Key Financial Data | 3Q22 Highlights | |||||||||
Profitability Metrics | 3Q22 | 2Q22 | 3Q21 | |||||||
Return on average assets (%) | 0.65 | % | 1.73 | % | 0.95 | % | • Net Revenues of | |||
Return on average common equity (%) | 8.12 | % | 22.83 | % | 12.98 | % | ||||
Return on tangible common equity (%) | 8.23 | % | 23.15 | % | 13.18 | % | • Net Income of | |||
Net interest margin (%) | 3.27 | % | 3.34 | % | 3.63 | % | ||||
Income Statement (a) | 3Q22 | 2Q22 | 3Q21 | • Average loans increased 8% quarter-over-quarter with average total deposits decreasing of 6% since prior quarter. The decrease can be attributed to the sale of the | ||||||
Net interest income | $ | 4,242 | $ | 4,371 | $ | 4,532 | ||||
Non-interest income | $ | 266 | $ | 2,043 | $ | 478 | ||||
Net income | $ | 872 | $ | 2,354 | $ | 1,217 | ||||
Diluted earnings per common share | $ | 0.13 | $ | 0.35 | $ | 0.18 | ||||
• | ||||||||||
Balance Sheet (a) | 3Q22 | 2Q22 | 3Q21 | |||||||
Average total loans | $ | 456,085 | $ | 423,431 | $ | 439,967 | • Core conversion was successfully completed during the 3Q | |||
Average total deposits | $ | 431,600 | $ | 460,624 | $ | 425,553 | ||||
Book value per common share | $ | 6.47 | $ | 6.37 | $ | 5.71 | ||||
(a) In thousands except for per share amounts |
With the rapidly changing environment we remain encouraged by our strong asset quality and our consistent underwriting principles. Both of which have been pillars of the Company driving solid performance the past years. These same principles will allow the organization to weather the uncertain economic times and any change in the business cycle.”
Selected Balance sheet Information
As of September 30, 2022, total assets were $561.8 million, an increase of $46.1 million, or 8.9%, as compared to total assets of $515.7 million on December 31, 2021. Loans receivable totaled
Asset quality remains strong with the allowance for loan loss remaining relatively unchanged from prior quarter. The allowance for loan losses represented 1.20%, 1.37%, and 1.33% of loans receivable as of
Nonperforming assets, which includes nonaccrual loans and repossessed assets were
Total deposits increased $54.9 million, or 13.8% to $452.9 million as of September 30, 2022, from $398.0 million on June 30, 2022, and
As of September 30, 2022, the Bank's Tier 1 capital leverage ratio, common equity tier 1 capital ratio, Tier 1 capital ratio and total capital ratios were 10.33%, 14.71%, 14.71% and 15.96%, respectively, all in excess of the ratios required to be deemed "well-capitalized." As of
Financial Performance Overview:
For the three months ended September 30, 2022, net income totaled $872 thousand, which reflects a decrease of $1.5 million, in comparison to
Net interest income for the three months ended September 30, 2022, decreased by
There was a
Non-interest income decreased $1.8 million, to $266 thousand for the three months ended September 30, 2022, compared with non-interest income of $2.0 million for the three months ended June 30, 2022. The decrease is a result from the gain on sale associated with the abovementioned branch sale.
Non-interest expense totaled
About
The Bank was organized under federal law in 2004 as a national bank regulated by the
We operate from our administrative headquarters in
Forward-Looking Statements
This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this report that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as “may”, “will”, “expect”, “believe”, “anticipate”, “estimate” or “continue” or comparable terminology, are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within
Investor Contact:
(845) 451-7825
Consolidated Statement of Financial Condition (in thousands) | |||||||||
2022 | 2022 | 2021 | |||||||
(unaudited) | (unaudited) | (audited) | |||||||
Assets | |||||||||
Cash and cash equivalents | $ | 30,481 | 27,221 | 59,078 | |||||
Securities | 32,622 | 33,258 | 11,192 | ||||||
Loans receivable, net: | |||||||||
Real estate mortgage loans | 459,916 | 400,502 | 378,126 | ||||||
Commercial and Lines of Credit | 14,484 | 16,725 | 41,879 | ||||||
Construction Loans | - | 600 | 560 | ||||||
Home Equity and Consumer Loans | 668 | 2,983 | 5,187 | ||||||
Deferred costs | 3,828 | 3,269 | 2,353 | ||||||
Allowance for loan losses | (5,760 | ) | (5,756 | ) | (5,869 | ) | |||
Total loans receivable, net | 473,136 | 418,323 | 422,236 | ||||||
Investment in restricted stock, at cost | 3,432 | 3,433 | 2,502 | ||||||
Bank premises and equipment, net | 5,776 | 5,628 | 6,427 | ||||||
Accrued interest receivable | 1,975 | 1,685 | 1,827 | ||||||
581 | 581 | 581 | |||||||
Repossessed assets | 117 | 235 | - | ||||||
Bank Owned Life Insurance | 5,168 | 5,134 | 5,067 | ||||||
Other Assets | 8,474 | 9,219 | 6,781 | ||||||
Total Assets | $ | 561,762 | 504,717 | 515,691 | |||||
Liabilities & Stockholders' Equity | |||||||||
Non-Interest-Bearing Deposits | 150,677 | 131,481 | 149,769 | ||||||
Interest-Bearing Deposits | 263,217 | 246,827 | 273,876 | ||||||
Brokered Deposits | 39,051 | 19,727 | 10,040 | ||||||
Total Deposits | 452,945 | 398,035 | 433,685 | ||||||
Bond Issue | 14,000 | 14,000 | 14,000 | ||||||
Borrowed Money | 35,000 | 35,000 | 15,169 | ||||||
Other Liabilities | 16,665 | 15,229 | 13,590 | ||||||
Total Liabilities | 518,610 | 462,264 | 476,444 | ||||||
Stockholders' equity | 43,152 | 42,453 | 39,247 | ||||||
Total liabilities and stockholders' equity | $ | 561,762 | 504,717 | 515,691 |
ES Bancshares, Inc. Consolidated Statement of Income (in thousands) | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
2022 | 2022 | 2022 | 2022 | 2021 | ||||||||||||
(unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | ||||||||||||
Interest income | ||||||||||||||||
Loans | $ | 4,943 | 4,672 | 4,771 | $ | 14,386 | 15,012 | |||||||||
Securities | 172 | 163 | 91 | 426 | 88 | |||||||||||
Other interest-earning assets | 164 | 157 | 64 | 385 | 202 | |||||||||||
Total Interest Income | 5,279 | 4,992 | 4,926 | 15,197 | 15,302 | |||||||||||
Interest expense | ||||||||||||||||
Deposits | 643 | 347 | 294 | 1,284 | 1,072 | |||||||||||
Borrowings | 394 | 274 | 271 | 939 | 1,041 | |||||||||||
Total Interest Expense | 1,037 | 621 | 565 | 2,223 | 2,113 | |||||||||||
Net Interest Income | 4,242 | 4,371 | 4,361 | 12,974 | 13,189 | |||||||||||
(Benefit)/Prov for Loan Losses | - | (65 | ) | (113 | ) | (178 | ) | 590 | ||||||||
Net Interest Income after (Benefit)/Prov for Loan Losses | 4,242 | 4,436 | 4,474 | 13,152 | 12,599 | |||||||||||
Non-interest income | ||||||||||||||||
Deposit service charges | 84 | 88 | 84 | 256 | 338 | |||||||||||
Loan fee income | 83 | 76 | 141 | 300 | 221 | |||||||||||
Gain on Loan Sales | - | - | 241 | 241 | 248 | |||||||||||
Gain on | - | 1,782 | - | 1,782 | - | |||||||||||
Other | 99 | 97 | 38 | 234 | 48 | |||||||||||
Total non-interest income | 266 | 2,043 | 504 | 2,813 | 855 | |||||||||||
Non-interest expenses | ||||||||||||||||
Compensation and benefits | 1,826 | 1,839 | 1,721 | 5,386 | 4,838 | |||||||||||
Occupancy and equipment | 722 | 666 | 689 | 2,077 | 1,807 | |||||||||||
Data processing service fees | 345 | 262 | 260 | 867 | 625 | |||||||||||
Marketing | (35 | ) | 100 | 108 | 173 | 205 | ||||||||||
Professional fees | 194 | 205 | 255 | 654 | 498 | |||||||||||
NYS & FDIC Assessments | 14 | 73 | 82 | 169 | 227 | |||||||||||
Printing & Office Supplies | 45 | 29 | 44 | 118 | 112 | |||||||||||
Insurance | 53 | 32 | 38 | 123 | 100 | |||||||||||
Other | 217 | 280 | 275 | 772 | 844 | |||||||||||
Total non-interest expense | 3,381 | 3,486 | 3,472 | 10,339 | 9,256 | |||||||||||
Income prior to tax expense | 1,127 | 2,993 | 1,506 | 5,626 | 4,198 | |||||||||||
Income taxes | 255 | 639 | 326 | 1,220 | 912 | |||||||||||
Net Income | $ | 872 | 2,354 | 1,180 | $ | 4,406 | 3,286 |
For the Three Months Ended (dollars in thousands) | ||||||||||||||||||
Avg Bal | Interest | Average Yield/ Cost | Avg Bal | Interest | Average Yield/Cost | Avg Bal | Interest | Average Yield/Cost | ||||||||||
Rolling 3 Mos. | Rolling 3 Mos. | Rolling 3 Mos. | Rolling 3 Mos. | Rolling 3 Mos. | Rolling 3 Mos. | |||||||||||||
Assets | ||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||
Loans receivable | $ | 456,085 | $ | 4,943 | 4.33 | % | $ | 423,431 | $ | 4,672 | 4.41 | % | $ | 439,967 | $ | 5,034 | 4.58 | % |
Investment securities | 33,194 | 172 | 2.07 | % | 30,733 | 163 | 2.12 | % | 4,688 | 31 | 2.64 | % | ||||||
FF sold & interest-bearing deposits | 27,240 | 114 | 1.68 | % | 66,337 | 122 | 0.73 | % | 47,495 | 29 | 0.24 | % | ||||||
Restricted investment in bank stock | 1,691 | 50 | 11.78 | % | 2,512 | 35 | 5.61 | % | 2,676 | 35 | 5.22 | % | ||||||
Total interest-earning assets | 518,209 | 5,279 | 4.07 | % | 523,014 | 4,992 | 3.82 | % | 494,826 | 5,129 | 4.15 | % | ||||||
Non-interest earning assets | 19,798 | 22,566 | 17,595 | |||||||||||||||
Total assets | $ | 538,007 | $ | 545,580 | $ | 512,421 | ||||||||||||
Liabilities and Stockholders' Equity | ||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||
Interest-bearing checking | $ | 32,736 | $ | 34 | 0.41 | % | $ | 33,728 | $ | 34 | 0.40 | % | $ | 27,577 | $ | 30 | 0.43 | % |
Money market accounts | 6,589 | 3 | 0.20 | % | 8,539 | 4 | 0.19 | % | 10,226 | 5 | 0.19 | % | ||||||
Savings accounts | 134,132 | 180 | 0.53 | % | 171,387 | 133 | 0.31 | % | 179,428 | 143 | 0.32 | % | ||||||
Certificates of deposit | 117,679 | 426 | 1.44 | % | 98,101 | 176 | 0.72 | % | 71,674 | 117 | 0.65 | % | ||||||
Total interest-bearing deposits | 291,136 | 643 | 0.88 | % | 311,755 | 347 | 0.45 | % | 288,905 | 295 | 0.41 | % | ||||||
Borrowings | 35,000 | 173 | 1.96 | % | 15,667 | 53 | 1.38 | % | 24,624 | 81 | 1.31 | % | ||||||
Subordinated debenture | 13,655 | 221 | 6.42 | % | 13,644 | 221 | 6.41 | % | 13,613 | 221 | 6.43 | % | ||||||
Total interest-bearing liabilities | 339,791 | 1,037 | 1.21 | % | 341,066 | 621 | 0.73 | % | 327,142 | 597 | 0.72 | % | ||||||
Non-interest-bearing demand deposits | 140,464 | 148,869 | 136,648 | |||||||||||||||
Other liabilities | 14,803 | 14,395 | 11,127 | |||||||||||||||
Total non-interest-bearing liabilities | 155,267 | 163,264 | 147,775 | |||||||||||||||
Stockholders' equity | 42,950 | 41,250 | 37,504 | |||||||||||||||
Total liabilities and stockholders' equity | $ | 538,007 | $ | 545,580 | $ | 512,421 | ||||||||||||
Net interest income | $ | 4,242 | $ | 4,371 | $ | 4,532 | ||||||||||||
Average interest rate spread | 2.86 | % | 3.09 | % | 3.43 | % | ||||||||||||
Net interest margin | 3.27 | % | 3.34 | % | 3.63 | % | ||||||||||||
Ratio of average interest-earning assets to average interest-bearing liabilities | 152.51 | % | 153.35 | % | 151.26 | % | ||||||||||||
Five Quarter Performance Ratio Highlights | Three Months Ended | |||||||||||||||
2022 | 2022 | 2022 | ||||||||||||||
Income Statement | ||||||||||||||||
Return on Average Assets | 0.65 | % | 1.73 | % | 0.90 | % | 1.04 | % | 0.95 | % | ||||||
Return on Average Equity | 8.12 | % | 22.83 | % | 11.78 | % | 13.82 | % | 12.98 | % | ||||||
Return on Average Tangible Equity | 8.23 | % | 23.15 | % | 11.96 | % | 14.03 | % | 13.18 | % | ||||||
Efficiency Ratio | 60.97 | % | 52.56 | % | 68.27 | % | 62.17 | % | 64.53 | % | ||||||
Yields / Costs | ||||||||||||||||
Average Yield - Interest Earning Assets | 4.07 | % | 3.82 | % | 3.95 | % | 4.29 | % | 4.15 | % | ||||||
Cost of Funds | 1.21 | % | 0.73 | % | 0.69 | % | 0.71 | % | 0.72 | % | ||||||
Net Interest Margin | 3.27 | % | 3.34 | % | 3.47 | % | 3.80 | % | 3.63 | % | ||||||
Capital Ratios | ||||||||||||||||
Equity / Assets | 7.68 | % | 7.85 | % | 7.43 | % | 7.61 | % | 7.52 | % | ||||||
Tangible Equity / Assets | 7.59 | % | 7.75 | % | 7.33 | % | 7.51 | % | 7.42 | % | ||||||
Tier I leverage ratio (a) | 10.3 | % | 9.9 | % | 10.0 | % | 9.9 | % | 9.6 | % | ||||||
Common equity Tier I capital ratio (a) | 14.7 | % | 15.8 | % | 15.5 | % | 15.5 | % | 15.6 | % | ||||||
Tier 1 Risk-based capital ratio (a) | 14.7 | % | 15.8 | % | 15.5 | % | 15.5 | % | 15.6 | % | ||||||
Total Risk-based capital ratio (a) | 16.0 | % | 17.0 | % | 16.8 | % | 16.7 | % | 16.9 | % | ||||||
Stock Valuation | ||||||||||||||||
Book Value | $ | 6.40 | $ | 6.37 | $ | 6.04 | $ | 5.90 | $ | 5.71 | ||||||
Tangible Book Value | $ | 6.32 | $ | 6.28 | $ | 5.96 | $ | 5.82 | $ | 5.62 | ||||||
Diluted EPS | $ | 0.13 | $ | 0.35 | $ | 0.18 | $ | 0.20 | $ | 0.18 | ||||||
Shares Outstanding (b) | 6,666 | 6,663 | 6,663 | 6,648 | 6,648 | |||||||||||
Key Ratios | ||||||||||||||||
ALLL / Total Loans | 1.20 | % | 1.37 | % | 1.38 | % | 1.37 | % | 1.33 | % | ||||||
Non-Performing Loans / Total Loans | 0.34 | % | 0.38 | % | 0.42 | % | 0.45 | % | 0.43 | % | ||||||
Non-Performing Assets / Total Assets | 0.31 | % | 0.37 | % | 0.39 | % | 0.38 | % | 0.39 | % | ||||||
(a) Ratios at Bank level (b) Shares outstanding presented in thousands |
Source:
2022 GlobeNewswire, Inc., source