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8-K - FORM 8-K - WVS FINANCIAL CORPd481119d8k.htm

Exhibit 99

 

Release Date:      Further Information:
IMMEDIATE RELEASE      David J. Bursic
October 27, 2017      President and CEO
     Phone: 412/364-1913

WVS FINANCIAL CORP. ANNOUNCES INCREASED NET INCOME AND EARNINGS

PER SHARE FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2017

Pittsburgh, PA — WVS Financial Corp. (NASDAQ: WVFC), the holding company for West View Savings Bank, today reported net income of $502 thousand or $0.28 per diluted share, for the three months ended September 30, 2017 as compared to $398 thousand or $0.21 per diluted share for the same period in 2016. The $104 thousand increase in net income during the three months ended September 30, 2017 was primarily attributable to a $177 thousand increase in net interest income, a $42 thousand decrease in non-interest expense, and an $11 thousand decrease in the provision for loan losses, which were partially offset by a $15 thousand decrease in non-interest income and a $111 increase in income tax expense. The increase in net interest income during the three months ended September 30, 2017 was attributable to a $448 thousand increase in interest income, which was partially offset by a $271 thousand increase in interest expense. The increase in interest income for the quarter ended September 30, 2017 was primarily attributable to higher average balances of loans outstanding and investment securities as well as higher yields on mortgage backed securities. The higher average balance of loans outstanding was attributable to increased loan originations in excess of repayments, and were funded primarily from repayments on the Company’s Government agency mortgage-backed securities. The increase in the average balance of investment securities was primarily attributable to the purchase of investment grade floating rate corporate bonds which were primarily funded with FHLB advances and deposits. The increase in interest expense during the three months ended September 30, 2017, when compared to the same period in 2016, was primarily attributable to higher market interest rates paid on FHLB short-term advances and FHLB long-term variable rate advances, and higher average balances of FHLB short-term advances, which were partially offset by lower average balances of FHLB long-term fixed and variable rate advances. The decrease in non-interest expense was primarily attributable to decreases in ATM network and telephone expenses in the three months ended September 30, 2017 when compared to the same period in 2016. The decrease in non-interest income was primarily attributable to lower transaction account service charges and an $8 thousand other than temporarily impairment loss on securities for the quarter ended September 30, 2017, when compared to the same period in 2016. The increase in income tax expense for the three months ended September 30, 2017 was primarily due to higher levels of taxable income, when compared to the same period in 2016. The decrease in the provision for loan losses was primarily due to lower average volumes of loans within the land acquisition and development segment in the Company’s loan portfolio partially offset by an increase in the Company’s single-family loan portfolio.


WVS Financial Corp. owns 100% of the outstanding common stock of West View Savings Bank. The Savings Bank is a Pennsylvania-chartered, FDIC savings bank, which conducts business from six offices located in the North Hills suburbs of Pittsburgh, Pennsylvania. In January 2009, West View Savings Bank began its second century of service to our communities. The Bank wishes to thank our customers and host communities for allowing us to be their full service bank.

—TABLES ATTACHED—

# # #


WVS FINANCIAL CORP. AND SUBSIDIARY

SELECTED CONSOLIDATED FINANCIAL DATA

(Dollars in thousands except per share data)

 

     September 30,
2017
(Unaudited)
    June 30,
2017
(Unaudited)
 

Total assets

   $ 356,085     $ 351,609  

Cash and Cash Equivalents

     7,632       2,272  

Certificates of Deposits

     4,878       10,380  

Investment securities available-for-sale

     117,492       108,449  

Investment securities held-to-maturity

     7,512       8,678  

Mortgage-backed securities held-to-maturity

     125,495       129,321  

Net loans receivable

     79,329       77,455  

Deposits

     150,044       145,289  

FHLB advances: long-term, fixed-rate

     —         10,000  

FHLB advances: long-term, variable-rate

     —         6,109  

FHLB advances: short-term

     170,001       155,799  

Equity

     33,513       33,043  

Book value per share – Common Equity

     16.69       16.45  

Book value per share – Tier I Equity

     16.75       16.54  

Annualized Return on average assets

     0.57     0.48

Annualized Return on average equity

     6.05     4.94

Tier I leverage ratio

     9.51     9.53


WVS FINANCIAL CORP. AND SUBSIDIARY

SELECTED CONSOLIDATED OPERATING DATA

(In thousands except per share data)

 

     Three Months Ended  
     September 30,
(Unaudited)
 
     2017      2016  

Interest income

   $ 2,225      $ 1,777  

Interest expense

     644        373  
  

 

 

    

 

 

 

Net interest income

     1,581        1,404  

Provision for loan losses

     5        16  
  

 

 

    

 

 

 

Net interest income after provision for loan losses

     1,576        1,388  

Non-interest income

     115        130  

Non-interest expense

     892        934  
  

 

 

    

 

 

 

Income before income tax expense

     799        584  

Income taxes

     297        186  
  

 

 

    

 

 

 

NET INCOME

   $ 502      $ 398  
  

 

 

    

 

 

 

EARNINGS PER SHARE:

     

Basic

   $ 0.28      $ 0.21  

Diluted

   $ 0.28      $ 0.21  

WEIGHTED AVERAGE SHARES OUTSTANDING:

     

Basic

     1,824,878        1,876,160  

Diluted

     1,824,878        1,876,160