Business & Finance
Mon, April 30, 2012 
GEORGETOWN, Mass.--([ BUSINESS WIRE ])--Georgetown Bancorp, Inc. (OTCBB: GTWN) (the aCompanya), holding company for Georgetown Savings Bank (the aBanka), reported net income for the three months ended March 31, 2012 of $153,000, or $.06 per basic and diluted share, compared to net income of $332,000, or $.13 per basic and diluted share, for the three months ended March 31, 2011.
Robert E. Balletto, President and Chief Executive Officer, said, aI am pleased to report continued improvement in the Companyas asset quality, as total non-performing assets declined 35%, to $2 million or 1% of total assets, at March 31, 2012, from December 31, 2011. A decline in net interest income year over year was primarily due to cash from loan payoffs flowing into overnight funds. We remain focused on the successful execution of our strategic plan, including the judicious development of our commercial lending business, while maintaining high asset quality, as well as long-term shareholder value.a
| Georgetown Bancorp, Inc. | ||||||||
| Selected Financial Data | ||||||||
| At or for the | At or for the | |||||||
| Period Ended | Year Ended | |||||||
| March 31, 2012 | December 31, 2011 | |||||||
| (Dollars in thousands, except share data) | ||||||||
| Selected Financial Condition Data: | ||||||||
| Total assets | $ | 205,756 | $ | 199,375 | ||||
| Cash and cash equivalents | 27,127 | 19,083 | ||||||
| Loans receivable, net | 155,959 | 161,120 | ||||||
| Allowance for loan losses | 1,698 | 1,824 | ||||||
| Investment securities (1) | 10,140 | 6,496 | ||||||
| Deposits | 155,233 | 151,085 | ||||||
| Borrowings | 25,527 | 25,694 | ||||||
| Total stockholders' equity | 20,503 | 20,329 | ||||||
| Stockholders' equity to total assets at end of period | 9.96 | % | 10.20 | % | ||||
| Total shares outstanding | 2,694,341 | 2,680,455 | ||||||
| Asset Quality Data: | ||||||||
| Total non-performing loans | $ | 2,030 | $ | 3,133 | ||||
| Other real estate owned | 30 | 30 | ||||||
| Total non-performing assets | 2,060 | 3,163 | ||||||
| Non-performing loans to total loans | 1.29 | % | 1.92 | % | ||||
| Non-performing assets to total assets | 1.00 | % | 1.59 | % | ||||
| Allowance for loan losses to non-performing loans | 83.65 | % | 58.22 | % | ||||
| Allowance for loan losses to total loans | 1.08 | % | 1.12 | % | ||||
| Loans charged off | $ | 192 | $ | 788 | ||||
| Recoveries on loans previously charged off | 2 | 12 | ||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2012 | 2011 | |||||||
| (Dollars in thousands, except per share data) | ||||||||
| Selected Operating Data: | ||||||||
| Interest and dividend income | $ | 2,321 | $ | 2,797 | ||||
| Interest expense | 502 | 670 | ||||||
| Net interest income | 1,819 | 2,127 | ||||||
| Provision for loan losses | 64 | 64 | ||||||
| Net interest income after | ||||||||
| provision for loan losses | 1,755 | 2,063 | ||||||
| Non-interest income | 283 | 226 | ||||||
| Non-interest expense | 1,805 | 1,759 | ||||||
| Income before income taxes | 233 | 530 | ||||||
| Income tax provision | 80 | 198 | ||||||
| Net income | $ | 153 | $ | 332 | ||||
| Net income per share: basic and diluted | $ | 0.06 | $ | 0.13 | ||||
| Performance Ratios: | ||||||||
| Return on average assets | 0.30 | % | 0.65 | % | ||||
| Return on average equity | 2.99 | % | 6.85 | % | ||||
| Interest rate spread | 3.60 | % | 4.12 | % | ||||
| Net interest margin | 3.79 | % | 4.34 | % | ||||
| Efficiency ratio (2) | 85.92 | % | 74.75 | % | ||||
| Non-interest expense to average total assets | 3.60 | % | 3.42 | % | ||||
| (1) Does not include Federal Home Loan Bank Stock of $2.9 million. | ||||||||
| (2) The efficiency ratio represents non-interest expense divided by the sum of net interest income and non-interest income. | ||||||||
About Georgetown Bancorp, Inc.
Georgetown Bancorp, Inc. is the holding company for Georgetown Savings Bank. Georgetown Savings Bank, with branch offices in Georgetown, North Andover and Rowley, Massachusetts, is committed to making a positive difference in the communities we serve. We strive to deliver exceptional personal service at all times and to help each of our customers achieve their unique financial goals through a competitive array of commercial and consumer banking services. To learn more about Georgetown Savings Bank, visit [ www.georgetownbank.com ] or call 978-352-8600.
Forward-looking statements
This news release may contain certain forward-looking statements, such as statements of the Companyas or the Bankas plans, objectives, expectations, estimates and intentions. Forward-looking statements may be identified by the use of words such as aexpects,a asubject,a abelieve,a awill,a aintends,a awill bea or awould.a These statements are subject to change based on various important factors (some of which are beyond the Companyas or the Bankas control) and actual results may differ materially. Accordingly, readers should not place undue reliance on any forward-looking statements (which reflect managementas analysis of factors only as of the date of which they are given). These factors include general economic conditions, trends in interest rates, the ability of our borrowers to repay their loans, the ability of the Company or the Bank to effectively manage its growth, and results of regulatory examinations, among other factors. The foregoing list of important factors is not exclusive. Readers should carefully review the risk factors described in other documents the Company files from time to time with the Securities and Exchange Commission, including Current Reports on Form 8-K.
