Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - UNITED BANCSHARES INC/OH | unitedbancshares8k12914.htm |
| EX-99 - EXHIBIT 99.1 - UNITED BANCSHARES INC/OH | ex991.htm |
Exhibit 99.2
United Bancshares, Inc.
Quarterly Report
December 31, 2013
Dear Shareholders, Customers, and Employees,
As a result of the hard work and dedication of the Company’s team members, I am proud to report that your Company had another prosperous year in 2013. In addition to reporting net income of approximately $4.6 million ($1.35 basic earnings per share), your Company’s shares traded 47% higher by the end of 2013 as compared to the end of 2012. This increase in share price resulted in a $15.7 million increase in your Company’s market capitalization.
Despite the fact that marginal income decreased as a result of a flat yield curve and slow economic activity in our marketplace, your Company was able to increase net income by improving asset quality and decreasing non-interest expenses. The improvements in asset quality warranted a negative provision for loan losses of $833,000 for the year. Additionally, the Company executed a balance sheet restructuring strategy resulting in the early repayment of a $10 million advance from the FHLB. This strategy required the Company to incur a prepayment penalty that decreased net income approximately $650,000. Although the prepayment penalty was included as part of non-interest expenses, your Company was still able to decrease those expenses overall by approximately $489,000.
I am pleased to report that after review of your Company’s earnings, capital position, and improved risk profile, your Board of Directors declared a $.10 per share Special Cash Dividend that will be payable to shareholders on February 14, 2014. This Special Cash Dividend is in addition to the dividends received by shareholders in March, June, September and December 2013.
Although uncertainty still remains in our markets, we continue to believe that the drivers of our success are, and will continue to be, our strong corporate values of respect for our shareholders, customers, colleagues, and communities. Your continued support and the trust you have placed in us is greatly appreciated.
Respectfully,
Brian D. Young
President & CEO
United Bancshares, Inc.
and Subsidiary
Financial Information (unaudited) | For the Year ended December 31, 2013 | For the Year ended December 31, 2012 | |
(dollars in thousands, except share data) | |||
CONDENSED STATEMENT OF INCOME | |||
Interest income | $ 19,854 | $ 22,592 | |
Interest expense | 3,250 | 4,676 | |
Net interest income | 16,604 | 17,916 | |
Provision for loan losses | (833) | 200 | |
Net interest income after provision for loan losses | 17,437 | 17,716 | |
Non-interest income | 4,468 | 4,353 | |
Non-interest expenses | 16,024 | 16,513 | |
Income before income taxes | 5,881 | 5,556 | |
Provision for income taxes | 1,240 | 1,071 | |
Net income | $ 4,641 | $ 4,485 | |
Average common shares outstanding | 3,446,662 | 3,446,133 | |
PER COMMON SHARE | |||
Net income | $ 1.35 | $ 1.30 | |
Book value | $18.31 | $18.62 | |
Closing price | $14.31 | $ 9.75 | |
FINANCIAL RATIOS | |||
Return on average assets | 0.83% | 0.79% | |
Return on average equity | 7.33% | 7.23% | |
Net interest margin | 3.38% | 3.55% | |
Efficiency ratio | 72.74% | 71.21% | |
Loans to deposits | 63.19% | 65.24% | |
Allowance for loan losses to loans | 1.36% | 2.27% | |
PERIOD END BALANCES | |||
As of December 31, 2013 | As of December 31, 2012 | ||
Assets | $556,235 | $572,448 | |
Loans | $295,313 | $304,445 | |
Deposits | $468,000 | $471,199 | |
Shareholders' equity | $ 63,008 | $ 64,170 | |
Common shares outstanding | 3,442,051 | 3,446,305 |
UNITED BANCSHARES, INC.
DIRECTORS
Robert L. Benroth
Daniel W. Schutt
James N. Reynolds - Chairman
R. Steven Unverferth
H. Edward Rigel
Brian D. Young
David P. Roach
OFFICERS
Brian D. Young - President/CEO
Heather M. Oatman - Secretary
Diana L. Engelhardt - Chief Financial Officer
THE UNION BANK COMPANY
DIRECTORS
Robert L. Benroth
David P. Roach
Herbert H. Huffman
Robert M. Schulte, Sr.
Kevin L. Lammon
Daniel W. Schutt
William R. Perry
R. Steven Unverferth
James N. Reynolds
Brian D. Young - Chairman/President/CEO
H. Edward Rigel
INVESTOR MATERIALS:
United Bancshares, Inc. has traded its common stock on the NASDAQ Markets Exchange under the symbol “UBOH” since March 2001. Annual and quarterly shareholder reports, regulatory filings, press releases, and articles about United Bancshares, Inc. are available in the Shareholder Information section of our website www.theubank.com or by calling 1-800-837-8111.
Locations
1300 N. Main St.
Bowling Green, OH 43402
419-353-6088
100 S. High St.
Columbus Grove, OH 45830
419-659-2141
101 Progressive Dr.
Columbus Grove, OH 45830
419-659-4250
114 E. 3rd St.
Delphos, OH 45833
419-692-2010
1500 Bright Rd.
Findlay, OH 45840
419-424-1400
230 W. Madison St.
Gibsonburg, OH 43431
419-637-2124
110 E. North St.
Kalida, OH 45853
419-532-3366
318 S. Belmore St.
Leipsic, OH 45856
419-943-2171
1410 Bellefontaine Ave.
Lima, OH 45804
419-229-6500
3211 Elida Rd.
Lima, OH 45805
419-331-3211
701 Shawnee Rd.
Lima, OH 45805
419-228-2114
245 W. Main St.
Ottawa, OH 45875
419-523-2265
132 E. Front St.
Pemberville, OH 43450
419-287-3211