TOMS RIVER, N.J., Oct. 28 /PRNewswire-FirstCall/ -- Shore Community Bank (OTC Bulletin Board: SHRC) (the "Bank") today reported net income of $212,860 or $0.12 per diluted share for the quarter ended September 30, 2010, as compared to net income of $63,049, or $0.04 per diluted share for the three months ended September 30, 2009.
For the nine months ended September 30, 2010, the Bank reported net income of $503,178, or $0.29 per diluted share, as compared to a net income of $37,999, or $0.02 per diluted share for the nine months ended September 30, 2009.
Total assets grew to $221.4 million at September 30, 2010 from $214.1 million at December 31, 2009 and $220.1 million at September 30, 2009. Total loans declined to $123.2 million at September 30, 2010, as compared to $138.7 million at December 31, 2009 and $143.9 million at September 30, 2009. Total deposits were $183.7 million at September 30, 2010, as compared to $178.1 million at December 31, 2009 and $184.0 million at September 30, 2009.
The provision for loan losses totaled $225 thousand for the three months ended September 30, 2010, as compared to $450 thousand for the same period in 2009. Net loan charge-offs totaled $138 thousand in the third quarter as compared to $896 thousand in the same period last year. For the nine months ended September 30, 2010, the provision for loan losses totaled $1.0 million as compared to $1.2 million in the nine month period ended September 30, 2009. Net loan charge-offs for the nine months ended September 30, 2010, totaled $752 thousand as compared to $1.5 million in the nine months ended September 30, 2009.
The allowance for loan losses as a percentage of period end loans was 1.87% at September 30, 2010, as compared to 1.48% at December 31, 2009 and 1.31% at September 30, 2009.
Non-performing assets, which includes non-performing loans and other real estate owned, declined to $8.8 million at September 30, 2010 from $10.0 million at December 31, 2009 and $9.9 million at September 30, 2009.
Commenting on the results, President and Chief Executive Officer Robert T. English stated, "We are pleased to report the significant improvement in the third quarter and year-to-date earnings from last year's levels while also achieving a reduction in non-performing assets. We are cautiously optimistic that the peak in non-performing assets occurred in the first quarter of 2010 when they reached a level of $10.6 million. We recognize however, that many of our borrowers operate seasonal businesses and as the fall and winter seasons approach, some will undoubtedly struggle financially as the economy remains extremely weak on the heels of the recent recession." English stated further, "Bank management and staff recognize that we have a considerable amount of work ahead of us to achieve our goal of significantly reducing problem assets. It is noteworthy that we have accomplished a 17% reduction in non-performing assets compared to the first quarter of 2010."
The Bank remains well capitalized with a Tier 1 leverage ratio of 8.34%, a Tier 1 risk based capital ratio of 14.45% and a total risk based capital ratio of 15.72% at September 30, 2010.
Book value per share at September 30, 2010 was $11.63, as compared to $10.72 at December 31, 2009 based on 1.7 million shares outstanding in each period.
Shore Community Bank is traded on the OTCBB (Over the Counter Bulletin Board) under the symbol "SHRC."
Shore Community Bank operates six banking offices located in Toms River, Ortley Beach, Jackson and Manahawkin, New Jersey. The Bank was founded in 1997 by a group of local business leaders with the objective of returning community based banking to the Toms River, Ocean County, New Jersey area.
Information in this release relating to Shore Community Bank's future prospects which are forward-looking statements involve risks and uncertainties that could cause actual results to differ materially, including, but not limited to, the following: (1) operating, legal and regulatory risks, such as continued levels of loan quality and origination volume, continued relationships with major customers and technological changes; (2) economic, political and competitive forces affecting our banking business, such as changes in economic conditions, especially in our market area, interest rate fluctuations, competitive product and pricing pressures within our market, personal and corporate bankruptcies, monetary policy and inflation; (3) our ability to grow internally or through acquisitions; and (4) the risk that management's analyses of these risks and forces could be incorrect and/or that the strategies developed to address them could be unsuccessful. Forward-looking statements may be identified by the use of words such as "expects," "believe," "will," "intends," "will be," or "would." Shore Community Bank assumes no obligation to update the forward looking information in this announcement, except as required under applicable law.
SOURCE Shore Community Bank