Year-To-Date Net Income up 40% to $3.9 Million

For the 2nd Quarter and Six Months: Continued Strong Loan Growth, Efficiency Improvement, Stable and Favorable Asset Quality Metrics, Strong Period End Capital Levels

HAMILTON, N.J., July 24, 2017 (GLOBE NEWSWIRE) -- First Bank (Nasdaq:FRBA) today announced improved second quarter and six month 2017 results.  Net income for the quarter was $2.0 million or $0.15 per diluted share, compared to $1.4 million or $0.15 per diluted share for the second quarter of 2016. Diluted earnings per share equaled the prior year quarter despite a 3.4 million share increase in weighted average diluted shares outstanding from second quarter 2016. The increase in second quarter net income was driven by net interest income growth of 25.8%, which reflected continued strong loan generation, along with effective management of the Bank’s non-interest expense despite continued growth.  Net income for the first six months of 2017 was $3.9 million, an increase of $1.1 million, or 40.4%, compared to 2016. Diluted earnings per share for the first six months of 2017 were $0.32, an increase of $0.03, or 10.3%, over the prior year period. The increase in net income for the six month period was also driven by strong net interest income growth coupled with managed expense growth.

2017 Performance Highlights:

  • Total net revenue (net interest income + non-interest income) for the quarter increased by 26.1%, or $1.9 million, to $9.1 million, compared to the prior year quarter
  • Total loans of $993.4 million at June 30, 2017 were up $95.0 million, or 10.6%, from December 31, 2016, and up $192.0 million, or 24.0% from June 30, 2016
  • Total deposits of $946.2 million at June 30, 2017 were up $51.2 million, or 5.7%, compared to the 2016 year end, and up $93.9 million, or 11.0% from June 30, 2016
  • Continued strong asset quality metrics with annualized net loan charge-offs to average loans of just 0.01% for second quarter 2017 compared to 0.03% for second quarter 2016. Nonperforming loans to total loans of 0.49% at June 30, 2017 decreased by 21 basis points compared to 0.70% at June 30, 2016, and improved by eight basis points compared to 0.57% on March 31, 2017 
  • Continued improvement in the Bank’s efficiency ratio1 of 58.21% for the second quarter, down from 62.43% for second quarter 2016, and from 61.32% for first quarter 2017.

1 The efficiency ratio is a non-GAAP financial measure.  For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see page 11 of this press release.

“The First Bank team produced another highly productive effort during the second quarter of 2017, characterized by double-digit earnings growth, a successful follow-on stock offering, measurable progress toward the completion of our Bucks County Bank acquisition and operational successes that should contribute to future performance,” said Patrick L. Ryan, President and Chief Executive Officer. “During the second quarter we continued to productively invest our funding with loan growth of $78.1 million, and we established a new “commercial deposit division” to elevate the services provided to our commercial customers and deepen business relationships with this important segment of our client base. The effect of the effort can be seen in our non-interest bearing deposits, which grew 4.2% from March 31, 2017. Business lending, a focus area, was active during the first six months of 2017 as we grew our C&I loan portfolio by 11.7% annualized compared to 2016 year end. Importantly, even with the strong lending activity we have demonstrated over the last two years, our asset quality metrics have remained very solid. We made significant progress in closing of our planned acquisition of Bucks County Bank, gaining regulatory approval for the transaction to proceed to a scheduled vote by our shareholders and Bucks County shareholders, which is expected to occur in the third quarter. We finished the second quarter with very strong capital levels reflecting our successful stock offering of approximately $40 million in gross proceeds. We believe that this significant progress achieved during the second quarter has us well positioned for the remainder of 2017.”

Income Statement

The Bank’s net interest income for second quarter 2017 was $8.7 million, an increase of $1.8 million, or 25.8%, compared to $6.9 million in the second quarter of 2016. This growth was driven by a $2.1 million, or 22.4%, increase in interest and dividend income primarily a result of a $154.9 million increase in average loan balances compared with the second quarter of 2016. This was modestly offset by increased interest expense of $297,000 for the comparative quarter, which reflected average balance increases for both transaction accounts and borrowings.

Six month net interest income totaled $16.8 million, an increase of $3.1 million, or 22.7%, compared to $13.6 million for 2016. The increase in 2017 net interest income was also driven by the same strong growth in average loans which increased by $161.8 million from the same prior year period.

The second quarter 2017 net interest margin was 3.23%, an increase of 19 basis points compared to the prior year quarter, and an increase of seven basis points compared to the linked first quarter of 2017. The increase compared to second quarter 2016 was primarily the result of higher average interest-earning assets (primarily loans) and a 14 basis point improvement in the rate paid on interest-earning assets. This increase was driven by Federal Reserve rate increases which helped to increase our yield on interest earnings assets, particularly our variable rate loans, and our ability to shift our deposit mix slightly out of time deposits while maintaining stable rates on our other deposit products.

The provision for loan losses for the second quarter of 2017 totaled $806,000, an increase of $167,000 compared to the second quarter of 2016, and an increase of $368,000 compared to $438,000 for the linked first quarter of 2017. The increase in the provision compared to second quarter 2016, reflected continued growth to the Bank’s commercial loan portfolio. The provision for loan losses for the first six months of 2017 totaled $1.2 million compared to $1.5 million for the same period in 2016. The six month provision is reflective of the Bank’s continued strong loan growth in 2017, as well as its stable asset quality metrics.

Second quarter 2017 non-interest income increased $106,000, to $422,000, compared to $316,000 in second quarter 2016, primarily a result of higher income from bank owned life insurance and higher loan fees due to loan growth, compared to second quarter 2016. Six month non-interest income totaled $881,000 for 2017 compared to $676,000 in 2016. The increase in 2017 six-month non-interest income was a result of higher income from gains on sale of loans and bank owned life insurance, partially offset by lower gains on recovery of acquired loans.

Non-interest expense for second quarter 2017 totaled $5.4 million, an increase of $916,000, compared to $4.5 million for the prior year quarter. The higher non-interest expense compared to second quarter 2016 was primarily a result of increased salaries and employee benefits and merger-related expenses. Non-interest expense for the first six months of 2017 totaled $10.7 million, an increase of $1.8 million or 20.8% compared to $8.8 million for the same period in 2016. The increase was primarily a result of increased salaries and employee benefits, merger-related expenses and other professional fees. The increase in salaries and employee benefits cost reflects the Bank’s significant loan and revenue growth which occurred in 2016 and the first six months of 2017. The Bank’s revenue growth rate outpaced the rate of growth for non-interest expense during the second quarter and for the first six months of 2017 resulting in positive operating leverage and an improved efficiency ratio.

Pre-provision net revenue2 for the second quarter of 2017 was $3.8 million, an increase of $1.1 million, or 40.3%, compared to the second quarter of 2016, and an increase of $517,000, or 15.9%, compared to $3.2 million in the linked first quarter of 2017. Pre-provision net revenue for the first six months of 2017 was $7.0 million, an increase of $1.7 million, or 32.1%, compared to the first six months of 2016.

Income tax expense for the second quarter of 2017 was $914,000, an increase of $253,000 compared to $661,000 for second quarter 2016. The increase was driven by higher pre-tax income as the Bank’s second quarter 2017 effective income tax rate remained stable at 31.5% compared to 31.4% for second quarter 2016.  

2 Pre-provision net revenue is a non-GAAP financial measure.  For a reconciliation of this non-GAAP financial measure, along with the other non-GAAP financial measures in this press release, to their comparable GAAP measures, see page 11 of this press release.

Balance Sheet

Total assets at June 30, 2017 were $1.2 billion, an increase of $187.9 million, or 19.4%, compared to $970.7 million at June 30, 2016, due primarily to loan growth during the second quarter 2017. Total loans were $993.4 million at June 30, 2017, an increase of $192.0 million, or 24.0%, compared to June 30, 2016, and an increase of $95.0 million, or 10.6%, from the 2016 year end. Total loans increased $78.1 million compared to the linked first quarter of 2017. The growth during the second quarter was broadly distributed across the Bank’s commercial and consumer loan segments.   

Total deposits were $946.2 million at June 30, 2017, an increase of $93.9 million, or 11.0%, compared to June 30, 2016, and were up $51.2 million from December 31, 2016. Non-interest bearing deposits totaled $133.1 million at June 30, 2017, an increase of $14.5 million, or 12.2%, from December 31, 2016, reflective of expanded commercial lending relationships and the Bank’s recently created Commercial Deposit Division.

Stockholders’ equity increased to $131.0 million at June 30, 2017, up $42.2 million or 47.5% compared to December 31, 2016, primarily a result of the capital offering completed in June 2017 which raised $37.5 million in net new capital, as well as a $3.7 million increase in retained earnings.

Asset Quality

First Bank’s asset quality metrics remained stable during the second quarter, reflective of disciplined risk management and underwriting standards. Net charge-offs were $22,000 for the second quarter of 2017, compared to $63,000 for second quarter 2016 and $146,000 for the first quarter of 2017. Net charge-offs as an annualized percentage of average loans were 0.01% in second quarter 2017, compared to 0.06% in the linked first quarter and 0.03% in second quarter 2016. Nonperforming loans as a percentage of total loans at June 30, 2017 were 0.49%, compared with 0.70% on June 30, 2016 and 0.57% at March 31, 2017. The allowance for loan losses to nonperforming loans was 221.77% at June 30, 2017, compared with 161.48% at the end of second quarter 2016, and 193.35% at March 31, 2017.

As of June 30, 2017, the Bank exceeded all regulatory capital requirements to be considered well capitalized with a Tier 1 Leverage ratio of 11.74% a Tier 1 Risk-Based capital ratio of 11.83%, a Common Equity Tier 1 Capital ("CET1") ratio of 11.83%, and a Total Risk-Based capital ratio of 14.80%.

Follow-On Offering Completed in Second Quarter

The Bank announced during the second quarter that it had completed its public offering of approximately 3.5 million shares of its common stock, including an underwriters’ over-allotment of approximately 219,000 shares, which raised $37.5 million in additional capital, net of expenses. The Company expects to continue to use the net proceeds from the offering for general corporate purposes, including the support of additional growth.

Commercial Deposit Division Added

In June, the Bank announced the establishment of a new commercial deposit division focused on deposits and cash management services for commercial clients. First Bank’s new division targets mid- to large-size companies with more sophisticated deposit and cash management needs and provides a proactive consultative approach to addressing client needs.

Cash Dividend Declared

On July 18, 2017 the Board of Directors declared a quarterly cash dividend of $0.02 per share to common shareholders of record at the close of business on August 10, 2017, and payable on August 24, 2017. The First Bank Board believes that this dividend provides shareholders an added tangible benefit, and that it is appropriate given the Company’s current financial performance, momentum and near-term prospects.

Conference Call

First Bank will host an earnings call on Tuesday, July 25, 2017 at 9:00 AM eastern time.  The direct dial toll free number for the call is 1-844-825-9784.  For those unable to participate in the call, a replay will be available by dialing 1-877-344-7529 (access code 10110137) from one hour after the end of the conference call until November 24, 2017.  Replay information will also be available on our website at www.firstbanknj.com under the “About Us” tab.  Click on “Investor Relations” to access the replay of the conference call.

About First Bank
First Bank (www.firstbanknj.com) is a New Jersey state-chartered bank with ten full-service branches in Cranbury, Denville, Ewing, Flemington, Hamilton, Lawrence, Randolph, Somerset and Williamstown, New Jersey, and Trevose, Pennsylvania. With $1.2 billion in assets as of June 30, 2017, First Bank offers a traditional range of deposit and loan products to individuals and mid- to large-size businesses throughout the New York City to Philadelphia corridor.

First Bank's common stock is listed on the Nasdaq Global Market under the symbol "FRBA". 

This news release contains certain forward-looking statements, either expressed or implied, which are provided to assist the reader in understanding anticipated future financial performance. These statements involve certain risks, uncertainties, estimates and assumptions made by management, which are subject to factors beyond First Bank's control and could impede its ability to achieve these goals. These factors include those listed in our Annual Report on Form 10-K under the caption “Item 1A-Risk Factors”, and general economic conditions, trends in interest rates, the ability of our borrowers to repay their loans, the ability to obtain required shareholder approvals of the Bucks County Bank merger, the ability to complete such merger as expected and within the expected timeframe, the possibility that one or more of the conditions to the completion of such merger may not be satisfied, and results of regulatory exams, among other factors. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein.  Readers are cautioned against placing undue reliance on such forward-looking statements.  Past results are not necessarily indicative of future performance.

FIRST BANK AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(in thousands, except for share data, unaudited)
 
      
   June 30, December 31,
    2017   2016 
Assets   
Cash and due from banks$7,543  $6,078 
Federal funds sold -   5,000 
Interest bearing deposits in other banks 18,680   19,211 
Cash and cash equivalents 26,223   30,289 
Interest bearing time deposits in other banks 6,057   7,440 
Investment securities available for sale 44,586   47,077 
Investment securities held to maturity (fair value of $52,516  
at June 30, 2017 and $53,358 at December 31, 2016) 52,149   53,473 
Restricted investment in bank stocks 3,777   3,890 
Other investments 5,000   5,000 
Loans, net of deferred fees and costs 993,426   898,429 
Less: Allowance for loan losses 10,902   9,826 
Net loans 982,524   888,603 
Premises and equipment, net 3,214   3,338 
Other real estate owned, net 1,217   1,292 
Accrued interest receivable 2,722   2,573 
Bank-owned life insurance 21,375   21,067 
Intangible assets, net 196   224 
Deferred income taxes 8,622   8,350 
Other assets 884   678 
Total assets$1,158,546  $1,073,294 
    
Liabilities and Stockholders' Equity   
Deposits:   
Non-interest bearing$133,068  $118,569 
Interest bearing 813,084   776,365 
Total deposits 946,152   894,934 
Borrowings 57,107   64,510 
Subordinated debentures 21,694   21,641 
Accrued interest payable 604   636 
Other liabilities 2,020   2,767 
Total liabilities 1,027,577   984,488 
Stockholders' Equity:   
Preferred stock, par value $2 per share; 5,000,000 shares authorized;       
no shares issued and outstanding -   - 
Common stock, par value $5 per share; 20,000,000 shares authorized;  
issued and outstanding 15,015,778 shares at June 30, 2017      
and 11,410,274 shares at December 31, 2016 74,866   56,885 
Additional paid-in capital 39,136   18,779 
Retained earnings 17,312   13,611 
Accumulated other comprehensive loss (345)  (469)
Total stockholders' equity 130,969   88,806 
Total liabilities and stockholders' equity$1,158,546  $1,073,294 
 

 

FIRST BANK AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except for share data, unaudited)
 
            
     Three Months Ended Six Months Ended
     June 30,  June 30, 
      2017  2016  2017  2016
Interest and Dividend Income        
Investment securities—taxable $387
 $279 $763 $635
Investment securities—tax-exempt  125
  125  248  251
Interest bearing deposits in other banks,       
Fed funds sold, and other 150
  95  275  177
Loans, including fees   10,670
  8,762  20,699  17,234
Total interest and dividend income 11,332  9,261  21,985  18,297
            
Interest Expense         
Deposits     2,090
  1,937  4,086  3,725
Borrowings   190
  46  349  127
Subordinated debentures  398
  398  796  796
Total interest expense 2,678
  2,381  5,231  4,648
Net interest income   8,654
  6,880  16,754  13,649
Provision for loan losses  806
  639  1,244  1,452
Net interest income after provision for loan losses 7,848
  6,241  15,510  12,197
            
Non-Interest Income         
Service fees on deposit accounts  43
  46  84  81
Loan fees     48
  20  60  35
Income from bank-owned life insurance 155
  105  308  208
Gains on sale of investment securities, net -  -  -  25
Gains on sale of loans   -
  -  136  -
Gains on recovery of acquired loans 76
  63  113  174
Other non-interest income  100
  82  180  153
Total non-interest income 422
  316  881  676
            
Non-Interest Expense         
Salaries and employee benefits  2,828  2,287  5,578  4,501
Occupancy and equipment  719
  638  1,404  1,325
Legal fees     49
  78  149  152
Other professional fees  330
  295  680  569
Regulatory fees   182
  153  401  325
Directors' fees   132
  120  250  233
Data processing   256
  231  511  458
Marketing and advertising  145
  125  270  250
Travel and entertainment  62
  57  121  105
Insurance     56
  53  123  110
Other real estate owned expense, net 191
  123  314  242
Merger-related expenses  130
  -  280  -
Other expense   289
  293  580  552
Total non-interest expense 5,369
  4,453  10,661  8,822
Income Before Income Taxes
 2,901
  2,104  5,730  4,051
Income tax expense   914
  661  1,800  1,252
Net Income  $1,987
 $1,443 $3,930 $2,799
            
Basic earnings per share
$0.16 $0.15 $0.33 $0.30
Diluted earnings per share
$0.15 $0.15 $0.32 $0.29
            
Basic weighted average common shares outstanding 12,651,518  9,486,450  12,022,524  9,467,438
Diluted weighted average common shares outstanding     12,998,615  9,596,407  12,377,440  9,568,510

 

FIRST BANK AND SUBSIDIARIES
AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
(unaudited)
            
            
 Three Months Ended June 30,
  2017   2016 
 Average    Average Average    Average
 Balance Interest Rate (5) Balance Interest Rate (5)
 (dollars in thousands)
Interest earning assets           
Investment securities (1) (2)$98,570  $555  2.26% $82,197  $447  2.19%
Loans (3) 937,232   10,670  4.57%  782,357   8,762  4.50%
Interest bearing deposits in other banks and           
Federal funds sold 34,075   86  1.01%  43,744   57  0.52%
Restricted investment in bank stocks 3,605   42  4.67%  1,788   23  5.17%
Other investments 5,000   22  1.76%  5,000   15  1.21%
  Total interest earning assets (2) 1,078,482   11,375  4.23%  915,086   9,304  4.09%
Allowance for loan losses (10,383)      (8,725)    
Non-interest earning assets 43,595       36,092     
  Total assets$1,111,694      $942,453     
            
Interest bearing liabilities           
Interest bearing demand deposits$116,813  $176  0.60% $87,354  $146  0.67%
Money market deposits 163,734   290  0.71%  115,927   200  0.69%
Savings deposits 70,688   87  0.49%  72,276   91  0.51%
Time deposits 449,316   1,537  1.37%  447,584   1,500  1.35%
Total interest bearing deposits 800,551   2,090  1.05%  723,141   1,937  1.08%
Borrowings 53,594   190  1.42%  17,791   46  1.04%
Subordinated debentures 21,680   398  7.34%  21,572   398  7.38%
  Total interest bearing liabilities 875,825   2,678  1.23%  762,504   2,381  1.26%
Non-interest bearing deposits 127,554       106,067     
Other liabilities 2,568       2,113     
Stockholders' equity 105,747       71,769     
  Total liabilities and stockholders' equity$1,111,694      $942,453     
Net interest income/interest rate spread (2)   8,697  3.00%    6,923  2.83%
Net interest margin (2) (4)    3.23%     3.04%
Tax-equivalent adjustment (2)   (43)      (43)  
Net interest income  $8,654      $6,880   
            
            
(1) Average balances of investment securities available for sale are based on amortized cost.         
(2) Interest and average rates are tax equivalent using a federal income tax rate of 34 percent.         
(3) Average balances of loans include loans on nonaccrual status.           
(4) Net interest income divided by average total interest earning assets.          
(5) Average rates are annualized.           

 

FIRST BANK AND SUBSIDIARIES
AVERAGE BALANCE SHEETS WITH INTEREST AND AVERAGE RATES
(unaudited)
            
            
 Six Months Ended June 30,
  2017   2016 
 Average    Average Average    Average
 Balance Interest Rate Balance Interest Rate
 (dollars in thousands)
Interest earning assets          
Investment securities (1) (2)$99,404  $1,096  2.22% $88,570  $971  2.20%
Loans (3) 919,128   20,699  4.54%  757,352   17,234  4.58%
Interest bearing deposits in other banks and        
Federal funds sold 34,510   160  0.93%  41,212   107  0.52%
Restricted investment in bank stocks 3,548   74  4.21%  1,973   39  3.98%
Other investments 5,000   41  1.65%  5,000   31  1.25%
  Total interest earning assets (2) 1,061,590   22,070  4.19%  894,107   18,382  4.13%
Allowance for loan losses (10,245)      (8,439)    
Non-interest earning assets 43,391       36,580     
  Total assets$1,094,736      $922,248     
            
Interest bearing liabilities         
Interest bearing demand deposits$116,693  $344  0.59% $82,255  $280  0.68%
Money market deposits 159,951   543  0.68%  120,350   429  0.72%
Savings deposits 70,088   171  0.49%  74,999   187  0.50%
Time deposits 446,235   3,028  1.37%  420,903   2,829  1.35%
Total interest bearing deposits 792,967   4,086  1.04%  698,507   3,725  1.07%
Borrowings 54,704   349  1.29%  24,192   127  1.06%
Subordinated debentures 21,665   796  7.35%  21,558   796  7.38%
  Total interest bearing liabilities 869,336   5,231  1.21%  744,257   4,648  1.26%
Non-interest bearing deposits 124,248       105,043     
Other liabilities 3,128       2,217     
Stockholders' equity 98,024       70,731     
  Total liabilities and stockholders' equity$1,094,736      $922,248     
Net interest income/interest rate spread (2) 16,839  2.98%    13,734  2.87%
Net interest margin (2) (4)  3.20%     3.09%
Tax-equivalent adjustment (2) (85)      (85)  
Net interest income $16,754      $13,649   
            
            
(1) Average balances of investment securities available for sale are based on amortized cost.     
(2) Interest and average rates are presented on a tax equivalent basis using a federal income tax rate of 34 percent.   
(3) Average balances of loans include loans on nonaccrual status.       
(4) Net interest income divided by average total interest earning assets.      
(5) Average rates are annualized.         

 

FIRST BANK AND SUBSIDIARIES     
QUARTERLY FINANCIAL HIGHLIGHTS 
(in thousands, except share and employee data, unaudited) 
       
 2Q20171Q20174Q20163Q20162Q2016 
EARNINGS     
Net interest income$8,654 $8,100 $7,798 $7,456 $6,880  
Provision for loan losses 806  438  954  291  639  
Non-interest income 422  459  570  384  316  
Non-interest expense 5,369  5,292  4,717  4,793  4,453  
Income tax expense 914  886  891  955  661  
Net income 1,987  1,943  1,806  1,801  1,443  
       
PER SHARE DATA     
Basic earnings per share$0.16 $0.17 $0.16 $0.16 $0.15  
Diluted earnings per share 0.15  0.17  0.16  0.16  0.15  
Tangible book value (1) 8.71  7.94  7.76  7.66  7.49  
Book value 8.72  7.95  7.78  7.68  7.51  
Cash dividend declared    
       
PERFORMANCE RATIOS     
Return on average assets (2) 0.72% 0.73% 0.70% 0.74% 0.62% 
Return on average equity (2) 7.54% 8.73% 8.10% 8.25% 8.09% 
Net interest margin, tax equivalent basis (2) 3.23% 3.16% 3.12% 3.16% 3.04% 
Efficiency ratio (1) 58.21% 61.32% 58.23% 62.04% 62.43% 
Pre-provision net revenue (1)$3,761 $3,244 $3,383 $2,933 $2,680  
       
MARKET DATA (period-end)    
Market value per share$11.65 $11.95 $11.60 $8.38 $6.94  
Market value / book value 133.57% 150.25% 149.04% 109.16% 92.43% 
Common shares outstanding 15,015,778  11,447,259  11,410,274  11,393,609  11,392,776  
Market capitalization$174,934 $136,795 $132,359 $95,478 $79,066  
       
CAPITAL & LIQUIDITY    
Tangible equity / assets (1) 11.29% 8.28% 8.25% 8.66% 8.79% 
Equity / assets 11.30% 8.30% 8.27% 8.68% 8.81% 
Loans / deposits 105.00% 97.96% 100.39% 94.62% 94.04% 
       
ASSET QUALITY     
Net charge offs (recoveries)$22 $146 $424 $30 $63  
Nonperforming loans 4,916  5,233  5,967  3,683  5,595  
Nonperforming assets 6,133  6,371  7,289  4,895  7,270  
Net charge offs / average loans (2) 0.01% 0.06% 0.20% 0.01% 0.03% 
Nonperforming loans / total loans 0.49% 0.57% 0.66% 0.45% 0.70% 
Nonperforming assets / total assets 0.53% 0.58% 0.68% 0.49% 0.75% 
Allowance for loan losses / total loans 1.10% 1.11% 1.09% 1.12% 1.13% 
Allowance for loan losses / nonperforming loans 221.77% 193.35% 164.67% 252.40% 161.48% 
       
PERIOD-END DATA     
Total assets$1,158,546 $1.096,395 $1,073,294 $1,007,685 $970,689  
Total loans 993,426  915,280  898,429  827,161  801,421  
Total deposits 946,152  934,326  894,934  874,149  852,230  
Total stockholders' equity 130,969  91,045  88,806  87,463  85,540  
Full-time equivalent employees (3) 116  104  108  104  107  
___________________________   
       
(1) Non-U.S. GAAP financial measure that we believe provides management and investors with information that is useful in understanding our
financial performance and condition.   
(2) Annualized.     
(3) The full-time equivalent totals include 8 and 4 seasonal interns as of 2Q2017 and 2Q2016, respectively. 

 

FIRST BANK AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES
(unaudited)
         
         
Efficiency Ratio       
  Three Months Ended June 30, Six Months Ended June 30,
   2017   2016   2017   2016 
  (dollars in thousands)
         
Non-interest expense$5,369  $4,453  $10,661  $8,822 
Less:  Merger-related expenses 130   -   280   - 
Adjusted non-interest expense (numerator)$5,239  $4,453  $10,381  $8,822 
         
Net interest income$8,654  $6,880  $16,754  $13,649 
Non-interest income 422   316   881   676 
Total revenue 9,076   7,196   17,635   14,325 
Less:        
Less:  Gains on sale of investment securities, net -   -   -   25 
Less:  Gain on sale of loans -   -   136   - 
Less:  Gains on recovery of acquired loans 76   63   113   174 
Adjusted total revenue (denominator)$9,000  $7,133  $17,386  $14,126 
         
Efficiency ratio 58.21%  62.43%  59.71%  62.45%
         
Pre-provision net revenue      
         
  Three Months Ended June 30, Six Months Ended June 30,
   2017   2016   2017   2016 
  (dollars in thousands)
         
Net interest income$8,654  $6,880  $16,754  $13,649 
Non-interest income 422   316   881   676 
Less:        
 Non-interest expense 5,369   4,453   10,661   8,822 
 Gains on sale of investment securities, net -   -   -   25 
 Gains on sale of loans -   -   136   - 
 Gains on recovery of acquired loans 76   63   113   174 
Add:        
 Merger-related expenses 130   -   280   - 
Pre-provision net revenue$3,761  $2,680  $7,005  $5,304 
 

 

 

 

CONTACT:  Patrick L. Ryan, President and CEO
(609) 643-0168, patrick.ryan@firstbanknj.com