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FPB Financial Corp.: FPB Financial Corp. Announces 2009 Second Quarter Earnings Increase 104% and Declares Dividends

^{Published on 2009-07-20 09:48:15, Last Modified on 2009-07-20 09:48:33 - Market Wire}
 

HAMMOND, LA--(Marketwire - July 20, 2009) - FPB Financial Corp. (PINKSHEETS: [ FPBF ]), the holding company for Florida Parishes Bank, announced earnings for the three months ended June 30, 2009.

Net income for the second quarter was $560,000; ($1.58 per diluted common share), up 104% from $274,000; ($0.77 per diluted common share) for the 2008 comparable period.

Earnings were positively affected by an improved net interest margin which resulted in a 10.9% increase in net interest income, a 52.6% increase in non-interest income and a 2.7% decrease in non-interest expense. Provisions for loan losses increased $20,000, or 25.0% in comparison to the 2008 period.

Net-interest income increased primarily due to 21.3% decrease in interest expense for the three month period. Non-interest income increased due to $145,000 gain on trading accounts/sale of investment securities and a $33,000 increase in mortgage banking revenue. Reductions in compensation, technology and other expenses offset increased costs for occupancy, Federal Deposit Insurance (FDIC) premiums and professional fees, resulting in the net reduction of non-interest expenses. Net charge-offs of loans decreased for the period.

Total stockholders' equity increased $3.0 million, or 24.7% to $15.3 million due to the January 23, 2009 issuance of $3.2 million of Series A and $162,000 of Series B Perpetual Preferred stock to the U.S. Treasury from the Treasury's Capital Purchase Program (CPP). Total tangible common equity decreased $200,000, or 1.6% to $12.1 million primarily due to the decline in value of the bank's investment in the AMF Ultra Short Mortgage Fund (ASARX). The fair value on June 30, 2009 of the Bank's AMF Investment was $4.3 million, as compared to the June 30, 2008 fair value of $5.4 million, and the December 31, 2008 AMF Fund fair value of $4.4 million.

Total assets increased 13.0% to $178.7 million as compared to the 2008 period, primarily due to a $13.4 million, or 152% increase to $22.3 million in cash and cash equivalents, an 8.4% increase to $132.4 million in net loans and a 24.5% increase to $9.0 million in net premises and equipment. Other real estate owned increased to $36,000. Total liabilities increased $17.5 million, or 12.0% with deposits increasing 13.6% to $134.6 million, non-interest bearing deposits increased 25.0% to $20.5 million. Allowance for loan losses increased $531,000, or 34.7% to $2.1 million in the period.

Our subsidiary, Florida Parishes Bank, is considered "well capitalized" by all Federal Banking Regulations and definitions as of June 30, 2009.

FPB Financial Corp. reported the following compared to June 30, 2008:

 -- Net Income increased $286,000, or 104% -- Net Interest Margin increased to 4.23% from 3.98% -- Net Interest income increased $278,000, or 8.8% -- Non-Interest Income increased $238,000, or 23.7% -- Total Deposits increased $16.1 million, or 13.6% -- Non-Interest bearing deposits increased $4.1 million, or 25.0% -- Non-maturity deposits increased $11.2 million, or 17.5% -- Total Assets increased $20.5 million, or 13.0% -- Net Loans increased $10.3 million, or 8.4% -- Allowance for Loan Losses increased $531,000, or 34.7% 

FPB Financial Corp. is headquartered in Hammond, LA and is the parent company of Florida Parishes Bank. The Company's common stock is traded under the "FPBF" symbol.

 FPB Financial Corp. June 30, March 31, June 30, Selected Balances (Unaudited) 2009 2009 2008 ------------ ------------ ------------ Cash and Cash Equivalents $ 22,269,570 $ 16,014,425 $ 8,850,068 Investment Securities at Cost 13,785,762 18,246,637 18,217,306 Net Investment Securities at Fair Value 14,022,819 18,488,238 17,352,237 Net Loans 132,411,716 133,443,602 122,113,116 Other Real Estate Owned 36,000 0 0 Total Assets 178,737,896 179,592,274 158,153,204 Non-Interest Bearing Deposits 20,534,338 17,454,807 16,427,361 Interest Bearing Deposits 114,049,772 116,050,512 102,080,661 Non-Maturity Deposits (Included in interest and non-interest bearing deposits) 75,037,212 69,400,978 63,874,645 Brokered Deposits (Included in interest-bearing deposits) 7,991,332 10,253,257 6,533,453 FHLB Advances 24,161,756 26,894,790 23,626,361 Subordinated Debentures/Trust Preferred Securities 3,093,000 3,093,000 3,093,000 Tangible Common Stockholders' Equity 12,092,316 11,645,883 12,292,251 Tangible Common Book Value per Share $ 34.06 $ 32.84 $ 34.63 Non-Performing Assets 1,265,943 1,519,945 1,425,143 As a percentage of Total Assets 0.71% 0.85% 0.90% Allowance for Loan Losses 2,062,997 1,998,736 1,532,050 As a percentage of Gross Loans 1.50% 1.45% 1.22% CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) For the Three Months For the Six Months Ended Ended June 30, June 30, June 30, June 30, 2009 2008 2009 2008 (Unaudited) (Unaudited) (Unaudited) (Unaudited) INTEREST INCOME: Mortgage Loans $ 1,935,001 $ 1,869,833 $ 3,850,178 $ 3,787,428 Consumer Loans 200,647 157,202 369,907 303,468 Lines of Credit 96,965 97,272 186,083 199,230 Premium Finance Loans 93,387 171,936 188,988 343,002 Commercial Loans 69,582 68,588 127,019 133,866 Loans on deposits 32,508 33,898 62,114 67,540 Mortgage-backed securities 143,651 48,104 282,967 66,162 FHLB stock and other Investment securities 49,216 210,418 103,235 564,878 Interest-earning deposits 6,428 24,360 6,930 57,141 ----------- ----------- ----------- ----------- TOTAL INTEREST INCOME 2,627,385 2,681,611 5,177,421 5,522,715 INTEREST EXPENSE: Deposits 543,512 712,739 1,120,405 1,589,996 Federal Home Loan Bank Advances 263,458 312,828 536,263 674,183 Subordinated Debentures/ Trust Preferred Securities 34,196 42,915 69,506 85,831 ----------- ----------- ----------- ----------- TOTAL INTEREST EXPENSE 841,166 1,068,482 1,726,174 2,350,010 ----------- ----------- ----------- ----------- NET INTEREST INCOME 1,786,219 1,613,129 3,451,247 3,172,705 Provisions for loan losses 100,000 80,000 375,000 110,000 ----------- ----------- ----------- ----------- NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES 1,686,219 1,533,129 3,076,247 3,062,705 ----------- ----------- ----------- ----------- NON-INTEREST INCOME Service charge on deposits 213,054 183,031 418,661 379,278 Mortgage Banking 185,774 152,666 381,434 293,652 Interchange Fees 71,241 57,966 135,898 111,520 Loan Fees and Charges 20,264 40,916 62,267 86,870 Premium Finance 25,634 41,376 57,537 89,884 Gain/(Loss) on sale of Investments 88,156 0 203,449 0 Gain/(Loss) on investment Trading Accounts 56,484 (55,666) 70,033 (25,968) Investment Impairment Charge 0 0 (169,923) 0 Other 22,924 27,638 83,635 69,724 ----------- ----------- ----------- ----------- TOTAL NON-INTEREST INCOME 683,531 447,927 1,242,991 1,004,960 ----------- ----------- ----------- ----------- NON-INTEREST EXPENSE Compensation and Employee Benefits 824,036 909,105 1,750,036 1,794,571 Occupancy, Property Taxes, and Equipment 190,812 158,474 371,030 293,595 Federal Deposit Insurance, Supervisory Fees/Taxes 132,583 55,911 253,037 104,063 Technology and Information Processing 106,630 135,459 171,891 249,868 Professional Fees 69,423 43,084 110,114 87,109 Other 203,580 267,157 477,396 512,871 ----------- ----------- ----------- ----------- TOTAL NON-INTEREST EXPENSE 1,527,064 1,569,190 3,133,504 3,042,077 ----------- ----------- ----------- ----------- INCOME BEFORE INCOME TAXES 842,686 411,866 1,185,734 1,025,588 Income Tax Expense (Benefit) 282,450 138,010 454,347 343,535 ----------- ----------- ----------- ----------- NET INCOME $ 560,236 $ 273,856 $ 731,387 $ 682,053 =========== =========== =========== =========== Dividends Paid to Preferred Shareholders $ 44,145 0 $ 54,936 0 Net Income Available to Common Shareholders $ 516,091 $ 273,856 $ 676,451 $ 682,053 Earnings Per Share $ 1.61 $ 0.79 $ 2.11 $ 1.99 Earning Per Share Available to Common Shareholders $ 1.48 $ 0.79 $ 1.95 $ 1.99 Diluted Earnings Per Common Share $ 1.58 $ 0.77 $ 2.06 $ 1.92 Diluted Earnings Per Share Available to Common Shareholders $ 1.45 $ 0.77 $ 1.91 $ 1.92 Dividend Paid Common per Share $ 0.14 $ 0.14 $ 0.28 $ 0.28 Return on Average Assets 1.25% 0.67% 0.83% 0.83% Return on Average Tangible Common Equity 17.45% 8.88% 11.63% 11.12% Net Interest Margin 4.34% 4.05% 4.23% 3.98% Net Charge-Off/ (Recoveries) as a Percentage Average Total Loans 0.031% 0.070% 0.035% 0.074% Allowance for Loan Losses to 2,062,997 1,532,050 2,062,997 1,532,050 Average Total Loans 1.56% 1.24% 1.55% 1.26% Non-Performing Assets to 1,265,943 1,425,143 1,265,943 1,425,143 Average Total Assets 0.71% 0.86% 0.71% 0.85% CONSOLIDATED STATEMENTS OF CONDITION (UNAUDITED) June 30, 2009 March 31, 2009 June 30, 2008 ASSETS: Cash and Cash Equivalents 22,269,570 16,014,425 8,850,068 Investment Securities 14,001,157 19,693,208 19,030,464 Net Loans 132,411,716 133,443,602 122,113,116 Premises and Equipment, Net 9,014,290 9,063,763 7,240,364 Other Real Estate Owned 36,000 0 0 Other Assets 1,005,163 1,377,276 919,192 ------------- -------------- ------------- TOTAL ASSETS $ 178,737,896 $ 179,592,274 $ 158,153,204 ============= ============== ============= LIABILITIES: Deposits 134,584,110 133,505,319 118,508,022 Federal Home Loan Bank Advances 24,161,756 26,894,790 23,626,361 Shares subject to mandatory redemption 3,093,000 3,093,000 3,093,000 Other Liabilities 1,566,714 1,213,282 633,570 ------------- -------------- ------------- TOTAL LIABILITIES $ 163,405,580 $ 164,706,391 $ 145,860,953 ============= ============== ============= STOCKHOLDERS' EQUITY: Common Stock $ 4,159 $ 4,159 $ 4,159 Capital Surplus 6,067,599 6,056,979 6,000,973 Retained Earnings 7,179,973 6,712,795 8,140,876 Unearned Compensation (95,007) (103,800) (112,837) Treasury Stock (1,227,321) (1,227,321) (1,227,321) Accumulated Other Comprehensive Income 162,913 203,071 (513,599) Total Tangible Common Stockholders' Equity 12,092,316 11,645,883 12,292,251 ------------- -------------- ------------- Total Preferred Stockholders' Equity 3,240,000 3,240,000 0 ------------- -------------- ------------- Total Stockholders' Equity 15,332,316 14,885,883 12,292,251 ------------- -------------- ------------- TOTAL LIABILITIES AND STOCKHOLDERS EQUITY $ 178,737,896 $ 179,592,274 $ 158,153,204 ============= ============== ============= 

Fritz W. Anderson II, Chairman of the Board announced today that "On July 9, 2009 (Declaration Date) the Board of Directors of FPB Financial Corp. declared a cash dividend on the common stock of the company bearing Cusip #302549 10 0. The dividend rate will be $0.14 per share and will be paid on September 25, 2009 (Payable Date) to stockholders of record September 10, 2009. (Record Date)."