By BUCYRUS, Ohio, Jan. 27, 2014 /PRNewswire/ -- Community Investors Bancorp, Inc. (Pink Sheets: CIBN), parent company of First Federal Community Bank of Bucyrus, reported net earnings available to common shareholders of $230,000, or $.29 per common share for the six months ended December 31, 2013, representing an increase of $57,000, (32.9%), compared to the net earnings of $173,000, or $.22 per common share reported for the six months ended December 31, 2012. The increase in 2013 earnings reflects an increase in net interest income of $22,000 (1.1%) and a decrease in general, administrative and other expense of $88,000 (3.9%). In addition, preferred dividends were reduced by $69,000 to $-0- as a result of the redemption of our preferred shares completed in March 2013. This was partially offset by a decrease in other income of $117,000 (16.1%), and an increase in provision for losses on loans of $26,000 (14.2%). The increase in net interest income reflects some stabilization of interest rate margins in a historically low interest rate environment as well as the beginnings of increased new loan demand. The provision for loan losses reflects continuing cleanup of troubled credits. Our classified assets remain unacceptably high but decreasing. As we continue to work to help our distressed loan customers who make good faith efforts at repayment, we continue to evaluate our past due loans to recognize the losses on a timely basis. Loan administration costs, regulatory compliance expense, and costs related to bank-owned properties remain elevated. Other income decreases resulted from the expansion of our secondary mortgage loan market into northeast Ohio (Strongsville) and southwest Ohio (Grove City). We are seeking new opportunities and customers in all of our markets with a renewed marketing effort in our Marysville market. We have raised the expectations for ourselves and our associates to make the changes required to achieve a higher level of profitability, through controlled growth and additional operational efficiency.
Community Investors Bancorp, Inc. reported total assets at December 31, 2013, of $125.2 million (increase of $5.9 million or 5.0% from June 30, 2013) including gross loans of $91.9 million (increase of $6.5 million or 7.7% from June 30, 2013). Investments decreased by $622,000 (3.4%), while the allowance for loan loss decreased by $95,000 (5.8%) since June 30, 2013. Total loans classified as substandard decreased by $434,000 to $4.5 million, with $1.9 million on nonaccrual status. Deposits decreased by $2.0 million (2.1%) from June 30, 2013. We borrowed an additional $7.5 million from the Federal Home Loan Bank at favorable rates. Total liabilities were $114.7 million increase of $5.7 million (5.2%) from June 30, 2013). Total stockholders' equity increased by $252,000 to $10.6 million. As a result of the growth of our balance sheet, our capital as a percentage of assets decreased from 8.67% to 8.46%.
We continue to reduce our classified assets, to grow strategically, and improve profitability, while we prudently manage interest rate risk and liquidity. We expect to maintain our capital levels commensurate with growth in assets and profitability. Future earnings releases should be expected within 45 days of the end of each quarter.
Community Investors Bancorp, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
UNAUDITED
December 31, December 31, June 30, June 30,
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ASSETS 2013 2012 2013 2012
---- ---- ---- ----
Cash and cash equivalents $6,054 $16,173 $5,338 $11,775
Interest-bearing time deposits 2,232 2,232 2,232 $1,240
Available-for-sale securities 17,633 23,842 18,255 23,305
Loans held-for-sale 1,235 1,651 1,803 1,002
Loans receivable-gross 91,875 85,716 85,335 86,415
Less: Allowance for Loan Loss (1,555) (1,735) (1,650) (1,675)
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Loans receivable-net 90,320 83,981 83,685 84,740
Premises and equipment 4,061 4,103 4,063 4,119
Federal Home Loan Bank stock 2,237 2,237 2,237 2,237
Foreclosed assets held for sale 361 516 403 583
Interest receivable 445 477 456 496
Prepaid federal income tax 32 14 132 -
Deferred federal income tax 62 - 73 -
Prepaid FDIC insurance premiums - 256 - 312
Other assets 574 539 631 548
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Total assets $125,246 $136,021 $119,308 $130,357
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LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits $94,106 $110,811 $96,132 $103,809
Federal Home Loan Bank advances 19,997 12,420 12,458 12,381
Advances from borrowers for taxes and
insurance 303 234 77 12
Interest payable 48 57 48 63
Accrued federal income tax - - - 85
Deferred federal income tax - 103 - 118
Preferred dividend payable - 9 - 18
Other liabilities 201 350 254 270
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Total liabilities 114,655 123,984 108,969 116,756
Shareholders' equity
Preferred stock - 1,303 - 2,730
Common stock 15 15 15 15
Additional Paid-in capital 5,299 5,298 5,299 5,229
Retained earnings 12,757 12,621 12,526 12,447
Accumulated other comprehensive income (
loss) (23) 257 (44) 180
Treasury stock (7,457) (7,457) (7,457) (7,000)
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Total shareholders' equity 10,591 12,037 10,339 13,601
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Total liabilities and shareholders' equity $125,246 $136,021 $119,308 $130,357
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Book value per common share outstanding $13.32 $13.50 $13.00 $12.32
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Community Investors Bancorp, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except share data)
UNAUDITED
Six months ended Three months ended
December 31, December 31,
------------ ------------
2013 2012 2013 2012
---- ---- ---- ----
Total interest income $2,502 $2,589 $1,280 $1,283
Total interest expense 395 504 196 243
--- --- --- ---
Net interest income 2,107 2,085 1,084 1,040
Provision for losses on loans 209 183 98 88
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Net interest income after provision
for losses on loans 1,898 1,902 986 952
Other income 608 725 223 398
General, administrative and other expenses 2,176 2,264 1,105 1,150
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Earnings before income taxes 330 363 104 200
Federal income taxes expense 100 121 28 67
--- --- --- ---
NET EARNINGS $230 $242 $76 $133
Preferred dividends - 69 - 34
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NET INCOME AVAILABLE FOR COMMON SHARES $230 $173 $76 $99
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BASIC EARNINGS PER COMMON SHARE $0.29 $0.22 $0.10 $0.13
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SOURCE Community Investors Bancorp, Inc.
