NEWS RELEASE | |
FOR RELEASE IMMEDIATELY | |
Contact: Paul Frenkiel, CFO | |
(215) 735-4422 ext. 5255 |
REPUBLIC FIRST BANCORP, INC.
REPORTS THIRD QUARTER EARNINGS
Philadelphia, PA, October 20, 2005 - Republic First Bancorp, Inc. (NASDAQ:FRBK), the holding company for Republic First Bank (PA), today reported third quarter 2005 earnings from continuing operations of $2,143,000 or $0.24 per diluted share. That compares with $2,555,000 or $0.30* for the same period last year which included $1.3 million of one-time income. Earnings from continuing operations for the nine month period ended September 30, 2005 were $6,299,000 or $0.72 per diluted share, compared to $3,984,000 or $.47 per diluted share for the comparable prior year period. The improvement in 2005 earnings reflects significant growth in commercial loans and core deposits and the payoff of the high priced Federal Home Loan Bank borrowings. Average loans grew in excess of 20% for the third quarter 2005 compared to the comparable prior year period. Total assets at September 30, 2005 were $820,517,000 compared to $662,710,000 as of September 30, 2004.
Total shareholders’ equity stood at $60,834,000 with a book value per share of $7.17 at September 30, 2005. The Company remains well capitalized.
Chairman Madonna stated: “Management and the Board are very pleased with the improvement in earnings and we believe the Bank is well situated to continue to increase profitability.”
Republic First Bank (PA) is a full-service, state-chartered commercial bank, whose deposits are insured by the Federal Deposit Insurance Corporation (FDIC). The Bank provides diversified financial products through its eleven offices located in Abington, Ardmore, Bala Cynwyd, East Norriton, Media, and Philadelphia, Pennsylvania.
The Company may from time to time make written or oral “forward-looking statements”, including statements contained in the Company's filings with the Securities and Exchange Commission. These forward-looking statements include statements with respect to the Company's beliefs, plans, objectives, goals, expectations, anticipations, estimates, and intentions that are subject to significant risks and uncertainties and are subject to change based on various factors, many of which are beyond the Company's control. The words “may”, “could”, “should”, “would”, “believe”, “anticipate”, “estimate”, “expect”, “intend”, “plan”, and similar expressions are intended to identify forward-looking statements. All such statements are made in good faith by the Company pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company.
# # #
* Per share value amounts were restated to reflect the 12% stock dividend paid June 7, 2005.
Republic First Bancorp, Inc. | |||||||||||||||||||
Condensed Income Statement | |||||||||||||||||||
(Dollar amounts in thousands except per share data) | |||||||||||||||||||
(unaudited) | |||||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||||
September 30 | September 30 | ||||||||||||||||||
2005 | 2004 | 2005 | 2004 | ||||||||||||||||
Net Interest Income | $ | 7,256 | $ | 4,516 | $ | 21,385 | $ | 12,866 | |||||||||||
Provision for Loan Losses | 314 | (1,363 | ) | (1 | ) | 1,136 | (863 | ) | (1 | ) | |||||||||
Other Income | 903 | 1,984 | (1 | ) | 2,805 | 3,418 | (1 | ) | |||||||||||
Other Expenses | 4,602 | 4,047 | 13,613 | 11,243 | |||||||||||||||
Income Taxes | 1,100 | 1,261 | 3,142 | 1,920 | |||||||||||||||
Net Income From Continuing Operations | 2,143 | 2,555 | 6,299 | 3,984 | |||||||||||||||
Net Income From Discontinued Operations, Net of Tax | - | 503 | - | 2,266 | |||||||||||||||
Net Income | $ | 2,143 | $ | 3,058 | $ | 6,299 | $ | 6,250 | |||||||||||
Diluted EPS From Continuing Operations | $ | 0.24 | $ | 0.30 | (3)(1 | ) | $ | 0.72 | $ | 0.47 | (3)(1 | ) | |||||||
Diluted EPS From Discontinued Operations, Net of Tax | - | 0.06 | - | 0.27 | |||||||||||||||
Diluted EPS | $ | 0.24 | $ | 0.36 | (3)(1 | ) | $ | 0.72 | $ | 0.74 | (3)(1 | ) | |||||||
Republic First Bancorp, Inc. | |||||||||||||||||||
Condensed Balance Sheet | |||||||||||||||||||
(Dollar amounts in thousands) | |||||||||||||||||||
(unaudited) | |||||||||||||||||||
Assets | September 30, | September 30, | |||||||||||||||||
2005 | 2004 (2) | ||||||||||||||||||
Federal Funds Sold and Other Interest Bearing Cash | $ | 66,413 | $ | 50,508 | |||||||||||||||
Investment Securities | 66,097 | 52,752 | |||||||||||||||||
Commercial and Other Loans | 645,613 | 517,532 | |||||||||||||||||
Allowance for Loan Losses | (7,401 | ) | (7,048 | ) | |||||||||||||||
Other Assets | 49,795 | 48,966 | |||||||||||||||||
Total Assets | $ | 820,517 | $ | 662,710 | |||||||||||||||
Liabilities and Shareholders' Equity: | |||||||||||||||||||
Transaction Accounts | $ | 357,081 | $ | 313,750 | |||||||||||||||
Time Deposit Accounts | 228,162 | 181,765 | |||||||||||||||||
FHLB Advances and Trust Preferred Securities | 166,999 | 106,186 | |||||||||||||||||
Other Liabilities | 7,441 | 8,688 | |||||||||||||||||
Shareholders' Equity | 60,834 | 52,321 | |||||||||||||||||
Total Liabilities and Shareholders' Equity | $ | 820,517 | $ | 662,710 | |||||||||||||||
(1) | Prior year reflects impact of a $1.3 million one time award arising from a legal settlement in connection with a loan recovery. | ||||||||||||||||||
(2) | Prior year has been adjusted to exclude the First Bank of Delaware balance sheet, reflecting the spin off of that bank effective January 1, 2005. | ||||||||||||||||||
(3) | Prior year earnings per share has been restated for the 12% stock dividend paid June 7, 2005. |
Republic First Bancorp, Inc. | ||||||||||||||||
September 30, 2005 | ||||||||||||||||
(unaudited) | ||||||||||||||||
At or For the | At or For the | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||
Financial Data: | 2005 | 2004 (1) | 2005 | 2004 (1) | ||||||||||||
Return on average assets on continuing operations | 1.19 | % | 1.57 | % (2) | 1.18 | % | 0.82 | % | (2) | |||||||
Return on average equity on continuing operations | 14.24 | % | 19.88 | % (2) | 14.71 | % | 10.59 | % | (2) | |||||||
Share information: | ||||||||||||||||
Book value per share | $ | 7.17 | $ | 6.45 | $ | 7.17 | $ | 6.45 | ||||||||
Shares o/s at period end, net of Treasury shares | 8,479,000 | 8,112,150 | 8,479,000 | 8,112,150 | ||||||||||||
Average diluted shares o/s | 8,770,000 | 8,519,000 | 8,706,000 | 8,455,000 | ||||||||||||
(1) Prior year amounts have been adjusted for the spin off of First Bank of Delaware effective Janaury 1, 2005. | ||||||||||||||||
(2) Prior year reflects impact of a $1.3 million one time award arising from a legal settlement in connection with a loan recovery. |
Republic First Bancorp, Inc. | |||||||
Press release 09/30/2005 | |||||||
(Dollars in thousands) | |||||||
(unaudited) | |||||||
Credit Quality Ratios: | |||||||
September 30 | September 30 | ||||||
2005 | 2004 (1) | ||||||
Non-accrual and loans accruing, | |||||||
but past due 90 days or more | $ | 2,872 | $ | 7,167 | |||
Restructured loans | - | - | |||||
Total non-performing loans | 2,872 | 7,167 | |||||
OREO | 137 | 207 | |||||
Total non-performing assets | $ | 3,009 | $ | 7,374 | |||
Non-performing loans as | |||||||
a percentage of total loans | 0.44 | % | 1.38 | % | |||
Nonperforming assets as | |||||||
a percentage of total assets | 0.37 | % | 1.11 | % | |||
Allowance for loan losses | |||||||
to total loans | 1.15 | % | 1.36 | % | |||
Allowance for loan losses | |||||||
to total non-performing loans | 257.69 | % | 98.34 | % | |||
(1) Prior year has been adjusted to exclude the First Bank of Delaware loans, reflecting the spin off of that bank effective January 1, 2005. |
Republic First Bancorp, Inc. | |||||||||||||||||||
Press release 09/30/2005 | |||||||||||||||||||
(Dollars in thousands ) | |||||||||||||||||||
(unaudited) | |||||||||||||||||||
Quarter-to-Date | |||||||||||||||||||
Average Balance Sheet | |||||||||||||||||||
Three months ended | Three months ended | ||||||||||||||||||
September 30, 2005 | September 30, 2004 (1) | ||||||||||||||||||
Average | Average | ||||||||||||||||||
Interest-Earning Assets: | Average | Yield/ | Average | Yield/ | |||||||||||||||
Balance | Interest | Cost | Balance | Interest | Cost | ||||||||||||||
Commercial and other loans | $ | 604,531 | $ | 10,576 | 6.94 | % | $ | 501,189 | $ | 7,621 | 6.03 | % | |||||||
Investment securities | 48,752 | 464 | 3.81 | 57,479 | 482 | 3.35 | |||||||||||||
Federal funds sold | 20,952 | 192 | 3.64 | 37,604 | 139 | 1.47 | |||||||||||||
Total interest-earning assets | 674,235 | 11,232 | 6.61 | 596,272 | 8,242 | 5.48 | |||||||||||||
Other assets | 39,460 | 50,569 | |||||||||||||||||
Total assets | $ | 713,695 | $ | 11,232 | $ | 646,841 | $ | 8,242 | |||||||||||
Interest-bearing liabilities: | |||||||||||||||||||
Interest-bearing deposits | $ | 485,512 | $ | 3,219 | 2.63 | % | $ | 380,038 | $ | 1,824 | 1.90 | % | |||||||
Borrowed funds | 74,441 | 757 | 4.03 | 120,648 | 1,902 | 6.25 | |||||||||||||
Interest-bearing liabilities | 559,953 | 3,976 | 2.82 | 500,686 | 3,726 | 2.95 | |||||||||||||
Non-interest and | |||||||||||||||||||
interest-bearing funding | 645,967 | 3,976 | 2.44 | 588,997 | 3,726 | 2.51 | |||||||||||||
Other liabilities: | 8,022 | 6,854 | |||||||||||||||||
Total liabilities | 653,989 | 595,851 | |||||||||||||||||
Shareholders' equity | 59,706 | 50,990 | |||||||||||||||||
Total liabilities & | |||||||||||||||||||
shareholders' equity | $ | 713,695 | $ | 646,841 | |||||||||||||||
Net interest income | $ | 7,256 | $ | 4,516 | |||||||||||||||
Net interest margin | 4.32 | % | 3.04 | % | |||||||||||||||
(1) Prior year has been adjusted to exclude the First Bank of Delaware, reflecting the spin off of that bank effective January 1, 2005. |
Republic First Bancorp, Inc. | |||||||||||||||||||
Press release 09/30/2005 | |||||||||||||||||||
(Dollars in thousands ) | |||||||||||||||||||
(unaudited) | |||||||||||||||||||
Year-to-Date | |||||||||||||||||||
Average Balance Sheet | |||||||||||||||||||
Nine months ended | Nine months ended | ||||||||||||||||||
September 30, 2005 | September 30, 2004 (1) | ||||||||||||||||||
Average | Average | ||||||||||||||||||
Interest-Earning Assets: | Average | Yield/ | Average | Yield/ | |||||||||||||||
Balance | Interest | Cost | Balance | Interest | Cost | ||||||||||||||
Commercial and other loans | $ | 583,033 | $ | 30,347 | 6.96 | % | $ | 484,338 | $ | 22,332 | 6.16 | % | |||||||
Investment securities | 47,526 | 1,350 | 3.79 | 63,254 | 1,558 | 3.28 | |||||||||||||
Federal funds sold | 41,885 | 863 | 2.75 | 57,524 | 501 | 1.16 | |||||||||||||
Total interest-earning assets | 672,444 | 32,560 | 6.47 | 605,116 | 24,391 | 5.39 | |||||||||||||
Other assets | 41,205 | 41,427 | |||||||||||||||||
Total assets | $ | 713,649 | $ | 32,560 | $ | 646,543 | $ | 24,391 | |||||||||||
Interest-bearing liabilities: | |||||||||||||||||||
Interest-bearing deposits | $ | 492,758 | $ | 9,236 | 2.51 | % | $ | 367,299 | $ | 5,486 | 2.00 | % | |||||||
Borrowed funds | 67,167 | 1,939 | 3.86 | 136,545 | 6,039 | 5.91 | |||||||||||||
Interest-bearing liabilities | 559,925 | 11,175 | 2.67 | 503,844 | 11,525 | 3.06 | |||||||||||||
Non-interest and | |||||||||||||||||||
interest-bearing funding | 648,151 | 11,175 | 2.31 | 587,505 | 11,525 | 2.62 | |||||||||||||
Other liabilities: | 8,229 | 8,729 | |||||||||||||||||
Total liabilities | 656,380 | 596,234 | |||||||||||||||||
Shareholders' equity | 57,269 | 50,309 | |||||||||||||||||
Total liabilities & | |||||||||||||||||||
shareholders' equity | $ | 713,649 | $ | 646,543 | |||||||||||||||
Net interest income | $ | 21,385 | $ | 12,866 | |||||||||||||||
Net interest margin | 4.25 | % | 2.84 | % | |||||||||||||||
(1) Prior year has been adjusted to exclude the First Bank of Delaware, reflecting the spin off of that bank effective January 1, 2005. |