First Commons Bank Reaches New High for Net Income of $659,000 in Q1 2017, an Increase of 44% Over Q1 2016 and 14% Over Last Quarter

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Apr 27, 2017, 10:10 ET

NEWTON, Mass., April 27, 2017 /PRNewswire/ -- First Commons Bank of Newton, Mass., today reported a new high for Net Income of $659,000 for the quarter ended March 31, 2017, representing improvements of $204,000 or 44% over the $455,000 reported for the quarter ended March 31, 2016, and $81,000 or 14% over the $578,000 reported for the quarter ended December 31, 2016. The bank reported Total Assets of $350 million as of March 31, 2017, compared to $344 million as of December 31, 2016, and $333 million as of March 31, 2016. Total Deposits grew to $304 million and Net Loans increased to $259 million as of March 31, 2017.

Tony Nuzzo, Chairman, President, and CEO of First Commons Bank, said, "We are very pleased to have posted a record high Net Income of $659,000 for the quarter, resulting in a Return on Average Assets of 0.77% and a Return on Average Equity of 7.72%. We remain a highly efficient bank and our credit quality continues to be outstanding, with no loan more than 60 days past due at quarter end."

Tangible Book Value on March 31, 2017 was $11.02 per share with approximately $34.4 million in equity.

Tier 1 Capital (Equity) to Average Assets Ratio for the quarter was 10.01%.

Efficiency as measured by Noninterest Expense divided by Total Interest Income was 50.7% for the quarter.

Efficiency as measured by Noninterest Expense divided by Net Interest Income was 67.7% for the quarter.

First Commons Bank's financial results are available on the FDIC's website at: https://goo.gl/IS86Up.

About First Commons Bank

First Commons Bank, N.A., is a nationally chartered, FDIC-insured full-service community bank, dedicated to serving the businesses and individuals of Newton, Wellesley, Waltham, and eastern Massachusetts. The bank opened for business on July 22, 2009. Locations include its headquarters at 718 Beacon Street in Newton Centre, Mass., and 161 Linden Square in Wellesley, Mass. Visit the First Commons Bank website at http://www.firstcommonsbank.com. Follow the bank on Facebook at http://facebook.com/firstcommonsbank and on Twitter at http://twitter.com/firstcommonsbnk.

First Commons Bank, N.A.
Balance Sheet
(Unaudited)
	March 31,	March 31,
	2017	2016
	(Dollars in thousands)
Assets
Cash and Due from Banks	$3,632	$586
Interest-bearing demand deposits with other banks	2,129	127
Money market mutual funds	256	3,233
Federal funds sold	31,600	36,500
Cash and cash equivalents	37,617	40,446
Interest-bearing time deposits with other banks	9,314	9,808
Investment in held-to-maturity securities	38,480	18,983
Federal Home Loan Bank Stock, at cost	979	956
Federal Reserve Bank Stock, at cost	2,007	1,859
Loans, net	259,344	258,147
Premises and equipment	734	904
Accrued interest receivable	841	988
Deferred income tax asset, net	1,368	1,234
Other assets	291	302
Total Assets	$350,975	$333,627

Liabilities and Stockholders' Equity
Deposits
Noninterest-bearing	$30,324	$25,848
Interest-bearing	274,407	264,119
Total Deposits	304,731	289,967
Federal Home Loan Bank Advances	10,000	10,000
Other Liabilities	1,830	1,622
Total Liabilities	316,561	301,589
Stockholders' equity
Common Stock, par value .01; authorized 10,000,000 shares; 3,122,122 shares issued and outstanding as of March 31, 2017 and March 31, 2016	31	31
Paid-in capital	33,419	33,419
Accumulated income (deficit)	964	-1,412
Total Stockholders' Equity	34,414	32,038
Total Liabilities and Stockholders' Equity	$350,975	$333,627

First Commons Bank, N.A.
Statement of Income
(Unaudited)
	Three Months Ended
	March
	2017	2016
	(Dollars in thousands)
Interest Income
Interest and fees on loans	$3,166	$3,110
Interest on securities	193	88
Other interest	89	61
Total interest income	3,448	3,259
Interest Expense
Interest on deposits and borrowings	700	741
Total interest expense	700	741
Net interest income	2,748	2,518
Provision for loan losses	0	71
Net interest income after provision for loan losses	2,748	2,447
Noninterest income
Service charges on deposit accounts	23	28
Gain on sale of available-for-sale securities	0	0
Gain on sale of loans	71	85
Other income	126	103
Total noninterest income	220	216
Noninterest expense:
Salaries and employee benefits	997	1,074
Occupancy expense	246	237
Equipment expense	38	50
Professional fees	156	134
Regulatory assessment	67	77
Other expense	357	323
Total noninterest expense	1,861	1,895
Income before income tax expense	1,107	768
Income Tax expense	448	313
Net Income	$659	$455

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Tony Nuzzo
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SOURCE First Commons Bank