Exhibit 99.1
Emclaire Financial Corp. Reports First Quarter 2007 Earnings
EMLENTON, Pa.--(BUSINESS WIRE)--April 25, 2007--Emclaire Financial
Corp. (OTCBB:EMCF), the parent holding company of Farmers National
Bank of Emlenton, reported consolidated net income of $551,000 or
$0.43 per share for the three months ended March 31, 2007, compared to
net income of $585,000 or $0.46 per share for the same quarter in the
prior year.
The reduction in net income of $34,000 or 5.8% for the quarter
ended March 31, 2007, compared to the same period in 2006, was
primarily due to increases in the provision for loan losses and
noninterest expenses, partially offset by an increase in net interest
income and a decrease in the provision for income taxes. The increase
in the provision for loan losses for the quarter ended March 31, 2007
compared to the same period in 2006 was primarily due to growth in the
loan portfolio, particularly with respect to commercial loans. The
increase in noninterest expenses was primarily due to increased
professional fees for compliance and operations consulting. The
decrease in the provision for income taxes was primarily due to lower
pre-tax income.
During the quarter ended March 31, 2007, total assets decreased
$505,000 to $300.1 million from $300.6 million at December 31, 2006.
Cash and cash equivalents decreased by $5.6 million during the first
quarter of 2007 resulting primarily from security purchases of $5.6
million and a decrease in customer deposits of $1.0 million.
Stockholders' equity increased $152,000 to $24.1 million at March
31, 2007 compared to $23.9 million at December 31, 2006. The
Corporation remains well capitalized and is positioned for further
growth with total stockholders' equity at 8.0% of total assets. At
March 31, 2007, book value per share amounted to $18.98.
EMCLAIRE FINANCIAL CORP.
Emclaire Financial Corp. is the parent company of Farmers National
Bank of Emlenton, an independent, nationally chartered, FDIC-insured
community bank headquartered in Emlenton, Pennsylvania, operating
eleven full service offices in Venango, Butler, Clarion, Clearfield,
Elk and Jefferson counties, Pennsylvania. The Corporation's common
stock is quoted on and traded through the OTC Electronic Bulletin
Board under the symbol "EMCF". For more information, visit the
Corporation's website at "www.emclairefinancial.com".
This news release may contain forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements are subject to risk and uncertainties which
could cause actual results to differ materially from those currently
anticipated due to a number of factors. Such factors include, but are
not limited to, changes in interest rates which could effect net
interest margins and net interest income, the possibility that
increased demand or prices for the Corporation's financial services
and products may not occur, changing economic and competitive
conditions, technological and regulatory developments, and other risks
and uncertainties, including those detailed in the Corporation's
filings with the Securities and Exchange Commission. The Corporation
does not undertake, and specifically disclaims any obligation to
update any forward-looking statements to reflect occurrences or
unanticipated events or circumstances after the date of such
statements.
EMCLAIRE FINANCIAL CORP. AND SUBSIDIARY
Financial Highlights
(Unaudited - Dollar amounts in thousands, except share data)
CONSOLIDATED OPERATING RESULTS DATA:
Three month period
ended March 31,
2007 2006
--------- --------
Interest income $ 4,312 $ 3,744
Interest expense 2,003 1,482
--------- --------
Net interest income 2,309 2,262
Provision for loan losses 45 31
Noninterest income 730 728
Noninterest expense 2,310 2,215
--------- --------
Net income before provision for income taxes 684 744
Provision for income taxes 133 159
--------- --------
Net income $ 551 $ 585
========= ========
Net income per share $ 0.43 $ 0.46
Dividends per share $ 0.29 $ 0.27
Return on average assets (1) 0.75% 0.87%
Return on average equity (1) 9.36% 10.05%
Yield on average interest-earning assets 6.43% 6.19%
Cost of average interest-bearing liabilities 3.54% 2.94%
Net interest margin 3.52% 3.81%
(1) Returns are annualized for the three month periods ended March
31, 2007 and 2006.
CONSOLIDATED FINANCIAL CONDITION DATA:
As of As of
3/31/2007 12/31/2006
----------- ------------
Total assets $ 300,055 $ 300,560
Cash and equivalents 11,075 16,717
Securities 57,044 51,774
Loans, net 212,933 213,344
Deposits 243,471 244,492
Borrowed funds 30,000 30,000
Stockholders' equity 24,069 23,917
Book value per share $ 18.98 $ 18.86
Net loans to deposits 87.46% 87.26%
Allowance for loan losses to total loans 0.97% 0.94%
Interest-earning assets to average assets 93.09% 92.89%
Stockholders' equity to total assets 8.02% 7.96%
Shares of common stock outstanding 1,267,835 1,267,835
CONTACT: Emclaire Financial Corp.
David L. Cox, Chairman of the Board, President and
Chief Executive Officer
or
William C. Marsh, Executive Vice President, 724-867-2311