1ST Constitution Bancorp Reports Strong Fourth Quarter and Annual Results for the Year Ended December 31, 2012
CRANBURY, NJ -- (Marketwire) -- 01/29/13 --
1ST Constitution Bancorp (NASDAQ: FCCY), the holding company for 1ST Constitution Bank, reported net income for the fourth quarter of 2012 of $1.2 million, or $0.20 per diluted share, compared to net income for the fourth quarter of 2011 of $1.1 million, or $0.21 per diluted share. During the fourth quarter of 2012, the Company concluded a rights offering to existing shareholders, which resulted in the issuance of 555,555 new shares of common stock and raised approximately $4.8 million of additional equity capital.
Net income for the year ended December 31, 2012 was $5.1 million, or $0.90 per diluted share, compared to $3.9 million, or $0.74 per diluted share, for the year ended December 31, 2011. All per share amounts have been adjusted to give effect to a five percent stock dividend declared December 20, 2012, payable on January 31, 2013, to shareholders of record as of the close of business on January 14, 2013.
Net income, when compared to the same periods in 2011, increased by $142 thousand, or 12.9 percent, for the quarter ended December 31, 2012, and by $1.1 million, or 28.7 percent, for the year ended December 31, 2012. At December 31, 2012, the Company's tangible book value per common share was $10.02.
Robert F. Mangano, President and Chief Executive Officer, said, "The increase in net income for the year ended December 31, 2012 was principally the result of an increase in net interest income and non-interest income, partially offset by increased non-interest expense on a comparative basis commensurate with the growth of the Company."
Net interest income was $27.7 million for the year ended December 31, 2012, which was 20.0 percent above the $23.1 million reported for the year ended December 31, 2011. Earnings for the year ended December 31, 2012 were bolstered by the continued generation of non-interest income, which totaled $5.3 million for the year. On a comparative basis, non-interest income for the year ended December 31, 2012 was up by $751 thousand, or 16.6 percent, when compared to results for the 2011 year.
The provision for loan losses for the year ended December 31, 2012 totaled $2.1 million, compared to $2.6 million for the year ended December 31, 2011. Net charge-offs for the year ended December 31, 2012 were $533 thousand, compared to net charge-offs of $2.8 million for the year ended December 31, 2011.
At December 31, 2012, the allowance for loan losses was $7.2 million, or 1.37 percent of total loans, compared to $5.5 million, or 1.16 percent of total loans at December 31, 2011. Non-performing assets at December 31, 2012 were $14.3 million, compared to non-performing assets of $15.4 million at December 31, 2011. Non-performing assets at December 31, 2012 included non-performing loans of $5.9 million and other real estate owned of $8.3 million; comparable amounts at December 31, 2011 were non-performing loans of $3.0 million and other real estate owned of $12.4 million, respectively.
Regulatory capital ratios continue to reflect a strong capital position. The Company's total risk-based capital, Tier 1 capital, and leverage capital ratios were 12.98 percent, 11.84 percent, and 9.23 percent, respectively at December 31, 2012.
At December 31, 2012, total assets were $841.0 million, an increase of $49.3 million from total assets at December 31, 2011 of $791.7 million. Deposits at December 31, 2012 were $707.7 million, up from $623.9 million in deposits at December 31, 2011.
1ST Constitution Bancorp, through its primary subsidiary, 1ST Constitution Bank, operates fourteen branch banking offices in Cranbury (2), Fort Lee, Hamilton, Hightstown, Hillsborough, Hopewell, Jamesburg, Lawrenceville, Perth Amboy, Plainsboro, Rocky Hill, West Windsor and Princeton, New Jersey.
1ST Constitution Bancorp is traded on the Nasdaq Global Market under the trading symbol "FCCY" and can be accessed through the Internet at www.1STCONSTITUTION.com
The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management's confidence and strategies and management's expectations about new and existing programs and products, relationships, opportunities, taxation, technology and market conditions. These statements may be identified by such forward-looking terminology as "expect," "look," "believe," "anticipate," "may," "will," or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, changes in the direction of the economy in New Jersey, the direction of interest rates, effective income tax rates, loan prepayment assumptions, continued levels of loan quality and origination volume, continued relationships with major customers including sources for loans, a higher level of net loan charge-offs and delinquencies than anticipated, bank regulatory rules, regulations or policies that restrict or direct certain actions, the adoption, interpretation and implementation of new or pre-existing accounting pronouncements, a change in legal and regulatory barriers including issues related to compliance with anti-money laundering and bank secrecy act laws, as well as the effects of general economic conditions and legal and regulatory barriers and structure. 1ST Constitution Bancorp assumes no obligation for updating any such forward-looking statements at any time, except as required by law.
1st Constitution Bancorp
Selected Consolidated Financial Data
(Unaudited)
($ in thousands except
per share amounts) Three Months Ended Twelve Months Ended
December 31, December 31,
2012 2011 2012 2011
---------- ---------- ------------ ------------
Income Statement Data :
Interest income $ 8,409 $ 8,363 $ 32,837 $ 29,857
Interest expense 1,226 1,517 5,151 6,787
---------- ---------- ------------ ------------
Net interest income 7,183 6,846 27,686 23,070
Provision for loan
losses 500 1,275 2,150 2,558
---------- ---------- ------------ ------------
Net interest income
after prov.for loan
losses 6,683 5,571 25,536 20,512
Non-interest income 1,598 1,122 5,267 4,516
Non-interest expenses 6,601 5,230 23,771 19,806
---------- ---------- ------------ ------------
Income before income
taxes 1,680 1,463 7,032 5,222
Income tax expense 439 364 1,972 1,291
---------- ---------- ------------ ------------
Net income $ 1,241 $ 1,099 $ 5,060 $ 3,931
========== ========== ============ ============
Per Common Share Data
(a) :
Earnings per common
share - Basic $ 0.21 $ 0.21 $ 0.92 $ 0.74
Earnings per common
share - Diluted $ 0.20 $ 0.21 $ 0.90 $ 0.74
Tangible book value
per common share $ 10.02 $ 9.73
Average common shares
outstanding :
Basic 5,959,995 5,320,181 5,511,114 5,302,287
Diluted 6,073,113 5,337,381 5,607,103 5,341,254
(a) Includes the
effect of the 5%
stock dividend
payable January 31,
2013
Performance Ratios :
Return on average
assets 0.61% 0.57% 0.65% 0.54%
Return on average
equity 7.70% 8.04% 8.63% 7.60%
Net interest margin
(tax-equivalent
basis) 3.94% 3.90% 3.98% 3.55%
Efficiency ratio 75.2% 65.6% 72.1% 71.8%
December 31, December 31,
2012 2011
------------ ------------
Balance Sheet Data:
Total Assets $ 840,968 $ 791,727
Investment securities 225,869 236,158
Loans 521,814 475,432
Loans held for sale 35,960 19,234
Allowance for loan
losses (7,151) (5,534)
Goodwill and other
intangible assets 5,158 5,426
Deposits 707,689 623,862
Shareholders' equity 65,054 55,000
Asset Quality Data :
Loans past due over
90 days and still
accruing $ 85 $ 0
Nonaccrual loans 5,879 2,992
OREO property 8,333 12,409
------------ ------------
Total non-performing
assets 14,297 15,401
Net charge-offs
(recoveries) 533 2,787
Allowance for loan
losses to total loans 1.37% 1.16%
Nonperforming loans to
total loans 1.14% 0.63%
Nonperforming assets
to total assets 1.70% 1.95%
Capital Ratios :
1st Constitution
Bancorp
Tier 1 capital to
average assets 9.23% 8.82%
Tier 1 capital to
risk weighted
assets 11.84% 11.27%
Total capital to
risk weighted
assets 12.98% 12.22%
1st Constitution Bank
Tier 1 capital to
average assets 9.05% 8.49%
Tier 1 capital to
risk weighted
assets 11.43% 10.79%
Total capital to
risk weighted
assets 12.57% 11.73%
CONTACT:
Robert F. Mangano
President & Chief Executive Officer
(609) 655-4500
Joseph M. Reardon
Sr. Vice President & Treasurer
(609) 655-4500
Press Release $FCCY 1st Constitution Bancorp
CRANBURY, NJ -- (Marketwire) -- 01/29/13 -- 1ST Constitution Bancorp (NASDAQ: FCCY), the holding company for 1ST Constitution Bank, reported net income for the fourth quarter of 2012 of $1.2 million, or $0.20 per diluted share, compared to net income for the fourth quarter of 2011 of $1.1 million, or $0.21 per diluted share. During the fourth quarter of 2012, the Company concluded a rights offering to existing shareholders, which resulted in the issuance of 555,555 new shares of common stock and raised approximately $4.8 million of additional equity capital.
Net income for the year ended December 31, 2012 was $5.1 million, or $0.90 per diluted share, compared to $3.9 million, or $0.74 per diluted share, for the year ended December 31, 2011. All per share amounts have been adjusted to give effect to a five percent stock dividend declared December 20, 2012, payable on January 31, 2013, to shareholders of record as of the close of business on January 14, 2013.
Net income, when compared to the same periods in 2011, increased by $142 thousand, or 12.9 percent, for the quarter ended December 31, 2012, and by $1.1 million, or 28.7 percent, for the year ended December 31, 2012. At December 31, 2012, the Company's tangible book value per common share was $10.02.
Robert F. Mangano, President and Chief Executive Officer, said, "The increase in net income for the year ended December 31, 2012 was principally the result of an increase in net interest income and non-interest income, partially offset by increased non-interest expense on a comparative basis commensurate with the growth of the Company."
Net interest income was $27.7 million for the year ended December 31, 2012, which was 20.0 percent above the $23.1 million reported for the year ended December 31, 2011. Earnings for the year ended December 31, 2012 were bolstered by the continued generation of non-interest income, which totaled $5.3 million for the year. On a comparative basis, non-interest income for the year ended December 31, 2012 was up by $751 thousand, or 16.6 percent, when compared to results for the 2011 year.
The provision for loan losses for the year ended December 31, 2012 totaled $2.1 million, compared to $2.6 million for the year ended December 31, 2011. Net charge-offs for the year ended December 31, 2012 were $533 thousand, compared to net charge-offs of $2.8 million for the year ended December 31, 2011.
At December 31, 2012, the allowance for loan losses was $7.2 million, or 1.37 percent of total loans, compared to $5.5 million, or 1.16 percent of total loans at December 31, 2011. Non-performing assets at December 31, 2012 were $14.3 million, compared to non-performing assets of $15.4 million at December 31, 2011. Non-performing assets at December 31, 2012 included non-performing loans of $5.9 million and other real estate owned of $8.3 million; comparable amounts at December 31, 2011 were non-performing loans of $3.0 million and other real estate owned of $12.4 million, respectively.
Regulatory capital ratios continue to reflect a strong capital position. The Company's total risk-based capital, Tier 1 capital, and leverage capital ratios were 12.98 percent, 11.84 percent, and 9.23 percent, respectively at December 31, 2012.
At December 31, 2012, total assets were $841.0 million, an increase of $49.3 million from total assets at December 31, 2011 of $791.7 million. Deposits at December 31, 2012 were $707.7 million, up from $623.9 million in deposits at December 31, 2011.
1ST Constitution Bancorp, through its primary subsidiary, 1ST Constitution Bank, operates fourteen branch banking offices in Cranbury (2), Fort Lee, Hamilton, Hightstown, Hillsborough, Hopewell, Jamesburg, Lawrenceville, Perth Amboy, Plainsboro, Rocky Hill, West Windsor and Princeton, New Jersey.
1ST Constitution Bancorp is traded on the Nasdaq Global Market under the trading symbol "FCCY" and can be accessed through the Internet at www.1STCONSTITUTION.com
The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management's confidence and strategies and management's expectations about new and existing programs and products, relationships, opportunities, taxation, technology and market conditions. These statements may be identified by such forward-looking terminology as "expect," "look," "believe," "anticipate," "may," "will," or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, changes in the direction of the economy in New Jersey, the direction of interest rates, effective income tax rates, loan prepayment assumptions, continued levels of loan quality and origination volume, continued relationships with major customers including sources for loans, a higher level of net loan charge-offs and delinquencies than anticipated, bank regulatory rules, regulations or policies that restrict or direct certain actions, the adoption, interpretation and implementation of new or pre-existing accounting pronouncements, a change in legal and regulatory barriers including issues related to compliance with anti-money laundering and bank secrecy act laws, as well as the effects of general economic conditions and legal and regulatory barriers and structure. 1ST Constitution Bancorp assumes no obligation for updating any such forward-looking statements at any time, except as required by law.
1st Constitution Bancorp Selected Consolidated Financial Data (Unaudited) ($ in thousands except per share amounts) Three Months Ended Twelve Months Ended December 31, December 31, 2012 2011 2012 2011 ---------- ---------- ------------ ------------ Income Statement Data : Interest income $ 8,409 $ 8,363 $ 32,837 $ 29,857 Interest expense 1,226 1,517 5,151 6,787 ---------- ---------- ------------ ------------ Net interest income 7,183 6,846 27,686 23,070 Provision for loan losses 500 1,275 2,150 2,558 ---------- ---------- ------------ ------------ Net interest income after prov.for loan losses 6,683 5,571 25,536 20,512 Non-interest income 1,598 1,122 5,267 4,516 Non-interest expenses 6,601 5,230 23,771 19,806 ---------- ---------- ------------ ------------ Income before income taxes 1,680 1,463 7,032 5,222 Income tax expense 439 364 1,972 1,291 ---------- ---------- ------------ ------------ Net income $ 1,241 $ 1,099 $ 5,060 $ 3,931 ========== ========== ============ ============ Per Common Share Data (a) : Earnings per common share - Basic $ 0.21 $ 0.21 $ 0.92 $ 0.74 Earnings per common share - Diluted $ 0.20 $ 0.21 $ 0.90 $ 0.74 Tangible book value per common share $ 10.02 $ 9.73 Average common shares outstanding : Basic 5,959,995 5,320,181 5,511,114 5,302,287 Diluted 6,073,113 5,337,381 5,607,103 5,341,254 (a) Includes the effect of the 5% stock dividend payable January 31, 2013 Performance Ratios : Return on average assets 0.61% 0.57% 0.65% 0.54% Return on average equity 7.70% 8.04% 8.63% 7.60% Net interest margin (tax-equivalent basis) 3.94% 3.90% 3.98% 3.55% Efficiency ratio 75.2% 65.6% 72.1% 71.8% December 31, December 31, 2012 2011 ------------ ------------ Balance Sheet Data: Total Assets $ 840,968 $ 791,727 Investment securities 225,869 236,158 Loans 521,814 475,432 Loans held for sale 35,960 19,234 Allowance for loan losses (7,151) (5,534) Goodwill and other intangible assets 5,158 5,426 Deposits 707,689 623,862 Shareholders' equity 65,054 55,000 Asset Quality Data : Loans past due over 90 days and still accruing $ 85 $ 0 Nonaccrual loans 5,879 2,992 OREO property 8,333 12,409 ------------ ------------ Total non-performing assets 14,297 15,401 Net charge-offs (recoveries) 533 2,787 Allowance for loan losses to total loans 1.37% 1.16% Nonperforming loans to total loans 1.14% 0.63% Nonperforming assets to total assets 1.70% 1.95% Capital Ratios : 1st Constitution Bancorp Tier 1 capital to average assets 9.23% 8.82% Tier 1 capital to risk weighted assets 11.84% 11.27% Total capital to risk weighted assets 12.98% 12.22% 1st Constitution Bank Tier 1 capital to average assets 9.05% 8.49% Tier 1 capital to risk weighted assets 11.43% 10.79% Total capital to risk weighted assets 12.57% 11.73%Source: 1ST Constitution Bancorp