Exhibit 99
Release Date: Further Information:
IMMEDIATE RELEASE David J. Bursic
April 19, 2007 President and CEO
or
Pamela M. Tracy
Investor Relations
Phone: 412/364-1913
WVS FINANCIAL CORP. ANNOUNCES INCREASED THIRD QUARTER AND NINE
MONTHS ENDED MARCH 31, 2007 NET INCOME AND EARNINGS PER SHARE
Pittsburgh, PA -- WVS Financial Corp. (NASDAQ: WVFC), the holding company
for West View Savings Bank, today reported net income of $2,697,000 or $1.16 per
diluted share, for the nine months ended March 31, 2007 as compared to net
income of $2,006,000 or $0.85 per diluted share for the same period in 2006. The
$691,000 or 34% increase in net income during the nine months was primarily
attributable to a $1,346,000 increase in net interest income and a $4,000
decrease in non-interest expense, which were partially offset by a $405,000
increase in income tax expense, a $174,000 change in provisions for loan losses
and a $80,000 decrease in non-interest income. The increase in net interest
income resulted from the favorable impact of higher short and intermediate term
market interest rates on the Company's interest earning assets, which more than
offset higher rates paid on other short-term borrowings, time deposits and money
market accounts. The increase in income tax expense was primarily attributable
to higher levels of taxable income. The change in the provision for loan losses
is primarily due to the absence of a reallocation of loan loss reserves and
lower recoveries on past due loans recorded in fiscal 2006, and a provision
recorded in fiscal 2007 due to increased loan balances outstanding. The decrease
in non-interest income was primarily attributable to the absence of a $30,000
gain recognized on the sale of mortgage-backed securities and decreases in ATM
and debit card fee income. The decrease in non-interest expense was primarily
attributable to decreases in data processing expense and correspondent bank
services charges which were partially offset by increases in employee related
costs.
Net income and diluted earnings per share for the quarter ended March 31,
2007 totaled $955,000 and $0.41, respectively, compared to $788,000 and $0.34
for the same period in 2006. The $167,000 or 21% increase in net income was
primarily attributable to a $321,000 increase in net interest income and a
$40,000 decrease in non-interest expense, which were partially offset by a
$103,000 increase in income tax expense, a $72,000 change in provisions for loan
losses and a $19,000 decrease in non-interest income. The increase in net
interest income resulted from the favorable impact of higher short and
intermediate term market interest rates on the Company's interest earning assets
and lower average balances of other short-term borrowings, which more than
offset higher rates paid on other short-term
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borrowings and time deposits, and lower average balances of interest earning
assets. The increase in income tax expense was attributable to increased levels
of taxable income. The decrease in non-interest income was primarily
attributable to decreases in deposit fee income and decreases in ATM and debit
card fee income. The decrease in non-interest expense was primarily attributable
to decreases in correspondent bank service charges, data processing expense,
outside service fees and provisions for off-balance sheet liabilities.
WVS Financial Corp. owns 100% of the outstanding common stock of West View
Savings Bank. The Savings Bank is a Pennsylvania-chartered, FDIC savings bank,
which conducts business from six offices located in the North Hills suburbs of
Pittsburgh, Pennsylvania.
--TABLES ATTACHED--
# # #
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WVS FINANCIAL CORP. AND SUBSIDIARY
SELECTED CONSOLIDATED FINANCIAL DATA
(Dollars in thousands except per share data)
March 31, June 30,
2007 2006
(Unaudited) (Unaudited)
----------- -----------
Total assets $389,742 $421,742
Investment securities held-to-maturity 180,433 187,952
Investment securities available-for-sale 4,487 8,469
Mortgage-backed securities held-to-
maturity 128,397 153,461
Mortgage-backed securities available-for-
sale 2,271 2,292
Net loans receivable 60,547 55,702
Deposits 156,298 151,713
FHLB advances: long-term 133,579 138,579
FHLB advances: short-term 0 23,150
Other short-term borrowings 64,500 76,048
Equity 30,739 29,418
Book value per share 13.25 12.60
Return on average assets 0.88% 0.66%
Return on average equity 12.09% 9.87%
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<table>
<caption>
WVS FINANCIAL CORP. AND SUBSIDIARY
SELECTED CONSOLIDATED OPERATING DATA
(In thousands except per share data)
Three Months Ended Nine Months Ended
March 31, March 31,
(Unaudited) (Unaudited)
------------------------- -------------------------
2007 2006 2007 2006
----------- ----------- ----------- -----------
<s> <c> <c> <c> <c>
Interest income $ 6,051 $ 5,954 $ 18,400 $ 16,087
Interest expense 3,867 4,091 12,227 11,260
----------- ----------- ----------- -----------
Net interest income 2,184 1,863 6,173 4,827
Provision (recovery) for loan losses 34 (38) 25 (149)
----------- ----------- ----------- -----------
Net interest income after
provision for loan losses 2,150 1,901 6,148 4,976
Non-interest income 152 171 465 545
Non-interest expense 832 872 2,625 2,629
----------- ----------- ----------- -----------
Income before income tax
expense 1,470 1,200 3,988 2,892
Income taxes 515 412 1,291 886
----------- ----------- ----------- -----------
NET INCOME $ 955 $ 788 $ 2,697 $ 2,006
=========== =========== =========== ===========
EARNINGS PER SHARE:
Basic $ 0.41 $ 0.34 $ 1.16 $ 0.85
Diluted $ 0.41 $ 0.34 $ 1.16 $ 0.85
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic 2,322,862 2,346,959 2,320,227 2,363,817
Diluted 2,324,278 2,348,619 2,322,059 2,366,651
</table>
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