FREDERICK, Md., April 15, 2015 /PRNewswire/ -- Frederick County
Bancorp, Inc. (the "Company") (OTCQB Marketplace: FCBI), the parent
company for Frederick County Bank ("FCB"), announced today that for
the quarter ended March 31, 2015 the
Company recorded net income of $480
thousand and diluted earnings per share of $0.31, as compared to net income of $525 thousand and diluted earnings per share of
$0.34 recorded for the same quarter
of 2014.
The decrease in earnings was due primarily to an increase in
total noninterest expense to $2.6
million at March 31, 2015 from
$2.3 million for the same period of
2014, offsetting an increase in total noninterest income of
$306 thousand for the same
periods. In 2015, there were gain on sale of loans in the
amount of $238 thousand and
securities gains for $69 thousand,
where there were no gains recognized in 2014.
Net loan charge-offs for the quarters ended March 31, 2015 and 2014 totaled $170 thousand and $40
thousand, respectively. There were $172 thousand and $42
thousand in charge-offs in 2015 compared to 2014, which were
offset by recoveries of $2 thousand
and $2 thousand for the periods ended
March 31, 2015 and 2014,
respectively.
The ratio of the allowance for loan losses to total loans stood
at 1.20%, 1.34% and 1.28% as of March 31,
2015 and 2014 and December 31,
2014, respectively. Nonperforming assets stood at
$5.3 million, $5.4 million and $5.6
million as of March 31, 2015
and 2014 and December 31, 2014,
respectively. The corresponding nonperforming assets to total
assets ratios were 1.52%, 1.61% and 1.63% as of March 31, 2015 and 2014 and December 31, 2014, respectively.
The Company also reported that, as of March 31, 2015, assets stood at $351.5 million, with total deposits of
$292.7 million and gross loans of
$265.9 million, representing
increases of 5.2%, 3.7%, and 6.4%, respectively, compared to
March 31, 2014. Total
shareholders' equity at March 31,
2015 was $28.3 million, an
increase of $429 thousand from
December 31, 2014. The increase
primarily resulted from net income of $480
thousand, the decline in the unrealized loss on available
for sale securities in the amount of $44
thousand and proceeds from the exercise of options in the
amount of $2 thousand, offset by
dividends declared in the aggregate amount of $103 thousand. On a per share basis, book
value per share increased by 29 cents
for 2015 to $19.21 per share at
March 31, 2015 from $18.92 per share at December 31, 2014. The dividends declared
per share remained constant at $0.07
per share for the periods ended March 31,
2015 and 2014.
Frederick County Bank is headquartered in Frederick, Maryland, and conducts full service
commercial banking services through five bank centers located in
Frederick County,
Maryland.
|
March 31,
|
March 31,
|
|
December
31,
|
|
|
|
2015
|
2014
|
|
2014
|
|
|
(dollars in
thousands)
|
(unaudited)
|
(unaudited)
|
|
(audited)
|
|
|
Total
assets
|
$351,487
|
$333,984
|
|
$ 343,116
|
|
|
Loans
|
265,918
|
252,819
|
|
262,525
|
|
|
Deposits
|
292,691
|
282,310
|
|
284,985
|
|
|
Shareholders'
equity
|
28,343
|
26,677
|
|
27,914
|
|
|
|
|
|
|
|
|
|
Nonperforming
assets:
|
|
|
|
|
|
|
Nonaccrual
loans
|
$2,767
|
$3,204
|
|
3,684
|
|
|
Accruing troubled
debt restructurings
|
1,136
|
1,214
|
|
1,179
|
|
|
Loans 90 days or more
past due and still accruing
|
--
|
--
|
|
--
|
|
|
Foreclosed
properties
|
1,435
|
972
|
|
729
|
|
|
Total nonperforming
assets
|
$5,338
|
$5,390
|
|
$5,592
|
|
|
|
|
|
|
|
|
|
|
For the Three
Months Ended
|
|
|
|
|
March
31,
|
March
31,
|
|
|
|
|
|
2015
|
2014
|
|
|
|
|
(dollars in
thousands, except for per share data)
|
(unaudited)
|
(unaudited)
|
|
|
|
|
SUMMARY OF OPERATING
RESULTS:
|
|
|
|
|
|
|
Net income
|
$480
|
$525
|
|
|
|
|
Total comprehensive
income
|
524
|
742
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs
|
$172
|
$42
|
|
|
|
|
(Recoveries)
|
(2)
|
(2)
|
|
|
|
|
Net
charge-offs
|
$170
|
$40
|
|
|
|
|
|
|
|
|
|
|
|
PER COMMON SHARE
DATA:
|
|
|
|
|
|
|
Basic earnings per
share
|
$0.33
|
$0.36
|
|
|
|
|
Diluted earnings per
share
|
$0.31
|
$0.34
|
|
|
|
|
Basic weighted
average number of shares outstanding
|
1,475,156
|
1,475,218
|
|
|
|
|
Diluted weighted
average number of shares outstanding
|
1,534,896
|
1,522,238
|
|
|
|
|
Common shares
outstanding
|
1,475,354
|
1,474,674
|
|
1,475,154
|
|
|
Dividends
declared
|
$0.07
|
$0.07
|
|
|
|
|
Book value per
share
|
$19.21
|
$18.09
|
|
$18.92
|
|
|
|
|
|
|
|
|
|
SELECTED UNAUDITED
FINANCIAL RATIOS:
|
|
|
|
|
|
|
Return on average
assets
|
0.56%
|
0.64%
|
|
|
|
|
Return on average
equity
|
6.77%
|
7.88%
|
|
|
|
|
Allowance for loan
losses to total loans
|
1.20%
|
1.34%
|
|
1.28%
|
|
|
Nonperforming assets
to total assets
|
1.52%
|
1.61%
|
|
1.63%
|
|
|
Ratio of net
charge-offs to average loans
|
0.06%
|
0.02%
|
|
|
|
|
Common Equity Tier 1
to risk-weighted assets
|
9.62%
|
9.79%
|
|
9.76%
|
|
|
Tier 1 capital to
risk-weighted assets
|
11.66%
|
11.96%
|
|
11.85%
|
|
|
Total capital to
risk-weighted assets
|
12.75%
|
13.19%
|
|
13.02%
|
|
|
Tier 1 capital to
average assets
|
10.02%
|
10.12%
|
|
10.05%
|
|
|
Average equity to
average assets
|
8.28%
|
8.16%
|
|
|
|
|
Net interest
margin
|
3.57%
|
3.76%
|
|
|
|
|
Frederick County
Bancorp, Inc. and Subsidiaries
|
|
|
|
|
Consolidated
Balance Sheets
|
|
|
|
|
|
|
March
31,
|
March
31,
|
December
31
|
|
|
2015
|
2014
|
2014
|
|
|
(unaudited)
|
(unaudited)
|
(unaudited)
|
(dollars in
thousands)
|
|
|
|
|
ASSETS
|
|
|
|
|
Cash and due from
banks
|
|
$ 2,217
|
$ 2,251
|
$ 2,402
|
Federal funds
sold
|
|
20
|
22
|
21
|
Interest-bearing
deposits in other banks
|
|
38,954
|
35,911
|
37,365
|
Cash and cash
equivalents
|
|
41,191
|
38,184
|
39,788
|
Investment securities
available-for-sale at fair value
|
|
26,272
|
26,323
|
24,190
|
Restricted
stock
|
|
1,827
|
1,580
|
1,805
|
Loans
|
|
265,918
|
252,819
|
262,525
|
Less: Allowance for
loan losses
|
|
(3,192)
|
(3,384)
|
(3,362)
|
Net
loans
|
|
262,726
|
249,435
|
259,163
|
Bank premises and
equipment
|
|
6,365
|
6,541
|
6,373
|
Bank owned life
insurance
|
|
8,338
|
8,100
|
8,280
|
Foreclosed
properties
|
|
1,435
|
972
|
729
|
Other
assets
|
|
3,333
|
2,849
|
2,788
|
Total
assets
|
|
$351,487
|
$333,984
|
$343,116
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Deposits
|
|
|
|
|
Noninterest-bearing deposits
|
|
$ 63,408
|
$ 55,629
|
$ 63,705
|
Interest-bearing deposits
|
|
229,283
|
226,681
|
221,280
|
Total
deposits
|
|
292,691
|
282,310
|
284,985
|
Short-term
borrowings
|
|
3,300
|
3,050
|
3,300
|
FHLB
advances
|
|
20,000
|
15,000
|
20,000
|
Junior subordinated
debentures
|
|
6,186
|
6,186
|
6,186
|
Accrued interest and
other liabilities
|
|
967
|
761
|
731
|
Total
liabilities
|
|
323,144
|
307,307
|
315,202
|
|
|
|
|
|
Shareholders'
Equity
|
|
|
|
|
Common stock, per
share par value $0.01;
10,000,000 shares
authorized; 1,475,354; 1,474,674 and 1,475,154 shares
issued and outstanding
|
|
15
|
15
|
15
|
Additional paid-in
capital
|
|
15,166
|
15,152
|
15,158
|
Retained
earnings
|
|
13,135
|
11,879
|
12,758
|
Accumulated other
comprehensive gain (loss)
|
|
27
|
(369)
|
(17)
|
Total
shareholders' equity
|
|
28,343
|
26,677
|
27,914
|
Total
liabilities and shareholders' equity
|
|
$351,487
|
$333,984
|
$343,116
|
Frederick County
Bancorp, Inc. and Subsidiaries
|
|
|
Consolidated
Statements of Income (Unaudited)
|
|
|
|
For the Three
Months Ended
|
(dollars in
thousands, except per share amounts)
|
March
31,
2015
|
March
31,
2014
|
Interest
income
|
|
|
Interest and
fees on loans
|
$3,022
|
$3,049
|
Interest and
dividends on investment securities:
|
|
|
Interest – taxable
|
88
|
91
|
Interest – tax exempt
|
50
|
50
|
Dividends
|
23
|
20
|
Other interest
income
|
21
|
15
|
Total interest income
|
3,204
|
3,225
|
Interest
expense
|
|
|
Interest on
deposits
|
259
|
289
|
Interest on
short-term borrowings
|
24
|
19
|
Interest on
FHLB advances
|
86
|
82
|
Interest on
junior subordinated debentures
|
29
|
29
|
Total interest expense
|
398
|
419
|
Net interest
income
|
2,806
|
2,806
|
Provision for loan
losses
|
-
|
-
|
Net interest income
after provision for loan losses
|
2,806
|
2,806
|
Noninterest
income
|
|
|
Securities
gains
|
69
|
-
|
Gain on sale
of loans
|
238
|
-
|
Bank owned
life insurance income
|
58
|
60
|
Service
fees
|
80
|
81
|
Other
operating income
|
83
|
81
|
Total noninterest income
|
528
|
222
|
Noninterest
expense
|
|
|
Salaries and
employee benefits
|
1,538
|
1,292
|
Occupancy and
equipment expenses
|
420
|
372
|
Other
operating expenses
|
675
|
599
|
Total noninterest expense
|
2,633
|
2,263
|
Income before
provision for income taxes
|
701
|
765
|
Provision for income
taxes
|
221
|
240
|
Net income
|
$ 480
|
$ 525
|
Basic earnings per
share
|
$0.33
|
$0.36
|
Diluted earnings per
share
|
$0.31
|
$0.34
|
Basic weighted
average number of shares outstanding
|
1,475,156
|
1,475,218
|
Diluted weighted
average number of shares outstanding
|
1,534,896
|
1,522,238
|
Dividends declared
per share
|
$0.07
|
$0.07
|
Frederick County
Bancorp, Inc. and Subsidiaries
|
|
|
Consolidated
Statements of Comprehensive Income (Unaudited)
|
|
|
|
For the Three
Months Ended
|
(dollars in
thousands)
|
March
31,
2015
|
March
31,
2014
|
Net income
|
$480
|
$525
|
Changes in net
unrealized gains on securities available for sale, net
of income taxes of $56 in 2015 and $141 in 2014
|
86
|
217
|
Reclassification
adjustment for gains realized, net of income taxes of $27 in
2015 and $0 in 2014
|
(42)
|
--
|
Total comprehensive income
|
$524
|
$742
|
Frederick County
Bancorp, Inc. and Subsidiaries
Consolidated
Statement of Changes in Shareholders' Equity
(Unaudited)
|
(dollars in
thousands)
|
Shares
Outstanding
|
Common
Stock
|
Additional
Paid-in
Capital
|
Retained
Earnings
|
Accumulated
Other
Comprehensive
Income
(Loss)
|
Total
Shareholders'
Equity
|
|
|
|
|
|
|
|
Balance, January 1,
2014
|
1,484,174
|
$15
|
$15,302
|
$11,456
|
$(586)
|
$26,187
|
Comprehensive
income
|
|
|
|
525
|
217
|
742
|
Dividends declared on
common stock, $0.07 per share
|
|
|
|
(102)
|
|
(102)
|
Shares
repurchased
|
(10,000)
|
|
(162)
|
|
|
(162)
|
Shares issued under
stock options transactions
|
500
|
|
6
|
|
|
6
|
Compensation expense
from stock option transactions
|
|
|
6
|
|
|
6
|
Balance, March 31,
2014
|
1,474,674
|
$15
|
$15,152
|
$11,879
|
$(369)
|
$26,677
|
Balance, January 1,
2015
|
1,475,154
|
$15
|
$15,158
|
$12,758
|
$(17)
|
$27,914
|
Comprehensive
income
|
|
|
|
480
|
44
|
524
|
Dividends declared on
common stock, $0.07 per share
|
|
|
|
(103)
|
|
(103)
|
Shares issued under
stock option transactions
|
200
|
|
2
|
|
|
2
|
Compensation expense
from stock option transactions
|
|
|
6
|
|
|
6
|
Balance, March 31,
2015
|
1,475,354
|
$15
|
$15,166
|
$13,135
|
$27
|
$28,343
|
Frederick County
Bancorp, Inc. and Subsidiaries
Consolidated
Statements of Cash Flows (Unaudited)
|
|
|
|
Month
Ended
|
|
March
31,
2015
|
March
31,
2014
|
(dollars in
thousands)
|
|
|
Cash flows from
operating activities:
|
|
|
Net
income
|
$ 480
|
$ 525
|
Adjustments to
reconcile net income to net cash provided by
operating activities:
|
|
|
Depreciation and amortization
|
84
|
84
|
Deferred income (benefits) taxes
|
3
|
(15)
|
Securities gains
|
(69)
|
--
|
Gain on sale of loans
|
(238)
|
--
|
Loans originated for sale
|
(1,811)
|
--
|
Proceeds from loans sold
|
2,049
|
--
|
Net premium amortization on investment securities
|
36
|
48
|
Bank owned life insurance income
|
(58)
|
(60)
|
Stock-based compensation expense
|
6
|
6
|
(Increase) decrease in accrued interest and other assets
|
(558)
|
290
|
Increase in accrued interest and other liabilities
|
219
|
41
|
Net cash provided by operating activities
|
143
|
919
|
Cash flows from
investing activities:
|
|
|
Purchases of investment securities available for sale
|
(3,284)
|
--
|
Proceeds
from sales of investment securities available for sale
|
575
|
--
|
Proceeds
from maturities, prepayments and calls
investment securities
available for sale
|
732
|
1,003
|
(Purchase)
redemption of restricted stock
|
(22)
|
89
|
Net
(increase) decrease in loans
|
(4,270)
|
1,054
|
Purchases of bank premises and equipment
|
(76)
|
(55)
|
Net cash (used in) provided by investing activities
|
(6,345)
|
2,091
|
Cash flows from
financing activities:
|
|
|
Net
increase in NOW, money market accounts,
savings
accounts and
noninterest-bearing deposits
|
13,471
|
17,118
|
Net
decrease in time deposits
|
(5,765)
|
(1,796)
|
Proceeds
from issuance of common stock
|
2
|
6
|
Repurchase of common stock
|
--
|
(162)
|
Dividends paid on common stock
|
(103)
|
(102)
|
Net cash provided by financing activities
|
7,605
|
15,064
|
Net increase in cash
and cash equivalents
|
1,403
|
18,074
|
Cash and cash
equivalents – beginning of period
|
39,788
|
20,110
|
Cash and cash
equivalents – end of period
|
$41,191
|
$ 38,184
|
Supplemental cash
flow disclosures:
|
|
|
Interest
paid
|
$406
|
$413
|
Transfer of loans to
foreclosed properties
|
$706
|
$--
|
Distribution of Assets, Liabilities and Shareholders' Equity;
Interest Rates and Interest Differential
The following tables show average balances of asset and
liability categories, interest income and interest expense, and
average yields and rates for the periods
indicated.
Three Months Ended
March 31,
|
2015
|
2014
|
(dollars in
thousands)
|
Average
daily
balance
|
Interest
Income/
Expense
|
Average
Yield/
Rate(%)
|
Average
daily
balance
|
Interest
Income/
Expense
|
Average
Yield/
Rate(%)
|
Assets
|
|
|
|
|
|
|
Interest-earning
assets:
|
|
|
|
|
|
|
Federal funds
sold
|
$ 20
|
$ --
|
---
|
$ 22
|
$ --
|
--
|
Interest
bearing deposits in other banks
|
36,191
|
21
|
0.24
|
27,794
|
15
|
0.22
|
Investment
securities (1):
|
|
|
|
|
|
|
Taxable
|
20,506
|
111
|
2.20
|
21,849
|
111
|
2.06
|
Tax-exempt (2)
|
6,535
|
76
|
4.72
|
6,557
|
76
|
4.70
|
Loans
(3)
|
261,906
|
3,052
|
4.73
|
253,041
|
3,084
|
4.94
|
Total interest-earning assets
|
325,158
|
3,260
|
4.07
|
309,263
|
3,286
|
4.31
|
Noninterest-earning
assets
|
17,340
|
|
|
17,243
|
|
|
Total assets
|
$342,498
|
|
|
$326,506
|
|
|
|
|
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
NOW
accounts
|
$ 24,725
|
9
|
0.15
|
$ 20,072
|
7
|
0.14
|
Savings
accounts
|
9,185
|
--
|
--
|
7,950
|
--
|
--
|
Money
market accounts
|
99,943
|
72
|
0.29
|
98,311
|
69
|
0.28
|
Certificates of deposit
|
|
|
|
|
|
|
$100,000 or
more
|
40,071
|
93
|
0.94
|
43,572
|
111
|
1.03
|
Certificates of deposit
|
|
|
|
|
|
|
less than
$100,000
|
48,302
|
85
|
0.71
|
53,135
|
102
|
0.78
|
Short-term borrowings
|
3,300
|
24
|
2.95
|
3,050
|
19
|
2.53
|
FHLB
advances
|
20,000
|
86
|
1.74
|
15,000
|
82
|
2.22
|
Junior
subordinated debentures
|
6,186
|
29
|
1.90
|
6,186
|
29
|
1.90
|
Total
interest-bearing liabilities
|
251,712
|
398
|
0.64
|
247,276
|
419
|
0.69
|
Noninterest-bearing
deposits
|
61,722
|
|
|
51,986
|
|
|
Noninterest-bearing
liabilities
|
689
|
|
|
590
|
|
|
Total
liabilities
|
314,123
|
|
|
299,852
|
|
|
Total
shareholders' equity
|
28,375
|
|
|
26,654
|
|
|
Total
liabilities and shareholders'
equity
|
$342,498
|
|
|
$326,506
|
|
|
Net interest
income
|
|
$2,862
|
|
|
$2,867
|
|
Net interest
spread
|
|
|
3.43%
|
|
|
3.62%
|
Net interest
margin
|
|
|
3.57%
|
|
|
3.76%
|
(1) Yields on securities available-for-sale have been
calculated on the basis of historical cost and do not give effect
to changes in the fair value of those securities, which is
reflected as a component of shareholders' equity.
(2) Presented on a taxable-equivalent basis using the
statutory federal income tax rate of 34%. Taxable-equivalent
adjustments of $26 thousand in 2015
and $26 thousand in 2014 are included
in the calculation of the tax-exempt investment interest
income.
(3) Presented on a taxable-equivalent basis using the
statutory federal income tax rate of 34%. Taxable-equivalent
adjustments of $30 thousand in 2015
and $35 thousand in 2014 are included
in the calculation of the loan interest income. Net loan
origination income in interest income totaled $0 in 2015 and $17
thousand in 2014.
The statements in this press release that are not historical
facts constitute "forward-looking statements" as defined by Federal
securities laws. Forward-looking statements can generally be
identified by the use of forward- looking terminology such as
"believes," "expects," "intends," "may," "will," "should,"
"anticipates" or similar terminology. Such statements,
specifically regarding the Company's intentions regarding growth
and market expansion, are subject to risks and uncertainties that
could cause actual results to differ materially from future results
expressed or implied by such forward-looking statements. Potential
risks and uncertainties include, but are not limited to, changes in
interest rates, deposit flows, loan demand and real estate values,
as well as changes in economic, competitive, governmental,
regulatory, technological and other factors which may affect the
Company specifically, its existing and target market areas or the
banking industry generally. Forward-looking statements speak
only as of the date they are made. The Company will not
update forward-looking statements to reflect factual assumptions,
circumstances or events that have changed after a forward-looking
statement was made.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/frederick-county-bancorp-inc-reports-results-for-the-first-quarter-2015-300066427.html
SOURCE Frederick County Bancorp, Inc.