News Announcement | Contact: Tom Gdowski |
308-382-3136 | |
For immediate release | |
tgdowski@equitableonline.com | |
Grand Island, Nebraska | |
Date: May 10, 2023 | |
First Quarter Highlights |
- Equitable Financial Corp, parent company of Equitable Bank, reported profits of $906,000 for the third quarter of fiscal year ending June 30, 2023, or $.34 per share, compared to $968,000 or $0.35 per share for the third quarter of fiscal year June 2022.
- Net interest income increased $179,000 to $3.562 million for the quarter ending March 31, 2023, compared to $3.383 million for the quarter ending March 31, 2022.
- Net loans increased $47 million to $409 million for the quarter ending March 31, 2023, compared to $362 million on March 31, 2022.
- Provision for loan losses for the third quarter of fiscal year ending June 30, 2023, was ($117,000) compared to $89,000 for the March 31, 2022, quarter end.
- Noninterest income decreased $322,000 to $1,129,000 for the third quarter of fiscal year ending June 30, 2023, compared to $1,451,000 for the third quarter of fiscal year ending June 30, 2022. As in the prior quarter, noninterest income was affected primarily by a decrease in mortgage banking activity and loan originations and sales.
- Noninterest expense was $3.538 million for the third quarter of fiscal year ending June 30, 2023, compared to $3.522 million for the third quarter of fiscal year ending June 2022.
- Total assets were $472 million as of March 31, 2023, compared to $456 million for the quarter of March 31, 2022.
- During the quarter, the company repurchased 27,350 shares of stock at an average price per share of $12.77.
President and CEO, Tom Gdowski, stated, "The operating environment in the prior quarter continues to provide challenges primarily driven by the Federal Reserve increasing rates at a pace not seen in decades. The widely publicized regional bank failures have not had a material effect on our deposit base as we have been able to provide our customers with assurance their funds are secure. In this environment of rising rates, inverted yield curves and uncertain economic conditions, we will continue to focus on asset quality, duration, and operational efficiencies.
We continue to believe investing in our own shares via our stock repurchase program at the current prices is an effective use of capital and the impact of negative market sentiment. Our ability to do so is contingent on the overall performance of the Bank. If interested parties wish to sell their stock, please contact us."
About Equitable Financial Corp.
Equitable Financial Corp. is the holding company for Equitable Bank, which is a Nebraska-based community bank headquartered in Grand Island. Equitable Bank has been in operation since 1882. A full-service bank with five branches in Grand Island, North Platte and Omaha, Equitable offers consumer, commercial and Ag loans, home loans, checking and savings accounts, financial planning, and retirement services.
Forward-Looking Statements
When used in this Press Release, the words, or phrases "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," or similar expressions are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties including, but not limited to, changes in economic conditions in the Company's market area, changes in policies by regulatory agencies, fluctuations in interest rates, demand for loans in the Bank's market area, competition that could cause actual results to differ materially from historical earnings and those presently anticipated or projected, and other risks described in the Company's filings with the Securities and Exchange Commission. The Company cautions readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company advises readers that the factors listed above could affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revision which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Equitable Financial Corp.
Balance Sheet
Unaudited
March 31, 2023 | June 30, 2022 | ||||
Assets | |||||
Cash and due from financial institutions | $ | 6,741,132 | $ | 2,509,013 | |
Interest-earning deposits | 2,510,960 | 8,551,995 | |||
9,252,093 | 11,061,008 | ||||
Securities available-for-sale | 31,486,693 | 31,984,463 | |||
Securities held-to-maturity | 8,924 | 12,963 | |||
Federal Home Loan Bank stock, at cost | 1,547,000 | 1,498,600 | |||
Federal Reserve Bank stock, at cost | 473,200 | 472,550 | |||
Loans, net of allowance for loan losses of $6,027,000 and $5,782,000, respectively | 408,850,435 | 389,756,710 | |||
Premises and equipment, net | 8,402,990 | 8,727,274 | |||
Foreclosed assets, net | - | - | |||
Accrued interest receivable | 2,674,753 | 2,310,189 | |||
Deferred taxes, net | 738,751 | 719,454 | |||
Customer list intangible | 1,317,563 | 1,447,077 | |||
Bank-owned life insurance | 3,915,040 | 3,834,391 | |||
Other assets | 3,210,424 | 3,003,100 | |||
Total assets | $ | 472,126,867 | $ | 454,827,779 | |
Liabilities and Stockholders' Equity | |||||
Liabilities: | |||||
Noninterest-bearing deposits | $ | 58,526,374 | $ | 70,265,526 | |
Interest-bearing deposits | 355,882,501 | 325,892,477 | |||
414,408,875 | 396,158,003 | ||||
Lines of credit | 525,000 | 5,352,817 | |||
Federal Home Loan Bank Borrowings | 8,000,000 | 6,000,000 | |||
Advance payments from borrowers for taxes and insurance | 858,008 | 722,446 | |||
Accrued interest payable and other liabilities | 2,337,231 | 2,537,016 | |||
Total liabilities | 426,129,114 | 410,770,282 | |||
Common stock in ESOP subject to contingent repurchase obligation | 1,642,473 | 1,647,542 | |||
Stockholders' equity: | |||||
Common stock, $0.01 par value, 25,000,000 shares authorized 2,678,582 and 2,753,047 shares issued and | |||||
outstanding at March 31, 2023 and June 30, 2022, respectively | 26,786 | 27,530 | |||
Additional paid-in capital | 17,630,552 | 18,666,553 | |||
Retained earnings | 29,867,946 | 26,947,373 | |||
Unearned ESOP shares | (607,000) | (642,712) | |||
Shares reserved for stock compensation | (23,153) | (38,389) | |||
Accumulated other comprehensive loss, net of tax | (897,379) | (902,860) | |||
Reclassification of ESOP shares | (1,642,473) | (1,647,542) | |||
Total stockholders' equity | 44,355,280 | 42,409,955 | |||
Total liabilities and stockholders' equity | $ | 472,126,867 | $ | 454,827,779 | |
Equitable Financial Corp.
Income Statement
Unaudited
Interest income:
Loans | $ |
Securities
Other
Total interest income
Interest expense:
Deposits
Federal Home Loan Bank borrowings
Other
Total interest expense
Net interest income
Provision for loan losses
Net interest income after provision for loan losses
Noninterest income:
Service charges on deposit accounts
Brokerage fee income
Gain on sale of loans
Other loan fees
Other income
Total noninterest income
Noninterest expense:
Salaries and employee benefits
Director and committee fees
Data processing fees
Occupancy and equipment
Regulatory fees and deposit insurance premium
Advertising and public relations
Professional fees
Supplies, telephone and postage
Loan Fees
Other expenses
Total noninterest expense
Income before income taxes
Income tax expense
Net income | $ |
For the nine months ended
3/31/20233/31/2022
15,109,366 $ 12,339,688
305,579170,314
183,767111,910
15,598,71212,621,913
3,518,747 | 1,111,879 | |
286,832 | 63,746 | |
121,620 | 60,736 | |
3,927,199 | 1,236,360 | |
11,671,513 | 11,385,553 | |
258,154 | 351,791 | |
11,413,359 | 11,033,762 | |
966,598 | 802,867 | |
1,587,949 | 1,779,353 | |
95,649 | 819,549 | |
498,147 | 584,943 | |
383,985 | 401,164 | |
3,532,329 | 4,387,875 | |
6,174,319 | 6,116,383 | |
112,800 | 108,704 | |
813,821 | 767,301 | |
1,040,005 | 1,090,936 | |
178,880 | 187,956 | |
345,326 | 463,732 | |
306,207 | 172,808 | |
81,710 | 91,202 | |
485,876 | 673,547 | |
1,512,912 | 1,405,964 | |
11,051,857 | 11,078,533 | |
3,893,831 | 4,343,104 | |
(973,258) | (1,005,176) | |
2,920,573 | $ | 3,337,928 |
Equitable Financial Corp.
Selected Financial Data - Quarterly Trend Unaudited
(Dollars in thousands, except per share amounts and percentages)
Quarter Ended Fiscal Year June 30, | |||||||||||||||||||||||||
2023 | 2022 | 2021 | |||||||||||||||||||||||
March 31 | December 31 | September 30 | June 30 | March 31 | December 31 | September 30 | June 30 | March 31 | December 31 | September 30 | |||||||||||||||
Selected Financial Data | |||||||||||||||||||||||||
For the period: | |||||||||||||||||||||||||
Interest income | $ | 5,422 | $ | 5,406 | $ | 4,771 | $ | 4,101 | $ | 3,772 | $ | 3,748 | $ | 5,102 | $ | 4,071 | $ | 3,823 | $ | 4,199 | $ | 3,811 | |||
Interest expense | $ | 1,860 | $ | 1,370 | $ | 697 | $ | 428 | $ | 389 | $ | 398 | $ | 449 | $ | 511 | $ | 639 | $ | 797 | $ | 816 | |||
Net interest income | $ | 3,562 | $ | 4,036 | $ | 4,074 | $ | 3,673 | $ | 3,383 | $ | 3,350 | $ | 4,653 | $ | 3,560 | $ | 3,184 | $ | 3,402 | $ | 2,995 | |||
Provision for loan losses | $ | (117) | $ | 175 | $ | 200 | $ | 272 | $ | 89 | $ | 149 | $ | 114 | $ | 57 | $ | 85 | $ | 79 | $ | 44 | |||
Noninterest income | $ | 1,129 | $ | 1,183 | $ | 1,220 | $ | 1,669 | $ | 1,451 | $ | 1,584 | $ | 1,353 | $ | 1,590 | $ | 1,448 | $ | 1,929 | $ | 2,190 | |||
Noninterest expense | $ | 3,538 | $ | 3,774 | $ | 3,740 | $ | 3,460 | $ | 3,522 | $ | 3,818 | $ | 3,739 | $ | 3,821 | $ | 3,336 | $ | 3,790 | $ | 3,726 | |||
Income tax expense | $ | 364 | $ | 295 | $ | 314 | $ | 357 | $ | 255 | $ | 235 | $ | 515 | $ | 133 | $ | 302 | $ | 326 | $ | 338 | |||
Net income | $ | 906 | $ | 975 | $ | 1,040 | $ | 1,253 | $ | 968 | $ | 732 | $ | 1,638 | $ | 1,139 | $ | 909 | $ | 1,136 | $ | 1,077 | |||
Period-end: | |||||||||||||||||||||||||
Loans (net of deferred origination costs and ALLL) | $ | 408,850 | $ | 431,296 | $ | 413,951 | $ | 389,757 | $ | 361,842 | $ | 362,120 | $ | 339,922 | $ | 349,743 | $ | 338,825 | $ | 338,058 | $ | 342,212 | |||
Assets | $ | 472,127 | $ | 494,270 | $ | 478,270 | $ | 454,828 | $ | 456,667 | $ | 434,842 | $ | 431,985 | $ | 422,579 | $ | 427,968 | $ | 412,126 | $ | 402,172 | |||
Deposits | $ | 414,409 | $ | 418,618 | $ | 402,703 | $ | 396,158 | $ | 396,777 | $ | 375,867 | $ | 374,098 | $ | 365,334 | $ | 370,586 | $ | 352,740 | $ | 340,461 | |||
Shareholders' equity | $ | 44,355 | $ | 43,488 | $ | 42,592 | $ | 42,410 | $ | 41,743 | $ | 41,387 | $ | 40,982 | $ | 39,741 | $ | 39,524 | $ | 38,823 | $ | 38,118 | |||
Profitability Statistics | |||||||||||||||||||||||||
Return on average assets | 0.75% | 0.80% | 0.87% | 1.10% | 0.87% | 0.68% | 1.53% | 1.07% | 0.87% | 1.12% | 1.08% | ||||||||||||||
Return on average shareholders' equity | 8.25% | 9.06% | 9.77% | 11.91% | 9.32% | 7.11% | 16.23% | 11.50% | 9.28% | 11.81% | 11.43% | ||||||||||||||
Average shareholders' equity to average assets | 9.09% | 8.85% | 8.91% | 9.23% | 9.32% | 9.50% | 9.45% | 9.32% | 9.33% | 9.45% | 9.46% | ||||||||||||||
Common Stock Statistics | |||||||||||||||||||||||||
Common shares outstanding | 2,678,582 | 2,698,838 | 2,714,438 | 2,753,047 | 2,769,047 | 2,771,884 | 2,791,914 | 2,824,286 | 2,870,047 | 2,887,747 | 2,928,513 | ||||||||||||||
Book value per common share | $ | 16.56 | $ | 16.11 | $ | 15.69 | $ | 15.40 | $ | 15.07 | $ | 14.93 | $ | 14.68 | $ | 14.07 | $ | 13.77 | $ | 13.44 | $ | 13.02 | |||
Earnings per common share | $ | 0.34 | $ | 0.36 | $ | 0.38 | $ | 0.46 | $ | 0.35 | $ | 0.26 | $ | 0.59 | $ | 0.40 | $ | 0.32 | $ | 0.39 | $ | 0.37 | |||
Cash dividends declared per common share | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||
Dividend payout ratio | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | ||||||||||||||
Regulatory Capital Ratios (Bank) | |||||||||||||||||||||||||
Total Capital | 12.7% | 11.7% | 12.4% | 12.3% | 12.8% | 12.3% | 12.6% | 12.5% | 11.9% | 11.7% | 11.2% | ||||||||||||||
Common equity Tier 1 capital | 11.4% | 10.4% | 11.1% | 11.1% | 11.5% | 11.1% | 11.3% | 11.2% | 10.6% | 10.5% | 10.0% | ||||||||||||||
Tier 1 capital (to risk-weighted assets) | 11.4% | 10.4% | 11.1% | 11.1% | 11.5% | 11.1% | 11.3% | 11.2% | 10.6% | 10.5% | 10.0% | ||||||||||||||
Tier 1 capital (to adjusted total assets) | 9.2% | 8.8% | 9.6% | 9.5% | 9.2% | 9.1% | 9.0% | 8.7% | 8.7% | 8.9% | 8.7% |
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Disclaimer
Equitable Financial Corp. published this content on 11 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 May 2023 14:13:01 UTC.