Online Banking

Press Release

DNB Financial Corporation Reports First Quarter 2019 Results

Company Release - 4/23/2019 8:15 AM ET

DOWNINGTOWN, Pa., April 23, 2019 (GLOBE NEWSWIRE) -- DNB Financial Corporation (Nasdaq: DNBF), today reported net income of $2.6 million, or $0.60 per diluted share, for the quarter ending March 31, 2019, compared with $2.6 million, or $0.61 per diluted share, for the same quarter, last year.  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, “We are pleased with our first quarter results as they demonstrate the consistency and resiliency of our business model.  These results included certain costs - a loss on the sale of other real estate owned (OREO) of $113,000, largely contributing to a $2.7 million or 25% decline in non-performing assets, and $38,000 related to the closure of the Old City, Philadelphia branch - that will lead to increased profitability as we move forward.  Our strong capital position is complemented by an established community banking reputation that we have reinforced over many years.  We operate in robust markets that offer many opportunities for growth in banking products and services, and we remain confident that this presence, combined with our local relationships and conservative credit culture, will benefit our shareholders and customers.”

Highlights

  • Asset quality remained strong as net charge-offs were only 0.07% (annualized) of total average loans for the first quarter of 2019.  Non-performing loans were 0.49% of total loans at March 31, 2019.
  • Despite the flat yield curve that challenges all banks, the net interest margin was resilient at 3.43% for the quarter ending March 31, 2019. 
  • Non-interest bearing deposits increased $2.1 million or 1.3% (not annualized), over the past three months and represented 17.0% of total deposits at March 31, 2019.  As of the same date, core deposits were 72.4% of total deposits.
  • Wealth management assets under care were $274.0 million as of March 31, 2019, compared with $253.3 million as of December 31, 2018.  Wealth management fees represented approximately 35% of total fee income for the first quarter of 2019.
  • The Company paid a quarterly cash dividend of $0.07 per share on March 27, 2019.

Income Statement Summary

Net income of $2.6 million for the first quarter of 2019, generated a return on average assets (“ROAA”) and return on average tangible equity (“ROTE”) (a non-GAAP measure) of 0.91% and 10.7%, respectively.  A discussion of non-GAAP measures in this release is included below and a reconciliation of this and other GAAP to non-GAAP measures

Net interest income for the three months ending March 31, 2019 was $9.4 million, which represented a $160,000 decrease from the quarter ending December 31, 2018, and a $371,000 increase from the quarter ending March 31, 2018.  The net interest margin for the first quarter of 2019 was 3.43%, which represented a two basis point decline on a sequential quarter basis.  The year-over-year net interest margin decrease of eight basis points was primarily due to the higher cost of interest-bearing liabilities and a $77,000 net reduction in purchase accounting marks, which was partially offset by an $83.5 million increase in total average loans.  For the first quarters of 2019 and 2018, the weighted average yields on total interest-earning assets were 4.51% and 4.24%, respectively, which included purchase accounting marks. 

Total interest expense was $3.0 million for the three months ending March 31, 2019, compared with $2.8 million for the three months ending December 31, 2018, and $1.9 million for the first quarter of 2018.  The weighted average rate paid for interest-bearing liabilities was 1.16%, 1.07%, and 0.78% for the quarters ending March 31, 2019, December 31, 2018, and March 31, 2018, 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 $200,000 for the first quarter of 2019, compared with $350,000 for the fourth quarter of 2018, and $375,000 for the quarter ending March 31, 2018.  As of March 31, 2019, the allowance for credit losses was $6.7 million and represented 0.72% of total loans. 

Total non-interest income for the first quarter of 2019 remained fairly stable at $1.3 million, compared with both the fourth quarter of 2018, and the quarter ending March 31, 2018.  Wealth management fees were $445,000 for the first quarter of 2019, compared with $466,000 for the fourth quarter of 2018, and $435,000 for the first quarter of 2018.  Wealth management fees represented approximately 35% of total fee income. 

Non-interest expense was approximately $7.3 million for the quarter ending March 31, 2019, compared with $6.8 million for the quarter ending December 31, 2018, and $6.7 million for the quarter ending March 31, 2018.  Non-interest expense for the most recent quarter included a $113,000 loss on the sale of OREO and $38,000 associated with a branch closure in Philadelphia.  The efficiency ratio was approximately 67% for the three months ended March 31, 2019.

Income tax expense was $607,000 for the three months ending March 31, 2019, and $582,000 for the quarter ending March 31, 2018.  The effective tax rate for the most recent quarter was 19.0%, compared with 18.2%, for the same quarter, last year.

Balance Sheet Summary

As of March 31, 2019, total assets were $1.2 billion.  Since December 31, 2018, total average loans increased $15.2 million, or 1.7%, which was partially offset by a $10.0 million, or 5.5% decrease in total average investment securities and other interest-earning assets.  Total average deposits decreased $1.2 million, or less than one percent since December 31, 2018.  As of March 31, 2019, total shareholders’ equity was $115.0 million, compared with $111.8 million as of December 31, 2018.  Tangible book value per share (a non-GAAP measure) was $22.91 as of March 31, 2019, compared with $22.21 as of December 31, 2018. See Reconciliation of Non-GAAP Financial Measures on page 10.

As of March 31, 2019, total loans were $933.7 million, or 80.0% of total assets.  At the same date, commercial loans totaled $778.3 million and represented 83.4% of total loans.  The Company views commercial lending as the highest and best use of its capital as these loans generally have higher yields and shorter durations. Over the past three months, commercial business loans grew $15.7 million or 9.5%, and commercial construction loans increased $2.7 million, or 3.5%.  That growth, however, was offset by an $18.5 million, or 3.5%, decrease in commercial mortgage loans due to scheduled maturities and higher prepayments.  Consumer loans also declined over the quarter as overall loan demand appeared to weaken.  Loan originations have been prudent and conservative underwriting standards have been maintained.

Total core deposits decreased $3.7 million, or 0.5%, since December 31, 2018, and were 72.4% of total deposits as of March 31, 2019.  Non-interest bearing deposits increased $2.1 million or 1.25% (not annualized), over the past three months, and represented 17.0% of total deposits as of March 31, 2019. The $1.5 million, or 1.4%, decrease in brokered deposits was largely due to less favorable rates and maturities, compared with other funding sources, including FHLB advances.  As of March 31, 2019, the loan-to-deposit ratio was 95.3%. 

Capital ratios continue to exceed all regulatory guidelines.  As of March 31, 2019, the tier 1 leverage ratio was 9.65%, the tier 1 risk-based capital ratio was 11.97%, the common equity tier 1 risk-based capital ratio was 11.00%, and the total risk based capital ratio was 13.80%.  As of the same date, the tangible common equity-to-tangible assets ratio (a non-GAAP measure) was 8.61%.  Intangible assets and goodwill totaled $15.8 million as of March 31, 2019. See Reconciliation of Non-GAAP Financial Measures on page 10.

Asset Quality Summary

Asset quality remained strong as net charge-offs were 0.07% (annualized) of total average loans for the quarter ending March 31, 2019.  Total non-performing assets, including loans and other real estate property, were $8.1 million as of March 31, 2019, compared with $10.8 million as of December 31, 2018, and $13.4 million as of March 31, 2018.  The ratio of non-performing loans to total loans was 0.49% as of March 31, 2019, versus 0.62% as of December 31, 2018.

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 common 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 14 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 
 March 31, 
  2019   2018  
  EARNINGS:      
  Interest income$ 12,360   $ 10,913   
  Interest expense  2,962     1,886   
  Net interest income  9,398     9,027   
  Provision for credit losses  200     375   
  Non-interest income  1,271     1,273   
  Gain on sale of investment securities  3     -  
  Loss on sale / write-down of OREO and ORA  113     -  
  Non-interest expense  7,165     6,730   
  Income before income taxes(1)  3,194     3,195   
  Income tax expense  607     582   
  Net income$ 2,587   $ 2,613   
  Net income per common share, diluted$ 0.60   $ 0.61   
       
(1) Net income before taxes includes net accretion of purchase accounting fair value adjustments of $185,000 for the three month period ended March 31, 2019, compared with $262,000 for the same quarter last year.
 
Condensed Consolidated Statements of Financial Condition (Unaudited)
(Dollars in thousands)
       
  March 31,  December 31, 
  2019  2018 
  FINANCIAL POSITION:      
  Cash and cash equivalents$ 34,893   $ 17,321   
  Investment securities  148,122     158,669   
  Loans held for sale  449     419   
  Loans  933,697     934,971   
  Allowance for credit losses  (6,719)   (6,675) 
  Net loans  926,978     928,296   
  Premises and equipment, net  7,360     7,636   
  Restricted stock  6,389     5,616   
  Other assets  38,527     40,278   
  Total assets$ 1,166,694   $ 1,158,235   
       
  Deposits$ 980,257   $ 984,566   
  FHLB advances  41,918     32,935   
  Other borrowings  9,568     12,584   
  Subordinated debt  9,750     9,750   
  Other liabilities  10,215     6,554   
  Stockholders' equity  114,986     111,846   
  Total liabilities and stockholders' equity$ 1,166,694   $ 1,158,235   
       
  




               
DNB Financial Corporation
Selected Financial Data (Unaudited)
(In thousands, except per share data)
               
 Quarterly
 2019 2018 2018 2018 2018
 1st Qtr 4th Qtr 3rd Qtr 2nd Qtr 1st Qtr
Earnings and Per Share Data              
  Net income$2,587  $3,002  $3,020  $2,049  $2,613 
  Basic earnings per common share$0.60  $0.70  $0.70  $0.48  $0.61 
  Diluted earnings per common share$0.60  $0.69  $0.70  $0.47  $0.61 
  Dividends per common share$0.07  $0.07  $0.07  $0.07  $0.07 
  Book value per common share$26.57  $25.88  $25.06  $24.49  $24.15 
  Tangible book value per common share (Non-GAAP)$22.91  $22.21  $21.38  $20.79  $20.44 
  Average common shares outstanding 4,327   4,317   4,307   4,298   4,291 
  Average diluted common shares outstanding 4,330   4,320   4,318   4,314   4,309 
               
Performance Ratios              
  Return on average assets 0.91%  1.03%  1.07%  0.74%  0.97%
  Return on average equity 9.22%  10.80%  11.17%  7.79%  10.25%
  Return on average tangible equity (Non-GAAP) 10.71%  12.62%  13.11%  9.18%  12.12%
  Yield on Loans and Leases 4.90%  4.85%  4.74%  4.70%  4.71%
  Cost of Deposits 1.04%  0.97%  0.86%  0.77%  0.63%
  Net interest margin 3.43%  3.45%  3.39%  3.44%  3.51%
  Efficiency ratio 66.50%  62.45%  63.68%  70.39%  64.61%
  Wtd average yield on earning assets 4.51%  4.44%  4.30%  4.28%  4.24%
               
Asset Quality Ratios              
  Net charge-offs (recoveries) to average loans 0.07%  0.10%  (0.12%)  0.15%  0.04%
  Non-performing loans/Total loans 0.49%  0.62%  0.71%  0.76%  0.97%
  Non-performing assets/Total assets 0.69%  0.94%  1.02%  1.05%  1.22%
  Allowance for credit loss/Total loans 0.72%  0.71%  0.72%  0.70%  0.71%
  Allowance for credit loss/Non-performing loans 146.24%  115.50%  101.36%  91.76%  73.08%
               
Capital Ratios              
  Total equity/Total assets 9.86%  9.66%  9.58%  9.29%  9.42%
  Tangible equity/Tangible assets (Non-GAAP) 8.61%  8.40%  8.29%  8.00%  8.09%
  Tier 1 leverage ratio 9.65%  9.48%  9.48%  9.35%  9.33%
  Common equity tier 1 risk-based capital ratio 11.00%  10.76%  10.91%  10.69%  10.63%
  Tier 1 risk based capital ratio 11.97%  11.74%  11.93%  11.72%  11.67%
  Total risk based capital ratio 13.80%  13.57%  13.83%  13.59%  13.56%
               
Wealth Management Assets Under Care(1)$273,980  $253,323  $269,074  $257,797  $260,324 
               
(1) Wealth Management Assets Under Care includes assets under management, administration, supervision and brokerage.
 




                
DNB Financial Corporation 
Condensed Consolidated Statements of Income (Unaudited) 
(Dollars in thousands, except per share data) 
                
 Three Months Ended 
 Mar 31, Dec 31, Sept 30, June 30, Mar 31, 
 2019 2018 2018 2018 2018 
  EARNINGS:               
  Interest income$ 12,360   $ 12,338   $ 11,635   $ 11,289   $ 10,913   
  Interest expense  2,962     2,780     2,484     2,221     1,886   
  Net interest income  9,398     9,558     9,151     9,068     9,027   
  Provision for credit losses  200     350     100     375     375   
  Non-interest income  1,271     1,268     1,336     1,322     1,273   
  Gain from insurance proceeds  -    -    8     -    -  
  Gain on sale of investment securities  3     -    -    -    -  
  Gain on sale of SBA loans  -    1     27     10     -  
  Loss on sale / write-down of OREO and ORA  113     20     11     140     -  
  Non-interest expense  7,165     6,812     6,762     7,400     6,730   
  Income before income taxes  3,194     3,645     3,649     2,485     3,195   
  Income tax expense  607     643     629     436     582   
  Net income$ 2,587   $ 3,002   $ 3,020   $ 2,049   $ 2,613   
  Net income per common share, diluted$ 0.60   $ 0.69   $ 0.70   $ 0.47   $ 0.61   
                
  
Condensed Consolidated Statements of Financial Condition (Unaudited) 
(Dollars in thousands) 
 Mar 31, Dec 31, Sept 30, June 30, Mar 31, 
 2019 2018 2018 2018 2018 
  FINANCIAL POSITION:               
  Cash and cash equivalents$ 34,893   $ 17,321   $ 10,702   $ 33,452   $ 14,078   
  Investment securities  148,122     158,669     161,230     165,574     171,108   
  Loans held for sale  449     419     -    276     646   
  Loans and leases  933,697     934,971     908,293     885,320     864,345   
  Allowance for credit losses  (6,719)   (6,675)   (6,559)   (6,188)   (6,145) 
  Net loans and leases  926,978     928,296     901,734     879,132     858,200   
  Premises and equipment, net  7,360     7,636     7,881     8,150     8,366   
  Right of use asset  3,976     -    -    -    -  
  Goodwill  15,525     15,525     15,525     15,525     15,525   
  Restricted stock  6,389     5,616     5,864     6,950     7,363   
  Other assets  23,002     24,753     25,179     24,550     24,744   
  Total assets$ 1,166,694   $ 1,158,235   $ 1,128,115   $ 1,133,609   $ 1,100,030   
                
  Demand$ 166,806   $ 164,746   $ 168,311   $ 175,561   $ 172,044   
  NOW  233,077     236,071     213,707     216,261     207,538   
  Money market  231,524     235,023     227,797     254,061     253,757   
  Savings  78,748     77,979     78,996     80,044     81,635   
  Core deposits  710,155     713,819     688,811     725,927     714,974   
  Time deposits  162,939     162,096     154,021     114,766     115,214   
  Brokered deposits  107,163     108,651     97,049     93,422     61,598   
  Total deposits  980,257     984,566     939,881     934,115     891,786   
  FHLB advances  41,918     32,935     36,952     62,972     67,993   
  Repurchase agreements  -    -    4,089     5,609     10,717   
  Subordinated debt  9,750     9,750     9,750     9,750     9,750   
  Other borrowings  9,568     12,584     22,833     9,615     9,630   
  Other liabilities  5,857     6,554     6,551     6,215     6,484   
  Operating lease liability  4,358     -    -    -    -  
  Stockholders' equity  114,986     111,846     108,059     105,333     103,670   
  Total liabilities and stockholders' equity$ 1,166,694   $ 1,158,235   $ 1,128,115   $ 1,133,609   $ 1,100,030   
                


                
DNB Financial Corporation
Condensed Consolidated Statements of Financial Condition - Quarterly Average Balances (Unaudited)
(Dollars in thousands)
                
  Mar 31,  Dec 31,  Sept 30,  June 30,  Mar 31, 
  2019  2018  2018  2018  2018 
  FINANCIAL POSITION:               
  Cash and cash equivalents$ 18,390   $ 25,269   $ 21,676   $ 20,528   $ 16,509   
  Investment securities  157,364     159,717     163,800     168,836     172,488   
  Loans held for sale  289     320     338     642     113   
  Loans and leases  935,169     919,985     889,113     869,166     851,623   
  Allowance for credit losses  (6,785)   (6,550)   (6,567)   (6,197)   (5,958) 
  Net loans and leases  928,384     913,435     882,546     862,969     845,665   
  Premises and equipment, net  7,540     7,789     8,059     8,306     8,552   
  Right of use asset  1,390     -    -    -    -  
  Goodwill  15,525     15,525     15,525     15,525     15,525   
  Restricted Stock  6,138     5,759     6,262     6,836     7,674   
  Other assets  23,695     23,816     24,012     23,568     23,436   
  Total assets$ 1,158,715   $ 1,151,630   $ 1,122,218   $ 1,107,210   $ 1,089,962   
                
  Demand$ 160,852   $ 168,495   $ 174,798   $ 170,885   $ 174,022   
  NOW  228,907     222,638     215,055     206,341     204,719   
  Money market  233,101     241,777     238,679     252,825     236,165   
  Savings  78,713     78,069     79,695     80,696     80,992   
  Core deposits  701,573     710,979     708,227     710,747     695,898   
  Time deposits  162,715     157,944     141,794     114,091     133,222   
  Brokered deposits  107,639     104,161     85,690     82,957     43,739   
  Total deposits  971,927     973,084     935,711     907,795     872,859   
  FHLB advances  45,493     34,834     45,549     54,971     75,458   
  Repurchase agreements  -    1,168     4,644     12,042     12,364   
  Subordinated debt  9,750     9,750     9,750     9,750     9,750   
  Other borrowings  11,158     15,752     13,060     10,923     10,470   
  Other liabilities  5,051     6,780     6,193     6,277     5,657   
  Operating lease liability  1,522     -    -    -    -  
  Stockholders' equity  113,814     110,262     107,311     105,452     103,404   
  Total liabilities and stockholders' equity$ 1,158,715   $ 1,151,630   $ 1,122,218   $ 1,107,210   $ 1,089,962   
                




                
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)
 Mar 31, Dec 31, Sept 30, June 30, Mar 31, 
 2019 2018 2018 2018 2018 
Stockholders' Equity$ 114,986  $ 111,846  $ 108,059  $ 105,333  $ 103,670  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  322    343    364    388    423  
Tangible common equity (Non-GAAP)$ 99,139  $ 95,978  $ 92,170  $ 89,420  $ 87,722  
                
Outstanding shares 4,327,415   4,321,745   4,311,860   4,301,898   4,292,689  
                
Book value per common share (GAAP)$ 26.57  $ 25.88  $ 25.06  $ 24.49  $ 24.15  
Tangible book value per common share (Non-GAAP)  22.91    22.21    21.38    20.79    20.44  
                
                
                
Return on Average Tangible Equity
(Dollars in thousands)For the Quarter Ended
 Mar 31, Dec 31, Sept 30, June 30, Mar 31, 
 2019 2018 2018 2018 2018 
Average Stockholders' Equity$ 113,814  $ 110,262  $ 107,311  $ 105,452  $ 103,404  
Average goodwill  15,525    15,525    15,525    15,525    15,525  
Average other intangible assets  333    354    376    388    423  
Average tangible stockholders' equity (Non-GAAP)$ 97,956  $ 94,383  $ 91,410  $ 89,539  $ 87,456  
                
Net Income$ 2,587  $ 3,002  $ 3,020  $ 2,049  $ 2,613  
                
Return on average stockholders' equity (GAAP)  9.22 %  10.80 %  11.17 %  7.79 %  10.25 %
Return on average tangible equity (Non-GAAP)  10.71    12.62    13.11    9.18    12.12  
                
                
                
Tangible Equity/Tangible Assets
(Dollars in thousands)
 Mar 31, Dec 31, Sept 30, June 30, Mar 31, 
 2019 2018 2018 2018 2018 
Stockholders' Equity$ 114,986  $ 111,846  $ 108,059  $ 105,333  $ 103,670  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  322    343    364    388    423  
Tangible common equity (Non-GAAP)$ 99,139  $ 95,978  $ 92,170  $ 89,420  $ 87,722  
                
Assets 1,166,694   1,158,235   1,128,115   1,133,609   1,100,030  
Goodwill  15,525    15,525    15,525    15,525    15,525  
Other intangible assets  322    343    364    388    423  
Tangible assets (Non-GAAP) 1,150,847   1,142,367   1,112,226   1,117,696   1,084,082  
                
Total equity/Total assets (GAAP)  9.86 %  9.66 %  9.58 %  9.29 %  9.42 %
Tangible common equity/Tangible assets (Non-GAAP)  8.61    8.40    8.29    8.00    8.09  

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

DNB Financial Corp Logo

Source: DNB Financial Corp