Community Investors Bancorp, Inc. Reports Net Income For The Nine Months and Three Months Ended March 31, 2014

May 02, 2014, 11:31 ET from Community Investors Bancorp, Inc.

BUCYRUS, Ohio, May 2, 2014 /PRNewswire/ -- Community Investors Bancorp, Inc. (Pink Sheets: CIBN),  parent company of First Federal Community Bank of Bucyrus, reported net earnings available to common shareholders of $303,000, or $.38 per common share for the nine months ended March 31, 2014, representing an increase of $253,000, compared to the net earnings of $50,000, or $.06 per common share reported for the nine months ended March 31, 2013.  The increase in 2014 earnings reflects an increase in net interest income of $116,000 (3.7%), a decrease in provision for loan losses of $269,000 and an increase in other income $48,000 (6.2%). In addition, preferred dividends were reduced by $84,000 to $-0- as a result of the redemption of our preferred shares completed in March 2013. This was partially offset by an increase in general, administrative and other expenses of $197,000 (6.3%). The increase in net interest income reflects stabilization of interest rate margins in a continuing low interest rate environment as well as increased loan demand. The reduction in provision for loan losses reflects a large write off from March 2013 which cleaned up a large troubled credit. Our classified assets remain elevated but decreasing. We continue to work to help our distressed loan customers who make good faith efforts at repayment while we recognize potential losses on a timely basis. Increases in other income are largely related to the expansion of our secondary mortgage loan market. Those new markets also increased our general, administrative and other expenses along with increased loan administration costs, regulatory compliance expense, and costs related to bank-owned properties.  We continue to seek new opportunities and customers in all of our markets with a renewed emphasis on our newer locations. We expect continuing improvement in our classified asset, controlled growth in  all of our markets and improved operational efficiency to achieve a higher level of profitability.

Community Investors Bancorp, Inc. reported total assets at March 31, 2014, of $126.2 million (increase of $6.9 million or 5.8% from June 30, 2013) including gross loans of $93.6 million (increase of $8.3 million or 9.7% from June 30, 2013). Investments decreased by $2.5 million (13.5%), while the allowance for loan loss decreased by $220,000 (13.3%) since June 30, 2013. Total loans classified as substandard decreased by $1,084,000 from June 30, 2013 to $3.9 million, while total nonperforming assets (nonaccrual loans plus bank owned real estate) decreased by $607,000 to $1.9 million. Deposits increased by $3.0 million (3.1%) from June 30, 2013. We borrowed an additional $4.5 million from the Federal Home Loan Bank at favorable rates. Total liabilities were $115.6 million increase of $6.6 million (6.1%) from June 30, 2013). Total stockholders' equity increased by $321,000 to $10.7 million. As a result of the growth of our balance sheet, our capital as a percentage of assets decreased from 8.67% to 8.44%.

As we reduce our classified assets, improve profitability, and grow strategically, we continue to prudently manage interest rate risk, liquidity and maintain our capital levels commensurate with growth in assets and profitability. As you know, we were also very pleased to reinstate paying a dividend during the quarter to reward our patient investors. Future earnings releases should be expected within 45 days of the end of each quarter.

Community Investors Bancorp, Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

UNAUDITED

March 31,

March 31,

June 30,

June 30,

ASSETS

2014

2013

2013

2012

Cash and cash equivalents

$               6,258

$              10,719

$                5,338

$                11,775

Interest-bearing time deposits

1,984

2,232

2,232

$                  1,240

Available-for-sale securities

15,799

19,170

18,255

23,305

Loans held-for-sale

2,289

2,354

1,803

1,002

Loans receivable-gross

93,621

84,587

85,335

86,415

Less: Allowance for Loan Loss

(1,430)

(1,485)

(1,650)

(1,675)

Loans receivable-net

92,191

83,102

83,685

84,740

Premises and equipment

4,054

4,062

4,063

4,119

Federal Home Loan Bank stock

2,237

2,237

2,237

2,237

Foreclosed assets held for sale

169

591

403

583

Interest receivable

476

490

456

496

Prepaid federal income tax

1

91

132

-

Deferred federal income tax

43

-

73

-

Prepaid FDIC insurance premiums

-

230

-

312

Other assets

743

782

631

548

Total assets

$        126,244

$         126,060

$          119,308

$           130,357

LIABILITIES AND SHAREHOLDERS' EQUITY

Deposits

$             99,159

$            102,344

$              96,132

$              103,809

Federal Home Loan Bank advances

16,000

12,439

12,458

12,381

Advances from borrowers for taxes and insurance

204

194

77

12

Interest payable

43

51

48

63

Accrued federal income tax

-

-

-

85

Deferred federal income tax

-

90

-

118

Preferred dividend payable

-

-

-

18

Other liabilities

178

357

254

270

Total liabilities

115,584

115,475

108,969

116,756

Shareholders' equity

Preferred stock

-

-

-

2,730

Common stock

15

15

15

15

Additional Paid-in capital

5,299

5,299

5,299

5,229

Retained earnings

12,790

12,497

12,526

12,447

Accumulated other comprehensive income ( loss)

13

231

(44)

180

Treasury stock

(7,457)

(7,457)

(7,457)

(7,000)

 Total shareholders' equity

10,660

10,585

10,339

13,601

Total liabilities and shareholders' equity

$        126,244

$         126,060

$          119,308

$           130,357

Book value per common share outstanding

$             13.41

$              13.31

$               13.00

$                12.32

Community Investors Bancorp, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(In thousands, except share data)

UNAUDITED

 Nine months ended 

 Three months ended 

March 31,

March 31,

2014

2013

2014

2013

Total interest income

$               3,780

$                3,821

$                1,278

$                  1,232

Total interest expense

557

714

161

211

Net interest income

3,223

3,107

1,117

1,021

Provision for losses on loans

307

576

98

393

Net interest income after provision

  for losses on loans

2,916

2,531

1,019

628

Other income

822

774

214

275

General, administrative and other expenses

3,304

3,107

1,129

1,069

Earnings before income taxes

434

198

104

(166)

Federal income taxes expense 

131

64

31

(58)

NET EARNINGS

$                303

$                 134

$                    73

$                  (108)

Preferred dividends

-

84

-

15

NET INCOME AVAILABLE FOR COMMON SHARES

$                303

$                    50

$                    73

$                  (123)

BASIC EARNINGS  PER COMMON SHARE

$               0.38

$                0.06

$                 0.09

$                 (0.15)

 

   

SOURCE Community Investors Bancorp, Inc.