The Bank of Princeton Announces Fourth Quarter and Full-Year 2015 Results

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Jan 29, 2016, 04:17 ET

PRINCETON, N.J., Jan. 29, 2016 /PRNewswire/ -- The Bank of Princeton (the "Bank") today announced unaudited results of operations and financial condition for the three and twelve months ended December 31, 2015.

"The bank continues to perform well, as evidenced by another year of solid earnings. Additionally, we are proud to have surpassed $1 billion in total assets during 2015," said Edward Dietzler, the Bank's President.

As of December 31, 2015, the Bank's total assets increased to $1.0 billion, an increase of $58.1 million, or six percent, from December 31, 2014. The increase in total assets was primarily the result of the continued growth of the Bank's loan portfolio, which, net of an allowance for losses, increased $74.0 million, or ten percent, from December 31, 2014. The increase in loans was partially offset by a decrease in investment securities.

Full-year 2015 net income was $11.0 million, an increase of $2.0 million, or 22 percent, from full-year 2014 net income. Basic earnings per common share were $2.38, an increase of $0.41 per share from 2014. Diluted earnings per common share were $2.30, an increase of $0.38 per share from 2014. Net interest income increased $3.0 million, or nine percent, from 2014. Non-interest expense decreased $0.3 million, or two percent, from 2014. Book value per share was $19.51 at December 31, 2015, an increase of $2.38 per share, or 14 percent, from December 31, 2014.

For the three months ended December 31, 2015, net income was $2.7 million, a slight increase from the corresponding period in 2014. Basic earnings per common share were $0.58, unchanged from the corresponding period in 2014. Diluted earnings per common share were $0.56 for the three months ended December 31, 2014, also unchanged from the corresponding period in 2014. Net interest income increased $0.7 million for the three months ended December 31, 2015 compared to the same period of the prior year. This increase was offset by a $0.1 million decrease in non-interest income and a $0.1 million increase in non-interest expense compared to the same period of the prior year.

Richard Gillespie, the Bank's chairman, commented that, "Our continued dynamic growth, in both assets and earnings, is a tribute to our outstanding team of community bankers. It is why we have been recognized as one of the top community banks in the country."

About The Bank of Princeton
The Bank of Princeton is a community bank founded in 2007. The Bank is a New Jersey state-chartered commercial bank with ten branches in New Jersey, including three in Princeton and others in Hamilton, Pennington, Montgomery, Monroe, Lambertville, Lawrenceville, and New Brunswick. There are also three branches in the Philadelphia, Pennsylvania area, operating as MoreBank, a division of The Bank of Princeton. The Bank of Princeton is a member of the Federal Deposit Insurance Corporation ("FDIC").

Forward-Looking Statements
The Bank of Princeton may from time to time make written or oral "forward-looking statements," including statements contained in the Bank's filings with the FDIC, in its reports to stockholders and in other communications by the Bank (including this press release), which are made in good faith by the Bank pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended.

These forward-looking statements involve risks and uncertainties, such as statements of the Bank's plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Bank's control). The following factors, among others, could cause the Bank's financial performance to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements: the strength of the United States economy in general and the strength of the local economies in which the Bank conducts operations; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; inflation, interest rate, market and monetary fluctuations; market volatility; the value of the Bank's products and services as perceived by actual and prospective customers, including the features, pricing and quality compared to competitors' products and services; the willingness of customers to substitute competitors' products and services for the Bank's products and services; credit risk associated with the Bank's lending activities; risks relating to the real estate market and the Bank's real estate collateral; the impact of changes in applicable laws and regulations and requirements arising out of our supervision by banking regulators; other regulatory requirements applicable to the Bank; technological changes; acquisitions; changes in consumer spending and saving habits; and the success of the Bank at managing the risks involved in the foregoing.

The Bank cautions that the foregoing list of important factors is not exclusive. The Bank does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Bank, except as required by applicable law or regulation.

The Bank of Princeton
Summary Statements of Financial Condition Data
(unaudited)
(dollars in thousands, except per share data)

	December 31, 2015	December 31, 2014	$ Change	% Change

ASSETS
Cash and cash equivalents	$ 28,589	$ 31,872	$ (3,283)	-10%
Investment securities	141,890	164,220	(22,330)	-14%
Loans receivable, net of allowance for loan losses of $10,851 and $10,008 at December 31, 2015 and 2014, respectively	797,095	723,131	73,964	10%
Other assets	45,748	36,039	9,709	27%
TOTAL ASSETS	$ 1,013,322	$ 955,262	$ 58,060	6%

LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES
Total deposits	$ 789,433	$ 847,857	$ (58,424)	-7%
Borrowings	128,800	24,300	104,500	430%
Other liabilities	3,645	4,603	(958)	-21%
TOTAL LIABILITIES	921,878	876,760	45,118	5%

TOTAL STOCKHOLDERS' EQUITY	91,444	78,502	12,942	16%
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 1,013,322	$ 955,262	$ 58,060	6%

Book value per common share	$ 19.51	$ 17.13	$ 2.38	14%

The Bank of Princeton
Summary Statement of Operations Data
(unaudited)
(dollars in thousands, except per share data)

	Year Ended
	December 31, 2015	December 31, 2014	$ Change	% Change
Interest income	$ 43,221	$ 40,567	$ 2,654	7%
Interest expense	6,837	7,157	(320)	-4%
Net interest income	36,384	33,410	2,974	9%
Provision for loan losses	1,904	1,580	324	21%
Net interest income after provision	34,480	31,830	2,650	8%
Non-interest income	2,287	2,746	(459)	-17%
Non-interest expense	22,060	22,407	(347)	-2%
Income before income taxes	14,707	12,169	2,538	21%
Income taxes	3,702	3,168	534	17%
Net income	$ 11,005	$ 9,001	$ 2,004	22%

Earnings per common share - Basic	$ 2.38	$ 1.97	$ 0.41	21%
Earnings per common share - Diluted	$ 2.30	$ 1.92	$ 0.38	20%

The Bank of Princeton
Summary Statement of Operations Data
(unaudited)
(dollars in thousands, except per share data)

	Three Months Ended
	December 31, 2015	December 31, 2014	$ Change	% Change
Interest income	$ 11,218	$ 10,590	$ 628	6%
Interest expense	1,698	1,814	(116)	-6%
Net interest income	9,520	8,776	744	8%
Provision for loan losses	871	597	274	46%
Net interest income after provision	8,649	8,179	470	6%
Non-interest income	739	853	(114)	-13%
Non-interest expense	5,716	5,653	63	1%
Income before income taxes	3,672	3,379	293	9%
Income taxes	938	744	194	26%
Net income	$ 2,734	$ 2,635	$ 99	4%

Earnings per common share - Basic	$ 0.58	$ 0.58	$ -	0%
Earnings per common share - Diluted	$ 0.56	$ 0.56	$ -	0%