GLADSTONE, N.J., April 23 /PRNewswire-FirstCall/ -- Peapack-Gladstone
Financial Corporation (Amex: PGC) reported record earnings of $0.87 per
diluted share for the first quarter ended March 31, 2002, an increase of
45.0 percent over the $0.60 per diluted share for the first quarter of 2001.
Net income increased to $2.96 million for the quarter compared with
$2.03 million for the first quarter of 2001, an increase of 45.9 percent.
The quarter ended March 31, 2002 produced a return on average assets
("ROA") of 1.64 percent, a return on average equity ("ROE") of 18.32 percent,
and an efficiency ratio of 53.13 percent.
Frank A. Kissel, Peapack's Chairman and CEO noted, "We are very pleased
with our results for the quarter. We have been able to provide higher than
average returns to our shareholders through growth within our market areas and
prudent lending practices. PGB Trust and Investments, as well, had a very
successful quarter as the book value of assets grew to $916 million, an
increase of $224 million or 32.3 percent over the level of assets on
March 31, 2001."
Mr. Kissel continued, "Our application for a new full service branch to be
located in the King's Shopping Center in Warren has received regulatory
approvals and will open in the near future.
We are looking forward to serving this affluent, high growth market.
Peapack will continue to explore opportunities for new branches in communities
strategically located contiguous to our existing market to complement and
enhance our business."
Net interest income for the first quarter of 2002 was $7.71 million
resulting in a net interest margin of 4.57 percent. This compares with
$5.74 million and a net interest margin of 4.08 percent for the first quarter
of 2001, and $6.86 million and a net interest margin of 4.27 percent for the
fourth quarter of 2001. Loan and deposit growth, the redeployment of lower
yielding short term assets into the higher yielding securities portfolio and
lower cost of funds were all factors in the significant increase in net
Total loans grew to $426.0 million at March 31, 2002, compared to
$356.9 million at March 31, 2001, an increase of $69.2 million or
Total deposits grew 25.6 percent to $676.6 million at March 31, 2002 from
$538.6 million at March 31, 2001. All deposits categories recorded increases
as the cost of funds fell to 1.86 percent in the first quarter of 2002 as
compared to 3.12 percent in the first quarter of 2001 and 2.35 percent in the
fourth quarter of 2001.
Investment securities grew $122.5 million while federal funds sold and
short term investments fell $55.8 million at March 31, 2002 as compared to the
same period a year ago.
Other income before gains on securities was $804 thousand in the first
quarter of 2002, an increase of $301 thousand or 59.8 percent over 2001
levels. This increase was primarily due to additions to cash surrender value
of Bank Owned Life Insurance, which grew $197 thousand and service charges on
deposit accounts which increased $71 thousand.
Other expense for the first quarter of 2002 increased 21.7 percent to
$5.13 million compared to $4.22 million for the first quarter of 2001. The
increase reflects increased staffing levels and expense commensurate with
business expansion including two new branch locations.
Credit quality remained strong as non-performing loans totaled
$433 thousand or 0.10 percent of total loans at March 31, 2002 as compared to
$455 thousand or 0.13 percent of total loans at March 31, 2001. The allowance
for loan losses was $4.20 million or 0.99 percent of total loans at
March 31, 2002 as compared to $3.56 million or 1.00 percent of total loans at
March 31, 2001.
Peapack-Gladstone Financial Corporation is a bank holding company with
total assets of $755 million as of March 31, 2002. Peapack-Gladstone Bank,
its wholly owned community bank, was established in 1921, and has 16 branches
in Somerset, Hunterdon and Morris Counties. Its Trust Division, PGB Trust and
Investments with $1.2 billion in assets under management, operates at the
Bank's main office located at 190 Main Street in Gladstone. To learn more
about Peapack-Gladstone Financial Corporation and its services please visit
our web site at http://www.pgbank.com or call 908-234-0700.
The foregoing contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Such statements are not
historical facts and include expressions about management's confidence and
strategies and management's expectations about new and existing programs and
products, relationships, opportunities, technology and market conditions.
These statements may be identified by such forward-looking terminology as
"expect," "look," "believe," "anticipate," "may," "will," or similar
statements or variations of such terms. Such forward-looking statements
include certain risks and uncertainties. These include, but are not limited
to, the direction of the economy in New Jersey especially as it has been
affected by recent developments, the direction of interest rates, continued
levels of loan quality and origination volume, continued relationships with
major customers including sources for loans, as well as the effects of general
economic conditions and legal and regulatory barriers and structure. Actual
results may differ materially from such forward-looking statements.
Peapack-Gladstone assumes no obligation for updating any such forward-looking
statements at any time.
PEAPACK-GLADSTONE FINANCIAL CORPORATION
SELECTED CONSOLIDATED FINANCIAL DATA
(Dollars in Thousands, Except Per Share Amounts)
At or For The Three Months Ended
Income Statement Data:
Interest income $10,690 $9,694
Interest expense 2,981 3,959
Net interest income 7,709 5,735
Provision for loan losses 199 126
Net interest income after
provision for loan losses 7,510 5,609
Other income 804 503
Securities Gains 17 0
Trust Fees 1,146 1,131
Other expense 5,132 4,217
Income before income taxes 4,345 3,026
Income tax expenses 1,384 996
Net income $2,961 $2,030
Balance Sheet Data:
Total assets $754,879 $600,881
Federal funds sold 7,841 48,509
Short-term investments 472 15,651
Securities held to maturity 60,030 63,605
Securities available for sale 214,572 88,524
Loans 426,029 356,858
Allowance for Loan Losses 4,200 3,564
Deposits 676,556 538,622
Stockholders' equity 64,142 57,533
Trust Department Assets
(book value, not included above) $915,995 $692,168
Average Balance Sheet Data:
Total Assets $721,284 $575,639
Earning Assets 676,275 546,409
Loans, net 415,069 342,904
Interest-Bearing Deposits 530,384 419,031
Demand Deposits 111,718 96,844
Borrowings 8,033 0
Stockholders' equity 64,637 56,282
Return on average assets 1.64 % 1.41 %
Return on average equity 18.32 14.43
Efficiency Ratio 53.13 % 57.23 %
Net Interest Margin (Taxable Equivalent Basis) 4.57 % 4.08 %
Loans past due over 90 days and still accruing $216 $259
Non-accrual loans 217 196
Net (charge-offs)/recoveries (22) 2
Allowance for loan losses to total loans 0.99 % 1.00 %
Per Share Data: (1)
Earnings per share (Basic) $0.89 $0.61
Earnings per share (Diluted) 0.87 0.60
Book Value 19.24 17.25
Tier I Leverage 8.92 % 8.78 %
Tier I Capital to Risk-Weighted Assets 18.98 18.54
Tier I & Tier II Capital to Risk-Weighted Assets 20.21 19.84
(1) Restated for the 10% stock dividend declared September 13, 2001.
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SOURCE Peapack-Gladstone Financial Corporation