OCEAN CITY, N.J., April 26, 2016 /PRNewswire/ -- Ocean Shore
Holding Co. (NASDAQ: OSHC) today announced net income of
$1,756,000 for the quarter ended
March 31, 2016 compared to
$1,713,000 earned in the first
quarter of 2015. Diluted earnings per share were unchanged at
$0.28 for the first quarter of 2016
as compared the first quarter of 2015.
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 eleven full-service
banking offices in eastern New
Jersey.
"We are pleased to report a strong start to 2016," said
Steven E. Brady, President and Chief
Executive Officer. "An improved asset mix and net interest
margin resulted in improved profitability for the quarter."
Balance Sheet Review
Total assets grew $8.7 million, or
0.8%, to $1,052.1 million at
March 31, 2016 from $1,043.4 million at December 31, 2015. Loans receivable, net,
increased $8.9 million, or 1.1%, to
$792.8 million at March 31, 2016 from $783.9
million at December 31,
2015. Investments and mortgage-backed securities decreased
$5.4 million, or 4.7%, to
$107.6 million during the first
quarter of 2016. Cash and cash equivalents increased
$5.8 million, or 6.7%, to
$93.6 million at March 31, 2016 from $87.7
million at December 31,
2015. Loan originations and other advances totaling
$39.5 million were offset by payoffs
and payments received of $30.8
million, resulting in an $8.7
million increase in the portfolio. The decrease in
investments and mortgage-backed securities resulted from calls,
maturities and normal repayments offset by
purchases.
Deposits grew $6.3 million, or
0.8%, to $818.3 million at
March 31, 2016 from $812.0 million at December
31, 2015. The Company continued its focus on core
deposits, which increased $2.1
million, or 0.3%, to $634.2
million. Certificates of deposit increased
$4.2 million, or 2.3%, to
$184.1 million at March 31, 2016 compared to December 31, 2015. Total borrowings were
unchanged at $105.0
million.
Asset Quality
The provision for loan losses totaled $152,000 for the first quarter of 2016 compared
to $153,000 for the first quarter of
2015 and $192,000 for the fourth
quarter of 2015. The allowance for loan losses totaled
$3.2 million, or 0.41% of total
loans, at March 31, 2016 compared to
$3.2 million, or 0.41% of total
loans, at December 31, 2015.
The Company experienced $122,000 in
net charge-off activity in the first quarter of 2016 as compared to
$529,000 for the first quarter of
2015.
Non-performing assets totaled $6.9
million, or 0.66% of total assets, at March 31, 2016, compared to $7.5 million, or 0.72% of total assets, at
December 31, 2015.
Non-performing assets consisted of eighteen real estate residential
mortgages totaling $2.8 million, four
real estate commercial mortgages totaling $926,000, one commercial loan totaling
$41,000, nine consumer equity loans
totaling $385,000, four TDR
non-accrual loans totaling $559,000
and ten real estate owned properties totaling $2.3 million.
Income Statement Analysis
Net interest income increased $187,000, or 2.6%, to $7.3
million for the first quarter of 2016 compared to the first
quarter of 2015. Net interest margin increased four basis
points to 3.24% for the quarter ended March
31, 2016 versus 3.19% for the quarter ended March 31, 2015. On a linked-quarter basis,
net interest margin increased 2 basis points from 3.22% in the
fourth quarter of 2015.
Other income decreased $51,000, or
4.9%, to $1.0 million for the first
quarter of 2016 compared to the first quarter of 2015. The
decrease in other income resulted from decreases in deposit account
fees offset by increases loan and other fees.
Other expenses increased $49,000,
or 0.9%, to $5.5 million for the
first quarter of 2016 compared to $5.4
million for the first quarter of 2015. Increases in
salaries and benefits, FDIC insurance, REO expense and other
expenses of $109,000 were offset by
decreases in occupancy and equipment and marketing expense of
$60,000.
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,
|
|
|
|
|
|
2016
|
|
2015
|
|
%
Change
|
|
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$1,052,149
|
|
$1,043,379
|
|
0.8
|
%
|
|
Cash and cash
equivalents
|
|
93,554
|
|
87,710
|
|
6.7
|
|
|
Investment
securities
|
|
107,625
|
|
112,992
|
|
(4.7)
|
|
|
Loans receivable,
net
|
|
792,784
|
|
783,948
|
|
1.1
|
|
|
Deposits
|
|
818,305
|
|
812,033
|
|
0.8
|
|
|
FHLB
advances
|
|
105,000
|
|
105,000
|
|
0.0
|
|
|
Stockholders'
equity
|
|
113,844
|
|
111,789
|
|
1.8
|
|
|
|
|
|
|
|
|
|
|
|
SELECTED OPERATING
DATA (Unaudited)
|
|
|
|
Three Months
Ended
March 31,
|
|
|
|
|
|
2016
|
2015
|
|
%
Change
|
|
|
|
(Dollars in
thousands, except per
share and share
amounts)
|
|
|
|
|
|
|
|
|
|
Interest and dividend
income
|
|
$ 8,843
|
|
$ 8,787
|
|
0.6
|
%
|
|
|
Interest
expense
|
|
1,564
|
|
1,695
|
|
(7.7)
|
|
|
|
Net interest
income
|
|
7,279
|
|
7,092
|
|
2.6
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan
losses
|
|
152
|
|
153
|
|
(0.7)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
after
provision for loan losses
|
|
7,127
|
|
6,939
|
|
2.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
income
|
|
998
|
|
1,049
|
|
(4.9)
|
|
|
|
Other
expense
|
|
5,491
|
|
5,442
|
|
0.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before
taxes
|
|
2,634
|
|
2,546
|
|
3.5
|
|
|
|
Provision for income
taxes
|
|
878
|
|
833
|
|
5.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$1,756
|
|
$1,713
|
|
2.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
basic
|
|
$ 0.29
|
|
$ 0.29
|
|
0.0
|
%
|
|
|
Earnings per share
diluted
|
|
$ 0.28
|
|
$ 0.28
|
|
0.0
|
%
|
|
|
|
|
|
|
|
|
|
|
|
Average shares
outstanding basic
|
|
6,127,162
|
|
5,985,347
|
|
|
|
|
|
Average shares
outstanding diluted
|
|
6,235,771
|
|
6,095,177
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
March 31,
2016
|
|
Three Months
Ended
March 31,
2015
|
|
Average
Balance
|
|
Yield/Cost
|
|
Average
Balance
|
|
Yield/Cost
|
|
(Dollars in
thousands)
|
|
|
|
Loans
|
$788,624
|
|
4.14%
|
|
$773,955
|
|
4.22%
|
|
|
Investment
securities
|
110,296
|
|
2.44%
|
|
114,032
|
|
2.16%
|
|
|
Total
interest-earning assets
|
898,920
|
|
3.94%
|
|
887,987
|
|
3.96%
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
deposits
|
634,669
|
|
0.42%
|
|
619,933
|
|
0.40%
|
|
|
Total
borrowings
|
105,000
|
|
3.42%
|
|
117,217
|
|
3.69%
|
|
|
Total
interest-bearing liabilities
|
739,669
|
|
0.85%
|
|
737,150
|
|
0.92%
|
|
|
|
|
|
|
|
|
|
|
|
Interest rate
spread
|
|
|
3.09%
|
|
|
|
3.04%
|
|
|
Net interest
margin
|
|
|
3.24%
|
|
|
|
3.19%
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSET QUALITY DATA
(Unaudited)
|
|
|
|
Three Months
Ended
March 31,
2016
|
|
Year
Ended
December 31,
2015
|
|
|
(Dollars in
thousands)
|
|
Allowance for Loan
Losses:
|
|
|
|
|
|
Allowance at
beginning of period
|
|
$ 3,190
|
|
|
$ 3,760
|
|
|
Provision for loan
losses
|
|
152
|
|
|
689
|
|
|
|
|
|
|
|
|
|
Charge-offs
|
|
(122)
|
|
|
(1,259)
|
|
|
Recoveries
|
|
–
|
|
|
–
|
|
|
Net
charge-offs
|
|
(122)
|
|
|
(1,259)
|
|
|
|
|
|
|
|
|
|
Allowance at end of
period
|
|
$ 3,220
|
|
|
$ 3,190
|
|
|
Allowance for loan
losses as a percent of total loans
|
|
0.41%
|
|
|
0.41%
|
|
|
Allowance for loan
losses as a percent of
nonperforming loans
|
|
69.0%
|
|
|
56.3%
|
|
|
|
At March 31,
2016
|
|
At December
31,
2015
|
|
|
(Dollars in
thousands)
|
|
Nonperforming
Assets:
|
|
|
|
|
|
Nonaccrual
loans:
|
|
|
|
|
|
Real
estate mortgage - residential
|
|
$ 2,753
|
|
$ 2,597
|
|
Real
estate mortgage - commercial
|
|
926
|
|
1,580
|
|
Real
estate mortgage - construction
|
|
–
|
|
143
|
|
Commercial
|
|
41
|
|
41
|
|
Consumer
|
|
385
|
|
601
|
|
Total
|
|
4,105
|
|
4,962
|
|
Trouble debt
restructurings - nonaccrual
|
|
559
|
|
708
|
|
Total
nonaccrual loans
|
|
4,664
|
|
5,670
|
|
Real estate
owned
|
|
2,258
|
|
1,814
|
|
Total nonperforming
assets
|
|
$ 6,922
|
|
$ 7,484
|
|
Nonperforming loans
as a percent of total loans
|
|
0.59%
|
|
0.72%
|
|
Nonperforming assets
as a percent of total assets
|
|
0.66%
|
|
0.72%
|
|
SELECTED FINANCIAL
RATIOS (Unaudited)
|
|
|
|
Three Months
Ended
March
31,
|
|
|
2016
|
|
2015
|
|
|
|
|
|
|
Selected
Performance Ratios:
|
|
|
|
|
|
Return on average
assets (1)
|
|
0.67
|
%
|
|
0.66
|
%
|
|
Return on average
equity (1)
|
|
6.20
|
%
|
|
6.43
|
%
|
|
Interest rate spread
(1)
|
|
3.09
|
%
|
|
3.04
|
%
|
|
Net interest margin
(1)
|
|
3.24
|
%
|
|
3.19
|
%
|
|
Efficiency
ratio
|
|
66.34
|
%
|
|
66.84
|
%
|
|
(1)
Annualized
|
|
|
|
|
|
|
|
OCEAN SHORE
HOLDING COMPANY - QUARTERLY DATA (Unaudited)
|
|
|
|
Q1
2016
|
|
Q4
2015
|
|
Q3
2015
|
|
Q2
2015
|
|
Q1
2015
|
|
|
|
(In thousands except
per share amounts)
|
|
|
Income Statement
Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
$7,279
|
|
$7,214
|
|
$7,092
|
|
$7,056
|
|
$7,092
|
|
|
Provision for loan
losses
|
|
152
|
|
192
|
|
165
|
|
178
|
|
153
|
|
|
Net interest income
after
provision for loan losses
|
|
7,127
|
|
7,022
|
|
6,927
|
|
6,878
|
|
6,939
|
|
|
Other
income
|
|
998
|
|
1,086
|
|
1,122
|
|
1,133
|
|
1,049
|
|
|
Other
expense
|
|
5,491
|
|
5,539
|
|
5,536
|
|
5,373
|
|
5,442
|
|
|
Income before
taxes
|
|
2,634
|
|
2,569
|
|
2,513
|
|
2,638
|
|
2,546
|
|
|
Provision for income
taxes
|
|
878
|
|
821
|
|
844
|
|
899
|
|
833
|
|
|
Net income
|
|
$1,756
|
|
$1,748
|
|
$1,669
|
|
$1,739
|
|
$1,713
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share
Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
basic
|
|
$0.29
|
|
$0.29
|
|
$0.28
|
|
$0.29
|
|
$0.29
|
|
|
Earnings per share
diluted
|
|
$0.28
|
|
$0.28
|
|
$0.27
|
|
$0.29
|
|
$0.28
|
|
|
Average shares
outstanding basic
|
|
6,127,162
|
|
6,109,527
|
|
6,043,604
|
|
5,920,475
|
|
5,985,347
|
|
|
Average shares
outstanding diluted
|
|
6,235,771
|
|
6,218,480
|
|
6,145,136
|
|
6,036,007
|
|
6,095,177
|
|
|
Total shares
outstanding
|
|
6,411,678
|
|
6,403,058
|
|
6,403,191
|
|
6,257,899
|
|
6,251,912
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance Sheet
Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$1,052,149
|
|
$1,043,379
|
|
$1,067,458
|
|
$1,019,031
|
|
$1,029,809
|
|
|
Investment
securities
|
|
107,625
|
|
112,992
|
|
108,151
|
|
115,564
|
|
114,830
|
|
|
Loans receivable,
net
|
|
792,784
|
|
783,948
|
|
785,549
|
|
780,789
|
|
770,261
|
|
|
Deposits
|
|
818,305
|
|
812,033
|
|
832,010
|
|
779,859
|
|
792,891
|
|
|
FHLB
advances
|
|
105,000
|
|
105,000
|
|
110,000
|
|
110,000
|
|
110,000
|
|
|
Subordinated
debt
|
|
—
|
|
—
|
|
—
|
|
7,217
|
|
7,217
|
|
|
Stockholders'
equity
|
|
113,844
|
|
111,789
|
|
110,701
|
|
106,883
|
|
105,643
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset
Quality:
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing
assets
|
|
$6,922
|
|
$7,484
|
|
$7,654
|
|
$7,579
|
|
$7,027
|
|
|
|
Non-performing loans
to total loans
|
|
0.59%
|
|
0.72%
|
|
0.73%
|
|
0.82%
|
|
0.83%
|
|
|
|
Non-performing assets
to total assets
|
|
0.66%
|
|
0.72%
|
|
0.72%
|
|
0.74%
|
|
0.68%
|
|
|
|
Allowance for loan
losses
|
|
$3,220
|
|
$3,190
|
|
$3,116
|
|
$3,392
|
|
$3,384
|
|
|
|
Allowance for loan
losses to total loans
|
|
0.41%
|
|
0.41%
|
|
0.40%
|
|
0.43%
|
|
0.44%
|
|
|
|
Allowance for loan
losses to non-performing loans
|
|
69.0%
|
|
56.3%
|
|
54.2%
|
|
53.1%
|
|
52.7%
|
|
|
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To view the original version on PR Newswire,
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SOURCE Ocean Shore Holding Co.