Parkvale Financial Corporation, Monroeville, PA Announces Earnings for the First Quarter of Fiscal 2012
MONROEVILLE, Pa., Nov. 8, 2011 /PRNewswire/ -- Parkvale Financial Corporation (NASDAQ: PVSA) reported net income for the quarter ended September 30, 2011 of $1.4 million compared to net income of $2.2 million for the quarter ended September 30, 2010. Income available to common shareholders, after the payment of dividends on preferred stock, was $963,000 or $0.17 per diluted common share for the quarter ended September 30, 2011 compared to $1.8 million or $0.33 per diluted common share for the quarter ended September 30, 2010. The decrease in net income for the September 30, 2011 quarter primarily reflects a $1.2 million reduction in gain on sale of assets and a $624,000 decrease in net interest income. These factors were partially offset by a $996,000 decrease in non-cash debt security impairment charges and a $219,000 decrease in non-interest expense. The decrease in net interest income was attributed to the reinvestment of funds into short-term lower yielding government and agency securities and an increase in cash balances at the Federal Reserve. The lower non-interest expense was due primarily to a $365,000 decrease in compensation expense and a $309,000 decrease in FDIC insurance premium expense as a result of the FDIC's revised deposit insurance rates effective April 1, 2011, offset by $325,000 of costs related to the pending merger with F.N.B. Corporation.
Parkvale Financial Corporation is the parent of Parkvale Bank, which has 47 offices in the Tri-State area and assets of $1.8 billion at September 30, 2011.
(Condensed Consolidated Statements of Operations and selected financial data is attached.)
PARKVALE FINANCIAL CORPORATION |
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS |
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(Dollar amounts in thousands except per share data) |
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(Unaudited) |
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Three months ended |
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September 30, |
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2011 |
2010 |
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Total interest income |
$14,842 |
$16,839 |
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Total interest expense |
6,607 |
7,980 |
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Net interest income |
8,235 |
8,859 |
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Provision for loan losses |
1,122 |
1,034 |
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Net interest income after provision for losses |
7,113 |
7,825 |
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Net impairment (losses) recognized in earnings |
- |
(996) |
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Other noninterest income |
2,603 |
4,082 |
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Total noninterest expense |
7,831 |
8,050 |
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Income before income taxes |
1,885 |
2,861 |
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Income tax expense |
525 |
638 |
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Net income |
1,360 |
2,223 |
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Preferred stock dividend |
397 |
397 |
||
Income to common shareholders |
$963 |
$1,826 |
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Net income per basic common share |
$0.17 |
$0.33 |
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Net income per diluted common share |
$0.17 |
$0.33 |
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Cash dividends declared per common share |
$0.02 |
$0.02 |
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SELECTED FINANCIAL DATA |
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(Dollar amounts in thousands except per share data) |
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Sept. 30, |
June 30, |
Sept. 30, |
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2011 |
2011 |
2010 |
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Total assets |
$1,797,958 |
$1,806,556 |
$1,819,632 |
|
Total deposits |
1,488,127 |
1,484,924 |
1,480,482 |
|
Total loans, net of allowance |
965,032 |
983,996 |
1,014,608 |
|
Loan loss allowance |
18,663 |
18,626 |
19,624 |
|
Nonperforming loans and foreclosed real estate |
36,348 |
31,246 |
36,476 |
|
Ratio to total assets |
2.02% |
1.73% |
2.00% |
|
Allowance for loan losses as a % of gross loans |
1.90% |
1.86% |
1.90% |
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Total shareholders' equity |
$125,002 |
$124,214 |
$118,397 |
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OTHER SELECTED DATA |
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Three months ended |
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September 30, |
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2011 |
2010 |
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Average yield earned on all interest-earning assets |
3.55% |
3.95% |
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Average rate paid on all interest-bearing liabilities |
1.58% |
1.86% |
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Average interest rate spread |
1.97% |
2.09% |
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Net yield on average interest-earning assets |
1.97% |
2.08% |
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Return on average assets |
0.30% |
0.48% |
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Return on average equity |
3.94% |
6.68% |
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Other expenses to average assets |
1.69% |
1.74% |
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SOURCE Parkvale Financial Corporation
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