HARL Harleysville Financial Corporation (QX)

Harleysville Savings Financial Corporation (NASDAQ:HARL) reported today that the Company’s Board of Directors declared a regular quarterly cash dividend of $.20 per share on the Company’s common stock. The cash dividend will be payable on November 21, 2012 to stockholders of record on November 7, 2012.

Net income for the twelve months ended September 30, 2012 amounted to $5,053,000 or $1.33 per diluted share compared to $5,395,000 or $1.44 per diluted share for the twelve months ended September 30, 2011.

Net income for the fourth quarter of fiscal year 2012 amounted to $1,156,000 or $.30 per diluted share compared to $1,097,000 or $.29 per diluted share for the fourth quarter of fiscal year 2011.

Ron Geib, President and Chief Executive Officer of the Company, stated, “Again this year, we ended our fiscal year with solid financial results in spite of continued economic uncertainty, increased regulatory burden, low demand for loans and pressure on interest margins. Our credit quality continues to be high and the liabilities on our balance sheet continue to experience a shift from certificate of deposits to a significant increase in core transaction accounts. Combining this shift in deposits with reducing the amount of advances as they mature, has allowed our net interest rate spread to increase to 2.26% from 2.07% a year ago. Between the improved strength of the balance sheet and the work ethic of our highly engaged team members, we are looking forward to continuing to create value for our stakeholders this coming year.”

The Company’s assets totaled $802.6 million compared to $835.7 million a year ago. Stockholders’ book value increased 4.35% to $15.85 per share from $15.19 a year ago.

Harleysville Savings Financial Corporation is the holding company for Harleysville Savings Bank. Established in 1915, Harleysville Savings Bank is a Pennsylvania chartered and federally insured savings bank, headquartered in Harleysville, PA. Harleysville is located in Montgomery County, which has the third largest population base and the second highest per capita income in the state of Pennsylvania.

This presentation may contain forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995). Actual results may differ materially from the results discussed in these forward-looking statements. Factors that might cause such a difference include, but are not limited to, general economic conditions, changes in interest rates, deposit flows, loan demand, real estate values and competition; changes in accounting principles, policies, or guidelines; changes in legislation or regulation; and other economic; competitive, governmental, regulatory, and technological factors affecting the Company's operations, pricing, products and services.

  Harleysville Savings Financial Corporation Selected Consolidated Financial Data as of September 30, 2012         (Dollars in thousands except per share data)   Year-To-Date                    

(Unaudited)

Twelve Months Ended: Three Months Ended:   Selected Consolidated Earnings Data

Sept 30,2012

Sept 30,2011

Sept 30,2012

Jun 30,2012

Mar 31,2012

Dec 31,2011

Sept 30,2011

Total interest income $ 34,533 $ 37,573 $ 8,194 $ 8,599 $ 8,736 $ 9,005 $ 9,358 Total interest expense   15,095   19,034   3,483   3,691   3,955   3,967   4,559   Net Interest Income 19,438 18,539 4,711 4,908 4,781 5,038 4,799 Provision for loan losses   930   1,150   170   255   255   250   660 Net Interest Income after Provision for Loan Losses   18,508   17,389   4,541   4,653   4,526   4,788   4,139   Gain on sale of investments 34 - - 34 - - - Gain on sales of loans 34 - 34 - - - - Bank owned life insurance 486 1,548 122 121 121 122 141 Other income 1,616 1,438 382 443 341 449 393 Total other expenses   13,488   13,125   3,392   3,385   3,413   3,298   3,239   Income before income taxes 7,190 7,250 1,687 1,866 1,575 2,061 1,434 Income tax expense   2,137   1,855   531   555   354   697   337   Net Income $ 5,053 $ 5,395 $ 1,156 $ 1,311 $ 1,221 $ 1,364 $ 1,097                                 Per Common Share Data Basic earnings $ 1.35 $ 1.45 $ 0.31 $ 0.35 $ 0.33 $ 0.36 $ 0.29 Diluted earnings $ 1.33 $ 1.44 $ 0.30 $ 0.34 $ 0.32 $ 0.36 $ 0.29 Dividends $ 0.78 $ 0.76 $ 0.20 $ 0.20 $ 0.19 $ 0.19 $ 0.19 Tangible book value $ 15.85 $ 15.19 $ 15.85 $ 15.73 $ 15.56 $ 15.39 $ 15.19 Shares outstanding 3,768,931 3,758,751 3,768,931 3,747,031 3,728,089 3,772,028 3,758,751 Average shares outstanding - basic 3,747,729 3,726,599 3,752,764 3,736,462 3,738,430 3,763,147 3,752,394 Average shares outstanding - diluted 3,811,447 3,758,281 3,834,826 3,823,689 3,794,487 3,790,457 3,776,650               (Dollars in thousands except per share data) Year-To-Date                  

(Unaudited)

Twelve Months Ended:   Three Months Ended: Other Selected Consolidated Data

Sept 30,2012

 

Sept 30,2011

 

Sept 30,2012

Jun 30,2012

 

Mar 31,2012

 

Dec 31,2011

 

Sept 30,2011

Return on average assets 0.61 % 0.63 % 0.57 % 0.63 % 0.59 % 0.66 % 0.52 % Return on average equity 8.69 % 9.79 % 7.83 % 9.00 % 8.44 % 9.40 % 7.74 % Net interest rate spread 2.26 % 2.07 % 2.23 % 2.27 % 2.19 % 2.33 % 2.16 % Net yield on interest earning assets 2.42 % 2.23 % 2.40 % 2.44 % 2.36 % 2.49 % 2.34 % Operating expenses to average assets 1.64 % 1.54 % 1.68 % 1.63 % 1.64 % 1.57 % 1.53 % Efficiency ratio 62.70 % 61.45 % 65.04 % 61.85 % 65.10 % 58.80 % 60.72 %

Ratio of non-performing loans to total assets at end of period

1.85 % 0.40 % 1.85 % 1.44 % 1.00 % 0.64 % 0.40 % Loan loss reserve to total loans, net 0.81 % 0.63 % 0.81 % 0.71 % 0.73 % 0.68 % 0.63 % Stockholders' equity to assets 7.44 % 6.83 % 7.44 % 7.16 % 6.89 % 6.97 % 6.83 %                       Selected Consolidated Financial Data

Sept 30,2012

 

Jun 30,2012

 

Mar 31,2012

 

Dec 31,2011

 

Sept 30,2011

Total assets $ 802,626   $ 822,726   $ 842,266   $ 832,630   $ 835,713 Consumer Loans receivable 394,634 400,463 409,244 416,900 424,424 Commercial Loans receivable 103,765 103,997 102,655 99,593 97,373 Loan loss reserve (4,032) (3,867) (3,809) (3,559) (3,311) Total Loans receivable net 494,367 500,593 508,090 512,934 518,486 Total Loans held for sale 3,515 - - - - Cash & investment securities 99,582 117,380 145,569 119,448 122,306 Mortgage-backed securities 162,710 152,025 145,405 156,411 150,547 Total Investments 262,292 269,405 290,974 275,859 272,853 FHLB stock 10,165 11,240 11,832 12,455 13,110 Checking accounts 101,033 106,661 112,165 96,671 90,146 Savings accounts 162,719 160,136 153,684 147,156 138,805 Certificate of deposit accounts 279,171 282,868 284,572 286,544 295,450 Total Deposits 542,923 549,665 550,421 530,371 524,401 Advances 192,483 203,765 227,228 238,676 250,194 Total stockholders' equity 59,736 58,924 58,026 58,033 57,082