The National Capital Bank of Washington Reports Second Quarter Earnings

WASHINGTON, July 26, 2016 /PRNewswire/ -- The National Capital Bank of Washington reported net income of $1,310,000, or $4.55 per common share, for the three months ended June 30, 2016, compared to $782,000, or $2.72 per common share, for the three months ended June 30, 2015.  For the six months ended June 30, 2016, net income was $3,128,000, or $10.87 per common share, compared to $1,148,000, or $3.99 per common share, for the six months ended June 30, 2015.  The Bank continues to benefit from the $2.5 million worth of loan recoveries received so far in 2016 from loans previously charged-off in 2012 through 2014.

Total assets were $409,193,000 as of June 30, 2016 compared to $426,763,000 as of June 30, 2015.  At the end of the second quarter of 2016, total loans were $213,559,000 compared to $230,060,000 the year before.  Total deposits were $353,916,000 at June 30, 2016 compared to $381,044,000 the year before.  The decline in total loans was from the strategic run-off in its 30-year fixed-rate residential mortgage loan portfolio as the Bank restructures its balance sheet for future loan growth and diversification.

Total shareholder's equity increased to $42,614,000 at June 30, 2016 from $32,415,000 a year ago.  The increase resulted from core earnings and the benefit from $5.9 million of loan recoveries during the last 12 months.  At June 30, 2016 the return on average assets and return on average equity was 1.52% and 15.53%, respectively.  No cash dividends were declared in the second quarter of 2016.

Richard B. (Randy) Anderson, Jr. President and Chief Executive Officer said, "I am pleased to report that the company has continued to experience positive profit momentum driven by improved core earnings and successes in loan recovery efforts. The second half of the year will be focused on regaining loan growth particularly in the commercial sector."

To assist in this effort, Mr. Anderson announced that Renee Aldrich has joined the Bank as Senior Vice President and Senior Commercial Lender.  Ms. Aldrich is a seasoned banker with 14 years of lending experience to businesses and non-profit organizations in the region.  She will focus on developing new business and growing the Bank's loan portfolio in the commercial and commercial real estate sectors.

The National Capital Bank of Washington is the oldest bank in the District of Columbia having been founded in 1889.  The Bank operates from its main office on Capitol Hill and a branch office in Friendship Heights.  To learn more about the Bank, please visit www.NationalCapitalBank.com or call 202-546-8000.

Forward Looking Statements

This news release may contain certain forward-looking statements, such as statements of the Bank's plans, objectives, expectations, estimates and intentions.  Forward-looking statements may be identified by the use of words such as "expects," "subject," "will," "intends," "will be" or "would,"  These statements are subject to change based on various important factors (some of which are beyond the Bank's control) and actual results may differ materially.  Accordingly, readers should not place undue reliance on any forward-looking statements (which reflect management's analysis of factors only as of the date of which they are given).  These factors include general economic conditions, trends in interest rates, the ability of the Bank to effectively manage its growth and results of regulatory examinations, among other factors.  The foregoing list of important factors is not exclusive.

SOURCE The National Capital Bank of Washington

Related Links

http://www.NationalCapitalBank.com