Dime Community Bancshares, Inc. (NASDAQ: DCOM) (the “Company” or
“Dime”), the parent company of Dime Community Bank (the “Bank”),
today reported net income of $4.7 million for the quarter ended
September 30, 2019, or $0.13 per diluted common share, compared
with net income of $13.0 million for the quarter ended June 30,
2019, or $0.36 per diluted common share, and net income of $11.8
million for the quarter ended September 30, 2018, or $0.32 per
diluted common share. Pre-tax income for the quarter ended
September 30, 2019 was $5.6 million, compared to $17.5 million for
the quarter ended June 30, 2019, and $15.3 million for the quarter
ended September 30, 2018.
The decrease in pre-tax income was attributable
to an increase in the loan loss provision ($11.2 million for the
third quarter of 2019) due to a single Commercial & Industrial
(“C&I”) relationship. Additional detail on the loan loss
provision can be found in the “Credit Quality” section of this
press release.
Mr. Kenneth J. Mahon, President and Chief
Executive Officer (“CEO”) of the Company, stated, “Excluding the
impact of the increased loan loss provision, core trends in our
underlying business remain on-track with our business model
transformation. The Net Interest Margin (“NIM”), excluding the
impact of prepayment fees, has now expanded for four consecutive
quarters. Growth in our Business Banking division portfolio
continues to be accretive to our overall NIM. Excluding the impact
of prepayment fee income and loan loss provisions, pre-tax income
for the quarter ended September 30, 2019 would have been $15.9
million, or 3% higher than the linked quarter pre-tax income of
$15.4 million excluding prepayment fee income and loan loss
provisions, and 11% higher than the year-ago pre-tax income of
$14.3 million excluding prepayment fee income and loan loss
provisions, on a comparative basis.”
Mr. Mahon continued, “After increasing for eight
consecutive quarters (Q3 2017 to Q2 2019), the cost of deposits
began to moderate in the third quarter of 2019. Deposit costs
declined during the month of September and continued to trend lower
in the month of October as well. This reduction bodes positively
for our NIM on a go-forward basis.”
Highlights for the third quarter of 2019
included:
- Strong growth in checking account balances. Compared to the
third quarter of 2018, the sum of average non-interest-bearing
checking account balances and average interest-bearing checking
account balances for the third quarter of 2019 increased by 16.2%
to $554.9 million;
- The cost of deposits was flat on a linked quarter basis, versus
a 9 basis points increase when comparing the second quarter of 2019
with the first quarter of 2019;
- Successfully launched the Municipal Banking division, which is
actively engaged with prospective clients and expects to begin
onboarding deposit relationships in the fourth quarter of
2019;
- Strong Business Banking originations of $152.8 million in the
third quarter of 2019;
- Business Banking loan originations for the third quarter of
2019 were at significantly higher rates than the overall portfolio;
the weighted average rate (“WAR”) on Business Banking real estate
originations was 4.95% and the WAR on C&I originations was
6.07% for the quarter ended September 30, 2019, compared to the
total real estate and C&I loan portfolio WAR of 4.02% for the
quarter ended September 30, 2019;
- Total non-interest income was $3.4 million for the third
quarter of 2019, driven by $0.2 million of customer-related loan
level swap income, $0.3 million of gains from the sale of Small
Business Administration (“SBA”) loans, and $1.8 million from
service charges and other fees; and
- Consolidated Company commercial real estate (“CRE”)
concentration ratio was 679% at September 30, 2019, versus 706% at
September 30, 2018.
Management’s Discussion of Quarterly
Operating Results
Net Interest Income
Net interest income in the third quarter of 2019
was $36.2 million, a decrease of $0.3 million (-0.8%) from the
second quarter of 2019 and an increase of $1.2 million (+3.3%) from
the third quarter of 2018.
NIM was 2.34% during the third quarter of 2019,
compared to 2.38% in the second quarter of 2019, and 2.33% during
the third quarter of 2018. For the third quarter of 2019,
income from prepayment activity totaled $0.8 million, benefiting
the NIM by 5 basis points, compared to $1.6 million, or 10 basis
points, during the second quarter of 2019, and $1.3 million or 9
basis points during the third quarter of 2018.
Average interest-earning assets were $6.19
billion for the third quarter of 2019, a 3.7% (annualized) increase
from $6.13 billion for the second quarter of 2019, and a 2.9%
increase from $6.02 billion for the third quarter of 2018.
For the third quarter of 2019, the average yield
on interest-earning assets was 3.89%, a decrease of 2 basis points
compared with the second quarter of 2019, and an increase of 26
basis points compared to the third quarter of 2018. The linked
quarter decrease in the yield on average interest-earning assets
was driven primarily by lower prepayment penalty fee income, which
was partially offset by originations of Business Banking loans at
higher rates than the rates on loan amortizations and
satisfactions.
The ending WAR on the total loan portfolio was
4.02% at September 30, 2019, which represents a 3 basis point
increase versus the ending WAR on the total loan portfolio at June
30, 2019, and a 29 basis point increase versus the ending WAR on
the total loan portfolio at September 30, 2018. Mr. Mahon
commented, “Our business model transformation was the key
contributor to the year-over-year 29 basis point increase in the
ending loan WAR. As intended in our strategic plan, as the Business
Banking portfolio comprises a larger percentage of our overall
balance sheet, we expect our overall loan yields to trend
upwards.”
The average cost of borrowed funds (which
primarily consists of Federal Home Loan Bank advances) was 2.39%
for the third quarter of 2019, a decrease of 5 basis point versus
the second quarter of 2019, and an increase of 14 basis points
versus the third quarter of 2018.
Loans
The real estate loan portfolio decreased by
$41.6 million (3.2% annualized) during the third quarter of 2019.
Total real estate loan originations were $166.0 million
during the third quarter of 2019, at a WAR of 4.93%. Real estate
loan amortization and satisfactions totaled $195.9 million, or
15.1% (annualized) of the portfolio balance, at an average rate of
3.99%. The annualized real estate loan payoff rate of 15.1% for the
third quarter of 2019 was lower than the second quarter of 2019
(20.6% annualized) and higher than the third quarter of 2018 (14.0%
annualized).
Average real estate loans were $5.19 billion in
the third quarter of 2019, a decrease of $12.4 million (-1.0%
annualized) from the second quarter of 2019, and a decrease of
$11.1 million (-0.2%) from the third quarter of 2018.
Average C&I loans were $312.5 million in the
third quarter of 2019, an increase of $22.6 million (+31.2%
annualized) from the second quarter of 2019, and an increase of
$125.8 million (+67.4%) from the third quarter of 2018.
Outlined below are the loan originations for the
current quarter, linked quarter and prior year quarter.
|
($s in millions) |
Originations/ Weighted Average Rate |
|
Real Estate Originations |
Q3 2019 |
Q2 2019 |
Q3 2018 |
|
Non-Business Banking |
$39.7/4.87% |
$92.1/4.82% |
$47.2/4.71% |
|
Business Banking |
$126.3/4.95% |
$157.5/5.01% |
$101.8/4.99% |
|
Total Real Estate |
$166.0/4.93% |
$249.6/4.94% |
$149.0/4.90% |
|
C&I Originations |
$26.5/6.07% |
$89.9/5.97% |
$44.3/5.67% |
Deposits and Borrowed Funds
The Company continues to focus on growing
relationship-based business deposits sourced from its Business
Banking division and its retail branches. The Business
Banking division ended the third quarter of 2019 with approximately
$159.3 million of low-cost relationship-based checking and
leasehold deposits at an average rate of approximately two basis
points and total deposits of $292.8 million at an average rate of
68 basis points.
The cost of total deposits remained the same on
a linked quarter basis, compared to a 9 basis point increase when
comparing the second quarter of 2019 to the first quarter of 2019.
Mr. Mahon commented, “Importantly, we continue to improve the
quality of our deposit base, as evidenced by the non-interest-
bearing deposits to total deposits ratio increasing to 9.5% at
September 30, 2019 compared to 8.4% at September 30, 2018. We
continue to manage our loan-to-deposit ratio in a range of
approximately 125%, while pricing deposits so as to remain
competitive within our local branch markets.”
Total deposits decreased by $44.1 million (4.0%
annualized) on a linked quarter basis to $4.39 billion at September
30, 2019. The DimeDirect internet channel deposit portfolio was
approximately $139.6 million at the end of the third quarter of
2019 compared to approximately $192.9 million at June 30,
2019. Mr. Mahon commented, “In the third quarter of 2019, net
outflows in DimeDirect were approximately $53 million, versus
approximately $41 million for the second quarter of 2019. The
increased outflows in the third quarter of 2019 (versus the second
quarter of 2019) were a result of certain pro-active downward
pricing adjustments we made for this segment. Given the reduced
aggregate balances in the DimeDirect portfolio, we anticipate the
magnitude of dollar outflows from DimeDirect to decline over time,
resulting in less of a headwind to grow overall deposits in the
future.”
The loan-to-deposit ratio was 124.9% at
September 30, 2019, compared to 124.7% at June 30, 2019 and 123.5%
at September 30, 2018.
Total borrowings, excluding $113.9 million of
subordinated debt, were $1.12 billion at September 30, 2019,
compared to $1.17 billion at June 30, 2019, and $73.8 million
higher than $1.04 billion at September 30, 2018.
Non-Interest Income
Non-interest income was $3.4 million during the
third quarter of 2019, $2.8 million during the second quarter of
2019, and $2.2 million during the third quarter of 2018.
Excluding gains and losses on equity securities and from
sales of securities and other assets, non-interest income was $3.3
million during the third quarter of 2019, $2.7 million during the
second quarter of 2019, and $2.1 million during the third quarter
of 2018.
Mr. Mahon commented, “Growth in fee income was
broad-based with year-over-year increases in all major categories,
including: customer-related swap fee income, non-interest income
from our SBA lending division, gain on sale income from our
Residential Lending division, and service charges and other fees.
As our relationship-based Business Banking platform grows, we
expect to generate higher levels of fee income. In the second
quarter of 2019, we established the infrastructure to offer our
commercial borrowers interest rate swaps, and we continue to gain
traction on this new product offering. In addition, our SBA lending
division continues to leverage the power of Dime’s brand
recognition and branch network, which is located in a densely
populated metropolitan area, and is expected to drive increased
levels of non-interest income over time.”
Non-Interest Expense
Total non-interest expense was $22.8 million
during the third quarter of 2019, $22.3 million during the second
quarter of 2019, and $21.6 million during the third quarter of
2018. On a year-over-year basis, salaries and employee
benefits expenses increased by $2.0 million as the Bank added
relationship bankers and support staff as part of its Business
Banking division buildout. The increase in salaries and employee
benefits expense was partially offset by lower FDIC insurance
premiums. In the third quarter of 2019, the Bank received notice
that the FDIC’s Deposit Insurance Fund Reserve Ratio reached a
pre-determined threshold, and as a result, an assessment credit
from the FDIC totaling $0.5 million was recorded. In addition, no
FDIC insurance premium expense was recognized for the third quarter
of 2019. The FDIC insurance premium expense for the year-ago
quarter was $0.4 million.
The ratio of non-interest expense to average
assets was 1.41% during the third quarter of 2019, 1.40% during the
second quarter of 2019, and 1.39% during the third quarter of
2018.
The efficiency ratio was 57.7% during the third
quarter of 2019, 56.8% during the second quarter of 2019, and 58.1%
during the third quarter of 2018.
Income Tax Expense
The reported effective tax rate for the third quarter of 2019
was 15.3% versus 25.4% for the second quarter of 2019. The lower
tax rate for the third quarter of 2019 is primarily the result of
lower pre-tax income for the third quarter of 2019.
Credit Quality
Non-performing loans at September 30, 2019 were
$16.4 million, or 0.3% of total loans, an increase from $2.5
million, or 0.05% of total loans, at June 30, 2019. A loan
loss provision of $11.2 million was recorded during the third
quarter of 2019, compared to a loan loss credit of $0.4 million
during the second quarter of 2019, and a loan loss provision of
$0.3 million during the third quarter of 2018. Net charge-offs for
the third quarter of 2019 were $5.1 million, compared to $0.4
million for the second quarter of 2019 and net recoveries of $0.01
million for the third quarter of 2018.
“This quarter’s elevated credit costs resulted
primarily from a $5.0 million charge-off and a $7.5 million
specific reserve taken against a single $20.0 million C&I
relationship. The charged-down balance ($15.0 million) of the
relationship has been placed on non-performing status. In analyzing
the charge-off and specific reserve, we believe there were factors
which were unique to this particular relationship. We consider the
loss incurred as isolated and not indicative of any negative trends
within either the borrowers’ industry (excluding the aforementioned
relationship, our C&I portfolio has loan commitments of less
than $5.0 million to the borrowers’ industry) or the Company’s
overall credit profile,” commented Mr. Mahon.
The allowance for loan losses was 0.50% of total
loans at September 30, 2019 and 0.38% of total loans at June 30,
2019.
At September 30, 2019, non-performing assets
represented 2.9% of the sum of tangible common equity plus the
allowance for loan losses and reserve for contingent liabilities
(this non-Generally Accepted Accounting Principle (“GAAP”)
statistic is otherwise known as the "Texas Ratio") (see “Problem
Assets as a Percentage of Tangible Capital and Reserves” table and
“Non-GAAP Reconciliation” table at the end of this news
release).
Capital Management
The Company’s consolidated Tier 1 capital to
average assets (“leverage ratio”), which was 8.76% at September 30,
2019, was in excess of all applicable regulatory requirements.
The Bank’s regulatory capital ratios continued
to be in excess of all applicable regulatory requirements. At
September 30, 2019, the Bank’s leverage ratio was 9.81%, while Tier
1 capital to risk-weighted assets and Total capital to
risk-weighted assets ratios were 11.86% and 12.38%,
respectively.
Diluted earnings per common share of $0.13 was
lower than the quarterly $0.14 cash dividend per share during the
third quarter of 2019, equating to a 107.7% dividend payout
ratio.
Book value per share was $16.94 and tangible
book value per share (common equity less goodwill divided by number
of shares outstanding) was $15.39 at September 30, 2019 (see
“Non-GAAP Reconciliation” tables at the end of this news
release).
Outlook for the Quarter Ending December
31, 2019
The Company continues to prioritize NIM growth
and improving the quality of its balance sheet, over earning asset
growth at lower margins.
The Company’s posted rack rates on multifamily
loans continue to be above the rates offered by many competitors,
thereby affecting the level of multifamily originations. As such,
the multifamily portfolio is expected to continue trending lower
for the remainder of the year. The Company has approximately $34
million of multifamily loans scheduled to reach their contractual
repricing dates in the fourth quarter of 2019, and approximately
$623 million of multifamily loans scheduled to reach their
contractual repricing dates during fiscal year 2020.
Declines in the multifamily portfolio are
expected to be offset by growth in the Business Banking portfolio
and the Residential Lending portfolio.
The Business Banking division is projected to
achieve full year 2019 net portfolio growth of $650 million to $700
million. Net portfolio growth for the Business Banking division for
the first 9 months of 2019 was approximately $504 million.
Non‐interest expense for fiscal year 2019 is
currently expected to be approximately between $89 million to $90
million. This estimate includes the cost of hiring new relationship
bankers to meet the aforementioned portfolio growth target for the
Business Banking division.
The Company projects that the consolidated
effective tax rate for the fourth quarter of 2019 will be
approximately 24%.
ABOUT DIME COMMUNITY BANCSHARES,
INC.The Company had $6.43 billion in consolidated assets
as of September 30, 2019. The Bank was founded in 1864, is
headquartered in Brooklyn, New York, and currently has 29 retail
branches located throughout Brooklyn, Queens, the Bronx, Nassau and
Suffolk Counties, New York. More information on the Company and the
Bank can be found on Dime's website at www.dime.com.
This news release contains a number of
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended and Section 21E of the
Securities Exchange Act of 1934, as amended (the "Exchange Act").
These statements may be identified by use of words such as
"anticipate," "believe," “continue,” "could," "estimate," "expect,"
"intend," “likely,” "may," "outlook," "plan," "potential,"
"predict," "project," "should," "will," "would" and similar terms
and phrases, including references to assumptions.
Forward-looking statements are based upon
various assumptions and analyses made by the Company in light of
management's experience and its perception of historical trends,
current conditions and expected future developments, as well as
other factors it believes are appropriate under the circumstances.
These statements are not guarantees of future performance and are
subject to risks, uncertainties and other factors (many of which
are beyond the Company's control) that could cause actual results
to differ materially from future results expressed or implied by
such forward-looking statements. Accordingly, you should not place
undue reliance on such statements. Factors that could affect our
results include, without limitation, the following: the timing and
occurrence or non-occurrence of events may be subject to
circumstances beyond the Company’s control; there may be increases
in competitive pressure among financial institutions or from
non-financial institutions; changes in the interest rate
environment may reduce interest margins; changes in deposit flows,
loan demand or real estate values may adversely affect the business
of the Company and/or the Bank; unanticipated or significant
increases in loan losses may negatively affect the Company’s
financial condition or results of operations; changes in accounting
principles, policies or guidelines may cause the Company’s
financial condition to be perceived differently; changes in
corporate and/or individual income tax laws may adversely affect
the Company's financial condition or results of operations; general
economic conditions, either nationally or locally in some or all
areas in which the Company conducts business, or conditions in the
securities markets or the banking industry may be less favorable
than the Company currently anticipates; legislation or regulatory
changes may adversely affect the Company’s business; technological
changes may be more difficult or expensive than the Company
anticipates; there may be failures or breaches of information
technology security systems; success or consummation of new
business initiatives may be more difficult or expensive than the
Company anticipates; or litigation or other matters before
regulatory agencies, whether currently existing or commencing in
the future, may delay the occurrence or non-occurrence of events
longer than the Company anticipates.
Contact: Avinash
ReddyExecutive Vice President – Chief Financial
Officer(718) 782-6200 extension 5909
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
| UNAUDITED
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION |
| (Dollars in
thousands except share amounts) |
| |
|
|
|
|
|
| |
September
30, |
|
June
30, |
|
December
31, |
| |
|
2019 |
|
|
|
2019 |
|
|
|
2018 |
|
|
ASSETS: |
|
|
|
|
|
| Cash and due
from banks |
$112,541 |
|
|
$172,418 |
|
|
$147,256 |
|
|
Mortgage-backed securities available-for-sale, at fair value |
|
453,018 |
|
|
|
409,510 |
|
|
|
466,605 |
|
| Investment
securities available-for-sale, at fair value |
|
66,590 |
|
|
|
67,004 |
|
|
|
36,280 |
|
| Marketable
equity securities, at fair value |
|
5,835 |
|
|
|
5,953 |
|
|
|
5,667 |
|
| Real
Estate Loans: |
|
|
|
|
|
|
One-to-four family and cooperative/condominium apartment |
|
134,361 |
|
|
|
120,523 |
|
|
|
96,847 |
|
|
Multifamily residential and residential mixed-use (1)(2) |
|
3,608,156 |
|
|
|
3,736,500 |
|
|
|
3,866,788 |
|
|
Commercial real estate and commercial mixed-use |
|
1,333,763 |
|
|
|
1,279,188 |
|
|
|
1,170,085 |
|
|
Acquisition, development, and construction ("ADC") |
|
95,767 |
|
|
|
77,479 |
|
|
|
29,402 |
|
|
Total real estate loans |
|
5,172,047 |
|
|
|
5,213,690 |
|
|
|
5,163,122 |
|
|
Commercial and industrial ("C&I") |
|
309,593 |
|
|
|
316,061 |
|
|
|
229,504 |
|
|
Other loans |
|
1,389 |
|
|
|
1,780 |
|
|
|
1,192 |
|
|
Allowance for loan losses |
|
(27,294 |
) |
|
|
(21,134 |
) |
|
|
(21,782 |
) |
|
Total loans, net |
|
5,455,735 |
|
|
|
5,510,397 |
|
|
|
5,372,036 |
|
| Premises and
fixed assets, net |
|
22,507 |
|
|
|
23,069 |
|
|
|
24,713 |
|
| Loans held
for sale |
|
1,839 |
|
|
|
3,814 |
|
|
|
1,097 |
|
| Federal Home
Loan Bank of New York capital stock |
|
54,421 |
|
|
|
57,051 |
|
|
|
57,551 |
|
| Bank Owned
Life Insurance ("BOLI") |
|
113,551 |
|
|
|
112,828 |
|
|
|
111,427 |
|
|
Goodwill |
|
55,638 |
|
|
|
55,638 |
|
|
|
55,638 |
|
| Operating
lease assets |
|
38,856 |
|
|
|
40,113 |
|
|
|
- |
|
| Other
assets |
|
44,804 |
|
|
|
40,567 |
|
|
|
42,308 |
|
|
TOTAL ASSETS |
$6,425,335 |
|
|
$6,498,362 |
|
|
$6,320,578 |
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY: |
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
Non-interest-bearing checking |
$416,457 |
|
|
$423,914 |
|
|
$395,477 |
|
|
Interest-bearing checking |
|
135,721 |
|
|
|
117,555 |
|
|
|
115,972 |
|
| Savings |
|
356,767 |
|
|
|
325,797 |
|
|
|
336,669 |
|
| Money
Market |
|
1,831,773 |
|
|
|
1,914,101 |
|
|
|
2,098,599 |
|
|
Sub-total |
|
2,740,718 |
|
|
|
2,781,367 |
|
|
|
2,946,717 |
|
| Certificates
of deposit |
|
1,650,688 |
|
|
|
1,654,169 |
|
|
|
1,410,037 |
|
|
Total Due to Depositors |
|
4,391,406 |
|
|
|
4,435,536 |
|
|
|
4,356,754 |
|
| Escrow and
other deposits |
|
110,233 |
|
|
|
85,811 |
|
|
|
85,234 |
|
| Federal Home
Loan Bank of New York advances |
|
1,056,750 |
|
|
|
1,115,200 |
|
|
|
1,125,350 |
|
| Subordinated
Notes Payable, net |
|
113,869 |
|
|
|
113,832 |
|
|
|
113,759 |
|
| Other
Borrowings |
|
60,000 |
|
|
|
58,000 |
|
|
|
- |
|
| Operating
lease liabilities |
|
45,117 |
|
|
|
46,480 |
|
|
|
- |
|
| Other
liabilities |
|
39,056 |
|
|
|
34,802 |
|
|
|
37,400 |
|
|
TOTAL LIABILITIES |
|
5,816,431 |
|
|
|
5,889,661 |
|
|
|
5,718,497 |
|
|
STOCKHOLDERS' EQUITY: |
|
|
|
|
|
|
Common stock ($0.01 par, 125,000,000 shares authorized, 53,699,694
shares, 53,690,825 shares, and 53,690,825 shares issued at
September 30, 2019, June 30, 2019, and December 31, 2018,
respectively, and 35,951,652 shares, 35,887,395 shares, and
36,081,455 shares outstanding at September 30, 2019, June 30, 2019
and December 31, 2018, respectively) |
|
537 |
|
|
|
537 |
|
|
|
537 |
|
| Additional
paid-in capital |
|
279,768 |
|
|
|
279,327 |
|
|
|
277,512 |
|
| Retained
earnings |
|
579,830 |
|
|
|
580,159 |
|
|
|
565,713 |
|
| Accumulated
other comprehensive loss, net of deferred taxes |
|
(6,308 |
) |
|
|
(6,288 |
) |
|
|
(6,500 |
) |
| Unearned
equity award common stock |
|
(8,892 |
) |
|
|
(8,165 |
) |
|
|
(3,623 |
) |
| Common stock
held by the Benefit Maintenance Plan |
|
(1,496 |
) |
|
|
(1,509 |
) |
|
|
(1,509 |
) |
| Treasury
stock (17,748,042 shares, 17,812,299 shares, and 17,609,370 shares
at September 30, 2019, June 30, 2019, and December 31, 2018,
respectively) |
|
(234,535 |
) |
|
|
(235,360 |
) |
|
|
(230,049 |
) |
|
TOTAL STOCKHOLDERS' EQUITY |
|
608,904 |
|
|
|
608,701 |
|
|
|
602,081 |
|
|
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
$6,425,335 |
|
|
$6,498,362 |
|
|
$6,320,578 |
|
|
|
|
|
|
|
|
| (1) Includes loans
underlying cooperatives. |
| (2) While the loans
within this category are often considered "commercial real estate"
in nature, multifamily and loans underlying cooperatives are here
reported separately from commercial real estate loans in order
to emphasize the residential nature of the collateral underlying
this significant component of the total loan portfolio. |
|
|
|
|
|
| |
|
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
|
| UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS |
|
|
(Dollars in thousands except share and per share
amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
For the Three Months Ended |
|
For the Nine Months Ended |
|
| |
September
30, |
|
June
30, |
|
September
30, |
|
September
30, |
|
September
30, |
|
|
|
2019 |
|
2019 |
|
2018 |
|
2019 |
|
2018 |
|
|
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
Loans secured by real estate |
$50,732 |
|
|
$50,811 |
|
|
$47,486 |
|
$150,720 |
|
|
$144,889 |
|
|
Commercial and industrial ("C&I") loans |
|
4,442 |
|
|
|
4,134 |
|
|
|
2,729 |
|
|
12,012 |
|
|
|
6,541 |
|
|
Other loans |
|
18 |
|
|
|
18 |
|
|
|
18 |
|
|
54 |
|
|
|
55 |
|
|
Mortgage-backed securities |
|
2,973 |
|
|
|
2,961 |
|
|
|
2,852 |
|
|
9,131 |
|
|
|
7,515 |
|
|
Investment securities |
|
626 |
|
|
|
570 |
|
|
|
59 |
|
|
1,616 |
|
|
|
123 |
|
|
Other short-term investments |
|
1,488 |
|
|
|
1,457 |
|
|
|
1,480 |
|
|
4,392 |
|
|
|
4,537 |
|
|
Total interest income |
|
60,279 |
|
|
|
59,951 |
|
|
|
54,624 |
|
|
177,925 |
|
|
|
163,660 |
|
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
Deposits and escrow |
|
16,582 |
|
|
|
16,271 |
|
|
|
13,361 |
|
|
47,870 |
|
|
|
36,100 |
|
|
Borrowed funds |
|
7,501 |
|
|
|
7,176 |
|
|
|
6,235 |
|
|
22,031 |
|
|
|
18,384 |
|
|
Total interest expense |
|
24,083 |
|
|
|
23,447 |
|
|
|
19,596 |
|
|
69,901 |
|
|
|
54,484 |
|
|
Net interest income |
|
36,196 |
|
|
|
36,504 |
|
|
|
35,028 |
|
|
108,024 |
|
|
|
109,176 |
|
|
Provision (credit) for loan losses |
|
11,228 |
|
|
|
(449 |
) |
|
|
335 |
|
|
11,100 |
|
|
|
1,641 |
|
| Net
interest income after provision for loan losses |
|
24,968 |
|
|
|
36,953 |
|
|
|
34,693 |
|
|
96,924 |
|
|
|
107,535 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Non-interest income: |
|
|
|
|
|
|
|
|
|
|
|
Service charges and other fees |
|
1,780 |
|
|
|
1,264 |
|
|
|
1,233 |
|
|
4,143 |
|
|
|
3,443 |
|
|
Mortgage banking income, net |
|
77 |
|
|
|
61 |
|
|
|
79 |
|
|
206 |
|
|
|
292 |
|
|
Gain on equity securities |
|
14 |
|
|
|
148 |
|
|
|
99 |
|
|
430 |
|
|
|
114 |
|
|
Gain (loss) on sale of securities and other assets |
|
66 |
|
|
|
(57 |
) |
|
|
- |
|
|
(67 |
) |
|
|
1,370 |
|
|
Gain on sale of loans |
|
443 |
|
|
|
339 |
|
|
|
18 |
|
|
1,037 |
|
|
|
143 |
|
|
Income from BOLI |
|
723 |
|
|
|
707 |
|
|
|
729 |
|
|
2,124 |
|
|
|
2,161 |
|
|
Loan level derivative income |
|
197 |
|
|
|
291 |
|
|
|
- |
|
|
488 |
|
|
|
- |
|
|
Other |
|
61 |
|
|
|
67 |
|
|
|
63 |
|
|
180 |
|
|
|
179 |
|
|
Total non-interest income |
|
3,361 |
|
|
|
2,820 |
|
|
|
2,221 |
|
|
8,541 |
|
|
|
7,702 |
|
|
Non-interest expense: |
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
12,948 |
|
|
|
12,061 |
|
|
|
10,963 |
|
|
36,893 |
|
|
|
33,024 |
|
|
Stock benefit plan compensation expense |
|
574 |
|
|
|
491 |
|
|
|
403 |
|
|
1,349 |
|
|
|
1,198 |
|
|
Occupancy and equipment |
|
3,970 |
|
|
|
3,827 |
|
|
|
3,845 |
|
|
11,666 |
|
|
|
11,414 |
|
|
Data processing costs |
|
1,803 |
|
|
|
1,908 |
|
|
|
1,823 |
|
|
5,777 |
|
|
|
5,374 |
|
|
Marketing |
|
466 |
|
|
|
465 |
|
|
|
975 |
|
|
1,397 |
|
|
|
2,168 |
|
|
Federal deposit insurance premiums |
|
(506 |
) |
|
|
586 |
|
|
|
382 |
|
|
534 |
|
|
|
1,521 |
|
|
Other |
|
3,519 |
|
|
|
2,958 |
|
|
|
3,194 |
|
|
9,506 |
|
|
|
9,446 |
|
|
Total non-interest expense |
|
22,774 |
|
|
|
22,296 |
|
|
|
21,585 |
|
|
67,122 |
|
|
|
64,145 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Income before taxes |
|
5,555 |
|
|
|
17,477 |
|
|
|
15,329 |
|
|
38,343 |
|
|
|
51,092 |
|
|
Income tax expense |
|
850 |
|
|
|
4,442 |
|
|
|
3,547 |
|
|
9,102 |
|
|
|
12,244 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Net
Income |
$4,705 |
|
|
$13,035 |
|
|
$11,782 |
|
$29,241 |
|
|
$38,848 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Earnings per Share ("EPS"): |
|
|
|
|
|
|
|
|
|
|
|
Basic |
$ 0.13 |
|
|
$ 0.36 |
|
|
$ 0.32 |
|
$ 0.81 |
|
|
$ 1.05 |
|
|
Diluted |
$ 0.13 |
|
|
$ 0.36 |
|
|
$ 0.32 |
|
$ 0.81 |
|
|
$ 1.04 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
Average common shares outstanding for Diluted
EPS |
|
35,769,461 |
|
|
|
35,864,389 |
|
|
|
37,189,648 |
|
|
35,866,059 |
|
|
|
37,399,740 |
|
| |
|
|
|
|
|
|
|
|
|
|
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
|
UNAUDITED SELECTED FINANCIAL HIGHLIGHTS |
| (Dollars in
thousands except per share amounts) |
| |
|
|
|
|
|
|
|
|
|
| |
At or For the Three Months Ended |
|
At or For the Nine Months Ended |
| |
September
30, |
|
June
30, |
|
September
30, |
|
September
30, |
|
September
30, |
|
|
|
2019 |
|
|
|
2019 |
|
|
|
2018 |
|
|
|
2019 |
|
|
|
2018 |
|
| Per
Share Data: |
|
|
|
|
|
|
|
|
|
| Reported EPS
(Diluted) |
$0.13 |
|
|
$0.36 |
|
|
$0.32 |
|
|
$0.81 |
|
|
$1.04 |
|
| Cash
dividends paid per share |
|
0.14 |
|
|
|
0.14 |
|
|
|
0.14 |
|
|
|
0.42 |
|
|
|
0.42 |
|
| Book value
per share |
|
16.94 |
|
|
|
16.96 |
|
|
|
16.49 |
|
|
|
16.94 |
|
|
|
16.49 |
|
| Tangible
book value per share (1) |
|
15.39 |
|
|
|
15.41 |
|
|
|
14.97 |
|
|
|
15.39 |
|
|
|
14.97 |
|
| Dividend
payout ratio |
|
107.69 |
% |
|
|
38.89 |
% |
|
|
43.75 |
% |
|
|
51.85 |
% |
|
|
40.38 |
% |
| |
|
|
|
|
|
|
|
|
|
|
Performance Ratios (Based upon Reported Net
Income): |
|
|
|
|
|
|
|
|
|
| Return on
average assets |
|
0.29 |
% |
|
|
0.82 |
% |
|
|
0.76 |
% |
|
|
0.61 |
% |
|
|
0.82 |
% |
| Return on
average common equity |
|
3.08 |
% |
|
|
8.59 |
% |
|
|
7.71 |
% |
|
|
6.42 |
% |
|
|
8.51 |
% |
| Return on
average tangible common equity (1) |
|
3.39 |
% |
|
|
9.45 |
% |
|
|
8.49 |
% |
|
|
7.07 |
% |
|
|
9.37 |
% |
| Net interest
spread |
|
2.07 |
% |
|
|
2.08 |
% |
|
|
2.11 |
% |
|
|
2.06 |
% |
|
|
2.20 |
% |
| Net interest
margin |
|
2.34 |
% |
|
|
2.38 |
% |
|
|
2.33 |
% |
|
|
2.34 |
% |
|
|
2.40 |
% |
| Average
interest-earning assets to average interest-bearing
liabilities |
|
118.38 |
% |
|
|
119.47 |
% |
|
|
117.46 |
% |
|
|
118.70 |
% |
|
|
117.06 |
% |
| Non-interest
expense to average assets |
|
1.41 |
% |
|
|
1.40 |
% |
|
|
1.39 |
% |
|
|
1.40 |
% |
|
|
1.36 |
% |
| Efficiency
ratio |
|
57.69 |
% |
|
|
56.83 |
% |
|
|
58.10 |
% |
|
|
57.76 |
% |
|
|
55.59 |
% |
|
Loan-to-deposit ratio at end of period |
|
124.86 |
% |
|
|
124.71 |
% |
|
|
123.53 |
% |
|
|
124.86 |
% |
|
|
123.53 |
% |
| CRE
consolidated concentration ratio (2) |
|
678.9 |
% |
|
|
697.3 |
% |
|
|
706.1 |
% |
|
|
678.9 |
% |
|
|
706.1 |
% |
| Effective
tax rate |
|
15.30 |
% |
|
|
25.42 |
% |
|
|
23.14 |
% |
|
|
23.74 |
% |
|
|
23.96 |
% |
| |
|
|
|
|
|
|
|
|
|
|
Average Balance Data: |
|
|
|
|
|
|
|
|
|
| Average
assets |
$6,446,382 |
|
|
$6,391,476 |
|
|
$6,231,801 |
|
|
$6,400,652 |
|
|
$6,288,747 |
|
| Average
interest-earning assets |
|
6,191,299 |
|
|
|
6,134,510 |
|
|
|
6,016,728 |
|
|
|
6,145,701 |
|
|
|
6,069,781 |
|
| Average
loans |
|
5,503,233 |
|
|
|
5,492,455 |
|
|
|
5,388,065 |
|
|
|
5,480,330 |
|
|
|
5,472,116 |
|
| Average
deposits |
|
4,416,143 |
|
|
|
4,378,999 |
|
|
|
4,386,631 |
|
|
|
4,378,729 |
|
|
|
4,050,336 |
|
| Average
common equity |
|
610,487 |
|
|
|
607,152 |
|
|
|
611,022 |
|
|
|
607,238 |
|
|
|
608,685 |
|
| Average
tangible common equity (1) |
|
554,849 |
|
|
|
551,515 |
|
|
|
555,385 |
|
|
|
551,600 |
|
|
|
553,047 |
|
| |
|
|
|
|
|
|
|
|
|
|
Asset Quality Summary: |
|
|
|
|
|
|
|
|
|
|
Non-performing loans (excluding loans held for sale) |
$16,378 |
|
|
$2,538 |
|
|
$2,978 |
|
|
$16,378 |
|
|
$2,978 |
|
|
Non-performing assets |
|
16,378 |
|
|
|
2,538 |
|
|
|
2,978 |
|
|
|
16,378 |
|
|
|
2,978 |
|
| Net
charge-offs |
|
5,068 |
|
|
|
358 |
|
|
|
(11 |
) |
|
|
5,588 |
|
|
|
1,344 |
|
|
Non-performing loans/ Total loans |
|
0.30 |
% |
|
|
0.05 |
% |
|
|
0.06 |
% |
|
|
0.30 |
% |
|
|
0.06 |
% |
|
Non-performing assets/ Total assets |
|
0.25 |
% |
|
|
0.04 |
% |
|
|
0.05 |
% |
|
|
0.25 |
% |
|
|
0.05 |
% |
| Allowance
for loan loss/ Total loans |
|
0.50 |
% |
|
|
0.38 |
% |
|
|
0.39 |
% |
|
|
0.50 |
% |
|
|
0.39 |
% |
| Allowance
for loan loss/ Non-performing loans |
|
166.65 |
% |
|
|
832.70 |
% |
|
|
716.25 |
% |
|
|
166.65 |
% |
|
|
716.25 |
% |
| Loans
delinquent 30 to 89 days at period end |
$139 |
|
|
$105 |
|
|
$531 |
|
|
$139 |
|
|
$531 |
|
| |
|
|
|
|
|
|
|
|
|
|
Capital Ratios - Consolidated: |
|
|
|
|
|
|
|
|
|
| Tangible
common equity to tangible assets (1) |
|
8.69 |
% |
|
|
8.58 |
% |
|
|
8.78 |
% |
|
|
8.69 |
% |
|
|
8.78 |
% |
| Tier 1
common equity ratio |
|
10.62 |
|
|
|
10.94 |
|
|
|
11.66 |
|
|
|
10.62 |
|
|
|
11.66 |
|
| Tier 1
risk-based capital ratio |
|
10.62 |
|
|
|
10.94 |
|
|
|
11.66 |
|
|
|
10.62 |
|
|
|
11.66 |
|
| Total
risk-based capital ratio |
|
13.33 |
|
|
|
13.58 |
|
|
|
14.54 |
|
|
|
13.33 |
|
|
|
14.54 |
|
| Tier 1
leverage ratio |
|
8.76 |
|
|
|
8.83 |
|
|
|
8.96 |
|
|
|
8.76 |
|
|
|
8.96 |
|
| |
|
|
|
|
|
|
|
|
|
|
Capital Ratios - Bank Only: |
|
|
|
|
|
|
|
|
|
| Tier 1
common equity ratio |
|
11.86 |
% |
|
|
12.14 |
% |
|
|
13.26 |
% |
|
|
11.86 |
% |
|
|
13.26 |
% |
| Tier 1
risk-based capital ratio |
|
11.86 |
|
|
|
12.14 |
|
|
|
13.26 |
|
|
|
11.86 |
|
|
|
13.26 |
|
| Total
risk-based capital ratio |
|
12.38 |
|
|
|
12.56 |
|
|
|
13.71 |
|
|
|
12.38 |
|
|
|
13.71 |
|
| Tier 1
leverage ratio |
|
9.81 |
|
|
|
9.77 |
|
|
|
10.15 |
|
|
|
9.81 |
|
|
|
10.15 |
|
| |
|
|
|
|
|
|
|
|
|
| (1) See "Non-GAAP
Reconciliation" table for reconciliation of tangible common equity
and tangible assets. Average balances are calculated using the
ending balance for months during the period indicated. |
| (2) The CRE
concentration ratio is calculated using the sum of commercial real
estate, excluding owner occupied commercial real estate,
multifamily, and ADC, divided by consolidated capital. |
| |
|
|
|
|
|
|
|
|
|
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
| UNAUDITED
AVERAGE BALANCES AND NET INTEREST INCOME |
| (Dollars in
thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended |
| |
September 30, 2019 |
|
June 30, 2019 |
|
September 30, 2018 |
| |
|
|
Average |
|
|
|
Average |
|
|
|
Average |
| |
Average |
|
Yield/ |
|
Average |
|
Yield/ |
|
Average |
|
Yield/ |
| |
Balance |
Interest |
Cost |
|
Balance |
Interest |
Cost |
|
Balance |
Interest |
Cost |
| Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Real estate loans |
$5,188,967 |
$50,732 |
|
3.91 |
% |
|
$5,201,395 |
$50,811 |
|
3.91 |
% |
|
$5,200,021 |
$47,486 |
|
3.65 |
% |
|
Commercial and industrial loans |
312,472 |
|
4,442 |
|
5.69 |
|
|
289,843 |
|
4,134 |
|
5.71 |
|
|
186,686 |
|
2,729 |
|
5.85 |
|
|
Other loans |
1,794 |
|
18 |
|
4.01 |
|
|
1,217 |
|
18 |
|
5.92 |
|
|
1,358 |
|
18 |
|
5.30 |
|
|
Mortgage-backed securities |
432,071 |
|
2,973 |
|
2.75 |
|
|
423,387 |
|
2,961 |
|
2.80 |
|
|
432,213 |
|
2,852 |
|
2.64 |
|
|
Investment securities |
74,349 |
|
626 |
|
3.37 |
|
|
64,488 |
|
570 |
|
3.54 |
|
|
11,158 |
|
59 |
|
2.12 |
|
|
Other short-term investments |
181,646 |
|
1,488 |
|
3.28 |
|
|
154,180 |
|
1,457 |
|
3.78 |
|
|
185,292 |
|
1,480 |
|
3.19 |
|
|
Total interest-earning assets |
6,191,299 |
|
60,279 |
|
3.89 |
% |
|
6,134,510 |
|
59,951 |
|
3.91 |
% |
|
6,016,728 |
|
54,624 |
|
3.63 |
% |
|
Non-interest-earning assets |
255,083 |
|
|
|
256,966 |
|
|
|
215,073 |
|
|
| Total
assets |
$6,446,382 |
|
|
|
$6,391,476 |
|
|
|
$6,231,801 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Liabilities
and Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing checking accounts |
$125,310 |
$56 |
|
0.18 |
% |
|
$125,041 |
$91 |
|
0.29 |
% |
|
$114,865 |
$55 |
|
0.19 |
% |
|
Money market accounts |
1,845,594 |
|
6,883 |
|
1.48 |
|
|
1,908,737 |
|
7,397 |
|
1.55 |
|
|
2,264,082 |
|
7,542 |
|
1.32 |
|
|
Savings accounts |
341,170 |
|
157 |
|
0.18 |
|
|
327,312 |
|
46 |
|
0.06 |
|
|
347,041 |
|
50 |
|
0.06 |
|
|
Certificates of deposit |
1,674,478 |
|
9,485 |
|
2.25 |
|
|
1,595,849 |
|
8,737 |
|
2.20 |
|
|
1,297,857 |
|
5,714 |
|
1.75 |
|
|
Total interest-bearing deposits |
3,986,552 |
|
16,582 |
|
1.65 |
|
|
3,956,939 |
|
16,271 |
|
1.65 |
|
|
4,023,845 |
|
13,361 |
|
1.32 |
|
|
Borrowed Funds |
1,243,561 |
|
7,501 |
|
2.39 |
|
|
1,177,940 |
|
7,176 |
|
2.44 |
|
|
1,098,713 |
|
6,235 |
|
2.25 |
|
|
Total interest-bearing liabilities |
5,230,113 |
|
24,083 |
|
1.83 |
% |
|
5,134,879 |
|
23,447 |
|
1.83 |
% |
|
5,122,558 |
|
19,596 |
|
1.52 |
% |
|
Non-interest-bearing checking accounts |
429,591 |
|
|
|
422,060 |
|
|
|
362,786 |
|
|
|
Other non-interest-bearing liabilities |
176,191 |
|
|
|
227,385 |
|
|
|
135,435 |
|
|
|
Total liabilities |
5,835,895 |
|
|
|
5,784,324 |
|
|
|
5,620,779 |
|
|
|
Stockholders' equity |
610,487 |
|
|
|
607,152 |
|
|
|
611,022 |
|
|
| Total
liabilities and stockholders' equity |
$6,446,382 |
|
|
|
$6,391,476 |
|
|
|
$6,231,801 |
|
|
| Net interest
income |
|
$36,196 |
|
|
|
|
$36,504 |
|
|
|
|
$35,028 |
|
|
| Net interest
spread |
|
|
2.07 |
% |
|
|
|
2.08 |
% |
|
|
|
2.11 |
% |
| Net
interest-earning assets |
$961,186 |
|
|
|
$999,631 |
|
|
|
$894,170 |
|
|
| Net interest
margin |
|
|
2.34 |
% |
|
|
|
2.38 |
% |
|
|
|
2.33 |
% |
| Ratio of
interest-earning assets to interest-bearing liabilities |
|
|
118.38 |
% |
|
|
|
|
119.47 |
% |
|
|
|
|
117.46 |
% |
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Deposits
(including non-interest-bearing checking accounts) |
$4,416,143 |
$16,582 |
|
1.49 |
% |
|
$4,378,999 |
$16,271 |
|
1.49 |
% |
|
$4,386,631 |
$13,361 |
|
1.21 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
| UNAUDITED
SCHEDULE OF LOAN COMPOSITION AND WEIGHTED AVERAGE RATES
("WAR") (1) |
|
(Dollars in thousands) |
| |
|
| |
|
| |
At September 30, 2019 |
|
At June 30, 2019 |
|
At September 30, 2018 |
| |
Balance |
WAR |
|
Balance |
WAR |
|
Balance |
WAR |
| Loan
balances at period end: |
|
|
|
|
|
|
|
|
|
One-to-four family residential, including condominium and
cooperative apartment |
$134,361 |
4.38 |
% |
|
$120,523 |
4.60 |
% |
|
$71,464 |
4.42 |
% |
|
Multifamily residential and residential mixed-use (2)(3) |
|
3,608,156 |
3.72 |
|
|
|
3,736,500 |
3.69 |
|
|
|
4,015,424 |
3.52 |
|
|
Commercial real estate and commercial mixed-use |
|
1,333,763 |
4.31 |
|
|
|
1,279,188 |
4.26 |
|
|
|
1,106,430 |
4.10 |
|
|
Acquisition, development, and construction ("ADC") |
|
95,767 |
6.00 |
|
|
|
77,479 |
6.57 |
|
|
|
11,144 |
6.26 |
|
|
Total real estate loans |
|
5,172,047 |
3.93 |
|
|
|
5,213,690 |
3.88 |
|
|
|
5,204,462 |
3.66 |
|
|
Commercial and industrial ("C&I") |
|
309,593 |
5.46 |
|
|
|
316,061 |
5.78 |
|
|
|
207,743 |
5.53 |
|
| Total |
$5,481,640 |
4.02 |
% |
|
$5,529,751 |
3.99 |
% |
|
$5,412,205 |
3.73 |
% |
| |
|
|
|
|
|
|
|
|
| (1) Weighted average
rate is calculated by aggregating interest based on the current
loan rate from each loan in the category, divided by the total
amount of loans in the category. |
| (2) Includes loans
underlying cooperatives. |
| (3) While the loans
within this category are often considered "commercial real estate"
in nature, multifamily and loans underlying cooperatives are here
reported separately from commercial real estate loans in order to
emphasize the residential nature of the collateral underlying this
significant component of the total loan portfolio. |
| |
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
| UNAUDITED
SCHEDULE OF NON-PERFORMING ASSETS AND TROUBLED DEBT RESTRUCTURINGS
("TDRs") |
|
(Dollars in thousands) |
| |
|
| |
|
| |
At September
30, |
|
At June
30, |
|
At September
30, |
| |
2019 |
|
2019 |
|
2018 |
|
Non-Performing Loans |
|
|
|
|
|
|
One-to-four family residential, including condominium and
cooperative apartment |
$1,161 |
|
|
$832 |
|
|
$443 |
|
|
Multifamily residential and residential mixed-use (1)(2) |
153 |
|
|
428 |
|
|
1,473 |
|
|
Commercial real estate and commercial mixed-use real estate
(2) |
63 |
|
|
1,274 |
|
|
1,059 |
|
|
C&I |
15,000 |
|
|
- |
|
|
- |
|
|
Other |
1 |
|
|
4 |
|
|
3 |
|
| Total
Non-Performing Loans (3) |
$ 16,378 |
|
|
$ 2,538 |
|
|
$ 2,978 |
|
|
Total Non-Performing Assets |
$ 16,378 |
|
|
$ 2,538 |
|
|
$ 2,978 |
|
| |
|
|
|
|
|
| Performing
TDR Loans |
|
|
|
|
|
|
One-to-four family and cooperative/condominium apartment |
$9 |
|
|
$11 |
|
|
$16 |
|
|
Multifamily residential and mixed-use residential real estate
(1)(2) |
- |
|
|
252 |
|
|
277 |
|
|
Commercial real estate and commercial mixed-use real estate
(2) |
- |
|
|
4,037 |
|
|
4,107 |
|
|
Total Performing TDRs |
$ 9 |
|
|
$ 4,300 |
|
|
$ 4,400 |
|
| |
|
|
|
|
|
|
(1) Includes loans underlying cooperatives. |
|
(2) While the loans within this category are often considered
"commercial real estate" in nature, multifamily and loans
underlying cooperatives are here reported separately from
commercial real estate loans in order to emphasize the residential
nature of the collateral underlying this significant component of
the total loan portfolio. |
|
(3) There were no non-accruing TDRs for the periods indicated. |
| |
|
|
|
|
|
| |
|
|
|
|
|
| PROBLEM
ASSETS AS A PERCENTAGE OF TANGIBLE CAPITAL AND RESERVES (TEXAS
RATIO) |
|
(Dollars in thousands) |
|
|
|
|
|
|
|
| |
At September
30, |
|
At June
30, |
|
At September
30, |
| |
2019 |
|
2019 |
|
2018 |
| Total
Non-Performing Assets |
$16,378 |
|
|
$2,538 |
|
|
$2,978 |
|
| Loans 90
days or more past due on accrual status (4) |
380 |
|
|
1,531 |
|
|
1,242 |
|
|
TOTAL PROBLEM ASSETS |
$16,758 |
|
|
$4,069 |
|
|
$4,220 |
|
| |
|
|
|
|
|
| Tangible
common equity (5) |
$553,266 |
|
|
$553,063 |
|
|
$547,939 |
|
| Allowance
for loan losses and reserves for contingent liabilities |
27,319 |
|
|
21,159 |
|
|
21,330 |
|
|
TANGIBLE COMMON EQUITY PLUS RESERVES |
$580,585 |
|
|
$574,222 |
|
|
$569,269 |
|
| |
|
|
|
|
|
|
TEXAS RATIO (PROBLEM ASSETS AS A PERCENTAGE OF TANGIBLE COMMON
EQUITY AND RESERVES) |
2.9 |
% |
|
0.7 |
% |
|
0.7 |
% |
| |
|
|
|
|
|
|
(4) These loans were, as of the respective dates indicated,
expected to be either satisfied, made current or re-financed in the
near future, and were not expected to result in any loss of
contractual principal or interest. These loans are not included in
non-performing loans. |
|
(5) See "Non-GAAP Reconciliation" table for reconciliation of
tangible common equity and tangible assets. |
| |
|
|
|
|
|
| |
| DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
| NON-GAAP
RECONCILIATION |
| (Dollars in
thousands except per share amounts) |
| |
|
|
|
|
|
|
|
|
|
| |
For the Three Months Ended |
|
For the Nine Months Ended |
| |
September
30, |
|
June
30, |
|
September
30, |
|
September
30, |
|
September
30, |
|
|
2019 |
|
|
2019 |
|
|
2018 |
|
|
2019 |
|
|
2018 |
|
|
Reconciliation of Reported and Adjusted ("non-GAAP") Net
Income: |
|
|
|
|
|
|
|
|
|
|
Reported net income |
$ |
4,705 |
|
|
$ |
13,035 |
|
|
$ |
11,782 |
|
|
$ |
29,241 |
|
|
$ |
38,848 |
|
| Adjustments
to net income, net of tax (1): |
|
|
|
|
|
|
|
|
|
| Less: Loss
(Gain) on sale of securities |
(45 |
) |
|
39 |
|
|
- |
|
|
46 |
|
|
(930 |
) |
| Tax
adjustment |
- |
|
|
- |
|
|
(104 |
) |
|
- |
|
|
(196 |
) |
| Adjusted
("non-GAAP") net income |
$ |
4,660 |
|
|
$ |
13,074 |
|
|
$ |
11,678 |
|
|
$ |
29,287 |
|
|
$ |
37,722 |
|
| |
|
|
|
|
|
|
|
|
|
|
Adjusted Ratios (Based upon "non-GAAP Net Income" as
calculated above): |
|
|
|
|
|
|
|
|
|
| Adjusted EPS
(Diluted) |
$ |
0.13 |
|
|
$ |
0.36 |
|
|
$ |
0.32 |
|
|
$ |
0.82 |
|
|
$ |
1.01 |
|
| Adjusted
return on average assets |
0.29 |
% |
|
0.82 |
% |
|
0.75 |
% |
|
0.61 |
% |
|
0.80 |
% |
| Adjusted
return on average common equity |
3.05 |
|
|
8.61 |
|
|
7.64 |
|
|
6.43 |
|
|
8.26 |
|
| Adjusted
return on average tangible common equity |
3.36 |
|
|
9.48 |
|
|
8.41 |
|
|
7.08 |
|
|
9.09 |
|
| Adjusted
non-interest expense to average assets |
1.41 |
|
|
1.40 |
|
|
1.39 |
|
|
1.40 |
|
|
1.36 |
|
| Adjusted
efficiency ratio |
57.69 |
|
|
56.83 |
|
|
58.10 |
|
|
57.76 |
|
|
55.59 |
|
| |
|
|
|
|
|
|
|
|
|
| |
September
30, |
|
June
30, |
|
September
30, |
|
|
|
|
| |
2019 |
|
2019 |
|
2018 |
|
|
|
|
|
Reconciliation of Tangible Assets: |
|
|
|
|
|
|
|
|
|
| Total
assets |
$ |
6,425,335 |
|
|
$ |
6,498,362 |
|
|
$ |
6,294,193 |
|
|
|
|
|
| Less: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
55,638 |
|
|
55,638 |
|
|
55,638 |
|
|
|
|
|
| Tangible
assets |
$ |
6,369,697 |
|
|
$ |
6,442,724 |
|
|
$ |
6,238,555 |
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
Reconciliation of Tangible Common Equity -
Consolidated: |
|
|
|
|
|
|
|
|
|
| Total common
equity |
$ |
608,904 |
|
|
$ |
608,701 |
|
|
$ |
603,577 |
|
|
|
|
|
| Less: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
55,638 |
|
|
55,638 |
|
|
55,638 |
|
|
|
|
|
| Tangible
common equity |
$ |
553,266 |
|
|
$ |
553,063 |
|
|
$ |
547,939 |
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| (1) Adjustments to net
income are taxed at the Company's statutory tax rate of
approximately 32% unless otherwise noted. |
| |
|
|
|
|
|
|
|
|
|
Dime Community Bancshares (NASDAQ:DCOM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Dime Community Bancshares (NASDAQ:DCOM)
Historical Stock Chart
From Apr 2023 to Apr 2024
