Anchor BanCorp Wisconsin Inc. Announces First Quarter EarningsMADISON, WI -- 08/09/2005 -- Anchor BanCorp Wisconsin Inc.(NASDAQ: ABCW) announced net income of $11.6 million for the quarter ended June 30, 2005, up from $10.2 million for the same period last year, a 13.1 percent increase.
"Total assets grew to more than $4.1 billion, an increase of 7.9 percent from a year ago, driven primarily by a 7.0 percent increase in our loan portfolio," said Douglas J. Timmerman, President. "In addition, our deposit growth was up 11.2 percent from the previous year."
Diluted earnings per share were $.52 for the quarter ended June 30, 2005, as compared to $.44 for the same quarter last year, an 18.2 percent increase. "Based on our continued strong performance, the Board of Directors increased quarterly per share dividends twice in the last 12 months, most recently from 13.5 cents to 16 cents, which represents an increase of 18.5 percent," said Timmerman. The 16-cent quarterly per share dividend was announced on July 21st, 2005 and is payable August 15, 2005 to shareholders of record August 1, 2005.
The interest rate spread increased to 3.20 percent for the quarter ended June 30, 2005, from 3.05 percent for the same period in the prior year. Net interest margin increased to 3.32 percent from 3.13 percent for the same period a year ago.
During the quarter ended June 30, 2005, 214,500 shares were purchased under a previously authorized repurchase program. The repurchases are made from time to time in open-market and/or negotiated transactions as, in the opinion of management, market conditions may warrant.
Anchor BanCorp's stock is traded on the over-the-counter market under the NASDAQ symbol ABCW. AnchorBank fsb, the wholly owned subsidiary, has 57 full service offices and two loan origination only offices. All are located in Wisconsin.
For more information, contact Michael Helser, CFO at (608) 252-1810 or Douglas J. Timmerman, President, at (608) 252-8782.
This news release contains certain forward-looking statements based on unaudited financial statements, results of operations and business of Anchor BanCorp. Forward-looking statements are subject to various factors which could cause actual results to differ materially from these estimates. These factors include changes in general economic conditions, deposit flows, loan demand, asset quality, competition, legislation or regulation and accounting principles, policies or guidelines affecting reports filed with the Securities and Exchange Commission for financial and business information regarding Anchor BanCorp, including information which could affect Anchor BanCorp's forward-looking statement.
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ANCHOR BANCORP WISCONSIN INC.
FINANCIAL HIGHLIGHTS
-----------------------------------------------
(Dollars in thousands - except per share amounts)
(Unaudited)
Three Months Ended
June 30,
2005 2004
(As Restated)
---------- ----------
Operations Data:
Net interest income $ 32,145 $ 28,206
Provision for loan losses 265 450
Net gain (loss) on sale of loans 123 (1,164)
Real estate investment
partnership revenue 11,513 23,736
Other non-interest income 7,143 7,061
Real estate investment partnership
cost of sales 8,411 19,711
Other non-interest expense 21,630 20,717
Minority interest in income of real
estate partnership operations 1,288 1,582
Income before income taxes 19,330 15,379
Income taxes 7,770 5,160
Net income 11,560 10,219
Selected Financial Ratios (1):
Yield on earning assets 5.73% 5.22%
Cost of funds 2.53 2.17
Interest rate spread 3.20 3.05
Net interest margin 3.32 3.13
Return on average assets 1.14 1.07
Return on average equity 14.70 13.60
Average equity to average assets 7.75 7.86
Non-interest expense to
average assets 2.96 4.23
Per Share:
Basic earnings per share $ 0.53 $ 0.45
Diluted earnings per share 0.52 0.44
Dividends per share 0.14 0.11
Book value per share 14.22 13.20
June 30,
2005 2004 Percent
(As Restated) Change
---------- ---------- ----------
Financial Condition:
Total assets $4,136,822 $3,835,434 7.9%
Loans receivable, net
Held for sale 6,313 11,032 (42.8)
Held for investment 3,383,250 3,162,136 7.0
Investment securities available
for sale, at fair value 42,004 48,865 (14.0)
Mortgage-related securities
available for sale, at fair value 291,596 204,051 42.9
Mortgage-related securities held
to maturity, at amortized cost 1,418 3,740 (62.1)
Deposits 2,960,468 2,663,376 11.2
Borrowings 798,927 807,614 (1.1)
Stockholders' equity 315,416 303,496 3.9
Allowance for loan losses 26,532 28,535 (7.0)
Non-performing assets 17,030 19,009 (10.4)
(1) Annualized when appropriate.
ANCHOR BANCORP WISCONSIN INC.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(Unaudited)
June 30, March 31,
2005 2005
---------- ----------
(In Thousands)
Assets
Cash and cash equivalents $ 213,391 $ 166,436
Investment securities available for sale,
at fair value 42,004 52,055
Mortgage-related securities available for sale,
at fair value 291,596 202,250
Mortgage-related securities held to maturity,
at amortized cost 1,418 1,502
Loans receivable, net
Held for sale 6,313 4,361
Held for investment 3,383,250 3,414,608
Foreclosed properties and repossessed assets, net 1,909 1,458
Real estate held for development and sale 43,523 48,949
Office properties and equipment 29,671 30,495
Other assets 123,747 128,342
---------- ----------
Total assets $4,136,822 $4,050,456
========== ==========
Liabilities and Stockholders' Equity
Deposits $2,960,468 $2,873,533
Borrowings 798,927 793,609
Other liabilities 51,394 62,834
---------- ----------
Total liabilities 3,810,789 3,729,976
---------- ----------
Minority interest in real estate partnerships 10,617 9,802
---------- ----------
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 68,884 68,627
Retained earnings, substantially restricted 322,389 315,077
Accumulated other comprehensive income (loss) 638 (708)
Treasury stock (3,188,779 shares and
3,043,826 shares, respectively), at cost (72,440) (68,441)
Unearned deferred compensation (6,591) (6,413)
---------- ----------
Total stockholders' equity 315,416 310,678
---------- ----------
Total liabilities, minority interest
and stockholders' equity $4,136,822 $4,050,456
========== ==========
ANCHOR BANCORP WISCONSIN INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Three Months Ended
June 30,
2005 2004
(As Restated)
---------- ----------
(In Thousands - except
per share amounts)
Interest income:
Loans $ 51,225 $ 43,088
Mortgage-related securities 2,543 2,188
Investment securities 1,018 1,533
Interest-bearing deposits 781 227
---------- ----------
Total interest income 55,567 47,036
Interest expense:
Deposits 16,473 11,816
Notes payable and other borrowings 6,949 7,014
---------- ----------
Total interest expense 23,422 18,830
---------- ----------
Net interest income 32,145 28,206
Provision for loan losses 265 450
---------- ----------
Net interest income after provision
for loan losses 31,880 27,756
Non-interest income:
Real estate investment partnership revenue 11,513 23,736
Loan servicing income 1,312 933
Credit enhancement derivative income
(includes interest income of $62 and $56,
respectively) 395 378
Service charges on deposits 2,372 2,195
Insurance commissions 687 634
Net gain (loss) on sale of loans 123 (1,164)
Net gain on sale of investments and
mortgage-related securities 7 868
Other revenue from real estate operations 1,215 1,138
Other 1,155 915
---------- ----------
Total non-interest income 18,779 29,633
Non-interest expense:
Compensation 10,872 9,869
Real estate investment partnership cost of sales 8,411 19,711
Occupancy 1,577 1,704
Furniture and equipment 1,567 1,382
Data processing 1,281 1,276
Marketing 1,095 1,007
Other expenses from real estate
partnership operations 2,049 2,822
Other 3,189 2,657
---------- ----------
Total non-interest expense 30,041 40,428
---------- ----------
Minority interest in income of real
estate partnership operations 1,288 1,582
---------- ----------
Income before income taxes 19,330 15,379
Income taxes 7,770 5,160
---------- ----------
Net income $ 11,560 $ 10,219
========== ==========
Earnings per share:
Basic $ 0.53 $ 0.45
Diluted 0.52 0.44
Contacts:
Michael Helser
CFO
(608) 252-1810
Douglas J. Timmerman
President
(608) 252-8782
