2014

Northeast Indiana Bancorp, Inc. Announces Second Quarter Earnings

HUNTINGTON, Ind., July 12, 2013 /PRNewswire/ -- Northeast Indiana Bancorp, Inc. (OTCQB: NIDB), the parent company of First Federal Savings Bank, today announced net income of $669,000 ($0.54 per diluted common share) for the Company's second quarter ended June 30, 2013 compared to net income of $656,000 ($0.53 per diluted common share) for the second quarter ended June 30, 2012.  The current three months earnings equates to an annualized return on average assets (ROA) of 0.99% and a return on average equity (ROE) of 9.41% compared to an annualized ROA of 0.98% and an ROE of 9.76% for the three months ended June 30, 2012. 

Net income for the six months ended June 30, 2013 was $1.2 million ($0.98 per diluted common share) compared to net income of $1.3 million ($1.09 per diluted common share) for the six months ended June 30, 2012.  The current six months earnings equates to an annualized ROA of 0.91% and an ROE of 8.61% compared to an annualized ROA of 1.02% and an annualized ROE of 10.13% for the six months ended June 30,2012.    

Commenting on the financial results, CEO Michael S. Zahn stated, "We are pleased with our continued financial success.  Margin pressure is still an issue, but we have been able to offset this challenge by controlling overhead and maintaining strong mortgage banking and SBA loan production.  Our asset quality continues to improve as the economy stabilizes."

Shareholder's equity was $27.6 million at June 30, 2013 compared to $27.9 million at December 31, 2012.  The book value of NIDB's stock was $22.25 per common share as of June 30, 2013.  The number of outstanding common shares was 1,239,946 as of the same date.  The last reported trade of the stock on July 10, 2013 was $19.00 per common share.  This is an increase of $2.60 or 15.9% over the last reported trade of the stock on December 31, 2012 of $16.40 per common share.

Northeast Indiana Bancorp, Inc. is headquartered at 648 N. Jefferson Street, Huntington, Indiana.  The company offers a full array of banking and financial brokerage services to its customers through its main office in Huntington and five full-service Indiana offices in Huntington (2), Warsaw and Fort Wayne (2).  The Company is traded on the OTC Markets Group, Inc. (www.otcmarkets.com) utilizing the OTCQB platform under the symbol "NIDB".  Our web site address is www.firstfedindiana.com.

This press release may contain forward-looking statements, which are based on management's current expectations regarding economic, legislative and regulatory issues.  Factors which may cause future results to vary materially include, but are not limited to, general economic conditions, changes in interest rates, loan demand, and competition.  Additional factors include changes in accounting principles, policies or guidelines; changes in legislation or regulation; and other economic, competitive, regulatory and technological factors affecting each company's operations, pricing, products and services.      




NORTHEAST INDIANA BANCORP
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)


CONSOLIDATED STATEMENT OF FINANCIAL CONDITION




ASSETS

 

June 30,

2013

December  31,
2012

Interest-earning cash and cash equivalents

$

19,624,761

$

16,687,647

Noninterest earning cash and cash equivalents

2,801,766

3,997,988

   Total cash and cash equivalents

22,426,527

20,685,635

Interest-earning time deposits

6,400,000

5,910,000

Securities available for sale

82,294,007

71,353,159

Securities held to maturity

1,496,264

1,326,984

Loans held for sale

1,356,350

1,549,475

Loans receivable, net of allowance for loan loss June 30, 2013 $3,718,475 and December 31, 2012 $3,846,021

143,067,421

154,746,404

Accrued interest receivable

938,234

929,061

Premises and equipment

2,966,337

2,989,226

Investments in limited liability partnerships

35,031

74,625

Cash surrender value of life insurance

7,379,618

7,261,343

Other assets

3,421,572

4,577,142

    Total Assets

$

271,781,361

$

271,403,054

LIABILITIES AND STOCKHOLDERS' EQUITY



Non-interest bearing deposits

19,878,880

20,123,659

Interest bearing deposits

190,894,644

191,462,228

Borrowed Funds

30,199,028

28,902,484

Accrued interest payable and other liabilities

3,225,488

2,975,529

    Total Liabilities

244,198,040

243,463,900




Retained earnings – substantially restricted

27,583,321

27,939,154

    Total Liabilities and Shareholder's Equity

$

271,781,361

$

271,403,054



CONSOLIDATED STATEMENTS OF INCOME





Three Months Ended

Six Months Ended


June 30,

June 30,


2013

2012

2013

2012

Total interest income

$

2,419,264

$

2,832,239

$

4,886,773

$

5,756,176

Total interest expense


337,081


551,083


710,281


1,176,172

   Net interest income

$

2,082,183

$

2,281,156

$

4,176,492

$

4,580,004

Provision for loan losses


300,000


300,000


600,000


600,000

  Net interest income after provision for loan losses

$

1,782,183

$

1,981,156

$

3,576,492

$

3,980,004

    Service charges on deposit accounts


124,681


132,286


247,322


270,465

   Net gain on sale of securities

36,978

-

36,360

-

    Net gain on sale of loans

370,064

232,078

549,259

467,670

    Net gain (loss) on sale of repossessed assets

(1,798)

(14,564)

16,548

(38,188)

    Brokerage fees

96,001

108,019

210,298

221,565

    Increase in cash surrender value of life insurance

56,763

62,213

118,275

124,425

    Other income

154,851

138,795

320,037

296,473

Total noninterest income

$

837,540

$

658,827

$

1,498,099

$

1,342,410

    Salaries and employee benefits


871,614


905,464


1,756,770


1,780,223

    Occupancy

268,697

235,613

543,044

471,772

    Data processing

194,084

222,784

390,463

439,253

    Deposit insurance premiums

60,000

60,000

120,000

120,000

    Professional fees

71,564

87,005

142,037

198,750

    Correspondent bank charges

30,000

29,659

59,771

60,080

    Other expense

222,795

209,369

435,841

406,018

Total noninterest expenses

$

1,718,754

$

1,749,894

$

3,447,926

$

3,476,096

  Income before income tax expenses

$

900,969

$

890,089

$

1,626,665

$

1,846,318

Income tax expense


232,082


234,253


410,650


496,774

Net Income

$

668,887

$

655,836

$

1,216,015

$

1,349,544



 

NORTHEAST INDIANA BANCORP
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)




Three Months Ended
June 30,

Six Months Ended 
June 30,


2013

2012

2013

2012

Basic Earnings per common share

0.54

0.53

0.98

1.09

Dilutive Earnings per share

0.54

0.53

0.98

1.09

Net interest margin

3.31%

3.68%

3.34%

3.74%

Return on average assets

0.99%

0.98%

0.91%

1.02%

Return on average equity

9.41%

9.76%

8.61%

10.13%

Efficiency ratio

58.87%

59.52%

60.76%

58.69%

Average shares outstanding - primary

1,236,235

1,234,380

1,235,979

1,234,125

Average shares outstanding - diluted

1,236,402

1,234.381

1,236,584

1,234,434




Allowance for loan losses:





   Balance at beginning of period

$

4,179,533

$

3,440,919

$

3,846,021

$

4,061,508

   Charge-offs:





      One-to-four family

17,587

26,968

28,933

98,288

      Commercial real estate

8,483

-

8,483

45,566

      Land/land development

145,000

-

145,000

653,451

      Commercial

637,391

-

637,391

176,345

      Consumer

16,552

21,548

96,656

29,261

         Gross charge-offs

825,013

48,516

916,463

1,002,911

   Recoveries:





      One-to-four family

1,841

5,260

3,315

6,609

      Commercial real estate

552

-

72,801

-

      Land/land development

30,000

-

30,000

-

      Commercial

822

-

25,847

-

      Consumer

30,740

23,697

56,954

56,164

         Gross recoveries

63,955

28,957

188,917

62,763

   Net charge-offs

761,058

19,559

727,546

940,148

   Additions charged to operations

300,000

300,000

600,000

600,000

   Balance at end of period

$

3,718,475

$

3,721,360

$

3,718,475

$

3,721,360






   Net loan charge-offs to average loans (1)

1.98%

0.04%

0.94%

1.06%






Nonperforming assets (000's)

At June 30,

At March 31,

At December 31,



   Loans:

2013

2013

2012



      Non-accrual

$

5,553

$

7,194

$

5,464


      Past 90 days or more and still accruing

-

-

-


      Troubled debt restructured

1,666

1,662

3,347


         Total nonperforming loans

7,219

8,856

8,811


   Real estate owned

906

1,362

1,719


   Other repossessed assets

-

17

-


         Total nonperforming assets

$

8,125

$

10,235

$

10,530





   Nonperforming assets to total assets

2.99%

3.89%

3.88%


   Nonperforming loans to total loans

4.92%

5.71%

5.56%


   Allowance for loan losses to nonperforming loans

51.51%

47.20%

43.65%


   Allowance for loan losses to net loans receivable

2.53%

2.69%

2.43%






At June 30,



2013

2012







Stockholders' equity as a % of total assets

10.15%

10.00%



Book value per share

$

22.25

$

21.90



Common shares outstanding- EOP

1,239,946

1,239,946



 

(1) Ratios for the three-month periods are annualized.





 

 

SOURCE Northeast Indiana Bancorp, Inc.



RELATED LINKS
http://www.firstfedindiana.com

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