Exhibit 99.1
Emclaire Financial Corp. Announces Second Quarter and Year to
Date 2007 Earnings
EMLENTON, Pa.--(BUSINESS WIRE)--July 20, 2007--Emclaire Financial
Corp. (OTCBB:EMCF), the parent holding company of the Farmers National
Bank of Emlenton, reported consolidated net income of $707,000 or
$0.56 per share for the three months ended June 30, 2007. Net income
for the quarterly period increased $105,000 or 17.4%, as compared to
net income of $602,000 or $0.47 per share for the quarter ended June
30, 2006. The Corporation's annualized return on average assets and
equity were 0.95% and 11.77%, respectively, for the three months ended
June 30, 2007, versus 0.87% and 10.25%, respectively, for the same
period in the prior year.
Net income for the six-month period ended June 30, 2007 was $1.3
million or $0.99 per share. Net income for the year to date period
increased $71,000 or 5.9%, as compared to net income of $1.2 million
or $0.94 per share for the same period in the prior year. The
Corporation's annualized return on average assets and equity were
0.85% and 10.57%, respectively, for the current year to date period,
as compared to 0.87% and 10.15%, respectively, for the same period in
the prior year.
The increase in net income for the quarter and year to date
periods ended June 30, 2007, compared to the same periods in 2006, was
primarily due to an increase in net interest income, partially offset
by an increase in noninterest expense. The increase in net interest
income 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.
During the six-month period ended June 30, 2007, total assets
decreased $2.2 million or 1.0% to $298.3 million at June 30, 2007,
from $300.6 million at December 31, 2006. Cash equivalents decreased
$10.5 million between year-end 2006 and June 30, 2007 resulting
primarily from an increase in loans receivable of $6.8 million and a
decrease in customer deposits of $4.5 million. Stockholders' equity
was $24.0 million at June 30, 2007. The Corporation remains well
capitalized and is positioned for continued growth with total
stockholders' equity at 8.0% of total assets. At June 30, 2007, book
value per share amounted to $18.92.
Emclaire Financial Corp. is the parent company of The 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 Six month period
ended June 30, ended June 30,
2007 2006 2007 2006
---------- ------- -------- -------
Interest income $4,416 $3,931 $8,728 $7,675
Interest expense 1,918 1,614 3,921 3,097
---------- ------- -------- -------
Net interest income 2,498 2,317 4,807 4,578
Provision for loan losses 30 47 75 78
Noninterest income 772 769 1,503 1,497
Noninterest expense 2,336 2,253 4,646 4,468
---------- ------- -------- -------
Net income before provision for
income taxes 904 786 1,589 1,529
Provision for income taxes 197 184 331 342
---------- ------- -------- -------
Net income $ 707 $ 602 $1,258 $1,187
========== ======= ======== =======
Net income per share $ 0.56 $ 0.47 $ 0.99 $ 0.94
Dividends per share $ 0.29 $ 0.27 $ 0.58 $ 0.54
Return on average assets (1) 0.95% 0.87% 0.85% 0.87%
Return on average equity (1) 11.77% 10.25% 10.57% 10.15%
Yield on average interest-earning
assets 6.54% 6.29% 6.49% 6.24%
Cost of average interest-bearing
liabilities 3.41% 3.10% 3.47% 3.02%
Net interest margin 3.77% 3.78% 3.64% 3.79%
____________________
(1) Returns are annualized for the three and six month periods ended
June 30, 2007 and 2006.
CONSOLIDATED FINANCIAL CONDITION DATA:
As of As of
6/30/2007 12/31/2006
----------- ------------
Total assets $ 298,348 $ 300,560
Cash and equivalents 6,170 16,717
Securities 52,712 51,774
Loans 220,149 213,344
Deposits 239,968 244,492
Borrowed funds 31,700 30,000
Stockholders' equity 23,990 23,917
Book value per share $ 18.92 $ 18.86
Net loans to deposits 91.74% 87.26%
Allowance for loan losses to total loans 0.94% 0.94%
Earning assets to total assets 92.30% 92.89%
Stockholders' equity to total assets 8.04% 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
Chief Financial Officer and Treasurer
Phone: 724-867-2311