Attached files
| file | filename |
|---|---|
| 8-K - REPUBLIC FIRST BANCORP, INC. FORM 8-K - REPUBLIC FIRST BANCORP INC | rfbk8k.htm |
 |
News Release
|
|
Republic First Bancorp, Inc.
|
|
|
March 21, 2014
|
|
REPUBLIC FIRST BANCORP, INC. REPORTS FINANCIAL RESULTS FOR 2013
Philadelphia, PA, March 21, 2014 (PR Newswire) – Republic First Bancorp, Inc. (NASDAQ: FRBK), the holding company for Republic Bank, today announced its financial results for the period ended December 31, 2013.
Net income from operations, excluding special charges, was $4.3 million for the year ended December 31, 2013, which respresents an 18% increase over the amount recorded for the year ended December 31, 2012. Special credit charges and a legal settlement totaling $7.8 million were recorded during 2013 in an effort to resolve the significant issues lingering from the old Republic Bank model.
“I am pleased to report that “The Power of Red is Back” and the new Republic Bank is poised for dramatic growth,” said Harry D. Madonna, the Company’s Chairman and Chief Executive Officer. “Our South Jersey expansion got off to a tremendous start with the recent grand opening of our new and distinctive glass store in Cherry Hill, NJ. The relocation of our Media, PA store to a prime location during the fourth quarter of 2013 has already demonstrated terrific results. And the renovation of our store in the heart of Center City Philadelphia is well under way.”
“The Power of Red is Back” is an aggressive expansion plan beginning in Southern New Jersey and continuing throughout Metro Philadelphia. The Company has plans for additional stores in Marlton, Moorestown, Mount Holly, Medford, Glassboro, Washington Township and a second store in Cherry Hill.
Including special charges, the Company recorded a net loss of $3.5 million, or $(0.13) per share, for the year ended December 31, 2013 compared to net income of $3.6 million, or $0.14 per share, for the year ended December 31, 2012.
“We view 2013 as the final year to deal with issues originated under the old Republic Bank model,” added Madonna. “The charges taken over the past year have enabled us to improve asset quality, strengthen the balance sheet and resolve an outstanding legal matter that hung over our heads. 2014 is the beginning of a new chapter for Republic Bank which is rooted in extraordinary Customer service. The steps taken over the last year will enable us to focus all efforts on rolling out our Customer-centric model to the many new Fans who await us.”
The following is a reconciliation of net income from operations to net income determined under GAAP for the year ended December 31, 2013 net income compared to December 31, 2012:
|
($ in 000’s, except per share data)
|
YTD GAAP
Results
12/31/13
|
Special
Charges and Adjustments
|
YTD
Adjusted
Results
12/31/13
|
YTD GAAP
Results
12/31/12
|
||||||||||||
|
Net Interest Income
|
$ | 32,615 | - | $ | 32,615 | $ | 31,894 | |||||||||
|
Non-Interest Income
|
9,216 | - | 9,216 | 8,828 | ||||||||||||
|
Provision for Loan Losses
|
4,935 | (3,760 | ) | 1,175 | 1,350 | |||||||||||
|
Non-Interest Expenses
|
40,411 | (4,000 | ) | 36,411 | 35,902 | |||||||||||
|
Income (Loss) Before Tax
|
(3,515 | ) | 7,760 | 4,245 | 3,470 | |||||||||||
|
Provision (Benefit) for Taxes
|
(35 | ) | - | (35 | ) | (144 | ) | |||||||||
|
Net Income (Loss)
|
(3,480 | ) | 7,760 | 4,280 | 3,614 | |||||||||||
|
Earnings (Loss) per Share
|
$ | (0.13 | ) | $ | 0.16 | $ | 0.14 | |||||||||
Highlights for the Period Ending December 31, 2013
|
|
Ø
|
Asset quality improved as non-performing loans decreased by $5.6 million, or 35%, to $10.4 million, or 1.53% of total loans, at December 31, 2013 compared to $16.0 million, or 2.60% of total loans as of December 31, 2012.
|
|
|
Ø
|
The percentage of non-performing assets to capital and reserves improved to 19% as of December 31, 2013 compared to 31% as of December 31, 2012. The non-performing loan coverage ratio increased to 118% as of December 31, 2013 compared to 59% as of December 31, 2012.
|
|
|
Ø
|
Total loans increased by $61.4 million, or 10%, to $679.3 million as of December 31, 2013 compared to $617.9 million at December 31, 2012.
|
|
|
Ø
|
SBA lending continued to be a focal point of the Company’s lending strategy. More than $76 million in new SBA loans were originated during the year ended December 31, 2013. Our team is currently ranked as the #1 SBA lender in the tri-state footprint of Pennsylvania, New Jersey and Delaware.
|
|
|
Ø
|
Core deposits increased by $24.0 million on a linked quarter basis to $859.3 million as of December 31, 2013 compared to $835.3 million as of September 30, 2013.
|
|
|
Ø
|
The net interest margin increased to 3.66% for the year ended December 31, 2013 compared to 3.53% for the year ended December 31, 2012 despite the challenging interest rate environment.
|
|
|
Ø
|
Capital levels remain strong with a Total Risk-Based Capital ratio of 11.53% and a Tier I Leverage Ratio of 8.59% at December 31, 2013.
|
|
|
Ø
|
Tangible book value per share as of December 31, 2013 was $2.42.
|
2
Income Statement
The Company reported a net loss of $3.3 million, or $(0.13) per share, for the three month period ended December 31, 2013, compared to net income of $0.9 million, or $0.03 per share, for the three month period ended December 31, 2012. The net loss for the year ended December 31, 2013 was $3.5 million, or $(0.13) per share, compared to net income of $3.6 million, or $0.14 per share, for the year ended December 31, 2012.
Earnings in the fourth quarter of 2013 were impacted by a provision for loan losses in the amount of $3.6 million related to a single loan relationship. This loan was determined to be impaired during the fourth quarter and the provision was the result of a significant reduction in the collateral value supporting the loan based upon a current appraisal.
On a year to date basis, significant charges that impacted earings during 2013 included the settlement of a lawsuit for $1.9 million in the third quarter and a $2.1 million writedown of an OREO property. Each of these charges were associated with loans and relationships that were established prior to 2008 under the old Republic Bank model.
The Company continues to lower its cost of funds as evidenced by a decrease of 18 basis points to 0.53% for the twelve month period ended December 31, 2013, compared to 0.71% for the twelve month period ended December 31, 2012. The net interest margin increased to 3.66% for the twelve month period ended December 31, 2013 compared to 3.53% for the twelve month period ended December 31, 2012.
Balance Sheet
The major components of the balance sheet are as follows (dollars in thousands):
|
Description
|
Dec 31,
2013
|
Dec 31,
2012
|
%
Change
|
Sep 30,
2013
|
%
Change
|
|||||||||||||||
|
Total assets
|
$ | 961,665 | $ | 988,658 | (3 | %) | $ | 942,868 | 2 | % | ||||||||||
|
Total loans (net)
|
667,048 | 608,359 | 10 | % | 641,533 | 4 | % | |||||||||||||
|
Total deposits
|
869,534 | 889,201 | (2 | %) | 845,503 | 3 | % | |||||||||||||
|
Total core deposits
|
859,301 | 841,784 | 2 | % | 835,271 | 3 | % | |||||||||||||
Net loans increased by $58.7 million, or 10%, as of December 31, 2013 compared to December 31, 2012. Core deposits grew by $17.5 million to $859.3 million as of December 31, 2013 compared to $841.8 million as of December 31, 2012.
3
Core Deposits
Core deposits by type of account are as follows (dollars in thousands):
|
Description
|
Dec 31,
2013
|
Dec 31,
2012
|
%
Change
|
Sep 30,
2013
|
%
Change
|
4th Qtr
2013 Cost
of Funds
|
||||||||||||||||||
|
Demand noninterest-bearing
|
$ | 157,806 | $ | 145,407 | 9 | % | $ | 159,384 | (1 | %) | 0.00 | % | ||||||||||||
|
Demand interest-bearing
|
230,221 | 180,441 | 28 | % | 188,572 | 22 | % | 0.38 | % | |||||||||||||||
|
Money market and savings
|
402,671 | 440,119 | (9 | %) | 413,969 | (3 | %) | 0.41 | % | |||||||||||||||
|
Certificates of deposit
|
68,603 | 75,817 | (10 | %) | 73,346 | (6 | %) | 0.77 | % | |||||||||||||||
|
Total core deposits
|
$ | 859,301 | $ | 841,784 | 2 | % | $ | 835,271 | 3 | % | 0.36 | % | ||||||||||||
Core deposits increased to $859.3 million at December 31, 2013 compared to $841.8 million at December 31, 2012 as the Company continues to focus its effort on the gathering of low-cost core deposits. The Company recognized strong growth in demand account balances on a year to year basis, while at the same time reducing the overall deposit cost of funds to 0.37% for the three month period ending December 31, 2013 compared to 0.51% for the three month period ending December 31, 2012. The retail banking strategy has also enabled the Company to significantly reduce its dependence on wholesale funding sources such as brokered and internet-based certificates of deposit.
Lending
Loans by type are as follows (dollars in thousands):
|
Description
|
Dec 31,
2013
|
% of
Total
|
Dec 31,
2012
|
% of
Total
|
Sep 30,
2013
|
% of
Total
|
||||||||||||||||||
|
Commercial real estate
|
$ | 342,794 | 50 | % | $ | 335,561 | 54 | % | $ | 328,486 | 51 | % | ||||||||||||
|
Construction and land development
|
23,977 | 4 | % | 26,659 | 4 | % | 25,238 | 4 | % | |||||||||||||||
|
Commercial and industrial
|
118,209 | 17 | % | 103,768 | 17 | % | 113,302 | 17 | % | |||||||||||||||
|
Owner occupied real estate
|
160,229 | 24 | % | 126,242 | 21 | % | 150,594 | 23 | % | |||||||||||||||
|
Consumer and other
|
31,981 | 5 | % | 23,449 | 4 | % | 30,595 | 5 | % | |||||||||||||||
|
Residential mortgage
|
2,359 | 0 | % | 2,442 | 0 | % | 2,374 | 0 | % | |||||||||||||||
|
Deferred costs (fees)
|
(238 | ) | (220 | ) | (352 | ) | ||||||||||||||||||
|
Gross loans
|
$ | 679,311 | 100 | % | $ | 617,901 | 100 | % | $ | 650,237 | 100 | % | ||||||||||||
Gross loans increased by $61.4 million to $679.3 million at December 31, 2013 compared to $617.9 million at December 31, 2012 as a result of an increase in quality loan demand over the last twelve months and continued success with our relationship banking model.
4
Asset Quality
The Company’s non-performing asset balances and asset quality ratios are highlighted below:
|
Quarter Ended
|
||||||||||||
|
Dec 31,
2013
|
Sep 30,
2013
|
Dec 31,
2012
|
||||||||||
|
Non-performing assets / total assets
|
1.51 | % | 1.43 | % | 2.52 | % | ||||||
|
Quarterly net loan charge-offs / average loans
|
0.12 | % | 0.54 | % | 0.64 | % | ||||||
|
Allowance for loan losses / gross loans
|
1.81 | % | 1.34 | % | 1.54 | % | ||||||
|
Allowance for loan losses / non-performing loans
|
118 | % | 116 | % | 59 | % | ||||||
|
Non-performing assets / capital and reserves
|
19 | % | 18 | % | 31 | % | ||||||
Non-performing assets decreased by $10.5 million to $14.5 million, or 1.51% of total assets, at December 31, 2013, compared to $25.0 million, or 2.52% of total assets, as of December 31, 2012. The allowance for loan losses as a percentage of non-performing loans increased to 118% as of December 31, 2013, compared to 59% as of December 31, 2012. The ratio of non-performing assets to capital and reserves improved to 19% as of December 31, 2013 compared to 31% as of December 31, 2012.
Capital
The Company’s capital regulatory ratios at December 31, 2013 were as follows:
|
Republic First Bancorp, Inc.
|
Regulatory Guidelines
“Well Capitalized”
|
|||||||
|
Leverage Ratio
|
8.59 | % | 5.00 | % | ||||
|
Tier 1 Risk Based Capital
|
10.28 | % | 6.00 | % | ||||
|
Total Risk Based Capital
|
11.53 | % | 10.00 | % | ||||
Total shareholders’ equity was $62.9 million at December 31, 2013 which represented a book value per share of $2.42, based on common shares outstanding of approximately 26.0 million.
The Company, along with its banking subsidiary, continue to maintain strong capital ratios and are considered well capitalized under the regulatory guidelines as established by federal banking agencies.
5
About Republic Bank
Republic Bank, a subsidiary of Republic First Bancorp, Inc., is a full-service, state-chartered commercial bank, whose deposits are insured up to the applicable limits by the Federal Deposit Insurance Corporation (FDIC). The Bank provides diversified financial products through its fourteen offices located in Abington, Ardmore, Bala Cynwyd, Plymouth Meeting, Media and Philadelphia, Pennsylvania and Haddonfield, Cherry Hill and Voorhees, New Jersey. For more information about Republic Bank, visit www.myrepublicbank.com.
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). Management uses the non-GAAP measure of net income from operations in its analysis of the Company’s performance. This measure, as used by the Company, adjusts net income determined in accordance with GAAP to exclude the effects of special items, including non-recurring items or gains or losses that are unusual in nature. Because certain of these items and their impact on the Company’s performance are difficult to predict, management believes presentation of financial measures excluding the impact of such items provides useful supplemental information in evaluating the operating results of the Company’s core businesses and in comparing such results to results of peer financial institutions. These disclosures should not be viewed as a substitute for net income determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Forward Looking Statements
The Company may from time to time make written or oral “forward-looking statements”, including statements contained in this release and in the Company's filings with the Securities and Exchange Commission. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. For example, risks and uncertainties can arise with changes in: general economic conditions, including turmoil in the financial markets and related efforts of government agencies to stabilize the financial system; the adequacy of our allowance for loan losses and our methodology for determining such allowance; adverse changes in our loan portfolio and credit risk-related losses and expenses; concentrations within our loan portfolio, including our exposure to commercial real estate loans, and to our primary service area; changes in interest rates; business conditions in the financial services industry, including competitive pressure among financial services companies, new service and product offerings by competitors, price pressures and similar items; deposit flows; loan demand; the regulatory environment, including evolving banking industry standards, changes in legislation or regulation; impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act; our securities portfolio and the valuation of our securities; accounting principles, policies and guidelines as well as estimates and assumptions used in the preparation of our financial statements; rapidly changing technology; litigation liabilities, including costs, expenses, settlements and judgments; and other economic, competitive, governmental, regulatory and technological factors affecting our operations, pricing, products and services. You should carefully review the risk factors described in the Form 10-K for the year ended December 31, 2012 and other documents the Company files from time to time with the Securities and Exchange Commission. The words “would be,” “could be,” “should be,” “probability,” “risk,” “target,” “objective,” “may,” “will,” “estimate,” “project,” “believe,” “intend,” “anticipate,” “plan,” “seek,” “expect” and similar expressions or variations on such expressions are intended to identify forward-looking statements. All such statements are made in good faith by the Company pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company, except as may be required by applicable law or regulations.
Source:
Republic First Bancorp, Inc.
Contact:
Frank A. Cavallaro, CFO
(215) 735-4422
6
|
Republic First Bancorp, Inc.
|
||||||||||||
|
Consolidated Balance Sheets
|
||||||||||||
|
(Unaudited)
|
||||||||||||
|
December 31,
|
September 30,
|
December 31,
|
||||||||||
|
(dollars in thousands)
|
2013
|
2013
|
2012
|
|||||||||
|
ASSETS
|
||||||||||||
|
Cash and due from banks
|
$ | 12,525 | $ | 11,468 | $ | 9,097 | ||||||
|
Interest-bearing deposits and federal funds sold
|
23,355 | 32,837 | 118,907 | |||||||||
|
Total cash and cash equivalents
|
35,880 | 44,305 | 128,004 | |||||||||
|
Securities - Available for sale
|
204,891 | 199,722 | 189,259 | |||||||||
|
Securities - Held to maturity
|
21 | 69 | 67 | |||||||||
|
Restricted stock
|
1,570 | 1,570 | 3,816 | |||||||||
|
Total investment securities
|
206,482 | 201,361 | 193,142 | |||||||||
|
Loans held for sale
|
4,931 | 7,130 | 82 | |||||||||
|
Loans receivable
|
679,311 | 650,237 | 617,901 | |||||||||
|
Allowance for loan losses
|
(12,263 | ) | (8,704 | ) | (9,542 | ) | ||||||
|
Net loans
|
667,048 | 641,533 | 608,359 | |||||||||
|
Premises and equipment
|
22,748 | 21,181 | 21,976 | |||||||||
|
Other real estate owned
|
4,059 | 5,951 | 8,912 | |||||||||
|
Other assets
|
20,517 | 21,407 | 28,183 | |||||||||
|
Total Assets
|
$ | 961,665 | $ | 942,868 | $ | 988,658 | ||||||
|
LIABILITIES
|
||||||||||||
|
Non-interest bearing deposits
|
$ | 157,806 | $ | 159,384 | $ | 145,407 | ||||||
|
Interest bearing deposits
|
711,728 | 686,119 | 743,794 | |||||||||
|
Total deposits
|
869,534 | 845,503 | 889,201 | |||||||||
|
Short-term borrowings
|
- | - | - | |||||||||
|
Subordinated debt
|
22,476 | 22,476 | 22,476 | |||||||||
|
Other liabilities
|
6,756 | 7,802 | 7,079 | |||||||||
|
Total Liabilities
|
898,766 | 875,781 | 918,756 | |||||||||
|
SHAREHOLDERS' EQUITY
|
||||||||||||
|
Common stock - $0.01 par value
|
265 | 265 | 265 | |||||||||
|
Additional paid-in capital
|
107,078 | 106,990 | 106,753 | |||||||||
|
Accumulated deficit
|
(37,708 | ) | (34,447 | ) | (34,228 | ) | ||||||
|
Treasury stock at cost
|
(3,099 | ) | (3,099 | ) | (3,099 | ) | ||||||
|
Stock held by deferred compensation plan
|
(809 | ) | (809 | ) | (809 | ) | ||||||
|
Accumulated other comprehensive income (loss)
|
(2,828 | ) | (1,813 | ) | 1,020 | |||||||
|
Total Shareholders' Equity
|
62,899 | 67,087 | 69,902 | |||||||||
|
Total Liabilities and Shareholders' Equity
|
$ | 961,665 | $ | 942,868 | $ | 988,658 | ||||||
|
Republic First Bancorp, Inc.
|
||||||||||||||||||||
|
Consolidated Statements of Operations
|
||||||||||||||||||||
|
(Unaudited)
|
||||||||||||||||||||
|
Three Months Ended
|
Twelve Months Ended
|
|||||||||||||||||||
|
December 31,
|
September 30,
|
December 31,
|
December 31,
|
December 31,
|
||||||||||||||||
|
(dollars in thousands, except per share amounts)
|
2013
|
2013
|
2012
|
2013
|
2012
|
|||||||||||||||
|
INTEREST INCOME
|
||||||||||||||||||||
|
Interest and fees on loans
|
$ | 8,181 | $ | 8,146 | $ | 8,128 | $ | 32,335 | $ | 32,591 | ||||||||||
|
Interest and dividends on investment securities
|
1,321 | 1,153 | 1,234 | 4,685 | 5,369 | |||||||||||||||
|
Interest on other interest earning assets
|
42 | 40 | 61 | 185 | 300 | |||||||||||||||
|
Total interest income
|
9,544 | 9,339 | 9,423 | 37,205 | 38,260 | |||||||||||||||
|
INTEREST EXPENSE
|
||||||||||||||||||||
|
Interest on deposits
|
828 | 835 | 1,124 | 3,478 | 5,232 | |||||||||||||||
|
Interest on borrowed funds
|
278 | 278 | 282 | 1,112 | 1,134 | |||||||||||||||
|
Total interest expense
|
1,106 | 1,113 | 1,406 | 4,590 | 6,366 | |||||||||||||||
|
Net interest income
|
8,438 | 8,226 | 8,017 | 32,615 | 31,894 | |||||||||||||||
|
Provision for loan losses
|
3,760 | 250 | 750 | 4,935 | 1,350 | |||||||||||||||
|
Net interest income after provision for loan losses
|
4,678 | 7,976 | 7,267 | 27,680 | 30,544 | |||||||||||||||
|
NON-INTEREST INCOME
|
||||||||||||||||||||
|
Service fees on deposit accounts
|
277 | 270 | 252 | 1,046 | 922 | |||||||||||||||
|
Gain on sale of SBA loans
|
1,475 | 1,106 | 2,194 | 5,338 | 5,531 | |||||||||||||||
|
Gain (loss) on sale of investment securities
|
- | - | (37 | ) | 703 | 737 | ||||||||||||||
|
Other non-interest income
|
459 | 516 | 443 | 2,129 | 1,638 | |||||||||||||||
|
Total non-interest income
|
2,211 | 1,892 | 2,852 | 9,216 | 8,828 | |||||||||||||||
|
NON-INTEREST EXPENSE
|
||||||||||||||||||||
|
Salaries and employee benefits
|
3,788 | 4,486 | 4,407 | 17,064 | 16,512 | |||||||||||||||
|
Occupancy and equipment
|
1,453 | 1,612 | 1,353 | 5,740 | 5,460 | |||||||||||||||
|
Legal and professional fees
|
847 | 902 | 821 | 3,298 | 4,072 | |||||||||||||||
|
Foreclosed real estate
|
1,408 | 745 | 274 | 3,179 | 763 | |||||||||||||||
|
Regulatory assessments and related fees
|
345 | 327 | 335 | 1,257 | 1,367 | |||||||||||||||
|
Other operating expenses
|
2,276 | 4,036 | 2,079 | 9,873 | 7,728 | |||||||||||||||
|
Total non-interest expense
|
10,117 | 12,108 | 9,269 | 40,411 | 35,902 | |||||||||||||||
|
Income (loss) before provision (benefit) for income taxes
|
(3,228 | ) | (2,240 | ) | 850 | (3,515 | ) | 3,470 | ||||||||||||
|
Provision (benefit) for income taxes
|
33 | (18 | ) | (54 | ) | (35 | ) | (144 | ) | |||||||||||
|
Net income (loss)
|
$ | (3,261 | ) | $ | (2,222 | ) | $ | 904 | $ | (3,480 | ) | $ | 3,614 | |||||||
|
Net Income (Loss) per Common Share
|
||||||||||||||||||||
|
Basic
|
$ | (0.13 | ) | $ | (0.09 | ) | $ | 0.03 | $ | (0.13 | ) | $ | 0.14 | |||||||
|
Diluted
|
$ | (0.13 | ) | $ | (0.09 | ) | $ | 0.03 | $ | (0.13 | ) | $ | 0.14 | |||||||
|
Average Common Shares Outstanding
|
||||||||||||||||||||
|
Basic
|
25,973 | 25,973 | 25,973 | 25,973 | 25,973 | |||||||||||||||
|
Diluted
|
25,973 | 25,973 | 25,994 | 25,973 | 25,992 | |||||||||||||||
|
Republic First Bancorp, Inc.
|
||||||||||||||||||||||||||||||||||||
|
Average Balances and Net Interest Income
|
||||||||||||||||||||||||||||||||||||
|
(unaudited)
|
||||||||||||||||||||||||||||||||||||
|
For the three months ended
|
For the three months ended
|
For the three months ended
|
||||||||||||||||||||||||||||||||||
|
(dollars in thousands)
|
December 31, 2013
|
September 30, 2013
|
December 31, 2012
|
|||||||||||||||||||||||||||||||||
|
Interest
|
Interest
|
Interest
|
||||||||||||||||||||||||||||||||||
|
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
||||||||||||||||||||||||||||
|
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
||||||||||||||||||||||||||||
|
Interest-earning assets:
|
||||||||||||||||||||||||||||||||||||
|
Federal funds sold and other
|
||||||||||||||||||||||||||||||||||||
|
interest-earning assets
|
$ | 61,963 | $ | 42 | 0.27 | % | $ | 58,532 | $ | 40 | 0.27 | % | $ | 95,227 | $ | 61 | 0.25 | % | ||||||||||||||||||
|
Securities
|
206,259 | 1,361 | 2.64 | % | 197,283 | 1,183 | 2.40 | % | 193,119 | 1,298 | 2.69 | % | ||||||||||||||||||||||||
|
Loans receivable
|
663,567 | 8,226 | 4.92 | % | 641,698 | 8,192 | 5.06 | % | 626,916 | 8,164 | 5.18 | % | ||||||||||||||||||||||||
|
Total interest-earning assets
|
931,789 | 9,629 | 4.10 | % | 897,513 | 9,415 | 4.16 | % | 915,262 | 9,523 | 4.14 | % | ||||||||||||||||||||||||
|
Other assets
|
46,363 | 45,652 | 58,879 | |||||||||||||||||||||||||||||||||
|
Total assets
|
$ | 978,152 | $ | 943,165 | $ | 974,141 | ||||||||||||||||||||||||||||||
|
Interest-bearing liabilities:
|
||||||||||||||||||||||||||||||||||||
|
Demand non interest-bearing
|
$ | 159,956 | $ | 150,915 | $ | 142,716 | ||||||||||||||||||||||||||||||
|
Demand interest-bearing
|
218,275 | 210 | 0.38 | % | 198,341 | 213 | 0.43 | % | 178,658 | 229 | 0.51 | % | ||||||||||||||||||||||||
|
Money market & savings
|
419,982 | 431 | 0.41 | % | 410,402 | 425 | 0.41 | % | 425,205 | 561 | 0.52 | % | ||||||||||||||||||||||||
|
Time deposits
|
81,744 | 187 | 0.91 | % | 85,576 | 197 | 0.91 | % | 128,005 | 334 | 1.04 | % | ||||||||||||||||||||||||
|
Total deposits
|
879,957 | 828 | 0.37 | % | 845,234 | 835 | 0.39 | % | 874,584 | 1,124 | 0.51 | % | ||||||||||||||||||||||||
|
Total interest-bearing deposits
|
720,001 | 828 | 0.46 | % | 694,319 | 835 | 0.48 | % | 731,868 | 1,124 | 0.61 | % | ||||||||||||||||||||||||
|
Other borrowings
|
22,476 | 278 | 4.91 | % | 22,476 | 278 | 4.91 | % | 22,547 | 282 | 4.98 | % | ||||||||||||||||||||||||
|
Total interest-bearing liabilities
|
742,477 | 1,106 | 0.59 | % | 716,795 | 1,113 | 0.62 | % | 754,415 | 1,406 | 0.74 | % | ||||||||||||||||||||||||
|
Total deposits and
|
||||||||||||||||||||||||||||||||||||
|
other borrowings
|
902,433 | 1,106 | 0.49 | % | 867,710 | 1,113 | 0.51 | % | 897,131 | 1,406 | 0.62 | % | ||||||||||||||||||||||||
|
Non interest-bearing liabilities
|
9,312 | 7,313 | 7,623 | |||||||||||||||||||||||||||||||||
|
Shareholders' equity
|
66,407 | 68,142 | 69,387 | |||||||||||||||||||||||||||||||||
|
Total liabilities and
|
||||||||||||||||||||||||||||||||||||
|
shareholders' equity
|
$ | 978,152 | $ | 943,165 | $ | 974,141 | ||||||||||||||||||||||||||||||
|
Net interest income
|
$ | 8,523 | $ | 8,302 | $ | 8,117 | ||||||||||||||||||||||||||||||
|
Net interest spread
|
3.51 | % | 3.54 | % | 3.40 | % | ||||||||||||||||||||||||||||||
|
Net interest margin
|
3.63 | % | 3.67 | % | 3.53 | % | ||||||||||||||||||||||||||||||
|
Note: The above tables are presented on a tax equivalent basis.
|
||||||||||||||||||||||||||||||||||||
|
Republic First Bancorp, Inc.
|
||||||||||||||||||||||||
|
Average Balances and Net Interest Income
|
||||||||||||||||||||||||
|
(unaudited)
|
||||||||||||||||||||||||
|
For the twelve months ended
|
For the twelve months ended
|
|||||||||||||||||||||||
|
(dollars in thousands)
|
December 31, 2013
|
December 31, 2012
|
||||||||||||||||||||||
|
Interest
|
Interest
|
|||||||||||||||||||||||
|
Average
|
Income/
|
Yield/
|
Average
|
Income/
|
Yield/
|
|||||||||||||||||||
|
Balance
|
Expense
|
Rate
|
Balance
|
Expense
|
Rate
|
|||||||||||||||||||
|
Interest-earning assets:
|
||||||||||||||||||||||||
|
Federal funds sold and other
|
||||||||||||||||||||||||
|
interest-earning assets
|
$ | 67,307 | $ | 185 | 0.27 | % | $ | 116,268 | $ | 300 | 0.26 | % | ||||||||||||
|
Securities
|
192,315 | 4,820 | 2.51 | % | 187,446 | 5,622 | 3.00 | % | ||||||||||||||||
|
Loans receivable
|
640,233 | 32,523 | 5.08 | % | 609,943 | 32,734 | 5.37 | % | ||||||||||||||||
|
Total interest-earning assets
|
899,855 | 37,528 | 4.17 | % | 913,657 | 38,656 | 4.23 | % | ||||||||||||||||
|
Other assets
|
50,616 | 56,149 | ||||||||||||||||||||||
|
Total assets
|
$ | 950,471 | $ | 969,806 | ||||||||||||||||||||
|
Interest-bearing liabilities:
|
||||||||||||||||||||||||
|
Demand non interest-bearing
|
$ | 149,125 | $ | 136,999 | ||||||||||||||||||||
|
Demand interest-bearing
|
192,224 | 825 | 0.43 | % | 146,319 | 796 | 0.54 | % | ||||||||||||||||
|
Money market & savings
|
417,652 | 1,786 | 0.43 | % | 433,422 | 2,718 | 0.63 | % | ||||||||||||||||
|
Time deposits
|
92,484 | 867 | 0.94 | % | 155,549 | 1,718 | 1.10 | % | ||||||||||||||||
|
Total deposits
|
851,485 | 3,478 | 0.41 | % | 872,289 | 5,232 | 0.60 | % | ||||||||||||||||
|
Total interest-bearing deposits
|
702,360 | 3,478 | 0.50 | % | 735,290 | 5,232 | 0.71 | % | ||||||||||||||||
|
Other borrowings
|
22,476 | 1,112 | 4.95 | % | 22,531 | 1,134 | 5.03 | % | ||||||||||||||||
|
Total interest-bearing liabilities
|
724,836 | 4,590 | 0.63 | % | 757,821 | 6,366 | 0.84 | % | ||||||||||||||||
|
Total deposits and
|
||||||||||||||||||||||||
|
other borrowings
|
873,961 | 4,590 | 0.53 | % | 894,820 | 6,366 | 0.71 | % | ||||||||||||||||
|
Non interest-bearing liabilities
|
7,902 | 7,573 | ||||||||||||||||||||||
|
Shareholders' equity
|
68,608 | 67,413 | ||||||||||||||||||||||
|
Total liabilities and
|
||||||||||||||||||||||||
|
shareholders' equity
|
$ | 950,471 | $ | 969,806 | ||||||||||||||||||||
|
Net interest income
|
$ | 32,938 | $ | 32,290 | ||||||||||||||||||||
|
Net interest spread
|
3.54 | % | 3.39 | % | ||||||||||||||||||||
|
Net interest margin
|
3.66 | % | 3.53 | % | ||||||||||||||||||||
|
Note: The above tables are presented on a tax equivalent basis.
|
||||||||||||||||||||||||
|
Republic First Bancorp, Inc.
|
||||||||||||||||||||
|
Summary of Allowance for Loan Losses and Other Related Data
|
||||||||||||||||||||
|
(unaudited)
|
||||||||||||||||||||
| Three months ended | Twelve months ended | |||||||||||||||||||
|
December 31,
|
September 30,
|
December 31,
|
December 31,
|
December 31,
|
||||||||||||||||
|
(dollars in thousands)
|
2013
|
2013
|
2012
|
2013
|
2012
|
|||||||||||||||
|
Balance at beginning of period
|
$ | 8,704 | $ | 9,332 | $ | 9,798 | $ | 9,542 | $ | 12,050 | ||||||||||
|
Provision charged to operating expense
|
3,760 | 250 | 750 | 4,935 | 1,350 | |||||||||||||||
| 12,464 | 9,582 | 10,548 | 14,477 | 13,400 | ||||||||||||||||
|
Recoveries on loans charged-off:
|
||||||||||||||||||||
|
Commercial
|
48 | 10 | - | 117 | 105 | |||||||||||||||
|
Consumer
|
- | 1 | 1 | 26 | 29 | |||||||||||||||
|
Total recoveries
|
48 | 11 | 1 | 143 | 134 | |||||||||||||||
|
Loans charged-off:
|
||||||||||||||||||||
|
Commercial
|
(249 | ) | (889 | ) | (1,007 | ) | (2,282 | ) | (3,890 | ) | ||||||||||
|
Consumer
|
- | - | - | (75 | ) | (102 | ) | |||||||||||||
|
Total charged-off
|
(249 | ) | (889 | ) | (1,007 | ) | (2,357 | ) | (3,992 | ) | ||||||||||
|
Net charge-offs
|
(201 | ) | (878 | ) | (1,006 | ) | (2,214 | ) | (3,858 | ) | ||||||||||
|
Balance at end of period
|
$ | 12,263 | $ | 8,704 | $ | 9,542 | $ | 12,263 | $ | 9,542 | ||||||||||
|
Net charge-offs as a percentage of
|
||||||||||||||||||||
|
average loans outstanding
|
0.12 | % | 0.54 | % | 0.64 | % | 0.35 | % | 0.63 | % | ||||||||||
|
Allowance for loan losses as a percentage
|
||||||||||||||||||||
|
of period-end loans
|
1.81 | % | 1.34 | % | 1.54 | % | 1.81 | % | 1.54 | % | ||||||||||
|
Republic First Bancorp, Inc.
|
||||||||||||||||||||
|
Summary of Non-Performing Loans and Assets
|
||||||||||||||||||||
|
(unaudited)
|
||||||||||||||||||||
|
December 31,
|
September 30,
|
June 30,
|
March 31,
|
December 31,
|
||||||||||||||||
|
(dollars in thousands)
|
2013
|
2013
|
2013
|
2013
|
2012
|
|||||||||||||||
|
Non-accrual loans:
|
||||||||||||||||||||
|
Commercial real estate
|
$ | 9,764 | $ | 6,833 | $ | 12,673 | $ | 14,415 | $ | 14,850 | ||||||||||
|
Consumer and other
|
656 | 662 | 667 | 700 | 996 | |||||||||||||||
|
Total non-accrual loans
|
10,420 | 7,495 | 13,340 | 15,115 | 15,846 | |||||||||||||||
|
Loans past due 90 days or more
|
||||||||||||||||||||
|
and still accruing
|
- | - | - | - | 202 | |||||||||||||||
|
Total non-performing loans
|
10,420 | 7,495 | 13,340 | 15,115 | 16,048 | |||||||||||||||
|
Other real estate owned
|
4,059 | 5,951 | 6,584 | 8,268 | 8,912 | |||||||||||||||
|
Total non-performing assets
|
$ | 14,479 | $ | 13,446 | $ | 19,924 | $ | 23,383 | $ | 24,960 | ||||||||||
|
Non-performing loans to total loans
|
1.53 | % | 1.15 | % | 2.09 | % | 2.41 | % | 2.60 | % | ||||||||||
|
Non-performing assets to total assets
|
1.51 | % | 1.43 | % | 2.17 | % | 2.52 | % | 2.52 | % | ||||||||||
|
Non-performing loan coverage
|
117.69 | % | 116.13 | % | 69.96 | % | 61.88 | % | 59.46 | % | ||||||||||
|
Allowance for loan losses as a percentage
|
||||||||||||||||||||
|
of total period-end loans
|
1.81 | % | 1.34 | % | 1.46 | % | 1.49 | % | 1.54 | % | ||||||||||
|
Non-performing assets / capital plus
|
||||||||||||||||||||
|
allowance for loan losses
|
19.26 | % | 17.74 | % | 25.32 | % | 29.28 | % | 31.42 | % | ||||||||||