HOPEWELL TOWNSHIP, N.J.--()--Hopewell Valley Community Bank (PinkSheets: HWDY) reported today that the Bank’s net income for the first nine months of 2012 was $1,457,038 which represented a 19% decrease from the corresponding period in 2011 of $1,798,177. Earnings for the third quarter of 2012 were $510,119, an 18.3% drop from the same period in 2011. On a per share basis, net income for the nine months ended September 30, 2012, was $.41 as compared to $.55 for the opening nine months of 2011. For the third quarter of 2012, earnings per share were $0.14, 26% below the $.19 earned for the three month period ended September 30, 2011.
The HVCBank Board also declared a $.375 semi-annual dividend on the Bank’s preferred stock. The dividend is payable on December 15, 2012, to preferred shareholders of record November 15, 2012.
Total deposits grew 12%, ending the third quarter at $371,558,548, easily eclipsing the $332,825,252 mark at the end of September, 2011. HVCBank's asset growth kept pace with total assets, moving up 10% through the third quarter of this year, rising to $441,764,132 versus $400,940,594 as of September 30, 2011. Total loans rose to $255,561,847, an increase of 6% over $241,227,617 in the year earlier period.
Even though third quarter net interest income increased by 7%, branch expansion costs, including personnel expense associated with new hires, contributed to a 17% increase in total operating expense for that period. Even so, third quarter net income exceeded that of the first and second quarters demonstrating a positive earnings trend.
Total equity at the conclusion of the third quarter rose 4%, propelled by retained earnings, to $43,382,167 as opposed to $41,888,831 in 2011.
Chairman Patrick Ryan said, "While earnings are reduced for the first nine months of 2012, we are generally pleased with our performance as we have been able to continue growing both by branch expansion and deposit acquisition in a very challenging environment. We have also achieved the top deposit market share position in our core Hopewell Valley footprint and look forward to continued growth as the economy digs out of its deep malaise.”
President/CEO James Hyman added, “In recent years, community banks have seen much in the way of challenges on both the regulatory and economic fronts. Our Bank continues to meet those challenges and at the same time maintain our strong pace of growth in loans, deposits, and capital. Additionally, we have taken advantage of the times to undertake new branching opportunities that strategically extend our footprint further into Hunterdon and Somerset counties. We are growing and we remain a high value, dependable, and customer-oriented provider of banking services to our communities.”
|Nine Month Unaudited Results||September 30, 2012||September 30, 2011||% Change|
|Total Interest Income||$11,709,624||$11,653,519||.5%|
|Total Noninterest Income||$1,243,321||$1,188,526||4.6%|
|Net Interest Income||$9,201,394||$8,886,459||3.5%|
|Total Operating Expense||($8,354,977)||($7,302,908)||14.4%|
|Net Income Before Taxes||$2,089,738||$2,772,077||(24.6%)|
|Preferred Stock Dividends||$115,047||$51,855||121.9%|
|Net Income Available to Common Shareholders||$1,341,991||$1,746,322||(23.2%)|
|Earnings Per Share (Basic)||$.41||$.55||(25.5%)|
Hopewell Valley Community Bank is a locally owned and managed, full service, FDIC insured commercial bank. Founded in 1998, HVCBank provides a friendly, personalized banking experience for residents and small business owners with eight banking offices in Hopewell, Pennington, Hamilton, Ewing and Princeton in Mercer County, Ringoes and Flemington in Hunterdon County, Skillman in Somerset County, and through its fully interactive website at www.hvcbonline.com. And Coming Soon to Pittstown!