AUBURN, Ind., July 11, 2014 (GLOBE NEWSWIRE) -- Peoples Bancorp (OTCQB:PBNI) reported net income for the third quarter ended June 30, 2014, of $1,004,977 versus the same quarter last year income of $752,708. Third quarter earnings per share were $0.43 compared to $0.32 per share for the same period one year ago, an increase of 34%.
Maurice F. Winkler, President of Peoples Bancorp, indicated "Continued growth in net interest margin and gains from the sale of investment securities have been major contributors to net income for both the just completed quarter and on a year to date basis. Net interest margin is up 10% year to date. Growth in interest income in the investment portfolio has been able to more than make up for the decrease in interest income in the loan portfolio. The Company is still realizing a reduction in its interest expenses, which have decreased 22% year to date. Fewer gains realized in both the investment and loan portfolios, caused non-interest income to decreased 27% for the quarter and 16% year to date. Fiduciary trust income has increased 32% over that time. Last year, the company realized higher non-interest expenses because of prepayment penalties paid to retire some Federal Home Loan Bank borrowings early. That has contributed positively to the decreased interest expense this year, as well as, leading to the decrease in non-interest expenses compared to last year. Income tax expense increased considerably because there has been an increase in taxable income this year compared to fiscal 2013. The Company's loan portfolio is performing very well with only 0.24% of outstanding loans past due 30 days or more as of June 30, 2014."
Peoples reported assets on June 30, 2014, of $462,940,579, an increase of $12.2 million from September 30, 2013. Peoples' deposit balances decreased during the quarter ended June 30, 2014 by $7.3 million to $347,430,524.
Peoples had 2,311,858 shares of stock outstanding as of June 30, 2014, and the closing price of Peoples Bancorp stock as of July 10, 2014, was $25.00 per share as listed on the OTCQB System under the symbol PBNI. At June 30, 2014, Peoples had stockholders equity of $60,390,736, a capital to assets ratio of 13.00%, and a book value of $26.12.
Peoples Bancorp, through its subsidiary, Peoples Federal Savings Bank, operates sixteen full-service offices located in Auburn, Avilla, Garrett, Howe, Kendallville, Lagrange, Middlebury, Topeka, Waterloo, Woodburn, and two in Columbia City, Indiana; and Three Rivers (two offices), Schoolcraft, and Union in Michigan.
| SELECTED CONSOLIDATED FINANCIAL DATA OF PEOPLES BANCORP | ||||
| June 30, | September 30, | June 30, | ||
| 2014 | 2013 | 2013 | ||
| Balance Sheet Data: | ||||
| Total assets | $462,940,579 | $450,760,405 | $465,625,926 | |
| Loans receivable including loans held for sale, net | 229,038,841 | 228,360,874 | 234,676,414 | |
| Investment securities | 172,344,637 | 180,938,743 | 184,514,216 | |
| Other interest earning assets | 30,748,605 | 11,614,650 | 13,964,692 | |
| Deposits | 347,430,524 | 349,677,821 | 357,113,480 | |
| Borrowed Funds | 51,546,954 | 40,061,234 | 46,730,802 | |
| Stockholder's equity | 60,390,736 | 58,282,473 | 58,922,704 | |
| Non-performing loans and REO | 762,000 | 1,066,000 | 1,099,010 | |
| Equity to assets ratio | 13.00% | 12.88% | 12.65% | |
| Book value per share | $26.12 | $25.19 | $25.39 | |
| Three Months Ended | Nine Months Ended | |||
| June 30, | June 30, | |||
| 2014 | 2013 | 2014 | 2013 | |
| Operating Data: | ||||
| Interest income | $3,843,145 | $3,756,204 | $11,669,503 | $11,574,563 |
| Interest expense | 753,145 | 824,846 | 2,279,773 | 2,922,498 |
| Net interest income | $3,090,000 | $2,931,358 | $9,389,730 | $8,652,065 |
| Provision for losses on loans | 170,000 | 60,000 | 340,000 | 210,000 |
| Net interest income after provision for losses on loans | $2,920,000 | $2,871,358 | $9,049,730 | $8,442,065 |
| Non-Interest income | 1,360,565 | 1,856,451 | 2,918,897 | 3,493,052 |
| Non-Interest expenses | 3,056,351 | 3,872,160 | 9,043,044 | 9,832,211 |
| Income before income taxes | 1,224,214 | 855,649 | 2,925,583 | 2,102,906 |
| Income tax expense | 219,237 | 102,941 | 414,942 | 107,246 |
| Net income | $1,004,977 | $752,708 | $2,510,641 | $1,995,660 |
| Basic income per common share | $0.43 | $0.32 | $1.09 | $0.84 |
| Diluted income per common share | $0.43 | $0.32 | $1.09 | $0.84 |
| Dividends per common share | $0.20 | $0.20 | $0.60 | $0.60 |
| Other Data: | ||||
| Average yield on all interest-earning assets | 3.53% | 3.44% | 3.59% | 3.50% |
| Average cost of all interest-bearing liabilities | 0.80% | 0.88% | 0.81% | 1.03% |
| Interest rate spread | 2.73% | 2.56% | 2.78% | 2.47% |
| Net interest margin | 2.84% | 2.68% | 2.89% | 2.62% |
| Return on assets (net income divided by average total assets) | 0.86% | 0.64% | 0.72% | 0.56% |
| Return on equity (net income divided by average total equity) | 6.64% | 4.86% | 5.61% | 4.22% |
| Dividend payout ratio (dividends per common share divided by net income per common share) | 46.51% | 62.50% | 55.05% | 71.43% |
Maurice F. Winkler, III Phone: 260-925-2500
