PHILADELPHIA, May 8 /PRNewswire-FirstCall/ -- Republic First
Bancorp, Inc. (NASDAQ:FRBK), (the "Company") the holding company
for Republic First Bank (PA), today reported a first quarter 2009
net loss of $3.8 million or $.35 per share, compared to a net loss
of $2.8 million or $.27 per diluted share in first quarter 2008.
Chief Executive Officer's Statement In commenting on the Company's
financial results, Harry D. Madonna, Chief Executive Officer, noted
that Republic First Bank is continuing to transition itself to
become "America's Next Great Bank": -- The shareholders of both
Republic First Bancorp and Pennsylvania Commerce Bancorp have
approved the merger of the companies subject to regulatory
approval. -- Pennsylvania Commerce Bancorp will become Metro
Bancorp (METR) on June 12, 2009 and Republic First Bancorp is well
along in preparing for the rebranding to Metro Bank. -- Management
has been enhanced with the addition of: Andrew Logue, EVP
Operations Rhonda Costello, EVP Retail Jay Neilon, Chief Credit
Officer Janet Roig, SVP Cash Management Steve McWilliams, SVP
Commercial Lending All of whom were formerly with Commerce Bancorp.
-- New branch location development is underway in New Jersey and
Pennsylvania, with the first new locations in Cherry Hill,
Haddonfield and Washington Township, NJ. -- Core deposits for the
last twelve (12) months grew 18%. -- Reflecting the general credit
conditions, the Company added $4.8 million to its allowance for
loan losses and recorded $1.3 million in OREO writedowns. -- Net
loss for the first quarter was $3.8 million, reflecting additional
credit reserves. -- The Company remains well capitalized with tier
1 capital of 12.35% at March 31, 2009. Income Statement
---------------- (dollars in thousands, except per share data)
Three months ended ------------------ % % 3/31/09 12/31/08 Change
3/31/08 Change ------- -------- ------- ------- ------- Total
revenues* $7,510 $6,120 23% $7,887 -5% Total operating expenses
$8,485 $5,370 58% $6,448 32% Net income (loss) $(3,760) $(416) 804%
$(2,778) 35% Earnings (loss) per share $(0.35) $(0.04) 775% $(0.27)
30% * Net interest income plus noninterest income Total revenues of
$7.5 million for the first quarter represented a 23% increase over
the linked quarter. The increase resulted primarily from the
non-recurrence of an impairment charge of $1.4 million on a bank
pooled trust preferred security in the linked quarter. The lower
revenues in 2009 compared to the first quarter of 2008, reflected
lower loan balances which contributed to a lower net interest
margin. Operating expenses increased 58% to $8.5 million compared
to the linked quarter primarily due to increased personnel costs
and costs of carrying real estate owned. Operating expenses were
higher in the first quarter of 2009 by 32% compared to the first
quarter of the prior year. Republic First Bancorp, Inc. Balance
Sheet Highlights ------------------------ (dollars in thousands) %
% 3/31/09 12/31/08 Change 3/31/08 Change ------- ------- -----
------- ----- Total assets $911,380 $951,980 -4% $999,163 -9% Total
loans (net) 741,822 774,673 -4% 787,345 -6% Total deposits 779,128
739,167 5% 749,532 4% Total core deposits* 379,398 345,501 10%
322,433 18% * Core deposits exclude all certificates of deposit.
Lending Gross loans at March 31, amounted to $750.3 million, a
decrease of $32.8 million or 4.2% compared to December 31, 2008,
reflecting management's decision to reduce the number of real
estate construction and development loans. The following table sets
forth the composition of the Company's loan portfolio at the dates
indicated. ($ in thousands) % of % of $ % of 3/31/09 Total 12/31/08
Total Incr/(Decr) 3/31/08 Total ------- ----- -------- -----
------- ------- ----- Commercial: Real estate secured $440,268 59%
$455,776 58% $(15,508) $462,058 58% Construction & land
development 207,921 28% 216,060 28% (8,139) 226,317 28% C & I
77,868 10% 81,734 10% (3,866) 81,827 10% ------ -- ------ -- ------
------ -- Total commercial 726,057 97% 753,570 96% (27,513) 770,202
96% Residential real estate 4,918 1% 5,347 1% (429) 5,915 1%
Consumer & other 19,281 2% 24,165 3% (4,884) 21,384 3% ------ -
------ - ------ ------ - Gross loans $750,256 100% $783,082 100%
$(32,826) $797,501 100% ======== === ======== === ======== ========
=== Asset Quality The Company's asset quality ratios are
highlighted below: Quarter Ended 3/31/09 12/31/08 3/31/08 -------
-------- ------- Nonperforming assets/total assets 3.10% 2.72%
1.95% Net loan charge-offs/average total loans 2.51% 0.00% 2.05%
Loan loss reserve/gross loans 1.12% 1.07% 1.27% Nonperforming loan
coverage 46% 49% 331% Nonperforming assets/capital and reserves 33%
30% 22% Non-performing assets at March 31, 2009 increased to $28.3
million, or 3.10% of total assets, an increase from $25.9 million
or 2.72% of total assets at December 31, 2008 and an increase from
$19.4 million or 1.95% of total assets a year earlier. The increase
in non-performing assets in the first quarter was due to one
property which subsequently became current at April 30, 2009. Core
Deposits Core deposits by type of account are as follows: ($ in
thousands) 1st Qtr 2009 % % Cost of 3/31/09 12/31/08 Change 3/31/08
Change Funds ------- ------- --- ------- --- ----- Demand non-
interest-bearing $87,849 $70,814 24% $80,440 9% 0.00% Demand
interest- bearing 38,448 43,044 -11% 32,845 17% 0.63% Money market
and savings 253,101 231,643 9% 209,148 21% 1.97% ------- ------- --
------- --- ----- Total core deposits $379,398 $345,501 10%
$322,433 18% 1.37% ======== ======== === ======== === ===== Core
deposits, which exclude all certificates of deposit, increased to
$379 million at March 31, 2009, an increase of $33.9 million or 10%
from December 31, 2008 and an increase of $57.0 million or 18% from
March 31, 2008. Capital The Company's capital ratios at March 31,
2009 were: Leverage Ratio 10.88% 5.00% Tier I 12.35% 6.00% Total
Capital 13.39% 10.00% Tangible Common Equity (TCE) 8.39% Three
months ended ---------------------------- 3/31/09 12/31/08 3/31/08
------- -------- ------- Return on equity -19.41% -2.09% -13.90%
Total shareholders' was $76.5 million at March 31, 2009 which
represented a book value per share of $7.19, based on common shares
of approximately 10.6 million. 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 twelve
offices located in Abington, Ardmore, Bala Cynwyd, Plymouth
Meeting, Media and Philadelphia, Pennsylvania and Voorhees, New
Jersey. The Company may from time to time make written or oral
"forward-looking statements", including statements contained in
this release and 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. Selected Consolidated
Financial Data (Unaudited) At or for the Three months ended
------------------ (in thousands, except per % % share amounts)
3/31/09 12/31/08 Change 3/31/08 Change ------- -------- ------
------- ------ Income Statement Data: Net interest income $6,858
$7,051 -3% $7,222 -5% Provision for loan losses 4,800 1,601 200%
5,812 -17% Noninterest income (loss) 652 (931) -170% 665 -2% Total
revenues 7,510 6,120 23% 7,887 -5% Noninterest operating expenses
8,485 5,370 58% 6,448 32% Provision (benefit) for income taxes
(2,015) (435) 363% (1,595) 26% Net income (loss) (3,760) (416) 804%
(2,778) 35% Per Common Share Data: Net income (loss): Basic $(0.35)
$(0.04) 775% $(0.27) 30% Net income (loss): Diluted (0.35) (0.04)
775% (0.27) 30% Book Value $7.19 $7.46 $7.48 Weighted average
shares outstanding: Basic 10,631 10,623 10,363 Diluted 10,631
10,623 10,363 Balance Sheet Data: Total assets $911,380 $951,980
-4% Loans (net) 741,822 774,673 -4% Allowance for loan losses 8,434
8,409 0% Investment securities - AFS 79,410 83,032 -4% Investment
securities - HTM 198 198 0% Restricted stock 6,836 6,836 0% Federal
funds sold 6,883 21,159 -67% Total deposits 779,128 739,167 5% Core
deposits* 379,398 345,501 10% FHLB and overnight advances 25,000
102,309 -76% Trust preferred 22,476 22,476 0% Stockholders' equity
76,487 79,327 -4% Capital: Stockholders' equity to total assets
8.39% 8.33% Leverage ratio 10.88% 11.14% Risk based capital ratios:
Tier 1 12.35% 12.26% Total Capital 13.39% 13.26% Performance
Ratios: Cost of funds 2.09% 2.51% 3.51% Deposit cost of funds 2.01%
2.50% 3.51% Net interest margin 3.24% 3.25% 3.19% Return on average
assets -1.66% -0.18% -1.16% Return on average total stockholders'
equity -19.41% -2.09% -13.90% Asset Quality Net charge-offs to
average loans outstanding 2.51% 0.00% Nonperforming assets to total
period-end assets 3.10% 2.72% Allowance for loan losses to total
period-end loans 1.12% 1.07% Allowance for loan losses to
nonperforming loans 46% 49% Nonperforming assets to capital and
reserves 33% 30% * Core deposits exclude certificates of deposit
Republic First Bancorp, Inc. Average Balances and Net Interest
Income (unaudited) For the three months For the three months ended
ended March 31, 2009 December 31, 2008 --------------
----------------- Interest-earning assets: Interest Interest
(Dollars in thousands) Average Income/ Yield/ Average Income/
Yield/ Balance Expense Rate Balance Expense Rate ------- -------
---- ------- ------- ---- Federal funds sold and other interest-
earning assets $3,726 $3 0.33% $7,863 $19 0.96% Securities 90,966
1,190 5.23% 94,903 1,321 5.57% Loans receivable 770,562 9,990 5.26%
767,597 11,025 5.71% ------- ----- ---- ------- ------ ---- Total
interest- earning assets 865,254 11,183 5.24% 870,363 12,365 5.65%
Other assets 51,229 49,664 ------ ------ Total assets $916,483
$920,027 ======== ======== Interest-bearing liabilities: Demand-non
interest bearing $77,527 $77,221 Demand interest- bearing 42,087
$65 0.63% 31,644 $44 0.55% Money market & savings 226,663 1,101
1.97% 230,668 1,487 2.56% Time deposits 394,742 2,501 2.57% 384,352
3,019 3.12% ------- ----- ---- ------- ----- ---- Total deposits
741,019 3,667 2.01% 723,885 4,550 2.50% Total interest-bearing
deposits 663,492 3,667 2.24% 646,664 4,550 2.80% ------- ----- ----
------- ----- ---- Other borrowings 87,726 603 2.79% 109,608 714
2.59% ------ --- ---- ------- --- ---- Total interest-bearing
liabilities $751,218 $4,270 2.31% $756,272 $5,264 2.77% ========
====== ==== ======== ====== ==== Total deposits and other
borrowings 828,745 4,270 2.09% 833,493 5,264 2.51% ------- -----
---- ------- ----- ---- Non interest-bearing liabilities 9,184
7,034 Shareholders' equity 78,554 79,500 ------ ------ Total
liabilities and shareholders' equity $916,483 $920,027 ========
======== Net interest income $6,913 $7,101 ====== ====== Net
interest spread 2.93% 2.88% ==== ==== Net interest margin 3.24%
3.25% ==== ==== For the three months ended March 31, 2008
-------------- Interest-earning assets: Interest (Dollars in
thousands) Average Income/ Yield/ Balance Expense Rate -------
------- ---- Federal funds sold and other interest- earning assets
$12,271 $96 3.15% Securities 87,545 1,313 6.00% Loans receivable
817,702 13,453 6.62% ------- ------ ---- Total interest- earning
assets 917,518 14,862 6.51% Other assets 42,977 ------ Total assets
$960,495 ======== Interest-bearing liabilities: Demand-non interest
bearing $83,393 Demand interest- bearing 41,993 $146 1.40% Money
market & savings 207,571 1,667 3.23% Time deposits 384,040
4,440 4.65% ------- ----- ---- Total deposits 716,997 6,253 3.51%
Total interest-bearing deposits 633,604 6,253 3.97% ------- -----
---- Other borrowings 151,552 1,326 3.52% ------- ----- ---- Total
interest-bearing liabilities $785,156 $7,579 3.88% ======== ======
==== Total deposits and other borrowings 868,549 7,579 3.51%
------- ----- ---- Non interest-bearing liabilities 11,558
Shareholders' equity 80,388 ------ Total liabilities and
shareholders' equity $960,495 ======== Net interest income $7,283
====== Net interest spread 2.63% ==== Net interest margin 3.19%
==== The above tables are presented on a tax equivalent basis.
Republic First Bancorp, Inc. Summary of Allowance for Loan Losses
and Other Related Data (unaudited) Three months ended
------------------ (dollar amounts in thousands) 3/31/09 12/31/08
3/31/08 ------- -------- ------- Balance at beginning of period
$8,409 $6,807 $8,508 Provisions charged to operating expense 4,800
1,601 5,812 ----- ----- ----- 13,209 8,408 14,320 Recoveries on
loans charged-off: Commercial - - 117 Tax refund loans - - 69
Consumer - 1 2 --- --- --- Total recoveries - 1 188 Loans
charged-off: Commercial (4,772) - (4,344) Tax refund loans - - -
Consumer (3) - (8) -- --- -- Total charged-off (4,775) - (4,352)
------ --- ------ Net charge-offs (4,775) 1 (4,164) ------ ---
------ Balance at end of period $8,434 $8,409 $10,156 ====== ======
======= Net charge-offs as a percentage of average loans
outstanding 2.51% 0.00% 2.05% Allowance for loan losses as a
percentage of period-end loans 1.12% 1.07% 1.27% Republic First
Bancorp, Inc. Summary of Non-Performing Loans and Assets
(unaudited) March 31, December 31, September 30, June 30, March 31,
2009 2008 2008 2008 2008 ---- ---- ---- ---- ---- Nonaccrual loans:
Commercial real estate $14,882 $16,424 $6,369 $2,366 $2,427
Consumer and other 607 909 918 780 640 --- --- --- --- --- Total
nonaccrual loans 15,489 17,333 7,287 3,146 3,067 Loans past due 90
days or more and still accruing 2,759 - - - - Renegotiated loans -
- - - - --- --- --- --- --- Total nonperforming loans 18,248 17,333
7,287 3,146 3,067 Other real estate owned 10,016 8,580 8,580 14,245
16,378 ------ ----- ----- ------ ------ Total nonperforming assets
$28,264 $25,913 $15,867 $17,391 $19,445 ======= ======= =======
======= ======= Nonperforming loans to total loans 2.43% 2.21%
0.95% 0.40% 0.38% Nonperforming assets to total assets 3.10% 2.72%
1.64% 1.84% 1.95% Nonperforming loan coverage 46% 49% 93% 215% 331%
Allowance for loan losses as a percentage of total period-end loans
1.12% 1.07% 0.88% 0.85% 1.27% Nonperforming assets/ capital plus
allowance for loan losses 33% 30% 18% 20% 22% DATASOURCE: Republic
First Bank CONTACT: Harry D. Madonna, CEO of Republic First
Bancorp, Inc., +1-215-735-9938
Copyright
Republic First Bancorp (NASDAQ:FRBK)
Historical Stock Chart
From May 2024 to Jun 2024
Republic First Bancorp (NASDAQ:FRBK)
Historical Stock Chart
From Jun 2023 to Jun 2024