $4.2 million, or 0.56% of total loans, at March 31, 2014 compared to $4.2 million, or 0.56% of total loans, at December 31, 2013. The Company experienced $73,000 in net charge-off activity in the first quarter of 2014 as compared to $57,000 for the first quarter of 2013 and $189,000 for the fourth quarter of 2013.

Non-performing assets totaled $4.9 million, or 0.47% of total assets, at March 31, 2014, compared to $5.6 million, or 0.55% of total assets, at December 31, 2013. Non-performing assets consisted of fourteen real estate residential mortgages totaling $2.6 million, one real estate commercial mortgage totaling $354,000, nine consumer equity loans totaling $661,000, two TDR non-accrual loans totaling $936,000 and four real estate owned properties totaling $340,000.

Income Statement Analysis

Net interest income increased $481,000, or 7.4%, to $7.0 million for the first quarter of 2014 compared to $6.5 million in the first quarter of 2013. Net interest margin increased 1 basis point in the quarter ended March 31, 2014 to 3.17% versus 3.16% for the quarters ended March 31, 2013 and December 31, 2013. The increase in net interest income in the first quarter of 2014 compared to the first quarter of 2013 was the result of a decrease in the average cost of interest-bearing liabilities of 13 basis points to 0.94%, a decrease in average interest-bearing liabilities of $26.1 million and an increase in average interest-earning assets of $56.7 million offset by a decrease of 21 basis points in the average yield on interest-earning assets to 4.05%.

Other income decreased $96,000, or 8.7%, to $1.0 million for the first quarter of 2014 compared to $1.1 million in the first quarter of 2013. The decrease in other income resulted from decreases in deposit account fees and cash surrender value of life insurance offset by increases in debit card commissions.

Other expenses decreased $24,000, or 0.4%, to $5.4 million during the first quarter of 2014 compared to the first quarter of 2013. Decreases in marketing, REO and other expenses of $130,000 were offset by increases in salaries and benefits, occupancy and equipment and FDIC insurance of $106,000.

This press release, as well as other written communications made from time to time by the Company and its subsidiaries and oral communications made from time to time by authorized officers of the Company, may contain statements relating to the future results of the Company (including certain projections and business trends) that are considered "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 (the PSLRA). Such forward-looking statements may be identified by the use of such words as "believe," "expect," "anticipate," "should," "planned," "estimated," "intend" and "potential." For these statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the PSLRA.

The Company cautions you that a number of important factors could cause actual results to differ materially from those currently anticipated in any forward-looking statement. Such factors include, but are not limited to: prevailing economic and geopolitical conditions; changes in interest rates, loan demand, real estate values and competition; changes in accounting principles, policies, and guidelines; changes in any applicable law, rule, regulation or practice with respect to tax or legal issues; and other economic, competitive, governmental, regulatory and technological factors affecting the Company's operations, pricing, products and services and other factors that may be described in the Company’s annual report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission. The forward-looking statements are made as of the date of this release, and, except as may be required by applicable law or regulation, the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.

SELECTED FINANCIAL CONDITION DATA (Unaudited)

	March 31,		December 31,
	2014		2013		% Change
	(Dollars in thousands)
Total assets	$	1,023,032	$	1,020,048		0.3	%
Cash and cash equivalents		82,464		87,619		(5.9	)
Investment securities		124,768		128,701		(3.1	)
Loans receivable, net		757,639		744,802		1.7
Deposits		783,434		780,648		0.4
FHLB advances		110,000		110,000		0.0
Subordinated debt		10,309		10,309		0.0
Stockholders’ equity		106,194		106,223		(0.1	)

SELECTED OPERATING DATA (Unaudited)

	Three Months Ended March 31,
	2014		2013		% Change
	(Dollars in thousands, except per share and share amounts)
Interest and dividend income	$	8,871	$	8,730		1.6	%
Interest expense		1,911		2,251		(15.1	)
Net interest income		6,960		6,479		7.4
Provision for loan losses		88		202		(56.4	)
Net interest income after provision for loan losses		6,872		6,277		9.5
Other income		1,006		1,102		(8.7	)
Other expense		5,446		5,470		(0.4	)
Income before taxes		2,432		1,909		27.4
Provision for income taxes		845		729		15.9
Net income	$	1,587	$	1,180		34.5	%
Earnings per share basic	$	0.25	$	0.18		38.9	%
Earnings per share diluted	$	0.24	$	0.18		33.3	%
Average shares outstanding basic		6,412,372		6,491,786
Average shares outstanding diluted		6,522,024		6,602,398

	Three Months Ended March 31, 2014					Three Months Ended March 31, 2013
	Average Balance		Yield/Cost			Average Balance		Yield/Cost
	(Dollars in thousands)
Loans	$	750,205		4.36	%	$	703,317		4.57	%
Investment securities		126,813		2.17	%		117,042		2.37	%
Total interest-earning assets		877,018		4.05	%		820,359		4.26	%
Interest-bearing deposits		695,984		0.37	%		716,963		0.47	%
Total borrowings		120,309		4.21	%		125,464		4.51	%
Total interest-bearing liabilities		816,293		0.94	%		842,427		1.07	%
Interest rate spread				3.11	%				3.19	%
Net interest margin				3.17	%				3.16	%

ASSET QUALITY DATA (Unaudited)

	Three Months Ended March 31, 2014			Year Ended December 31, 2013
	(Dollars in thousands)
Allowance for Loan Losses:
Allowance at beginning of period	$	4,199		$	3,997
Provision for loan losses		88			757
Charge-offs		(74	)		(568	)
Recoveries		1			13
Net charge-offs		(73	)		(555	)
Allowance at end of period	$	4,214		$	4,199
Allowance for loan losses as a percent of total loans		0.56	%		0.56	%
Allowance for loan losses as a percent of nonperforming loans		93.3	%		82.8	%

	At March 31, 2014			At December 31, 2013
	(Dollars in thousands)
Nonperforming Assets:
Nonaccrual loans:
Real estate mortgage - residential	$	2,568		$	3,618
Real estate mortgage - commercial		354			463
Commercial business loans		-			-
Consumer loans		661			674
Total		3,583			4,755
Trouble debt restructurings - nonaccrual		936			316
Total nonaccrual loans		4,519			5,071
Real estate owned		340			498
Total nonperforming assets	$	4,859		$	5,569
Nonperforming loans as a percent of total loans		0.60	%		0.68	%
Nonperforming assets as a percent of total assets		0.47	%		0.55	%

SELECTED FINANCIAL RATIOS (Unaudited)

	Three Months Ended March 31,
	2014			2013
Selected Performance Ratios:
Return on average assets (1)		0.62	%		0.45	%
Return on average equity (1)		5.95	%		4.46	%
Interest rate spread (1)		3.11	%		3.19	%
Net interest margin (1)		3.17	%		3.16	%
Efficiency ratio		68.36	%		72.15	%

(1) Annualized.

OCEAN SHORE HOLDING COMPANY - QUARTERLY DATA (Unaudited)

	Q1 2014			Q4 2013			Q3 2013			Q2 2013			Q1 2013
	(In thousands except per share amounts)
Income Statement Data:
Net interest income	$	6,960		$	6,870		$	6,581		$	6,530		$	6,479
Provision for loan losses		88			177			186			192			202
Net interest income after provision for loan losses		6,872			6,693			6,395			6,338			6,277
Other income		1,006			1,108			1,128			1,125			1,102
Other expense		5,446			5,550			5,503			5,449			5,470
Income before taxes		2,432			2,251			2,020			2,014			1,909
Provision for income taxes		845			765			696			655			729
Net income	$	1,587		$	1,486		$	1,324		$	1,359		$	1,180
Share Data:
Earnings per share basic	$	0.25		$	0.23		$	0.20		$	0.21		$	0.18
Earnings per share diluted	$	0.24		$	0.22		$	0.20		$	0.21		$	0.18
Average shares outstanding basic		6,412,372			6,535,559			6,533,760			6,518,558			6,491,786
Average shares outstanding diluted		6,522,024			6,628,203			6,645,418			6,614,475			6,602,398
Total shares outstanding		6,757,072			6,903,352			6,964,952			6,970,746			6,970,346
Balance Sheet Data:
Total assets	$	1,023,032		$	1,020,048		$	1,043,497		$	1,031,999		$	1,053,872
Investment securities		124,768			128,701			130,493			134,639			129,445
Loans receivable, net		757,639			744,802			727,618			718,925			709,337
Deposits		783,434			780,648			804,050			787,028			808,670
FHLB advances		110,000			110,000			110,000			110,000			110,000
Subordinated debt		10,309			10,309			10,309			15,464			15,464
Stockholders’ equity		106,194			106,223			106,123			105,304			106,040
Asset Quality:
Non-performing assets	$	4,859		$	5,569		$	6,355		$	5,576		$	6,374
Non-performing loans to total loans		0.60	%		0.68	%		0.75	%		0.65	%		0.76	%
Non-performing assets to total assets		0.47	%		0.55	%		0.61	%		0.54	%		0.60	%
Allowance for loan losses	$	4,214		$	4,199		$	4,211		$	4,091		$	4,142
Allowance for loan losses to total loans		0.56	%		0.56	%		0.58	%		0.57	%		0.58	%
Allowance for loan losses to non-performing loans		93.3	%		82.8	%		77.3	%		87.7	%		76.7	%