GLEN ALLEN, Va., April 27, 2011 /PRNewswire/ -- First Capital
Bancorp, Inc. (the "Company") (NASDAQ: FCVA) parent company to
First Capital Bank ("the Bank") reported today its financial
results for the First Quarter of 2011. For the three months
ended March 31, 2011, the Company had
net income of $452 thousand and net
income available to common shareholders of $283 thousand, or $0.10 per fully diluted share, compared to net
income of $352 thousand and net
income available to common shareholders of $183 thousand, or $0.06 per fully diluted share, for the same
period in 2010. These results also compared favorably to the
fourth quarter of 2010, which had net income of $312 thousand and net income available to common
shareholders of $142 thousand.
Total assets at March 31, 2011
were $529 million, down $7 million, or 1.31% from December 31, 2010. Total loans, net of
allowance, decreased $3.9 million to $382
million down 1.01% from December 31,
2010. This was the result of a focused effort by the
bank to decrease its exposure to speculative real estate loans and
decrease the amount of nonperforming assets, while at the same time
increase our already strong capital levels. Deposits decreased
$8.1 million to $419 million, down
1.90% from December 31, 2010.
Our deposit strategy was focused on decreasing noncore
funding sources and single service CD relationships and increasing
noninterest-bearing deposits accounts which increased $1.1 million or 2.8% from December 31, 2010.
Core operating results as measured by pre-provision, pre-tax
earnings continued to show significant improvement on a quarterly
basis. For the three months ended March 31, 2011 pre-provision, pre-tax earnings
were $1.3 million, up $373 thousand or 39%, from $957 thousand for the quarter ended March 31, 2010.
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
March
31,
|
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
Income before tax and
provision
|
$
1,330
|
|
$
957
|
|
Provision for loan
losses
|
700
|
|
461
|
|
Income before income
tax
|
630
|
|
496
|
|
Income tax (benefit)
|
178
|
|
144
|
|
Net income
|
|
$
452
|
|
$
352
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contributing to the improvement in pre-provision, pre-tax
earnings was the improvement in net interest margin. For the
quarter ended March 31, 2011, net
interest margin increased 6 basis points to 3.32% from 3.26% for
the fourth quarter of 2010 and increased 10 basis points from 3.22%
for the first quarter of 2010. This improvement in net
interest margin is attributable to decreasing cost of
interest-bearing liabilities. Interest-bearing liabilities
were 1.99% for the first quarter of 2011 down 49 basis points from
2.48% for the first quarter of 2010. The margin continues to
improve as the net interest margin for the month of March 2011 was 3.34%.
Net interest income increased $177
thousand or 4.51% to $4.1
million for the three months ended March 31, 2011 compared to $3.9 million for the three months ended
March 31, 2010. The increase
in quarter over quarter net interest income was due to relatively
stable loan portfolio yields and a decrease in total funding costs.
Provisions for loan losses amounted to $700 thousand for the three months ended
March 31, 2011 compared to
$461 thousand for the same period in
2010. For the quarter ended March 31,
2011 the company had net charge-offs of $1.2 million. The Allowance for Loan Losses
ended the quarter at 2.69% of total loans compared to 1.65% at the
end of the same period in 2010. We continue to focus on
improving overall asset quality in these uncertain economic times
while focused on reducing the level of nonperforming assets.
The following table reflects details related to asset quality
and allowance for loan losses of First Capital Bank:
|
|
|
|
|
|
|
|
|
|
Mar
31,
|
|
Dec
31,
|
|
Mar
31,
|
|
|
|
2011
|
|
2010
|
|
|
|
(Dollars in
thousands)
|
|
Nonaccrual loans
|
$20,518
|
|
$22,355
|
|
$6,505
|
|
Restructured loans
|
303
|
|
303
|
|
3,390
|
|
Loans past due 90 days and
accruing interest
|
41
|
|
1,556
|
|
3,336
|
|
|
Total nonperforming
loans
|
20,862
|
|
24,214
|
|
13,231
|
|
Other real estate
owned
|
2,739
|
|
2,615
|
|
3,014
|
|
|
Total nonperforming
assets
|
$23,601
|
|
$26,829
|
|
$16,245
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses
|
|
|
|
|
|
|
|
Beginning balance
|
$11,036
|
|
$11,023
|
|
$6,600
|
|
|
Provision for loan
losses
|
700
|
|
1,100
|
|
461
|
|
|
Net charge-offs
|
1,166
|
|
1,087
|
|
261
|
|
|
Ending balance
|
$10,570
|
|
$11,036
|
|
$6,800
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses to
period end loans
|
2.69%
|
|
2.78%
|
|
1.65%
|
|
Nonperforming assets to total
loans & OREO
|
5.97%
|
|
6.71%
|
|
3.90%
|
|
Nonperforming assets to total
assets
|
4.46%
|
|
5.01%
|
|
3.03%
|
|
Allowance for loan losses to
nonaccrual loans
|
51.51%
|
|
49.37%
|
|
104.53%
|
|
|
|
|
|
|
|
|
In the last 13 quarters, the company has increased its allowance
for loan losses by $14.1 million
while net charge-offs totaled $6.1
million over the same period.
The Company's regulatory capital ratios continue to improve.
Total Risk Based Capital improved to 14.04% up 34 basis
points from December 31, 2010, 404
basis points above the regulatory minimum for well capitalized
institutions. Tier One Risk capital increased 33 basis points
during the quarter to 12.37%.
|
|
|
|
|
|
|
|
|
|
|
|
|
Minimum To
Be Well
|
|
|
|
|
|
|
|
|
|
|
Minimum
|
|
Capitalized
Under
|
|
|
|
|
|
|
|
|
|
|
Capital
|
|
Prompt
Corrective
|
|
|
|
|
|
|
Actual
|
|
Requirement
|
|
Action
Provision
|
|
|
|
|
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
|
|
|
|
|
(dollars in
thousands)
|
|
As of March 31, 2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total capital to risk weighted
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$55,648
|
|
14.04%
|
|
$31,701
|
|
8.00%
|
|
$39,626
|
|
10.00%
|
|
|
Tier 1 capital to risk weighted
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$49,025
|
|
12.37%
|
|
$15,850
|
|
4.00%
|
|
$23,776
|
|
6.00%
|
|
|
Tier 1 capital to average
adjusted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$49,025
|
|
9.21%
|
|
$21,303
|
|
4.00%
|
|
$26,629
|
|
5.00%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Minimum To
Be Well
|
|
|
|
|
|
|
|
|
|
|
Minimum
|
|
Capitalized
Under
|
|
|
|
|
|
|
|
|
|
|
Capital
|
|
Prompt
Corrective
|
|
|
|
|
|
|
Actual
|
|
Requirement
|
|
Action
Provision
|
|
|
|
|
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
|
|
|
|
|
(dollars in
thousands)
|
|
As of December 31,
2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total capital to risk weighted
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$55,422
|
|
13.70%
|
|
$32,375
|
|
8.00%
|
|
$40,469
|
|
10.00%
|
|
|
Tier 1 capital to risk weighted
assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$48,693
|
|
12.04%
|
|
$16,188
|
|
4.00%
|
|
$24,282
|
|
6.00%
|
|
|
Tier 1 capital to average
adjusted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
|
$48,693
|
|
9.04%
|
|
$21,548
|
|
4.00%
|
|
$26,935
|
|
5.00%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In a joint statement, First Capital Bancorp, Inc. Managing
Director and CEO John Presley, and
First Capital Bank President Bob
Watts stated, "We are starting to see signs of improvement
in the economy and the positive effects that it is having on our
customer base. While this economy has taken a heavy toll on
our region and our customers, we are encouraged by the early
indications of increased economic activity. We are also
encouraged by the work our team has done to lessen our exposure to
certain asset classes and identify issues in our portfolio.
Given this work and our strong capital and reserve levels we
look forward to serving our existing customers and establishing new
relationships as well."
The Company currently operates seven branches in Innsbrook,
Chesterfield Towne Center, near Willow Lawn on Staples Mill Road,
in Ashland, at Three Chopt and
Patterson in Henrico County, at the James Center in
downtown, Richmond, and our newest
branch in Bon Air, Chesterfield County.
Readers are cautioned that this press release contains
forward-looking statements made pursuant to safe harbor provisions
of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements are based on management's current
knowledge, assumptions, and analyses, which it believes are
appropriate in the circumstances regarding future events, and may
address issues that involve significant risks including, but not
limited to: changes in interest rates; changes in accounting
principles, policies, or guidelines; significant changes in general
economic, competitive, and business conditions; significant changes
in or additions to laws and regulatory requirements; and
significant changes in securities markets. Additionally, such
aforementioned uncertainties, assumptions, and estimates, may cause
actual results to differ materially from the anticipated results or
other expectations expressed in the forward-looking statements.
First Capital Bank…Where People Matter.
First
Capital Bancorp, Inc.
|
|
Financial
Highlights
|
|
(Dollars in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
March
31,
|
|
|
|
2011
|
|
2010
|
|
Selected Operating
Data:
|
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
$
6,295
|
|
$
6,610
|
|
Interest expense
|
2,183
|
|
2,675
|
|
Net interest income
|
4,112
|
|
3,935
|
|
Provision for loan
losses
|
700
|
|
461
|
|
Noninterest income
|
221
|
|
232
|
|
Noninterest expense
|
3,003
|
|
3,210
|
|
Income before income
tax
|
630
|
|
496
|
|
Income tax expense
|
178
|
|
144
|
|
Net (loss) income
|
$
452
|
|
$
352
|
|
Less: Preferred
dividends
|
$
169
|
|
$
169
|
|
Net (loss) income available to
common shareholders
|
$
283
|
|
$
183
|
|
Income per share
|
|
|
|
|
Basic
|
|
$
0.10
|
|
$
0.06
|
|
Diluted
|
|
$
0.10
|
|
$
0.06
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
March
31,
|
|
|
|
2011
|
|
2010
|
|
Balance Sheet
Data:
|
|
|
|
|
|
|
|
|
|
|
Total assets
|
|
$
529,003
|
|
$
536,655
|
|
Loans, net
|
|
382,324
|
|
406,431
|
|
Deposits
|
|
418,751
|
|
423,053
|
|
Borrowings
|
|
63,312
|
|
63,235
|
|
Stockholders' equity
|
44,294
|
|
46,906
|
|
Book value per share
|
$
11.36
|
|
$
12.28
|
|
Total shares
outstanding
|
2,971,171
|
|
2,971,171
|
|
|
|
|
|
|
|
Asset Quality
Ratios:
|
|
|
|
|
Allowance for loan
losses
|
10,570
|
|
6,800
|
|
Nonperforming assets
|
23,601
|
|
16,245
|
|
Net charge-offs
|
|
1,166
|
|
262
|
|
Allowance for loan losses to
total loans
|
2.69%
|
|
1.65%
|
|
Nonperforming assets % of total
loans & OREO
|
5.67%
|
|
3.90%
|
|
Net charge-off to average
loans
|
0.30%
|
|
0.06%
|
|
|
|
|
|
|
|
Selected Performance
Ratios:
|
|
|
|
|
Return on average
assets
|
0.34%
|
|
0.27%
|
|
Return on average
equity
|
4.19%
|
|
3.05%
|
|
Net interest margin
|
3.32%
|
|
3.22%
|
|
Equity to assets
|
8.37%
|
|
8.74%
|
|
|
|
|
|
|
SOURCE First Capital Bancorp, Inc.