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8-K - FORM 8-K - WVS FINANCIAL CORPd89591d8k.htm

Exhibit 99

 

Release Date:    Further Information:
IMMEDIATE RELEASE    David J. Bursic
October 16, 2015    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 2015

Pittsburgh, PA — WVS Financial Corp. (NASDAQ: WVFC), the holding company for West View Savings Bank, today reported net income of $311 thousand or $0.16 per diluted share, for the three months ended September 30, 2015 as compared to $299 thousand or $0.15 per diluted share for the same period in 2014. The $12 thousand increase in net income during the three months ended September 30, 2015 was primarily attributable to a $94 thousand increase in net interest income, and a $2 thousand increase in non-interest income, which were partially offset by a $39 thousand increase in income tax expense, a $28 thousand increase in non-interest expense, and a $17 thousand increase in the provision for loan losses. The increase in net interest income during the three months ended September 30, 2015 was attributable to a $117 thousand increase in interest income, which was partially offset by a $23 thousand increase in interest expense. The increase in interest income was primarily attributable to higher average balances of loans outstanding and investment securities, and a higher yield earned on Federal Home Loan Bank (“FHLB”) stock, which were partially offset by lower average balances of U.S. Government agency mortgage-backed securities, and lower yields earned on the Company’s investment, mortgage-backed securities, and loan portfolios, when compared to the same period in 2014. The higher average balances of loans outstanding was attributable to increased loan originations in excess of repayments, while the increase in the average balance of investment securities was the result of a reallocation of funds into the Company’s investment portfolio from repayments on the Company’s U.S. Government agency mortgage-backed securities sector. The increase in interest expense was primarily attributable to higher rates paid on FHLB long-term variable-rate advances and FHLB short-term advances, and higher average balances of FHLB short-term advances and other short-term borrowings, which were partially offset by lower average balances and lower average rates paid on time deposits, when compared to the same period in 2014. The increase in non-interest expense was primarily attributable to increases in employee related costs, occupancy and equipment costs, provisions for off-balance sheet (loan origination) commitments, and federal deposit insurance premiums during the three months ended September 30, 2015, when compared to the same period in 2014. The increase in income tax expense for the three months ended September 30, 2015 was primarily due to higher levels of taxable income, and the absence of PA tax credits for charitable contributions made, when compared to the same period in 2014. The increase in the provision for loan losses was primarily attributable to an increase in Company’s loan portfolio.


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,
2015
(Unaudited)
    June 30,
2015
(Unaudited)
 

Total assets

   $ 334,089      $ 329,716   

Cash and Cash Equivalents

     1,969        3,573   

Certificates of Deposits

     350        350   

Investment securities available-for-sale

     89,199        66,916   

Investment securities held-to-maturity

     25,123        36,618   

Mortgage-backed securities held-to-maturity

     151,428        162,639   

Net loans receivable

     52,543        46,163   

Deposits

     136,498        138,928   

FHLB advances: long-term, fixed-rate

     12,500        12,500   

FHLB advances: long-term, variable-rate

     105,305        105,305   

FHLB advances: short-term

     38,392        37,830   

Other short-term borrowings

     7,950        —     

Equity

     32,311        32,043   

Book value per share – Common Equity

     15.85        15.70   

Book value per share – Tier I Equity

     16.05        15.93   

Annualized Return on average assets

     0.37     0.43

Annualized Return on average equity

     3.88     4.23

Tier I leverage ratio

     9.66     10.03


WVS FINANCIAL CORP. AND SUBSIDIARY

SELECTED CONSOLIDATED OPERATING DATA

(In thousands except per share data)

 

     Three Months Ended
September 30,
(Unaudited)
 
     2015      2014  

Interest income

   $ 1,637       $ 1,520   

Interest expense

     311         288   
  

 

 

    

 

 

 

Net interest income

     1,326         1,232   

Provision for loan losses

     20         3   
  

 

 

    

 

 

 

Net interest income after provision for loan losses

     1,306         1,229   

Non-interest income

     140         138   

Non-interest expense

     943         915   
  

 

 

    

 

 

 

Income before income tax expense

     503         452   

Income taxes

     192         153   
  

 

 

    

 

 

 

NET INCOME

   $ 311       $ 299   
  

 

 

    

 

 

 

EARNINGS PER SHARE:

     

Basic

   $ 0.16       $ 0.15   

Diluted

   $ 0.16       $ 0.15   

WEIGHTED AVERAGE SHARES OUTSTANDING:

     

Basic

     1,909,262         1,959,381   

Diluted

     1,909,262         1,959,381