The Bancorp, Inc. Reports Second Quarter 2009 Results
Wilmington, De - July 23, 2009 - The Bancorp, Inc. ("Bancorp") (NASDAQ: TBBK), a financial holding company, today reported results for the quarter ended June 30, 2009.
Second Quarter 2009 financial highlights:
- Transaction accounts increased 67% over the second quarter of 2008 and 15% over December 31, 2008 to $1.3 billion.
- Transaction accounts total 88% of total deposits at June 30, 2009.
- Time deposits decreased 67% from the second quarter of 2008 and 54% from December 31, 2008.
- Construction loans decreased 16% from December 31, 2008 to $255.5 million at June 30, 2009.
- The net interest margin increased to 3.96% for the second quarter of 2009 as compared to 3.34% for the second quarter of 2008.
Financial Results
Bancorp reported a net income available to common shareholders for the three months ended June 30, 2009 of $125,000 or earnings per share - diluted of $0.01, based on 15,351,843 weighted average shares outstanding, compared to net loss available to common shareholders of $4.3 million or a total loss per share - diluted of $0.29, based on 14,563,218 weighted average shares outstanding, for the three months ended June 30, 2008. For the six months ended June 30, 2009, Bancorp reported net income available to common shareholders of $488,000 or earnings per share - diluted of $0.03, based on 15,035,205 weighted average shares outstanding, compared to a net loss of $1.5 million or a total loss per share - diluted of $0.10, based on 14,562,434 weighted average shares outstanding.
Balance Sheet Summary
At June 30, 2009, Bancorp's total assets were $1.732 billion, a decrease of $60.8 million or 3.3% from December 31, 2008. Loans grew to $1.46 billion, an increase of $10.6 million or 0.7% from those of December 31, 2008, and deposits decreased to $1.49 billion, a decrease of $34.9 million or 2.3%, from deposits at December 31, 2008. Total common shares outstanding were 14,563,919 at June 30, 2009 and December 31, 2008 respectively.
Conference Call Webcast
Interested parties can access the LIVE webcast of Bancorp's Quarterly Earnings Conference Call at 9:00 AM EDT on Friday, July 24, 2009 by clicking on the webcast link on Bancorp's homepage at www.thebancorp.com. The conference call may also be listened to by dialing 888.396.2356 using access code 26068769. For those who are not available to listen to the live broadcast, the replay of the webcast will be available following the live call on Bancorp's investor relations website and telephonically until Friday, July 31, 2009 by dialing 888.286.8010, access code 54109315.
About Bancorp
The Bancorp, Inc. is a financial holding company that operates The Bancorp Bank, an FDIC-insured commercial bank that delivers a full array of financial services and products both directly and through private-label affinity partner programs nationwide. The Bancorp Bank's regional community bank division serves the needs of small and mid-size businesses and their principals in the Philadelphia-Wilmington region.
The Bancorp, Inc. Contact
Andres Viroslav
215-861-7990
andres.viroslav@thebancorp.com
The Bancorp, Inc. |
Financial highlights |
(unaudited) |
| | | | | | | | |
| Three months ended | | Six months ended | |
| June 30, | | June 30, | |
| 2009 | | 2008 | | 2009 | | 2008 | |
| (dollars in thousands except per share data) | | (dollars in thousands except per share data) | |
| | |
Condensed income statement | | | | | | | | |
Net interest income | $ 15,969 | | $ 12,921 | | $ 30,885 | | $ 25,817 | |
Provision for loan and lease losses | 2,500 | | 3,350 | | 5,500 | | 4,700 | |
Non-interest income | | | | | | | | |
Other than temporary impairment of investment securities | - | | (8,275) | | - | | (8,275) | |
Other non-interest income | 3,803 | | 3,024 | | 7,131 | | 6,500 | |
Total non-interest income | 3,803 | | (5,251) | | 7,131 | | (1,775) | |
Non-interest expense | | | | | | | | |
Loss on other real estate owned | 1,700 | | - | | 1,700 | | - | |
FDIC special assessment | 775 | | - | | 775 | | - | |
Other non-interest expense | 13,058 | | 11,210 | | 26,311 | | 21,572 | |
Total non-interest expense | 15,533 | | 11,210 | | 28,786 | | 21,572 | |
Net income (loss) before income tax expense | 1,739 | | (6,890) | | 3,730 | | (2,230) | |
Income tax expense (benefit) | 632 | | (2,619) | | 1,413 | | (785) | |
Net income (loss) | 1,107 | | (4,271) | | 2,317 | | (1,445) | |
Less preferred stock dividends | (581) | | (16) | | (1,163) | | (33) | |
Less preferred stock accretion | (401) | | - | | (666) | | - | |
Loss allocated to Series A preferred shareholders | - | | 31 | | - | | 10 | |
Net income (loss) available to common shareholders | $ 125 | | $ (4,256) | | $ 488 | | $ (1,468) | |
| | | | | | | | |
Basic earnings (loss) per share | $ 0.01 | | $ (0.29) | | $ 0.03 | | $ (0.10) | |
| | | | | | | | |
Diluted earnings (loss) per share | $ 0.01 | | $ (0.29) | | $ 0.03 | | $ (0.10) | |
Weighted average shares - basic | 14,563,919 | | 14,563,218 | | 14,563,919 | | 14,562,434 | |
Weighted average shares - diluted | 15,351,843 | | 14,563,218 | | 15,035,205 | | 14,562,434 | |
| | | | | | | | |
| | | | | | | | |
| June 30, | | March 31, | | December 31, | | June 30, | |
| 2009 | | 2009 | | 2008 | | 2008 | |
Condensed balance sheet | | | | | | | | |
Assets | | | | | | | | |
Federal funds sold | $ 12,102 | | $ 18,114 | | $ 87,729 | | $ 18,047 | |
Investment securities | 143,323 | | 109,580 | | 106,458 | | 118,897 | |
Loans | 1,459,965 | | 1,471,556 | | 1,449,349 | | 1,427,578 | |
Allowance for loan and lease losses | (18,080) | | (18,977) | | (17,361) | | (14,245) | |
Other assets | 134,268 | | 186,799 | | 166,200 | | 127,129 | |
Total assets | $ 1,731,578 | | $ 1,767,072 | | $ 1,792,375 | | $ 1,677,406 | |
| | | | | | | | |
Liabilities and shareholders' equity | | | | | | | | |
Transaction accounts | $ 1,314,177 | | $ 1,345,397 | | $ 1,144,515 | | $ 786,785 | |
Time deposits | 176,308 | | 136,526 | | 380,847 | | 527,582 | |
Total deposits | 1,490,485 | | 1,481,923 | | 1,525,362 | | 1,314,367 | |
Short-term borrowings | 43,394 | | 89,364 | | 70,419 | | 172,005 | |
Subordinated debt | 13,401 | | 13,401 | | 13,401 | | 13,401 | |
Other liabilities | 3,019 | | 1,222 | | 2,790 | | 4,970 | |
Shareholder's equity | 181,279 | | 181,162 | | 180,403 | | 172,663 | |
Total liabilities and shareholders' equity | $ 1,731,578 | | $ 1,767,072 | | $ 1,792,375 | | $ 1,677,406 | |
| | | | | | | | |
| | | | | | | | |
| | | | | | | | |
| Second | | First | | Fourth | | Second | |
| quarter | | quarter | | quarter | | quarter | |
Average condensed balance sheet | average 2009 | | average 2009 | | average 2008 | | average 2008 | |
Assets | | | | | | | | |
Federal funds sold | $ 23,068 | | $ 98,215 | | $ 37,634 | | $ 21,566 | |
Investment securities | 135,102 | | 109,761 | | 116,816 | | 127,544 | |
Loans | 1,470,347 | | 1,457,084 | | 1,460,204 | | 1,396,421 | |
Allowance for loan and lease losses | (19,474) | | (17,878) | | (15,853) | | (11,875) | |
Other assets | 140,054 | | 169,816 | | 178,834 | | 116,715 | |
Total assets | $ 1,749,097 | | $ 1,816,998 | | $ 1,777,635 | | $ 1,650,371 | |
| | | | | | | | |
Liabilities and shareholders' equity | | | | | | | | |
Transaction accounts | $ 1,285,252 | | $ 1,378,343 | | $ 1,050,658 | | $ 799,675 | |
Time deposits | 170,251 | | 216,494 | | 397,009 | | 476,468 | |
Total deposits | 1,455,503 | | 1,594,837 | | 1,447,667 | | 1,276,143 | |
Short-term borrowings | 96,384 | | 26,719 | | 125,596 | | 172,693 | |
Other borrowings | 13,401 | | 13,401 | | 13,401 | | 13,401 | |
Other liabilities | 1,192 | | 1,454 | | 7,090 | | 6,626 | |
Shareholders' equity | 182,617 | | 180,587 | | 183,881 | | 181,508 | |
Total liabilities and shareholders' equity | $ 1,749,097 | | $ 1,816,998 | | $ 1,777,635 | | $ 1,650,371 | |
| | | | | | | | |
Loan Portfolio | | | | | | | | |
| June 30, | | March 31, | | December 31, | | June 30, | |
| 2009 | | 2009 | | 2008 | | 2008 | |
| Amount | | Amount | | Amount | | Amount | |
| | | | | | | | |
Commercial | $ 363,524 | | $ 348,765 | | $ 353,219 | | $ 341,304 | |
Commercial mortgage | 522,510 | | 506,337 | | 488,986 | | 461,170 | |
Construction | 255,504 | | 309,411 | | 305,889 | | 332,088 | |
Total commercial loans | 1,141,538 | | 1,164,513 | | 1,148,094 | | 1,134,562 | |
Direct financing leases | 80,774 | | 83,326 | | 85,092 | | 90,201 | |
Residential mortgage | 64,934 | | 60,282 | | 57,636 | | 52,389 | |
Consumer loans and others | 170,999 | | 161,945 | | 157,446 | | 149,186 | |
| 1,458,245 | | 1,470,066 | | 1,448,268 | | 1,426,338 | |
Unamortized costs (fees) | 1,720 | | 1,490 | | 1,081 | | 1,240 | |
Total loans, net of unamortized fees and costs | $ 1,459,965 | | $ 1,471,556 | | $ 1,449,349 | | $ 1,427,578 | |
| | | | | | | | |
Supplemental loan data : | | | | | | | | |
Construction 1-4 family | $ 124,443 | | $ 159,148 | | $ 163,718 | | $ 174,196 | |
Construction commercial, acquisition and development | 131,061 | | 150,263 | | 142,171 | | 157,892 | |
| $ 255,504 | | $ 309,411 | | $ 305,889 | | $ 332,088 | |
| | | | | | | | |
| | | | | | | | |
| Three months ended | | Six months ended | |
| June 30, | | June 30, | |
| 2009 | | 2008 | | 2009 | | 2008 | |
Selected operating ratios | | | | | | | | |
Return on average assets | 0.25% | | -1.04% | | 0.26% | | -0.18% | |
Return on average equity | 2.42% | | -9.41% | | 2.55% | | -1.61% | |
Net interest margin | 3.96% | | 3.34% | | 3.77% | | 3.41% | |
Efficiency ratio | 81.32% | | 70.30% | | 77.08% | | 66.75% | |
Book value per share (1) | $ 9.27 | | $ 11.77 | | $ 9.27 | | $ 11.77 | |
| | | | | | | | |
(1) Excludes Series B Preferred Shares issued to the US Treasury and the associated book value | | | | | |
| | | | | | | | |
| | | | | | | | |
| June 30, | | March 31, | | December 31, | | June 30, | |
| 2009 | | 2009 | | 2008 | | 2008 | |
Asset quality ratios | | | | | | | | |
Nonperforming loans to total loans | 2.09% | | 1.72% | | 0.88% | | 0.74% | |
Nonperforming assets to total assets | 1.76% | | 1.69% | | 0.97% | | 0.63% | |
Allowance for loan and lease losses to total loans | 1.24% | | 1.29% | | 1.20% | | 1.00% | |
Nonaccrual loans | $ 8,716 | | $ 11,949 | | $ 8,729 | | $ 10,053 | |
Loans 90 days past due still accruing interest | $ 21,779 | | $ 13,362 | | $ 4,055 | | $ 492 | |
Other real estate owned | $ - | | $ 4,600 | | $ 4,600 | | $ - | |
