Stonegate Bank (OTCBB: SGBK) reported net income of $2,250,000 or
27.3 cents per share in the second quarter of 2012, as compared to
net income of $5,736,000 or 69.9 cents per share in the second
quarter of 2011. The Bank earned $4,491,000 or 54.5 cents per share
for the first six months of 2012, as compared to $7,183,000 or 87.1
cents per share in the first six months of 2011.
Second Quarter 2012 Highlights:
- Net income of $2,250,000 for the second quarter of 2012
- Total assets grew to $906 million from $839 million year over
year
- 26 straight quarters of profitability
- 4.02% June net interest margin
- Tier 1 risk based capital ratio of 16.38%
- Total organic loan growth was 12% year to date
Income and Expenses: Total interest income
increased from $9.3 million in the second quarter of 2011 to $10.1
million in the second quarter of 2012. This $800,000 increase is
largely due to an increase of $101 million in total loans period to
period. Total interest expense decreased minimally to $1.87 million
for the second quarter. This occurred even though total deposits
increased $53 million period to period. This resulted in net
interest income improving from $7.3 million in the second quarter
of 2011 to $8.2 million in the second quarter of 2012.
Total non-interest income decreased to $1.07 million in the
second quarter of 2012 from $15.33 million in the second quarter of
2011. However, a more accurate reflection of the Bank's
non-interest income performance can be made by excluding the
one-time bargain purchase gains from the 2011 acquisitions. Taking
these gains into consideration, the Bank recognized $2.15 million
in non-interest income in the first six months of 2012 compared to
$1 million in the first six months of 2011. This represents a 113%
increase period over period.
Management's continued strategy to reposition and reduce the
size of the investment portfolio resulted in realized security
gains of $798,000 in the second quarter and a shorter duration of
the portfolio. Management anticipates continued modest reduction in
the size of the investment portfolio throughout the remainder of
the year.
Non-interest expense decreased to $5.6 million for the second
quarter of 2012 from $7.1 million for the second quarter of 2011.
The decrease in non-interest expense is directly related to one
time expenses associated with the acquisition of First Commercial
Bank of Tampa Bay in 2011.
Margin and Cost of Funds: Total cost of
funds declined from a 1.03% March 2012 month-to-date average to
1.00% June 2012 month-to-date average. Stonegate Bank's net
interest margin remained relatively unchanged from a March 2012
month-to-date average of 4.00% to June 2012 month-to-date average
of 4.02%.
Balance Sheet and Capital: Total assets
grew from $839 million on June 30, 2011 to $906 million on June 30,
2012, a $67 million increase. Total loans increased $101 million
from $575 million on June 30, 2011 to $676 million on June 30,
2012. Total deposits increased $53 million from $670 million on
June 30, 2011 to $723 million on June 30, 2012. Non-interest
bearing deposits represent 16.4% of total deposits. Total capital
grew from $111.8 million on June 30, 2011 to $122.1 million on June
30, 2012. The undiluted book value of common shares of Stonegate
Bank was $14.82 per share on June 30, 2012.
Asset Quality:
Total Stonegate Bank
Sept. 30, Dec. 31, Mar. 31, June 30,
(in thousands) 2011 2011 2012 2012
---------- ---------- ---------- ----------
Total loans $ 584,093 $ 600,583 $ 633,659 $ 676,480
30 days past due 685 656 1,304 979
60 - 89 days 0 0 0 890
NPAs 11,639 10,379 9,850 6,746
REO 6,680 5,956 5,400 6,402
In order to better illustrate trends in asset quality, the chart
above shows various categories and ending balances over the last
four quarters. This is presented to provide additional clarity on
the portfolio trends as well as the Bank's progress in reducing
non-performing loans and REO. The Bank's non-performing loans
decreased significantly from $9.8 million on March 31, 2012 to $6.7
million on June 30, 2012. Overall, non-performing loans represent
.99% of total loans and .74% of total assets. Approximately half of
the $6.7 million in non-performing loans are in the acquired First
Commercial Bank of Tampa Bay portfolio.
Management believes all non-performing assets and REO are
written down to fair market value. Real estate owned increased
slightly from $5.4 million on March 31, 2012 to $6.4 million on
June 30, 2012.
The Bank's loan loss reserve was $16.2 million on June 30, 2012.
This reserve represents 240% of all non-performing loans and 2.39%
of total loans. Total loans past due more than 30 days increased
from $1.3 million at March 31, 2012 to $1.8 million on June 30,
2012.
Management Comments: "Organic loan growth
continues to be very robust and remains a high priority for the
bank. We continue to make large strides as evidenced by 12% loan
growth through the first six months of the year," said Dave
Seleski, President and Chief Executive Officer. "To further fuel
this growth the Bank has hired seven additional relationship
managers throughout our markets that either joined Stonegate late
in the second quarter or early third quarter. I am confident that
the additional staff will enable the Bank to continue to grow at a
brisk pace organically over the coming quarters. In addition, this
investment in people will allow the Bank to continue to take
advantage of some very favorable market conditions. For instance,
the growth in our loan portfolio has enabled the Bank to reduce the
investment portfolio by approximately $20 million. The loans are
higher yielding assets that are less sensitive to potential
interest rate increases in the future. The tradeoff of the
additional staff as well as opening our new office in Doral in
September could result in lower earnings due to the increase in
non-interest expense over the next two quarters."
Seleski added, "Credit quality has stabilized or improved
throughout the state. We are also experiencing less attrition in
the loan portfolio and speedier resolutions to our existing problem
assets. This is evidenced by our total non-performing loans to
total loans dropping to less than 1.0% in the second quarter."
"Our management team has been highly effective at refocusing on
traditional banking as evidenced by our organic growth as opposed
to being wholly concentrated on acquisitions. While we would still
entertain future potential acquisitions, it will be a much smaller
priority in the near future," noted Seleski.
The Bank cautions that certain statements contained in this
press release are "forward-looking statements" as defined under the
Private Securities Litigation Reform Act of 1995, which statements
are made pursuant to the "safe harbor" provisions of such Act.
These forward-looking statements describe future plans or
strategies and may include the Bank's expectations of future
financial results. The words "believe," "expect," "anticipate,"
"estimate," "project," and similar expressions identify
forward-looking statements. The Bank's ability to predict results
or the effect of future plans or strategies or qualitative or
quantitative changes is inherently uncertain. Actual results may
differ materially from stated expectations. Specific factors
include, but are not limited to, changes in general market interest
rates, changes in general economic conditions and those specific to
the Bank's market area, legislative/regulatory changes, monetary
and fiscal policies of the U.S. Treasury and the Federal Reserve,
changes in the quality or composition of the Bank's loan
portfolios, demand for loan products, changes in deposit flows,
real estate values, and competition and other economic,
competitive, governmental, regulatory and technological factors
affecting the Bank's operations, pricing, products and services.
The Bank makes periodic filings to the Federal Deposit Insurance
Corporation which contain various Bank financial information,
copies of which are available from the Bank without charge. The
Bank disclaims any obligation to update any such factors or to
publicly announce the results of any revisions to any
forward-looking statements contained in this release to reflect
future events or developments.
STONEGATE BANK
Balance Sheet
As of June 30, 2012
(In Thousands)
Assets
Cash and Due From Banks $ 55,389
Federal Funds Sold 10,000
Investment Securities 120,508
Commercial Loans 87,921
Commercial Real Estate Loans - Owner Occupied 175,249
Commercial Real Estate Loans - Other 229,575
Construction Loans 50,178
Residential 1-4 Family Loans 101,626
HELOCs 26,947
Consumer Loans 5,054
------------
Gross Loans 676,550
Allowance for Loan Losses (16,200)
------------
Net Loans 660,350
Fixed Assets 12,580
Other Assets 47,345
------------
Total Assets $ 906,172
============
Liabilities
Non-Interest Bearing Deposits $ 118,820
NOW Accounts 59,072
Money Market Accounts 395,725
Savings Accounts 8,412
CDARS Reciprocal Deposits 38,549
Certificates of Deposits 102,402
------------
Total Deposits 722,980
Repurchase Agreements 23,380
FHLB and Other Borrowings 20,120
Other Liabilities 17,513
------------
Total Liabilities 783,993
Total Capital 122,179
------------
Total Liabilities and Capital $ 906,172
============
STONEGATE BANK
Income Statement
For Period Ended June 30, 2012
(In Thousands)
Interest Income $ 19,913
Interest Expense 3,751
-------------
Net Interest Income 16,162
Less: Provision for Loan Losses 1,898
-------------
Net Interest Income after Provision for Loan Losses 14,264
Non-Interest Income 2,151
Realized Gains (Losses) on AFS Securities 2,101
Less: Salaries and Benefits Expense 6,454
Occupancy and Equipment Expense 1,763
Data Processing Expense 408
Legal and Professional Expense 878
FDIC Assessments 385
Loan and OREO Expenses 331
Other Expense 1,240
-------------
Total Non-Interest Expense 11,459
Net Income Before Income Taxes 7,057
Income Taxes 2,566
-------------
Net Income $ 4,491
=============
MEDIA CONTACT: Sissy DeMaria Email Contact Suzanne
Schmidt Email Contact Kreps DeMaria (305) 663-3543 INVESTOR
RELATIONS: Dave Seleski Email Contact Stonegate Bank
(954) 315-5510
Stonegate Bank (Fort Lauderdale (NASDAQ:SGBK)
Graphique Historique de l'Action
De Août 2024 à Sept 2024
Stonegate Bank (Fort Lauderdale (NASDAQ:SGBK)
Graphique Historique de l'Action
De Sept 2023 à Sept 2024