“The fourth quarter results remain steady,” stated Alan J. Hyatt, President and Chief Executive Officer. Mr. Hyatt continued, “Our real work has been on reducing our cost of funds and growing our community banking presence. We have been focused on relationships and pulling in deposits along with those relationships. We want to show the residents and businesses of Anne Arundel County what we have to offer and how Severn can work for them.  With retail branches in Edgewater, Annapolis, Severna Park, and Glen Burnie we continue to expand our commitment to the businesses and residents of this County.”

 

About Severn Bank: Founded in 1946, Severn is a full-service community bank offering a wide array of personal and commercial banking products as well as residential and commercial mortgage lending. It has assets of approximately $790 million and five branches located in Annapolis, Edgewater and Glen Burnie, and Severna Park, Maryland. The bank specializes in exceptional customer service and holds itself and its employees to a high standard of community contribution. Severn Bank is a trade name used by Severn Savings Bank, FSB. Severn is on the Web at www.severnbank.com.

 

 

In addition to the historical information contained herein, this press release contains forward-looking statements that involve risks and uncertainties that may be affected by various factors that may cause actual results to differ materially from those in the forward-looking statements. The forward-looking statements contained herein include, but are not limited to, those with respect to management’s determination of the amount of loan loss reserve and statements about the economy. The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “plan,” “will,” “would,” “could,” “should,” “guidance,” “potential,” “continue,” “project,” “forecast,” “confident,” and similar expressions are typically used to identify forward-looking statements. Severn’s operations and actual results could differ significantly from those discussed in the forward-looking statements. Some of the factors that could cause or contribute to such differences include, but are not limited to, changes in the economy and interest rates both in the nation and in Severn’s general market area, federal and state regulation, competition and other factors detailed from time to time in Severn’s filings with the Securities and Exchange Commission (the “SEC”), including “Item 1A. Risk Factors” contained in Severn’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015.

 

 

		For The Years Ended
		December 31,				December 31,				Variance
		2016				2015				Dollars				Percent
Summary Operating Results:
Interest income		$	30,749			$	31,153			$	(404	)			-1.30	%
Interest expense			8,561				8,992				(431	)			-4.79	%
Net interest income			22,188				22,161				27				0.12	%
Provision for loan losses			(350	)			(280	)			(70	)			25.00	%
Net interest income after provision for loan losses			22,538				22,441				97				0.43	%
Non-interest income			6,361				6,110				251				4.11	%
Non-interest expense			23,374				23,926				(552	)			-2.31	%
Income before income tax provision			5,525				4,625				900				19.46	%
Income tax (benefit) provision			(10,014	)			90				(10,104	)			-11226.67	%
Net income		$	15,539			$	4,535			$	11,004				242.65	%
Net income available to common shareholders		$	13,829			$	2,159			$	11,670				540.53	%
Per Share Data:
Basic earnings per share		$	1.20			$	0.21
Diluted earnings per share		$	1.19			$	0.21
Average basic shares outstanding			11,522,333				10,083,942
Average diluted shares outstanding			11,574,892				10,112,653
Performance Ratios:
Return on average assets			1.99	%			0.59	%
Return on average equity			17.08	%			5.45	%
Net interest margin			3.11	%			3.18	%
Efficiency ratio			81.19	%			83.82	%