Exhibit 99.1
NEWS
| FOR IMMEDIATE RELEASE | CONTACT: | John E. Peck | ||||||
| President and CEO | ||||||||
| (270) 885-1171 |
HOPFED BANCORP, INC. REPORTS FIRST QUARTER RESULTS
HOPKINSVILLE, Ky. (April 22, 2005) – HopFed Bancorp, Inc. (NASDAQ: HFBC) (the “Company”) today reported results for the first quarter ended March 31, 2005. Net income for the first quarter ended March 31, 2005, was $993,000, or $0.27 per share, compared with net income of $947,000, or $0.26 per share, for the first quarter in 2004.
Commenting on the first quarter results, John E. Peck, president and chief executive officer, said, “The Company’s non-interest income growth is impressive as our new deposit and investment products are being well received by our customers. For the quarter ended March 31, 2005, non-interest income was $968,000, an increase of $176,000 over the same period in 2004. The increase in non-interest income was primarily the result of a $149,000 increase in service charge income. Other fee income increased by $215,000 over the same period last year due to improved operating results from subsidiary insurance and investment service activities. The Company continues to focus on growing its demand deposit account base in an effort to lower its cost of funds. Loan growth is strong, with commercial lending leading the way.
“In addition, at March 31, 2005, total assets increased to $582.1 million compared with $579.7 million at December 31, 2004; deposits increased to $438.2 million compared with $436.2 million at December 31, 2004; while net loans increased to $361.2 million compared with $356.8 million at December 31, 2004.”
HopFed Bancorp, Inc. is the holding company for Heritage Bank headquartered in Hopkinsville, Kentucky. The Bank has nine offices in western Kentucky as well as Fall & Fall Insurance of Fulton, Kentucky and Heritage Solutions of Murray, Kentucky. The Bank offers a broad line of banking and financial products and services with the personalized focus of a community banking organization. More information about HopFed Bancorp and Heritage Bank may be found on its websitewww.bankwithheritage.com.
Information contained in this press release, other than historical information, may be considered forward-looking in nature and is subject to various risk, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on the Company’s operating results, performance or financial condition are competition and the demand for the Company’s products and services, and other factors as set forth in filings with the Securities and Exchange Commission.
-MORE-
HFBC Announces First Quarter Results
Page 2
April 28, 2005
HOPFED BANCORP, INC.
ARTICLE ISelected Financial Data
(In thousands, except per share data)
ARTICLE II
Three Months Ended March 31, | ||||||
| 2005 | 2004 | |||||
Earnings Summary | ||||||
Interest income on loans | $ | 5,000 | $ | 4,720 | ||
Interest income on taxable investments | 1,607 | 1,326 | ||||
Interest income on non taxable investments | 208 | 242 | ||||
Interest income on time deposits | 10 | 6 | ||||
Total interest income | 6,825 | 6,294 | ||||
Interest expense on deposits | 2,569 | 2,429 | ||||
Interest expense on subordinated debentures | 167 | 110 | ||||
Interest expense on FHLB advances | 682 | 426 | ||||
Total interest expense | 3,418 | 2,965 | ||||
Net interest income | 3,407 | 3,329 | ||||
Provision for loan losses | 300 | 300 | ||||
Net interest income after provision for loan losses | 3,107 | 3,029 | ||||
Non-interest income: | ||||||
Gain on sale of assets | 4 | — | ||||
Gain on sale of investments | — | 171 | ||||
Gain on sale of loans | 11 | 32 | ||||
Service charges | 530 | 381 | ||||
Other | 423 | 208 | ||||
Total non-interest income | 968 | 792 | ||||
Non-interest expense: | ||||||
Salaries and benefits | 1,433 | 1,256 | ||||
Intangible amortization | 95 | 95 | ||||
Occupancy expense | 224 | 169 | ||||
Data processing | 281 | 198 | ||||
State deposit taxes | 108 | 116 | ||||
Loss on sale of fixed assets | — | 7 | ||||
Other operating expenses | 523 | 555 | ||||
Total non-interest expense | 2,664 | 2,396 | ||||
Net income before income taxes | 1,411 | 1,425 | ||||
Federal income tax expense | 418 | 478 | ||||
Net income | $ | 993 | $ | 947 | ||
-END-
HFBC Announces First Quarter Results
Page 3
April 28, 2005
ARTICLE III
Three Months Ended March 31, | ||||||
| 2005 | 2004 | |||||
Earnings per share - basic | $ | 0.27 | $ | 0.26 | ||
Earnings per share - diluted | $ | 0.27 | $ | 0.26 | ||
Dividend per share | $ | 0.12 | $ | 0.12 | ||
Weighted average shares outstanding – Basic | 3,639,283 | 3,630,396 | ||||
Weighted average shares outstanding – Diluted | 3,667,361 | 3,661,397 | ||||
ARTICLE IV
| As of | ||||||||
| March 31, 2005 | December 31, 2004 | |||||||
Total assets | $ | 582,131 | $ | 579,731 | ||||
Loans receivable, gross | 364,607 | 360,098 | ||||||
Securities available for sale | 153,039 | 158,181 | ||||||
Securities held to maturity | 22,732 | 22,768 | ||||||
Allowance for loan losses | 3,423 | 3,273 | ||||||
Total deposits | 438,239 | 436,195 | ||||||
Total borrowings | 91,676 | 91,629 | ||||||
Stockholder’s equity | 48,641 | 49,373 | ||||||
Book value | 13.37 | 13.58 | ||||||
Allowance for loan loss as a percent of gross loans | 0.94 | % | 0.91 | % | ||||
Non performing assets as a percent of assets | 0.12 | % | 0.13 | % | ||||
Nonaccrual and 90 days or more past due loan as a percent of gross loans | 0.15 | % | 0.18 | % | ||||
-END-