Anchor BanCorp Wisconsin Announces Second Quarter Earnings and the Repurchase of up to 5% or 1.2 Million Shares of Common StockMADISON, WI -- (MARKET WIRE) -- 10/29/2003 -- Anchor BanCorp Wisconsin Inc. (NASDAQ: ABCW) announced net income of $11.2 million for the quarter ended September 30, 2003, which compares to net income of $12.1 million for the quarter ended September 30, 2002. Net income for the six-month period ended September 30, 2003 was $25.3 million, which compares to $22.9 million for the six-month period ended September 30, 2002.
For the quarter ended September 30, 2003, diluted earnings per share were $.48 as compared to $.49 for the quarter ended September 30, 2002. For the six month period ended September 30, 2003, diluted earnings per share increased to $1.07 from $.92. "This quarter's earnings reflect a decline of refinance activity which has contributed to our past two years of record earnings," commented Douglas J. Timmerman.
Book value per share increased to $12.66 from $11.62. Total assets grew 4.1%, from $3.5 billion to $3.7 billion. Loans held for investment increased 12.1% from $2.6 billion to $2.9 billion. "Asset growth is an important part of our business plan and I am pleased to see we continue to meet that goal," said Douglas J. Timmerman.
Anchor BanCorp has completed the current share repurchase program; 657,000 shares were repurchased during the quarter ended September 30, 2003. The Board of Directors authorized a new share repurchase program of 5% or approximately 1.2 million shares of its outstanding common stock in the open market. The repurchases are authorized to be made from time to time in open-market and/or negotiated transactions as, in the opinion of management, market conditions may warrant. Purchases are expected to begin on or after November 3, 2003. The repurchased shares will be held as treasury stock and will be available for general corporate purposes. Anchor will utilize various securities brokers as its agent for the stock repurchase program.
Anchor BanCorp's stock is traded on the over-the-counter market under the NASDAQ symbol ABCW. AnchorBank fsb, the wholly owned subsidiary, has 54 full service offices and two loan origination offices. All are located in Wisconsin.
ANCHOR BANCORP WISCONSIN INC.
FINANCIAL HIGHLIGHTS
(Dollars in thousands - except per share amounts)
(Unaudited)
Three Months Ended Six Months Ended
September 30, September 30,
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2003 2002 2003 2002
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Operations Data:
Net interest income $ 27,582 $ 29,572 $ 56,042 $ 58,354
Provision for loan losses 450 450 900 900
Net gain on sale of loans 1,411 4,080 11,260 6,148
Other non-interest income 6,488 2,927 9,705 6,288
Non-interest expense 16,855 16,730 35,005 33,328
Income before income taxes 18,176 19,399 41,102 36,562
Income taxes 6,976 7,285 15,809 13,673
Net income 11,200 12,114 25,293 22,889
Selected Financial
Ratios (1):
Yield on earning assets 5.66% 6.63% 5.79% 6.65%
Cost of funds 2.46 3.05 2.51 3.14
Interest rate spread 3.20 3.58 3.28 3.51
Net interest margin 3.26 3.68 3.35 3.60
Return on average assets 1.23 1.41 1.41 1.32
Return on average equity 15.12 16.89 17.26 15.82
Average equity to average
assets 8.12 8.34 8.14 8.33
Non-interest expense to
average assets 1.85 1.95 1.95 1.92
Per Share:
Basic earnings per share $ 0.49 $ 0.50 $ 1.09 $ 0.94
Diluted earnings per share 0.48 0.49 1.07 0.92
Dividends per share 0.11 0.09 0.21 0.17
Book value per share 12.66 11.62 12.66 11.62
September 30, Percent
----------------------
2003 2002 Change
---------------------- ---------
Financial Condition:
Total assets $3,661,558 $3,518,136 4.1%
Loans receivable, net
Held for sale 49,211 52,810 (6.8)
Held for investment 2,910,816 2,596,500 12.1
Investment securities
available for sale,
at fair value 173,190 107,475 61.1
Investment securities
held to maturity,
at amortized cost 2,999 3,998 (25.0)
Mortgage-related securities
available for sale,
at fair value 164,311 237,454 (30.8)
Mortgage-related securities
held to maturity,
at amortized cost 32,251 118,258 (72.7)
Deposits 2,579,353 2,550,555 1.1
Borrowings 721,994 594,087 21.5
Stockholders' equity 293,017 286,073 2.4
Allowance for loan losses 28,601 30,760 (7.0)
Non-performing assets 14,693 14,633 0.4
(1) Annualized when appropriate.
ANCHOR BANCORP WISCONSIN INC.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Unaudited)
September 30, March 31,
2003 2003
-------------------------------
(In Thousands)
Assets
Cash and cash equivalents $ 104,189 $ 141,427
Investment securities available
for sale, at fair value 173,190 97,192
Investment securities held to
maturity, at amortized cost 2,999 2,998
Mortgage-related securities
available for sale, at fair value 164,311 185,751
Mortgage-related securities held to
maturity, at amortized cost 32,251 62,998
Loans receivable, net
Held for sale 49,211 43,054
Held for investment 2,910,816 2,770,988
Foreclosed properties and
repossessed assets, net 577 1,535
Real estate held for
development and sale 42,295 44,994
Office properties and equipment 30,728 31,905
Other assets 150,991 155,779
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Total assets $ 3,661,558 $ 3,538,621
=========== ===========
Liabilities and Stockholders' Equity
Deposits $ 2,579,353 $ 2,574,188
Borrowings 721,994 595,816
Advance payments by borrowers
for taxes and insurance 18,221 6,579
Other liabilities 48,973 69,034
----------- -----------
Total liabilities 3,368,541 3,245,617
----------- -----------
Preferred stock, $.10 par value,
5,000,000 shares authorized,
none outstanding - -
Common stock, $.10 par value,
100,000,000 shares authorized,
25,363,339 shares issued 2,536 2,536
Additional paid-in capital 65,822 64,271
Retained earnings, substantially
restricted 267,927 251,729
Accumulated other comprehensive income 2,894 4,177
Treasury stock (2,225,343 shares and
1,420,481 shares, respectively),
at cost (45,770) (28,917)
Unearned deferred compensation (392) (792)
----------- -----------
Total stockholders' equity 293,017 293,004
----------- -----------
Total liabilities and
stockholders' equity $ 3,661,558 $ 3,538,621
=========== ===========
ANCHOR BANCORP WISCONSIN INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Three Months Ended Six Months Ended
September 30, September 30,
------------------- -------------------
2003 2002 2003 2002
-------- -------- -------- --------
Interest income:
Loans $ 43,570 $ 47,467 $ 87,683 $ 95,491
Mortgage-related securities 2,211 3,902 5,081 8,141
Investment securities and
interest-bearing deposits 2,104 1,965 4,164 4,150
-------- -------- -------- --------
Total interest income 47,885 53,334 96,928 107,782
Interest expense:
Deposits 13,820 16,813 28,304 35,171
Notes payable and other 6,483 6,949 12,582 14,257
-------- -------- -------- --------
Total interest expense 20,303 23,762 40,886 49,428
-------- -------- -------- --------
Net interest income 27,582 29,572 56,042 58,354
Provision for loan losses 450 450 900 900
-------- -------- -------- --------
Net interest income after
provision for loan losses 27,132 29,122 55,142 57,454
Non-interest income:
Service charges on deposits 2,121 1,868 4,125 3,566
Net gain on sale of loans 1,411 4,080 11,260 6,148
Other income 4,367 1,059 5,580 2,722
-------- -------- -------- --------
Total non-interest income 7,899 7,007 20,965 12,436
Non-interest expense:
Compensation 9,276 8,883 19,664 18,090
Occupancy 1,658 1,435 3,267 2,798
Other 5,921 6,412 12,074 12,440
-------- -------- -------- --------
Total non-interest expense 16,855 16,730 35,005 33,328
-------- -------- -------- --------
Income before income taxes 18,176 19,399 41,102 36,562
Income taxes 6,976 7,285 15,809 13,673
-------- -------- -------- --------
Net income $ 11,200 $ 12,114 $ 25,293 $ 22,889
======== ======== ======== ========
Earnings per share:
Basic $ 0.49 $ 0.50 $ 1.09 $ 0.94
Diluted 0.48 0.49 1.07 0.92
For more information,
Contact:
Michael W. Helser
CFO
(608) 252-1810
Douglas J. Timmerman
President
(608) 252-8782
