FOR IMMEDIATE RELEASE
April 20, 2005
GS Financial Corp. Announces First Quarter Results
(NASDAQ: GSLA)
METAIRIE, La. – GS Financial Corp, the holding company of Guaranty Savings and Homestead Association (www.gsha.com), reported a loss for the quarter ended March 31, 2005 of $101,000, or a loss of $.09 per share, due to the one-time recognition of costs associated with the retirement of the Company’s former President and Chief Executive Officer. These costs totaled $428,000, or $.36 per share ($282,000, or $.24 per share, after related tax benefits). Excluding the impact of this one-time charge, net earnings from operations for the quarter ended March 31, 2005 were $182,000, or $.15 per share. By comparison, the Company reported net earnings of $111,000, or $.10 per share, for the same period in 2004.
Net interest income for the quarter ended March 31, 2005 was $1.4 million compared to $1.2 million for the same period in 2004. The Company’s net interest margin also increased to 3.03% for the first quarter of 2005 from 2.39% for 2004. This increase was due primarily to the beneficial effects in a rising rate environment on our rate sensitive balance sheet, increases in our loan portfolio over the same period of the previous year, and lower funding costs.
Non-interest expenses for the first quarter of 2005 were $1.5 million, up approximately $374,000 from the first quarter of 2004 total of $1.1 million. If adjusted for one-time retirement benefits, operating expenses would have been approximately $1.1 million, or $53,000 below the previous year’s first quarter.
Total Assets at March 31, 2005 were $191.0 million compared to $200.1 million at December 31, 2004, a decrease of approximately $9.1 million, or 4.5%. Net loans declined $2.4 million in the first quarter of 2005. At March 31, 2005 net loans were $89.8 million compared to $92.2 million at year-end 2004. Deposit accounts decreased approximately $7.1 million during the first quarter, totaling $123.7 million at March 31, 2005 compared to $130.7 million at December 31, 2004. Stockholders’ equity at March 31, 2005 was 14.9% of total assets compared to 14.5% at December 31, 2004.
GS Financial Corp. |
Consolidated Statements of Financial Condition |
| |
| | | |
($ in thousands) | March 31, 2005 (Unaudited) | December 31, 2004 (Audited) | |
ASSETS | | | |
Cash & Amounts due from depository Institutions | $ 1,925 | $ 1,613 | |
Interest-Bearing Deposits from other Banks | 5,575 | 3,761 | |
Federal Funds Sold | 1,475 | 1,650 | |
Securities Available-for-Sale, at Fair Value | 85,546 | 94,557 | |
Loans, Net | 89,753 | 92,158 | |
Accrued Interest Receivable | 706 | 596 | |
Premises & Equipment, Net | 2,578 | 2,508 | |
Stock in Federal Home Loan Bank, at Cost | 2,467 | 2,445 | |
Foreclosed Assets | - | - | |
Real Estate Held-for-Investment, Net | 489 | 493 | |
Other Assets | 499 | 285 | |
Total Assets | $ 191,013 | $ 200,066 | |
| | | | |
LIABILITIES | | | |
Interest-Bearing Deposits | $ 123,027 | $ 129,758 | |
Noninterest-Bearing Deposits | 645 | 965 | |
FHLB Advances | 37,762 | 39,689 | |
Other Liabilities | 1,112 | 710 | |
Total Liabilities | 162,546 | 171,122 | |
| | | | |
STOCKHOLDERS' EQUITY | | | |
Common Stock | $ 33,564 | $ 33,564 | |
Additional Paid-in Capital | 955 | 895 | |
Unearned ESOP Stock | (450) | (521) | |
Unearned RRP Trust Stock | (866) | (865) | |
Treasury Stock | (32,180) | (32,119) | |
Retained Earnings | 28,063 | 28,286 | |
Accumulated Other Comprehensive Loss | (619) | (296) | |
Total Stockholders' Equity | 28,467 | 28,944 | |
Total Liabilities & Stockholders' Equity | $ 191,013 | $ 200,066 | |
| | | | |
Selected Asset Quality Data | | | |
Total Non Performing Assets | 921 | $ 894 | |
Non Performing Assets to Total Assets | 0.48% | 0.45% | |
Allowance for Loan Losses to Non Performing Assets | 99.87% | 102.90% | |
GS Financial Corp. |
Condensed Consolidated Statements of Income |
(Unaudited) |
| | | |
| For the Three Months Ended March 31, |
($ in thousands, except per share data) | 2005 | 2004 |
Interest and Dividend Income | $ 2,663 | $ 2,683 |
Interest Expense | 1,223 | 1,428 |
| | | |
Net Interest Income | 1,440 | 1,255 |
Provision for Loan Losses | - | 14 |
Net Interest Income after Provision for Loan Losses | 1,440 | 1,241 |
| | | |
Non-interest Expense | 1,517 | 1,143 |
Net (Loss)Income Before Non-Interest Income and Income Taxes | (77) | �� 98 |
| | | |
Non-interest Income | 8 | 21 |
(Loss) Income Before Tax Expense | (69) | 119 |
| | | |
Income Tax Expense | 30 | 8 |
Net (Loss) Income | $ (99) | $ 111 |
(Loss) Earnings Per Share - Basic | $ (0.09) | $ 0.10 |
(Loss) Earnings Per Share -Diluted | $ (0.08) | $ 0.09 |
| | | |
Selected Operating Data | | |
Weighted Average Shares Outstanding | 1,182,616 | 1,160,093 |
Return on Average Assets1 | -0.21% | 0.20% |
Non-Interest Expense/Average Assets1 | 3.11% | 2.10% |
Net Interest Margin1 | 3.03% | 2.39% |
1 Annualized | | |
