Attached files
file | filename |
---|---|
8-K - FORM 8-K - PARKVALE FINANCIAL CORP | l41753e8vk.htm |
Exhibit 99.1
FOR IMMEDIATE RELEASE | January 28, 2011 |
Parkvale Financial Corporation, Monroeville, PA announces earnings
for the second quarter of fiscal 2011
for the second quarter of fiscal 2011
Parkvale Financial Corporation (NASDAQ: PVSA) reported net income for the quarter ended
December 31, 2010 of $1.8 million compared to net income of $2.4 million for the quarter ended
December 31, 2009. Income available to common shareholders, after the payment of dividends on
preferred stock, was $1.4 million or $0.26 per diluted common share for the quarter ended December
31, 2010 compared to $2.0 million or $0.38 per diluted common share for the quarter ended December
31, 2009. The $584,000 decrease in net income for the December 31, 2010 quarter is primarily due to
a $909,000 decrease in gain on sale of assets, a $338,000 increase in non-interest expense and a
$164,000 increase in non-cash debt security impairment charges. These factors were partially
offset by a $383,000 decrease in the provision for loan losses and a $239,000 decrease in income
tax expense, reflecting a lower level of pre-tax income. The increase in non-interest expense for
the quarter was primarily due to a $259,000 increase in FDIC insurance premiums. Net interest
income increased by $122,000 due to a 16 basis point increase in the average interest rate spread
during the December 31, 2010 quarter.
For the six month period ended December 31, 2010, net income was $4.1 million compared to net
income of $3.3 million for the six month period ended December 31, 2009. After giving effect to
the dividends on the preferred stock, the income available to common shareholders was $3.3 million
or $0.59 per diluted common share for the six months ended December 31, 2010 compared to $2.5
million or $0.46 per diluted common share for the six months ended December 31, 2009. The $784,000
increase in net income for the six months ended December 31, 2010 reflects a $1.6 million decrease
in the provision for loan losses and a $1.6 million decrease in non-cash debt security impairment
charges. These factors were partially offset by an $839,000 decrease in gain on sale of assets, a
$585,000 increase in FDIC insurance premiums and a $914,000 increase in income tax expense. Net
interest income decreased by $337,000 or 1.8% due to a decrease in net average interest-earning
assets, offset by a 16 basis point increase in the average interest rate spread.
Parkvale Financial Corporation is the parent of Parkvale Bank, which has 47 offices in the
Tri-State area and assets of $1.8 billion at December 31, 2010.
(Condensed Consolidated Statement of Operations and selected financial data is attached.)
Contact:
|
Robert J. McCarthy, Jr. | Gilbert A. Riazzi | ||
President and CEO | Chief Financial Officer | |||
(412) 373-4815 | (412) 373-4804 | |||
Email: gil.riazzi@parkvale.com |
PARKVALE FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(Dollar amounts in thousands, except per share data)
(Unaudited)
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(Dollar amounts in thousands, except per share data)
(Unaudited)
Three months ended | Six months ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
Total interest income |
$ | 16,363 | $ | 19,300 | $ | 33,202 | $ | 39,322 | ||||||||
Total interest expense |
7,151 | 10,210 | 15,131 | 20,914 | ||||||||||||
Net interest income |
9,212 | 9,090 | 18,071 | 18,408 | ||||||||||||
Provision for loan losses |
1,015 | 1,398 | 2,049 | 3,687 | ||||||||||||
Net interest income after provision for losses |
8,197 | 7,692 | 16,022 | 14,721 | ||||||||||||
Net impairment charges recognized in earnings |
(946 | ) | (782 | ) | (1,942 | ) | (3,543 | ) | ||||||||
Net gain on sale of assets |
194 | 1,103 | 1,366 | 2,205 | ||||||||||||
Other non-interest income |
2,568 | 2,485 | 5,478 | 5,047 | ||||||||||||
Total non-interest expense |
7,652 | 7,314 | 15,702 | 14,906 | ||||||||||||
Income before income taxes |
2,361 | 3,184 | 5,222 | 3,524 | ||||||||||||
Income tax expense |
520 | 759 | 1,158 | 244 | ||||||||||||
Net income |
1,841 | 2,425 | 4,064 | 3,280 | ||||||||||||
Preferred Stock dividend |
397 | 397 | 794 | 794 | ||||||||||||
Income available to common shareholders |
$ | 1,444 | $ | 2,028 | $ | 3,270 | $ | 2,486 | ||||||||
Basic earnings per common share |
$ | 0.26 | $ | 0.38 | $ | 0.59 | $ | 0.46 | ||||||||
Diluted earnings per common share |
$ | 0.26 | $ | 0.38 | $ | 0.59 | $ | 0.46 | ||||||||
Dividends per common share |
$ | 0.02 | $ | 0.05 | $ | 0.04 | $ | 0.10 |
SELECTED FINANCIAL DATA
(Dollar amounts in thousands, except per share data)
(Dollar amounts in thousands, except per share data)
Dec. 31, | June 30, | Dec. 31, | ||||||||||
2010 | 2010 | 2009 | ||||||||||
Total assets |
$ | 1,791,116 | $ | 1,842,380 | $ | 1,915,896 | ||||||
Total deposits |
1,458,571 | 1,488,073 | 1,528,142 | |||||||||
Total loans, net |
1,017,834 | 1,032,363 | 1,053,009 | |||||||||
Loan loss allowance |
19,621 | 19,209 | 18,883 | |||||||||
Non-performing loans and foreclosed real estate |
35,580 | 35,157 | 36,307 | |||||||||
Ratio to total assets |
1.99 | % | 1.91 | % | 1.90 | % | ||||||
Allowance for loan losses as a % of gross loans |
1.89 | % | 1.83 | % | 1.76 | % | ||||||
Total shareholders equity |
$ | 122,136 | $ | 118,944 | $ | 151,513 | ||||||
Book value per common share |
$ | 16.21 | $ | 15.77 | $ | 21.73 |
OTHER SELECTED DATA
Three months ended | Six months ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2010 | 2009 | |||||||||||||
Average yield earned on all
interest-earning assets |
3.91 | % | 4.30 | % | 3.93 | % | 4.38 | % | ||||||||
Average rate paid on all interest-bearing
liabilities |
1.70 | % | 2.25 | % | 1.78 | % | 2.39 | % | ||||||||
Average interest rate spread |
2.21 | % | 2.05 | % | 2.15 | % | 1.99 | % | ||||||||
Net yield on average interest-earning assets |
2.20 | % | 2.03 | % | 2.14 | % | 2.05 | % | ||||||||
Return on average assets |
0.41 | % | 0.51 | % | 0.44 | % | 0.34 | % | ||||||||
Return on average equity |
5.46 | % | 6.37 | % | 6.07 | % | 4.32 | % | ||||||||
Other expense to average assets |
1.69 | % | 1.53 | % | 1.71 | % | 1.56 | % |