York Traditions Bank Reports 3rd Quarter Earnings

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Oct 17, 2014, 01:21 ET

YORK, Pa., Oct. 17, 2014 /PRNewswire/ -- York Traditions Bank (OTC Pink: YRKB) reported net income available to common shareholders of $608,000, or 28 cents per share, for the third quarter ended September 30, 2014, compared to $383,000, or 18 cents per share, for the third quarter ended September 30, 2013. This represents a $225,000 or 59% increase. Net income available to common shareholders for the nine months ended September 30, 2014 was $1,519,000, or 70 cents per share, compared to $1,422,000, or 66 cents per share, for the same period last year. Book value per common share stood at $12.46 at September 30, 2014, which is an increase of 89 cents per share over the last twelve months.

"We are pleased with our continued loan growth, strengthening real estate market, and strong credit quality," stated Michael E. Kochenour, Chairman, President and Chief Executive Officer. "This has translated into higher net interest income, increased gains on sale of mortgages, and a lower provision for loan losses. In addition, we have now surpassed $300 million in assets, we improved our net interest margin, we have had no loan charge-offs in 2014, and we remain well capitalized."

York Traditions Bank will celebrate its twelfth anniversary and open its fifth York County branch office at 361 Eisenhower Drive, Hanover, PA, later this month. For more information about York Traditions Bank, visit www.yorktraditionsbank.com

FINANCIAL HIGHLIGHTS (unaudited): (Dollars in thousands, except per share data)
Selected Financial Data		Sept 30, 2014		Dec 31, 2013		Sept 30, 2013
Investment securities	$	36,515	$	39,203	$	40,444
Loans, net of unearned income		239,320		220,842		217,817
Total assets		302,182		284,499		285,376
Deposits		237,688		244,971		236,549
Borrowings		31,251		7,750		17,877
Shareholders' equity		32,316		30,421		30,098
Book value per common share	$	12.46	$	11.76	$	11.57
Allowance/loans		1.05%		1.04%		1.09%
Non-performing assets/total assets		0.80%		0.81%		0.85%
Tier 1 capital/average assets		10.84%		10.84%		10.63%

			Three months ended Sept 30,			Nine months ended Sept 30,
Selected Operations Data		2014		2013		2014		2013
Interest income	$	3,035	$	2,880	$	8,852	$	8,529
Interest expense		(495)		(496)		(1,431)		(1,544)
Net interest income		2,540		2,384		7,421		6,985
Provision for loan losses		(60)		(121)		(196)		(451)
Investment securities gains		6		-		12		63
Gains on sale of mortgages		583		360		1,461		1,340
Other income		249		226		711		672
Other expense		(2,426)		(2,279)		(7,170)		(6,502)
Income before income taxes		892		570		2,239		2,107
Income taxes		(271)		(175)		(681)		(647)
Net income		621		395		1,558		1,460
Preferred stock dividends		(13)		(12)		(39)		(38)
Net income available to common shareholders	$	608	$	383	$	1,519	$	1,422
Earnings per common share (basic)	$	0.28	$	0.18	$	0.70	$	0.66
Return on average assets		0.83%		0.56%		0.72%		0.71%
Return on average equity		7.87%		5.33%		6.76%		6.74%
Net interest margin		3.62%		3.54%		3.62%		3.57%
Net charge-offs(recoveries)/average loans		0.00%		0.57%		0.00%		0.19%

Safe Harbor Statement:
Except for historical information contained herein, the matters discussed in this release are forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainty. Because of these risks and uncertainties, our actual future results may be materially different from the results indicated by these forward looking statements. In addition, our past results of operations do not necessarily indicate our future results. We undertake no obligation to publicly update or otherwise revise any forward looking statements, whether as a result of new information, future events or otherwise.

SOURCE York Traditions Bank