Business & Finance
Thu, April 26, 2012 
HOPEWELL TOWNSHIP, N.J.--([ BUSINESS WIRE ])--Patrick L. Ryan, Chairman, and James Hyman, President and CEO, of Hopewell Valley Community Bank (Pink Sheets: HWDY) jointly announced that the Bank started 2012 posting a profit for the 44th consecutive quarter, and total assets moving solidly above the $400,000,000 mark.
The Bankas net income for the first quarter of 2012 came in at $490,255 or $.14 per share, as compared to the 2011 equivalent period total of $542,138 or $.17 per share. While noninterest income featured a 20.7% increase, net interest income rose only 1.1% due to pressure on the Bankas net interest margin as a result of the prevailing low interest environment. Branch expansion as well as bringing on additional skilled personnel also drove an 8.6% increase in operating expenses.
HVCBankas total assets for the first quarter of 2012 advanced briskly, ending the period at $415,899,591, a 13.7% increase over the corresponding 2011 quarterly figure of $365,961,709. Total deposits rose 11.9% to $348,805,149 at the quarteras end, moving up from $311,635,375 at the end of the first quarter of 2011. Total loans also advanced 5.1% to $248,630,291.
Total equity jumped 49.5%, increasing to $42,233,278 due to our $11,000,000 participation in the Small Business Lending Fund (SBLF) along with additional capital provided from the execution of outstanding stock warrants and significant retained earnings from the prior year.
Chairman Ryan observed that: aWhile we are very pleased to report our 44th consecutive profitable quarter, we are mindful that we continue to operate in a low interest environment that is not wholly beneficial to community banks. We will continue to be vigilant in our approach to risk and approach the upcoming years with caution in both our loan and investment portfolios, all the while keeping the bank poised to take advantage of sound opportunities which may arise.a
President Hyman added: aIt was a busy first quarter as renovations to our new Flemington office were completed and we opened to the public early in April. Long time Hunterdon County resident and banker Harrie Copeland has brought rapid recognition to the new office, and response from the community has been very positive. Separately, long time Mercer County banker Nina Melker joined us at our Quakerbridge Office, Hamilton, adding a whole new dynamic to business development efforts in this key market. All in all, the first quarter represented a resounding start to a growth strategy that will continue into the year.a
| Three Month Unaudited Results | March 31, 2012 | March 31, 2011 | % Change | |||||||||
| Total Interest Income | $3,884,136 | $3,905,004 | (.5%) | |||||||||
| Total Noninterest Income | $347,727 | $288,097 | 20.7% | |||||||||
| Total Income | $4,231,863 | $4,193,101 | 0.9% | |||||||||
| Interest Expense | ($869,660) | ($922,128) | (5.7%) | |||||||||
| Net Interest Income | $3,014,476 | $2,982,876 | 1.1% | |||||||||
| Total Operating Expense | ($2,649,048) | ($2,438,335) | 8.6% | |||||||||
| Net Income Before Taxes | $713,155 | $832,638 | (14.4%) | |||||||||
| Taxes | $222,900 | $290,500 | (23.3%) | |||||||||
| Net Income | $490,255 | $542,138 | (9.6%) | |||||||||
| Preferred Stock Dividends | $38,309 | $10,720 | 257.4% | |||||||||
| Net Income Available to Common Shareholders | $451,946 | $531,418 | (15.0%) | |||||||||
| Earnings Per Common Share | $.14 | $.17 | (17.6%) | |||||||||
| Total Assets | $415,899,591 | $365,961,709 | 13.6% | |||||||||
| Total Equity | $42,233,278 | $28,253,472 | 49.5% | |||||||||
Hopewell Valley Community Bank is a locally owned and managed, full service, FDIC insured commercial bank. Founded in 1998, HVCBank provides a friendly, personalized banking experience for residents and small business owners with eight banking offices in Hopewell, Pennington, Hamilton, Ewing and Princeton in Mercer County, Ringoes and Flemington in Hunterdon County, and through its fully interactive website at [ www.hvcbonline.com ].
