Community Investors Bancorp, Inc. Reports Net Income For The Year and Three Months Ended June 30, 2017

BUCYRUS, Ohio, July 28, 2017 /PRNewswire/ -- Community Investors Bancorp, Inc. (OTC-PINK: CIBN), parent company of First Federal Community Bank of Bucyrus, reported net income of $461,000 or $.58 per common share for the year ended June 30, 2017, representing a decrease of $440,000 (48.8%), compared to the net earnings of $901,000, or $1.13 per common share reported for the year ended June 30, 2016. The decrease in earnings reflects an increase in general, administrative and other expenses (SGA) of $285,000 (5.5%). SGA expenses increased due to increases in technology consulting, core processing, salaries and wages and professional expenses. Other income saw a small drop for the year, although the quarter ended June 30, 2017 reflected recovery of loan volumes in the secondary market as well as improved gains-net of loan originator commissions. Provision for loan loss increased by $290,000 (68.7%) reflecting final resolution of three large compromised loan relationships recognized during the fiscal year. Net interest income remained relatively unchanged, but an increase in the cost of funds resulted in a slight reduction of $31,000 (.6%).

Community Investors Bancorp, Inc. reported total assets at June 30, 2017, of $143.3 million (increase of $3.0 million or 2.1% from June 30, 2016) including gross loans of $107.0 million (increase of $1.2 million or 1.1% from June 30, 2016). Investments decreased by $.4 million (2.8%), while the allowance for loan loss decreased by $170,000 (12.6%) since June 30, 2016. Total assets classified as nonaccrual were $1.7 million compared to $2.8 million at June 30, 2016. Deposits increased by $8.7 million (9.6%) from June 30, 2016. Federal Home Loan Bank borrowings decreased by $5.5 million (15.6%). Total liabilities were $130.8 million for an increase of $2.8 million (2.2%) from June 30, 2016). Total stockholders' equity increased by $158,000 to $12.5 million. Book value per share is at $15.67 per share.  

The past year was disappointing. Our loan losses were increased by the frustrating, extended process of recovering real estate loan collateral which deteriorated as we were forced to wait on the process. Our SGA expenses climbed as we contended with increased regulations, required cybersecurity vigilance, technology improvements as well as increased loan administration and collection efforts. Going into the new fiscal year, we have reduced classified assets by more than $2.1 million over the prior year. Though challenges remain, our increased collection and credit monitoring have reduced our 30-89 days past due loans by more than $1.2 million compared to June 30, 2016, to the lowest level in more than 10 years. We are encouraged by improving local economic conditions even as we plan to focus more resources on the vibrant economy in and around our Marysville location. We plan to expand our mortgage loan origination operations and derive better efficiencies within that segment of our non-interest income. Finally, our management team has identified specific expenses which we expect to reduce in the next year as we continue to review our operations for potential increased efficiencies. However, we will not compromise safety, service or regulatory compliance. Although it will take some lead time to see the results of our efforts, the quarter ended June 30, 2017 reflected a small decrease in SGA expenses relative to the quarter ended June 30, 2016. Non-interest income for the quarter ended June 30, 2017 also improved by $118,000 from the quarter ended June 30, 2016. The Bank's goals are challenging but achievable in the upcoming months and years. We are confident that we will meet the challenges to achieve success for our shareholders, employees, customers and community.    

SOURCE Community Investors Bancorp, Inc.