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You Are Here: Heartland News : Heartland BancCorp Announces 4th Quarter and Full Year 2009 Earnings, Increase in Net Income...
Continued Loan and Deposit Growth
Directors Declare Cash Dividend
Tiney M. McComb, Chairman and CEO of Heartland BancCorp, parent company of Heartland Bank, today announced 4th quarter and full year 2009 earnings and balance sheet growth.
Earnings for the 4th quarter ended December 31, 2009 totaled $1.048 million or $0.68 per share compared to earnings of $1.172 million or $0.74 per share for the 4th quarter of 2008. Net interest income before the provision for loan loss was $4.977 million, an improvement of 16% over the 4th quarter of 2008 net interest income of $4.103 million. Net interest income after the provision for loan loss totaled $4.377 million for the 4th quarter 2009, up 7 % from $4.103 million for the prior year 4th quarter. Non-interest income for the 4th quarter of 2009 was $791 thousand, up 10% compared to $722 thousand for the same period in 2008. Non-interest expense was $3.692 million for the 4th quarter 2009 compared to $3.129 million for the 4th quarter of 2008. The increase in non-interest expense in 2009 reflects the higher ongoing FDIC insurance premiums of $349 thousand, up $272 thousand, representing an increase of 353% over premiums of $77 thousand for the 4th quarter of 2008.
Net income for the year ended December 31, 2009 was $3.592 million or $2.33 per share compared to earnings of $4.198 million or $2.68 per share for the year ended December 31, 2008. Net interest income before provision for loan loss for 2009 grew 12% to $18.815 million compared to $16.869 million for 2008. Provision for loan loss of $1.625 million for the full year in 2009 compared to $654 thousand for 2008. The improvement in net interest income resulted from the combined effect of a 28% decline in the Bank’s cost of funds less a 7% drop in the yield on earning assets. Lower deposit costs resulted from the downward repricing of deposits as the Fed Funds Target rate remained at a range of 0 to .25% throughout 2009. Total non-interest income of $1.889 million in 2009 compares to $2.582 million for 2008. The lower level of non-interest income in 2009 was due to a one-time charge to earnings totaling $990 thousand resulting from the mark-to-market of an other than temporarily impaired investment security. Excluding this one-time charge to earnings, non-interest income for 2009 increased $297 thousand or 12 % over 2008. Non-interest expense of $14.041 million in 2009 increased 10% over non-interest expense of $12.737 million in 2008. Operating expense and earnings for 2009 have been negatively impacted by higher FDIC insurance expense. The recurring premium per deposit dollar assessed by the FDIC on banks increased substantially during 2009. In addition, during 2009 the FDIC implemented a special assessment on the banking industry to help replenish the insurance fund. As a result, FDIC insurance expense totaled $914 thousand for 2009, an increase of $717 thousand or 364% over $197 thousand in 2008. The special assessment and the increase in quarterly premiums have been imposed on all FDIC insured financial institutions.
Total assets outstanding increased 3% to $524 million at year-end 2009, an increase of $17 million from assets of $507 million at the end of 2008. Net loans outstanding grew to $393 million, up 4% over loans of $377 million at the end of 2008. Deposits increased 3% to $454 million at December 31, 2009. Total shareholders’ equity grew to $44.3 million, up 8% from $41.1 million at year-end 2008.
Based upon shares outstanding the book value of shareholders’ equity increased 9% from $26.57 at year end 2008 to $28.83 per share at December 31, 2009. With interest rates at historically low levels, unrealized after-tax net gains of the Bank’s bond portfolio more than doubled to $2.532 million, up $1.711 million in 2009.
McComb stated, “Despite unprecedented challenges for our industry, Heartland finished 2009 with increased assets and capital, a strong reputation in our marketplace, and a sense of increasing optimism as we approach our 100-year anniversary. Heartland Bank exceeds a Well-Capitalized regulatory rating, a high degree of liquidity and is financially strong. Expanding customer relationships while maintaining asset quality and mitigating risk remains our primary focus as we continue our pursuit of loan and overall balance sheet growth. We continue to adhere to our fundamental banking principles to conduct our business and to enhance our shareholders’ value. I am pleased to announce our Board of Directors declared a 1st quarter 2010 cash dividend of $0.3217 per share to shareholders of record March 25, 2010, payable April 10, 2010, resulting in a dividend yield of 6.86% based on the closing price of our shares at December 31, 2009. This brings our full year cash dividend to $1.27 per share, up 3% from $1.23 per share in 2008.”
Heartland Bank provides a complete line of loan and deposit products accessible from any of our banking offices and ATMs, as well as from home or office using Heartland’s telephone banking at 416-BANK or internet banking at www.heartlandbank.com
Heartland BancCorp is a registered Ohio bank holding company and the parent of Heartland Bank, which operates eleven full-service banking offices. Alternative investment services are provided through Infinex Financial Group. Heartland Bank is a member of the Federal Reserve, a member of the FDIC and an Equal Housing Lender. Heartland BancCorp is currently quoted on the over-the-counter (OTC) Bulletin Board Service under the symbol HLAN.
For Immediate Release: January 27, 2010 – 4:00 p.m.
Contact: Tiney M. McComb – Chairman & CEO
Phone: 614-337-4600
Heartland BancCorp Announces 4th Quarter and Full Year 2009 Earnings, Increase in Net Income...
01-Feb-2010 Heartland BancCorp Announces 4th Quarter and Full Year 2009 Earnings, Increase in Net Interest IncomeContinued Loan and Deposit Growth
Directors Declare Cash Dividend
Tiney M. McComb, Chairman and CEO of Heartland BancCorp, parent company of Heartland Bank, today announced 4th quarter and full year 2009 earnings and balance sheet growth.
Earnings for the 4th quarter ended December 31, 2009 totaled $1.048 million or $0.68 per share compared to earnings of $1.172 million or $0.74 per share for the 4th quarter of 2008. Net interest income before the provision for loan loss was $4.977 million, an improvement of 16% over the 4th quarter of 2008 net interest income of $4.103 million. Net interest income after the provision for loan loss totaled $4.377 million for the 4th quarter 2009, up 7 % from $4.103 million for the prior year 4th quarter. Non-interest income for the 4th quarter of 2009 was $791 thousand, up 10% compared to $722 thousand for the same period in 2008. Non-interest expense was $3.692 million for the 4th quarter 2009 compared to $3.129 million for the 4th quarter of 2008. The increase in non-interest expense in 2009 reflects the higher ongoing FDIC insurance premiums of $349 thousand, up $272 thousand, representing an increase of 353% over premiums of $77 thousand for the 4th quarter of 2008.
Net income for the year ended December 31, 2009 was $3.592 million or $2.33 per share compared to earnings of $4.198 million or $2.68 per share for the year ended December 31, 2008. Net interest income before provision for loan loss for 2009 grew 12% to $18.815 million compared to $16.869 million for 2008. Provision for loan loss of $1.625 million for the full year in 2009 compared to $654 thousand for 2008. The improvement in net interest income resulted from the combined effect of a 28% decline in the Bank’s cost of funds less a 7% drop in the yield on earning assets. Lower deposit costs resulted from the downward repricing of deposits as the Fed Funds Target rate remained at a range of 0 to .25% throughout 2009. Total non-interest income of $1.889 million in 2009 compares to $2.582 million for 2008. The lower level of non-interest income in 2009 was due to a one-time charge to earnings totaling $990 thousand resulting from the mark-to-market of an other than temporarily impaired investment security. Excluding this one-time charge to earnings, non-interest income for 2009 increased $297 thousand or 12 % over 2008. Non-interest expense of $14.041 million in 2009 increased 10% over non-interest expense of $12.737 million in 2008. Operating expense and earnings for 2009 have been negatively impacted by higher FDIC insurance expense. The recurring premium per deposit dollar assessed by the FDIC on banks increased substantially during 2009. In addition, during 2009 the FDIC implemented a special assessment on the banking industry to help replenish the insurance fund. As a result, FDIC insurance expense totaled $914 thousand for 2009, an increase of $717 thousand or 364% over $197 thousand in 2008. The special assessment and the increase in quarterly premiums have been imposed on all FDIC insured financial institutions.
Total assets outstanding increased 3% to $524 million at year-end 2009, an increase of $17 million from assets of $507 million at the end of 2008. Net loans outstanding grew to $393 million, up 4% over loans of $377 million at the end of 2008. Deposits increased 3% to $454 million at December 31, 2009. Total shareholders’ equity grew to $44.3 million, up 8% from $41.1 million at year-end 2008.
Based upon shares outstanding the book value of shareholders’ equity increased 9% from $26.57 at year end 2008 to $28.83 per share at December 31, 2009. With interest rates at historically low levels, unrealized after-tax net gains of the Bank’s bond portfolio more than doubled to $2.532 million, up $1.711 million in 2009.
McComb stated, “Despite unprecedented challenges for our industry, Heartland finished 2009 with increased assets and capital, a strong reputation in our marketplace, and a sense of increasing optimism as we approach our 100-year anniversary. Heartland Bank exceeds a Well-Capitalized regulatory rating, a high degree of liquidity and is financially strong. Expanding customer relationships while maintaining asset quality and mitigating risk remains our primary focus as we continue our pursuit of loan and overall balance sheet growth. We continue to adhere to our fundamental banking principles to conduct our business and to enhance our shareholders’ value. I am pleased to announce our Board of Directors declared a 1st quarter 2010 cash dividend of $0.3217 per share to shareholders of record March 25, 2010, payable April 10, 2010, resulting in a dividend yield of 6.86% based on the closing price of our shares at December 31, 2009. This brings our full year cash dividend to $1.27 per share, up 3% from $1.23 per share in 2008.”
Heartland Bank provides a complete line of loan and deposit products accessible from any of our banking offices and ATMs, as well as from home or office using Heartland’s telephone banking at 416-BANK or internet banking at www.heartlandbank.com
Heartland BancCorp is a registered Ohio bank holding company and the parent of Heartland Bank, which operates eleven full-service banking offices. Alternative investment services are provided through Infinex Financial Group. Heartland Bank is a member of the Federal Reserve, a member of the FDIC and an Equal Housing Lender. Heartland BancCorp is currently quoted on the over-the-counter (OTC) Bulletin Board Service under the symbol HLAN.
For Immediate Release: January 27, 2010 – 4:00 p.m.
Contact: Tiney M. McComb – Chairman & CEO
Phone: 614-337-4600
© 2010 Heartland Bank. | Member FDIC
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