Anchor Bancorp (NASDAQ:ANCB) (“Company”), the holding company for
Anchor Bank (“Bank”), today reported third quarter earnings for its
fiscal year ending June 30, 2018. For the quarter ended
March 31, 2018, the Company reported a net income of $1.4
million or $0.57 per diluted share, compared to net income of
$702,000 or $0.29 per diluted share for the quarter ended March 31,
2017. For the nine months ended March 31, 2018, the Company
reported net income of $1.0 million or $0.42 per diluted share,
compared to net income of $1.7 million or $0.70 per diluted share
for the same period last year. The lower net income for the nine
months ended March 31, 2018 as compared to the same period in the
previous year was the result of a one-time revaluation adjustment
to the Company's deferred tax asset to account for the future
impact of lower corporate tax rates as a result of the Tax Cuts and
Jobs Act that was enacted on December 22, 2017. The tax revaluation
resulted in a $2.4 million increase in the Company's income tax
expense and a ($0.96) reduction in earnings per diluted share for
the fiscal second quarter.
"Our earnings increased this quarter as a result of the growth
in our loan portfolio as well as our continuing focus on reducing
noninterest expense," stated Jerald L. Shaw, President and Chief
Executive Officer. "Our ongoing efforts to increase retail deposits
is reflected by the $15.0 million increase in these deposits from
June 30, 2017, of which $7.1 million are demand deposits. We also
eliminated a large real estate owned property this quarter,
realizing a significant gain." stated Mr. Shaw.
Fiscal Third Quarter Highlights
- Loans receivable, net, increased $20.7 million, or 5.5%, to
$398.6 million at March 31, 2018 from $377.9 million at June 30,
2017;
- Net interest income before provision for loan losses increased
$427,000, or 10.2%, to $4.6 million for the quarter ended March 31,
2018 compared to $4.2 million for the quarter ended March 31,
2017;
- The efficiency ratio improved to 67.3% for the quarter ended
March 31, 2018 from 82.9% at June 30, 2017 and from 78.2% for the
quarter ended March 31, 2017;
- Net interest margin ("NIM") was 4.28% for the quarter ended
March 31, 2018 compared to 4.10% for the quarter ended March 31,
2017; and
- Allowance for losses as a percent of nonperforming loans
increased to 365.1% from 110.8% at June 30, 2017.
Balance Sheet Review
Total assets increased by $17.7 million, or 3.8%, to $480.2
million at March 31, 2018 from $462.5 million at June 30, 2017.
Cash and cash equivalents increased by $6.1 million, or 42.8%, to
$20.3 million at March 31, 2018, from $14.2 million at June 30,
2017. Securities available-for-sale and held-to-maturity decreased
$2.5 million, or 11.6%, and $1.2 million or 24.4%, respectively.
The decreases in these portfolios were primarily the result of
contractual principal repayments.
Loans receivable, net, increased $20.7 million, or 5.5%, to
$398.6 million at March 31, 2018 from $377.9 million at
June 30, 2017 due primarily to increases in construction loans
and, to a lesser extent, one-to-four family loans. Construction
loans increased $36.1 million, or 73.4%, to $85.2 million at March
31, 2018 from $49.2 million at June 30, 2017. There was $36.7
million in undisbursed construction loan commitments at March 31.
2018. Our construction loans are primarily for the construction of
multi-family properties and to a lesser extent, loans for the
construction of single family and commercial properties.
One-to-four family loans increased $3.1 million, or 5.1%, to $62.8
million at March 31, 2018 from $59.7 million at June 30, 2017. All
other loan categories decreased. Commercial business loans
decreased $11.0 million, or 34.9%, to $20.6 million at March 31,
2018 from $31.6 million at June 30, 2017 primarily related to the
payoff of a $9.0 million participation loan. Commercial real estate
loans decreased $2.6 million, or 1.7%, to $152.9 million at
December 31, 2017 from $155.5 million at June 30, 2017. We also
reclassified a $2.0 million multi-tenant commercial real estate
loan to real estate owned ("REO") and recorded during the nine
months ended March 31, 2018 a $200,000 charge upon transfer to
reflect its fair market value. Land loans decreased $1.8 million,
or 22.6%, to $6.2 million at March 31, 2018 from $8.1 million at
June 30, 2017. Multi-family loans decreased $1.6 million, or 2.7%,
to $58.9 million at March 31, 2018 from $60.5 million at June 30,
2017. Consumer loans decreased $1.4 million, or 7.4%, to $17.3
million at December 31, 2017 from $18.7 million at June 30,
2017.
Loans receivable consisted of the following at the dates
indicated:
|
|
|
|
|
|
|
March 31, 2018 |
|
June 30, 2017 |
|
March 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands) |
Real estate: |
|
|
|
|
|
One-to-four family |
$ |
62,788 |
|
|
$ |
59,735 |
|
|
$ |
59,275 |
|
Multi-family |
58,847 |
|
|
60,500 |
|
|
61,106 |
|
Commercial |
152,928 |
|
|
155,525 |
|
|
147,336 |
|
Construction |
85,247 |
|
|
49,151 |
|
|
49,939 |
|
Land
loans |
6,234 |
|
|
8,054 |
|
|
9,330 |
|
Total
real estate |
366,044 |
|
|
332,965 |
|
|
326,986 |
|
|
|
|
|
|
|
Consumer: |
|
|
|
|
|
Home
equity |
13,309 |
|
|
13,991 |
|
|
14,655 |
|
Credit
cards |
2,346 |
|
|
2,596 |
|
|
2,559 |
|
Automobile |
392 |
|
|
627 |
|
|
622 |
|
Other
consumer |
1,310 |
|
|
1,524 |
|
|
1,643 |
|
Total
consumer |
17,357 |
|
|
18,738 |
|
|
19,479 |
|
|
|
|
|
|
|
Business: |
|
|
|
|
|
Commercial business |
20,575 |
|
|
31,603 |
|
|
37,762 |
|
|
|
|
|
|
|
Total Loans |
403,976 |
|
|
383,306 |
|
|
384,227 |
|
|
|
|
|
|
|
Less: |
|
|
|
|
|
Deferred
loan fees and loan premiums, net |
1,146 |
|
|
1,292 |
|
|
1,393 |
|
Allowance
for loan losses |
4,257 |
|
|
4,106 |
|
|
3,959 |
|
Loans receivable,
net |
$ |
398,573 |
|
|
$ |
377,908 |
|
|
$ |
378,875 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities increased $17.3 million to $414.0 million at
March 31, 2018 from $396.7 million at June 30, 2017, primarily as
the result of an increase of $15.0 million in deposits, primarily
due to a $15.1 million increase in certificates of deposit and a
$7.1 million increase in demand deposits, partially offset by a
decrease of $8.8 million in money market accounts. The increase in
certificates of deposit accounts was the result of the Bank's
deposit marketing campaign, as well as other deposit gathering
activities.
Deposits consisted of the following at the dates indicated:
|
|
|
|
|
|
|
March 31, 2018 |
|
June 30, 2017 |
|
March 31, 2017 |
|
Amount |
|
Percent |
|
Amount |
|
Percent |
|
Amount |
|
Percent |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands) |
|
|
Noninterest-bearing
demand deposits |
$ |
57,767 |
|
|
16.0 |
% |
|
$ |
52,606 |
|
|
15.2 |
% |
|
$ |
57,732 |
|
|
16.8 |
% |
Interest-bearing demand
deposits |
33,446 |
|
|
9.3 |
|
|
31,464 |
|
|
9.1 |
|
|
29,863 |
|
|
8.7 |
|
Money market
accounts |
64,344 |
|
|
17.9 |
|
|
73,154 |
|
|
21.2 |
|
|
84,105 |
|
|
24.5 |
|
Savings deposits |
45,052 |
|
|
12.5 |
|
|
43,454 |
|
|
12.6 |
|
|
44,558 |
|
|
13.0 |
|
Certificates of
deposit |
159,610 |
|
|
44.3 |
|
|
144,509 |
|
|
41.9 |
|
|
127,007 |
|
|
37.0 |
|
Total
deposits |
$ |
360,219 |
|
|
100.0 |
% |
|
$ |
345,187 |
|
|
100.0 |
% |
|
$ |
343,265 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit Quality
Total delinquent loans (past due 30 days or more), decreased
$2.8 million to $1.3 million at March 31, 2018 from $4.1 million at
June 30, 2017, primarily due to the transfer of the $2.0 million
commercial real estate loan discussed above to REO at a fair market
value of $1.8 million. The percentage of nonperforming loans,
consisting solely of nonaccrual loans, to total loans decreased to
0.3% at March 31, 2018 from 1.0% at June 30, 2017. The Company
recorded a $120,000 provision for loan losses for the quarter ended
March 31, 2018 due to loan growth. The allowance for loan losses of
$4.3 million at March 31, 2018 represented 1.1% of total loans and
365.1% of nonperforming loans. This compares to an allowance of
$4.1 million at June 30, 2017, representing 1.1% of total loans and
110.8% of nonperforming loans.
Nonperforming loans decreased to $1.2 million at March 31, 2018,
from $3.7 million at June 30, 2017, and were $2.4 million at March
31, 2017. Nonperforming loans consisted of the following at the
dates indicated:
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31, 2018 |
|
June 30, 2017 |
|
March 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands) |
Real estate: |
|
|
|
|
|
One-to-four family |
$ |
682 |
|
|
$ |
1,170 |
|
|
$ |
2,059 |
|
Commercial |
— |
|
|
1,992 |
|
|
202 |
|
Total
real estate |
682 |
|
|
3,162 |
|
|
2,261 |
|
Consumer: |
|
|
|
|
|
Home
equity |
216 |
|
|
242 |
|
|
22 |
|
Total
consumer |
216 |
|
|
242 |
|
|
22 |
|
Business: |
|
|
|
|
|
Commercial business |
268 |
|
|
300 |
|
|
82 |
|
Total |
$ |
1,166 |
|
|
$ |
3,704 |
|
|
$ |
2,365 |
|
|
|
|
|
|
|
As of March 31, 2018, the Company had two REO properties with an
aggregate book value of $737,000 compared to three properties with
an aggregate book value of $867,000 at June 30, 2017, and two
properties with an aggregate book value of $220,000 at March 31,
2017. During the quarter ended March 31, 2018 we sold the $2.0
million reclassified commercial real estate loan discussed above
for $3.0 million, resulting in a gain on sale of $163,000, net of
capital improvements incurred subsequent to its transfer to
REO.
Capital
As of March 31, 2018, the Bank was considered "well capitalized"
in accordance with its regulatory capital guidelines and exceeded
all regulatory capital requirements with Tier 1 Leverage-Based
Capital, Common Equity Tier 1 Capital ("CET1"), Tier 1 Risk-Based
Capital, and Total Risk-Based Capital ratios of 13.2%, 14.7%,
14.7%, and 15.8% respectively. As of March 31, 2017, the Bank's
Tier 1 Leverage-Based Capital, CET1, Tier 1 Risk-Based Capital, and
Total Risk-Based Capital ratios were 13.1%, 13.7%, 13.7%, and
14.6%, respectively.
Anchor Bancorp exceeded all regulatory capital requirements with
Tier 1 Leverage-Based Capital, CET1, Tier 1 Risk-Based Capital, and
Total Risk-Based Capital ratios of 14.1%, 15.8%, 15.8%, and 16.8%
as of March 31, 2018. As of March 31, 2017, the Company's Tier 1
Leverage-Based Capital, CET1, Tier 1 Risk-Based Capital, and Total
Risk-Based Capital ratios were 14.1%, 14.7%, 14.7%, and 15.6%,
respectively.
Operating Results
Net interest income. Net interest income before the provision
for loan losses increased $427,000, or 10.2%, to $4.6 million for
the quarter ended March 31, 2018 compared to $4.2 million for the
same period last year primarily due to the increase in average
loans receivable, net. Average loans receivable, net, for the
quarter ended March 31, 2018 increased $28.1 million, or 7.5%, to
$402.1 million compared to $374.0 million for the quarter ended
March 31, 2017.
The Company's net interest margin was 4.28% for the quarter
ended March 31, 2018 compared to 4.10% for the quarter ended March
31, 2017. The average yield on loans receivable, net, increased 29
basis points to 5.49% for the quarter ended March 31, 2018 compared
to 5.20% for the same period of the prior year, reflecting the
increase in high yield construction loans. The average yield on
mortgage-backed securities increased to 2.06% from 1.98% for the
same period in the prior year primarily due to a decrease of large
principal pay downs resulting in an increase in amortization of
premiums. The average yield on interest-earning assets increased 34
basis points to 5.26% from 4.92% for the quarters ended March 31,
2018 and 2017, respectively. The average cost of total deposits
increased 13 basis points to 1.14% for the quarter ended March 31,
2018 compared to 1.01% for the same period in the prior year. The
average cost of interest-bearing liabilities increased 19 basis
points to 1.22% for the quarter ended March 31, 2018 compared to
1.03% for the same period in the prior year, reflecting the
increases in both FHLB advances and in the federal funds rate over
the last year. Net interest income before the provision for loan
losses increased $1.1 million, or 9.1%, to $13.5 million for the
nine months ended March 31, 2018 compared to $12.4 million for the
same period last year primarily due to the increase in average
loans receivable, net over the last year. The average yield on
interest-earning assets increased 22 basis points to 5.16% for the
nine months ended March 31, 2018 compared to 4.94% for the same
period in the prior year primarily due to the increase in the
average yield on loans receivable, net. The average cost of
interest-bearing liabilities increased 16 basis points to 1.17% for
the nine months ended March 31, 2018 compared to 1.01% for the same
period of the prior year, for the reasons stated above.
Provision for loan losses. In connection with its analysis of
the loan portfolio, management determined that a $120,000 provision
for loan losses was required for the quarter ended March 31, 2018
compared to $135,000 for the same period last year, primarily
reflecting our recent loan growth. Provision for loan losses for
the nine months ended March 31, 2018 was $300,000 compared to
$285,000 for the same period last year.
Noninterest income. Noninterest income decreased $103,000, or
10.1%, to $920,000 for the quarter ended March 31, 2018 compared to
$1.0 million for the same period in the previous year. The decrease
in noninterest income is primarily attributable to the $88,000, or
44.2%, decrease in other income in the quarter ended March 31, 2018
to $111,000 compared to $199,000 for the same quarter a year ago
primarily due to no loan prepayment penalties in the current
quarter. Noninterest income decreased $83,000, or 2.6%, to $3.1
million during the nine months ended March 31, 2018 which was
primarily due to a decrease in deposit fees of $159,000 as
consumers reduced their deposit account overdrafts which was
partially offset by an increase of $46,000 from gain on sale of
loans due to an increase in loans sold.
Noninterest expense. Noninterest expense decreased $346,000, or
8.5%, to $3.7 million for the quarter ended March 31, 2018 from
$4.1 million for the quarter ended March 31, 2017. Gain on sale of
REO increased $143,000 to $163,000 from $20,000 in the same quarter
in the previous year. General and administrative expenses declined
$140,000 to $514,000 for the quarter ended March 31, 2018 compared
to $654,000 for the quarter ended March 31, 2017. This decrease was
mainly due to no unfunded loan reserve commitment expense during
the current quarter compared to a $75,000 unfunded loan reserve
commitment expense in the quarter ended March 31, 2017 and $15,000
reductions in both accounting fees and contribution expense between
the periods. Compensation and benefits expense decreased $78,000,
or 3.6%, to $2.1 million for the quarter ended March 31, 2018 from
$2.2 million for the same period in the previous year. The decrease
was primarily due to a reduction of employee compensation of
$130,000 to $1.2 million for the quarter ended March 31, 2018 from
$1.3 million in the same quarter in the previous year. Also,
stock-based compensation expense related to the Anchor Bancorp 2015
Equity Plan decreased $120,000 to $12,000 for the quarter ended
March 31, 2018 from $132,000 for the same quarter last year and
incentive loan commission decreased $75,000 to $55,000 from
$130,000 for the same quarter last year. These decreases were
partially offset by $180,000 for retention bonuses paid this
quarter associated with the pending merger with Washington Federal,
Inc. Noninterest expense decreased $1.2 million, or 9.1%, to $11.6
million during the nine months ended March 31, 2018 compared to
$12.8 million for the same period in 2017 primarily due to a
$563,000 decrease in general and administrative expense and a
$379,000 decline in compensation and benefits expenses.
About the CompanyAnchor Bancorp is
headquartered in Lacey, Washington and is the parent company of
Anchor Bank, a community-based savings bank primarily serving
Western Washington through its 10 full-service banking offices
(including one Wal-Mart in-store location) within Grays Harbor,
Thurston, Lewis, Pierce and Mason counties, and one loan production
office located in King County, Washington. The Company's common
stock is traded on the NASDAQ Global Market under the symbol "ANCB"
and is included in the Russell 2000 Index. For more information,
visit the Company's web site www.anchornetbank.com.
Forward-Looking Statements:Certain matters discussed in this
press release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements relate to, among other things,
expectations of the business environment in which we operate,
projections of future performance, perceived opportunities in the
market, potential future credit experience, and statements
regarding our mission and vision. These forward-looking statements
are based upon current management expectations and may, therefore,
involve risks and uncertainties. Our actual results, performance,
or achievements may differ materially from those suggested,
expressed, or implied by forward-looking statements as a result of
a wide variety or range of factors including, but not limited to:
increased competitive pressures; changes in the interest rate
environment; the credit risks of lending activities, including
changes in the level and trend of loan delinquencies and write-offs
that may be impacted by deterioration in the housing and commercial
real estate markets and may lead to increased losses and
nonperforming assets in our loan portfolio, and may result in our
allowance for loan losses not being adequate to cover actual
losses, and require us to materially increase our reserves; changes
in general economic conditions and conditions within the securities
markets; legislative and regulatory changes; the Agreement and Plan
of Merger (“Merger Agreement”) with Washington Federal, Inc. may be
terminated in accordance with its terms, and the merger may not be
completed; termination of the Merger Agreement could negatively
impact us; we will be subject to business uncertainties and
contractual restrictions while the merger is pending; results of
examinations of us by the Federal Reserve Bank of San Francisco and
our bank subsidiary by the Federal Deposit Insurance Corporation,
the Washington State Department of Financial Institutions, Division
of Banks or other regulatory authorities, including the possibility
that any such regulatory authority may, among other things, require
us to increase our reserve for loan losses, write-down assets,
change our regulatory capital position or affect our ability to
borrow funds or maintain or increase deposits, which could
adversely affect our liquidity and earnings and other factors
described in the Company’s latest annual Report on Form 10-K and
Quarterly Reports on Form 10-Q and other filings with the
Securities and Exchange Commission-which are available on our
website at www.anchornetbank.com and on the SEC’s website at
www.sec.gov. Any of the forward-looking statements that we make in
this Press Release and in the other public statements we make may
turn out to be wrong because of the inaccurate assumptions we might
make, because of the factors illustrated above or because of other
factors that we cannot foresee. Because of these and other
uncertainties, our actual future results may be materially
different from those expressed or implied in any forward-looking
statements made by or on our behalf and the Company's operating and
stock price performance may be negatively affected. Therefore,
these factors should be considered in evaluating the
forward-looking statements, and undue reliance should not be placed
on such statements. We do not undertake and specifically disclaim
any obligation to revise any forward-looking statements to reflect
the occurrence of anticipated or unanticipated events or
circumstances after the date of such statements. These risks could
cause our actual results for fiscal 2018 and beyond to differ
materially from those expressed in any forward-looking statements
by, or on behalf of us, and could negatively affect the Company’s
operations and stock price performance.
|
|
|
|
ANCHOR BANCORP
AND SUBSIDIARYCONSOLIDATED STATEMENTS OF FINANCIAL
CONDITION(Dollars in thousands) (unaudited) |
March 31, 2018 |
|
June 30, 2017 |
ASSETS |
|
|
|
Cash and
cash equivalents |
$ |
20,272 |
|
|
$ |
14,194 |
|
Securities available-for-sale, at fair value |
18,714 |
|
|
21,170 |
|
Securities held-to-maturity, at amortized cost |
3,740 |
|
|
4,949 |
|
Loans
held for sale |
— |
|
|
1,551 |
|
Loans
receivable, net of allowance for loan losses of $4,257 and
$4,106 |
398,573 |
|
|
377,908 |
|
Bank
owned life insurance investment, net of surrender charges |
20,417 |
|
|
20,030 |
|
Accrued
interest receivable |
1,459 |
|
|
1,332 |
|
Real
estate owned, net |
737 |
|
|
867 |
|
Federal
Home Loan Bank (FHLB) stock, at cost |
2,407 |
|
|
2,348 |
|
Property,
premises and equipment, net |
8,785 |
|
|
9,360 |
|
Deferred
tax asset, net |
4,589 |
|
|
8,011 |
|
Prepaid
expenses and other assets |
516 |
|
|
805 |
|
Total
assets |
$ |
480,209 |
|
|
$ |
462,525 |
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
LIABILITIES |
|
|
|
Deposits: |
|
|
|
Noninterest-bearing |
$ |
57,767 |
|
|
$ |
52,606 |
|
Interest-bearing |
302,452 |
|
|
292,581 |
|
Total
deposits |
360,219 |
|
|
345,187 |
|
|
|
|
|
FHLB
advances |
46,000 |
|
|
45,500 |
|
Advance
payments by borrowers for taxes and insurance |
2,144 |
|
|
1,195 |
|
Supplemental Executive Retirement Plan liability |
1,731 |
|
|
1,709 |
|
Accounts
payable and other liabilities |
3,862 |
|
|
3,083 |
|
Total
liabilities |
413,956 |
|
|
396,674 |
|
|
|
|
|
STOCKHOLDERS’
EQUITY |
|
|
|
Preferred
stock, $0.01 par value per share authorized 5,000,000 shares; no
shares issued or outstanding |
— |
|
|
— |
|
Common
stock, $0.01 par value per share, authorized 45,000,000 shares;
2,484,030 issued and outstanding at March 31, 2018 and 2,504,740
issued and outstanding at June 30, 2017 |
25 |
|
|
25 |
|
Additional paid-in capital |
22,258 |
|
|
22,619 |
|
Retained
earnings |
45,614 |
|
|
44,585 |
|
Unearned
Employee Stock Ownership Plan (ESOP) shares |
(556 |
) |
|
(607 |
) |
Accumulated other comprehensive loss, net of tax |
(1,088 |
) |
|
(771 |
) |
Total
stockholders’ equity |
66,253 |
|
|
65,851 |
|
Total
liabilities and stockholders’ equity |
$ |
480,209 |
|
|
$ |
462,525 |
|
|
|
|
|
|
|
|
|
|
|
|
|
ANCHOR BANCORP
AND SUBSIDIARYCONSOLIDATED STATEMENTS OF
INCOME(Dollars in thousands, except per share
data) (unaudited) |
Three Months Ended March 31, |
|
Nine Months Ended March 31, |
|
2018 |
|
2017 |
|
2018 |
|
2017 |
Interest income: |
|
|
|
|
|
|
|
Loans
receivable, including fees |
$ |
5,520 |
|
|
$ |
4,861 |
|
|
$ |
16,024 |
|
|
$ |
14,255 |
|
Securities |
31 |
|
|
29 |
|
|
90 |
|
|
81 |
|
Mortgage-backed securities |
119 |
|
|
132 |
|
|
376 |
|
|
439 |
|
Total
interest income |
5,670 |
|
|
5,022 |
|
|
16,490 |
|
|
14,775 |
|
Interest expense: |
|
|
|
|
|
|
|
Deposits |
845 |
|
|
708 |
|
|
2,530 |
|
|
1,987 |
|
FHLB
advances |
211 |
|
|
127 |
|
|
452 |
|
|
411 |
|
Total
interest expense |
1,056 |
|
|
835 |
|
|
2,982 |
|
|
2,398 |
|
Net
interest income before provision for loan losses |
4,614 |
|
|
4,187 |
|
|
13,508 |
|
|
12,377 |
|
Provision for loan
losses |
120 |
|
|
135 |
|
|
300 |
|
|
285 |
|
Net
interest income after provision for loan losses |
4,494 |
|
|
4,052 |
|
|
13,208 |
|
|
12,092 |
|
Noninterest
income: |
|
|
|
|
|
|
|
Deposit
service fees |
261 |
|
|
314 |
|
|
851 |
|
|
1,010 |
|
Other
deposit fees |
193 |
|
|
185 |
|
|
580 |
|
|
558 |
|
Other
loan fees |
212 |
|
|
175 |
|
|
612 |
|
|
618 |
|
Gain on
sale of loans |
14 |
|
|
25 |
|
|
171 |
|
|
125 |
|
Bank
owned life insurance investment |
129 |
|
|
125 |
|
|
387 |
|
|
387 |
|
Other
income |
111 |
|
|
199 |
|
|
483 |
|
|
469 |
|
Total
noninterest income |
920 |
|
|
1,023 |
|
|
3,084 |
|
|
3,167 |
|
Noninterest
expense: |
|
|
|
|
|
|
|
Compensation and benefits |
2,113 |
|
|
2,191 |
|
|
6,418 |
|
|
6,797 |
|
General
and administrative expenses |
514 |
|
|
654 |
|
|
1,660 |
|
|
2,223 |
|
Merger
expenses |
22 |
|
|
— |
|
|
56 |
|
|
— |
|
Real
estate owned holding costs |
72 |
|
|
(1 |
) |
|
138 |
|
|
37 |
|
Federal
Deposit Insurance Corporation insurance premiums |
55 |
|
|
14 |
|
|
131 |
|
|
106 |
|
Information technology |
506 |
|
|
509 |
|
|
1,533 |
|
|
1,534 |
|
Occupancy
and equipment |
436 |
|
|
485 |
|
|
1,305 |
|
|
1,433 |
|
Deposit
services |
88 |
|
|
111 |
|
|
292 |
|
|
350 |
|
Marketing |
99 |
|
|
130 |
|
|
274 |
|
|
397 |
|
Gain on
sale of property, premises and equipment |
(15 |
) |
|
— |
|
|
(10 |
) |
|
— |
|
Gain on
sale of real estate owned |
(163 |
) |
|
(20 |
) |
|
(148 |
) |
|
(59 |
) |
Total
noninterest expense |
3,727 |
|
|
4,073 |
|
|
11,649 |
|
|
12,818 |
|
Income
before provision for income taxes |
1,687 |
|
|
1,002 |
|
|
4,643 |
|
|
2,441 |
|
Provision for income
taxes |
299 |
|
|
300 |
|
|
3,614 |
|
|
746 |
|
Net income |
$ |
1,388 |
|
|
$ |
702 |
|
|
$ |
1,029 |
|
|
$ |
1,695 |
|
Basic earnings per
share |
$ |
0.57 |
|
|
$ |
0.29 |
|
|
$ |
0.42 |
|
|
$ |
0.71 |
|
Diluted earnings per
share |
$ |
0.57 |
|
|
$ |
0.29 |
|
|
$ |
0.42 |
|
|
$ |
0.70 |
|
Weighted average number
of basic shares outstanding |
2,423,566 |
|
|
2,406,072 |
|
|
2,433,525 |
|
|
2,400,217 |
|
Weighted average number
of diluted shares outstanding |
2,427,703 |
|
|
2,431,139 |
|
|
2,440,570 |
|
|
2,422,171 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of or For the Quarter Ended(unaudited) |
|
March 31, 2018 |
|
December 31, 2017 |
|
June 30, 2017 |
|
March 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands) |
SELECTED
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
Return (loss) on
average assets (1) |
1.19 |
% |
|
(1.22 |
)% |
|
0.58 |
% |
|
0.64 |
% |
Return (loss) on
average equity (2) |
9.24 |
|
|
(9.31 |
) |
|
4.48 |
|
|
4.79 |
|
Average
equity-to-average assets (3) |
12.90 |
|
|
13.12 |
|
|
12.85 |
|
|
13.31 |
|
Interest rate
spread(4) |
4.04 |
|
|
4.05 |
|
|
4.11 |
|
|
3.88 |
|
Net interest margin
(5) |
4.28 |
|
|
4.27 |
|
|
4.32 |
|
|
4.10 |
|
Efficiency ratio
(6) |
67.3 |
|
|
72.1 |
|
|
82.9 |
|
|
78.2 |
|
Average
interest-earning assets to average interest-bearing
liabilities |
124.4 |
|
|
124.1 |
|
|
124.2 |
|
|
126.2 |
|
Other operating
expenses as a percent of average total assets |
3.2 |
% |
|
3.5 |
% |
|
4.1 |
% |
|
3.7 |
% |
Book value per common
share |
$ |
26.67 |
|
|
$ |
26.19 |
|
|
$ |
26.29 |
|
|
$ |
25.95 |
|
Tangible book value per
common share (7) |
$ |
26.57 |
|
|
$ |
26.09 |
|
|
$ |
26.20 |
|
|
$ |
25.86 |
|
|
|
|
|
|
|
|
|
CAPITAL RATIOS
(Anchor Bank) |
|
|
|
|
|
|
|
Tier 1 leverage |
13.2 |
% |
|
13.0 |
% |
|
13.0 |
% |
|
13.1 |
% |
Common equity tier 1
capital |
14.7 |
|
|
14.1 |
|
|
14.1 |
|
|
13.7 |
|
Tier 1 risk-based |
14.7 |
|
|
14.1 |
|
|
14.1 |
|
|
13.7 |
|
Total risk-based |
15.8 |
|
|
15.1 |
|
|
15.1 |
|
|
14.6 |
|
|
|
|
|
|
|
|
|
ASSET
QUALITY |
|
|
|
|
|
|
|
Nonaccrual and loans 90
days or more past due and still accruing interest as a percent of
total loans |
0.3 |
% |
|
0.4 |
% |
|
1.0 |
% |
|
0.6 |
% |
Allowance for loan
losses as a percent of total loans |
1.1 |
|
|
1.0 |
|
|
1.1 |
|
|
1.0 |
|
Allowance as a percent
of total nonperforming loans |
365.1 |
|
|
283.3 |
|
|
110.8 |
|
|
167.4 |
|
Nonperforming assets as
a percent of total assets |
0.4 |
|
|
1.0 |
|
|
1.0 |
|
|
0.6 |
|
Net charge-offs
(recoveries) to average outstanding loans |
(0.002 |
)% |
|
0.00 |
% |
|
(0.03 |
)% |
|
0.01 |
% |
Classified loans |
$ |
1,154 |
|
|
$ |
1,449 |
|
|
$ |
3,721 |
|
|
$ |
2,645 |
|
_____________________ |
|
|
|
|
|
|
|
(1)
Net income (loss) divided by average total assets,
annualized.(2)
Net income (loss) divided by average equity,
annualized.(3)
Average equity divided by average total
assets.(4)
Difference between weighted average yield on interest-earning
assets and weighted average rate on interest-bearing
liabilities.(5)
Net interest income as a percentage of average interest-earning
assets.(6)
Noninterest expense divided by the sum of net interest income and
noninterest
income.(7)
Tangible book value per common share excludes intangible assets.
Tangible assets excludes intangible assets. This ratio represents a
non-GAAP financial measure. See also Non-GAAP Financial Measures
reconciliation in the table below.
Non-GAAP Financial Measures:In addition to results presented in
accordance with generally accepted accounting principles utilized
in the United States ("GAAP”), this earnings release contains the
tangible book value per share, a non-GAAP financial measure. We
calculate tangible common equity by excluding intangible assets
from stockholders’ equity. We calculate tangible book value per
share by dividing tangible common equity by the number of common
shares outstanding. We calculate tangible common equity by
excluding intangible assets from stockholders' equity. The Company
believes that this measure is consistent with the capital treatment
by our bank regulatory agencies, which excludes intangible assets
from the calculation of risk-based capital ratios and presents this
measure to facilitate comparison of the quality and composition of
the Company's capital over time and in comparison to its
competitors. This non-GAAP financial measure has inherent
limitations, is not required to be uniformly applied and is not
audited. Further, the non-GAAP financial measure should not be
considered in isolation or as a substitute for book value per share
or total stockholders' equity determined in accordance with GAAP
and may not be comparable to similarly titled measures reported by
other companies. Reconciliations of the GAAP and non-GAAP financial
measures are presented below.
|
|
|
|
|
|
|
|
|
March 31, 2018 |
|
December 31, 2017 |
|
June 30, 2017 |
|
March 31, 2017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(In thousands) |
|
|
|
|
|
|
|
|
Stockholders'
equity |
$ |
66,253 |
|
|
$ |
65,197 |
|
|
$ |
65,851 |
|
|
$ |
64,989 |
|
Less:
intangible assets |
257 |
|
|
260 |
|
|
232 |
|
|
214 |
|
Tangible common
stockholders' equity |
$ |
65,996 |
|
|
$ |
64,937 |
|
|
$ |
65,619 |
|
|
$ |
64,775 |
|
|
|
|
|
|
|
|
|
Total assets |
$ |
480,209 |
|
|
$ |
472,792 |
|
|
$ |
462,525 |
|
|
$ |
465,449 |
|
Less:
intangible assets |
257 |
|
|
260 |
|
|
232 |
|
|
214 |
|
Tangible assets |
$ |
479,952 |
|
|
$ |
472,532 |
|
|
$ |
462,293 |
|
|
$ |
465,235 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common
stockholders' equity |
$ |
65,996 |
|
|
$ |
64,937 |
|
|
$ |
65,619 |
|
|
$ |
64,775 |
|
Common shares
outstanding at end of period |
2,484,030 |
|
|
2,489,030 |
|
|
2,504,740 |
|
|
2,504,740 |
|
Common stockholders'
equity (book value) per share (GAAP) |
$ |
26.67 |
|
|
$ |
26.19 |
|
|
$ |
26.29 |
|
|
$ |
25.95 |
|
Tangible common
stockholders' equity (tangible book value) per share
(non-GAAP) |
$ |
26.57 |
|
|
$ |
26.09 |
|
|
$ |
26.20 |
|
|
$ |
25.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contact:Jerald L. Shaw, President and
Chief Executive OfficerTerri L. Degner, EVP and
Chief Financial OfficerAnchor
Bancorp(360) 491-2250
Anchor Bancorp (delisted) (NASDAQ:ANCB)
Historical Stock Chart
From Aug 2024 to Sep 2024
Anchor Bancorp (delisted) (NASDAQ:ANCB)
Historical Stock Chart
From Sep 2023 to Sep 2024