Rumson-Fair Haven Bank & Trust Company Announces Second Quarter 2013 Results
Rumson-Fair Haven Bank & Trust (OTCBB: RFHB) reported net income of $160 thousand, or $.05 per diluted share, for the quarter ended June 30, 2013, as compared to $165 thousand, or $.05 per diluted share, for the same period in 2012. For the six months ended June 30, 2013, the Company reported net income of $425 thousand, or $.13 per diluted share, an increase of $110 thousand, or 34.9%, from $315 thousand, or $.10 per diluted share, reported for the same period in 2012.
The Bank’s loan portfolio has grown approximately $27 million, or 25.6%, to $132.3 million from $105.3 when compared to June 30, 2012. Total assets at June 30, 2013 were $214.1 million.
Joseph Castelluci, President and Chief Executive Officer, stated, “We are continuing to build earnings momentum as a result of strong loan growth in both our commercial and residential loan divisions, notwithstanding the challenging environment. Our ability to significantly increase our earning assets, while reducing the cost of interest bearing liabilities, have resulted in an increase in net interest margin to 3.02%, as compared to 2.69% at June 30, 2012. We are proud to report the highest loan portfolio level in the history of the Company at $132.3 million as of June 30, 2013. Most importantly, we have been able to achieve this loan growth without sacrificing credit risk or significant margin compression. Our asset quality remains strong. With our robust loan pipelines, we believe we are well positioned to increase this momentum into the third quarter of 2013. The continued improvement in our operating performance demonstrates our steadfast commitment to grow the Company for the benefit of our loyal shareholders”.
Net interest income increased for the six months ended June 30, 2013 to $2.9 million, which is an increase of $191 thousand or 6.95%, from $2.7 million for the six months ended June 30, 2012. Net interest income for the three months ended June 30, 2013 and 2012 was $1.5 million and $1.4 million, respectively. The yield on average interest-earning assets increased by 27 basis points to 3.63% from 3.36% and the cost of average interestbearing liabilities decreased by 10 basis points to 86 basis points from 96 basis points for the second quarters ended June 30, 2013 and June 30, 2012, respectively.
At June 30, 2013, non-performing loans amounted to $636 thousand as compared with $1.0 million at June 30, 2012. The ALLL is 1.26% of total loans.
Stockholders’ equity increased by $1.5 million or 8.80% to $18.8 million at June 30, 2013 from $17.3 million at June 30, 2012. Tangible book value amounted to $5.80 per share.
Statements about the future expectations of the Bank are forward-looking statements: Since these statements involve risks and uncertainties and are subject to change at any time, the Bank’s actual results could differ materially from expected results. Among these risks, trends and uncertainties are the effect of governmental regulation on the Bank, the availability of working capital, the cost of personnel, and the competitive market in which the Bank operates.
CONTACT: Gayle S. Hoffman, Senior Vice President and Chief Financial Officer, (732) 933-4445.