FRBK Republic First Bancorp Inc

Republic First Bancorp, Inc. Reports 263% Increase in First Quarter Earnings PHILADELPHIA, April 20 /PRNewswire-FirstCall/ -- Republic First Bancorp, Inc. (NASDAQ:FRBK), the holding company for Republic First Bank (PA), today reported first quarter 2005 earnings from continuing operations of $2.1 million or $0.28 per diluted share. That compares with $585,000 or $0.08 for the comparable prior year period. The improvement in 2005 earnings reflected commercial loan and core deposit growth, increases in non-interest income and the payoff of the high cost Federal Home Loan Bank borrowings. Average commercial and construction loans grew in excess of 21% in first quarter 2005 compared to the comparable prior year period. Total shareholders' equity stood at $55.8 million with a book value per share of $7.72 at March 31, 2005. The Company remains well capitalized. Chairman Madonna stated: "Management and the Board are very pleased with the improvement in earnings and we believe the Bank is well situated to continue to increase profitability." Republic First Bank (PA) is a full-service, state-chartered commercial bank, whose deposits are insured by the Federal Deposit Insurance Corporation (FDIC). The Bank provides diversified financial products through its eleven offices located in Abington, Ardmore, Bala Cynwyd, East Norriton, Media, and Philadelphia, Pennsylvania. The Company may from time to time make written or oral "forward-looking statements," including statements contained in the Company's filings with the Securities and Exchange Commission. These forward-looking statements include statements with respect to the Company's beliefs, plans, objectives, goals, expectations, anticipations, estimates, and intentions that are subject to significant risks and uncertainties and are subject to change based on various factors, many of which are beyond the Company's control. The words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," and similar expressions are intended to identify forward- looking statements. All such statements are made in good faith by the Company pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. The Company does not undertake to update any forward- looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company. Republic First Bancorp, Inc. Condensed Income Statement (Dollar amounts in thousands except per share data) (Unaudited) Three Months Ended March 31, 2005 2004 (1) Net Interest Income $7,198 $4,546 Provision for Loan Losses 703 699 Other Income 1,143 593 Other Expenses 4,471 3,602 Income Taxes 1,045 253 Income From Continuing Operations 2,122 585 Income From Discontinued Operations, Net of Tax - 928 Net Income $2,122 $1,513 Diluted EPS From Continuing Operations $0.28 $0.08 Diluted EPS From Discontinued Operations, Net of Tax - 0.12 Diluted EPS $0.28 $0.20 Republic First Bancorp, Inc. Condensed Balance Sheet (Dollar amounts in thousands) Assets March 31, March 31, 2005 2004 (2) Federal Funds Sold and Other Interest-Bearing Cash $68,697 $69,276 Investment Securities 46,593 66,713 Commercial and Other Loans 563,563 476,307 Allowance for Loan Losses (6,713) (7,336) Other Assets 54,330 48,400 Total Assets $726,470 $653,360 Liabilities and Shareholders' Equity: Transaction Accounts $396,966 $259,797 Time Deposit Accounts 225,777 189,708 FHLB Advances and Trust Preferred Securities 39,241 148,686 Other Liabilities 8,647 6,242 Shareholders' Equity 55,839 48,927 Total Liabilities and Shareholders' Equity $726,470 $653,360 (1) Prior year EPS has been restated for the 10% stock dividend paid August 24, 2004. (2) Prior year has been adjusted to exclude the First Bank of Delaware balance sheet, reflecting the spin-off of that bank effective January 1, 2005. Republic First Bancorp, Inc. March 31, 2005 (Unaudited) At or For the Three Months Ended March 31, March 31, Financial Data: 2005 2004 (1) Return on average assets on continuing operations 1.15% 0.36% Return on average equity on continuing operations 15.48% 4.90% Share information: Book value per share $7.72 $6.81 Shares o/s at period end, net of Treasury shares 7,235,000 7,187,000 Average diluted shares o/s 7,700,000 7,521,000 (1) Prior year amounts have been adjusted for the spin-off of First Bank of Delaware effective January 1, 2005. Republic First Bancorp, Inc. (Dollars in thousands except per share data) (Unaudited) Credit Quality Ratios: March 31, March 31, 2005 2004 (1) Non-accrual and loans accruing, but past due 90 days or more $3,212 $7,821 Restructured loans - - Total non-performing loans 3,212 7,821 OREO 137 207 Total non-performing assets $3,349 $8,028 Non-performing loans as a percentage of total loans 0.57% 1.64% Non-performing assets as a percentage of total assets 0.46% 1.23% Allowance for loan losses to total loans 1.19% 1.54% Allowance for loan losses to total non-performing loans 209.00% 93.80% (1) Prior year has been adjusted to exclude the First Bank of Delaware loans, reflecting the spin-off of that bank effective January 1, 2005. Republic First Bancorp, Inc. (Dollars in thousands) (Unaudited) Quarter-to-Date Average Balance Sheet Three months ended Three months ended March 31, 2005 March 31, 2004 (1) Interest-Earning Average Average Assets: Average Yield/ Average Yield/ Balance Interest Cost Balance Interest Cost Commercial and other loans $567,247 $9,912 7.09% $469,872 $7,693 6.64% Investment securities 48,779 444 3.64 68,012 575 3.43 Federal funds sold 77,425 476 2.50 81,272 215 1.07 Total interest- earning assets 693,451 10,832 6.33 619,156 8,483 5.56 Other assets 43,694 37,389 Total assets $737,145 $10,832 $656,545 $8,483 Interest-bearing liabilities: Interest-bearing deposits $512,341 $2,996 2.37% $371,702 $1,846 2.01% Borrowed funds 68,336 638 3.79 154,355 2,091 5.50 Interest-bearing liabilities 580,677 3,634 2.54 526,057 3,937 3.04 Non-interest and interest-bearing funding 674,235 3,634 2.19 601,754 3,937 2.66 Other liabilities: 8,077 6,992 Total liabilities 682,312 608,746 Shareholder's equity 54,833 47,799 Total liabilities & shareholder's equity $737,145 $656,545 Net interest income $7,198 $4,546 Net interest margin 4.20% 2.97% (1) Prior year has been adjusted to exclude the First Bank of Delaware, reflecting the spin-off of that bank effective January 1, 2005 DATASOURCE: Republic First Bancorp, Inc. CONTACT: Paul Frenkiel, CFO, Republic First Bancorp, Inc., +1-215-735-4422 ext. 5255

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