Press Release

DNB Financial Corporation Reports Fourth Quarter and Full Year 2018 Results

Company Release - 1/24/2019 8:00 AM ET

DOWNINGTOWN, Pa., Jan. 24, 2019 (GLOBE NEWSWIRE) -- DNB Financial Corporation (Nasdaq: DNBF), today reported net income of $3.0 million, or $0.69 per diluted share, for the quarter ending December 31, 2018, compared with $808,000, or $0.19 per diluted share, for the same quarter, last year.  For the year ending December 31, 2018, net income was $10.7 million, or $2.48 per diluted share, compared with $7.9 million, or $1.85 per diluted share, for the same period last year.  Fourth quarter and full year 2017 results were impacted by a $1.8 million charge, or $0.43 per diluted share, to adjust deferred taxes due to the enactment of the Tax Cuts and Jobs Act (the “Tax Act”) in December 2017.

DNB Financial Corporation (the “Company” or “DNB”) is the parent of DNB First, National Association, one of the first nationally-chartered community banks to serve the greater Philadelphia region.

William J. Hieb, President and CEO, stated, “Our fourth quarter results provide further evidence of the strength and flexibility of the Company’s business strategy.  Although the flat yield curve poses a challenge for all banks, we are confident that our prudent commercial loan growth, conservative credit culture, and judicious expense management will benefit our shareholders.”

Highlights

  • Total loans increased 2.9% (not annualized) on a sequential quarter basis and 10.5% since December 31, 2017.  Total commercial loans grew 4.2% (not annualized) on a sequential quarter basis and were 83.3% of total loans as of December 31, 2018.
  • The net interest margin was 3.45% for the quarter ending December 31, 2018, compared with 3.39% for the previous quarter and 3.74% for the three months ending December 31, 2017.
  • Asset quality remained stable as net charge-offs were only 0.10% (annualized) of total average loans for the fourth quarter of 2018.  Non-performing loans were 0.62% of total loans at December 31, 2018.
  • Wealth management assets under care were $253.3 million as of December 31, 2018, compared with $252.8 million as of December 31, 2017.  Wealth management fees represented approximately 37% of total fee income for the fourth quarter of 2018.
  • The Company paid a quarterly cash dividend of $0.07 per share on December 10, 2018.

Income Statement Summary

Net income of $3.0 million for the fourth quarter of 2018, generated a return on average assets (“ROAA”) and return on average tangible equity (“ROTE”) (a non-GAAP measure) of 1.03% and 12.62%, respectively.  A discussion of non-GAAP measures in this release is included below and a reconciliation of this and other non-GAAP to GAAP measures is included in the Financial Tables below.

Net interest income for the three months ending December 31, 2018 was $9.6 million, which represented a $407,000 increase from the quarter ending September 30, 2018, and a $90,000 decrease from the quarter ending December 31, 2017.  The net interest margin for the fourth quarter of 2018 was 3.45%; which represented a six basis point increase on a sequential quarter basis.  The year-over-year net interest margin decline of 29 basis points was primarily due to a $245,208 net reduction in purchase accounting marks and the higher cost of interest-bearing liabilities, which was partially offset by a $92.7 million increase in total average loans.  For the fourth quarters of 2018 and 2017, the weighted average yields on total interest-earning assets were 4.44% and 4.35%, respectively, which included purchase accounting marks.  On a year-over year basis, the weighted average yield on loans remained at approximately 4.85% as higher yields on newly-originated and purchased loans along with existing adjustable-rate loans offset the reduction in purchase accounting marks.

Total interest expense was $2.8 million for the three months ending December 31, 2018, compared with $2.5 million for the three months ending September 30, 2018 and $1.6 million for the fourth quarter of 2017.  The weighted average rate paid for interest-bearing liabilities was 1.07%, 0.98%, and 0.66% for the quarters ending December 31, 2018, September 30, 2018 and December 31, 2017, respectively.  The rise in the weighted average rate was primarily due to an overall increase in market interest rates.

The provision for credit losses was $350,000 for the fourth quarter of 2018, compared with $100,000 for the quarter ending September 30, 2018, and $375,000 for the quarter ending December 31, 2017.  As of December 31, 2018, the allowance for credit losses was $6.7 million and represented 0.71% of total loans.  Loans acquired in connection with the purchase of East River Bank in 2016 were recorded at fair value based on an initial estimate of expected cash flows, including a reduction for estimated credit losses, and without carryover of the respective portfolio's historical allowance for credit losses. 

Total non-interest income for the fourth quarter of 2018 remained fairly steady at $1.3 million, compared with $1.4 million for both the third quarter of 2018 and the quarter ending December 31, 2017.  Wealth management fees were $466,000 for the fourth quarter of 2018, compared with $542,000 for the third quarter of 2018, and $456,000 for the fourth quarter of 2017.  Wealth management fees represented approximately 37% of total fee income. 

Non-interest expense was approximately $6.8 million for both quarters ending December 31, 2018 and September 30, 2018, compared with $7.2 million for the quarter ending December 31, 2017.  The efficiency ratio was approximately 62% for the three months ended December 31, 2018.

Income tax expense was $643,000 for the three months ending December 31, 2018, and $2.3 million for the year ending December 31, 2018.  Fourth quarter and full year 2017 results were impacted by a $1.8 million charge, or $0.43 per diluted share, to adjust deferred taxes due to the enactment of the Tax Act in December 2017.  The Tax Act provided significant changes including a reduction of the federal corporate tax rate to 21% from 34%, effective January 1, 2018. 

Balance Sheet Summary      

As of December 31, 2018, total assets were $1.2 billion.  Since December 31, 2017, total assets increased $76.3 million, or 7.1%.  Total loan growth of $89.1 million, or 10.5% was partially offset by a $15.5 million, or 8.9% decrease in total investment securities.  Total deposits increased $125.6 million, or 14.6% since December 31, 2017, mainly due to growth in NOW, time, and brokered deposits.  As of December 31, 2018, total shareholders’ equity was $111.8 million, compared with $101.9 million as of December 31, 2017.  Tangible book value per share (a non-GAAP measure) was $22.21 as of December 31, 2018, compared with $20.06 as of December 31, 2017. See Reconciliation of Non-GAAP Financial Measures on page 10.

As of December 31, 2018, total loans were $935.0 million, or 80.7% of total assets.  At the same date, commercial loans, a key strategic emphasis, totaled $778.4 million and represented 83.3% of total loans.  The Company views commercial loan growth as the highest and best use of its capital as they generally have higher yields and shorter durations.  Total commercial loans increased $89.0 million, or 12.9% since December 31, 2017.  Loan originations have been prudent and conservative underwriting standards have been maintained.

Total core deposits increased $37.1 million, or 5.5% since December 31, 2017, and were 72.6% of total deposits as of December 31, 2018.  As of the same date, non-interest bearing deposits were 16.7% of total deposits.  Time and brokered deposits increased $88.4 million, or 48.5%, throughout 2018. The Company used these deposits to help fund loan growth due to their more favorable rates and maturities, compared with other funding sources.  As of December 31, 2018, the loan-to-deposit ratio was 94.8%.  Over the past year, borrowed funds decreased $57.5 million, or 51%, to $55.3 million as of December 31, 2018.

Capital ratios continue to exceed all regulatory guidelines.  As of December 31, 2018, the tier 1 leverage ratio was 9.48%, the tier 1 risk-based capital ratio was 11.74%, the common equity tier 1 risk-based capital ratio was 10.76% and the total risk based capital ratio was 13.57%.  As of the same date, the tangible common equity-to-tangible assets ratio (a non-GAAP measure) was 8.40%.  Intangible assets and goodwill totaled $15.9 million as of December 31, 2018. See Reconciliation of Non-GAAP Financial Measures on page 10.

Asset Quality Summary

Asset quality remained stable as net charge-offs were 0.10% (annualized) of total average loans for the quarter ending December 31, 2018, and 0.04% for the year ending December 31, 2018.  Total non-performing assets, including loans and other real estate property, were $10.8 million as of December 31, 2018, compared with $11.5 million as of September 30, 2018, and $12.6 million as of December 31, 2017.  The ratio of non-performing loans to total loans was 0.62% as of December 31, 2018, versus 0.89% as of December 31, 2017.    

Interest Rate Risk Management
DNB's strategy has been to seek shorter duration over yield in its lending and investing activities and lengthen duration in its financing activities to minimize interest rate risk.  The Company also strives to offer products and services that develop strong relationships to retain core deposits. The Bank has an Asset Liability Management Committee that actively monitors and manages the bank's interest rate exposure using simulation models and gap analysis. The Committee's primary objective is to minimize the adverse impact of changes in interest rates on net interest income, while maximizing earnings.  Simulation model results show moderate liability sensitivity to rising rates in 100, 200, 300 and 400 basis point shock scenarios. Rate changes ramped in over 24 months also show moderate liability sensitivity.

Non-GAAP Based Financial Measures

The income statement summary and selected financial data contains non-GAAP financial measures calculated using non-GAAP amounts. These measures are tangible book value per common share, return on average tangible equity and tangible equity to tangible assets. Tangible book value per share adjusts the numerator by the amount of Goodwill and Other Intangible Assets (reduction of Shareholders' Equity). Return on average tangible equity adjusts the denominator by the amount of Goodwill and Other Intangible Assets (reduction of Shareholders’ Equity). Tangible equity to tangible assets adjusts the numerator by the amount of Goodwill and Other Intangible Assets (reduction of Shareholders’ Equity) and adjust the denominator by the amount of Goodwill and Other Intangible Assets (reduction of Total Assets). Management uses non-GAAP measures to present historical periods comparable to the current period presentation. In addition, management believes the use of non-GAAP measures provides additional clarity when assessing our financial results and use of equity. Disclosures of this type should not be viewed as substitutes for results determined to be in accordance with U.S. GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other entities.

General Information

DNB Financial Corporation is a bank holding company whose bank subsidiary, DNB First, National Association, is a community bank headquartered in Downingtown, Pennsylvania with 15 locations. DNB First, which was founded in 1860, provides a broad array of consumer and business banking products, and offers brokerage and insurance services through DNB Investments & Insurance, and investment management services through DNB Investment Management & Trust. DNB Financial Corporation's shares are traded on NASDAQ’s Capital Market under the symbol: DNBF. We invite our customers and shareholders to visit our website at https://www.dnbfirst.com. DNB's Investor Relations site can be found at http://investors.dnbfirst.com/.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, expectations or predictions of future financial or business performance. These forward-looking statements include statements with respect to DNB’s beliefs, plans, objectives, goals, expectations, anticipations, estimates and intentions, that are subject to significant risks and uncertainties, and are subject to change based on various factors (some of which are beyond DNB’s control). The words "may," "could," "should," "would," "will," "believe," "anticipate," "estimate," "expect," "intend," "plan" and similar expressions are intended to identify forward-looking statements.

In addition to factors previously disclosed in the reports filed by DNB with the Securities and Exchange Commission (the “SEC”) and those identified elsewhere in this document, the following factors, among others, could cause actual results to differ materially from forward looking statements or historical performance: the strength of the United States economy in general and the strength of the local economies in which DNB conducts its operations; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; the downgrade, and any future downgrades, in the credit rating of the U.S. Government and federal agencies; inflation, interest rate, market and monetary fluctuations; the timely development of and acceptance of new products and services and the perceived overall value of these products and services by users, including the features, pricing and quality compared to competitors' products and services; the willingness of users to substitute competitors’ products and services for DNB’s products and services; the success of DNB in gaining regulatory approval of its products and services, when required; the impact of changes in laws and regulations applicable to financial institutions (including laws concerning taxes, banking, securities and insurance); technological changes; additional acquisitions; changes in consumer spending and saving habits; the nature, extent, and timing of governmental actions and reforms; and the success of DNB at managing the risks involved in the foregoing. Further, DNB’s expectations with respect to the effects of the new tax law could be affected by future clarifications, amendments, and interpretations of such law. Annualized, pro forma, projected and estimated numbers presented herein are presented for illustrative purpose only, are not forecasts and may not reflect actual results.

DNB cautions that the foregoing list of important factors is not exclusive. Readers are also cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date of this press release, even if subsequently made available by DNB on its website or otherwise. DNB does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of DNB to reflect events or circumstances occurring after the date of this press release.

For a complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review our filings with the SEC, including our most recent annual report on Form 10-K, as supplemented by our quarterly or other reports subsequently filed with the SEC.

FINANCIAL TABLES FOLLOW

            
DNB Financial Corporation
Condensed Consolidated Statements of Income (Unaudited)
(Dollars in thousands, except per share data)
            
 Three Months Ended Twelve Months Ended
 Dec 31, Dec 31,
  2018   2017   2018  2017
  EARNINGS:           
  Interest income$ 12,338   $ 11,241   $ 46,175  $ 43,385 
  Interest expense  2,780     1,593     9,371    5,720 
  Net interest income  9,558     9,648     36,804    37,665 
  Provision for credit losses  350     375     1,200    1,660 
  Non-interest income  1,268     1,250     5,199    5,012 
  Gain from insurance proceeds  -    123     8    203 
  Gain on sale of investment securities  -    25     -   50 
  Gain on sale of SBA loans  1     21     38    153 
  Loss on sale / write-down of OREO and ORA  20     -    171    121 
  Due diligence & merger expense  -    -    -   77 
  Non-interest expense  6,812     7,202     27,704    27,823 
  Income before income taxes(1)  3,645     3,490     12,974    13,402 
  Income tax expense  643     2,682     2,290    5,456 
  Net income$ 3,002   $ 808   $ 10,684  $ 7,946 
  Net income per common share, diluted$ 0.69   $ 0.19   $ 2.48  $ 1.85 
            
(1) Net income before income taxes includes net accretion of purchase accounting fair value adjustments of $190,000 and $935,000 for the three and twelve month periods ended December, 31, 2018, respectively, compared with $433,000 and $2.2 million for the same periods last year.
      
      
Condensed Consolidated Statements of Financial Condition (Unaudited)     
(Dollars in thousands)     
        
  Dec 31,  Dec 31,  
  2018   2017       
 FINANCIAL POSITION:           
  Cash and cash equivalents$ 17,321   $ 10,917        
  Investment securities  158,669     174,173        
  Loans held for sale  419     651        
  Loans  934,971     845,897        
  Allowance for credit losses  (6,675)   (5,843)      
  Net loans  928,296     840,054        
  Premises and equipment, net  7,636     8,649        
  Restricted Stock  5,616     7,641        
  Other assets  40,278     39,830        
  Total assets$ 1,158,235   $ 1,081,915        
            
  Deposits$ 986,771   $ 861,203        
  FHLB advances  32,935     79,013        
  Repurchase agreements  -    12,023        
  Other borrowings  12,584     12,017        
  Subordinated debt  9,750     9,750        
  Other liabilities  4,349     5,967        
  Stockholders' equity  111,846     101,942        
  Total liabilities and stockholders' equity$ 1,158,235   $ 1,081,915        
            
       


               
DNB Financial Corporation
Selected Financial Data (Unaudited)
(In thousands, except per share data)
               
 Quarterly
 2018  2018  2018  2018  2017 
 4th Qtr 3rd Qtr 2nd Qtr 1st Qtr 4th Qtr
Earnings and Per Share Data              
  Net income$3,002  $3,020  $2,049  $2,613  $808 
  Basic earnings per common share$0.70  $0.70  $0.48  $0.61  $0.19 
  Diluted earnings per common share (2)$0.69  $0.70  $0.47  $0.61  $0.19 
  Dividends per common share$0.07  $0.07  $0.07  $0.07  $0.07 
  Book value per common share$25.88  $25.06  $24.49  $24.15  $23.78 
  Tangible book value per common share (Non-GAAP)$22.21  $21.38  $20.79  $20.44  $20.06 
  Average common shares outstanding 4,317   4,307   4,298   4,291   4,274 
  Average diluted common shares outstanding 4,320   4,318   4,314   4,309   4,297 
               
Performance Ratios              
  Return on average assets 1.03%  1.07%  0.74%  0.97%  0.30%
  Return on average equity 10.80%  11.17%  7.79%  10.25%  3.10%
  Return on average tangible equity (Non-GAAP) 12.62%  13.11%  9.18%  12.12%  3.66%
  Yield on Loans and Leases 4.85%  4.74%  4.70%  4.71%  4.85%
  Cost of Deposits 0.97%  0.86%  0.77%  0.63%  0.52%
  Net interest margin 3.45%  3.39%  3.44%  3.51%  3.74%
  Efficiency ratio 62.45%  63.68%  70.39%  64.61%  64.73%
  Wtd average yield on earning assets 4.44%  4.30%  4.28%  4.24%  4.35%
               
Asset Quality Ratios              
  Net charge-offs (recoveries) to average loans 0.10%  (0.12%)  0.15%  0.04%  0.06%
  Non-performing loans/Total loans 0.62%  0.71%  0.76%  0.97%  0.89%
  Non-performing assets/Total assets 0.94%  1.02%  1.05%  1.22%  1.16%
  Allowance for credit loss/Total loans 0.71%  0.72%  0.70%  0.71%  0.69%
  Allowance for credit loss/Non-performing loans 115.50%  101.36%  91.76%  73.08%  77.36%
               
Capital Ratios              
  Total equity/Total assets 9.66%  9.58%  9.29%  9.42%  9.42%
  Tangible equity/Tangible assets (Non-GAAP) 8.40%  8.29%  8.00%  8.09%  8.07%
  Tier 1 leverage ratio 9.48%  9.48%  9.35%  9.33%  9.19%
  Common equity tier 1 risk-based capital ratio 10.76%  10.91%  10.69%  10.63%  10.71%
  Tier 1 risk based capital ratio 11.74%  11.93%  11.72%  11.67%  11.80%
  Total risk based capital ratio 13.57%  13.83%  13.59%  13.56%  13.73%
               
Wealth Management Assets Under Care(1)$253,323  $269,074  $257,797  $260,324  $252,823 
               
(1) Wealth Management Assets Under Care includes assets under management, administration, supervision and brokerage.
(2) The sum of the four quarters EPS data does not equal the annual EPS data due to rounding.


                
DNB Financial Corporation 
Condensed Consolidated Statements of Income (Unaudited) 
(Dollars in thousands, except per share data) 
                
 Three Months Ended 
 Dec 31, Sept 30, June 30, Mar 31, Dec 31, 
 2018  2018  2018  2018  2017  
  EARNINGS:               
  Interest income$ 12,338   $ 11,635   $ 11,289   $ 10,913   $ 11,241   
  Interest expense  2,780     2,484     2,221     1,886     1,593   
  Net interest income  9,558     9,151     9,068     9,027     9,648   
  Provision for credit losses  350     100     375     375     375   
  Non-interest income  1,268     1,336     1,322     1,273     1,250   
  Gain from insurance proceeds  -    8     -    -    123   
  Gain on sale of investment securities  -    -    -    -    25   
  Gain on sale of SBA loans  1     27     10     -    21   
  Loss on sale / write-down of OREO and ORA  20     11     140     -    -  
  Non-interest expense  6,812     6,762     7,400     6,730     7,202   
  Income before income taxes  3,645     3,649     2,485     3,195     3,490   
  Income tax expense  643     629     436     582     2,682   
  Net income(1)$ 3,002   $ 3,020   $ 2,049   $ 2,613   $ 808   
  Net income per common share, diluted$ 0.69   $ 0.70   $ 0.47   $ 0.61   $ 0.19   
                
(1) Fourth quarter 2017 results were impacted by a $1.8 million charge, or $0.43 per diluted share, to adjust deferred taxes due to the enactment of the Tax Cuts and Jobs Act. 
  
  
Condensed Consolidated Statements of Financial Condition (Unaudited) 
(Dollars in thousands) 
 Dec 31, Sept 30, June 30, Mar 31, Dec 31, 
 2018  2018  2018  2018  2017  
  FINANCIAL POSITION:               
  Cash and cash equivalents$ 17,321   $ 10,702   $ 33,452   $ 14,078   $ 10,917   
  Investment securities  158,669     161,230     165,574     171,108     174,173   
  Loans held for sale  419     -    276     646     651   
  Loans and leases  934,971     908,293     885,320     864,345     845,897   
  Allowance for credit losses  (6,675)   (6,559)   (6,188)   (6,145)   (5,843) 
  Net loans and leases  928,296     901,734     879,132     858,200     840,054   
  Premises and equipment, net  7,636     7,881     8,150     8,366     8,649   
  Goodwill  15,525     15,525     15,525     15,525     15,525   
  Restricted Stock  5,616     5,864     6,950     7,363     7,641   
  Other assets  24,753     25,179     24,550     24,744     24,305   
  Total assets$ 1,158,235   $ 1,128,115   $ 1,133,609   $ 1,100,030   $ 1,081,915   
                
  Demand$ 164,746   $ 168,311   $ 175,561   $ 172,044   $ 176,815   
  NOW  238,276     213,707     216,261     207,538     199,310   
  Money market  235,023     227,797     254,061     253,757     221,726   
  Savings  77,979     78,996     80,044     81,635     81,050   
  Core deposits  716,024     688,811     725,927     714,974     678,901   
  Time deposits  162,096     154,021     114,766     115,214     140,490   
  Brokered deposits  108,651     97,049     93,422     61,598     41,812   
  Total deposits  986,771     939,881     934,115     891,786     861,203   
  FHLB advances  32,935     36,952     62,972     67,993     79,013   
  Repurchase agreements  -    4,089     5,609     10,717     12,023   
  Subordinated debt  9,750     9,750     9,750     9,750     9,750   
  Other borrowings  12,584     22,833     9,615     9,630     12,017   
  Other liabilities  4,349     6,551     6,215     6,484     5,967   
  Stockholders' equity  111,846     108,059     105,333     103,670     101,942   
  Total liabilities and stockholders' equity$ 1,158,235   $ 1,128,115   $ 1,133,609   $ 1,100,030   $ 1,081,915   
                


                
DNB Financial Corporation
Condensed Consolidated Statements of Financial Condition - Quarterly Average Balances (Unaudited)
(Dollars in thousands)
                
  Dec 31,  Sept 30,  June 30,  Mar 31,  Dec 31, 
  2018   2018   2018   2018   2017  
  FINANCIAL POSITION:               
  Cash and cash equivalents$ 25,269   $ 21,676   $ 20,528   $ 16,509   $ 23,513   
  Investment securities  159,717     163,800     168,836     172,488     173,959   
  Loans held for sale  320     338     642     113     34   
  Loans and leases  919,985     889,113     869,166     851,623     827,273   
  Allowance for credit losses  (6,550)   (6,567)   (6,197)   (5,958)   (5,639) 
  Net loans and leases  913,435     882,546     862,969     845,665     821,634   
  Premises and equipment, net  7,789     8,059     8,306     8,552     8,841   
  Goodwill  15,525     15,525     15,525     15,525     15,525   
  Restricted Stock  5,759     6,262     6,836     7,674     6,795   
  Other assets  23,816     24,012     23,568     23,436     24,723   
  Total assets$ 1,151,630   $ 1,122,218   $ 1,107,210   $ 1,089,962   $ 1,075,024   
                
  Demand$ 168,495   $ 174,798   $ 170,885   $ 174,022   $ 192,700   
  NOW  222,638     215,055     206,341     204,719     196,055   
  Money market  241,777     238,679     252,825     236,165     216,853   
  Savings  78,069     79,695     80,696     80,992     81,118   
  Core deposits  710,979     708,227     710,747     695,898     686,726   
  Time deposits  157,944     141,794     114,091     133,222     142,283   
  Brokered deposits  104,161     85,690     82,957     43,739     41,814   
  Total deposits  973,084     935,711     907,795     872,859     870,823   
  FHLB advances  34,834     45,549     54,971     75,458     59,373   
  Repurchase agreements  1,168     4,644     12,042     12,364     15,388   
  Subordinated debt  9,750     9,750     9,750     9,750     9,750   
  Other borrowings  15,752     13,060     10,923     10,470     9,835   
  Other liabilities  6,780     6,193     6,277     5,657     6,298   
  Stockholders' equity  110,262     107,311     105,452     103,404     103,557   
  Total liabilities and stockholders' equity$ 1,151,630   $ 1,122,218   $ 1,107,210   $ 1,089,962   $ 1,075,024   
                




                
DNB Financial Corporation
Reconciliation of Non-GAAP Financial Measures (Unaudited)
                
Reconciliation of Tangible Book Value Per Common Share to Book Value Per Common Share
(In thousands, except share and per share data)
 Dec 31, Sept 30, June 30, Mar 31, Dec 31, 
 2018 2018 2018 2018 2017 
Stockholders' Equity$ 111,846  $ 108,059  $ 105,333  $ 103,670  $ 101,942  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  343    364    388    423    435  
Tangible common equity (Non-GAAP)$ 95,978  $ 92,170  $ 89,420  $ 87,722  $ 85,982  
                
Outstanding shares 4,321,745   4,311,860   4,301,898   4,292,689   4,286,117  
                
Book value per common share (GAAP)$ 25.88  $ 25.06  $ 24.49  $ 24.15  $ 23.78  
Tangible book value per common share (Non-GAAP)  22.21    21.38    20.79    20.44    20.06  
                
                
                
Return on Average Tangible Equity
(Dollars in thousands)For the Quarter Ended
 Dec 31, Sept 30, June 30, Mar 31, Dec 31, 
 2018 2018 2018 2018 2017 
Average Stockholders' Equity$ 110,262  $ 107,311  $ 105,452  $ 103,404  $ 103,557  
Average goodwill  15,525    15,525    15,525    15,525    15,525  
Average other intangible assets  354    376    388    423    435  
Average tangible stockholders' equity (Non-GAAP)$ 94,383  $ 91,410  $ 89,539  $ 87,456  $ 87,597  
                
Net Income$ 3,002  $ 3,020  $ 2,049  $ 2,613  $ 808  
                
Return on average stockholders' equity (GAAP)  10.80 %  11.17 %  7.79 %  10.25 %  3.10 %
Return on average tangible equity (Non-GAAP)  12.62    13.11    9.18    12.12    3.66  
                
                
                
Tangible Equity/Tangible Assets
(Dollars in thousands)
 Dec 31, Sept 30, June 30, Mar 31, Dec 31, 
 2018 2018 2018 2018 2017 
Stockholders' Equity$ 111,846  $ 108,059  $ 105,333  $ 103,670  $ 101,942  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  343    364    388    423    435  
Tangible common equity (Non-GAAP)$ 95,978  $ 92,170  $ 89,420  $ 87,722  $ 85,982  
                
Assets 1,158,235   1,128,115   1,133,609   1,100,030   1,081,915  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  343    364    388    423    435  
Tangible assets (Non-GAAP) 1,142,367   1,112,226   1,117,696   1,084,082   1,065,955  
                
Total equity/Total assets (GAAP)  9.66 %  9.58 %  9.29 %  9.42 %  9.42 %
Tangible common equity/Tangible assets (Non-GAAP)  8.40    8.29    8.00    8.09    8.07  


For further information, please contact:
Gerald F. Sopp CFO/Executive Vice-President
484.359.3138                                                                        
gsopp@dnbfirst.com   

 

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Source: DNB Financial Corp