EXHIBIT 99
PRESS RELEASE FOR IMMEDIATE RELEASE
Contact: Preston Bair, Chief Financial Officer
Telephone: (740) 622-0444
HOME LOAN FINANCIAL CORPORATION REPORTS
EARNINGS FOR THE QUARTER ENDED MARCH 31, 2003
Coshocton, Ohio, April 16, 2003 - Home Loan Financial Corporation (Nasdaq:HLFC),
the parent company of The Home Loan Savings Bank, today announced net income of
$423,000 or $.28 basic and $.27 diluted earnings per share, for the quarter
ended March 31, 2003 compared to net income of $378,000, or $.25 basic and
diluted earnings per share, for the quarter ended March 31, 2002, an increase of
$45,000, or 11.9%.
The increase in earnings for the quarter ended March 31, 2003 compared
with March 31, 2002, was primarily attributable to increases in net interest
income of $46,000 and noninterest income of $97,000, partially offset by an
increase in noninterest expense of $65,000. The increase in net interest income
was primarily due to an increase in average earning assets. The net interest
margin for the three months ended March 31, 2003 was 4.12% compared to 4.39% for
the three months ended March 31, 2002. The increase in noninterest income was
primarily due to HLFC's earnings from its ownership in Coshocton County Title
Agency ("CCTA"). CCTA was formed in June 2002 by HLFC and two other investors to
provide title insurance on properties. The increase in noninterest expense was
primarily due to increases in salaries and benefits due to additional staff and
an increase in ESOP expense due to the elevated price of HLFC's stock.
Return on average equity and return on average assets for the three
months ended March 31, 2003 were 7.96% and 1.20%, respectively. The book value
of HLFC's common stock was $12.84 per share as of March 31, 2003 compared to
$11.95 per share as of March 31, 2002, an increase of $0.89, or 7.45%.
Total assets at March 31, 2003 were $147.4 million compared to June 30,
2002 assets of $132.3 million, an increase of $15.1 million, or 11.4%. The
increase in total assets was primarily in loans, which increased $9.8 million.
Total deposits at March 31, 2003 were $84.3 million compared to June 30, 2002
deposits of $79.8 million, an increase of $4.5 million, or 5.7%. Total
borrowings at March 31, 2003 were $40.8 million compared to $28.8 million at
June 30, 2002, an increase of $12.0 million, or 41.7%. The additional borrowings
were used to fund two capital leveraging strategies and to fund loan demand.
Total equity at March 31, 2003 was $21.1 million compared to $20.1 million at
June 30, 2002.
Home Loan Financial Corporation and The Home Loan Savings Bank are
headquartered at 401 Main Street, Coshocton, Ohio 43812. The Bank has two
offices in Coshocton, Ohio and a branch in West Lafayette, Ohio.
HOME LOAN FINANCIAL CORPORATION
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
March 31, 2003 June 30, 2002
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ASSETS
Cash and cash equivalents $ 3,521,591 $ 2,931,785
Securities available for sale 7,291,383 4,413,516
Mortgage-backed securities available for sale 11,264,307 9,738,990
Federal Home Loan Bank stock 2,141,600 1,927,100
Loans, net 120,842,849 111,017,080
Premises and equipment, net 1,179,500 1,278,592
Accrued interest receivable 735,928 651,707
Other assets 434,853 322,366
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Total assets $147,412,011 $132,281,136
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LIABILITIES
Deposits $ 84,341,488 $ 79,773,087
Federal Home Loan Bank advances 40,802,136 28,802,335
Due to broker on security purchase 2,392,006
Accrued interest payable 638,170 590,581
Accrued expenses and other liabilities 536,547 578,626
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Total liabilities 126,318,341 112,136,635
SHAREHOLDERS' EQUITY
Preferred stock, no par value, 500,000 shares authorized,
none outstanding -- --
Common stock, no par value, 9,500,000 shares authorized,
2,248,250 shares issued -- --
Additional paid-in capital 14,133,466 14,100,870
Retained earnings 14,311,806 13,831,012
Unearned employee stock ownership plan shares (1,143,914) (1,354,006)
Unearned recognition and retention plan shares (300,832) (434,692)
Treasury stock, at cost - 605,505 shares at (6,223,600) (6,186,296)
March 31, 2003 and 599,188 shares at June 30, 2002
Accumulated other comprehensive income 316,744 187,613
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Total shareholders' equity 21,093,670 20,144,501
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Total liabilities and shareholders' equity $147,412,011 $132,281,136
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CONSOLIDATED STATEMENTS OF INCOME
Three Months Ended Nine Months Ended
March 31, March 31,
------------------ -----------------
2002 2001 2002 2001
---------- ---------- ---------- ----------
Total interest income $2,354,830 $2,349,311 $7,277,555 $7,197,055
Total interest expense 959,101 999,702 3,006,214 3,266,261
---------- ---------- ---------- ----------
Net interest income 1,395,729 1,349,609 4,271,341 3,930,794
Provision for loan losses 55,000 30,000 150,000 95,000
---------- ---------- ---------- ----------
Net interest income after
provision for loan losses 1,340,729 1,319,609 4,121,341 3,835,794
Total noninterest income 194,661 97,252 526,890 336,728
Total noninterest expense 897,742 833,044 2,638,177 2,446,653
---------- ---------- ---------- ----------
Income before income
tax expense 637,648 583,817 2,010,054 1,725,869
Income tax expense 215,100 206,300 677,300 598,700
---------- ---------- ---------- ----------
Net income $ 422,548 $ 377,517 $1,332,754 $1,127,169
========== ========== ========== ==========
Basic earnings per share $ .28 $ .25 $ .90 $ .76
========== ========== ========== ==========
Diluted earnings per share $ .27 $ .25 $ .87 $ .74
========== ========== ========== ==========
KEY OPERATING RATIOS
As of or For The As of or For The
Three Months Ended Nine Months Ended
March 31, March 31,
--------- ---------
2003 2002 2003 2002
---- ---- ---- ----
Net interest margin 4.12% 4.39% 4.24% 4.30%
Return on average assets 1.20% 1.18% 1.28% 1.19%
Return on average equity 7.96% 7.56% 8.55% 7.59%
Total equity to total assets 14.31% 15.66% 14.31% 15.66%
Common shares outstanding 1,642,745 1,663,962 1,642,745 1,663,962
Book value per share $12.84 $11.95 $12.84 $11.95
Nonperforming assets to
total assets 0.20% 0.49% 0.20% 0.49%