FINCASTLE, Va., April 30, 2019 /PRNewswire/ -- The Bank of Fincastle [SYMBOL: BFTL] has announced its first quarter 2019 financial report and is pleased to report unaudited net income of $217,682 for the quarter ended March 31, 2019. This is a 14.32% improvement when compared to the first quarter 2018 net income of $190,409. 

"We continue to remain on course with our strategic growth plan as evidenced by our quarterly increase in deposits, and total assets. Continued improvement in our quarterly earnings is a proud accomplishment for our management team and loyal employees who continue to be focused on our long-term success," said Scott Steele, President and Chief Executive Officer. "We were also pleased with the addition of Kirtesh Patel to our Board of Directors during the first quarter of this year. Mr. Patel is an experienced business manager and executive, and his knowledge will be a valuable asset to our Board of Directors."

Key highlights include an increase in total assets of $7,416,556 and an increase in total deposits of $6,904,167 since December 31, 2018. Asset quality continues to improve with total nonperforming assets being reduced by 35% during the past twelve months. Net interest income has improved as the Bank continues to grow its loan portfolio.

The Bank's strong capital position exceeds the BASEL III capital requirements. As of March 31, 2019 The Bank of Fincastle reported total capital of 16.41% and tier 1 leverage capital of 11.89%. Both common equity tier 1 and tier 1 capital ratios were 15.15%.

Key Highlights

  • Increase in total assets by $7,416,556 or 3.58% and an increase in total deposits by $6,904,167 or 3.85%, since December 31, 2018
  • For the first 3 months of 2019, the Bank has achieved a Return on Average Assets of 0.42% versus 0.38% for the first quarter in 2018, a 14.32% improvement and Return on Average Equity 3.85%.
  • Net loans grew to $150.46 million in the first quarter from $141.37 million in the first quarter of 2018, a 6.4% increase.
  • Asset quality continues to improve. 
    • Quarter-end 30-89 day delinquencies are 0.41% of the portfolio vs. 0.51% on 3/31/2018.
    • Nonaccrual loans and 90 day past dues were reduced to $2.18 million compared to $3.39 million in first quarter 2018, a 35.8% reduction.
    • OREO was reduced to $2.78 million from $4.24 million during the twelve months ending 3/31/2019, a 34.5% reduction
    • OREO as a percentage of total assets has improved from 2.07% at 3/31/2018 to 1.29% at 3/31/2019.
  • Quarterly non-interest income was $250,903, up 1.41% from the same quarter last year. 
  • Quarterly non-interest expense was $1.82 million for the three months ended March 31, 2019 compared to $1.79 million for the three months ended March 31, 2018. Non-interest expense increased primarily due to employee expense and Virginia Bank Franchise Tax. The bank had $873 in OREO net losses for the three months ended 3/31/2019 as compared to net gains of $20,487 for the three months ending 3/31/2018.
  • The bank continues to exceed capital requirements. 
  • Kirtesh Patel, President and CEO of OMMA Management in Salem, Virginia has joined our Board of Directors.

For a detailed news release on our 2019 first quarter earnings, including our consolidated balance sheets and consolidated statement of operations please click here or visit our website at https://www.bankoffincastle.bank/investor-relations/

For additional information, please contact Scott Steele, President and CEO, at 540-473-2761.

About The Bank of Fincastle
The Bank of Fincastle has been a leading financial services provider in the Roanoke region since 1875, and offers a full range of banking, lending and investment products. The Bank of Fincastle is a Member FDIC, Equal Housing Lender and Equal Opportunity Employer.  

Information in this press release may contain forward-looking statements that might involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include without limitation, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, and changes in interest rates.

Media Contact:
Cindy Bailey
Marketing Director
540-966-0248
cindy.bailey@bankoffincastle.com

 

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SOURCE The Bank of Fincastle