Dime Community Bancshares, Inc. (NASDAQ: DCOM) (the “Company” or
“Dime” or “its”), the parent company of Dime Community Bank (the
“Bank”), today reported net income to common stockholders of $11.8
million for the quarter ended June 30, 2020, or $0.35 per diluted
common share, compared with net income to common stockholders of
$8.4 million for the quarter ended March 31, 2020, or $0.24 per
diluted common share, and net income to common stockholders of
$13.0 million for the quarter ended June 30, 2019, or $0.36 per
diluted common share.
Excluding the pre-tax impact of $3.9 million of
severance expenses related to an organizational restructuring, $1.1
million of merger related expenses, and $3.1 million of income from
gain on sale of securities, earnings per share (“EPS”) for the
quarter ended June 30, 2020 would have been $0.39 per diluted
share.
Mr. Kenneth J. Mahon, Chief Executive Officer
(“CEO”) of the Company, stated, “Our extremely strong second
quarter results were underpinned by linked quarter net interest
margin (“NIM”) expansion of 14 basis points and year-over-year
non-interest income growth (excluding gain on sale of securities)
of 83%. In the month of June we fortified already very strong
capital ratios through the issuance of perpetual preferred stock.
During this challenging period in the midst of the pandemic and
economic downturn, Dime’s earnings profile and robust capital base
helps position us well to serve our customers and communities, our
employees and investors. Earlier this month, we announced our
intention to merge with Bridge Bancorp, Inc. and create a premier
community-based business bank with over $11 billion in assets. I am
proud of the hard work and collaboration from our respective
integration teams and am extremely excited that we are on our way
to create a foundational franchise that has the opportunity to
dominate the New York community banking landscape in the years
ahead.”
Highlights for the Second Quarter of
2020 Included:
- The Company raised net proceeds of $44 million from its
perpetual preferred stock offering in the second quarter of 2020.
The Company had previously raised net proceeds of $72 million from
its perpetual preferred stock offering in the first quarter of
2020. Outlined below are the Company’s consolidated capital
ratios.
|
Q2 2020 |
Q1 2020 |
Q2 2019 |
Total Equity to Total Assets |
10.54% |
10.17% |
9.37% |
Tangible Equity to Tangible Assets (1) |
9.76% |
9.38% |
8.58% |
Tier 1 Risk-Based Capital Ratio |
13.07% |
12.15% |
10.94% |
Total Risk-Based Capital Ratio |
16.29% |
15.21% |
13.58% |
(1) See "Non-GAAP Reconciliation" tables for reconciliation
of tangible equity and tangible assets. |
- Linked quarter NIM expansion of 14 basis points primarily
driven by a 27 basis point linked quarter decrease in the cost of
deposits;
- Strong growth in checking account balances. Compared to the
second quarter of 2019, the sum of average non-interest-bearing
checking account balances and average interest-bearing checking
account balances for the second quarter of 2020 increased by 53.7%
to $840.8 million;
- Loans to small businesses under the Small Business
Administration (“SBA”) Paycheck Protection Program (“PPP”) totaled
$310.5 million at June 30, 2020. Total potential unrecognized
income from processing these loans is approximately $8.9
million;
- Loan-to-deposit ratio declined to 122.7% at June 30, 2020,
versus 124.7% at June 30, 2019. Excluding the $310.5 million of PPP
loans, the loan-to-deposit ratio would have been 115.7% at June 30,
2020;
- Our Municipal Banking division, which began operations in the
fourth quarter of 2019, grew its deposit portfolio to approximately
$351 million at June 30, 2020;
- Total non-interest income grew to $8.4 million in the second
quarter of 2020, driven by $2.5 million of customer-related loan
level swap income, $0.9 million of BOLI income (the Company
purchased $20.0 million of additional BOLI in the month of June)
and $3.1 million of gain on sale of securities, versus $2.8 million
of non-interest income for the second quarter of 2019; and
- The Company repurchased 975,064 shares of its common stock,
which represented 2.9% of beginning period shares outstanding, in
the second quarter of 2020, at a weighted average price of
$14.62.
Loans with Payment
Deferrals
We are focused on supporting our clients who may
be experiencing financial hardships due to COVID-19, including
making deferrals on payments as needed. Our deferral program began
in April 2020. Total loans with payment deferrals as of June 30,
2020, declined to $916.3 million versus $1.09 billion as of May 31,
2020. Of the tranche of $489.1 million of loans that were provided
payment deferrals in the month of April, $120.1 million are now
paying full interest and escrow (i.e., only principal is being
deferred on these loans) and $194.9 million are no longer requiring
any form of payment relief.
We continue to closely monitor segments of our
loan portfolio that may be disproportionately impacted by the
pandemic. As of June 30, 2020, the Company had 15 loans aggregating
$27.0 million to restaurants and 13 loans aggregating $176.3
million to hotels. As of June 30, 2020, loans with payment
deferrals to restaurants totaled $12.4 million and loans with
payment deferrals to hotels totaled $43.1 million. The Company does
not have any exposure to the energy industry, airline industry,
leveraged lending, shared national credits, credits card loans, or
auto loans.
Mr. Mahon concluded, “Our capital strength,
earnings profile and the nature of our asset classes provides me
confidence that we will be able to navigate through the pandemic.
The largest segment within our loan portfolio remains
multifamily loans, which constituted 55% of our loan portfolio at
June 30, 2020. New York City multifamily loans were one of the
best performing asset classes during the financial crisis of 2008.
Year after year, Dime had one of the lowest loss rates in the
nation. Given the low loan-to-value (“LTV”) nature of
our multifamily portfolio (weighted average of approximately
50% at June 30, 2020), we anticipate our track record will
continue.”
Management’s Discussion of Quarterly
Operating Results
Net Interest Income
Net interest income in the second quarter of
2020 was $43.6 million, an increase of $3.0 million (7.5%) from the
first quarter of 2020 and an increase of $7.1 million (19.3%) from
the second quarter of 2019. The table below provides a
reconciliation of the reported NIM and the NIM excluding the impact
of loan prepayment fees.
($ in millions) |
Q2 2020 |
Q1 2020 |
Q2 2019 |
NIM |
2.86% |
2.72% |
2.38% |
Net Interest Income |
$43,556 |
$40,524 |
$36,504 |
Income from Loan Prepayment Activity |
$1,737 |
$1,975 |
$1,581 |
Net Interest Income Excluding Prepayment Fee Income |
$41,819 |
$38,549 |
$34,923 |
NIM, Excluding Prepayment Fee |
2.75% |
2.59% |
2.28% |
Mr. Mahon commented, “Our NIM (excluding the
impact of prepayment fees) has now increased for seven consecutive
quarters. As anticipated, our business model transformation is
producing the desired trends on NIM.”
Average interest-earning assets were $6.10
billion for the second quarter of 2020, a 9.6% (annualized)
increase from $5.95 billion for the first quarter of 2020, and a
0.7% decrease from $6.13 billion for the second quarter of 2019.
For the second quarter of 2020, the average yield on
interest-earning assets was 3.85%, a decrease of 11 basis points
compared with the first quarter of 2020, and a decrease of 6 basis
points compared to the second quarter of 2019. The decline in
the yield on earning assets reflected the full quarter impact of
the 150 basis point reduction in the federal funds rate by the
Federal Reserve in March 2020 and the related decline in market
interest rates.
The ending weighted average rate (“WAR”) on the
total loan portfolio was 3.77% at June 30, 2020, which represents a
23 basis point decrease versus the ending WAR on the total loan
portfolio at March 31, 2020, and a 22 basis point decrease versus
the ending WAR on the total loan portfolio at June 30, 2019. The
WAR on the total loan portfolio as of June 30, 2020 was negatively
impacted by PPP loans ($310.5 million of loans at June 30, 2020
with a WAR of 1.00%). Excluding the impact of PPP loans, the WAR on
the loan portfolio was 3.94% at June 30, 2020, which represents a 6
basis point decrease versus the ending WAR on the total loan
portfolio at March 31, 2020, and a 5 basis point decrease versus
the ending WAR on the total loan portfolio at June 30, 2019.
The average cost of borrowed funds (which
primarily consist of Federal Home Loan Bank advances) was 2.00% for
the second quarter of 2020, a decrease of 15 basis points versus
the first quarter of 2020, and a decrease of 44 basis points versus
the second quarter of 2019.
Loans
The real estate loan portfolio decreased by
$63.1 million (5.2% annualized) during the second quarter of 2020,
primarily due to managed run-off in the Bank’s lower-yielding
legacy multifamily business. Total real estate loan originations
were $208.8 million during the second quarter of 2020, at a
weighted average interest rate of 2.91%. Real estate loan
amortization and satisfactions totaled $278.6 million, or 23.1%
(annualized) of the portfolio balance, at an average rate of 3.65%.
The annualized real estate loan payoff rate of 23.1% for the second
quarter of 2020 was comparable to the first quarter of 2020 (23.5%
annualized) and higher than the second quarter of 2019 (20.6%
annualized).
Average real estate loans were $4.87 billion in
the second quarter of 2020, a decrease of $86.4 million (-7.0%
annualized) from the first quarter of 2020, and a decrease of
$333.4 million (-6.4%) from the second quarter of 2019.
Average C&I loans were $519.0 million in the
second quarter of 2020 (including average SBA PPP loans of $192.8
million), an increase of $191.3 million (233.6% annualized) from
the first quarter of 2020, and an increase of $229.2 million
(79.1%) from the second quarter of 2019.
Outlined below are the loan originations for the
current quarter, linked quarter and prior year quarter.
($s in millions) |
Originations/ Weighted Average Rate |
|
Q2 2020 |
Q1 2020 |
Q2 2019 |
Real Estate Originations |
$208.8/2.91% |
$166.8/4.05% |
$249.6/4.94% |
C&I Originations |
$15.0/4.19% |
$51.9/4.95% |
$89.9/5.97% |
SBA PPP Originations |
$319.4/1.00% |
n/a |
n/a |
Deposits and Borrowed Funds
The Company continues to focus on growing
relationship-based business deposits. 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 approximately 15.0% at June 30, 2020,
compared to 9.6% at June 30, 2019.”
Total deposits increased by $198.6 million on a
linked quarter basis to $4.44 billion at June 30, 2020. Mr. Mahon
commented, “The increase in total deposits was driven by strength
in our municipal deposit business and an inflow of PPP-related
deposits. PPP-related deposits were approximately $104 million at
June 30, 2020.”
The cost of total deposits decreased 27 basis
points on a linked quarter basis. As of June 30, 2020, the Company
had $875.6 million of certificates of deposits (19.7% of total
deposits), with a weighted average rate of 1.52%, that were set to
mature in the second half of 2020. Mr. Mahon commented, “Given the
significant repricing opportunity for certificates of deposits in
the second half of the year, we expect our deposit costs to
continue trending downwards.”
Given the increase in deposit funding, total
borrowings (excluding subordinated debt securities) were reduced to
$1.02 billion at June 30, 2020, compared to $1.12 billion at the
first quarter of 2020, and $1.17 billion at the second quarter of
2019.
Non-Interest Income
Non-interest income was $8.4 million during the
second quarter of 2020, $4.2 million during the first quarter of
2020, and $2.8 million during the second quarter of 2019. Excluding
gains and losses on equity securities and from sales of securities
and other assets, non-interest income was $4.8 million during the
second quarter of 2020 compared to $4.7 million during the first
quarter of 2020 and $2.7 million during the second quarter of
2019.
Mr. Mahon commented, “Our commercial bank
operation has produced the desired results on fee income growth,
especially as it relates to gaining significant traction with our
commercial customers on interest rate swap products. Fees
associated with customer level swaps were $2.5 million for the
second quarter of 2020 versus $1.2 million for the first quarter of
2020 and $0.3 million for the second quarter of 2019.”
Non-Interest Expense (Excluding
Non-recurring Items) Down Slightly
Total non-interest expense was $29.3 million
during the second quarter of 2020, $26.0 million during the first
quarter of 2020, and $22.3 million during the second quarter of
2019. Excluding the impact of severance and merger-related
expenses, non-interest expense was $24.3 million during the second
quarter of 2020, $25.4 million during the first quarter of 2020,
and $22.3 million during the second quarter of 2019.
The ratio of non-interest expense to average
assets was 1.84% during the second quarter of 2020, compared to
1.68% during the linked quarter and 1.40% for the second quarter of
2019. Excluding the impact of severance and merger-related
expenses, the ratio of non-interest expense to average assets was
1.52% during the second quarter of 2020, compared to 1.64% during
the linked quarter and 1.40% for the second quarter of 2019.
The efficiency ratio was 60.7% during the second
quarter of 2020, compared to 57.6% during the linked quarter and
56.8% during the second quarter of 2019. Excluding the impact of
severance and merger-related expenses and gain on sale of
securities, the efficiency ratio was 50.3% during the second
quarter of 2020, compared to 56.1% during the linked quarter and
56.8% during the second quarter of 2019.
Income Tax Expense
The reported effective tax rate for the second
quarter of 2020 was 21.6%, compared to 21.6% for the first quarter
of 2020, and 25.4% for the second quarter of 2019.
Credit Quality
Non-performing loans at June 30, 2020 were $15.4
million, or 0.3% of total loans, compared to $18.2 million, or 0.4%
of total loans, at March 31, 2020.
Under Section 4014 of the Coronavirus Aid,
Relief, and Economic Security Act (the “CARES” Act), financial
institutions had the option to delay the adoption of the Current
Expected Credit Loss (“CECL”) framework until the earlier of
December 31, 2020 or when the national emergency is lifted. The
Bank elected to defer adoption of CECL and is utilizing its
existing incurred loss framework.
A loan loss provision of $6.1 million was
recorded during the second quarter of 2020, compared to a loan loss
provision of $8.0 million during the first quarter of 2020, and a
loan loss credit of $0.4 million during the second quarter of 2019.
The $6.1 million provision for the second quarter of 2020 was
primarily associated with an increase in the general loan loss
reserve due to the adjustment of qualitative factors tied to the
Bank’s existing incurred loss framework, to account for the effects
of the COVID-19 pandemic and related economic disruption.
The allowance for loan losses was 0.78% of total
loans at June 30, 2020 as compared to 0.70% of total loans at March
31, 2020. Excluding $310.5 million of PPP loans, the ratio of
allowance for losses to total loans at June 30, 2020 would have
been 0.83%.
At June 30, 2020, non-performing assets
represented 2.9% of the sum of tangible equity plus the allowance
for loan losses and reserve for contingent liabilities (see
“Problem Assets as a Percentage of Tangible Equity and Reserves”
table and “Non-GAAP Reconciliation” table at the end of this news
release).
Capital Management
The Company’s regulatory capital ratios
continued to be in excess of all applicable regulatory
requirements. At June 30, 2020, the Consolidated Tier 1 capital to
average assets (“leverage ratio”) was 10.11%, while the Tier 1
capital to risk-weighted assets and Total capital to risk-weighted
assets ratios were 13.07% and 16.29%, respectively.
The Bank’s regulatory capital ratios continued
to be in excess of all applicable regulatory requirements. At
June 30, 2020, the Bank’s leverage ratio was 9.98%, while the Tier
1 capital to risk-weighted assets and Total capital to
risk-weighted assets ratios were 12.97% and 13.85%,
respectively.
Mr. Mahon commented, “Over the course of 2020,
we have raised approximately $117 million from the issuance of
perpetual preferred stock. As a result, our capital position is
very strong as demonstrated by a tangible equity to tangible assets
ratio of 9.76% at June 30, 2020. Excluding the impact of the PPP
loans, our tangible equity to tangible assets ratio would have been
10.26% at June 30, 2020; this is well above the previously
communicated 9.25% minimum target for this ratio that we disclosed
during our first quarter earnings call.”
Diluted earnings per common share of $0.35
exceeded the quarterly $0.14 cash dividend per share by 150.0%
during the second quarter of 2020, equating to a 40.0% dividend
payout ratio.
Book value per common share increased to $17.07
and tangible common book value per share (common equity less
goodwill divided by number of shares outstanding) (see “Non-GAAP
Reconciliation” tables at the end of this news release) increased
to $15.39 at June 30, 2020.
Earnings Call Information
The Company will conduct a conference call at
8:00 a.m. (ET) on July 29, 2020, during which Chief Executive
Officer, Kenneth J. Mahon, will discuss the Company’s second
quarter performance, with a Q&A session to follow. Dial-in
information for the live call is 1-888-348-2672. Upon dialing in,
request to be joined into Dime Community Bancshares, Inc. call with
the conference operator.
The conference call will be simultaneously
webcast (listen only), and archived for a period of one year, at
https://services.choruscall.com/links/dcom200729.html. Dial-in
information for the replay is 1-877-344-7529 using access code
#10146095. Replay will be available July 29, 2020 (9:30 a.m. (ET))
through August 5, 2020 (11:59 p.m. (ET)).
ABOUT DIME COMMUNITY BANCSHARES,
INC.The Company had $6.47 billion in consolidated assets
as of June 30, 2020. The Bank was founded in 1864, is headquartered
in Brooklyn, New York, and currently has 28 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 include statements regarding the proposed merger of the
Company with Bridge Bancorp, Inc. (the “Merger”). 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; 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; we may incur unexpected
expenses and delays related to the Merger; or we may be unable to
obtain regulatory approvals or satisfy other closing conditions
required to complete the Merger. Further, given its ongoing and
dynamic nature, it is difficult to predict what effects the
COVID-19 pandemic will have on our business and results of
operations. The pandemic and related local and national economic
disruption may, among other effects, result in a decline in demand
for our products and services; increased levels of loan
delinquencies, problem assets and foreclosures; branch closures,
work stoppages and unavailability of personnel; and increased
cybersecurity risks, as employees increasingly work remotely.
Contact: Avinash
ReddySenior Executive Vice President – Chief
Financial Officer718-782-6200 extension
5909
DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
UNAUDITED
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION |
(Dollars in
thousands except share amounts) |
|
|
|
|
|
|
|
|
June
30, |
|
March
31, |
|
December
31, |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
ASSETS: |
|
|
|
|
|
|
Cash and due
from banks |
$ |
117,013 |
|
|
$ |
246,153 |
|
|
$ |
155,488 |
|
|
Mortgage-backed securities available-for-sale, at fair value |
|
464,279 |
|
|
|
500,758 |
|
|
|
502,464 |
|
|
Investment
securities available-for-sale, at fair value |
|
77,728 |
|
|
|
57,067 |
|
|
|
48,531 |
|
|
Marketable
equity securities, at fair value |
|
5,707 |
|
|
|
5,398 |
|
|
|
5,894 |
|
|
Real
Estate Loans: |
|
|
|
|
|
|
One-to-four family and cooperative/condominium apartment |
|
182,264 |
|
|
|
176,755 |
|
|
|
148,429 |
|
|
Multifamily
residential and residential mixed-use (1)(2) |
|
2,988,509 |
|
|
|
3,160,248 |
|
|
|
3,385,375 |
|
|
Commercial real estate and commercial mixed-use |
|
1,504,020 |
|
|
|
1,403,985 |
|
|
|
1,350,185 |
|
|
Acquisition, development, and construction ("ADC") |
|
136,606 |
|
|
|
133,514 |
|
|
|
118,365 |
|
|
Total
real estate loans |
|
4,811,399 |
|
|
|
4,874,502 |
|
|
|
5,002,354 |
|
|
Commercial and industrial ("C&I") |
|
321,009 |
|
|
|
331,816 |
|
|
|
336,412 |
|
|
Small
Business Administration ("SBA") Paycheck Protection Program ("PPP")
loans |
|
310,509 |
|
|
|
- |
|
|
|
- |
|
|
Other
loans |
|
1,463 |
|
|
|
956 |
|
|
|
1,772 |
|
|
Allowance for credit losses |
|
(42,492 |
) |
|
|
(36,463 |
) |
|
|
(28,441 |
) |
|
Total loans, net |
|
5,401,890 |
|
|
|
5,170,811 |
|
|
|
5,312,097 |
|
|
Premises and
fixed assets, net |
|
21,423 |
|
|
|
21,631 |
|
|
|
21,692 |
|
|
Premises
held for sale |
|
- |
|
|
|
514 |
|
|
|
514 |
|
|
Loans held
for sale |
|
1,794 |
|
|
|
1,430 |
|
|
|
500 |
|
|
Federal Home
Loan Bank of New York ("FHLBNY") capital stock |
|
52,305 |
|
|
|
57,146 |
|
|
|
56,019 |
|
|
Bank Owned
Life Insurance ("BOLI") |
|
154,036 |
|
|
|
133,128 |
|
|
|
114,257 |
|
|
Goodwill |
|
55,638 |
|
|
|
55,638 |
|
|
|
55,638 |
|
|
Operating
lease assets |
|
36,813 |
|
|
|
36,582 |
|
|
|
37,858 |
|
|
Other
assets |
|
78,895 |
|
|
|
61,569 |
|
|
|
43,508 |
|
|
TOTAL ASSETS |
$ |
6,467,521 |
|
|
$ |
6,347,825 |
|
|
$ |
6,354,460 |
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY: |
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
Non-interest-bearing checking |
$ |
664,323 |
|
|
$ |
479,376 |
|
|
$ |
478,549 |
|
|
Interest-bearing checking |
|
231,201 |
|
|
|
162,198 |
|
|
|
151,491 |
|
|
Savings |
|
406,771 |
|
|
|
390,994 |
|
|
|
374,265 |
|
|
Money
Market |
|
1,742,563 |
|
|
|
1,565,761 |
|
|
|
1,705,451 |
|
|
Sub-total |
|
3,044,858 |
|
|
|
2,598,329 |
|
|
|
2,709,756 |
|
|
Certificates
of deposit |
|
1,393,554 |
|
|
|
1,641,497 |
|
|
|
1,572,869 |
|
|
Total Due to Depositors |
|
4,438,412 |
|
|
|
4,239,826 |
|
|
|
4,282,625 |
|
|
Escrow and
other deposits |
|
87,646 |
|
|
|
116,097 |
|
|
|
76,481 |
|
|
FHLBNY
advances |
|
1,017,300 |
|
|
|
1,117,300 |
|
|
|
1,092,250 |
|
|
Subordinated
notes payable, net |
|
113,979 |
|
|
|
113,942 |
|
|
|
113,906 |
|
|
Other
borrowings |
|
5,000 |
|
|
|
- |
|
|
|
110,000 |
|
|
Operating
lease liabilities |
|
42,733 |
|
|
|
42,614 |
|
|
|
44,098 |
|
|
Other
liabilities |
|
80,908 |
|
|
|
72,398 |
|
|
|
38,342 |
|
|
TOTAL LIABILITIES |
|
5,785,978 |
|
|
|
5,702,177 |
|
|
|
5,757,702 |
|
|
STOCKHOLDERS' EQUITY: |
|
|
|
|
|
|
Preferred
stock, Series A ($0.01 par, $25.00 liquidiation value, 9,000,000
shares authorized, 5,299,200 shares and 2,999,200 |
|
|
|
|
|
|
shares issued and outstanding at June 30, 2020 and March 31, 2020,
respectively, and none issued or outstanding at December 31,
2019) |
|
116,569 |
|
|
|
72,224 |
|
|
|
- |
|
|
Common stock
($0.01 par, 125,000,000 shares authorized, 53,724,233 shares,
53,721,189 shares and 53,721,189 shares issued at |
|
|
|
|
|
|
June
30, 2020, March 31, 2020 and December 31, 2019, respectively, and
33,089,585 shares, 33,875,386 shares and 35,154,642 |
|
|
|
|
|
|
shares outstanding at June 30, 2020, March 31, 2020 and Decmeber
31, 2019, respectively) |
|
537 |
|
|
|
537 |
|
|
|
537 |
|
|
Additional
paid-in capital |
|
278,581 |
|
|
|
279,327 |
|
|
|
279,322 |
|
|
Retained
earnings |
|
592,497 |
|
|
|
585,294 |
|
|
|
581,817 |
|
|
Accumulated
other comprehensive loss, net of deferred taxes |
|
(14,403 |
) |
|
|
(12,632 |
) |
|
|
(5,940 |
) |
|
Unearned
equity awards |
|
(7,549 |
) |
|
|
(6,067 |
) |
|
|
(6,731 |
) |
|
Common Stock
held by the Benefit Maintenance Plan |
|
(1,496 |
) |
|
|
(1,496 |
) |
|
|
(1,496 |
) |
|
Treasury
stock, at cost (20,634,648 shares, 19,845,803 shares and 18,566,547
shares at June 30, 2020, March 31, 2020 and |
|
|
|
|
|
|
December 31, 2019, respectively) |
|
(283,193 |
) |
|
|
(271,539 |
) |
|
|
(250,751 |
) |
|
TOTAL STOCKHOLDERS' EQUITY |
|
681,543 |
|
|
|
645,648 |
|
|
|
596,758 |
|
|
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
$ |
6,467,521 |
|
|
$ |
6,347,825 |
|
|
$ |
6,354,460 |
|
|
|
|
|
|
|
|
|
(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 Six Months Ended |
|
June
30, |
|
March
31, |
|
June
30, |
|
June
30, |
|
June
30, |
|
|
2020 |
|
|
2020 |
|
|
|
2019 |
|
|
|
2020 |
|
|
|
2019 |
|
Interest income: |
|
|
|
|
|
|
|
|
|
Loans
secured by real estate |
$ |
49,058 |
|
$ |
50,117 |
|
|
$ |
50,811 |
|
|
$ |
99,175 |
|
|
$ |
99,988 |
|
Commercial and industrial ("C&I") loans |
|
5,071 |
|
|
4,045 |
|
|
|
4,134 |
|
|
|
9,116 |
|
|
|
7,570 |
|
Other
loans |
|
13 |
|
|
15 |
|
|
|
18 |
|
|
|
28 |
|
|
|
36 |
|
Mortgage-backed securities |
|
3,064 |
|
|
3,305 |
|
|
|
2,961 |
|
|
|
6,369 |
|
|
|
6,158 |
|
Investment securities |
|
582 |
|
|
421 |
|
|
|
570 |
|
|
|
1,003 |
|
|
|
990 |
|
Other
short-term investments |
|
846 |
|
|
1,002 |
|
|
|
1,457 |
|
|
|
1,848 |
|
|
|
2,904 |
|
Total interest income |
|
58,634 |
|
|
58,905 |
|
|
|
59,951 |
|
|
|
117,539 |
|
|
|
117,646 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
Deposits and escrow |
|
9,700 |
|
|
11,926 |
|
|
|
16,271 |
|
|
|
21,626 |
|
|
|
31,288 |
|
Borrowed funds |
|
5,378 |
|
|
6,455 |
|
|
|
7,176 |
|
|
|
11,833 |
|
|
|
14,530 |
|
Total interest expense |
|
15,078 |
|
|
18,381 |
|
|
|
23,447 |
|
|
|
33,459 |
|
|
|
45,818 |
|
Net interest income |
|
43,556 |
|
|
40,524 |
|
|
|
36,504 |
|
|
|
84,080 |
|
|
|
71,828 |
|
Provision for loan losses |
|
6,060 |
|
|
8,012 |
|
|
|
(449 |
) |
|
|
14,072 |
|
|
|
(128 |
) |
Net
interest income after provision for loan losses |
|
37,496 |
|
|
32,512 |
|
|
|
36,953 |
|
|
|
70,008 |
|
|
|
71,956 |
|
|
|
|
|
|
|
|
|
|
|
Non-interest income: |
|
|
|
|
|
|
|
|
|
Service charges and other fees |
|
1,083 |
|
|
1,203 |
|
|
|
1,264 |
|
|
|
2,286 |
|
|
|
2,363 |
|
Mortgage banking income, net |
|
52 |
|
|
66 |
|
|
|
61 |
|
|
|
118 |
|
|
|
129 |
|
Gain
(loss) on equity securities |
|
436 |
|
|
(472 |
) |
|
|
148 |
|
|
|
(36 |
) |
|
|
416 |
|
Gain
(loss) on sale of securities and other assets |
|
3,134 |
|
|
8 |
|
|
|
(57 |
) |
|
|
3,142 |
|
|
|
(133 |
) |
Gain
on sale of loans |
|
206 |
|
|
315 |
|
|
|
339 |
|
|
|
521 |
|
|
|
594 |
|
Income from BOLI |
|
911 |
|
|
1,887 |
|
|
|
707 |
|
|
|
2,798 |
|
|
|
1,401 |
|
Loan
level derivative income |
|
2,494 |
|
|
1,163 |
|
|
|
291 |
|
|
|
3,657 |
|
|
|
291 |
|
Other |
|
70 |
|
|
66 |
|
|
|
67 |
|
|
|
136 |
|
|
|
119 |
|
Total non-interest income |
|
8,386 |
|
|
4,236 |
|
|
|
2,820 |
|
|
|
12,622 |
|
|
|
5,180 |
|
Non-interest expense: |
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
14,719 |
|
|
14,846 |
|
|
|
12,061 |
|
|
|
29,565 |
|
|
|
23,945 |
|
Severance pay |
|
3,930 |
|
|
70 |
|
|
|
- |
|
|
|
4,000 |
|
|
|
- |
|
Stock
benefit plan compensation expense |
|
478 |
|
|
671 |
|
|
|
491 |
|
|
|
1,149 |
|
|
|
775 |
|
Occupancy and equipment |
|
3,959 |
|
|
4,056 |
|
|
|
3,827 |
|
|
|
8,015 |
|
|
|
7,696 |
|
Data
processing costs |
|
2,007 |
|
|
2,024 |
|
|
|
1,908 |
|
|
|
4,031 |
|
|
|
3,974 |
|
Marketing |
|
136 |
|
|
397 |
|
|
|
465 |
|
|
|
533 |
|
|
|
931 |
|
Federal deposit insurance premiums |
|
529 |
|
|
477 |
|
|
|
586 |
|
|
|
1,006 |
|
|
|
1,040 |
|
Merger expenses |
|
1,072 |
|
|
586 |
|
|
|
- |
|
|
|
1,658 |
|
|
|
- |
|
Other |
|
2,516 |
|
|
2,913 |
|
|
|
2,958 |
|
|
|
5,429 |
|
|
|
5,987 |
|
Total non-interest expense |
|
29,346 |
|
|
26,040 |
|
|
|
22,296 |
|
|
|
55,386 |
|
|
|
44,348 |
|
|
|
|
|
|
|
|
|
|
|
Income before taxes |
|
16,536 |
|
|
10,708 |
|
|
|
17,477 |
|
|
|
27,244 |
|
|
|
32,788 |
|
Income tax expense |
|
3,570 |
|
|
2,316 |
|
|
|
4,442 |
|
|
|
5,886 |
|
|
|
8,252 |
|
|
|
|
|
|
|
|
|
|
|
Net
income |
|
12,966 |
|
|
8,392 |
|
|
|
13,035 |
|
|
|
21,358 |
|
|
$ |
24,536 |
|
Preferred
stock dividends |
|
1,140 |
|
|
- |
|
|
|
- |
|
|
|
1,140 |
|
|
|
- |
|
Net
income available to common stockholders |
$ |
11,826 |
|
$ |
8,392 |
|
|
$ |
13,035 |
|
|
$ |
20,218 |
|
|
$ |
24,536 |
|
|
|
|
|
|
|
|
|
|
|
Earnings per Common Share ("EPS"): |
|
|
|
|
|
|
|
|
|
Basic |
$ |
0.36 |
|
$ |
0.24 |
|
|
$ |
0.36 |
|
|
$ |
0.60 |
|
|
$ |
0.68 |
|
Diluted |
$ |
0.35 |
|
$ |
0.24 |
|
|
$ |
0.36 |
|
|
$ |
0.59 |
|
|
$ |
0.68 |
|
|
|
|
|
|
|
|
|
|
|
Average common shares outstanding for Diluted
EPS |
|
33,243,700 |
|
|
34,631,965 |
|
|
|
35,864,389 |
|
|
|
33,994,124 |
|
|
|
35,944,361 |
|
|
|
|
|
|
|
|
|
|
|
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 Six Months Ended |
|
June
30, |
|
March
31, |
|
June
30, |
|
June
30, |
|
June
30, |
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
|
2020 |
|
|
|
2019 |
|
Per
Share Data: |
|
|
|
|
|
|
|
|
|
Reported EPS
(Diluted) |
$ |
0.35 |
|
|
$ |
0.24 |
|
|
$ |
0.36 |
|
|
$ |
0.59 |
|
|
$ |
0.68 |
|
Cash
dividends paid per common share |
|
0.14 |
|
|
|
0.14 |
|
|
|
0.14 |
|
|
|
0.28 |
|
|
|
0.28 |
|
Book value
per common share |
|
17.07 |
|
|
|
16.93 |
|
|
|
16.96 |
|
|
|
17.07 |
|
|
|
16.96 |
|
Tangible
common book value per share (1) |
|
15.39 |
|
|
|
15.29 |
|
|
|
15.41 |
|
|
|
15.39 |
|
|
|
15.41 |
|
Dividend
payout ratio |
|
40.00 |
% |
|
|
58.33 |
% |
|
|
38.89 |
% |
|
|
47.46 |
% |
|
|
41.18 |
% |
|
|
|
|
|
|
|
|
|
|
Performance Ratios (Based upon Reported Net
Income): |
|
|
|
|
|
|
|
|
|
Return on
average assets |
|
0.81 |
% |
|
|
0.54 |
% |
|
|
0.82 |
% |
|
|
0.68 |
% |
|
|
0.77 |
% |
Return on
average equity |
|
7.96 |
|
|
|
5.35 |
|
|
|
8.59 |
|
|
|
6.68 |
|
|
|
8.10 |
|
Return on
average tangible equity (1) |
|
8.71 |
|
|
|
5.87 |
|
|
|
9.45 |
|
|
|
7.32 |
|
|
|
8.92 |
|
Return on
average tangible common equity (1) |
|
9.23 |
|
|
|
6.27 |
|
|
|
9.45 |
|
|
|
7.72 |
|
|
|
8.92 |
|
Net interest
spread |
|
2.61 |
|
|
|
2.46 |
|
|
|
2.08 |
|
|
|
2.53 |
|
|
|
2.05 |
|
Net interest
margin |
|
2.86 |
|
|
|
2.72 |
|
|
|
2.38 |
|
|
|
2.79 |
|
|
|
2.35 |
|
Average
interest-earning assets to average interest-bearing
liabilities |
|
124.97 |
|
|
|
120.93 |
|
|
|
119.47 |
|
|
|
122.94 |
|
|
|
118.80 |
|
Non-interest
expense to average assets |
|
1.84 |
|
|
|
1.68 |
|
|
|
1.40 |
|
|
|
1.76 |
|
|
|
1.39 |
|
Efficiency
ratio |
|
60.67 |
|
|
|
57.58 |
|
|
|
56.83 |
|
|
|
59.18 |
|
|
|
58.25 |
|
Loan-to-deposit ratio at end of period |
|
122.67 |
|
|
|
122.82 |
|
|
|
124.71 |
|
|
|
122.67 |
|
|
|
124.71 |
|
CRE
consolidated concentration ratio (2) |
|
544.90 |
|
|
|
588.64 |
|
|
|
697.30 |
|
|
|
544.90 |
|
|
|
697.30 |
|
Effective
tax rate |
|
21.59 |
|
|
|
21.63 |
|
|
|
25.42 |
|
|
|
21.60 |
|
|
|
25.17 |
|
|
|
|
|
|
|
|
|
|
|
Average Balance Data: |
|
|
|
|
|
|
|
|
|
Average
assets |
$ |
6,389,768 |
|
|
$ |
6,207,949 |
|
|
$ |
6,391,476 |
|
|
$ |
6,298,859 |
|
|
$ |
6,377,787 |
|
Average
interest-earning assets |
|
6,091,545 |
|
|
|
5,949,363 |
|
|
|
6,134,510 |
|
|
|
6,020,454 |
|
|
|
6,122,902 |
|
Average
loans |
|
5,387,839 |
|
|
|
5,286,487 |
|
|
|
5,492,455 |
|
|
|
5,335,663 |
|
|
|
5,468,878 |
|
Average
deposits |
|
4,413,182 |
|
|
|
4,177,592 |
|
|
|
4,378,999 |
|
|
|
4,295,387 |
|
|
|
4,360,022 |
|
Average
equity |
|
651,319 |
|
|
|
627,344 |
|
|
|
607,152 |
|
|
|
639,332 |
|
|
|
605,613 |
|
Average
tangible equity (1) |
|
595,681 |
|
|
|
571,706 |
|
|
|
551,515 |
|
|
|
583,694 |
|
|
|
549,976 |
|
Average
tangible common equity (1) |
|
512,371 |
|
|
|
535,594 |
|
|
|
551,515 |
|
|
|
523,983 |
|
|
|
549,976 |
|
|
|
|
|
|
|
|
|
|
|
Asset Quality Summary: |
|
|
|
|
|
|
|
|
|
Non-performing loans (excluding loans held for sale) |
$ |
15,383 |
|
|
$ |
18,157 |
|
|
$ |
2,538 |
|
|
$ |
15,383 |
|
|
$ |
2,538 |
|
Non-performing assets |
|
15,383 |
|
|
|
18,157 |
|
|
|
2,538 |
|
|
|
15,383 |
|
|
|
2,538 |
|
Loans
delinquent 30 to 89 days at period end |
|
6,278 |
|
|
|
13 |
|
|
|
105 |
|
|
|
6,278 |
|
|
|
105 |
|
Net
(recoveries) charge-offs |
|
31 |
|
|
|
(10 |
) |
|
|
358 |
|
|
|
21 |
|
|
|
520 |
|
Non-performing assets/ Total assets |
|
0.24 |
% |
|
|
0.29 |
% |
|
|
0.04 |
% |
|
|
0.24 |
% |
|
|
0.04 |
% |
Non-performing loans/ Total loans |
|
0.28 |
|
|
|
0.35 |
|
|
|
0.05 |
|
|
|
0.28 |
|
|
|
0.05 |
|
Allowance
for loan loss/ Total loans |
|
0.78 |
|
|
|
0.70 |
|
|
|
0.38 |
|
|
|
0.78 |
|
|
|
0.38 |
|
Allowance
for loan loss/ Non-performing loans |
|
276.23 |
|
|
|
200.82 |
|
|
|
832.70 |
|
|
|
276.23 |
|
|
|
832.70 |
|
|
|
|
|
|
|
|
|
|
|
Capital Ratios - Consolidated: |
|
|
|
|
|
|
|
|
|
Tangible
common equity to tangible assets (1) |
|
7.94 |
% |
|
|
8.23 |
% |
|
|
8.58 |
% |
|
|
7.94 |
% |
|
|
8.58 |
% |
Tangible
equity to tangible assets (1) |
|
9.76 |
|
|
|
9.38 |
|
|
|
8.58 |
|
|
|
9.76 |
|
|
|
8.58 |
|
Tier 1
common equity ratio |
|
10.69 |
|
|
|
10.69 |
|
|
|
10.94 |
|
|
|
10.69 |
|
|
|
10.94 |
|
Tier 1
risk-based capital ratio |
|
13.07 |
|
|
|
12.15 |
|
|
|
10.94 |
|
|
|
13.07 |
|
|
|
10.94 |
|
Total
risk-based capital ratio |
|
16.29 |
|
|
|
15.21 |
|
|
|
13.58 |
|
|
|
16.29 |
|
|
|
13.58 |
|
Tier 1
leverage ratio |
|
10.11 |
|
|
|
9.80 |
|
|
|
8.83 |
|
|
|
10.11 |
|
|
|
8.83 |
|
|
|
|
|
|
|
|
|
|
|
Capital Ratios - Bank Only: |
|
|
|
|
|
|
|
|
|
Tier 1
common equity ratio |
|
12.97 |
% |
|
|
12.72 |
% |
|
|
12.14 |
% |
|
|
12.97 |
% |
|
|
12.14 |
% |
Tier 1
risk-based capital ratio |
|
12.97 |
|
|
|
12.72 |
|
|
|
12.14 |
|
|
|
12.97 |
|
|
|
12.14 |
|
Total
risk-based capital ratio |
|
13.85 |
|
|
|
13.47 |
|
|
|
12.56 |
|
|
|
13.85 |
|
|
|
12.56 |
|
Tier 1
leverage ratio |
|
9.98 |
|
|
|
9.93 |
|
|
|
9.77 |
|
|
|
9.98 |
|
|
|
9.77 |
|
|
|
|
|
|
|
|
|
|
|
(1) See "Non-GAAP
Reconciliation" table for reconciliation of tangible equity,
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 |
|
|
June 30, 2020 |
|
March 31, 2020 |
|
June 30, 2019 |
|
|
|
|
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 |
$ |
4,867,970 |
$ |
49,058 |
|
4.03 |
% |
|
$ |
4,954,391 |
$ |
50,117 |
|
4.05 |
% |
|
$ |
5,201,395 |
$ |
50,811 |
|
3.91 |
% |
|
Commercial and industrial loans |
|
518,999 |
|
5,071 |
|
3.91 |
|
|
|
327,653 |
|
4,045 |
|
4.94 |
|
|
|
289,843 |
|
4,134 |
|
5.71 |
|
|
Other
loans |
|
870 |
|
13 |
|
5.98 |
|
|
|
1,443 |
|
15 |
|
4.16 |
|
|
|
1,217 |
|
18 |
|
5.92 |
|
|
Mortgage-backed securities |
|
468,705 |
|
3,064 |
|
2.61 |
|
|
|
486,722 |
|
3,305 |
|
2.72 |
|
|
|
423,387 |
|
2,961 |
|
2.80 |
|
|
Investment securities |
|
65,155 |
|
582 |
|
3.57 |
|
|
|
47,060 |
|
421 |
|
3.58 |
|
|
|
64,488 |
|
570 |
|
3.54 |
|
|
Other
short-term investments |
|
169,846 |
|
846 |
|
1.99 |
|
|
|
132,094 |
|
1,002 |
|
3.03 |
|
|
|
154,180 |
|
1,457 |
|
3.78 |
|
|
Total
interest-earning assets |
|
6,091,545 |
|
58,634 |
|
3.85 |
% |
|
|
5,949,363 |
|
58,905 |
|
3.96 |
% |
|
|
6,134,510 |
|
59,951 |
|
3.91 |
% |
|
Non-interest-earning assets |
|
298,223 |
|
|
|
|
258,586 |
|
|
|
|
256,966 |
|
|
|
Total
assets |
$ |
6,389,768 |
|
|
|
$ |
6,207,949 |
|
|
|
$ |
6,391,476 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
and Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing checking accounts |
$ |
222,694 |
$ |
212 |
|
0.38 |
% |
|
$ |
159,027 |
$ |
87 |
|
0.22 |
% |
|
$ |
125,041 |
$ |
91 |
|
0.29 |
% |
|
Money
market accounts |
|
1,656,394 |
|
2,495 |
|
0.61 |
|
|
|
1,580,779 |
|
3,586 |
|
0.91 |
|
|
|
1,908,737 |
|
7,397 |
|
1.55 |
|
|
Savings accounts |
|
404,389 |
|
305 |
|
0.30 |
|
|
|
383,769 |
|
367 |
|
0.38 |
|
|
|
327,312 |
|
46 |
|
0.06 |
|
|
Certificates of deposit |
|
1,511,598 |
|
6,688 |
|
1.78 |
|
|
|
1,586,549 |
|
7,886 |
|
2.00 |
|
|
|
1,595,849 |
|
8,737 |
|
2.20 |
|
|
Total
interest-bearing deposits |
|
3,795,075 |
|
9,700 |
|
1.03 |
|
|
|
3,710,124 |
|
11,926 |
|
1.29 |
|
|
|
3,956,939 |
|
16,271 |
|
1.65 |
|
|
FHLBNY advances |
|
962,657 |
|
4,047 |
|
1.69 |
|
|
|
1,085,553 |
|
5,085 |
|
1.88 |
|
|
|
1,050,824 |
|
5,756 |
|
2.20 |
|
|
Subordinated notes payable, net |
|
113,955 |
|
1,330 |
|
4.69 |
|
|
|
113,918 |
|
1,330 |
|
4.70 |
|
|
|
113,808 |
|
1,330 |
|
4.69 |
|
|
Other
borrowings |
|
2,747 |
|
1 |
|
0.15 |
|
|
|
9,890 |
|
40 |
|
1.63 |
|
|
|
13,308 |
|
90 |
|
2.71 |
|
|
Borrowed Funds |
|
1,079,359 |
|
5,378 |
|
2.00 |
|
|
|
1,209,361 |
|
6,455 |
|
2.15 |
|
|
|
1,177,940 |
|
7,176 |
|
2.44 |
|
|
Total
interest-bearing liabilities |
|
4,874,434 |
|
15,078 |
|
1.24 |
% |
|
|
4,919,485 |
|
18,381 |
|
1.50 |
% |
|
|
5,134,879 |
|
23,447 |
|
1.83 |
% |
|
Non-interest-bearing checking accounts |
|
618,107 |
|
|
|
|
467,468 |
|
|
|
|
422,060 |
|
|
|
Other
non-interest-bearing liabilities |
|
245,908 |
|
|
|
|
193,652 |
|
|
|
|
227,385 |
|
|
|
Total
liabilities |
|
5,738,449 |
|
|
|
|
5,580,605 |
|
|
|
|
5,784,324 |
|
|
|
Stockholders' equity |
|
651,319 |
|
|
|
|
627,344 |
|
|
|
|
607,152 |
|
|
|
Total
liabilities and stockholders' equity |
$ |
6,389,768 |
|
|
|
$ |
6,207,949 |
|
|
|
$ |
6,391,476 |
|
|
|
Net interest
income |
|
$ |
43,556 |
|
|
|
|
$ |
40,524 |
|
|
|
|
$ |
36,504 |
|
|
|
Net interest
spread |
|
|
2.61 |
% |
|
|
|
2.46 |
% |
|
|
|
2.08 |
% |
|
Net
interest-earning assets |
$ |
1,217,111 |
|
|
|
$ |
1,029,878 |
|
|
|
$ |
999,631 |
|
|
|
Net interest
margin |
|
|
2.86 |
% |
|
|
|
2.72 |
% |
|
|
|
2.38 |
% |
|
Ratio of
interest-earning assets to interest-bearing liabilities |
|
|
124.97 |
% |
|
|
|
|
120.93 |
% |
|
|
|
|
119.47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
(including non-interest-bearing checking accounts) |
$ |
4,413,182 |
$ |
9,700 |
|
0.88 |
% |
|
$ |
4,177,592 |
$ |
11,926 |
|
1.15 |
% |
|
$ |
4,378,999 |
$ |
16,271 |
|
1.49 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIME
COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES |
|
UNAUDITED
SCHEDULE OF LOAN COMPOSITION AND WEIGHTED AVERAGE RATES
("WAR") (1) |
|
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At June 30, 2020 |
|
At March 31, 2020 |
|
At June 30, 2019 |
|
|
Balance |
WAR |
|
Balance |
WAR |
|
Balance |
WAR |
|
Loan
balances at period end: |
|
|
|
|
|
|
|
|
|
One-to-four family residential, including condominium and
cooperative apartment |
$ |
182,264 |
3.98 |
% |
|
$ |
176,755 |
3.89 |
% |
|
$ |
120,523 |
4.60 |
% |
|
Multifamily
residential and residential mixed-use (2)(3) |
|
2,988,509 |
3.77 |
|
|
|
3,160,248 |
3.78 |
|
|
|
3,736,500 |
3.69 |
|
|
Commercial real estate and commercial mixed-use |
|
1,504,020 |
4.06 |
|
|
|
1,403,985 |
4.28 |
|
|
|
1,279,188 |
4.26 |
|
|
Acquisition, development, and construction ("ADC") |
|
136,606 |
5.08 |
|
|
|
133,514 |
5.11 |
|
|
|
77,479 |
6.57 |
|
|
Total
real estate loans |
|
4,811,399 |
3.91 |
|
|
|
4,874,502 |
3.96 |
|
|
|
5,213,690 |
3.88 |
|
|
Commercial and industrial ("C&I") |
|
321,009 |
4.39 |
|
|
|
331,816 |
4.49 |
|
|
|
316,061 |
5.78 |
|
|
Small
Business Administration ("SBA") Paycheck Protection Program ("PPP")
loans |
|
310,509 |
1.00 |
|
|
|
- |
- |
|
|
|
- |
- |
|
|
Total |
$ |
5,442,917 |
3.77 |
% |
|
$ |
5,206,318 |
4.00 |
% |
|
$ |
5,529,751 |
3.99 |
% |
|
|
|
|
|
|
|
|
|
|
|
(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 June
30, |
|
At March
31, |
|
At June
30, |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
Non-Performing Loans |
|
|
|
|
|
|
One-to-four family residential, including condominium and
cooperative apartment |
$ |
819 |
|
|
$ |
6,685 |
|
|
$ |
832 |
|
|
Multifamily residential and residential mixed-use (1)(2) |
|
1,377 |
|
|
|
1,332 |
|
|
|
428 |
|
|
Commercial real estate and commercial mixed-use real estate
(2) |
|
3,003 |
|
|
|
56 |
|
|
|
1,274 |
|
|
C&I |
|
10,176 |
|
|
|
10,082 |
|
|
|
- |
|
|
Other |
|
8 |
|
|
|
2 |
|
|
|
4 |
|
|
Total
Non-Performing Loans (3) |
$ |
15,383 |
|
|
$ |
18,157 |
|
|
$ |
2,538 |
|
|
Total Non-Performing Assets |
$ |
15,383 |
|
|
$ |
18,157 |
|
|
$ |
2,538 |
|
|
|
|
|
|
|
|
|
Performing
TDR Loans |
|
|
|
|
|
|
One-to-four family and cooperative/condominium apartment |
$ |
- |
|
|
$ |
- |
|
|
$ |
11 |
|
|
Multifamily
residential and mixed-use residential real estate (1)(2) |
|
- |
|
|
|
- |
|
|
|
252 |
|
|
Commercial real estate and commercial mixed-use real estate
(2) |
|
- |
|
|
|
- |
|
|
|
4,037 |
|
|
Total Performing TDRs |
$ |
- |
|
|
$ |
- |
|
|
$ |
4,300 |
|
|
|
|
|
|
|
|
|
(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 EQUITY AND
RESERVES |
|
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
At June
30, |
|
At March
31, |
|
At June
30, |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
Total
Non-Performing Assets |
$ |
15,383 |
|
|
$ |
18,157 |
|
|
$ |
2,538 |
|
|
Loans 90
days or more past due on accrual status (4) |
|
3,691 |
|
|
|
1,033 |
|
|
|
1,531 |
|
|
TOTAL
PROBLEM ASSETS |
$ |
19,074 |
|
|
$ |
19,190 |
|
|
$ |
4,069 |
|
|
|
|
|
|
|
|
|
Tangible
equity (5) |
$ |
625,905 |
|
|
$ |
590,010 |
|
|
$ |
553,063 |
|
|
Allowance
for loan losses and reserves for contingent liabilities |
|
42,517 |
|
|
|
36,488 |
|
|
|
21,159 |
|
|
TANGIBLE EQUITY PLUS RESERVES |
$ |
668,422 |
|
|
$ |
626,498 |
|
|
$ |
574,222 |
|
|
|
|
|
|
|
|
|
PROBLEM ASSETS AS A PERCENTAGE OF TANGIBLE EQUITY AND RESERVES |
|
2.9 |
% |
|
|
3.1 |
% |
|
|
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 Six Months Ended |
|
|
June
30, |
|
March
31, |
|
June
30, |
|
June
30, |
|
June
30, |
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
|
2020 |
|
|
|
2019 |
|
|
Reconciliation of Reported and Adjusted ("non-GAAP") Net
Income: |
|
|
|
|
|
|
|
|
|
|
Reported net
income |
$ |
12,966 |
|
|
$ |
8,392 |
|
|
$ |
13,035 |
|
|
$ |
21,358 |
|
|
$ |
24,536 |
|
|
Adjustments
to net income, net of tax (1): |
|
|
|
|
|
|
|
|
|
|
Add: Merger
expenses |
|
733 |
|
|
|
400 |
|
|
|
- |
|
|
|
1,133 |
|
|
|
- |
|
|
Add:
Severance |
|
2,686 |
|
|
|
48 |
|
|
|
- |
|
|
|
2,734 |
|
|
|
- |
|
|
Less: Loss
(Gain) on sale of securities |
|
(2,142 |
) |
|
|
(5 |
) |
|
|
39 |
|
|
|
(2,147 |
) |
|
|
91 |
|
|
Adjusted
("non-GAAP") net income |
$ |
14,243 |
|
|
$ |
8,835 |
|
|
$ |
13,074 |
|
|
$ |
23,078 |
|
|
$ |
24,627 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Ratios (Based upon "non-GAAP Net Income" as
calculated above): |
|
|
|
|
|
|
|
|
|
|
Adjusted EPS
(Diluted) |
$ |
0.39 |
|
|
$ |
0.26 |
|
|
$ |
0.36 |
|
|
$ |
0.64 |
|
|
$ |
0.68 |
|
|
Adjusted
return on average assets |
|
0.89 |
% |
|
|
0.57 |
% |
|
|
0.82 |
% |
|
|
0.73 |
% |
|
|
0.77 |
% |
|
Adjusted
return on average equity |
|
8.75 |
|
|
|
5.63 |
|
|
|
8.61 |
|
|
|
7.22 |
|
|
|
8.13 |
|
|
Adjusted
return on average tangible equity |
|
9.56 |
|
|
|
6.18 |
|
|
|
9.48 |
|
|
|
7.91 |
|
|
|
8.96 |
|
|
Adjusted
return on average tangible common equity |
|
10.23 |
|
|
|
6.60 |
|
|
|
9.48 |
|
|
|
8.37 |
|
|
|
8.96 |
|
|
Adjusted
non-interest expense to average assets |
|
1.52 |
|
|
|
1.64 |
|
|
|
1.40 |
|
|
|
1.58 |
|
|
|
1.39 |
|
|
Adjusted
efficiency ratio |
|
50.33 |
|
|
|
56.13 |
|
|
|
56.83 |
|
|
|
53.13 |
|
|
|
57.80 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June
30, |
|
March
31, |
|
June
30, |
|
|
|
|
|
|
|
2020 |
|
|
|
2020 |
|
|
|
2019 |
|
|
|
|
|
|
Reconciliation of Tangible Assets: |
|
|
|
|
|
|
|
|
|
|
Total
assets |
$ |
6,467,521 |
|
|
$ |
6,347,825 |
|
|
$ |
6,498,362 |
|
|
|
|
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
55,638 |
|
|
|
55,638 |
|
|
|
55,638 |
|
|
|
|
|
|
Tangible
assets |
$ |
6,411,883 |
|
|
$ |
6,292,187 |
|
|
$ |
6,442,724 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Tangible Common Equity -
Consolidated: |
|
|
|
|
|
|
|
|
|
|
Total
stockholders' equity |
$ |
681,543 |
|
|
$ |
645,648 |
|
|
$ |
608,701 |
|
|
|
|
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
55,638 |
|
|
|
55,638 |
|
|
|
55,638 |
|
|
|
|
|
|
Tangible equity |
|
625,905 |
|
|
|
590,010 |
|
|
|
553,063 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: |
|
|
|
|
|
|
|
|
|
|
Preferred Stock, net |
|
116,569 |
|
|
|
72,224 |
|
|
|
- |
|
|
|
|
|
|
Tangible common equity |
$ |
509,336 |
|
|
$ |
517,786 |
|
|
$ |
553,063 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(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)
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From Mar 2024 to Apr 2024
Dime Community Bancshares (NASDAQ:DCOM)
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From Apr 2023 to Apr 2024