Attached files
file | filename |
---|---|
8-K - BANKWELL FINANCIAL GROUP, INC. 8-K 4 27 16 - Bankwell Financial Group, Inc. | bwfg8k-42716.htm |
BANKWELL FINANCIAL GROUP REPORTS RECORD FIRST QUARTER NET INCOME OF $3.0 MILLION, $0.40 EARNINGS PER COMMON SHARE, 9.23% RETURN ON AVERAGE TANGIBLE COMMON EQUITY AND DECLARES SECOND QUARTER DIVIDEND
New Canaan, CT – April 27, 2016 – Bankwell Financial Group, Inc. (NASDAQ: BWFG) reported GAAP net income of $3.0 million for the first quarter of 2016. In addition, Bankwell Financial Group, Inc. reached record loan levels at $1.2 billion, driven by strong organic growth.
The Company's Board of Directors declared a $0.05 per share cash dividend, payable May 26, 2016 to shareholders of record on May 16, 2016.
First Quarter 2016 Highlights:
·
|
Total revenue (net interest income plus non-interest income) reached $12.1 million.
|
·
|
Diluted earnings per share were $0.40; an increase of 54% compared to the first quarter of 2015.
|
·
|
Tax equivalent net interest margin was 3.54%, compared to 3.89% in the first quarter of 2015.
|
·
|
Total non-interest income was $0.7 million, which is 6% of total revenue.
|
·
|
The efficiency ratio was 57.7%, compared to 66.0% in the first quarter of 2015.
|
·
|
The tangible common equity ratio and tangible book value per share were 9.26% and $17.76, respectively.
|
·
|
Total gross loans were $1.2 billion.
|
·
|
The allowance for loan losses was $14.8 million and represented 1.34% of total loans, excluding acquired loans.
|
·
|
Investment securities totaled $108.5 million and represented 8% of total assets.
|
·
|
Total deposits ended the quarter at $1.1 billion.
|
Notes Bankwell Financial Group CEO, Christopher R. Gruseke:
"Bankwell has begun 2016 with its best financial performance to date. Despite the headwinds of increased volatility in the financial markets, we recorded net income of $3.0 million, or $0.40 per share for the quarter. We also grew our loan book, organically, by $49.0 million or 4.3% percent during that period. This organic growth was achieved without compromising on credit quality or pricing."
"During the first quarter, we observed competitor pricing at yields which could not possibly generate appropriate returns on capital. We practice a more disciplined approach to loan pricing, and our veteran lending team performed well versus the competition, resulting in a net interest margin of 3.54%. This margin was achieved while maintaining superior asset quality as indicated by our non-performing asset ratio of 0.30% of assets."
"In this low interest rate environment, only the low cost producers will thrive. We continue to look for efficiencies in every aspect of our business, and Bankwell achieved an efficiency ratio of 57.7% for the quarter, compared to 66.0% for the comparable period last year, a figure which puts us ahead of our own strategic plan. While we are quite pleased with this result, the bank plans to continue to invest in infrastructure and people. We expect several personnel additions during the remainder of the year, which will result in a more normalized rate of non-interest expense. Our 2016 plan for the full year remains intact to deliver an improved efficiency ratio over 2015's result of 62.4%."
"Finally, the combination of Bankwell's ability to generate high quality assets, our focus on cost control, and the strength of our team produced a return on average tangible common equity of 9.23%, versus 6.43% for the same period in 2015, demonstrating again this team's commitment to deliver value to our shareholders."
1
Earnings
Net income for the quarter ended March 31, 2016 was $3.0 million, an increase of 60% compared to the quarter ended March 31, 2015. Revenues (net interest income plus non-interest income) for the quarter ended March 31, 2016 were $12.1 million, an increase of 15% compared to the quarter ended March 31, 2015. Net interest income for the quarter ended March 31, 2016 was $11.4 million, an increase of 15% compared to the quarter ended March 31, 2015. Our strong net income, revenues and net interest income was fueled by record earning asset growth.
Basic and diluted earnings per share for the quarter ended March 31, 2016 was $0.40, compared to $0.26 for the quarter ended March 31, 2015.
The Company continues to focus on expense control as indicated by our improving efficiency ratio. The Company's efficiency ratio for the quarters ended March 31, 2016 and March 31, 2015 were 57.7% and 66.0%, respectively.
Noninterest Income and Expense
Noninterest income increased $73 thousand to $0.7 million for the three months ended March 31, 2016 compared to the three months ended March 31, 2015. The increase in noninterest income was primarily driven by an increase in service charges and fees on checking accounts, increased ATM and debit card fees, and an increase in other income as a result of income recognized on the early pay-off of purchased credit impaired loans.
Noninterest expense increased only 1.5% for the three months ended March 31, 2016 compared to the three months ended March 31, 2015. The increase was primarily driven by an increase in data processing and foreclosed real estate, offset by a decrease in salaries and employee benefits. Salaries and employee benefits decreased $151 thousand to $3.8 million for the three months ended March 31, 2016 compared to the three months ended March 31, 2015 as a result of an increase in open positions.
Financial Condition
Assets totaled $1.4 billion at March 31, 2016, an annualized increase of 27% compared to assets of $1.3 billion at December 31, 2015. This increase reflects strong organic loan growth. Total gross loans were $1.2 billion at March 31, 2016, an annualized increase of 17% compared to December 31, 2015. Commercial real estate loans have experienced the most significant growth, up by $54.0 million.
Deposits increased to $1.1 billion, an annualized increase of 18% over December 31, 2015, with core deposits (total deposits less time deposits) showing an annualized increase of 6% over December 31, 2015 to $619.0 million primarily reflecting increases in money market and NOW accounts.
Asset Quality
Asset quality remained exceptionally strong at March 31, 2016. Non-performing assets as a percentage of total assets was 0.30% at March 31, 2016, down from 0.38% at December 31, 2015. The allowance for loan losses at March 31, 2016 was $14.8 million, representing 1.34% of total loans, excluding acquired loans.
2
Capital
Shareholders' equity totaled $134.5 million as of March 31, 2016, an increase of $2.7 million compared to December 31, 2015, primarily a result of net income for the quarter ended March 31, 2016 of $3.0 million. As of March 31, 2016, the tangible common equity ratio and tangible book value per share were 9.26% and $17.76, respectively.
About Bankwell Financial Group
Bankwell is a commercial bank that serves the banking and lending needs of residents and businesses throughout Fairfield and New Haven Counties, CT. For more information about this press release, interested parties may contact Christopher R. Gruseke, President and Chief Executive Officer or Ernest J. Verrico Sr., Executive Vice President and Chief Financial Officer of Bankwell Financial Group at (203) 652-0166.
For more information, visit www.mybankwell.com.
This press release may contain certain forward-looking statements about the Company. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements, by their nature, are subject to risks and uncertainties. Certain factors that could cause actual results to differ materially from expected results include increased competitive pressures, changes in the interest rate environment, general economic conditions or conditions within the securities markets, and legislative and regulatory changes that could adversely affect the business in which the Company and its subsidiaries are engaged.
3
BANKWELL FINANCIAL GROUP, INC.
|
|||||||||||
CONSOLIDATED BALANCE SHEETS (unaudited)
|
|||||||||||
(Dollars in thousands, except share data)
|
|||||||||||
March 31,
|
December 31,
|
March 31,
|
|||||||||
2016
|
2015
|
2015
|
|||||||||
Assets
|
|||||||||||
Cash and due from banks
|
$ 69,512
|
$ 49,562
|
$ 19,428
|
||||||||
Federal funds sold
|
3,194
|
39,035
|
-
|
||||||||
Cash and cash equivalents
|
72,706
|
88,597
|
19,428
|
||||||||
Held to maturity investment securities, at amortized cost
|
17,010
|
10,226
|
11,398
|
||||||||
Available for sale investment securities, at fair value
|
91,528
|
40,581
|
50,736
|
||||||||
Loans receivable (net of allowance for loan losses of $14,810,
|
|||||||||||
$14,169 and $11,596 at March 31, 2016, December 31, 2015 and
|
|||||||||||
March 31, 2015, respectively)
|
1,177,905
|
1,129,748
|
964,034
|
||||||||
Foreclosed real estate
|
878
|
1,248
|
830
|
||||||||
Accrued interest receivable
|
4,370
|
4,071
|
3,342
|
||||||||
Federal Home Loan Bank stock, at cost
|
7,158
|
6,554
|
6,794
|
||||||||
Premises and equipment, net
|
10,830
|
11,163
|
12,120
|
||||||||
Bank-owned life insurance
|
23,929
|
23,755
|
23,211
|
||||||||
Goodwill
|
2,589
|
2,589
|
2,589
|
||||||||
Other intangible assets
|
612
|
652
|
797
|
||||||||
Deferred income taxes, net
|
8,677
|
8,337
|
7,436
|
||||||||
Other assets
|
1,881
|
2,851
|
1,748
|
||||||||
Total assets
|
$ 1,420,073
|
$ 1,330,372
|
$ 1,104,463
|
||||||||
Liabilities & Shareholders' Equity
|
|||||||||||
Liabilities
|
|||||||||||
Deposits
|
|||||||||||
Noninterest-bearing
|
$ 165,968
|
$ 164,553
|
$ 142,920
|
||||||||
Interest-bearing
|
927,766
|
882,389
|
691,783
|
||||||||
Total deposits
|
1,093,734
|
1,046,942
|
834,703
|
||||||||
Advances from the Federal Home Loan Bank
|
160,000
|
120,000
|
133,000
|
||||||||
Subordinated debentures
|
25,012
|
25,000
|
-
|
||||||||
Accrued expenses and other liabilities
|
6,856
|
6,661
|
5,352
|
||||||||
Total liabilities
|
1,285,602
|
1,198,603
|
973,055
|
||||||||
Shareholders' equity
|
|||||||||||
Preferred stock, senior noncumulative perpetual, Series C, no par;
|
|||||||||||
10,980 shares issued and outstanding at March 31, 2015
|
|||||||||||
liquidation value of $1,000 per share.
|
-
|
-
|
10,980
|
||||||||
Common stock, no par value; 10,000,000 shares authorized,
|
|||||||||||
7,530,791, 7,516,291 and 7,243,252 shares issued at
|
|||||||||||
March 31, 2016, December 31, 2015 and March 31, 2015, respectively
|
113,052
|
112,579
|
107,765
|
||||||||
Retained earnings
|
21,578
|
18,963
|
12,280
|
||||||||
Accumulated other comprehensive (loss) income
|
(159)
|
227
|
383
|
||||||||
Total shareholders' equity
|
134,471
|
131,769
|
131,408
|
||||||||
Total liabilities and shareholders' equity
|
$ 1,420,073
|
$ 1,330,372
|
$ 1,104,463
|
4
BANKWELL FINANCIAL GROUP, INC.
|
||||||||||
CONSOLIDATED STATEMENTS OF INCOME (unaudited)
|
||||||||||
(Dollars in thousands, except per share data)
|
||||||||||
For the Quarter Ended
|
||||||||||
March 31,
|
December 31,
|
March 31,
|
||||||||
2016
|
2015
|
2015
|
||||||||
Interest and dividend income
|
||||||||||
Interest and fees on loans
|
$ 13,283
|
$ 13,383
|
$ 10,757
|
|||||||
Interest and dividends on securities
|
684
|
489
|
504
|
|||||||
Interest on cash and cash equivalents
|
37
|
36
|
12
|
|||||||
Total interest income
|
14,004
|
13,908
|
11,273
|
|||||||
Interest expense
|
||||||||||
Interest expense on deposits
|
1,740
|
1,776
|
1,038
|
|||||||
Interest on borrowings
|
866
|
896
|
341
|
|||||||
Total interest expense
|
2,606
|
2,672
|
1,379
|
|||||||
Net interest income
|
11,398
|
11,236
|
9,894
|
|||||||
Provision for loan losses
|
646
|
354
|
733
|
|||||||
Net interest income after provision for loan losses
|
10,752
|
10,882
|
9,161
|
|||||||
Noninterest income
|
||||||||||
Service charges and fees
|
245
|
258
|
208
|
|||||||
Bank owned life insurance
|
174
|
178
|
183
|
|||||||
Gains and fees from sales of loans
|
110
|
228
|
89
|
|||||||
Gain on sale of foreclosed real estate, net
|
-
|
-
|
18
|
|||||||
Other
|
143
|
176
|
101
|
|||||||
Total noninterest income
|
672
|
840
|
599
|
|||||||
Noninterest expense
|
||||||||||
Salaries and employee benefits
|
3,811
|
4,248
|
3,962
|
|||||||
Occupancy and equipment
|
1,408
|
1,312
|
1,349
|
|||||||
Data processing
|
407
|
366
|
336
|
|||||||
Professional services
|
366
|
414
|
325
|
|||||||
FDIC insurance
|
169
|
185
|
158
|
|||||||
Director fees
|
155
|
198
|
148
|
|||||||
Marketing
|
139
|
278
|
148
|
|||||||
Foreclosed real estate
|
72
|
95
|
5
|
|||||||
Amortization of intangibles
|
40
|
43
|
51
|
|||||||
Merger and acquisition related expenses
|
-
|
2
|
-
|
|||||||
Other
|
513
|
540
|
490
|
|||||||
Total noninterest expense
|
7,080
|
7,681
|
6,972
|
|||||||
Income before income tax expense
|
4,344
|
4,041
|
2,788
|
|||||||
Income tax expense
|
1,353
|
1,423
|
915
|
|||||||
Net income
|
$ 2,991
|
$ 2,618
|
$ 1,873
|
|||||||
Net income attributable to common shareholders
|
$ 2,991
|
$ 2,575
|
$ 1,846
|
|||||||
Earnings Per Common Share:
|
||||||||||
Basic
|
$ 0.40
|
$ 0.35
|
$ 0.26
|
|||||||
Diluted
|
0.40
|
0.35
|
0.26
|
|||||||
Weighted Average Common Shares Outstanding:
|
||||||||||
Basic
|
7,380,217
|
7,169,570
|
7,028,499
|
|||||||
Diluted
|
7,431,747
|
7,234,431
|
7,056,141
|
|||||||
Dividends per common share
|
$ 0.05
|
$ 0.05
|
$ -
|
5
BANKWELL FINANCIAL GROUP, INC.
|
||||||||||||
CONSOLIDATED FINANCIAL HIGHLIGHTS (unaudited)
|
||||||||||||
(Dollars in thousands, except per share data)
|
||||||||||||
For the Quarter Ended
|
||||||||||||
March 31,
|
December 31,
|
March 31,
|
||||||||||
2016
|
2015
|
2015
|
||||||||||
Performance ratios:
|
||||||||||||
Return on average assets
|
0.89%
|
0.78%
|
0.70%
|
|||||||||
Return on average stockholders' equity
|
9.01%
|
7.68%
|
5.81%
|
|||||||||
Return on average tangible common equity
|
9.23%
|
7.74%
|
6.43%
|
|||||||||
Net interest margin
|
3.54%
|
3.63%
|
3.89%
|
|||||||||
Efficiency ratio (1)
|
57.7%
|
62.4%
|
66.0%
|
|||||||||
Net loan charge-offs as a % of average loans
|
0.00%
|
0.01%
|
0.00%
|
|||||||||
As of
|
||||||||||||
March 31,
2016
|
December 31,
2015
|
March 31,
2015
|
||||||||||
Capital ratios:
|
||||||||||||
Total Common Equity Tier 1 Capital to Risk-Weighted Assets (2)
|
12.24%
|
12.18%
|
12.08%
|
|||||||||
Total Capital to Risk-Weighted Assets (2)
|
13.48%
|
13.39%
|
13.26%
|
|||||||||
Tier I Capital to Risk-Weighted Assets (2)
|
12.24%
|
12.18%
|
12.08%
|
|||||||||
Tier I Capital to Average Assets (2)
|
10.85%
|
10.84%
|
10.99%
|
|||||||||
Tangible common equity to tangible assets
|
9.26%
|
9.68%
|
10.63%
|
|||||||||
Tangible book value per common share (3)
|
$ 17.76
|
$ 17.43
|
$ 16.62
|
|||||||||
Asset quality:
|
||||||||||||
Nonaccrual loans
|
$ 3,398
|
$ 3,791
|
$ 2,451
|
|||||||||
Other real estate owned
|
878
|
1,248
|
830
|
|||||||||
Total non-performing assets
|
$ 4,276
|
$ 5,039
|
$ 3,281
|
|||||||||
Loans past due 90 days and still accruing
|
$ 89
|
$ 1,105
|
$ 1,671
|
|||||||||
Nonperforming loans as a % of total loans
|
0.28%
|
0.33%
|
0.25%
|
|||||||||
Nonperforming assets as a % of total assets
|
0.30%
|
0.38%
|
0.30%
|
|||||||||
Allowance for loan losses as a % of total loans
|
1.24%
|
1.23%
|
1.18%
|
|||||||||
Allowance for loan losses as a % of nonperforming loans
|
435.84%
|
373.76%
|
473.11%
|
(1) Efficiency ratio is defined as noninterest expense, less merger and acquisition related expenses, other real estate owned expenses and amortization of intangible assets, divided by our operating revenue, which is equal to net interest income plus non-interest income excluding gains and losses on sales of securities and gains and losses on other real estate owned. In our judgment, the adjustments made to operating revenue allow investors and analysts to better assess our operating expenses in relation to our core operating revenue by removing the volatility that is associated with certain one-time items and other discrete items that are unrelated to our core business.
(2) Represents Bank ratios.
(3) Excludes preferred stock and unvested restricted stock awards of 138,423, 143,323 and 200,962 as of March 31, 2016, December 31, 2015 and March 31, 2015, respectively.
6
BANKWELL FINANCIAL GROUP, INC.
|
||||||||||
LOAN & DEPOSIT PORTFOLIO (unaudited)
|
||||||||||
(Dollars in thousands)
|
||||||||||
March 31,
|
December 31,
|
March 31,
|
Mar 16 vs. Dec 15
|
Mar 16 vs. Mar 15
|
||||||
Period End Loan Composition
|
2016
|
2015
|
2015
|
% Change
|
% Change
|
|||||
Residential Real Estate
|
$ 184,134
|
$ 177,184
|
$ 172,629
|
3.9%
|
6.7%
|
|||||
Commercial Real Estate
|
751,571
|
697,542
|
566,119
|
7.7%
|
32.8%
|
|||||
Construction
|
82,528
|
82,273
|
68,724
|
0.3%
|
20.1%
|
|||||
Home equity
|
15,789
|
15,926
|
18,412
|
-0.9%
|
-14.2%
|
|||||
Total Real Estate Loans
|
1,034,022
|
972,925
|
825,884
|
6.3%
|
25.2%
|
|||||
Commercial Business
|
160,903
|
172,853
|
150,326
|
-6.9%
|
7.0%
|
|||||
Consumer
|
1,552
|
1,735
|
2,437
|
-10.5%
|
-36.3%
|
|||||
Total Loans
|
$ 1,196,477
|
$ 1,147,513
|
$ 978,647
|
4.3%
|
22.3%
|
|||||
March 31,
|
December 31,
|
March 31,
|
Mar 16 vs. Dec 15
|
Mar 16 vs. Mar 15
|
||||||
Period End Deposit Composition
|
2016
|
2015
|
2015
|
% Change
|
% Change
|
|||||
Noninterest-bearing demand
|
$ 165,968
|
$ 164,553
|
$ 142,920
|
0.9%
|
16.1%
|
|||||
NOW
|
62,639
|
51,008
|
60,990
|
22.8%
|
2.7%
|
|||||
Money Market
|
316,440
|
296,838
|
242,917
|
6.6%
|
30.3%
|
|||||
Savings
|
73,987
|
97,846
|
86,502
|
-24.4%
|
-14.5%
|
|||||
Time
|
474,700
|
436,697
|
301,374
|
8.7%
|
57.5%
|
|||||
Total Deposits
|
$ 1,093,734
|
$ 1,046,942
|
$ 834,703
|
4.5%
|
31.0%
|
|||||
7
BANKWELL FINANCIAL GROUP, INC.
|
|||||||||
NONINTEREST INCOME & EXPENSE (unaudited)
|
|||||||||
(Dollars in thousands)
|
|||||||||
For the Quarter Ended
|
|||||||||
Noninterest income
|
March 31,
|
December 31,
|
March 31,
|
Mar 16 vs. Dec 15
|
Mar 16 vs. Mar 15
|
||||
2016
|
2015
|
2015
|
% Change
|
% Change
|
|||||
Service charges and fees
|
$ 245
|
$ 258
|
$ 208
|
-5.0%
|
17.8%
|
||||
Bank owned life insurance
|
174
|
178
|
183
|
-2.2%
|
-4.9%
|
||||
Gains and fees from sales of loans
|
110
|
228
|
89
|
-51.8%
|
23.6%
|
||||
Gain on sale of foreclosed real estate, net
|
-
|
-
|
18
|
0.0%
|
-100.0%
|
||||
Other
|
143
|
176
|
101
|
-18.8%
|
41.6%
|
||||
Total noninterest income
|
$ 672
|
$ 840
|
$ 599
|
-20.0%
|
12.2%
|
||||
For the Quarter Ended
|
|||||||||
Noninterest expense
|
March 31,
|
December 31,
|
March 31,
|
Mar 16 vs. Dec 15
|
Mar 16 vs. Mar 15
|
||||
2016
|
2015
|
2015
|
% Change
|
% Change
|
|||||
Salaries and employee benefits
|
$ 3,811
|
$ 4,248
|
$ 3,962
|
-10.3%
|
-3.8%
|
||||
Occupancy and equipment
|
1,408
|
1,312
|
1,349
|
7.3%
|
4.4%
|
||||
Data processing
|
407
|
366
|
336
|
11.2%
|
21.1%
|
||||
Professional services
|
366
|
414
|
325
|
-11.6%
|
12.6%
|
||||
FDIC insurance
|
169
|
185
|
158
|
-8.6%
|
7.0%
|
||||
Director fees
|
155
|
198
|
148
|
-21.7%
|
4.7%
|
||||
Marketing
|
139
|
278
|
148
|
-50.0%
|
-6.1%
|
||||
Foreclosed real estate
|
72
|
95
|
5
|
-24.2%
|
1340.0%
|
||||
Amortization of intangibles
|
40
|
43
|
51
|
-7.0%
|
-21.6%
|
||||
Merger and acquisition related expenses
|
-
|
2
|
-
|
-100.0%
|
0.0%
|
||||
Other
|
513
|
540
|
490
|
-5.0%
|
4.7%
|
||||
Total noninterest expense
|
$ 7,080
|
$ 7,681
|
$ 6,972
|
-7.8%
|
1.5%
|
8
BANKWELL FINANCIAL GROUP, INC.
|
|||||
RECONCILIATION OF GAAP TO NON-GAAP MEASURES (unaudited)
|
|||||
(Dollars in thousands, except share data)
|
|||||
As of
|
|||||
Computation of Tangible Common Equity to Tangible Assets
|
03/31/2016
|
12/31/2015
|
03/31/2015
|
||
Total Equity
|
$ 134,471
|
$ 131,769
|
$ 131,408
|
||
Less:
|
|||||
Preferred stock
|
-
|
-
|
10,980
|
||
Goodwill
|
2,589
|
2,589
|
2,589
|
||
Other intangibles
|
612
|
652
|
797
|
||
Tangible Common Equity
|
$ 131,270
|
$ 128,528
|
$ 117,042
|
||
Total Assets
|
$ 1,420,073
|
$ 1,330,372
|
$ 1,104,463
|
||
Less:
|
|||||
Goodwill
|
2,589
|
2,589
|
2,589
|
||
Other intangibles
|
612
|
652
|
797
|
||
Tangible Assets
|
$ 1,416,872
|
$ 1,327,131
|
$ 1,101,077
|
||
Tangible Common Equity to Tangible Assets
|
9.26%
|
9.68%
|
10.63%
|
||
As of
|
|||||
Computation of Tangible Book Value per Common Share
|
03/31/2016
|
12/31/2015
|
03/31/2015
|
||
Total shareholders' equity
|
$ 134,471
|
$ 131,769
|
$ 131,408
|
||
Less:
|
|||||
Preferred stock
|
-
|
-
|
10,980
|
||
Common shareholders' equity
|
134,471
|
131,769
|
120,428
|
||
Less:
|
|||||
Goodwill
|
2,589
|
2,589
|
2,589
|
||
Other intangibles
|
612
|
652
|
797
|
||
Tangible common shareholders' equity
|
131,270
|
128,528
|
117,042
|
||
Common shares issued
|
7,530,791
|
7,516,291
|
7,243,252
|
||
Less:
|
|||||
Shares of unvested restricted stock
|
138,423
|
143,323
|
200,962
|
||
Common shares outstanding
|
7,392,368
|
7,372,968
|
7,042,290
|
||
Book value per share
|
$ 18.19
|
$ 17.87
|
$ 17.10
|
||
Less:
|
|||||
Effects of intangible assets
|
$ 0.43
|
$ 0.44
|
$ 0.48
|
||
Tangible Book Value per Common Share
|
$ 17.76
|
$ 17.43
|
$ 16.62
|
9
BANKWELL FINANCIAL GROUP, INC.
|
|||||
RECONCILIATION OF GAAP TO NON-GAAP MEASURES (unaudited) - Continued
|
|||||
(Dollars in thousands, except share data)
|
|||||
For the Quarter Ended
|
|||||
Computation of Efficiency Ratio
|
03/31/2016
|
12/31/2015
|
03/31/2015
|
||
Noninterest expense
|
$ 7,080
|
$ 7,681
|
$ 6,972
|
||
Less:
|
|||||
Amortization of intangible assets
|
40
|
43
|
51
|
||
Foreclosed real estate expenses
|
72
|
95
|
5
|
||
Merger and acquisition expense
|
-
|
2
|
-
|
||
Adjusted noninterest expense
|
$ 6,968
|
$ 7,541
|
$ 6,916
|
||
Net interest income
|
$ 11,398
|
$ 11,236
|
$ 9,894
|
||
Noninterest income
|
672
|
840
|
599
|
||
Less:
|
|||||
Gains (losses) on sales of securities
|
-
|
-
|
-
|
||
Gains on sale of foreclosed real estate
|
-
|
-
|
18
|
||
Adjusted operating revenue
|
$ 12,070
|
$ 12,076
|
$ 10,475
|
||
Efficiency ratio
|
57.7%
|
62.4%
|
66.0%
|
||
For the Quarter Ended
|
|||||
Computation of Return on Average Tangible Common Equity
|
03/31/2016
|
12/31/2015
|
03/31/2015
|
||
Net Income Attributable to Common Shareholders
|
$ 2,991
|
$ 2,575
|
$ 1,846
|
||
Total average shareholders' equity
|
133,474
|
135,311
|
130,812
|
||
Less:
|
|||||
Preferred stock
|
-
|
-
|
10,980
|
||
Goodwill
|
2,589
|
2,589
|
2,589
|
||
Other intangibles
|
612
|
652
|
797
|
||
Average tangible common equity
|
130,273
|
132,070
|
116,446
|
||
Annualized Return on Average Tangible Common Equity
|
9.23%
|
7.74%
|
6.43%
|
10
BANKWELL FINANCIAL GROUP, INC.
|
||||||||||||||
NET INTEREST MARGIN ANALYSIS ON A FULLY TAX EQUIVALENT BASIS
|
||||||||||||||
(Dollars in thousands)
|
||||||||||||||
For the Quarter Ended
|
||||||||||||||
March 31, 2016
|
March 31, 2015
|
|||||||||||||
Average
|
Yield/
|
Average
|
Yield/
|
|||||||||||
Balance
|
Interest
|
Rate
|
Balance
|
Interest
|
Rate
|
|||||||||
Assets:
|
||||||||||||||
Cash and Fed funds sold
|
$ 32,764
|
$ 37
|
0.45%
|
$ 18,868
|
$ 12
|
0.25%
|
||||||||
Securities (1)
|
101,987
|
763
|
2.99%
|
66,508
|
592
|
3.56%
|
||||||||
Loans:
|
||||||||||||||
Commercial real estate
|
712,628
|
8,325
|
4.62%
|
524,215
|
6,270
|
4.78%
|
||||||||
Residential real estate
|
177,353
|
1,596
|
3.60%
|
173,304
|
1,579
|
3.65%
|
||||||||
Construction (2)
|
86,482
|
969
|
4.43%
|
67,885
|
794
|
4.68%
|
||||||||
Commercial business
|
165,987
|
2,190
|
5.22%
|
146,056
|
1,856
|
5.08%
|
||||||||
Home equity
|
15,603
|
157
|
4.03%
|
18,067
|
170
|
3.82%
|
||||||||
Consumer
|
1,738
|
21
|
4.87%
|
2,806
|
34
|
4.85%
|
||||||||
Acquired loans (net of mark)
|
1,431
|
25
|
7.15%
|
3,106
|
54
|
7.06%
|
||||||||
Total loans
|
1,161,222
|
13,283
|
4.53%
|
935,439
|
10,757
|
4.60%
|
||||||||
Federal Home Loan Bank stock
|
6,560
|
56
|
3.44%
|
6,440
|
26
|
1.59%
|
||||||||
Total earning assets
|
1,302,533
|
$ 14,139
|
4.29%
|
1,027,255
|
$ 11,387
|
4.43%
|
||||||||
Other assets
|
54,733
|
52,634
|
||||||||||||
Total assets
|
$ 1,357,266
|
$ 1,079,889
|
||||||||||||
Liabilities and shareholders' equity:
|
||||||||||||||
Interest-bearing liabilities:
|
||||||||||||||
NOW
|
$ 56,617
|
38
|
0.27%
|
$ 52,568
|
15
|
0.11%
|
||||||||
Money market
|
306,105
|
398
|
0.52%
|
229,984
|
281
|
0.50%
|
||||||||
Savings
|
82,061
|
86
|
0.42%
|
79,958
|
86
|
0.44%
|
||||||||
Time
|
454,312
|
1,218
|
1.08%
|
306,072
|
656
|
0.87%
|
||||||||
Total interest-bearing deposits
|
899,095
|
1,740
|
0.78%
|
668,582
|
1,038
|
0.63%
|
||||||||
Borrowed Money
|
145,444
|
866
|
2.39%
|
120,217
|
341
|
1.15%
|
||||||||
Total interest-bearing liabilities
|
1,044,539
|
$ 2,606
|
1.00%
|
788,799
|
$ 1,379
|
0.71%
|
||||||||
Noninterest-bearing deposits
|
172,574
|
153,674
|
||||||||||||
Other liabilities
|
6,679
|
6,604
|
||||||||||||
Total liabilities
|
1,223,792
|
949,077
|
||||||||||||
Shareholders' equity
|
133,474
|
130,812
|
||||||||||||
Total liabilities and shareholders' equity
|
$ 1,357,266
|
$ 1,079,889
|
||||||||||||
Net interest income (3)
|
$ 11,533
|
$ 10,008
|
||||||||||||
Interest rate spread
|
3.29%
|
3.72%
|
||||||||||||
Net interest margin (4)
|
3.54%
|
3.89%
|
(1) Average balances and yields for securities are based on amortized cost.
(2) Includes commercial and residential real estate construction.
(3) The adjustment for securities and loans taxable equivalency amounted to $135 thousand and $114 thousand, respectively for the three months ended March 31, 2016, and 2015.
(4) Net interest income as a percentage of earning assets.
11