MANITOWOC, Wis., July 21, 2016 /PRNewswire/ -- Bank First National Corporation (BFNC) reported net income for the second quarter of 2016 of $3.76 million, or $0.60 per share, as compared to $3.39 million, or $0.54 per share, for the second quarter of 2015, representing an 11% year-over-year increase.
Net interest income after provision for loan losses was $9.59 million for the quarter ended June 30, 2016, compared to $8.83 million for the prior year quarter, representing a 9% increase year-over-year. The increase in net interest margin was a result of 11% loan growth year-over-year, funded by a near matching 10% increase in core deposits. Demand deposit balances, a low-cost source of funding, continue to be a major component of core deposits, comprising 27% of the total balance at June 30, 2016.
Noninterest income was $2.17 million for the quarter ended June 30, 2016, compared to $1.63 million in the prior year quarter. Revenues contributed by the Bank's investment in Ansay & Associates, LLC, continued to show significant improvement in 2016 as they moved past one-time expenses from a prior year business acquisition. Revenues contributed by this investment increased $0.64 million during the second quarter of 2016 compared to the prior year quarter. This increase was partially offset by a $0.17 million decline in revenues contributed by the Bank's investment in UFS, LLC.
Noninterest expense was $6.10 million for the second quarter of 2016, up from $5.34 million for the second quarter of 2015. Salary expense increased $0.29 million, or 11%, year-over-year as the Bank continued to invest in personnel to support growth in customer relationships. The Bank's efficiency ratio, a measure of how well resources are utilized by an institution, remained very strong at 49.7%.
"We continue to see very strong growth in customer relationships across all communities we serve through the first half of 2016," said Mike Molepske, Chief Executive Officer. "This growth has been accomplished while maintaining consistent net interest margins year-over-year. The Bank has also maintained very strong asset quality as displayed by our 0.37% ratio of non-performing assets to total assets."
Total assets were $1.30 billion at June 30, 2016, up 16% from $1.13 billion at June 30, 2015.
The Corporation's Board of Directors approved a quarterly cash dividend of $0.15 per common share, representing an increase of 7.1% from the prior quarter and 15.4% from the dividend declared one year earlier. The dividend is payable on October 5, 2016, to shareholders of record as of September 28, 2016.
For further information, contact:
Kevin M LeMahieu, Chief Financial Officer
Phone: (920) 652-3200
SOURCE Bank First National Corporation