Northeast Indiana Bancorp, Inc. Announces Sharp Increase In Year To Date And Second Quarter Earnings

Northeast Indiana Bancorp, Inc. Announces Sharp Increase In Year To Date And Second Quarter Earnings
Northeast Indiana Bancorp, Inc. Announces Sharp Increase In Year To Date And Second Quarter Earnings

HUNTINGTON, Ind., July 12, 2018 /PRNewswire/ -- Northeast Indiana Bancorp, Inc. (OTCQB:  NIDB), the parent company of First Federal Savings Bank, today announced net income for the six months ended June 30, 2018 increased by $540,000 or 34.0% to $2.13 million ($1.78 per diluted common share) when compared to net income of $1.59 million ($1.32 per diluted common share) for the six months ended June 30, 2017.  The current six months earnings equate to an annualized ROA of 1.33% and a ROE of 11.91% compared to an annualized ROA of 1.05% and an annualized ROE of 9.20% for the six months ended June 30, 2017.   

Commenting on the Company's performance, Michael Zahn, President and CEO, stated, "We continue to perform at a high level.  I'm pleased with our steady growth, our margin expansion and our ability to manage overhead expense consistently."  Zahn continued, "The employees of First Federal Savings Bank are exceptional and the driving force behind our success."

Net income also increased by $268,000 or 35.2% to $1.03 million ($0.86 per diluted common share) for the Company's second quarter ended June 30, 2018 when compared to net income of $760,000 ($0.63 per diluted common share) for the second quarter ended June 30, 2017.  The current three months earnings equate to an annualized return on average assets (ROA) of 1.27% and a return on average equity (ROE) of 11.42% compared to an annualized ROA of 1.00% and a ROE of 8.68% for the three months ended June 30, 2017. 

Net loans increased $2.8 million or 1.2% to $227.9 million at June 30, 2018 compared to $225.1 million at December 31, 2017.  Total deposits increased $11.6 million or 5.5% to $223.8 million at June 30, 2018 compared to $212.2 million at December 31, 2017.  Shareholder's equity increased to $36.4 million at June 30, 2018 compared to $35.7 million at December 31, 2017.  The company also repurchased 8,552 shares during the six months ended June 30, 2018.  The book value of NIDB's stock was $30.13 per common share as of June 30, 2018.  The number of outstanding common shares was 1,206,327 as of the same date.  The last reported trade of the stock on July 10, 2018 was $38.00 per common share. 

Northeast Indiana Bancorp, Inc. is headquartered at 648 N. Jefferson Street, Huntington, Indiana.  The company offers a full array of banking and financial brokerage services to its customers through its main office in Huntington and five full-service Indiana offices in Huntington (2), Warsaw and Fort Wayne (2).  The Company is traded on the OTC Markets Group, Inc. (www.otcmarkets.com) utilizing the OTCQB platform under the symbol "NIDB".  Our web site address is www.firstfedindiana.bank.

This press release may contain forward-looking statements, which are based on management's current expectations regarding economic, legislative and regulatory issues.  Factors which may cause future results to vary materially include, but are not limited to, general economic conditions, changes in interest rates, loan demand, and competition.  Additional factors include changes in accounting principles, policies or guidelines; changes in legislation or regulation; and other economic, competitive, regulatory and technological factors affecting each company's operations, pricing, products and services.                                                                           

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NORTHEAST INDIANA BANCORP

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

CONSOLIDATED STATEMENT OF FINANCIAL CONDITION




ASSETS

 

June 30,

2018

December  31,
2017




Interest-earning cash and cash equivalents

$

9,257,803

$

3,954,186

Noninterest earning cash and cash equivalents

2,052,917

3,559,790

   Total cash and cash equivalents

11,310,720

7,513,976

Interest-earning time deposits

2,942,000

1,715,000

Securities available for sale

60,699,553

58,583,396

Securities held to maturity

1,305,650

1,728,199

Loans held for sale

706,750

1,064,300

Loans receivable, net of allowance for loan loss June 30, 2018 $2,808,485 and December 31, 2017 $2,746,523

 

227,924,496

 

225,132,535

Accrued interest receivable

1,200,412

1,246,930

Premises and equipment

4,051,505

4,148,328

Investments in limited liability partnerships

2,568,334

2,708,333

Cash surrender value of life insurance

8,495,943

8,382,193

Other assets

2,075,084

1,952,615

    Total Assets

$

323,283,447

$

314,175,805

LIABILITIES AND STOCKHOLDERS' EQUITY



Non-interest bearing deposits

27,797,167

25,242,627

Interest bearing deposits

195,975,055

186,916,030

Borrowed Funds

59,224,648

61,199,066

Accrued interest payable and other liabilities

3,935,311

5,098,911

    Total Liabilities

286,932,181

278,456,634




Retained earnings – substantially restricted

36,351,266

35,719,171

    Total Liabilities and Shareholder's Equity

$

323,283,447

$

314,175,805


CONSOLIDATED STATEMENTS OF INCOME





Three Months Ended

Six Months Ended


June 30,

June 30,


2018

2017

2018

2017

Total interest income

$

3,485,131

$

2,987,039

$

6,819,863

$

5,922,032

Total interest expense


759,055


513,589


1,434,230


974,831

   Net interest income

$

2,726,076

$

2,473,450

$

5,385,633

$

4,947,201

Provision for loan losses


-


50,000


-


50,000

  Net interest income after provision for loan losses

$

2,726,076

$

2,423,450

$

5,385,633

$

4,897,201

    Service charges on deposit accounts


151,642


148,545


321,045


287,709

    Interchange Fees

136,053

121,026

261,945

229,573

    Net loss on sale of securities

-

-

(4,947)

(7,716)

    Net gain on sale of loans

120,806

139,533

407,068

344,770

    Net gain (loss) on sale of repossessed assets

149

-

149

(7,798)

    Brokerage fees

62,294

45,949

119,243

111,652

    Increase in cash surrender value of life insurance

56,626

55,375

113,750

110,750

    Other income

128,049

136,281

250,629

280,646

Total noninterest income

$

655,619

$

646,709

$

1,468,882

$

1,349,586

    Salaries and employee benefits


1,210,197


1,080,139


2,378,287


2,193,623

    Occupancy

259,689

249,202

525,231

501,470

    Data processing

295,549

262,965

577,251

534,549

    Deposit insurance premiums

24,000

20,000

48,000

50,000

    Professional fees

66,261

109,420

141,895

164,841

    Correspondent bank charges

33,689

33,473

63,235

62,705

    Other expense

314,427

314,992

645,361

627,004

Total noninterest expenses

$

2,203,812

$

2,070,191

$

4,379,260

$

4,134,192

  Income before income tax expenses

$

1,177,883

$

999,968

$

2,475,255

$

2,112,595

Income tax expense


150,710


240,338


345,945


523,346

Net Income

$

1,027,173

$

759,630

$

2,129,310

$

1,589,249



NORTHEAST INDIANA BANCORP

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)



Three Months Ended
June 30,

Six Months Ended
June 30,


2018

2017

2018

2017

Basic Earnings per common share

0.86

0.63

1.78

1.32

Dilutive Earnings per share

0.86

0.63

1.78

1.32

Net interest margin

3.62%

3.49%

3.60%

3.51%

Return on average assets

1.27%

1.00%

1.33%

1.05%

Return on average equity

11.42%

8.68%

11.91%

9.20%

Efficiency ratio

65.17%

66.35%

63.89%

65.66%

Average shares outstanding - primary

1,194,027

1,199,279

1,193,633

1,203,461

Average shares outstanding - diluted

1,194,027

1,199,279

1,194,433

1,203,511




Allowance for loan losses:





   Balance at beginning of period

$

2,757,515

$

3,148,496

$

2,746,523

$

3,144,092

   Charge-offs:





      One-to-four family

3,147

-

10,601

-

      Commercial real estate

-

530,962

-

530,692

      Land/land development

-

-

-

-

      Commercial

-

-

2,250

-

      Consumer

49,044

57,236

92,979

98,709

         Gross charge-offs

52,191

587,928

105,830

629,401

   Recoveries:





      One-to-four family

349

437

690

1,375

      Commercial real estate

61,237

414

66,755

414

      Land/land development

-

-

-

-

      Commercial

1,480

25,000

7,428

25,000

      Consumer

40,095

24,072

92,919

69,011

         Gross recoveries

103,161

49,923

167,792

95,800

   Net charge-offs/(recoveries)

(50,970)

538,005

(61,962)

533,061

   Additions charged to operations

-

50,000

-

50,000

   Balance at end of period

$

2,808,485

$

2,660,491

$

2,808,485

$

2,660,491






   Net loan charge-offs/(recoveries) to average loans (1)

(0.09%)

1.03%

(0.05%)

0.52%










Nonperforming assets (000's)

 

At June 30,

 

At March 31,

At December 31,


  Loans:

2018

2018

2017


      Non-accrual

$

2,290

$

2,032

$

2,261


      Past 90 days or more and still accruing

-

-

-


      Troubled debt restructured

294

296

236


         Total nonperforming loans

2,584

2,328

2,497


   Real estate owned

60

48

-


   Other repossessed assets

-

-

-


         Total nonperforming assets

$

2,644

$

2,376

$

2,497





   Nonperforming assets to total assets

0.82%

0.75%

0.79%


   Nonperforming loans to total loans

1.12%

1.01%

1.10%


   Allowance for loan losses to nonperforming loans

108.73%

118.47%

110.01%


   Allowance for loan losses to net loans receivable

1.23%

1.21%

1.22%






                 At June 30,


2018

2017







Stockholders' equity as a % of total assets

11.24%

11.74%



Book value per share

$

30.13

$

29.15



Common shares outstanding- EOP

1,206,327

1,214,879



 

 

(1) Ratios for the three-month periods are annualized.





 

 

View original content:http://www.prnewswire.com/news-releases/northeast-indiana-bancorp-inc-announces-sharp-increase-in-year-to-date-and-second-quarter-earnings-300680317.html

SOURCE Northeast Indiana Bancorp, Inc.

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