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): March 15, 2013
UNITED COMMUNITY FINANCIAL CORP.
(Exact name of registrant as specified in its charter)
OHIO | 0-024399 | 34-1856319 | ||
(State or other jurisdiction of incorporation) |
(Commission File No.) | (IRS Employer I.D. No.) |
275 West Federal Street, Youngstown, Ohio 44503-1203
(Address of principal executive offices) (Zip Code)
Registrants telephone number, including area code: (330) 742-0500
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 (see General Instruction A.2. below):
¨ | 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)) |
Section 2 Financial Information
Item 2.02 | Results of Operation and Financial Condition |
(a) On March 15, 2013, United Community Financial Corp. issued a press release announcing its results of operations for the fourth quarter of 2012. A copy of the press release is attached as Exhibit 99.
Section 9 Financial Statements and Exhibits
Item 9.01 | Financial Statements and Exhibits. |
(d) | Exhibits. |
Exhibit |
Description | |
99 | Press Release of United Community dated March 15, 2013.Included herewith. |
2
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 thereunto duly authorized.
UNITED COMMUNITY FINANCIAL CORP. | ||
By: | /s/ James R. Reske | |
James R. Reske, Chief Financial Officer |
Date: March 15, 2013
3
Exhibit 99
275 West Federal Street
Youngstown, Ohio 44503-1203
FOR IMMEDIATE RELEASE
Media Contact: | Investor Contact: | |||
Colleen Scott | James R. Reske | |||
Vice President of Marketing | Chief Financial Officer | |||
Home Savings | United Community Financial Corp. | |||
(330) 742-0638 | (330) 742-0592 | |||
cscott@homesavings.com | jreske@ucfconline.com |
United Community Financial Corp. Announces Fourth Quarter Results;
Profitability Returns
YOUNGSTOWN, Ohio (March 15, 2013) United Community Financial Corp. (Company) (Nasdaq: UCFC), holding company of The Home Savings and Loan Company of Youngstown, Ohio (Home Savings), today reported consolidated net income of $2.6 million, or $0.08 per diluted share, for the three months ended December 31, 2012. The Company also reported a net loss of $20.4 million, or $(0.62) per diluted share, for the twelve months ended December 31, 2012.
Selected fourth quarter results:
| Delinquent loans were $48.2 million at December 31, 2012, down 62.0% for the year |
| Nonperforming assets were $66.2 million at December 31, 2012, down 57.7% for the year |
| Classified loans were $59.9 million at December 31, 2012, down 72.8% for the year |
| Home Savings Tier 1 leverage ratio was 8.70% and the total risk based capital ratio was 16.21% |
Patrick W. Bevack, President and Chief Executive Officer of UCFC and Home Savings, commented that, Ending the year on a positive note with net income for the quarter is exactly where we want to be. More significantly, the announcements we made earlier this year regarding the capital raise and the rights offering, as well as the termination of the Consent Order, further exemplify the trust and confidence that investors and regulators have in our Company.
1
Asset Quality
Delinquent loans were $48.2 million at December 31, 2012, down $147.0 million, or 75.3%, from their high point of $195.2 million at March 31, 2010. Nonperforming loans at December 31, 2012 were $47.8 million, down $107.3 million, or 69.2%, from their high point of $155.1 million at June 30, 2010. Nonperforming assets were $66.2 million at December 31, 2012, down $131.0 million, or 66.4%, from their high point of $197.2 million at June 30, 2010. Home Savings achieved this significant improvement in asset quality primarily as a result of the successful completion of a bulk asset sale in the third quarter of 2012. Of the loans sold in the bulk asset sale, $91.6 million were classified, $63.3 million were nonperforming and $53.0 million were noncurrent.
The provision for loan losses was $2.1 million for the fourth quarter of 2012, as compared to $30.3 million for the third quarter in 2012. The provision expense in the third quarter of 2012 included $29.4 million directly associated with the bulk asset sale. The provision for loan losses was $39.3 million for all of 2012, as compared to $24.7 million for all of 2011.
Net Interest Income and Margin
Net interest income for the three months ended December 31, 2012 was $14.0 million, as compared to $14.1 million the prior quarter. The net interest margin improved six basis points from 3.17% during the third quarter to 3.23% during the fourth quarter.
Total interest income decreased $394,000 in the fourth quarter of 2012 compared to the third quarter of 2012, primarily as a result of a decrease of $128.8 million in the average balance of outstanding loans. Home Savings also experienced a decrease in yield on those assets of 31 basis points during the quarter.
Total interest expense decreased $277,000 for the quarter ended December 31, 2012, as compared to the previous quarter. The change was due to a reduction of $278,000 in interest paid on deposits. The average outstanding balance of certificates of deposit declined by $51.9 million, while non-time deposits increased by $5.4 million. Also contributing to the change was a reduction of seven basis points in the cost of certificates of deposit.
Net interest income for the twelve months ended December 31, 2012 and December 31, 2011, was $60.4 million and $65.2 million, respectively. Total interest income decreased $17.9 million in 2012 compared to 2011, primarily as a result of a decrease of $295.0 million in the average balance of outstanding loans. United Community also experienced a decrease in the yield on net loans of 28 basis points. Home Savings construction and segments of its commercial real estate loan portfolios declined as a result of executing its strategic objective of reducing specific concentrations in these portfolios, as well as the bulk asset sale.
2
Total interest expense decreased $13.2 million for the twelve months ended December 31, 2012, as compared to the same period last year. The change was due primarily to reductions of $12.4 million in interest paid on deposits. The overall decrease in interest expense was attributable to the maturity of higher cost Step CDs and a shift in deposit balances from certificates of deposit to relatively less expensive non-time deposits. Between December 31, 2011, and December 31, 2012, the average outstanding balance of certificates of deposit declined by $222.1 million (of which $140.0 million were Step CDs), while non-time deposits increased by $47.6 million. Also contributing to the decrease in interest expense was a reduction of 94 basis points in the cost of certificates of deposit, as well as a decrease in the cost of non-time deposits of 14 basis points.
The primary cause of the decrease in interest expense on FHLB advances was a decrease in the average balance of those funds of $20.6 million, in addition to a rate decrease on those borrowings of 19 basis points in 2012 compared to 2011. These decreases were caused by the prepayment of $25.7 million of term advances in the second and third quarters of 2012 and the need to use fewer short-term overnight advances during the period.
Noninterest Income
Noninterest income increased in the fourth quarter of 2012 to $6.9 million, as compared to $3.8 million in the third quarter of 2012. The $3.1 million increase was driven by a recovery of $1.3 million on previously recorded valuation on mortgage servicing rights in December compared to an impairment charge of $672,000 recognized in September. Lower losses on the valuation and sales of REO were also recognized in the fourth quarter as compared to the previous quarter.
Noninterest income decreased slightly in 2012 to $22.7 million, as compared to $23.2 million in 2011. Accounting for the change was the sale of four retail branches in 2011, at which time, Home Savings recorded a $4.2 million gain in noninterest income. No branch sale transactions occurred in 2012. Home Savings also sold fewer securities in 2012, recognizing fewer gains on the sale of those securities as a result. Partially offsetting these declines were net recoveries of $1.1 million in adjustments to mortgage servicing rights during 2012, recorded in service fees and other charges. Furthermore, Home Savings recognized higher mortgage banking income in 2012 and incurred fewer losses on the valuation and disposition of real estate owned and other repossessed assets in 2012 as compared to 2011.
Noninterest Expense
Noninterest expense was $14.3 million in the fourth quarter of 2012 as compared to $17.3 million in the third quarter of 2012, a decrease of $3.0 million. Professional fees, including legal and other consultants, were lower during the fourth quarter of 2012 due to the engagement of professionals in the third quarter to assist management in completing the bulk asset sale. Professional fees specifically associated with the bulk asset sale aggregated $1.2 million. Lower salaries and employee benefits also contributed to the change. Other expenses were also lower in the fourth quarter as the Bank recognized expenses in the third quarter aggregating $1.8 million for the payment of delinquent real estate taxes on properties that were part of the bulk asset sale.
3
Noninterest expense was $65.2 million in 2012, compared to $63.5 million in 2011. During 2012, salaries and employee benefits increased because of the recognition of expenses associated with severance payments made during the year resulting from our expense reduction efforts, as well as increased hospitalization and incentive plans. Also contributing to the increase were expenses incurred due to the prepayment of FHLB term advances. Professional fees and real estate tax payments were higher in 2012 as a direct result of the bulk asset sale.
Capital and Book Value
Home Savings Tier 1 leverage ratio was 8.70% as of December 31, 2012, as compared to 8.27% at September 30, 2012. Home Savings total risk-based capital ratio was 16.21% at December 31, 2012, as compared to 15.85% at September 30, 2012. Tangible book value per share at December 31, 2012 was $5.16, as compared to $5.21 at September 30, 2012.
The Consent Order issued by the FDIC and the Ohio Division of Financial Institutions in 2012 required Home Savings to maintain a Tier 1 Leverage Capital Ratio at a minimum of 9.0% and a total risk-based capital ratio of no less than 12.0%; however, the Memorandum of Understanding entered into on January 31, 2013, now requires Home Savings to maintain these ratios at 8.5% and 12.0%, respectively.
As of December 31, 2012, the FDIC categorized Home Savings as adequately capitalized pursuant to the Consent Order. However, because the FDIC and the Ohio Division terminated the Consent Order on January 31, 2013, Home Savings is now considered well capitalized. Home Savings is also no longer considered to be in troubled condition.
On January 11, 2013, United Community entered into securities purchase agreements with 28 accredited investors (the Investors) pursuant to which the Investors will, in a private offering, invest an aggregate of approximately $39.9 million in United Community. United Community has confirmed that no bank regulatory approvals are required. United Community presently expects the private offering to close on March 22, 2013.
Home Savings is a wholly-owned subsidiary of the Company and operates 33 full-service banking offices and eight loan production offices located throughout Ohio and western Pennsylvania. Additional information on the Company and Home Savings may be found on the Companys web site: www.ucfconline.com.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any securities, nor shall there be any sale of securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. No offer of securities shall be made except by means of a prospectus satisfying the requirements of Section 10 of the Securities Act of 1933, as amended (the Act). The securities offered in the private offerings have not been registered under the Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
4
###
When used in this press release, the words or phrases believes, will likely result, are expected to, will continue, is anticipated, estimate, project, will have or similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties, including changes in economic conditions in the Companys market area, changes in policies by regulatory agencies, fluctuations in interest rates, demand for loans in the Companys market area, and competition that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company advises readers that the factors listed above could affect the Companys financial performance and could cause the Companys actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements.
The Company does not undertake, and specifically disclaims any obligation, to release publicly the result of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
5
UNITED COMMUNITY FINANCIAL CORP.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Unaudited)
December 31, | December 31, | |||||||
2012 | 2011 | |||||||
(Dollars in thousands) | ||||||||
Assets: |
||||||||
Cash and deposits with banks |
$ | 26,041 | $ | 26,573 | ||||
Federal funds sold and other |
16,572 | 27,563 | ||||||
|
|
|
|
|||||
Total cash and cash equivalents |
42,613 | 54,136 | ||||||
Securities: |
||||||||
Available for sale, at fair value |
574,562 | 459,598 | ||||||
Loans held for sale |
13,031 | 12,727 | ||||||
Loans, net of allowance for loan losses of $21,130 and $42,271, respectively |
1,066,240 | 1,379,276 | ||||||
Federal Home Loan Bank stock, at cost |
26,464 | 26,464 | ||||||
Premises and equipment, net |
21,549 | 19,175 | ||||||
Accrued interest receivable |
6,238 | 6,741 | ||||||
Real estate owned and other repossessed assets |
18,440 | 33,486 | ||||||
Core deposit intangible |
238 | 346 | ||||||
Cash surrender value of life insurance |
28,881 | 28,354 | ||||||
Other assets |
10,109 | 10,384 | ||||||
|
|
|
|
|||||
Total assets |
$ | 1,808,365 | $ | 2,030,687 | ||||
|
|
|
|
|||||
Liabilities and Shareholders Equity |
||||||||
Liabilities: |
||||||||
Deposits: |
||||||||
Interest bearing |
$ | 1,302,307 | $ | 1,440,448 | ||||
Noninterest bearing |
159,767 | 148,049 | ||||||
|
|
|
|
|||||
Total deposits |
1,462,074 | 1,588,497 | ||||||
Borrowed funds: |
||||||||
Federal Home Loan Bank advances |
50,000 | 128,155 | ||||||
Repurchase agreements and other |
90,598 | 90,618 | ||||||
|
|
|
|
|||||
Total borrowed funds |
140,598 | 218,773 | ||||||
Advance payments by borrowers for taxes and insurance |
23,590 | 23,282 | ||||||
Accrued interest payable |
563 | 610 | ||||||
Accrued expenses and other liabilities |
10,780 | 10,780 | ||||||
|
|
|
|
|||||
Total liabilities |
1,637,605 | 1,841,942 | ||||||
|
|
|
|
|||||
Shareholders Equity: |
||||||||
Preferred stock-no par value; 1,000,000 shares authorized and unissued |
| | ||||||
Common stock-no par value; 499,000,000 shares authorized; 37,804,457 shares issued and 33,027,886 and 32,597,762 shares, respectively, outstanding |
128,026 | 128,031 | ||||||
Retained earnings |
86,345 | 110,681 | ||||||
Accumulated other comprehensive income |
6,682 | 5,032 | ||||||
Treasury stock, at cost, 4,776,571 and 5,206,695 shares, respectively |
(50,293 | ) | (54,999 | ) | ||||
|
|
|
|
|||||
Total shareholders equity |
170,760 | 188,745 | ||||||
|
|
|
|
|||||
Total liabilities and shareholders equity |
$ | 1,808,365 | $ | 2,030,687 | ||||
|
|
|
|
6
UNITED COMMUNITY FINANCIAL CORP.
CONSOLIDATED STATEMENTS OF NET INCOME
(Unaudited)
For the Three Months Ended | For the Twelve Months Ended | |||||||||||||||||||
December 31, | September 30, | December 31, | December 31, | December 31, | ||||||||||||||||
2012 | 2012 | 2011 | 2012 | 2011 | ||||||||||||||||
(Dollars in thousands, except per share data) | ||||||||||||||||||||
Interest income |
||||||||||||||||||||
Loans |
$ | 13,862 | $ | 14,567 | $ | 18,801 | $ | 63,044 | $ | 82,290 | ||||||||||
Loans held for sale |
119 | 101 | 272 | 424 | 542 | |||||||||||||||
Securities: |
||||||||||||||||||||
Available for sale |
3,488 | 3,219 | 3,102 | 13,741 | 12,366 | |||||||||||||||
Federal Home Loan Bank stock dividends |
316 | 279 | 267 | 1,175 | 1,125 | |||||||||||||||
Other interest earning assets |
12 | 25 | 29 | 60 | 64 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total interest income |
17,797 | 18,191 | 22,471 | 78,444 | 96,387 | |||||||||||||||
Interest expense |
||||||||||||||||||||
Deposits |
2,322 | 2,600 | 5,957 | 11,896 | 24,341 | |||||||||||||||
Federal Home Loan Bank advances |
535 | 535 | 748 | 2,415 | 3,162 | |||||||||||||||
Repurchase agreements and other |
929 | 928 | 928 | 3,695 | 3,709 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total interest expense |
3,786 | 4,063 | 7,633 | 18,006 | 31,212 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net interest income |
14,011 | 14,128 | 14,838 | 60,438 | 65,175 | |||||||||||||||
Provision for loan losses |
2,102 | 30,279 | 2,386 | 39,325 | 24,658 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net interest income after provision for loan losses |
11,909 | (16,151 | ) | 12,452 | 21,113 | 40,517 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Non-interest income |
||||||||||||||||||||
Non-deposit investment income |
373 | 478 | 348 | 1,898 | 1,398 | |||||||||||||||
Service fees and other charges |
2,794 | 793 | 1,172 | 6,805 | 4,416 | |||||||||||||||
Net gains (losses): |
||||||||||||||||||||
Securities available for sale |
1,164 | 1,192 | 5,133 | 6,325 | 8,633 | |||||||||||||||
Other -than-temporary loss on equity securities |
||||||||||||||||||||
Total impairment loss |
(13 | ) | | (16 | ) | (13 | ) | (89 | ) | |||||||||||
Loss recognized in other comprehensive income |
| | | | | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net impairment loss recognized in earnings |
(13 | ) | | (16 | ) | (13 | ) | (89 | ) | |||||||||||
Mortgage banking income |
2,083 | 2,110 | 1,243 | 7,391 | 5,675 | |||||||||||||||
Real estate owned and other repossessed assets |
(744 | ) | (1,795 | ) | (1,184 | ) | (4,191 | ) | (6,165 | ) | ||||||||||
Gain on retail branch sale |
| | 4,154 | | 4,154 | |||||||||||||||
Other income |
1,282 | 974 | 1,171 | 4,516 | 5,203 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total non-interest income |
6,939 | 3,752 | 12,021 | 22,731 | 23,225 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Non-interest expense |
||||||||||||||||||||
Salaries and employee benefits |
7,253 | 8,634 | 7,863 | 32,934 | 31,160 | |||||||||||||||
Occupancy |
849 | 845 | 794 | 3,344 | 3,409 | |||||||||||||||
Equipment and data processing |
1,821 | 1,665 | 1,680 | 6,895 | 6,590 | |||||||||||||||
Franchise tax |
445 | 521 | 254 | 1,841 | 1,495 | |||||||||||||||
Advertising |
292 | 134 | 354 | 778 | 820 | |||||||||||||||
Amortization of core deposit intangible |
25 | 26 | 33 | 108 | 139 | |||||||||||||||
Prepayment penalty |
| 65 | | 803 | | |||||||||||||||
Deposit insurance premiums |
1,026 | 1,012 | 1,282 | 4,202 | 4,855 | |||||||||||||||
Professional fees |
1,204 | 2,219 | 1,132 | 5,342 | 3,677 | |||||||||||||||
Real estate owned and other repossessed asset expenses |
239 | 383 | 766 | 1,743 | 2,891 | |||||||||||||||
Other expenses |
1,148 | 1,826 | 2,387 | 7,179 | 8,476 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total non-interest expenses |
14,302 | 17,330 | 16,545 | 65,169 | 63,512 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Income (loss) before income taxes |
4,546 | (29,729 | ) | 7,928 | (21,325 | ) | 230 | |||||||||||||
Income tax expense (benefit) |
1,950 | (2,838 | ) | | (888 | ) | | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net income (loss) |
$ | 2,596 | $ | (26,891 | ) | $ | 7,928 | $ | (20,437 | ) | $ | 230 | ||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Earnings (loss) per share |
||||||||||||||||||||
Basic |
$ | 0.08 | $ | (0.82 | ) | $ | 0.25 | $ | (0.62 | ) | $ | 0.01 | ||||||||
Diluted |
0.08 | (0.82 | ) | 0.25 | (0.62 | ) | 0.01 |
7
UNITED COMMUNITY FINANCIAL CORP.
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
At or for the quarters ended | ||||||||||||||||||||
December 31, 2012 |
September 30, 2012 |
June 30, 2012 |
March 31, 2012 |
December 31, 2011 |
||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||
Financial Data |
||||||||||||||||||||
Total assets |
$ | 1,808,365 | $ | 1,830,944 | $ | 1,906,995 | $ | 2,041,964 | $ | 2,030,687 | ||||||||||
Total loans, net |
1,066,240 | 1,100,328 | 1,249,595 | 1,325,101 | 1,379,276 | |||||||||||||||
Total securities |
574,562 | 551,795 | 431,040 | 530,283 | 459,598 | |||||||||||||||
Total deposits |
1,462,074 | 1,490,642 | 1,541,699 | 1,571,859 | 1,588,497 | |||||||||||||||
Total shareholders equity |
170,760 | 171,580 | 195,631 | 190,014 | 188,745 | |||||||||||||||
Net interest income |
14,011 | 14,128 | 16,420 | 15,879 | 14,838 | |||||||||||||||
Provision for loan losses |
2,102 | 30,279 | 6,264 | 680 | 2,386 | |||||||||||||||
Noninterest income, excluding other-than-temporary impairment losses |
6,952 | 3,752 | 6,949 | 5,091 | 12,037 | |||||||||||||||
Net impairment losses recognized in earnings |
13 | | | | 16 | |||||||||||||||
Noninterest expense |
14,302 | 17,330 | 17,043 | 16,494 | 16,545 | |||||||||||||||
Income tax expense (benefit) |
1,950 | (2,838 | ) | | | | ||||||||||||||
Net income (loss) |
2,596 | (26,891 | ) | 62 | 3,796 | 7,928 | ||||||||||||||
Share Data |
||||||||||||||||||||
Basic earnings (loss) per share |
$ | 0.08 | $ | (0.82 | ) | $ | | $ | 0.12 | $ | 0.25 | |||||||||
Diluted earnings (loss) per share |
0.08 | (0.82 | ) | | 0.12 | 0.25 | ||||||||||||||
Book value per share |
5.17 | 5.22 | 5.95 | 5.78 | 5.79 | |||||||||||||||
Tangible book value per share |
5.16 | 5.21 | 5.94 | 5.77 | 5.78 | |||||||||||||||
Market value per share |
2.89 | 3.49 | 2.98 | 2.44 | 1.27 | |||||||||||||||
Shares outstanding at end of period |
33,028 | 32,891 | 32,885 | 32,876 | 32,598 | |||||||||||||||
Weighted average shares outstandingbasic |
32,880 | 32,751 | 32,802 | 32,693 | 31,295 | |||||||||||||||
Weighted average shares outstandingdiluted |
33,153 | 32,751 | 32,843 | 23,697 | 31,295 | |||||||||||||||
Key Ratios |
||||||||||||||||||||
Return on average assets |
0.57 | % | -5.67 | % | 0.01 | % | 0.74 | % | 1.53 | % | ||||||||||
Return on average equity |
6.06 | % | -53.53 | % | 0.12 | % | 7.89 | % | 16.97 | % | ||||||||||
Net interest margin |
3.23 | % | 3.17 | % | 3.55 | % | 3.30 | % | 3.04 | % | ||||||||||
Efficiency ratio |
69.50 | % | 93.62 | % | 78.50 | % | 77.35 | % | 87.96 | % | ||||||||||
Capital Ratios |
||||||||||||||||||||
Tier 1 leverage ratio |
8.70 | % | 8.27 | % | 9.32 | % | 8.96 | % | 8.61 | % | ||||||||||
Tier 1 risk-based capital ratio |
14.95 | % | 14.59 | % | 15.16 | % | 13.94 | % | 13.30 | % | ||||||||||
Total risk-based capital ratio |
16.21 | % | 15.85 | % | 16.43 | % | 15.21 | % | 14.57 | % | ||||||||||
Equity to assets |
9.44 | % | 9.37 | % | 10.26 | % | 9.31 | % | 9.29 | % | ||||||||||
Tangible common equity to tangible assets |
9.43 | % | 9.36 | % | 10.24 | % | 9.29 | % | 9.28 | % |
8
UNITED COMMUNITY FINANCIAL CORP.
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
At or for the quarters ended | ||||||||||||||||||||
December 31, 2012 |
September 30, 2012 |
June 30, 2012 |
March 31, 2012 |
December 31, 2011 |
||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Loan Portfolio Composition |
||||||||||||||||||||
Real Estate Loans |
||||||||||||||||||||
One-to four-family residential |
$ | 577,249 | $ | 587,220 | $ | 635,756 | $ | 649,000 | $ | 667,375 | ||||||||||
Multi-family residential* |
80,923 | 82,518 | 98,545 | 114,493 | 120,991 | |||||||||||||||
Nonresidential* |
138,188 | 150,693 | 229,303 | 263,891 | 276,198 | |||||||||||||||
Land* |
15,808 | 16,363 | 19,113 | 19,735 | 23,222 | |||||||||||||||
Construction Loans |
||||||||||||||||||||
One-to four-family residential and land development |
28,318 | 32,483 | 42,077 | 49,311 | 59,339 | |||||||||||||||
Multi-family and nonresidential* |
4,534 | 4,480 | 4,528 | 4,527 | 4,528 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total real estate loans |
845,020 | 873,757 | 1,029,322 | 1,100,957 | 1,151,653 | |||||||||||||||
Consumer Loans |
214,593 | 222,995 | 225,067 | 231,008 | 238,397 | |||||||||||||||
Commercial Loans |
26,543 | 22,183 | 24,799 | 26,434 | 30,146 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Loans |
1,086,156 | 1,118,935 | 1,279,188 | 1,358,399 | 1,420,196 | |||||||||||||||
Less: |
||||||||||||||||||||
Allowance for loan losses |
21,130 | 20,048 | 30,933 | 34,523 | 42,271 | |||||||||||||||
Deferred loan costs, net |
(1,214 | ) | (1,441 | ) | (1,340 | ) | (1,225 | ) | (1,351 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
19,916 | 18,607 | 29,593 | 33,298 | 40,920 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Loans, net |
$ | 1,066,240 | $ | 1,100,328 | $ | 1,249,595 | $ | 1,325,101 | $ | 1,379,276 | ||||||||||
|
|
|
|
|
|
|
|
|
|
* | Categories are considered commercial real estate |
At or for the quarters ended | ||||||||||||||||||||
December 31, 2012 |
September 30, 2012 |
June 30, 2012 |
March 31, 2012 |
December 31, 2011 |
||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Deposit Portfolio Composition |
||||||||||||||||||||
Checking accounts |
||||||||||||||||||||
Interest bearing checking accounts |
$ | 132,947 | $ | 128,794 | $ | 126,502 | $ | 129,795 | $ | 119,298 | ||||||||||
Non-interest bearing checking accounts |
159,767 | 159,361 | 162,152 | 164,155 | 148,049 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total checking accounts |
292,714 | 288,155 | 288,654 | 293,950 | 267,347 | |||||||||||||||
Savings accounts |
264,411 | 259,578 | 259,593 | 256,628 | 234,828 | |||||||||||||||
Money market accounts |
345,651 | 345,428 | 344,750 | 339,824 | 314,907 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total non-time deposits |
902,776 | 893,161 | 892,997 | 890,402 | 817,082 | |||||||||||||||
Retail certificates of deposit |
559,298 | 597,481 | 648,632 | 681,457 | 771,415 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total certificates of deposit |
559,298 | 597,481 | 648,632 | 681,457 | 771,415 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total deposits |
$ | 1,462,074 | $ | 1,490,642 | $ | 1,541,629 | $ | 1,571,859 | $ | 1,588,497 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Certificates of deposit as a percent of total deposits |
38.25 | % | 40.08 | % | 42.07 | % | 43.35 | % | 48.56 | % |
9
UNITED COMMUNITY FINANCIAL CORP.
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
At or for the quarters ended | ||||||||||||||||||||
December 31, 2012 |
September 30, 2012 |
June 30, 2012 |
March 31, 2012 |
December 31, 2011 |
||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Allowance For Loan Losses |
||||||||||||||||||||
Beginning balance |
$ | 20,048 | $ | 30,933 | $ | 34,523 | $ | 42,271 | $ | 44,162 | ||||||||||
Provision |
2,102 | 30,279 | 6,264 | 680 | 2,386 | |||||||||||||||
Net chargeoffs |
(1,020 | ) | (41,164 | ) | (9,854 | ) | (8,428 | ) | (4,277 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Ending balance |
$ | 21,130 | $ | 20,048 | $ | 30,933 | $ | 34,523 | $ | 42,271 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net Charge-offs |
||||||||||||||||||||
Real Estate Loans |
||||||||||||||||||||
One-to four-family |
$ | 317 | $ | 15,010 | $ | 962 | $ | 762 | $ | 366 | ||||||||||
Multi-family |
(1 | ) | 5,632 | 588 | 68 | 203 | ||||||||||||||
Nonresidential |
224 | 15,340 | 7,057 | 2,579 | 975 | |||||||||||||||
Land |
(155 | ) | 1,561 | 44 | 1,776 | 217 | ||||||||||||||
Construction Loans |
||||||||||||||||||||
One-to four-family residential and land development |
259 | 2,658 | 516 | 2,098 | 1,874 | |||||||||||||||
Multi-family and nonresidential |
(16 | ) | (120 | ) | 4 | | | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total real estate loans |
628 | 40,081 | 9,171 | 7,283 | 3,635 | |||||||||||||||
Consumer Loans |
397 | 1,536 | 160 | 745 | 493 | |||||||||||||||
Commercial Loans |
(5 | ) | (453 | ) | 523 | 400 | 149 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
$ | 1,020 | $ | 41,164 | $ | 9,854 | $ | 8,428 | $ | 4,277 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
At or for the quarters ended | ||||||||||||||||||||
December 31, 2012 |
September 30, 2012 |
June 30, 2012 |
March 31, 2012 |
December 31, 2011 |
||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Nonperforming Loans |
||||||||||||||||||||
Real Estate Loans |
||||||||||||||||||||
One-to four family residential |
$ | 5,437 | $ | 5,817 | $ | 26,705 | $ | 23,721 | $ | 26,637 | ||||||||||
Multi-family residential |
2,027 | 1,512 | 9,582 | 5,411 | 5,860 | |||||||||||||||
Nonresidential |
20,743 | 17,484 | 43,103 | 41,871 | 42,902 | |||||||||||||||
Land |
6,047 | 6,228 | 8,316 | 8,472 | 11,142 | |||||||||||||||
Construction Loans |
||||||||||||||||||||
One-to four-family residential and land development |
7,466 | 9,527 | 18,335 | 22,455 | 27,104 | |||||||||||||||
Multi-family and nonresidential |
| | | | | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total real estate loans |
41,720 | 40,568 | 106,041 | 101,930 | 113,645 | |||||||||||||||
Consumer Loans |
4,842 | 4,921 | 6,702 | 6,165 | 6,620 | |||||||||||||||
Commercial Loans |
1,225 | 1,068 | 1,786 | 1,813 | 2,830 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Loans |
$ | 47,787 | $ | 46,557 | $ | 114,529 | $ | 109,908 | $ | 123,095 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Nonperforming Loans and Nonperforming Assets |
||||||||||||||||||||
Past due 90 days and on nonaccrual status |
$ | 38,378 | $ | 41,335 | $ | 97,357 | $ | 91,153 | $ | 104,812 | ||||||||||
Past due 90 days and still accruing |
3,678 | 47 | 47 | 303 | 39 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Past due 90 days |
42,056 | 41,382 | 97,404 | 91,456 | 104,851 | |||||||||||||||
Past due less than 90 days and on nonaccrual |
5,731 | 5,175 | 17,125 | 18,452 | 18,244 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Nonperforming Loans |
47,787 | 46,557 | 114,529 | 109,908 | 123,095 | |||||||||||||||
Other Real Estate Owned |
18,075 | 19,732 | 24,325 | 28,517 | 32,946 | |||||||||||||||
Repossessed Assets |
365 | 474 | 453 | 540 | 540 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Nonperforming Assets |
$ | 66,227 | $ | 66,763 | $ | 139,307 | $ | 138,965 | $ | 156,581 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total Troubled Debt Restructured Loans |
||||||||||||||||||||
Accruing |
$ | 21,006 | $ | 17,002 | $ | 18,530 | $ | 35,657 | $ | 33,146 | ||||||||||
Non-accruing |
4,430 | 4,531 | 14,250 | 15,161 | 17,752 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
$ | 25,436 | $ | 21,533 | $ | 32,780 | $ | 50,818 | $ | 50,898 | ||||||||||
|
|
|
|
|
|
|
|
|
|
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