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8-K - FORM 8-K - WVS FINANCIAL CORPd808087d8k.htm

Exhibit 99

 

Release Date:      Further Information:
IMMEDIATE RELEASE      David J. Bursic
October 23, 2014      President and CEO
                 or
     Keith A. Simpson
     Vice President and CAO
     Phone: 412/364-1913

WVS FINANCIAL CORP. ANNOUNCES INCREASED NET INCOME AND EARNINGS PER SHARE FOR THE THREE MONTHS ENDED SEPTEMBER 2014

Pittsburgh, PA — WVS Financial Corp. (NASDAQ: WVFC), the holding company for West View Savings Bank, today reported net income of $299 thousand or $0.15 per diluted share, for the three months ended September 30, 2014 as compared to $210 thousand or $0.10 per diluted share for the same period in 2013. The $89 thousand increase in net income during the three months ended September 30, 2014 was primarily attributable to a $174 thousand increase in net interest income, and a $9 thousand decrease in provisions for loan losses, which were partially offset by a $56 thousand increase in non-interest expense, and a $39 thousand increase in income tax expense. The increase in net interest income during the three months ended September 30, 2014 was attributable to a $118 thousand increase in interest income and a $56 thousand decrease in interest expense. The increase in interest income was primarily attributable to higher yields on the Company’s mortgage-backed securities and Federal Home Loan Bank (“FHLB”) stock, which were partially offset by lower average balances of net loans outstanding, when compared to the same period in 2013. The increase in yield on the mortgage-backed securities portfolio was attributable to higher spreads in this sector. The increase in yields on FHLB Stock was attributable to a higher dividend rate paid by the FHLB. The decrease in loan volumes was primarily due to lower volumes of construction and mortgage loans outstanding. The decrease in interest expense was primarily attributable to lower rates paid on FHLB long-term borrowings, and lower average balances of FHLB short-term borrowings, which were partially offset by higher average balances of FHLB long-term borrowings, when compared to the same period in 2013. The increase in non-interest expense was primarily attributable to higher employee related costs, legal expenses, provisions for off-balance sheet (loan origination) commitments, and professional fees and services, during the three months ended September 30, 2014, when compared to the same period in 2013. The increase in income tax expense was primarily due to higher levels of taxable income. The decrease in the provision for loan losses is attributable to changes in the Company’s performing and non-performing loan segments, when compared to the same period in 2013.

WVS Financial Corp. owns 100% of the outstanding common stock of West View Savings Bank. The Savings Bank is a Pennsylvania-chartered, FDIC savings bank, which conducts business from six offices located in the North Hills suburbs of Pittsburgh, Pennsylvania. In January 2009, West View Savings Bank began its second century of service to our communities. The Bank wishes to thank our customers and host communities for allowing us to be their full service bank.

—TABLES ATTACHED—

# # #


WVS FINANCIAL CORP. AND SUBSIDIARY

SELECTED CONSOLIDATED FINANCIAL DATA

(Dollars in thousands except per share data)

 

     September 30,
2014
(Unaudited)
    June 30,
2014
(Unaudited)
 

Total assets

   $ 317,236      $ 309,940   

Cash and Cash Equivalents

     1,533        1,360   

Certificates of Deposits

     350        598   

Investment securities available-for-sale

     26,934        28,387   

Investment securities held-to-maturity

     36,283        22,047   

Mortgage-backed securities held-to-maturity

     207,793        215,335   

Net loans receivable

     30,956        29,724   

Deposits

     141,962        141,859   

FHLB advances: long-term, fixed-rate

     12,500        12,500   

FHLB advances: long-term, variable-rate

     105,305        99,196   

FHLB advances: short-term

     24,753        23,626   

Equity

     31,776        31,788   

Book value per share – Common Equity

     15.50        15.45   

Book value per share – Tier I Equity

     15.70        15.66   

Annualized Return on average assets

     0.38     0.30

Annualized Return on average equity

     3.77     2.87

Tier I leverage ratio

     10.13     10.17


WVS FINANCIAL CORP. AND SUBSIDIARY

SELECTED CONSOLIDATED OPERATING DATA

(In thousands except per share data)

 

     Three Months Ended
September 30,
(Unaudited)
 
     2014      2013  

Interest income

   $ 1,520       $ 1,402   

Interest expense

     288         344   
  

 

 

    

 

 

 

Net interest income

     1,232         1,058   

Provision for loan losses

     3         12   
  

 

 

    

 

 

 

Net interest income after provision for loan losses

     1,229         1,046   

Non-interest income

     138         137   

Non-interest expense

     915         859   
  

 

 

    

 

 

 

Income before income tax expense

     452         324   

Income taxes

     153         114   
  

 

 

    

 

 

 

NET INCOME

   $ 299       $ 210   
  

 

 

    

 

 

 

EARNINGS PER SHARE:

     

Basic

   $ 0.15       $ 0.10   

Diluted

   $ 0.15       $ 0.10   

WEIGHTED AVERAGE SHARES OUTSTANDING:

     

Basic

     2,051,110         2,057,930   

Diluted

     2,051,110         2,057,930