Maryland | 000-54025 | 35-2379633 | ||
(State or other jurisdiction of
incorporation or organization)
|
(Commission
File Number)
|
(IRS Employer
Identification No.)
|
|
Number
|
Description
|
FOX CHASE BANCORP, INC. | |||
Date: April 28, 2011
|
By:
|
/s/ Roger S. Deacon | |
Roger S. Deacon | |||
Executive Vice President and Chief Financial Officer | |||
FOX CHASE BANCORP, INC. | 1ST QUARTER EARNINGS 2011 |
PAGE 1 |
·
|
Return on assets improved to 0.45% for the three months ended March 31, 2011, compared to 0.32% for the three months ended December 31, 2010 and 0.19% for the three months ended March 31, 2010;
|
·
|
Net interest income increased $1.2 million, or 18.4%, to $7.6 million for the three months ended March 31, 2011, compared to $6.4 million for the three months ended March 31, 2010. The net interest margin was 2.84% for the three months ended March 31, 2011 compared to 2.26% for the three months ended March 31, 2010. The improvements in net interest income and margin were primarily driven by decreases in interest expense on deposits as maturities of higher rate certificates of deposit and repricing of other deposit products occurred throughout 2010 and the first three months of 2011.
|
·
|
Net interest income increased $209,000, or 2.8%, to $7.6 million for the three months ended March 31, 2011, compared to $7.4 million for the three months ended December 31, 2010. Net interest margin was 2.84% for the three months ended March 31, 2011, compared to 2.72% for the three months ended December 31, 2010. The improvements in net interest income and margin were primarily due to an increase in yield on the Bank’s mortgage related securities portfolio to 3.10% for the three months ended March 31, 2011 from 2.97%, for the three months ended December 31, 2010, due to reduced premium amortization as a result of a slowdown in prepayment speeds on the underlying securities, as well as a decrease in the cost of funds to 2.03% from 2.06% and a higher average balance of non-interest bearing deposits.
|
·
|
The efficiency ratio improved to 65.5% for the three months ended March 31, 2011 compared to 67.0% for the three months ended December 31, 2010 and 75.2% for the three months ended March 31, 2010;
|
·
|
Service charges and other fee income increased $74,000, or 29.2%, to $327,000 for the three months ended March 31, 2011, compared to $253,000 for the three months ended March 31, 2010. The increase was primarily due to an increase in loan fees, including unused line fees, and cash management fee income due to growth from commercial customers;
|
·
|
Noninterest expense increased $118,000, or 2.3%, to $5.3 million for the three months ended March 31, 2011, compared to $5.2 million for the three months ended March 31, 2010, due to an increase in salaries, benefits and other compensation of $184,000 which was primarily a result of incremental employee benefit costs as the Company increased employee stock ownership benefits in conjunction with the mutual-to-stock conversion in the second quarter of 2010 and higher incentive compensation accruals. Professional fees increased $89,000 for the three months ended March 31, 2011 primarily due to incremental legal costs associated with the Bank’s nonperforming assets. FDIC premiums decreased $89,000 for the three months ended March 31, 2011 due to a lower assessment rate and lower average deposit balances.
|
·
|
Total assets were $1.07 billion at March 31, 2011, a decrease of $24.2 million, or 2.2% from $1.10 billion at December 31, 2010. Total loans were $628.5 million at March 31, 2011, a decrease of $14.1 million, or 2.2%, from $642.6 million at December 31, 2010. All segments of the Bank’s portfolio decreased except commercial and industrial loans, which increased to $106.4 million at March 31, 2011, an $8.3 million, or 8.5% increase from $98.1 million at December 31, 2010.
|
FOX CHASE BANCORP, INC. | 1ST QUARTER EARNINGS 2011 |
PAGE 2 |
·
|
The allowance for loan losses increased to $12.7 million, or 1.98% of total loans compared to $12.4 million, or 1.90% of total loans at December 31, 2010;
|
·
|
The provision for loan losses was $975,000 for the three months ended March 31, 2011, compared to $1.4 million for the three months ended December 31, 2010 and $891,000 for the three months ended March 31, 2010;
|
·
|
Net loan charge-offs totaled $706,000 and were comprised primarily of commercial loan charge-offs;
|
·
|
Nonperforming assets decreased to $26.6 million, or 2.48% of total assets, compared to $29.8 million, or 2.72% of total assets, at December 31, 2010;
|
·
|
Delinquent loans totaled $6.8 million compared to $5.1 million at December 31, 2010. The $1.7 million increase was primarily due to increases in residential mortgage delinquencies of $1.2 million.
|
FOX CHASE BANCORP, INC. | 1ST QUARTER EARNINGS 2011 |
PAGE 3 |
Three Months Ended
|
||||||||
March 31,
|
||||||||
2011
|
2010
|
|||||||
(Unaudited)
|
||||||||
INTEREST INCOME
|
||||||||
Interest and fees on loans
|
$ | 8,832 | $ | 8,782 | ||||
Interest on mortgage related securities
|
2,561 | 3,612 | ||||||
Interest on investment securities available-for-sale
|
||||||||
Taxable
|
140 | 77 | ||||||
Nontaxable
|
70 | 89 | ||||||
Other interest income
|
28 | 99 | ||||||
Total Interest Income
|
11,631 | 12,659 | ||||||
INTEREST EXPENSE
|
||||||||
Deposits
|
2,428 | 4,578 | ||||||
Federal Home Loan Bank advances
|
1,154 | 1,217 | ||||||
Other borrowed funds
|
427 | 427 | ||||||
Total Interest Expense
|
4,009 | 6,222 | ||||||
Net Interest Income
|
7,622 | 6,437 | ||||||
Provision for loan losses
|
975 | 891 | ||||||
Net Interest Income after Provision for Loan Losses
|
6,647 | 5,546 | ||||||
NONINTEREST INCOME
|
||||||||
Service charges and other fee income
|
327 | 253 | ||||||
Income on bank-owned life insurance
|
114 | 115 | ||||||
Other | 26 | 35 | ||||||
Total Noninterest Income
|
467 | 403 | ||||||
NONINTEREST EXPENSE
|
||||||||
Salaries, benefits and other compensation
|
3,167 | 2,983 | ||||||
Occupancy expense
|
497 | 499 | ||||||
Furniture and equipment expense
|
103 | 116 | ||||||
Data processing costs
|
420 | 402 | ||||||
Professional fees
|
351 | 262 | ||||||
Marketing expense
|
60 | 71 | ||||||
FDIC premiums
|
283 | 372 | ||||||
Provision for loss on other real estate owned
|
- | 34 | ||||||
Other real estate owned expense
|
19 | 6 | ||||||
Other | 398 | 435 | ||||||
Total Noninterest Expense
|
5,298 | 5,180 | ||||||
Income Before Income Taxes
|
1,816 | 769 | ||||||
Income tax provision
|
570 | 218 | ||||||
Net Income
|
$ | 1,246 | $ | 551 | ||||
Earnings per share:
|
||||||||
Basic | $ | 0.09 | $ | 0.04 | ||||
Diluted
|
$ | 0.09 | $ | 0.04 |
FOX CHASE BANCORP, INC. | 1ST QUARTER EARNINGS 2011 |
PAGE 4 |
March 31,
|
December 31,
|
|||||||
2011
|
2010
|
|||||||
(Unaudited)
|
||||||||
ASSETS
|
||||||||
Cash and due from banks
|
$ | 192 | $ | 156 | ||||
Interest-earning demand deposits in other banks
|
30,852 | 38,158 | ||||||
Total cash and cash equivalents
|
31,044 | 38,314 | ||||||
Investment securities available-for-sale
|
29,467 | 32,671 | ||||||
Mortgage related securities available-for-sale
|
278,757 | 278,632 | ||||||
Mortgage related securities held-to-maturity (fair value of $49,050
|
||||||||
at March 31, 2011 and $50,817 at December 31, 2010)
|
50,181 | 51,835 | ||||||
Loans, net of allowance for loan losses of $12,712
|
||||||||
at March 31, 2011 and $12,443 at December 31, 2010
|
628,516 | 642,653 | ||||||
Other real estate owned
|
3,905 | 3,186 | ||||||
Federal Home Loan Bank stock, at cost
|
9,417 | 9,913 | ||||||
Bank-owned life insurance
|
13,252 | 13,138 | ||||||
Premises and equipment
|
10,570 | 10,693 | ||||||
Real estate held for investment
|
1,730 | 1,730 | ||||||
Accrued interest receivable
|
4,667 | 4,500 | ||||||
Mortgage servicing rights, net
|
420 | 448 | ||||||
Deferred tax asset, net
|
1,369 | 1,376 | ||||||
Other assets
|
7,974 | 6,414 | ||||||
Total Assets
|
$ | 1,071,269 | $ | 1,095,503 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY
|
||||||||
LIABILITIES
|
||||||||
Deposits
|
$ | 685,396 | $ | 711,763 | ||||
Federal Home Loan Bank advances
|
121,684 | 122,800 | ||||||
Other borrowed funds
|
50,000 | 50,000 | ||||||
Advances from borrowers for taxes and insurance
|
1,562 | 1,896 | ||||||
Accrued interest payable
|
568 | 580 | ||||||
Accrued expenses and other liabilities
|
5,202 | 2,760 | ||||||
Total Liabilities
|
864,412 | 889,799 | ||||||
STOCKHOLDERS' EQUITY
|
||||||||
Preferred stock ($.01 par value; 1,000,000 shares authorized,
|
||||||||
none issued and outstanding at March 31, 2011 and
|
||||||||
December 31, 2010)
|
-- | -- | ||||||
Common stock ($.01 par value; 60,000,000 shares authorized,
|
||||||||
14,550,383 shares issued and outstanding at March 31, 2011
|
||||||||
and 60,000,000 shares authorized, 14,547,173 shares issued
|
||||||||
and outstanding at December 31, 2010)
|
146 | 145 | ||||||
Additional paid-in capital
|
134,277 | 133,997 | ||||||
Common stock acquired by benefit plans
|
(9,080 | ) | (9,283 | ) | ||||
Retained earnings
|
75,253 | 74,307 | ||||||
Accumulated other comprehensive income, net
|
6,261 | 6,538 | ||||||
Total Stockholders' Equity
|
206,857 | 205,704 | ||||||
Total Liabilities and Stockholders' Equity
|
$ | 1,071,269 | $ | 1,095,503 |
FOX CHASE BANCORP, INC. | 1ST QUARTER EARNINGS 2011 |
PAGE 5 |
March 31,
|
December 31,
|
March 31,
|
||||||||||
2011
|
2010
|
2010
|
||||||||||
CAPITAL RATIOS:
|
||||||||||||
Total stockholders’ equity (to total assets) (1)
|
19.31 | % | 18.78 | % | 10.83 | % | ||||||
Tier 1 capital (to adjusted assets) (2)
|
14.06 | 13.60 | 9.37 | |||||||||
Tier 1 risk-based capital (to risk-weighted assets) (2)
|
23.28 | 22.53 | 16.12 | |||||||||
Total risk-based capital (to risk-weighted assets) (2)
|
24.53 | 23.76 | 17.33 | |||||||||
ASSET QUALITY INDICATORS:
|
||||||||||||
Nonperforming Assets:
|
||||||||||||
Nonperforming loans (3)
|
$ | 22,688 | $ | 26,637 | $ | 28,523 | ||||||
Other real estate owned
|
3,905 | 3,186 | 5,076 | |||||||||
Total nonperforming assets
|
$ | 26,593 | $ | 29,823 | $ | 33,599 | ||||||
Ratio of nonperforming loans to total loans
|
3.54 | % | 4.07 | % | 4.35 | % | ||||||
Ratio of nonperforming assets to total assets
|
2.48 | 2.72 | 2.91 | |||||||||
Ratio of allowance for loan losses to total loans
|
1.98 | 1.90 | 1.63 | |||||||||
Ratio of allowance for loan losses to
|
||||||||||||
nonperforming loans
|
56.0 | 46.7 | 37.6 | |||||||||
Impaired Loans:
|
||||||||||||
Nonperforming loans (3)
|
$ | 22,688 | $ | 26,637 | $ | 28,523 | ||||||
Accruing troubled debt restructurings (4)
|
12,130 | 8,617 | 1,200 | |||||||||
Other impaired loans
|
3,870 | 3,894 | -- | |||||||||
Total impaired loans
|
$ | 38,688 | $ | 39,148 | $ | 29,723 | ||||||
Past Due Loans:
|
||||||||||||
30 - 59 days
|
$ | 1,499 | $ | 5,001 | $ | 631 | ||||||
60 - 89 days (4)
|
5,329 | 144 | 440 | |||||||||
Total
|
$ | 6,828 | $ | 5,145 | $ | 1,071 | ||||||
At or for the Three Months Ended
|
||||||||||||
March 31,
|
December 31,
|
March 31,
|
||||||||||
2011 | 2010 | 2010 | ||||||||||
PERFORMANCE RATIOS (5):
|
||||||||||||
Return on average assets
|
0.45 | % | 0.32 | % | 0.19 | % | ||||||
Return on average equity
|
2.41 | 1.73 | 1.76 | |||||||||
Net interest margin
|
2.84 | 2.72 | 2.26 | |||||||||
Efficiency ratio (6)
|
65.5 | 67.0 | 75.2 | |||||||||
OTHER:
|
||||||||||||
Tangible book value per share
|
$ | 14.22 | $ | 14.14 | $ | 9.20 | ||||||
Employees (full-time equivalents)
|
132 | 138 | 135 |