ELMER, N.J.--(BUSINESS WIRE)--ELMER BANCORP, INC. (“Elmer Bancorp” or the “Company”) (OTC Pink: ELMA), the parent company of The First National Bank of Elmer (the “Bank”), announces its operating results for the quarter ended March 31, 2019.
For the three months ended March 31, 2019, Elmer Bancorp reported net income of $463,000, or $0.40 per common share, compared to $462,000, or $0.40 per common share for the quarter ended March 31, 2018. The first quarter of 2018 included a one-time gain of $151,000 on the sale of an SBA loan.
Net interest income for the three months ended March 31, 2019 totaled $2.8 million, an increase of $156,000 or 5.9% over the first quarter of 2018 which materially offset the increased non-interest income in the first quarter of 2018. Non-interest expense increased $27,000 period over period while the loan loss provision was $15,000 less than last year’s three-month period.
Elmer Bancorp’s total assets at March 31, 2019 totaled $284.4 million, an increase of $18.5 million from the March 31, 2018 level of $265.9 million primarily resulting from an increase in overnight investments. Loans at March 31, 2019 totaled $235.2 million, a decrease of $1.7 million from the March 31, 2018 total of $236.9 million. The decline in loans outstanding resulted from several large payoffs in the first quarter of this year. These payoffs consisted of construction related loans as well as problem legacy loans. As a result, non-performing loans declined $1.4 million in the first quarter and totaled $2.3 million at March 31, 2019. At March 31, 2019, the allowance for loan losses was 1.42% of total loans. Total deposits at March 31, 2019 were $257.0, an increase of $17.1 million over the March 31, 2018 total of $239.9 million. Stockholders’ equity totaled $25.7 million at March 31, 2019. At March 31, 2019, the book value per share was $22.43 compared to $20.80 at March 31, 2018 and $21.97 at December 31, 2018. The Company and the Bank met all regulatory capital requirements at March 31, 2019.
As previously reported, on April 1, 2019 the Company’s Board of Directors declared a semi-annual cash dividend in the amount of $0.30 per common share payable on May 1, 2019 to stockholders of record as of the close of business on April 15, 2019.
Brian W. Jones, President and Chief Executive Officer, stated, “The first quarter of 2019 produced some very positive results. We were able to match the earnings performance from the first quarter of 2018 even though that quarter included the one-time SBA gain of $151,000. The increase in net interest income over the first quarter of 2018 resulted from the loan growth throughout 2018. In addition, we continue to move problem legacy loans off our balance sheet which results in improved financial metrics. Our deposit totals improved over last year’s quarter as we execute our strategic plan by continuing our efforts to gain market share through deposit promotions and capitalizing on recent in-market acquisitions. As always, our success is a result of our team members and our loyal customer base.”
The First National Bank of Elmer, a nationally chartered bank headquartered in Elmer, New Jersey, has a long history of serving the community since its beginnings in 1903. We are a community bank focused on providing deposit and loan products to retail customers and to small and mid-sized businesses from our six full service branch offices located in Cumberland, Gloucester and Salem Counties, New Jersey, including our main office located at 10 South Main Street in Elmer, New Jersey. Deposits at The First National Bank of Elmer are insured up to the legally maximum amount by the Federal Deposit Insurance Corporation (FDIC).
For more information about Elmer Bank and its products and services, please visit our website at www.ElmerBank.com or call toll free 1-877-358-8141.
This press release and other statements made from time to time by the Company’s management contain express and implied statements relating to our future financial condition, results of operations, credit quality, corporate objectives, and other financial and business matters, which are considered forward-looking statements. These forward-looking statements are necessarily speculative and speak only as of the date made, and are subject to numerous assumptions, risks and uncertainties, all of which may change over time. Actual results could differ materially from those expected or implied by such forward-looking statements. Risks and uncertainties which could cause our actual results to differ materially and adversely from such forward-looking statements include economic conditions affecting the financial industry: changes in interest rates and shape of the yield curve, credit risk associated with our lending activities, risks relating to our market area, significant real estate collateral and the real estate market, operating, legal and regulatory risk, fiscal and monetary policy, economic, political and competitive forces affecting our business, our ability to identify and address cyber-security risks, and management’s analysis of these risks and factors being incorrect, and/or the strategies developed to address them being unsuccessful. Any statements made that are not historical facts should be considered forward-looking statements. You should not place undue reliance on any forward-looking statements. We undertake no obligation to update forward-looking statements or to make any public announcement when we consider forward-looking statements to no longer be accurate because of new information of future events, except as may be required by applicable law or regulation.