FS Bancorp (FSBW) 8-K FS Bancorp, Inc. Reports Net Income for the Second Quarter of $2.8 Million or $0.93 Per Diluted

Exhibit 99.1

Contact:   Joseph C. Adams,

Chief Executive Officer

      Matthew D. Mullet,

Chief Financial Officer

                      (425) 771-5299

                      www.FSBWA.com

FS Bancorp, Inc. Reports Net Income for the Second Quarter of $2.8 Million or $0.93 Per Diluted

Share and Tenth Consecutive Quarterly Cash Dividend

MOUNTLAKE TERRACE, WA – July 28, 2015 - FS Bancorp, Inc. (NASDAQ: FSBW) (“FS Bancorp” or “the Company”), the holding company for 1st Security Bank of Washington (“the Bank”) today reported 2015 second quarter net income of $2.8 million, or $0.93 per diluted share, compared to net income of $986,000 or $0.33 per diluted share, for the same period last year.

“The second quarter continued the momentum achieved early in 2015 and reflects growth in our lending channels as well as strong home purchase demand driving home lending activities.  I am pleased to announce that our Board of Directors has approved our tenth quarterly cash dividend in the amount of $0.07 per share,” stated Joe Adams, CEO of FS Bancorp. The dividend will be paid on August 26, 2015, to shareholders of record as of August 12, 2015.

 2015 Second Quarter Highlights

·   Net income increased $724,000, or 35.0% to $2.8 million for the second quarter of 2015, compared to $2.1 million in the first quarter of 2015, and $986,000 for the comparable quarter one year ago;

·   Earnings per diluted share were $0.93 for the second quarter of 2015, compared to $0.70 for the preceding quarter in 2015, and $0.33 for the second quarter of 2014;

·   Total loans increased $16.6 million, or 3.9% to $440.0 million at June 30, 2015, compared to $423.4 million at March 31, 2015, and $332.2 million at June 30, 2014;

·   Relationship-based transactional deposits (noninterest-bearing checking, interest-bearing checking, and escrow accounts) increased $12.4 million to $100.5 million as of June 30, 2015, from $88.1 million at March 31, 2015, and increased from $75.3 million at June 30, 2014;

·   The efficiency ratio improved to 59.7% at June 30, 2015, compared to 64.0% at March 31, 2015, and 74.7% at June 30, 2014;

·   The net interest margin (“NIM”) improved to 5.14% for the second quarter of 2015, compared to 5.07% in the first quarter of 2015, and 5.08% for the comparable quarter one year ago;

·   Capital levels at the Bank were 13.6% for total risk-based capital and 10.9% for Tier 1 leverage capital as of June 30, 2015, compared to 13.7% and 11.2% as of March 31, 2015, respectively.

Balance Sheet and Credit Quality

Total assets increased $26.9 million, or 5.0% during the quarter to $568.6 million at June 30, 2015, compared to $541.7 million at March 31, 2015, and $436.0 million at June 30, 2014.  The increase in total assets from March 31, 2015 was primarily due to an increase in loans receivable, net of $16.2 million, loans held for sale of $6.1 million, securities available-for-sale of $5.9 million, and capitalized servicing rights of $899,000, partially offset by a decrease in cash and cash equivalents of $2.6 million.  The increase in assets was primarily funded by increases in relationship-based deposits.  The $132.6 million increase in total assets at June 30, 2015, compared to June 30, 2014, was primarily due to increases in loans receivable, net of $106.8 million, and loans held for sale of $25.1 million.

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LOAN PORTFOLIO
(Dollars in thousands)
	June 30, 2015						March 31, 2015						June 30, 2014
	Amount			Percent			Amount			Percent			Amount			Percent
REAL ESTATE LOANS
Commercial	$	44,813			10.2	%	$	45,701			10.8	%	$	39,832			12.0	%
Construction and development		63,624			14.5			70,639			16.6			40,736			12.3
Home equity		16,411			3.7			15,198			3.6			15,113			4.6
One-to-four- family (excludes held for
sale)		67,143			15.2			54,985			13.0			32,039			9.6
Multi-family		22,851			5.2			16,841			4.0			11,448			3.4
Total real estate loans		214,842			48.8			203,364			48.0			139,168			41.9
CONSUMER LOANS
Indirect home improvement		101,791			23.1			99,769			23.6			93,905			28.3
Solar		24,713			5.6			21,535			5.1			17,026			5.1
Marine		20,572			4.7			17,759			4.2			14,518			4.4
Automobile		643			0.1			616			0.1			929			0.3
Recreational		386			0.1			401			0.1			490			0.1
Home improvement		251			0.1			313			0.1			410			0.1
Other		1,175			0.3			1,056			0.2			1,214			0.4
Total consumer loans		149,531			34.0			141,449			33.4			128,492			38.7
COMMERCIAL BUSINESS LOANS		75,595			17.2			78,632			18.6			64,584			19.4
Total loans		439,968			100.0	%		423,445			100.0	%		332,244			100.0	%
Allowance for loan losses		(6,927	)					(6,405	)					(5,548	)
Deferred cost, fees, and discounts, net		(776	)					(970	)					(1,201	)
Total loans receivable, net	$	432,265					$	416,070					$	325,495

Loans receivable, net increased $16.2 million, or 3.9%, to $432.3 million at June 30, 2015, from $416.1 million at March 31, 2015, and increased $106.8 million, or 32.8%, from $325.5 million at June 30, 2014.  Total real estate loans increased $11.5 million quarter over quarter including increases in one-to-four-family, multi-family, and home equity real estate loans, partially offset by a decrease in construction and development loans.  Quarter over quarter changes in other loan categories include an $8.1 million increase in consumer loans, partially offset by a $3.0 million decrease in commercial business loans.

One-to-four-family originations of loans held for sale including loans brokered to other institutions increased $63.9 million, or 48.6%, to $195.5 million during the quarter ended June 30, 2015, compared to $131.6 million for the preceding quarter, and $72.2 million for the same quarter one year ago.  The growth in originations was a result of increased purchase activity associated with seasonal home purchases in the Northwest and the continued low interest rate environment in the first half of 2015.  The percentage of one-to-four-family mortgage loan originations for home purchases was 78.8% of second quarter volume versus 21.2% of second quarter volume for refinance activity.  This compares to 52.7% of first quarter volume to purchase a home versus 47.3% to refinance their home in the first quarter of 2015.  During the quarter ended June 30, 2015, the Company sold $185.5 million of one-to-four-family mortgage loans compared to $111.7 million in sales for the preceding quarter, and sales of $65.2 million for the quarter ended June 30, 2014.

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The allowance for loan losses (“ALLL”) at June 30, 2015 was $6.9million, or 1.6% of gross loans receivable, compared to $6.4 million, or 1.5% of gross loans receivable as of March 31, 2015, and $5.5 million, or 1.7% of gross loans receivable at June 30, 2014.  Non-performing loans, consisting of non-accrual loans, decreased to $1.0 million at June 30, 2015, from $1.1 million at March 31, 2015, and $345,000 at June 30, 2014.  Substandard loans decreased $626,000, or 14.0%, to $3.9 million at June 30, 2015, compared to $4.5 million at March 31, 2015, and increased from $923,000 at June 30, 2014.  The increase from one year ago was primarily associated with the downgrade of one commercial real estate loan and two commercial business loans. These loans were downgraded as a result of the financial performance by the borrowers.  There was no other real estate owned (“OREO”) at June 30, 2015, or at March 31, 2015, compared to $36,000 at June 30, 2014.  At June 30, 2015, the Company had $737,000 in restructured loans, all of which were performing in accordance with their modified terms, compared to $777,000 at March 31, 2015, and $799,000 at June 30, 2014.

Total deposits increased $34.2 million, or 7.8%, to $470.5 million at June 30, 2015, from $436.3 million at March 31, 2015, and increased $118.9 million, or 33.8%, from $351.6 million at June 30, 2014.  Relationship-based transactional deposits increased $12.4 million to $100.5 million as of June 30, 2015, from $88.1 million at March 31, 2015, and increased from $75.3 million at June 30, 2014.  Money market and savings accounts increased $10.2 million, or 5.7%, to $188.1 million at June 30, 2015, from $177.9 million at March 31, 2015, and increased $54.2 million, or 40.5%, from $133.9 million at June 30, 2014.  Time deposits increased $11.6 million, or 6.8%, to $181.9 million at June 30, 2015, from $170.3 million at March 31, 2015, and increased $39.5 million, or 27.8%, from $142.4 million at the same period last year.  Non-retail deposits, which include $30.5 million of brokered certificates of deposit, $21.0 million of online certificates of deposit, and $1.7 million of public funds, increased to $53.2 million as of June 30, 2015, compared to $43.7 million and $36.2 million at March 31, 2015, and June 30, 2014, respectively.  Management utilizes the wholesale market deposits to mitigate interest rate risk exposure where appropriate.

DEPOSIT BREAKDOWN (Dollars in thousands)
	June 30, 2015					March 31, 2015					June 30, 2014
	Amount		Percent			Amount		Percent			Amount		Percent
Noninterest-bearing checking	$	64,866		13.8	%	$	54,004		12.4	%	$	45,798		13.0	%
Interest-bearing checking		31,901		6.8			30,011		6.9			27,654		7.9
Savings		25,227		5.4			23,391		5.4			17,289		4.9
Money market		162,877		34.6			154,502		35.4			116,600		33.2
Certificates of deposits of less    than $100,000		63,229		13.4			60,271		13.8			48,220		13.7
Certificates of deposits of    $100,000 through $250,000		84,534		18.0			74,797		17.1			60,749		17.3
Certificates of deposits of more    than $250,000		34,182		7.2			35,267		8.1			33,447		9.5
Escrow accounts related to
mortgages serviced		3,692		0.8			4,077		0.9			1,887		0.5
Total	$	470,508		100.0	%	$	436,320		100.0	%	$	351,644		100.0	%

Borrowings decreased $10.1 million, or 33.4%, to $20.3 million as of June 30, 2015, from $30.4 million at March 31, 2015, and increased $2.7 million, or 15.5%, from $17.6 million at June 30, 2014.  The decrease from the prior quarter was primarily due to the shift in second quarter funding activity from borrowings to deposits.

Total equity increased $2.7 million, or 3.9%, to $70.9 million at June 30, 2015, from $68.2 million at March 31, 2015, and increased $8.1 million, or 12.9%, from $62.8 million at June 30, 2014.  The increase in equity from the first quarter of 2015 was predominantly a result of net income of $2.8 million for the quarter ended June 30, 2015.  Book value per common diluted shares outstanding was $23.80 as of June 30, 2015, compared to $23.23 as of March 31, 2015, and $21.53 as of June 30, 2014.

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The Bank is well capitalized under the minimum capital requirements established by the FDIC with a total risk-based capital ratio of 13.6%, a Tier 1 leverage capital ratio of 10.9%, and a common equity Tier 1 (“CET1”) capital ratio of 12.3% at June 30, 2015, compared to 13.7%, 11.2%, and 12.5% at March 31, 2015, respectively.

The Company exceeds all regulatory capital requirements with a total risk-based capital ratio of 15.6%, Tier 1 leverage capital ratio of 12.6%, and a CET1 capital ratio of 14.3% as of June 30, 2015, compared to 15.9%, 12.9%, and 14.6% at March 31, 2015, respectively.

Operating Results

Net interest income increased $1.7 million, or 32.7%, to $6.9 million for the three months ended June 30, 2015, from $5.2 million for the three months ended June 30, 2014.  Net interest income increased $3.1 million, or 30.4%, to $13.2 million for the six months ended June 30, 2015, from $10.1 million for the six months ended June 30, 2014.

The NIM increased six basis points to 5.14% for the three months ended June 30, 2015, from 5.08% for the three months ended June 30, 2014, and increased 10 basis points to 5.12% for the six months endedJune 30, 2015, from 5.02% for the same period of the prior year. The increased NIM reflects continued growth in higher yielding loans, compared to investments and cash as a part of our loan diversification strategy.  Our strategy to grow lending through diversified lending channels may, however, pressure the NIM in future periods as real estate and business loans have a lower yield than consumer loan products.  The average cost of funds increased one basis point to 0.73% for the three months ended June 30, 2015, from 0.72% for the three months ended June 30, 2014, and increased two basis points to 0.73% for the six months ended June 30, 2015, from 0.71% for the same period in the prior year as a result of growth in interest-bearing deposits.  Management is focused on matching deposit duration with the duration of earning assets where appropriate.

The provision for loan losses was $600,000 for the three months ended June 30, 2015, compared to $450,000 for the three months ended June 30, 2014.  The provision for loan losses was $1.2 million for the six months ended June 30, 2015, compared to $900,000 for the six months ended June 30, 2014.  The increase in the provision for the six months ended June 30, 2015 was primarily due to loan growth including one-to-four-family loan growth of $20.3 million, consumer loan growth of $12.7 million, multi-family loan growth of $6.7 million, and construction and development loan growth of $5.8 million.  Non-performing loans were $1.0 million, or 0.2% of total loans at June 30, 2015, compared to $345,000 or 0.1% of total loans at June 30, 2014.  During the three months ended June 30, 2015, net charge-offs totaled $78,000 compared to $145,000 during the three months ended June 30, 2014.  During the six months ended June 30, 2015, net charge-offs totaled $363,000 compared to $444,000 during the six months ended June 30, 2014.

Noninterest income increased $2.8 million or 114.9%, to $5.3 million for the three months ended June 30, 2015, from $2.5 million for the three months ended June 30, 2014.  The increase during the period was primarily due to a $2.8 million increase in gain on sale of loans.  Noninterest income increased $4.8 million, or 107.4%, to $9.3 million for the six months ended June 30, 2015, from $4.5 million for the six months ended June 30, 2014.  The increase during the period was primarily due to a $4.6 million increase in gain on sale of loans, an $80,000 increase in service charges and fee income, and a $66,000 increase in gain on sale of investment securities.

Noninterest expense increased $1.6 million, or 27.1%, to $7.3 million for the three months ended June 30, 2015, from $5.7 million for the three months ended June 30, 2014.  Changes in noninterest expense included a $976,000, or 30.1% increase in salaries and benefits associated with the continued investment in growing the lending and deposit franchise primarily as a result of the hiring of additional employees in mortgage-related lending, a $202,000, or 21.8% increase in operations, a $125,000, or 41.9% increase in professional and board fees, a $93,000, or 31.0% increase in data processing, and a $53,000, or 13.2% increase in occupancy expense this quarter.  

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Noninterest expense increased $3.0 million, or 27.2%, to $13.9 million for the six months ended June 30, 2015, from $10.9 million for the six months ended June 30, 2014, primarily as a result of a $1.8 million, or 28.3% increase in salaries and benefits, a $619,000, or 42.1% increase in operations, a $188,000, or 31.2% increase in professional and board fees, a $163,000, or 27.7% increase in data processing, and a $90,000, or 11.2% increase in occupancy expense.

About FS Bancorp

FS Bancorp, Inc., a Washington corporation, is the holding company for 1st Security Bank of Washington.  The Bank provides loan and deposit services to customers who are predominantly small and middle-market businesses and individuals in western Washington through its seven branches in suburban communities in the greater Puget Sound area.  The Bank services home mortgage customers throughout Washington State with an emphasis in the Puget Sound and Tri-Cities home lending markets.
 

Disclaimer

When used in this press release and in other documents filed with or furnished to the Securities and Exchange Commission (the “SEC”), in press releases or other public stockholder communications, or in oral statements made with the approval of an authorized executive officer, the words or phrases “believe,” “will,” “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “project,” “plans,” or similar expressions are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements are not historical facts but instead represent management's current expectations and forecasts regarding future events many of which are inherently uncertain and outside of our control. Actual results may differ, possibly materially from those currently expected or projected in these forward-looking statements. Factors that could cause our actual results to differ materially from those described in the forward-looking statements, include but are not limited to, the following: increased competitive pressures; changes in the interest rate environment; changes in general economic conditions and conditions within the securities markets; our ability to execute our plans to grow our residential construction lending, our mortgage banking operations and our warehouse lending and the geographic expansion of our indirect home improvement lending; secondary market conditions for loans and our ability to sell loans in the secondary market; legislative and regulatory changes; and other factors described in the Company’s latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission-which are available on our website at www.fsbwa.com and on the SEC's website at www.sec.gov.

Any of the forward-looking statements that we make in this press release and in the other public statements are based upon management's beliefs and assumptions at the time they are made and may turn out to be wrong because of the inaccurate assumptions we might make, because of the factors illustrated above or because of other factors that we cannot foresee. Therefore, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on such statements. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. These risks could cause our actual results for 2015 and beyond to differ materially from those expressed in any forward-looking statements made by, or on behalf of, us and could negatively affect our operating and stock performance.

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FS BANCORP, INC. AND SUBSIDIARY

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands, except share amounts)

	June 30,			March 31,			June 30,
	2015			2015			2014
	Unaudited			Unaudited			Unaudited
ASSETS
Cash and due from banks	$	2,114		$	2,436		$	2,049
Interest-bearing deposits at other financial institutions		11,688			13,966			7,106
Securities available-for-sale, at fair value		50,414			44,547			58,363
Loans held for sale, at fair value		41,039			34,968			15,975
Loans receivable, net		432,265			416,070			325,495
Accrued interest receivable		1,772			1,813			1,366
Premises and equipment, net		13,953			13,444			13,763
Federal Home Loan Bank stock, at cost		1,412			1,942			1,670
Other real estate owned (“OREO”)		—			—			36
Bank owned life insurance (“BOLI”)		6,650			6,602			6,460
Servicing rights, held at the lower of cost or fair value		4,569			3,670			2,336
Other assets		2,713			2,267			1,402
TOTAL ASSETS	$	568,589		$	541,725		$	436,021
LIABILITIES
Deposits
Noninterest-bearing accounts	$	68,558		$	58,081		$	47,685
Interest-bearing accounts		401,950			378,239			303,959
Total deposits		470,508			436,320			351,644
Borrowings		20,269			30,433			17,552
Other liabilities		6,957			6,773			4,041
Total liabilities		497,734			473,526			373,237
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY
Preferred stock, $0.01 par value; 5,000,000 shares authorized;               None issued or outstanding		—			—			—
Common stock, $0.01 par value; 45,000,000 shares authorized;      3,240,620 shares issued and outstanding at June 30, 2015,
3,235,625 at March 31, 2015, and June 30, 2014, respectively		32			32			32
Additional paid-in capital (“APIC”)		30,011			29,689			28,963
Retained earnings		42,592			40,011			35,808
Accumulated other comprehensive income (loss), net of tax		(24	)		289			(18	)
Unearned shares - Employee Stock Ownership Plan (“ESOP”)		(1,756	)		(1,822	)		(2,001	)
Total stockholders’ equity		70,855			68,199			62,784
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	568,589		$	541,725		$	436,021

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FS BANCORP, INC. AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF INCOME

(Dollars in thousands, except share amounts)

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015		2014
	Unaudited		Unaudited			Unaudited		Unaudited
INTEREST INCOME
Loans receivable including fees	$	7,494	$	5,493		$	14,312	$	10,674
Interest and dividends on investment securities,    cash and cash equivalents, and interest-bearing    deposits at other financial institutions		281		356			545		686
Total interest and dividend income		7,775		5,849			14,857		11,360
INTEREST EXPENSE
Deposits		812		594			1,559		1,144
Borrowings		72		63			139		121
Total interest expense		884		657			1,698		1,265
NET INTEREST INCOME		6,891		5,192			13,159		10,095
PROVISION FOR LOAN LOSSES		600		450			1,200		900
NET INTEREST INCOME AFTER    PROVISION FOR LOAN LOSSES		6,291		4,742			11,959		9,195
NONINTEREST INCOME
Service charges and fee income		500		446			924		844
Gain on sale of loans		4,606		1,794			7,933		3,302
Gain on sale of investment securities		—		10			76		10
Earnings on cash surrender value of BOLI		48		46			95		92
Other noninterest income		124		160			321		260
Total noninterest income		5,278		2,456			9,349		4,508
NONINTEREST EXPENSE
Salaries and benefits		4,216		3,240			8,166		6,363
Operations		1,128		926			2,091		1,472
Occupancy		456		403			891		801
Data processing		393		300			751		588
OREO fair value impairments, net of    (gain) loss on sales		—		(1	)		—		30
Other real estate owned (“OREO”) (income) expense		—		(29	)		—		3
Loan costs		417		391			750		696
Professional and board fees		423		298			790		602
FDIC insurance		82		62			160		125
Marketing and advertising		145		125			275		232
Impairment (recovery) on servicing rights		1		(1	)		—		(1	)
Total noninterest expense		7,261		5,714			13,874		10,911
INCOME BEFORE PROVISION FOR  INCOME TAXES		4,308		1,484			7,434		2,792
PROVISION FOR INCOME TAXES		1,514		498			2,570		931
NET INCOME	$	2,794	$	986		$	4,864	$	1,861
Basic earnings per share	$	0.94	$	0.33		$	1.65	$	0.62
Diluted earnings per share	$	0.93	$	0.33		$	1.63	$	0.62

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KEY FINANCIAL RATIOS AND DATA Unaudited	At or For the Three Months Ended
(Dollars in thousands, except per share amounts)	June 30,			March 31,			June 30,
	2015			2015			2014
PERFORMANCE RATIOS:
Return on assets (ratio of net income to average total assets) (1)		1.99	%		1.60	%		0.92	%
Return on equity (ratio of net income to average equity) (1)		16.35			12.69			6.28
Yield on average interest-earning assets		5.80			5.73			5.72
Interest incurred on liabilities as a percentage of average noninterest-
bearing deposits and  interest-bearing liabilities		0.73			0.73			0.72
Interest rate spread information – average during period		5.07			5.00			5.00
Net interest margin (1)		5.14			5.07			5.08
Operating expense to average total assets		5.18			5.10			5.31
Average interest-earning assets to average interest-bearing liabilities		127.23			126.94			128.97
Efficiency ratio (2)		59.67			63.97			74.73

	At or For the Six Months Ended
	June 30, 2015		June 30, 2014
PERFORMANCE RATIOS:
Return on assets (ratio of net income to average total assets) (1)	1.80	%	0.88	%
Return on equity (ratio of net income to average equity) (1)	14.56		5.98
Yield on average interest-earning assets	5.78		5.65
Interest incurred on liabilities as a percentage of average noninterest-
bearing deposits and  interest-bearing liabilities	0.73		0.71
Interest rate spread information – average during period	5.05		4.94
Net interest margin (1)	5.12		5.02
Operating expense to average total assets (1)	5.14		5.15
Average interest-earning assets to average interest-bearing liabilities	126.91		129.17
Efficiency ratio (2)	61.64		74.72

ASSET QUALITY RATIOS AND DATA:	June 30, 2015		March 31, 2015		June 30, 2014
Non-performing assets to total assets at end of period (3)	0.18	%	0.20	%	0.09	%
Non-performing loans to total gross loans (4)	0.23		0.25		0.10
Allowance for loan losses to non-performing loans (4)	673.83		605.96		1,608.12
Allowance for loan losses to gross loans receivable	1.57		1.51		1.67
CAPITAL RATIOS, BANK ONLY:
Tier 1 leverage capital	10.92	%	11.20	%	12.31	%
Tier 1 risk-based capital	12.32		12.45		14.72
Total risk-based capital	13.57		13.70		15.97
CET1	12.32		12.45		—	(8)
CAPITAL RATIOS, COMPANY ONLY:
Tier 1 leverage capital	12.60	%	12.91	%	14.55	%
Total risk-based capital	15.59		15.85		18.67
CET1	14.34		14.60		—	(8)

FS Bancorp Q2 Earnings

July 28, 2105

Page 9

	At or For the Three Months Ended
PER COMMON SHARE DATA:	June 30, 2015			March 31, 2015			June 30, 2014
Basic earnings per share	$	0.94		$	0.71		$	0.33
Diluted earnings per share	$	0.93		$	0.70		$	0.33
Weighted average basic shares outstanding		2,962,302			2,935,553			3,002,515
Weighted average diluted shares outstanding		3,003,979			2,965,319			3,004,748
Common shares outstanding at period end		2,977,449	(7)		2,935,553	(6)		2,916,112	(5)
Book value per share using outstanding common shares	$	23.80		$	23.23		$	21.53

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(1)	Annualized.
(2)	Total noninterest expense as a percentage of net interest income and total other noninterest income.
(3)	Non-performing assets consists of non-performing loans (which include non-accruing loans and accruing loans more than 90 days past due), foreclosed real estate and other repossessed assets.
(4)	Non-performing loans consists of non-accruing loans.
(5)	Common shares were calculated using shares outstanding of 3,235,625 at June 30, 2014, less restricted stock shares of 125,105 and unallocated ESOP shares of 194,408.
(6)	Common shares were calculated using shares outstanding at period end of 3,235,625 at March 31, 2015, less 125,105 restricted stock shares, and 174,967 unallocated ESOP shares.
(7)	Common shares were calculated using shares outstanding at period end of 3,240,620 at June 30, 2015, less restricted stock shares of 94,684 and unallocated ESOP shares of 168,487.
(8)	CET1 ratio is a new regulatory capital ratio required beginning for the quarter ended March 31, 2015.