1st Colonial Bancorp Reports First Quarter Net Income Growth of $94,000 from Profit of $997,000

COLLINGSWOOD, N.J.--()--1st Colonial Bancorp, Inc. (FCOB), holding company of 1st Colonial Community Bank, today reported that its net income for the three months ended March 31, 2017 was $977,000 ($0.25 per share), compared to $883,000 ($0.23 per share) for the three months ended March 31, 2016. Net interest income increased $423,000, resulting from continued growth in interest earning assets. Non-interest income also increased by $26,000.

The provision for loan losses decreased by $200,000 for the quarter ended March 31, 2017 from the quarter ended March 31, 2016 due to declining net charge-offs on loans. Non-interest expense increased by $468,000 in the three months ended March 31, 2017 compared to the three months ended March 31, 2016; salaries and benefits increased by $234,000, primarily as a result of increased personnel expenses related to loan support and compliance, general operating costs increased by $201,000 due to our growth; occupancy and equipment costs decreased $40,000 and losses on real estate owned increased by $74,000. Income tax expense also increased by $87,000 thousand for the quarter ended March 31, 2017 from the quarter ended March 31, 2016.

Gerry Banmiller, President and Chief Executive Officer, commented, “A reading of our statement of operations will demonstrate that 1st Colonial Community Bank had $977,000 in consolidated net income which was $94,000 above the prior year. A particular success is the category of total non-interest income of $878,000. This includes categories such as residential lending and SBA fees, BOLI dividends, and service charges and other fees. This holistic approach to income will help maintain a level beyond the traditional banking revenues and it should hold steady. Also, we will continue our radio advertising which puts us in a niche of appealing to a broad market.”

At March 31, 2017, 1st Colonial also reported $503.5 million in total assets, $463.0 million in deposits and $367.4 million in loans. These amounts reflect increases of $17.7 million in assets, $14.5 million in deposits, $47.0 million in loans and a decrease of $27.0 million in investment securities from March 31, 2016.

The company also reported that its shareholders’ equity of $35.2 million and book value per share of $9.07 at March 31, 2017 both increased by 11% since March 31, 2016, the latter after giving effect to the 5% stock dividend distributed in April 2017.

Highlights as of March 31, 2017 and 2016, and comparing the three months ended March 31, 2017 and the three months ended March 31, 2016 include the following (dollars in thousands, except per share data):

     
at at $ increase/ % increase/
March 31, 2017 March 31, 2016 decrease decrease
 
Total assets $503,546 $485,817 $17,729 3.6%
 
Total loans 367,400 320,368 47,032 14.7%
 
Investments 109,540 136,546 (27,006) -19.8%
 
Total deposits 463,000 448,454 14,546 3.2%
 
Shareholders' equity 35,254 31,765 3,489 11.0%
 
Book Value (1) $8.64 $7.79 $0.86 11.0%
 
 
For the three months ended
$ increase/ % increase/
March 31, 2017 March 31, 2016 decrease decrease
 
Net interest income $3,980 $3,557 $423 11.9%
 
Provision for loan losses 100 300 (200) -66.7%
 
Other income 878 852 26 3.0%
 
Non interest expense 3,211 2,743 468 17.1%
 
Tax expense 570 483 87 17.9%
 
Net income 977 883 94 10.7%
 
Earnings per share (1) $0.24 $0.22 $0.02 10.7%
 
(1) Adjusted to give effect to the 5% stock dividend distributed to shareholders on April 17, 2017.
 

1st Colonial Community Bank, the subsidiary of 1st Colonial Bancorp, provides a range of business and consumer financial services, placing emphasis on customer service and access to decision makers. Headquartered in Collingswood, New Jersey, the Bank also has a branch in the New Jersey community of Westville and administrative offices in Cherry Hill, New Jersey. To learn more, call (856) 858-8402 or visit www.1stcolonial.com.

This release contains forward-looking statements that are not historical facts and include statements about management’s strategies and expectations about our business. There are risks and uncertainties that may cause our actual results and performance to be materially different from results indicated by these forward-looking statements. Factors that might cause a difference include economic conditions; unanticipated loan losses, inability to close loans in our pipeline, lack of liquidity; varying and unanticipated costs of collection with respect to nonperforming loans; an inability to dispose of real estate owned; changes in interest rates, changes in FDIC assessments, deposit flows, loan demand, and real estate values; changes in relationships with major customers; operational risks, including the risk of fraud by employees, customers or outsiders; competition; changes in accounting principles, policies or guidelines; changes in laws or regulations and in the manner in which the regulators enforce same; new technology and other factors affecting our operations, pricing, products and services.

Contacts

1st Colonial Bancorp, Inc.
Gerry Banmiller, 856-858-8402

Contacts

1st Colonial Bancorp, Inc.
Gerry Banmiller, 856-858-8402