Resource Bankshares Corporation Reports First Quarter Earnings

Apr 17, 2001, 01:00 ET from Resource Bankshares Corporation

    VIRGINIA BEACH, Va., April 17 /PRNewswire/ -- Resource Bankshares
 Corporation (Nasdaq: RBKV) today announced net income of $950,001, or $0.34
 per diluted share, for the first quarter of 2001, a 20% increase compared with
 net income of $793,839, or $0.30 per diluted share, for the same period of
 2000.
     Total assets at March 31, 2001 were $443,841,211, an increase of 35% over
 the $329,064,036 at the end of the first quarter of 2000. Total net loans
 increased 15% to $295,473,412, from $256,775,029, for the periods ended March
 31, 2001 and 2000, respectively.  Deposits grew 32%, totaling $375,471,629,
 for the first quarter of 2001, compared with $283,652,776 for the same period
 of 2000.
     The mortgage division generated $121,381,000 loan closings in the quarter
 ended March 31, 2001, up 71% from $70,929,100 for the first quarter of 2000,
 and contributed $429,486 of pre-tax income for the 2001 quarter, an increase
 of  229% compared with $130, 708 for the same period of 2000. Resource
 Mortgage had 181 employees at the end of the first quarter of 2001, compared
 with 85 in the first quarter of 2000.
     "The first quarter of 2001 was a very busy and productive time and we are
 pleased to continue reporting record earnings," stated T. A. Grell, Jr.,
 President of Resource Bank. "We added two significant groups to our family,
 Atlantic Mortgage & Investment in the commercial mortgage division, and First
 Jefferson Mortgage Corporation, now part of  Resource Mortgage, our
 residential mortgage group, and we anticipate that both will contribute to
 earnings in 2001."
     Shareholders' equity increased 25% to $20,411,851 and the book value per
 basic common share was $7.81 at the end of the first quarter of 2001.
     Resource Bankshares Corporation is the parent holding company of Resource
 Bank, a statewide commercial bank with branches in Virginia Beach, Chesapeake,
 Newport News and Northern Virginia, loan production offices in Hampton Roads,
 Northern Virginia and Richmond Virginia, and additional mortgage loan offices
 in North Carolina, Maryland and Florida.
 
                        RE

SOURCE BANKSHARES CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands, except per share data) (Unaudited) For the three months ended March 31 2001 2000 Interest income $7,984 $6,253 Interest expense 5,488 4,030 Net interest income 2,496 2,223 Provision for loan losses (45) (100) Non-interest income 3,018 2,177 Non-interest expense 4,131 3,158 Net income (loss) before income taxes 1,338 1,142 Income tax (benefit) provision 388 348 Net (loss) income $950 $794 Basic earnings per common share $0.36 $0.31 Diluted earnings per share $0.34 $0.30 Book value per share $7.81 $6.39 Return on average assets 0.9% 1.0% Return on average equity 19.5% 19.8% Average basic common shares issued 2,616,543 2,555,213 Average diluted common issued 2,800,120 2,690,696 Dividends declared per common share $0.12 $0.10 Net overhead ratio 1.1% 1.2% Financial Margin (FTE) 2.7% 2.9% Non earning assets (non-accruals and other real estate owned $734 $679 Loan loss allowance to gross loans 1.3% 1.1% RE

SOURCE BANKSHARES CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in thousands, except per share data) (Unaudited) March 31 ASSETS 2001 2000 Cash and cash equivalents $8,866 $12,614 Securities held to maturity 63,393 29,039 Securities available for sale 21,626 6,364 Funds advanced in settlement of mortgage loans 42,406 14,412 Loans receivable, net 291,731 253,965 Real estate owned 0 31 Other assets 15,819 12,639 Total assets $443,841 $329,064 LIABILITIES AND STOCKHOLDERS= EQUITY LIABILITIES: Deposits $375,472 $283,653 Federal Funds purchased 3,000 Advances from Federal Home Loan Bank 30,300 16,300 Capital Trust borrowings 9,200 9,200 Other liabilities 5,457 3,589 Total liabilities 423,429 312,742 STOCKHOLDERS' EQUITY Common stock, $1.50 par value, authorized 6,666,666 shares, issued and outstanding: 2001 - 2,615,214; 2000 - 2,555,579 3,923 3,833 Additional paid in capital 10,900 10,604 Retained earnings 5,639 2,145 Net unrealized (depreciation) appreciation on securities available for sale, net of income taxes (50) (260) Total stockholders' equity 20,412 16,322 Total liabilities and stockholders' equity $443,841 $329,064 RE

SOURCE BANKSHARES CORPORATION (unaudited) For the period ending March 31 2001 2000 ASSET QUALITY Non accrual loans $733,647 $647,573 Loans 90 days past due $306,159 $9,639 Other real estate owned $0 $31,370 Non performing assets/loans and funds advanced 0.22% 0.27% Net charge-offs ($176,418) ($23,883) Net charge-off ratio (annualized) -0.24% -0.04% MORTGAGE BANKING GROUP Loan closings $121,381,000 $70,929,100 Mortgage banking income $2,611,063 $1,587,105 Mortgage banking expense $2,181,577 $1,456,397 Pre-tax income $429,486 $130,708 Number of employees 181 85 OPERATING BANKING RATIO Bank only Efficiency ratio 59.50% 51.30% Net overhead margin 1.43% 1.24% Financial margin (T.E.) 2.89% 3.27% Number of employees 99 111 Bank and Mortgage Group Efficiency ratio 71.78% 71.80% Net overhead ratio 1.06% 1.17% Number of employees 280 196

SOURCE Resource Bankshares Corporation
    VIRGINIA BEACH, Va., April 17 /PRNewswire/ -- Resource Bankshares
 Corporation (Nasdaq: RBKV) today announced net income of $950,001, or $0.34
 per diluted share, for the first quarter of 2001, a 20% increase compared with
 net income of $793,839, or $0.30 per diluted share, for the same period of
 2000.
     Total assets at March 31, 2001 were $443,841,211, an increase of 35% over
 the $329,064,036 at the end of the first quarter of 2000. Total net loans
 increased 15% to $295,473,412, from $256,775,029, for the periods ended March
 31, 2001 and 2000, respectively.  Deposits grew 32%, totaling $375,471,629,
 for the first quarter of 2001, compared with $283,652,776 for the same period
 of 2000.
     The mortgage division generated $121,381,000 loan closings in the quarter
 ended March 31, 2001, up 71% from $70,929,100 for the first quarter of 2000,
 and contributed $429,486 of pre-tax income for the 2001 quarter, an increase
 of  229% compared with $130, 708 for the same period of 2000. Resource
 Mortgage had 181 employees at the end of the first quarter of 2001, compared
 with 85 in the first quarter of 2000.
     "The first quarter of 2001 was a very busy and productive time and we are
 pleased to continue reporting record earnings," stated T. A. Grell, Jr.,
 President of Resource Bank. "We added two significant groups to our family,
 Atlantic Mortgage & Investment in the commercial mortgage division, and First
 Jefferson Mortgage Corporation, now part of  Resource Mortgage, our
 residential mortgage group, and we anticipate that both will contribute to
 earnings in 2001."
     Shareholders' equity increased 25% to $20,411,851 and the book value per
 basic common share was $7.81 at the end of the first quarter of 2001.
     Resource Bankshares Corporation is the parent holding company of Resource
 Bank, a statewide commercial bank with branches in Virginia Beach, Chesapeake,
 Newport News and Northern Virginia, loan production offices in Hampton Roads,
 Northern Virginia and Richmond Virginia, and additional mortgage loan offices
 in North Carolina, Maryland and Florida.
 
                        RESOURCE BANKSHARES CORPORATION
                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                   For the three months ended
                                                             March 31
                                                        2001           2000
     Interest income                                   $7,984         $6,253
     Interest expense                                   5,488          4,030
     Net interest income                                2,496          2,223
     Provision for loan losses                            (45)          (100)
     Non-interest income                                3,018          2,177
     Non-interest expense                               4,131          3,158
     Net income (loss) before income taxes              1,338          1,142
     Income tax (benefit) provision                       388            348
     Net (loss) income                                   $950           $794
 
     Basic earnings per common share                    $0.36          $0.31
     Diluted earnings per share                         $0.34          $0.30
     Book value per share                               $7.81          $6.39
     Return on average assets                            0.9%           1.0%
     Return on average equity                           19.5%          19.8%
 
 
     Average basic common shares issued             2,616,543      2,555,213
     Average diluted common issued                  2,800,120      2,690,696
     Dividends declared per common share                $0.12          $0.10
     Net overhead ratio                                  1.1%           1.2%
     Financial Margin (FTE)                              2.7%           2.9%
     Non earning assets (non-accruals
      and other real estate owned
                                                         $734           $679
     Loan loss allowance to gross loans                  1.3%           1.1%
 
                        RESOURCE BANKSHARES CORPORATION
                     CONDENSED CONSOLIDATED BALANCE SHEETS
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                              March 31
 
                       ASSETS
                                                       2001           2000
 
     Cash and cash equivalents                         $8,866        $12,614
     Securities held to maturity                       63,393         29,039
     Securities available for sale                     21,626          6,364
     Funds advanced in settlement of mortgage loans    42,406         14,412
     Loans receivable, net                            291,731        253,965
     Real estate owned                                      0             31
     Other assets                                      15,819         12,639
       Total assets                                  $443,841       $329,064
 
     LIABILITIES AND STOCKHOLDERS= EQUITY
 
     LIABILITIES:
     Deposits                                        $375,472       $283,653
     Federal Funds purchased                            3,000
     Advances from Federal Home Loan Bank              30,300         16,300
     Capital Trust borrowings                           9,200          9,200
     Other liabilities                                  5,457          3,589
       Total liabilities                              423,429        312,742
 
     STOCKHOLDERS' EQUITY
 
     Common stock, $1.50 par value, authorized
     6,666,666 shares, issued and outstanding:
     2001 - 2,615,214; 2000 - 2,555,579                 3,923          3,833
 
     Additional paid in capital                        10,900         10,604
     Retained earnings                                  5,639          2,145
     Net unrealized (depreciation) appreciation
     on securities available for sale, net of
     income taxes                                         (50)          (260)
 
     Total stockholders' equity                        20,412         16,322
 
     Total liabilities and stockholders' equity      $443,841       $329,064
 
 
                        RESOURCE BANKSHARES CORPORATION
                                  (unaudited)
 
                                                      For the period ending
                                                             March 31
                                                      2001           2000
     ASSET QUALITY
 
     Non accrual loans                               $733,647       $647,573
     Loans 90 days past due                          $306,159         $9,639
     Other real estate owned                               $0        $31,370
     Non performing assets/loans and
      funds advanced                                    0.22%          0.27%
     Net charge-offs                               ($176,418)      ($23,883)
     Net charge-off ratio (annualized)                 -0.24%         -0.04%
 
     MORTGAGE BANKING GROUP
 
     Loan closings                               $121,381,000    $70,929,100
     Mortgage banking income                       $2,611,063     $1,587,105
     Mortgage banking expense                      $2,181,577     $1,456,397
     Pre-tax income                                  $429,486       $130,708
     Number of employees                                  181             85
 
     OPERATING BANKING RATIO
 
     Bank only
     Efficiency ratio                                   59.50%         51.30%
     Net overhead margin                                 1.43%          1.24%
     Financial margin (T.E.)                             2.89%          3.27%
     Number of employees                                   99            111
 
 
     Bank and Mortgage Group
 
     Efficiency ratio                                   71.78%         71.80%
     Net overhead ratio                                  1.06%          1.17%
     Number of employees                                  280            196
 
 SOURCE  Resource Bankshares Corporation