Kish Bancorp announces its first quarter results
STATE COLLEGE – William P. Hayes, Chairman and CEO of Kish Bank and Kish Bancorp, has announced unaudited financial results for the quarter ending March 31. The board declared a quarterly dividend in the amount of 41 cents per share, payable April 30 to shareholders of record as of April 15.
The corporation’s total assets ended the quarter at $641 million, an increase of $50 million, or 8.4 percent, compared to total assets of $591 million as of March 31, 2013. Hayes attributed the growth to strong loans and investment securities.
Total deposits grew by 6.3 percent over the past year, while borrowings increased by 30.7 percent.
Net income for the first quarter of 2014 showed an increase of 19.8 percent from 2013. Hayes said the primary component of the increase was growth in net interest income, which increased by 10.7 percent from the prior year.
A $5.9 million loan-loss allowance represents 1.48 percent of total loans outstanding, supported by low loan charge-offs, classified loans and delinquent loans.
Noninterest income was $1.3 million at the end of March, a decline of $457 thousand from $1.8 million in the first quarter of 2013, primarily because of a decrease in revenue from the sale of residential mortgage loans in the secondary market. Prior year results also included $272,000 in investment securities gains, compared to $90,000 in realized losses in 2014, which were part of a balance sheet strategy to shift the mix from securities to higher earning loans for greater long-term benefit. The loss was partially offset by insurance, travel and wealth management income.
Noninterest expense was $4.9 million in 2014, representing a decrease of 4.5 percent from the same period in 2013. Hayes said this was because of lower health care and regulatory expenses.
For more information on Kish Bancorp Inc., visit www.kishbank.com.