Centric Financial Corporation Announces Q2 2017 Results with 74% Increase in Earnings and Double-Digit Growth in Loans, Deposits, and Assets

HARRISBURG, Pa., July 27, 2017 /PRNewswire/ -- Centric Financial Corporation, Inc. ("Centric") (OTC Pink: CFCX), the holding company for Centric Bank, reported unaudited results for the first six months of 2017 of $2,006,000 in net income, an 85% increase over the $1,087,000 reported for the same period 2016. Net income for the second quarter 2017 increased 74% to $1,225,000 over the same quarter for 2016. Net income per share for the quarter ended June 30, 2017 was $.19 as compared to $.11 for the same period in 2016. Earnings per share for the period ended June 30, 2017 was $.32 for the first six months of 2017, up $.15 over the same period 2016.

"The acceleration of our double-digit loan growth, specifically commercial loans to small business and commercial real estate, is the result of our team's efforts in the markets we serve and a strong indication of small business optimism. We continue to answer the call for entrepreneurs and owners and provide access to capital for the job creators. Today, we have crested a half-billion in assets with four financial centers, two loan production offices, over 110 employees, and Doctor Centric Bank, our concierge banking subsidiary—all serving central Pennsylvania, suburban Philadelphia, Lehigh Valley, and western New Jersey. We remain a leader in SBA lending in the Commonwealth," says Patricia A. (Patti) Husic, President & CEO of Centric Bank and Centric Financial Corporation. "By nearly every measure, we are shattering expectations with record-breaking organic loan growth and one of the finest teams in the banking industry."

Total assets boasted $525 million at June 30, 2017, a robust increase of $104 million, or 25% from the same period ended in 2016; total loans grew by $96 million, or 26%, to $464 million at June 30, 2017. Loan growth for the 12 months ended June 30, 2017 was a result of the increase in commercial loans of $44 million, a 62% increase, and commercial real estate loans of $48 million, a 19% increase.

Total deposits were $460 million at June 30, 2017, an increase of $110 million, or 32% over the same period end 2016. Non-interest bearing deposits are 17% of total deposits at June 30, 2017, a ratio that has been steadily climbing.   

Net interest income increased 42% to $9,473,000 from $6,694,000 for the same period due to increased loan originations, while the provision for loan losses increased $205,000 over 2016 due to robust loan growth. The asset quality ratio of non-performing assets as a percentage of total assets continues to improve to .32% at June 30, 2017, a reduction from 0.53% for the same period end 2016, a reflection of our pristine asset quality.

Tangible book value increased to $6.17 per share, an increase of $0.18 over last quarter end and $0.59 over June 30, 2016. Return on average assets for the second quarter 2017 increased to .95% from .70% at the same quarter year prior; net interest margin improved by 39 basis points, increasing to 3.98%; and the efficiency ratio improved to 61.9% from 67.2% over the same periods respectively.

"We are privileged to finance the men and women who power our economy by putting people to work. Celebrating our tenth year in banking, we remain dedicated to delivering the finest customer service in the industry. Every commercial loan, every small business relationship, and every mortgage account allows us to bring purpose and prosperity to the communities we serve," says Husic.

ABOUT CENTRIC FINANCIAL CORPORATION AND CENTRIC BANK
A three-time Best Places to Work and named a Top 50 Fastest-Growing Companies for five years, Centric Bank is headquartered in south central Pennsylvania with assets of $525 million and remains the leader in organic loan growth in central Pennsylvania. A locally owned, locally loaned community bank, Centric Bank provides highly competitive and pro-growth financial services to businesses, professionals, individuals, families, and the health care and agricultural industries. Centric Bank was named a Top 100 SBA 7(a) lender in the United States in 2016 and ranks #2 in approved SBA 7(a) loans in the Commonwealth of Pennsylvania.

Founded in 2007, Pennsylvania-based Centric Bank has financial centers located in Harrisburg, Hershey, Mechanicsburg, and Camp Hill, and loan production offices in Lancaster and suburban Philadelphia. To learn more about Centric Bank, call 717.657.7727 or visit CentricBank.com. Connect with them on Twitter, Facebook, and LinkedIn.

Safe Harbor Statement
Except for historical information contained herein, the matters discussed in this release are forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainty. Because of these risks and uncertainties, our actual future results may be materially different from the results indicated by these forward looking statements. In addition, our past results of operations do not necessarily indicate our future results. We undertake no obligation to publicly update or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE Centric Financial Corporation, Inc.