CB Financial Corporation Reports Year-End 2016 Earnings

Company reports solid financial performance, including $2.5 million in net income.

(See accompanying financials.)

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Feb 08, 2017, 08:56 ET

WILSON, N.C., Feb. 8, 2017 /PRNewswire/ -- CB Financial Corporation ("CB" –OTC-QB: "CBFA"), the holding company for Cornerstone Bank ("Cornerstone"), reported net income of $2.5 million, or earnings per share of $0.05, for the year ended December 31, 2016, compared to net income of $601,000, or earnings per share of per share of $0.01, for the prior year. The 2016 results were aided by the reversal of CB's deferred tax asset ("DTA") valuation allowance that resulted in a one-time tax benefit of approximately $2.0 million.

As of December 31, 2016, CB reported total assets of $109.9 million, total loans of $72.0 million and total deposits of $91.1 million. Assets, loans and deposits were up 5%, 4% and 2%, respectively, compared to totals reported at year-end December 31, 2015.

"With these results, CB is reporting its third consecutive year of profitable operations," said Mark A. Holmes, president of CB and Cornerstone. "While it was great to gain the $2.0 million tax benefit from the reversal of our DTA; other key indicators such as positive core earnings, dramatically improved asset quality and solid loan and deposit growth, bode well for future financial performance."

Cornerstone opened its doors in 2000 to serve the community banking needs of the City of Wilson, Wilson County, and the surrounding area. Cornerstone operates from a main office location at 3710 Nash Street North in Wilson.

OTC-QB: CBFA

The information as of and for the year ended December 31, 2016, as presented, is unaudited. This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements regarding certain of our goals and expectations with respect to earnings, earnings per share, revenue, expenses and the growth rate in such items, as well as other measures of economic performance, including statements relating to estimates of credit quality trends, and (ii) statements preceded by, followed by or that include the words "may," "could," "should," "would," "believe," "anticipate," "estimate," "expect," "intend," "plan," "projects," "outlook" or similar expressions. The actual results might differ materially from those projected in the forward-looking statements for various reasons, including, but not limited to, our ability to manage growth, changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market. Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements is contained in the Company's SEC filings, including its periodic reports under the Securities Exchange Act of 1934, as amended, copies of which are available upon request from the Company.

CB Financial Corporation & Subsidiary
Balance Sheets (unaudited) December 31,			2016	2015
			(Dollars in thousands)
Assets
	Cash and due from banks		$ 3,380	$ 2,879
	Interest bearing deposits with banks		7,824	5,397
		Total cash and cash equivalents	11,204	8,276
Investment securities available for sale, at fair value			16,935	20,838
Loans receivable			71,959	68,716
Allowance for loan losses			976	1,123
		Net loans receivable	70,983	67,593
Bank premises & equipment, net			2,230	2,324
Other real estate owned			1,397	1,746
Other assets			7,132	5,060
		Total assets	$ 109,881	$ 105,837

Liabilities and Shareholders' Equity
Deposits:
	Demand deposits		$ 17,213	$ 12,779
	Savings, Money market & NOW		40,485	38,630
	Time deposits		33,433	38,314
		Total deposits	91,131	89,723
Other borrowed money			11,117	10,971
Accrued interest payable and other liabilities			132	285
		Total liabilities	102,380	100,979
		Total shareholders' equity	7,501	4,858
		Total liabilities and shareholders' equity	$ 109,881	$ 105,837

		Book value per share	$ 0.16	$ 0.10

CB Financial Corporation & Subsidiary
Statement of Operations (unaudited)		Twelve Months Ended, Dec 31,
		2016	2015
		(Dollars in thousands, except per share data)

Interest Income		3,703	3,699
Interest Expense		581	644

Net Interest Income		3,122	3,055
	Provision for loan losses	-	(275)

Net Int Income After Provision		3,122	3,330

	Service charge income	147	162
	Other noninterest income	442	540
Total noninterest Income		589	702

	Personnel costs	1,650	1,705
	Occupancy and equipment	226	242
	Other	1,280	1,484
Total noninterest expense		3,156	3,431
	Income Before Income taxes	555	601
	Income taxes	(1,979)	-
	Net Income	2,534	601

	Net income per common share	$ 0.05	$ 0.01