LSB Financial Corp. Announces First Quarter Results Up 9.8%
LAFAYETTE, Ind., May 9, 2013 /PRNewswire/ -- LSB Financial Corp. (NASDAQ:LSBI), the parent company of Lafayette Savings Bank, FSB, today reported quarterly earnings of $653,000 or $0.42 diluted earnings per share compared to $595,000 or $0.38 diluted earnings per share a year earlier. The major contributor to the bank's performance was a $200,000 decrease in the provision for loan losses, a 33% improvement over last year. In addition, other income increased $158,000 led primarily by a $133,000 increase in wealth management income. These gains were offset by a $289,000 decrease in net interest income. Randolph F. Williams, president and CEO stated, "The core performance of the bank is solid."
A positive factor this quarter was the continuing improvement in loan quality. At quarter end, non-performing assets totaled $4.0 million or 1.11% of total assets, compared to $6.7 million or 1.84% of assets at the end of 2012 and $12.8 million or 3.44% one year ago. Williams continued, "Our loan loss reserve of $6.1 million represents 158% of non-performing loans and 2.17% of total loans. We have one OREO property. I believe we can say that the financial situation of the bank is sound."
The bank continues to maintain a firm capital base with a capital-to-asset ratio at March 31, 2013 of 10.95% compared to 9.90% for the same period in 2012, both of which are well above the current definition of "well-capitalized" as defined by the bank regulators. Once the new capital requirements mandated under the Dodd-Frank Act become known, we will be better able to set our longer term capital targets.
The closing market price of LSB stock on May 8, 2013 was $20.50 per share as reported by the Nasdaq Global Market.
LSB FINANCIAL CORP. SELECTED CONSOLIDATED FINANCIAL INFORMATION (Dollars in thousands except share and per share amounts) | |||
Selected balance sheet data: | Three months ended March 31, 2013 | Year ended December 31, 2012 | |
Cash and due from banks | $1,249 | $25,643 | |
Interest bearing deposits | 22,838 | 5.778 | |
Interest bearing Time Deposits | 1,747 | 1,740 | |
Securities available-for-sale | 37,998 | 28,004 | |
Loans held for sale | 2,296 | 1,363 | |
Net portfolio loans | 273,062 | 280,257 | |
Allowance for loan losses | 6,062 | 5,900 | |
Premises and equipment, net | 7,157 | 7,069 | |
Federal Home Loan Bank stock, at cost | 3,185 | 3,185 | |
Bank owned life insurance | 6,633 | 6,595 | |
Other assets | 5,025 | 4,976 | |
Total assets | 361,190 | 364,610 | |
Deposits | 309,357 | 308,637 | |
Advances from Federal Home Loan Bank | 10,000 | 15,000 | |
Other liabilities | 2,279 | 2,018 | |
Total liabilities | 321,636 | 325,655 | |
Shareholders' equity | 39,554 | 38,955 | |
Book value per share | $25.41 | $25.04 | |
Equity / assets | 10.95% | 10.68% | |
Total shares outstanding | 1,556,782 | 1,555,972 | |
Asset quality data: | |||
Total non-accruing loans | $ 3,845 | $6,443 | |
Non-accruing loans 90 or more days past due | 1,834 | 2,907 | |
Loans past due 90 days still on accrual | --- | --- | |
Non-accruing loans less than 90 days past due | 2,011 | 3,536 | |
Other real estate / assets owned | 162 | 256 | |
Total non-performing assets | 4,007 | 6,699 | |
Non-performing loans / total loans | 1.40% | 2.29% | |
Non-performing assets / total assets | 1.11% | 1.84% | |
Allowance for loan losses / non-performing loans | 157.66% | 91.57% | |
Allowance for loan losses / non-performing assets | 151.29% | 88.07% | |
Allowance for loan losses / total loans | 2.17% | 2.06% | |
Loans charged off (quarter-to-date and year-to-date, respectively) | $321 | $1,710 | |
Recoveries on loans previously charged off | 83 | 179 | |
Three months ended March 31, | |||
Selected operating data: | 2013 | 2012 | |
Total interest income | $3,642 | $4,194 | |
Total interest expense | 647 | 910 | |
Net interest income | 2,995 | 3,284 | |
Provision for loan losses | 400 | 600 | |
Net interest income after provision for loan losses | 2,595 | 2,684 | |
Non-interest income: | |||
Deposit account service charges | 272 | 325 | |
Gain on sale of mortgage loans | 430 | 406 | |
Net (loss) on sale of real estate owned | (2) | (83) | |
Other non-interest income | 418 | 260 | |
Total non-interest income | 1,118 | 908 | |
Non-interest expense: | |||
Salaries and benefits | 1,527 | 1,519 | |
Occupancy and equipment, net | 319 | 318 | |
Computer service | 142 | 148 | |
Advertising | 115 | 88 | |
Other | 572 | 587 | |
Total non-interest expense | 2,675 | 2,660 | |
Income before income taxes | 1,038 | 932 | |
Income tax expense | 385 | 337 | |
Net income | 653 | 595 | |
Other comprehensive income (loss) | 11 | (19) | |
Comprehensive income | $664 | $576 | |
Weighted average number of diluted shares | 1,563,664 | 1,556,001 | |
Diluted earnings per share | $0.42 | $0.38 | |
Return on average equity | 6.65% | 6.51% | |
Return on average assets | 0.72% | 0.65% | |
Average earning assets | $342,613 | $347,250 | |
Net interest margin | 3.50% | 3.78% | |
Efficiency ratio | 72.04% | 74.05% | |
www.LSBANK.com
SOURCE LSB Financial Corp
