BUCHANAN, Va., March 3, 2016 /PRNewswire/ -- Bank of Botetourt (OTCPK: BORT) announced today its consolidated financial results and performance for fiscal period ended December 31, 2015.
For the year-ended December 31, 2015, Bank of Botetourt reported net income of $2.66 million, compared to $2.39 million for the same time period in 2014, an increase of 11.3%. Earnings for the year resulted in a return on average assets of 0.8% and a return on average equity of 8.5%, compared to prior year ratios of 0.8% and 8.2%, respectively. Both basic and diluted earnings per share increased $0.19 per share from $1.69 in 2014 to $1.88 in 2015. Book value was $22.71 at December 31, 2015 as compared to $21.21 one year prior.
As a result of the continued positive financial performance, the dividend increased 20% from $0.10 per share to $0.12 per share in February 2016. CEO G. Lyn Hayth, III states, "This action shows our Board of Directors' commitment to providing a return to shareholders as one of its top priorities. Our Board and Management deem that earnings and capital level trends have been sustained over time and another increase in dividend payment is warranted."
At December 31, 2015, total assets amounted to $321,796,000, an increase of 2.8% from the same time period of 2014 of $313,001,000. Total deposits for the year-end 2015 amounted to $287,123,000, compared to $281,020,000 for the prior year, an increase of 2.2%. Net loans grew 10.0%, to $269,775,000 in 2015 from $245,279,000 in 2014.
The new capital standards, known as BASEL III, became effective for the Bank in 2015. Bank of Botetourt remains well-capitalized according to regulatory standards as we report consolidated total capital to risk-weighted assets at 12.9%, consolidated tier 1 to risk-weighted assets and consolidated tier one common equity capital of 11.9%, respectively, and tier 1 leverage capital to average assets of 10.1% at year-end 2015.
Shareholders continue to take advantage of the Dividend Reinvestment and Stock Purchase Plan. This plan gives shareholders the opportunity to increase their investment in an efficient, cost effective manner while providing the Bank the opportunity to maintain capital at appropriate levels. Participation in the plan reached an all-time high in 2015.
On Monday, March 7, 2016 Bank of Botetourt's Daleville office will relocate to its newly designed and constructed 5,700 square foot building at 140 Town Center Street. CEO Hayth elaborated, "Our new office will not only house traditional banking activities but also Bankers Insurance and Infinex Investments for non-traditional financials services. In addition, Bank of Botetourt recently launched a new mortgage division, Virginia Mountain Mortgage, which will offer multiple mortgage options for home purchases, refinances, and construction loans. The Botetourt division of Virginia Mountain Mortgage will be located at this facility. Other existing Virginia Mountain Mortgage offices are located in Roanoke, Smith Mountain Lake and Rockbridge."
Bank of Botetourt was chartered in 1899 and operates ten full service offices in Botetourt, Rockbridge, Roanoke, and Franklin counties of VA, operates an LPO in Salem, VA, and operates a mortgage division, Virginia Mountain Mortgage.
SOURCE Bank of Botetourt