For Immediate Release
Date: February 2, 2005
Contact: Ellie King
Assistant Secretary
630 Godwin Avenue
Midland Park, NJ 07432
201-444-7100
PRESS RELEASE
STEWARDSHIP FINANCIAL CORPORATION REPORTS RECORD
EARNINGS FOR YEAR ENDING DECEMBER 31, 2004
Midland Park, NJ - February 2, 2005 - Stewardship Financial Corporation
(OTC:SSFN), parent company of Atlantic Stewardship Bank, announced today net
income earned for the year ended December 31, 2004, of $3.8 million, or $1.15
basic net income per share, an increase of 10.2% and 8.5% in net income and
basic net income per share respectively, as compared to net income of $3.5
million or $1.06 per share for the year ended December 31, 2003.
Diluted income per share was $1.14 for the year ended December 31, 2004, an
increase of 9.6% over the diluted income per share of $1.04 for the year ended
December 31, 2003.
Net income for the quarter ended December 31, 2004, increased by 16.9% to $1.0
million from $881,000 for the same three-month period in 2003. Basic and diluted
earnings per share for the quarter ended December 31, 2004, were $0.31 and $0.30
compared to $0.27 and $0.26, respectively for the same period in 2003.
page 1 of 3
Press Release - Midland Park NJ
Stewardship Financial Corporation continued __________________
Net income per share data has been restated to reflect a 5% stock dividend paid
in the fourth quarter of 2004.
Paul Van Ostenbridge, President and Chief Executive Officer of both Stewardship
Financial Corporation and Atlantic Stewardship Bank, stated, "We are pleased to
report our strongest earnings ever for the year ending December 31, 2004. We
continue to report strong loan origination activity in most of our loan markets.
In the fourth quarter of 2004, we introduced our new Ideal Checking Account and
our Sterling NOW Account which we believe will contribute to deposit growth in
2005."
Stewardship Financial Corporation's total assets reached $424.3 million at
December 31, 2004, compared to $401.8 million at December 31, 2003, a growth of
5.6%. Total deposits were $356.9 million at December 31, 2004, compared to
$341.5 million a year ago, an increase of 4.5%. Total stockholders' equity
increased 12.2% to $30.5 million at December 31, 2004, compared to $27.1 million
a year ago.
Stewardship Financial Corporation is the parent company for Atlantic Stewardship
Bank, which has banking offices in Midland Park, two branches in Hawthorne,
Pequannock, Ridgewood, Waldwick; and three branches in Wayne, New Jersey. The
Bank is planning on relocating its Waldwick Office to a free standing branch
offering Drive-up facilities and safe deposit boxes to better serve customers.
Atlantic Stewardship Bank, opened in 1985, is a community bank serving
individuals and businesses, and is well known for tithing ten percent of its
pre-tax profits to Christian and local charitable organizations. Atlantic
Stewardship Bank is celebrating its 20th anniversary in 2005. Visit our website
at www.asbnow.com.
page 2 of 3
Stewardship Financial Corporation
Financial Highlights
(unaudited)
(In thousands, except per share data)
Year Ended Three Months Ended
December 31, December 31,
2004 2003 2004 2003
-----------------------------------------------
Selected Operating Data:
Total interest income $21,152 $18,915 $ 5,509 $ 4,978
Total interest expense 4,785 4,591 1,207 1,166
-----------------------------------------------
Net interest income before provision
for loan loss 16,367 14,324 4,302 3,812
Provision for loan loss 540 425 150 110
-----------------------------------------------
Net interest income after provision
for loan loss 15,827 13,899 4,152 3,702
Noninterest income 2,726 2,894 698 639
Noninterest expense 12,501 11,394 3,218 2,971
-----------------------------------------------
Income before income tax expense 6,052 5,399 1,632 1,370
Income tax expense 2,204 1,908 602 489
-----------------------------------------------
Net income $ 3,848 $ 3,491 $ 1,030 $ 881
===============================================
Basic earnings per share $ 1.15 $ 1.06 $ 0.31 $ 0.27
Diluted earnings per share $ 1.14 $ 1.04 $ 0.30 $ 0.26
At December 31,
2004 2003
-------- --------
Selected Financial Data:
Total assets $424,306 $401,768
Total loans, net of deferred loan fees 296,208 261,664
Allowance for loan losses 3,299 2,888
Total deposits 356,918 341,538
Stockholders' equity 30,460 27,149
At or for the year ended
December 31,
2004 2003
----------- -----------
Selected Financial Ratios:
Annualized return on average assets (ROA) 0.95% 0.97%
Annualized return on average equity (ROE) 13.48% 13.68%
Tier 1 capital to total assets 8.83% 8.50%
Book value per share $ 9.05 $ 8.58
All share data has been restated to include the effect of a 3 for 2 stock
split paid July 1, 2003 and a 5% stock dividend paid November 15, 2004 and
2003.