BEDFORD, N.H., Oct. 27 /PRNewswire-FirstCall/ -- Centrix Bank (OTC Bulletin Board: CXBT) today announced strong third quarter and nine month 2010 financial results. Centrix is a full service commercial bank offering highly personalized and responsive service to small and medium-sized businesses, professionals, municipalities and not-for-profits.
"Growth continues to be the hallmark of the Centrix story," said Joseph B. Reilly, President/CEO. "In addition to recently opening our seventh location – a loan production office in Nashua – we continue to make strategic investments in technology, people and facilities. These investments have already generated benefits and position us to accommodate growth while meeting our strict goals for operating efficiency."
For the quarter ended September 30, 2010, the Bank reported net income available to common stockholders of $1.2 million or $0.39 per common share (diluted), up 95% from $617,000 or $0.20 per common share (diluted) for the same period last year. This gain was primarily driven by an increase in interest and fees on loans, a reduction of interest expense and a decline in provisions for loan losses. The Bank's net interest margin rose to 3.80% for the third quarter 2010, compared with 3.48% for the third quarter 2009. The Bank's book value per common share at September 30, 2010 increased to $13.59, compared with $11.70 a year ago.
The Bank recorded similarly strong earnings for the nine months ended September 30, 2010, with $4.5 million or $1.44 per common share (diluted) compared to $1.8 million or $0.58 per common share (diluted) at September 30, 2009. In addition to the reasons stated above, net gains on the sale of select investment securities during the first quarter 2010 contributed to the increased earnings for the comparative nine month period.
Total assets at September 30, 2010 amounted to $660.2 million, compared to $582.8 million at September 30, 2009, reflecting growth of $77.4 million or 13%. Net loans grew to $445.7 million at September 30, 2010 from $394.0 million at September 30, 2009, an increase of 13%. Deposits at September 30, 2010 totaled $530.8 million, compared to $484.4 million at September 30, 2009, representing 10% growth.
"Our strong culture of service, quick responsiveness to customer needs, particularly in this tough economy, combined with leading-edge competitive banking products and services have resulted in high levels of customer retention and new business," explained Reilly. "Although we are working through an economy that continues to be challenging, the dedication of our employees and our ongoing focus on operational discipline has enabled Centrix to generate gratifying results."
Asset quality remains strong with net charge-offs for the quarter and nine months ending September 30, 2010 totaling $503,000 and $591,000, respectively. This compares with $144,000 and $684,000, respectively, for the comparable periods in 2009. The Bank's allowance for loan losses as a percent of total loans, excluding loans held for sale, was 1.22% at September 30, 2010, compared with 1.21% at September 30, 2009. Non-performing assets as a percent of total assets at September 30, 2010 were 1.03%, compared to 0.49% at September 30, 2009. The increase in non-performing assets is a direct result of the prolonged weak economic environment.
"As a percentage of total loans and assets, loan loss reserves and non-performing assets remain at low levels," noted Reilly. "Although we are not seeing any dramatic economic improvement, we are seeing signs of stabilization and modest recovery. We believe our continued growth reflects our ability to provide a superior customer experience while continuing to effectively manage our operating costs."
Centrix Bank's strength, performance and commitment to quality service are not going unnoticed. USBanker magazine recently recognized Centrix Bank as ranking 103rd in the Top 200 Community Banks in the country. Reilly commented, "We are proud that this is the second consecutive year Centrix made the list."
A copy of the Third Quarter Report 2010 is available on the Bank's web site at centrixbank.com. To access the online Report, under the section titled "Investor Relations," click on "Financial Reports." For more information about financial reports, please contact Lucy T. Gobin, Senior Executive Vice President, CFO & COO at (603) 647-4446 or firstname.lastname@example.org. About the Company Centrix Bank is a full service commercial bank offering highly personalized and responsive service to small to medium-sized businesses and professionals, municipalities and not-for-profits. The Bank services customers throughout Southern New Hampshire from six full service offices located in Bedford, Concord, Dover, Manchester, Milford and Portsmouth, and a loan production office in Nashua. Centrix was named to USBanker magazine's "2010 Top 200 Community Banks" in the U.S., New Hampshire Business Review's "2009 Best of Business" for Local Best Bank for Small Business, Business NH magazine's 2010 NH's "100 Top Public Companies" and "2006 Business of the Year." The Company's common shares are quoted on the OTC Bulletin Board (OTCBB) under the symbol "CXBT." For more about Centrix Bank, please visit centrixbank.com or call (603) 647-4446. Forward-Looking Statements This release contains information and "forward-looking statements" that relate to matters that are not historical facts and are usually preceded by the words: "may," "will," "should," "could," "would," "plan," "potential," "estimate," "project," "believe," "intend," "anticipate," "expect," "target," and similar expressions. These forward-looking statements are subject to significant risks, assumptions, and uncertainties. Because of these and other uncertainties, our actual results may be materially different from those described in these forward-looking statements. The forward-looking statements in this release speak only as of the date of the release, and we do not assume any obligation to update the forward-looking statements or to update the reasons why actual results could differ from those contained in the forward-looking statements.
SOURCE Centrix Bank