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8-K - 8-K - Georgetown Bancorp, Inc.a15-16524_18k.htm

Exhibit 99.1

 

 

PRESS RELEASE

 

Contact Information:

Joseph W. Kennedy, Senior Vice President/CFO

Georgetown Bancorp, Inc.

978-352-8600

joe.kennedy@georgetownbank.com

 

Georgetown Bancorp, Inc. Reports Earnings

and Announces Quarterly Cash Dividend

 

GEORGETOWN, MASSACHUSETTS, July 28, 2015 —

 

Georgetown Bancorp, Inc. (NASDAQ: GTWN) (the “Company”), holding company for Georgetown Bank (the “Bank”), reported net income for the three months ended June 30, 2015 of $363,000, or $0.21 per basic and diluted share, compared to net income of $374,000, or $0.21 per basic and diluted share, for the three months ended June 30, 2014. Net income for the six months ended June 30, 2015 was $613,000, or $0.35 per basic and diluted share, compared to net income of $649,000, or $0.37 per basic and diluted share, for the six months ended June 30, 2014.

 

Robert E. Balletto, President and Chief Executive Officer, said, “ I am pleased to report that the Company continued to have strong deposit growth, as total deposits have increased $12.9 million, or 7%, primarily in core deposits, during the six months ended June 30, 2015. Additionally, our asset quality continues to be strong, as non-performing assets as a percentage of total assets was 0.35% at June 30, 2015.  We remain focused on our strategic plan, which we believe will enhance long-term stockholder value.”

 

The Company also announced that its Board of Directors has declared a regular quarterly cash dividend of $0.0475 per share of common stock. The dividend will be paid on or about August 24, 2015, to stockholders of record as of the close of business on August 10, 2015.

 



 

Georgetown Bancorp, Inc.

Selected Financial Data

 

 

 

At or for the

 

At or for the

 

 

 

Six Months Ended

 

Year Ended

 

 

 

June 30, 2015

 

December 31, 2014

 

 

 

(Dollars in thousands, except share data)

 

Selected Financial Condition Data:

 

 

 

 

 

Total assets

 

$

271,720

 

$

271,020

 

Cash and cash equivalents

 

5,883

 

4,918

 

Loans receivable, net

 

232,431

 

231,293

 

Allowance for loan losses

 

2,234

 

2,229

 

Investment securities (1)

 

21,292

 

20,363

 

Deposits

 

195,259

 

182,354

 

Borrowings

 

42,350

 

54,600

 

 

 

 

 

 

 

Total stockholders’ equity

 

30,897

 

30,712

 

Stockholders’ equity to total assets at end of period

 

11.37

%

11.33

%

Total shares outstanding

 

1,827,924

 

1,827,131

 

Book value per share

 

$

16.90

 

$

16.81

 

 

 

 

 

 

 

Asset Quality Data:

 

 

 

 

 

Total non-performing loans

 

$

959

 

$

953

 

Other real estate owned

 

 

 

Total non-performing assets

 

959

 

953

 

Non-performing loans to total loans

 

0.41

%

0.41

%

Non-performing assets to total assets

 

0.35

%

0.35

%

Allowance for loan losses to non-performing loans

 

232.95

%

233.89

%

Allowance for loan losses to total loans

 

0.95

%

0.96

%

Loans charged off

 

$

25

 

$

269

 

Recoveries on loans previously charged off

 

3

 

4

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

 

June 30,

 

June 30,

 

 

 

2015

 

2014

 

2015

 

2014

 

 

 

(Dollars in thousands, except per share data)

 

Selected Operating Data:

 

 

 

 

 

 

 

 

 

Interest and dividend income

 

$

2,881

 

$

2,775

 

$

5,738

 

$

5,543

 

Interest expense

 

408

 

364

 

807

 

703

 

Net interest and dividend income

 

2,473

 

2,411

 

4,931

 

4,840

 

Provision for loan losses

 

 

 

27

 

 

Net interest and dividend income after provision for loan losses

 

2,473

 

2,411

 

4,904

 

4,840

 

Non-interest income

 

243

 

283

 

465

 

526

 

Non-interest expense

 

2,142

 

2,099

 

4,396

 

4,336

 

Income before income taxes

 

574

 

595

 

973

 

1,030

 

Income tax provision

 

211

 

221

 

360

 

381

 

Net income

 

$

363

 

$

374

 

$

613

 

$

649

 

 

 

 

 

 

 

 

 

 

 

Net income per share: basic

 

$

0.21

 

$

0.21

 

$

0.35

 

$

0.37

 

Net income per share: diluted

 

$

0.21

 

$

0.21

 

$

0.35

 

$

0.37

 

 

 

 

 

 

 

 

 

 

 

Performance Ratios:

 

 

 

 

 

 

 

 

 

Return on average assets

 

0.54

%

0.56

%

0.45

%

0.49

%

Return on average equity

 

4.80

%

5.19

%

4.06

%

4.50

%

Interest rate spread (2)

 

3.64

%

3.65

%

3.64

%

3.68

%

Net interest margin (2)

 

3.81

%

3.77

%

3.79

%

3.80

%

Efficiency ratio (3)

 

78.86

%

77.93

%

81.45

%

80.81

%

Non-interest expense to average total assets

 

3.19

%

3.16

%

3.26

%

3.28

%

 


(1) Does not include Federal Home Loan Bank stock of $2.9 million at June 30, 2015 and December 31, 2014 and Bankers Bank Northeast stock of $60,000 at June 30, 2015.

(2) Presented on a tax-equivalent basis using a tax rate of 34% resulting in an adjustment of $7,000 and $8,000 to investment security income for the three months ended June 30, 2015 and 2014, respectively and $15,000 for the six months ended June 30, 2015 and 2014, respectively.

(3) The efficiency ratio represents non-interest expense divided by the sum of net interest and dividend income and non-interest income.

 



 

About Georgetown Bancorp, Inc.

 

Georgetown Bancorp, Inc. is the holding company for Georgetown Bank. Georgetown Bank, with branch offices in Georgetown, North Andover and Rowley, Massachusetts, is committed to making a positive difference in the markets we serve. Our highest priority is to provide exceptional personal service, act with high ethical standards and in the best interest of our customers, employees, shareholders and business partners.  We strive to help each of our customers achieve their unique financial goals through a competitive array of financial products and services. To learn more about Georgetown Bank, visit www.georgetownbank.com or call 978-352-8600.

 

Forward-looking statements

 

This news release may contain certain forward-looking statements, such as statements of the Company’s or the Bank’s plans, objectives, expectations, estimates and intentions. Forward-looking statements may be identified by the use of words such as “expects,” “subject,” “believe,” “will,” “intends,” “will be” or “would.” These statements are subject to change based on various important factors (some of which are beyond the Company’s or the Bank’s control) and actual results may differ materially. Accordingly, readers should not place undue reliance on any forward-looking statements (which reflect management’s analysis of factors only as of the date of which they are given). These factors include general economic conditions, trends in interest rates, the ability of our borrowers to repay their loans, the ability of the Company or the Bank to effectively manage its growth and results of regulatory examinations, among other factors. The foregoing list of important factors is not exclusive. Readers should carefully review the risk factors described in other documents the Company files from time to time with the Securities and Exchange Commission, including Current Reports on Form 8-K.

 

END