LINCOLN PARK, N.J., May 7 /PRNewswire-FirstCall/ -- Lincoln Park Bancorp (OTC Bulletin Board: LPBC) (the "Company"), the holding company of Lincoln Park Savings Bank, announced net income of $178,000, or $.10 per share, for the quarter ended March 31, 2010, compared to net income of $72,000, or $.04 per share for the quarter ended March 31, 2009. The increase in net income of $106,000 was primarily due to increases in net interest income and non-interest income, partially offset by increases in non-interest expenses, provision for loan losses, and income taxes. Additionally, in the quarter ended March 31, 2010, the Company recorded a loss on other real estate owned of $44,000, compared to impairment losses of $51,000 in the available for sale equity securities portfolio for the quarter ended March 31, 2009.
Net interest income increased by $203,000, or 23.5% during the March 31, 2010 quarter to $1.1 million, compared to $864,000 for the three months ended March 31, 2009. The increase in net interest income was primarily due to increases in interest income of $64,000 and a decrease in interest expense of $139,000. The improved results in this area were due to an increase in our interest rate spread to 2.83% from 2.28%. The decrease in interest expense was driven by the availability of attractively priced sources of funding.
During the quarter ended March 31, 2010, provision for general loan losses was $59,000 compared to $40,000, during the quarter ended March 31, 2009. The increased provision in the current quarter was primarily due to losses expected on one impaired loan and weaker economic conditions in general. Non-interest expenses increased by $83,000 to $773,000 for the three months ended March 31, 2010, compared to $690,000 for the three months ended March 31, 2009, primarily due to the loss on other real estate owned, increases in FDIC insurance premiums, consulting fees and correspondent bank charges.
Income taxes increased by $65,000 to $115,000 for the three months ended March 31, 2010, compared to $50,000 for the three months ended March 31, 2009. The increase in income taxes was due to a $171,000 increase in pre-tax income.
At March 31, 2010, the Company had total assets of $156.6 million and stockholders' equity of $13.8 million. In addition, the Company had net loans of $72.4 million, total deposits of $84.8 million, and total borrowings of $56.6 million as of March 31, 2010.
Lincoln Park Savings Bank is a New Jersey state-chartered savings bank that conducts its business from its main office in Lincoln Park, New Jersey. The Company's common stock is traded on the OTC Bulletin Board under the symbol "LPBC".
The foregoing material may contain forward-looking statements concerning the unaudited financial condition, results of operations and business of the Company. We caution that such statements are subject to a number of uncertainties and actual results could differ materially, and, therefore, readers should not place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims, any obligation to publicly release the results of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
David G. Baker
President and Chief Executive Officer
SOURCE Lincoln Park Bancorp