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Northeast Indiana Bancorp, Inc. Announces Record Annual Earnings And Quarterly Earnings

HUNTINGTON, Ind., Jan. 31, 2020 /PRNewswire/ -- Northeast Indiana Bancorp, Inc., (OTCQB:  NIDB), the parent company of First Federal Savings Bank, today announced earnings increased $519,000 or 12.4% to $4.7 million ($3.91 per diluted common share) for the full year 2019 when compared to full year 2018 earnings of $4.2 million ($3.49 per diluted common share).  2019 annual earnings represent the highest earnings level ever recorded for the Company.  The full year 2019 earnings equates to a return on average assets of 1.33% and a return on average equity of 11.76% compared to an ROA of 1.28% and an ROE of 11.48% for the full year 2018.

(PRNewsfoto/Northeast Indiana Bancorp, Inc.)

Total assets increased $19.7 million or 5.9% to $353.9 million at December 31, 2019 compared to December 31, 2018 assets of $334.2 million.  Total net loans increased $13.4 million or 5.6% to $253.5 million at December 31, 2019 from $240.1 million at December 31, 2018.  Total deposits increased $18.9 million or 8.1% to $252.3 million at December 31, 2019 from $233.4 million at December 31, 2018.  Total borrowings decreased $2.5 million or 4.2% to $57.2 million at December 31, 2019 compared to December 31, 2018 borrowings of $59.7 million.    

The Company also announced quarterly earnings for the three months ended December 31, 2019 increased by $139,000 or 13.9% to $1.1 million ($0.96 per diluted common share) when compared to earnings for the three months ended December 31, 2018 of $1.0 million ($0.84 per diluted common shares).  The current quarter's earnings equates to an ROA of 1.28% and an ROE of 11.05% compared to an ROA of 1.21% and an ROE of 10.90% for the prior year quarter ended December 31, 2018.

Commenting on the financial results, First Federal Savings Bank President and CEO Michael S. Zahn stated, "I'm very pleased with our record financial performance in 2019.  Embracing our role as a community bank has led to our success.  In addition, for the 25th year in row, we were able to increase our dividend to our shareholders as well as provide them with a special dividend for the 5th consecutive year."

The Company paid out cash dividends of $2.1 million to shareholders during the year ended December 31, 2019 including roughly $905,000 from a Special Cash Dividend ($0.75 per common share) that was paid to shareholders in December 2019 for the 5th year in a row of Special Cash Dividends.  The book value of NIDB stock was $34.25 per common share as of December 31, 2019.  The Company's stock closed at $40.10 per common share on December 31, 2019, an increase of $3.10 or 8.4% compared to the closing stock price of $37.00 per common share on December 31, 2018.

Northeast Indiana Bancorp, Inc. is headquartered at 648 N. Jefferson Street, Huntington, Indiana.  The company offers a full array of banking and financial brokerage services to its customers through its main office in Huntington and five full-service Indiana offices in Huntington (2), Warsaw and Fort Wayne (2).  The Company is traded on the OTC Markets Group, Inc. (www.otcmarkets.com) utilizing the OTCQB platform under the symbol "NIDB".  Our web site address is www.firstfedindiana.bank.

This press release may contain forward-looking statements, which are based on management's current expectations regarding economic, legislative and regulatory issues.  Factors which may cause future results to vary materially include, but are not limited to, general economic conditions, changes in interest rates, loan demand, and competition.  Additional factors include changes in accounting principles, policies or guidelines; changes in legislation or regulation; and other economic, competitive, regulatory and technological factors affecting each company's operations, pricing, products and services.

                

                                            

NORTHEAST INDIANA BANCORP

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)


CONSOLIDATED STATEMENT OF FINANCIAL CONDITION






                                                              ASSETS

 

    December 31,

                 2019

December 31, 

2018


Interest-earning cash and cash equivalents

$

8,352,340

$

3,605,610


Noninterest earning cash and cash equivalents

2,863,471

2,685,698


   Total cash and cash equivalents

11,215,811

6,291,308


Securities available for sale

65,001,858

63,898,265


Interest-earning deposits in financial institutions

3,681,000

3,436,000


Securities held to maturity

1,044,197

1,233,843


Loans held for sale

134,000

453,100


Loans receivable, net of allowance for loan loss Dec. 31, 2019 $3,191,605 and Dec. 31, 2018 $2,856,319

253,461,826

240,075,827


Accrued interest receivable

1,242,788

1,314,404


Premises and equipment

4,971,271

3,988,192


Investments in limited liability partnerships

2,128,334

2,428,334


Cash surrender value of life insurance

8,839,193

8,613,693


Other assets

2,203,348

2,477,748


    Total Assets

$

353,923,626

$

334,210,714


                                    LIABILITIES AND STOCKHOLDERS' EQUITY




Non-interest bearing deposits

30,011,306

26,751,611


Interest bearing deposits

222,271,145

206,618,957


Borrowed Funds

57,237,450

59,763,974


Accrued interest payable and other liabilities

3,086,817

3,735,912


    Total Liabilities

312,606,718

296,870,454






Retained earnings – substantially restricted

41,316,908

37,340,260


    Total Liabilities and Shareholders' Equity

$

353,923,626

$

334,210,714




CONSOLIDATED STATEMENTS OF INCOME







Three Months Ended

Twelve Months Ended



December 31,

December 31,



2019

2018

2019

2018


Total interest income

$

3,888,547

$

3,762,659

$

15,995,780

$

14,142,981


Total interest expense


1,020,391


922,895


4,335,592


3,206,100


    Net interest income

$

2,868,156

$

2,839,764

$

11,660,188

$

10,936,881


Provision for loan losses


75,000


175,000


425,000


175,000


  Net interest income after provision for loan losses

$

2,793,156

$

2,664,764

$

11,235,188

$

10,761,881


     Service charges on deposit accounts


202,459


167,744


742,279


658,805


     Interchange fees


149,117


136,009


592,966


531,280


     Net gain (loss) on sale of securities


-


(157,931)


91,526


(162,879)


     Net gain on sale of loans

272,788

499,684

920,900

1,045,103


     Net gain (loss) on sale of repossessed assets

(12,047)

(3,302)

(4,439)

(8,153)


     Brokerage fees

51,854

38,956

216,823

217,003


     Increase in cash surrender value of life insurance

56,375

57,876

225,500

231,500


     Other income

99,285

177,850

634,706

575,012


Total noninterest income

$

819,831

$

916,886

$

3,420,261

$

3,087,671


     Salaries and employee benefits


1,261,897


1,233,054


5,139,029


4,798,322


     Occupancy

271,594

257,137

1,124,854

1,062,090


     Data processing

243,055

302,361

962,075

1,172,825


     Deposit insurance premiums

-

24,000

24,000

86,000


     Professional fees

81,073

193,281

368,327

426,787


     Advertising and marketing

67,630

80,673

256,690

247,615


     Correspondent bank charges

36,050

34,124

145,909

131,225


     Other expense

312,622

279,916

1,156,107

1,081,554


Total noninterest expenses

$

2,273,921

$

2,404,546

$

9,176,991

$

9,006,417


  Income before income tax expense

$

1,339,066

$

1,177,104

$

5,478,458

$

4,843,135


Income tax expense


193,761


171,151


792,964


676,278


Net Income

$

1,145,305

$

1,005,953

$

4,685,494

$

4,166,857









 

 

NORTHEAST INDIANA BANCORP

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)







Three Months Ended

December 31,

Twelve Months Ended

December 31,



2019

2018

2019

2018


Basic Earnings per common share

0.96

0.84

3.91

3.49


Dilutive Earnings per share

0.96

0.84

3.91

3.49


Net interest margin

3.43%

3.64%

3.52%

3.60%


Return on average assets

1.28%

1.21%

1.33%

1.28%


Return on average equity

11.05%

10.90%

11.76%

11.48%


Efficiency Ratio

61.66%

64.01%

60.85%

64.22%


Average shares outstanding - primary

1,198,827

1,195,527

1,197,629

1,194,403


Average shares outstanding - diluted

1,198,827

1,195,527

1,198,154

1,195,678






Allowance for loan losses:






   Balance at beginning of period

$

3,094,673

$

2,727,118

$

2,856,319

$

2,746,523


   Charge-offs:






      One-to-four family

-

-

41,961

41,072


      Commercial real estate

-

-

73,705

-


      Land/land development

-

-

-

-


      Commercial

52,725

-

77,725

2,250


      Consumer

55,138

86,100

208,170

270,893


         Gross charge-offs

107,863

86,100

401,561

314,215


   Recoveries:






      One-to-four family

43,406

1,339

46,066

2,503


      Commercial real estate

-

-

64,040

66,754


      Land/land development

-

-

-

-


      Commercial

63,000

-

86,649

7,428


      Consumer

23,389

38,862

115,092

172,325


         Gross recoveries

129,795

40,301

311,847

249,011


   Net charge-offs / recoveries

(21,932)

45,799

89,714

65,205


   Additions charged to operations

75,000

175,000

425,000

175,000


   Balance at end of period

$

3,191,605

$

2,856,319

$

3,191,605

$

2,856,319








   Net loan charge-offs (recoveries) to average loans (1)

(0.03%)

0.08%

0.04%

0.03%








Nonperforming assets (000's)

At December 31,

At September 30,

At June 30,

At December 31,


   Loans:

2019

2019

2019

2018


      Non-accrual

$

6,173

$

4,952

$

4,970

$

2,674


      Past 90 days or more and still accruing

-

-

-

-


      Troubled debt restructured

468

470

530

170


         Total nonperforming loans

6,641

5,422

5,500

2,844


   Real estate owned

262

361

-

33


   Other repossessed assets

-

-

-

-


         Total nonperforming assets

$

6,903

$

5,783

$

5,500

$

2,877







   Nonperforming assets to total assets

1.95%


1.64%

1.53%

0.86%


   Nonperforming loans to total loans

2.59%


2.13%

2.14%

1.17%


   Allowance for loan losses to nonperforming loans

48.07%


57.08%

54.27%

100.42%


   Allowance for loan losses to total receivable

1.26%


1.23%

1.18%

1.19%



At December 31,



2019

2018




Stockholders' equity as a % of total assets

11.67%

11.17%




Book value per share

$

34.25

$

30.95




Common shares outstanding- EOP

1,206,327

1,206,327










(1) Ratios for the three-month periods are annualized.


















 

 

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SOURCE Northeast Indiana Bancorp, Inc.