Frederick County Bancorp, Inc. Reports Results for the First Quarter 2008
FREDERICK, Md., April 8, 2008 /PRNewswire-FirstCall/ -- Frederick County Bancorp, Inc. (the "Company") (OTC Bulletin Board: FCBI), the parent company for Frederick County Bank, announced today that, for the quarter ended March 31, 2008, the Company recorded net income of $300,000 and diluted earnings per share of $0.20, as compared to net income of $323,000 and diluted earnings per share of $0.21 recorded for the first quarter of 2007. The Company increased its provision for loan losses in 2008 to $120,000 from the $66,000 recorded in the first quarter of 2007. This increase reflects management's continued concern with rising consumer and mortgage loan delinquencies and deteriorating economic conditions.
The Company also reported that, as of March 31, 2008, assets stood at $263.2 million, with deposits of $224.4 million and gross loans of $210.3 million, representing increases of 9.5%, 4.3% and 14.4%, respectively, over the first quarter of 2007.
Frederick County Bank commenced operations in 2001. The Bank is headquartered in Frederick, Maryland, and conducts full service commercial banking services through four offices, three of which are in the City of Frederick and one office located in Walkersville, Maryland.
| | | March 31, | | March 31, | | December 31, | |
| | | 2008 | | 2007 | | 2007 | |
(dollars in thousands) | | (unaudited) | | (unaudited) | | (audited) | |
| Total assets | | $ | 263,235 | | $ | 240,449 | | $ | 255,991 | |
| Cash and due from banks | | | 4,282 | | | 6,229 | | | 3,828 | |
Federal funds sold and other overnight investments | | | 16,886 | | | 14,845 | | | 8,538 | |
Investment securities - available for sale | | | 24,936 | | | 30,421 | | | 27,512 | |
| Restricted Stock | | | 1,479 | | | 945 | | | 1,440 | |
| Loans, net | | | 207,809 | | | 181,512 | | | 206,371 | |
| Deposits | | | 224,396 | | | 215,181 | | | 219,228 | |
| Long-term borrowings | | | 10,000 | | | - | | | 10,000 | |
| Junior subordinated debentures | | | 6,186 | | | 6,186 | | | 6,186 | |
| Shareholders' equity | | | 20,109 | | | 18,308 | | | 19,580 | |
| SELECTED FINANCIAL DATA | | | | | |
| | | Three Months Ended March 31, | |
(dollars in thousands, except per share data) | | 2008 | | 2007 | |
| SUMMARY OF OPERATING RESULTS: | | (unaudited) | | (unaudited) | |
| Interest income | | $ | 4,016 | | $ | 3,725 | |
| Interest expense | | | 1,990 | | | 1,777 | |
| Net interest income | | | 2,026 | | | 1,948 | |
| Provision for loan losses | | | 120 | | | 66 | |
Net interest income after provision for loan losses | | | 1,906 | | | 1,882 | |
| Gain on sale of foreclosed property | | | 15 | | | - | |
| Noninterest income (excluding gains) | | | 137 | | | 86 | |
| Noninterest expense | | | 1,646 | | | 1,504 | |
| Income before provision for income taxes | | | 412 | | | 464 | |
| Provision for income taxes | | | 112 | | | 141 | |
| Net income | | | 300 | | | 323 | |
| PER COMMON SHARE DATA: | | | | | |
| Basic earnings per share | | $ | 0.21 | | $ | 0.22 | |
| Diluted earnings per share | | $ | 0.20 | | $ | 0.21 | |
Basic weighted average number of shares outstanding | | | 1,460,602 | | | 1,458,669 | |
Diluted weighted average number of shares outstanding | | | 1,509,048 | | | 1,523,749 | |
| Common shares outstanding | | | 1,460,602 | | | 1,460,602 | |
| Book value per share | | | 13.77 | | | 12.53 | |
| SELECTED UNAUDITED FINANCIAL RATIOS: | | | | | |
| Return on average assets | | | 0.46 | % | | 0.56 | % |
| Return on average equity | | | 5.97 | % | | 7.12 | % |
| Allowance for loan losses to total loans | | | 1.17 | % | | 1.21 | % |
| Nonperforming assets to total assets | | | 0.62 | % | | 0.01 | % |
| Average equity to average assets | | | 7.76 | % | | 7.90 | % |
| | | | | | | | |
| Weighted average yield/rate on: | | | | | | | |
| Loans | | | 6.91 | % | | 7.35 | % |
| Interest-earning assets | | | 6.58 | % | | 6.94 | % |
| Interest-bearing liabilities | | | 3.93 | % | | 4.01 | % |
| Net interest spread | | | 2.65 | % | | 2.92 | % |
| Net interest margin | | | 3.37 | % | | 3.68 | % |
The statements in this press release that are not historical facts constitute "forward-looking statements" as defined by Federal Securities laws. Forward-looking statements can generally be identified by the use of forward-looking terminology such as "believes," "expects," "intends," "may," "will," "should," "anticipates" or similar terminology. Such statements, specifically regarding the Company's intentions regarding growth and market expansion, are subject to risks and uncertainties that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, changes in interest rates, deposit flows, loan demand and real estate values, as well as changes in economic, competitive, governmental, regulatory, technological and other factors which may affect the Company specifically, its existing and target market areas or the banking industry generally. Forward-looking statements speak only as of the date they are made. The Company will not update forward-looking statements to reflect factual assumptions, circumstances or events that have changed after a forward-looking statement was made. For further information, please refer to the Company's reports filed with the U.S. Securities and Exchange Commission.
