Northeast Indiana Bancorp, Inc. Announces Year To Date And Second Quarter Earnings

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Jul 14, 2015, 12:01 ET

HUNTINGTON, Ind., July 14, 2015 /PRNewswire/ -- Northeast Indiana Bancorp, Inc. (OTCQB: NIDB), the parent company of First Federal Savings Bank, today announced net income for the six months ended June 30, 2015 increased $296,000 or 19.6% to $1.8 million ($1.51 per diluted common share) compared to net income of $1.5 million ($1.24 per diluted common share) for the six months ended June 30, 2014. The current six months earnings equates to an annualized ROA of 1.31% and an ROE of 11.63% compared to an annualized ROA of 1.12% and an annualized ROE of 10.60% for the six months ended June 30,2014.

Net income increased $244,000 or 36.2% to $918,000 ($0.77 per diluted common share) for the Company's second quarter ended June 30, 2015 compared to net income of $674,000 ($0.56 per diluted common share) for the second quarter ended June 30, 2014. The current three months earnings equates to an annualized return on average assets (ROA) of 1.32% and a return on average equity (ROE) of 11.66% compared to an annualized ROA of 1.00% and an ROE of 9.32% for the three months ended June 30, 2014.

Shareholder's equity was $31.5 million at June 30, 2015 compared to $30.4 million at December 31, 2014. The book value of NIDB's stock was $26.22 per common share as of June 30, 2015. The number of outstanding common shares was 1,199,879 as of the same date. The last reported trade of the stock on July 13, 2015 was $28.00 per common share. This is an increase of $2.00 per common share or 7.7% over the last reported trade of the stock on December 31, 2014 of $26.00 per common share.

Northeast Indiana Bancorp, Inc. is headquartered at 648 N. Jefferson Street, Huntington, Indiana. The company offers a full array of banking and financial brokerage services to its customers through its main office in Huntington and five full-service Indiana offices in Huntington (2), Warsaw and Fort Wayne (2). The Company is traded on the OTC Markets Group, Inc. (www.otcmarkets.com) utilizing the OTCQB platform under the symbol "NIDB". Our web site address is www.firstfedindiana.com.

This press release may contain forward-looking statements, which are based on management's current expectations regarding economic, legislative and regulatory issues. Factors which may cause future results to vary materially include, but are not limited to, general economic conditions, changes in interest rates, loan demand, and competition. Additional factors include changes in accounting principles, policies or guidelines; changes in legislation or regulation; and other economic, competitive, regulatory and technological factors affecting each company's operations, pricing, products and services.

NORTHEAST INDIANA BANCORP CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

CONSOLIDATED STATEMENT OF FINANCIAL CONDITION

*ASSETS*					June 30, 2015		December 31, 2014
Interest-earning cash and cash equivalents					$	9,377,197	$	5,969,837
Noninterest earning cash and cash equivalents					2,254,800		5,015,780
Total cash and cash equivalents					11,631,997		10,985,617
Interest-earning time deposits					9,094,795		8,355,733
Securities available for sale					74,254,717		72,717,037
Securities held to maturity					1,096,349		1,129,168
Loans held for sale					245,800		125,000
Loans receivable, net of allowance for loan loss June 30, 2015 $3,268,397 and December 31, 2014 $3,402,355					166,658,278		168,728,783
Accrued interest receivable					969,858		933,935
Premises and equipment					2,908,091		2,998,086
Cash surrender value of life insurance					7,829,818		7,722,193
Other assets					2,417,431		2,454,272
*Total Assets*					$	277,107,134	$	276,149,824
*LIABILITIES AND STOCKHOLDERS' EQUITY*
Non-interest bearing deposits					20,634,368		20,666,024
Interest bearing deposits					193,439,920		192,496,447
Borrowed Funds					29,008,147		29,911,662
Accrued interest payable and other liabilities					2,566,371		2,663,897
*Total Liabilities*					245,648,806		245,738,030

Retained earnings – substantially restricted					31,458,328		30,411,794
*Total Liabilities and Shareholder's Equity*					$	277,107,134	$	276,149,824

CONSOLIDATED STATEMENTS OF INCOME

	Three Months Ended				Six Months Ended
	June 30,				June 30,
		2015		2014		2015		2014
Total interest income	$	2,631,440	$	2,593,256	$	5,307,555	$	5,221,203
Total interest expense		313,116		308,563		630,381		622,271
Net interest income	$	2,318,324	$	2,284,693	$	4,677,174	$	4,598,932
Provision for loan losses		-		150,000		-		375,000
Net interest income after provision for loan losses	$	2,318,324	$	2,134,693	$	4,677,174	$	4,223,932
Service charges on deposit accounts		143,776		124,414		261,139		241,259
Net gain (loss) on sale of securities		-		(666)		120,107		(7,876)
Net gain on sale of loans		288,434		230,904		441,868		668,239
Net gain (loss) on sale of repossessed assets		(9,771)		(18,296)		(12,186)		3,394
Brokerage fees		138,720		118,873		272,787		242,052
Increase in cash surrender value of life insurance		52,626		55,575		107,625		112,150
Other income		226,167		178,573		437,292		349,553
Total noninterest income	$	839,952	$	689,377	$	1,628,732	$	1,608,771
Salaries and employee benefits		1,020,850		1,012,063		2,064,153		1,939,307
Occupancy		258,108		278,746		548,078		573,372
Data processing		218,383		200,066		434,880		401,068
Deposit insurance premiums		51,000		45,000		87,000		105,000
Professional fees		77,326		85,002		159,970		188,167
Correspondent bank charges		34,506		32,211		67,594		61,141
Other expense		218,403		259,727		465,571		462,500
Total noninterest expenses	$	1,878,576	$	1,912,815	$	3,827,246	$	3,730,555
Income before income tax expenses	$	1,279,700	$	911,255	$	2,478,660	$	2,102,148
Income tax expense		361,412		237,233		668,467		587,984
Net Income	$	918,288	$	674,022	$	1,810,193	$	1,514,164



NORTHEAST INDIANA BANCORP CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

	Three Months Ended				Six Months Ended
	June 30,				June 30,

	2015		2014		2015		2014
Basic Earnings per common share	0.77		0.56		1.51		1.24
Dilutive Earnings per share	0.77		0.56		1.51		1.24
Net interest margin	3.55%		3.60%		3.59%		3.61%
Return on average assets	1.32%		1.00%		1.31%		1.12%
Return on average equity	11.66%		9.32%		11.63%		10.60%
Efficiency ratio	59.48%		64.32%		60.69%		60.10%
Average shares outstanding - primary	1,198,679		1,209,604		1,198,378		1,216,518
Average shares outstanding - diluted	1,198,750		1,209,604		1,198,862		1,216,827

Allowance for loan losses:
Balance at beginning of period	$	3,262,423	$	3,522,767	$	3,402,355	$	3,355,534
Charge-offs:
One-to-four family	-		9,361		6,960		26,908
Commercial real estate	-		-		146,134		-
Land/land development	-		-		-		-
Commercial	-		75,000		-		75,000
Consumer	38,761		49,236		69,741		106,136
Gross charge-offs	38,761		133,597		222,835		208,044
Recoveries:
One-to-four family	1,057		642		2,709		2,218
Commercial real estate	-		-		-		-
Land/land development	-		-		-		-
Commercial	6,038		-		7,741		-
Consumer	37,460		17,822		78,427		32,926
Gross recoveries	44,735		18,464		88,877		35,144
Net charge-offs/(recoveries)	(5,974)		115,133		133,958		172,900
Additions charged to operations	-		150,000		-		375,000
Balance at end of period	$	3,268,397	$	3,557,634	$	3,268,397	$	3,557,634

Net loan charge-offs/(recoveries) to average loans (1)	(0.01%)		0.28%		0.16%		0.22%

Nonperforming assets (000's)	At June 30,		At March 31,		At December 31,
Loans:	2015		2015		2014
Non-accrual	$	3,669	$	3,338	$	4,396
Past 90 days or more and still accruing	-		-		-
Troubled debt restructured	711		878		1,862
Total nonperforming loans	4,380		4,216		6,258
Real estate owned	59		138		131
Other repossessed assets	-		-		3
Total nonperforming assets	$	4,439	$	4,354	$	6,392

Nonperforming assets to total assets	1.60%		1.57%		2.31%
Nonperforming loans to total loans	2.58%		2.47%		3.64%
Allowance for loan losses to nonperforming loans	74.62%		77.37%		54.36%
Allowance for loan losses to net loans receivable	1.96%		1.95%		2.02%

	At June 30,
	2015		2014

Stockholders' equity as a % of total assets	11.35%		10.74%
Book value per share	$	26.22	$	24.19
Common shares outstanding- EOP	1,199,879		1,205,279
(1) Ratios for the three-month periods are annualized.