Oregon Bancorp, Inc. (OTCBB: ORBN) (the “Company”), parent company of Willamette Valley Bank, reported net income of $3,352,737 for the second quarter of 2019 compared to $2,333,249 during the second quarter of 2018. This represents a 44% increase from the year ago quarter. The improvement in quarterly net income was the result of a 16% increase in commercial loan balances and 26% increase in mortgage production from the second quarter of 2018.
Quarterly return on assets rose to 5.21% compared to 4.22% in the year-ago period and return on equity reached 45.02% compared to 38.30% in the second quarter of 2018. Total assets rose to $257 million from $225 million and earnings per share for the quarter were $1.45 compared to $1.03 for the same quarter a year ago. The company declared a quarterly dividend of $0.11 per share that was paid on July 15, 2019.
“A reduction in mortgage rates helped propel an increase in mortgage activity building on last year’s solid results,” stated Neil Grossnicklaus, Chief Executive Officer. “We are pleased with our strong performance and hope to build upon our success moving through the rest of the year.”
About Oregon Bancorp, Inc.
Oregon Bancorp, Inc. is the parent company of Willamette Valley Bank (Bank), a community bank headquartered in Salem, Oregon. The Bank operates full-service branches in Salem, Keizer, Silverton, and Albany, Oregon. The Bank also operates Home Loan Centers in Bend, Eugene, Grants Pass, Medford, Portland, Tualatin, and West Linn, Oregon, Vancouver, Spokane, Newport and Yakima, Washington, and Coeur d’Alene and Meridian, Idaho. For more information about Oregon Bancorp, Inc. or its subsidiary, Willamette Valley Bank, please call (503) 485-2222 or visit our website at www.willamettevalleybank.com.
| CONSOLIDATED BALANCE SHEETS | |||||||||||
| Unaudited | |||||||||||
| June 30, | March 31, | ||||||||||
| Summary Statements of Condition | 2019 | 2018 | 2019 | ||||||||
| Cash and short term investments | $ | 27,549,342 | $ | 35,472,733 | $ | 50,690,431 | |||||
| Investments | - | - | - | ||||||||
| Loans: | |||||||||||
| Commercial | 8,927,461 | 8,829,744 | 154,312,573 | ||||||||
| Commercial real estate | 151,544,604 | 128,428,107 | 9,167,333 | ||||||||
| Other | 3,726,059 | 4,127,822 | 3,664,107 | ||||||||
| Loan loss reserve and unearned income | (1,782,693 | ) | (1,610,595 | ) | (1,793,018 | ) | |||||
| Total net loans | 162,415,431 | 139,775,078 | 165,350,995 | ||||||||
| Loans available for sale | 54,128,103 | 37,557,008 | 35,097,337 | ||||||||
| Property and other assets | 13,747,473 | 11,754,774 | 13,280,591 | ||||||||
| Total assets | $ | 257,840,349 | $ | 224,559,593 | $ | 264,419,354 | |||||
| Deposits: | |||||||||||
| Noninterest-bearing demand | $ | 41,478,578 | $ | 32,878,975 | $ | 38,812,158 | |||||
| Interest-bearing demand | 20,744,371 | 16,004,621 | 20,889,812 | ||||||||
| Savings and Money Market | 52,332,747 | 43,812,417 | 71,967,100 | ||||||||
| Certificates of deposit | 101,433,425 | 100,502,958 | 95,554,401 | ||||||||
| Total deposits | 215,989,121 | 193,198,971 | 227,223,471 | ||||||||
| Other liabilities | 9,882,383 | 5,813,718 | 8,591,185 | ||||||||
| Shareholders' equity | 31,968,845 | 25,546,904 | 28,604,698 | ||||||||
| Total liabilities and shareholders' equity | $ | 257,840,349 | $ | 224,559,593 | $ | 264,419,354 | |||||
| Book value per share | $ | 13.77 | $ | 12.20 | $ | 12.40 | |||||
| CONSOLIDATED STATEMENTS OF NET INCOME | |||||||||||
| Unaudited | |||||||||||
| Six Months Ending | Three Months Ending | ||||||||||
| June 30, 2019 | June 30, 2018 | June 30, 2019 | June 30, 2018 | ||||||||
| Interest income | $ | 5,973,814 | $ | 4,780,820 | $ | 3,111,986 | $ | 2,574,988 | |||
| Interest expense | 1,119,539 | 752,729 | 591,740 | 402,423 | |||||||
| Net interest income | 4,854,275 | 4,028,091 | 2,520,246 | 2,172,565 | |||||||
| Less Provision for loan losses | 190,000 | - | - | - | |||||||
| Noninterest income | 19,596,582 | 17,066,487 | 11,630,066 | 9,645,618 | |||||||
| Noninterest expense | 17,842,141 | 16,314,857 | 9,910,504 | 8,683,294 | |||||||
| Net income before income taxes | 6,418,716 | 4,779,721 | 4,239,808 | 3,134,889 | |||||||
| Provision for income taxes | 1,444,547 | 1,224,471 | 887,071 | 801,640 | |||||||
| Net income after income taxes | $ | 4,974,169 | $ | 3,555,250 | $ | 3,352,737 | $ | 2,333,249 | |||
| Net income per share, basic | $ | 2.16 | $ | 1.58 | $ | 1.45 | $ | 1.03 | |||
Forward Looking Statements
Certain statements in this release may be deemed “forward-looking statements”. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190719005037/en/
Contacts:
Ryan Dempster
Oregon Bancorp, Inc.
503-485-2222
bank@wvbk.com
