GLEN ALLEN, Va., April 23, 2013 /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 2013. For the three months
ended March 31, 2013, the Company had
net income of $795 thousand and net
income available to common shareholders of $709 thousand, or $0.05 per diluted share, compared to net income
of $304 thousand and net income
available to common shareholders of $134
thousand, or $0.05 per diluted
share, for the same period in 2012.
Earnings
The improvement in quarter over quarter earnings was driven by
the overall improvement in the condition of the Company's business
and the general business environment and by the results of the
actions taken in the second quarter of 2012 during which the
Company raised $17.8 million in
capital, implemented the Asset Resolution Plan, and restructured
$40.0 million in long term advances
from the Federal Home Loan Bank of Atlanta ("FHLB").
Net interest income improved to $4.2
million for the quarter ended March
31, 2013, compared to $3.9
million in the first quarter of 2012, an increase of
$307 thousand or 7.80%. The net
interest margin for the first quarter of 2013 was 3.58% compared to
3.27% in the first quarter of 2012, a 31 basis point improvement
year over year and a 12 basis point improvement over the 3.46% net
interest margin reported for the fourth quarter of 2012. This
improvement over the first quarter of 2012 was a direct result of
actions taken in the second quarter of 2012, specifically the
restructuring of FHLB advances, the reduction in nonperforming
assets and an increase in noninterest bearing deposits.
The provision for loan losses was $100
thousand for the quarter ended March
31, 2013, compared to $565
thousand for the first quarter of 2012. The allowance
for loan losses increased during the quarter to $7.5 million or 1.92% of total loans from
$7.3 million or 1.93% of total loans
at December 31, 2012.
Noninterest income was $602
thousand for the quarter ended March
31, 2013, compared to $340
thousand in the first quarter of 2012, an increase of
$262 thousand or 77.06%, driven
primarily by the $247 thousand
increase in gain on sale of loans to $284
thousand in the first quarter of 2013 compared to
$37 thousand in the first quarter of
2012.
Total noninterest expense was $3.6
million for the quarter ended March
31, 2013, compared to $3.4
million in the first quarter of 2012, an increase of
$213 thousand or 6.27%, primarily due
to increases in salaries and employment benefits and marketing
expenses partially offset by decreases in both FDIC insurance
premiums and in losses on the sale and write downs of other real
estate owned.
First Capital Bancorp, Inc. Chief Executive Officer John Presley commented, "From a shareholder
value standpoint, we are pleased to deliver for the third quarter
in a row the financial performance we thought possible from our
company. The shareholder rights offering and Asset Resolution
Plan implemented during the second quarter of 2012 have performed
as designed, as the earnings and asset quality improvement of the
first quarter of 2013 indicates."
Growth
At March 31, 2013, total assets
were $526.3 million compared to
$542.9 million at December 31, 2012, a $16.6
million or 3.07% decrease. This decrease resulted
primarily from the managed decrease in cash and interest bearing
deposits in other banks.
Gross loans, excluding loans held for sale, at March 31, 2013, were $388.2 million compared to $376.1 million at December
31, 2012, a $12.2 million or
3.23% increase for the quarter, and an annualized increase of
12.93%. This increase in loans was due primarily to the
increased loan production resulting from the new lending team
members hired in the middle of 2012.
Total deposits at the end of the first quarter of 2013 decreased
$15.9 million or 3.46% to
$443.2 million compared to
$459.1 million at December 31, 2012. Interest bearing
deposits decreased $13.6 million, or
3.42%, of which $10.4 million in
brokered deposits were closed by the Bank prior to maturity as part
of an ongoing effort to manage costly uses of funds downward.
Noninterest bearing deposits at March 31,
2013 decreased $2.2 million or
3.72% to $57.9 million compared to
$60.1 million at December 31, 2012.
First Capital Bank President and CEO, Bob Watts stated, "We are excited about getting
off to a great start for 2013. The core teams we have in
place, supported by increased marketing efforts, have created the
momentum seen by the first quarter results. We are also
encouraged by the pipeline of new business opportunities that we
are seeing in the Central Virginia
market place."
Asset Quality
The allowance for loan losses was $7.5
million or 1.92% of total loans at March 31, 2013, compared to $7.3 million or 1.93% of total loans at
December 31, 2012.
The following table reflects details related to asset quality
and the allowance for loan losses:
|
March
31,
|
|
December
31,
|
|
March
31,
|
|
2013
|
|
2012
|
|
2012
|
|
(Dollars
in thousands)
|
Nonaccrual
loans
|
$6,366
|
|
$8,014
|
|
$16,410
|
Loans past
due 90 days and accruing interest
|
-
|
|
1,338
|
|
-
|
Total
nonperforming loans
|
6,366
|
|
9,352
|
|
16,410
|
Other real
estate owned
|
3,841
|
|
3,770
|
|
6,369
|
Total
nonperforming assets
|
$10,207
|
|
$13,122
|
|
$22,779
|
|
|
|
|
|
|
Allowance
for loan losses to period end loans
|
1.92%
|
|
1.93%
|
|
2.14%
|
Nonperforming assets to total loans &
OREO
|
2.60%
|
|
3.45%
|
|
6.00%
|
Nonperforming assets to total assets
|
1.94%
|
|
2.42%
|
|
4.20%
|
Allowance
for loan losses to nonaccrual loans
|
117.29%
|
|
90.70%
|
|
48.76%
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
March
31,
|
|
December
31,
|
|
March
31,
|
|
2013
|
|
2012
|
|
2012
|
Allowance
for loan losses
|
|
|
|
|
|
Beginning
balance
|
$7,269
|
|
$7,208
|
|
$9,271
|
Provision
for loan losses
|
100
|
|
165
|
|
565
|
Net
recoveries (charge-offs)
|
98
|
|
(104)
|
|
(1,834)
|
Ending
balance
|
$7,467
|
|
$7,269
|
|
$8,002
|
|
|
|
|
|
|
Capital
Total Risk Based Capital at March 31,
2013, was 13.81%, 381 basis points above the regulatory
minimum for well capitalized institutions. Tier One Risk
Based Capital at March 31, 2013, was
12.36%. Additionally, tangible common equity increased to
8.01% at the end of the first quarter of 2013 compared to 7.67% at
December 31, 2012.
The following table reflects the regulatory capital ratios of
the Company as of March 31, 2013 and
December 31, 2012.
|
|
|
|
|
|
|
|
|
|
|
|
|
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, 2013
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
capital to risk weighted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
55,914
|
|
13.81%
|
|
$
32,386
|
|
8.00%
|
|
$
40,483
|
|
10.00%
|
|
Tier 1
capital to risk weighted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
50,024
|
|
12.36%
|
|
$
16,193
|
|
4.00%
|
|
$
24,290
|
|
6.00%
|
|
Tier 1
capital to average adjusted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
50,024
|
|
9.56%
|
|
$
20,813
|
|
4.00%
|
|
$
26,016
|
|
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, 2012
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
capital to risk weighted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
54,929
|
|
13.75%
|
|
$
31,955
|
|
8.00%
|
|
$
39,944
|
|
10.00%
|
|
Tier 1
capital to risk weighted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
49,108
|
|
12.29%
|
|
$
15,978
|
|
4.00%
|
|
$
23,966
|
|
6.00%
|
|
Tier 1
capital to average adjusted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
|
$
49,108
|
|
9.19%
|
|
$
21,371
|
|
4.00%
|
|
$
26,714
|
|
5.00%
|
The Bank 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 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,
|
|
|
2013
|
|
2012
|
Selected Operating Data:
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
$
5,611
|
|
$
5,821
|
Interest
expense
|
|
1,370
|
|
1,887
|
Net
interest income
|
|
4,241
|
|
3,934
|
Provision
for loan losses
|
|
100
|
|
565
|
Other
noninterest income
|
602
|
|
340
|
Noninterest expense
|
|
3,610
|
|
3,397
|
Income
before income tax
|
1,133
|
|
312
|
Income tax
expense
|
|
338
|
|
8
|
Net
income
|
|
795
|
|
304
|
Less:
preferred dividends
|
86
|
|
170
|
Net income
available to common shareholders
|
$
709
|
|
$
134
|
Basic net
income per common share
|
$
0.06
|
|
$
0.05
|
Diluted
net income per common share
|
$
0.05
|
|
$
0.05
|
|
|
|
|
|
|
|
As of and
for the Three Months Ended
|
|
|
March
31,
|
|
|
2013
|
|
2012
|
Balance
Sheet Data:
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$526,299
|
|
$530,053
|
Loans, net
(excluding held for sale)
|
380,813
|
|
367,518
|
Loans held
for sale
|
|
7,397
|
|
1,425
|
Deposits
|
|
443,238
|
|
428,033
|
Borrowings
|
|
33,160
|
|
57,952
|
Stockholders' equity
|
|
47,599
|
|
41,376
|
Book value
per share
|
|
$3.43
|
|
$10.33
|
Tangible
Common Equity to Assets
|
8.01%
|
|
5.79%
|
Total
shares outstanding, in thousands
|
12,285
|
|
2,971
|
|
|
|
|
|
Asset
Quality Ratios
|
|
|
|
|
Allowance
for loan losses
|
$7,467
|
|
$8,002
|
Nonperforming assets
|
|
10,207
|
|
22,779
|
Net
(recoveries) charge-offs
|
(98)
|
|
1,834
|
Net
(recoveries) charge-off to average loans
|
-0.03%
|
|
0.48%
|
Allowance
for loan losses to period end loans
|
1.92%
|
|
2.13%
|
Nonperforming assets to total loans &
OREO
|
2.60%
|
|
5.97%
|
|
|
|
|
|
Selected Performance Ratios:
|
|
|
|
Return on
average assets
|
0.61%
|
|
0.23%
|
Return on
average equity
|
6.84%
|
|
2.98%
|
Net
interest margin (tax equivalent basis)
|
3.58%
|
|
3.27%
|
|
|
|
|
|
SOURCE First Capital Bancorp, Inc.