First Bancorp of Indiana, Inc. Announces Financial Results
EVANSVILLE, IN--(Marketwired - Oct 25, 2013) - First Bancorp of Indiana, Inc. (OTCBB: FBPI), the holding company for First Federal Savings Bank, reported earnings of $300,000 for the first fiscal quarter ended September 30, 2013, compared to $432,000 for the same quarter a year ago.
Net interest income for quarter ended September 30, 2013, improved 3.3% from the same period last fiscal year as a decrease in the cost of funds more than offset lower interest revenue. During the past year First Federal addressed the compressive effect of historically low interest rates by growing net loans by $22.2 million, or 11.5%, and reducing investment securities 16.4%. Noninterest income declined 12.9% between the comparative quarters due in part to reduced gains from the sale of loans as far fewer borrowers sought to refinance their mortgage loans due to a spike in interest rates during the most recent quarter. Conversely, fees generated from personal and commercial deposit accounts increased 11.4% from the first quarter of fiscal 2012. Finally, costs associated with a new operations center, a new branch facility in Petersburg, Indiana, and additional staffing needs were largely responsible for the 3.5% quarter-over-quarter increase in noninterest expenses.
At approximately 9.0%, First Federal's tier one capital ratio was well in excess of the five percent regulatory standard for "well-capitalized" financial institutions. The bank's other capital measurements also continue to comfortably exceed "well-capitalized" standards. In addition, First Bancorp paid a dividend of 15.5 cents per outstanding share for the 22nd consecutive quarter.
Certain information in this press release may constitute forward-looking information that involves risks and uncertainties that could cause actual results to differ materially from those estimated. Persons are cautioned that such forward-looking statements are not guarantees of future performance and are subject to various factors that could cause actual results to differ materially from those estimated. Undue reliance should not be placed on such forward-looking statements.
First Bancorp of Indiana, Inc. | ||||
Consolidated Financial Information | ||||
(in thousands) | ||||
9/30/2013 | 6/30/2013 | |||
Selected Balance Sheet Data: | (unaudited) | |||
Total assets | 368,620 | 376,940 | ||
Investment securities | 93,074 | 87,376 | ||
Loans receivable, net | 216,974 | 213,994 | ||
Deposit accounts | 255,384 | 264,948 | ||
Borrowings | 73,155 | 73,155 | ||
Stockholders' equity | 34,688 | 34,454 | ||
Three months | ||||
ended September 30, | ||||
2013 | 2012 | |||
Selected Operating Data: | (unaudited) | |||
Interest income | 3,261 | 3,373 | ||
Interest expense | 842 | 1,033 | ||
Net interest income | 2,419 | 2,340 | ||
Provision for loan losses | 120 | 105 | ||
Net interest income after provision | 2,299 | 2,235 | ||
Noninterest income | 892 | 1,025 | ||
Noninterest expense | 2,904 | 2,806 | ||
Income before income taxes and cumulative effect of a change in accounting principle | 287 | 454 | ||
Income taxes | -13 | 22 | ||
Net income | 300 | 432 | ||
