SYS-CON MEDIA Authors: PagerDuty Blog, Michael Jannery, Pat Romanski, Elizabeth White, Liz McMillan

News Feed Item

BSB Bancorp, Inc. Reports Fourth Quarter Results

BELMONT, Mass., Feb. 13, 2014 /PRNewswire/ -- BSB Bancorp, Inc. (NASDAQ: BLMT) (the "Company"), the holding company for Belmont Savings Bank (the "Bank"), a state-chartered savings bank headquartered in Belmont, Massachusetts, today reported net income of $645,000, or $0.07 per basic and diluted share, for the quarter ended December 31, 2013, compared to net income of $485,000, or $0.05 per basic and diluted share in the fourth quarter of 2012.  For the year ended December 31, 2013, the Company reported net income of $2.0 million, or $0.22 per basic and diluted share, as compared to net income of $1.4 million, or $0.16 per basic and diluted share for the same period in 2012.

Robert M. Mahoney, President and Chief Executive Officer, said, "The bank had a good year. By every measure - revenues, profits, loans and deposits, we enjoyed solid growth. Importantly, credit quality was particularly strong. The environment for customer- focused community banks is very good. We are pleased to have crossed the $1 billion mark during the year - well ahead of our long term plan."

NET INTEREST AND DIVIDEND INCOME

Net interest and dividend income before provision for loan losses for the quarter ended December 31, 2013 was $7.6 million as compared to $5.9 million for the quarter ended December 31, 2012, a 29.2% increase. The provision for loan losses for the quarter ended December 31, 2013 was $632,000 as compared to a provision for loan losses of $696,000 for the quarter ended December 31, 2012, a 9.2% decrease. This resulted in a $1.8 million or 34.4% increase in net interest and dividend income after provision for loan losses for the quarter ended December 31, 2013 as compared to the quarter ended December 31, 2012.  Net interest and dividend income before provision for loan losses for the year ended December 31, 2013 was $26.0 million as compared to $21.7 million for the year ended December 31, 2012, a 19.8% increase. The provision for loan losses for the year ended December 31, 2013 was $1.5 million, as compared to $2.7 million for the year ended December 31, 2012, a 45.3% decrease. This resulted in a $5.5 million or 29.2% increase in net interest and dividend income after provision for loan losses period over period.

NONINTEREST INCOME

Noninterest income for the quarter ended December 31, 2013 was $802,000 as compared to $1.6 million for the quarter ended December 31, 2012, a decrease of $772,000, or 49.1%. This decrease was primarily driven by a decrease in gains on sales of loans of $957,000, partially offset by an increase in loan servicing fee income and other income of $123,000 and $111,000, respectively. For the twelve months ended December 31, 2013, noninterest income was $3.6 million as compared to $4.7 million for the twelve months ended December 31, 2012. This decrease of $1.1 million, or 23.4%, was primarily driven by a decrease in gains on sales of loans of $1.5 million, partially offset by an increase in loan servicing fee income of $283,000 and an increase in customer service fees of $108,000.

NONINTEREST EXPENSE

Noninterest expense for the quarter ended December 31, 2013 was $6.8 million as compared to $5.9 million for the quarter ended December 31, 2012.  This increase of $857,000, or 14.4%, was largely driven by an increase in salaries and employee benefits of $376,000 which included a full quarter's impact of expense related to the Equity Incentive Plan adopted at the end of 2012. Marketing and data processing expenses also increased by $152,000 and $114,000, respectively, quarter over quarter. Noninterest expense for the year ended December 31, 2013 was $25.1 million as compared to $21.5 million for the year ended December 31, 2012. This increase of $3.5 million, or 16.5% was primarily driven by increases in salaries and employee benefits and director compensation of $1.9 million and $360,000, respectively, both of which had increased primarily as a result of the 2012 Equity Incentive Plan that was adopted in the fourth quarter of 2012. Data processing expenses also increased by $664,000, driven largely by increases in core, online banking and loan servicing costs related to increased loan and deposit volume.

BALANCE SHEET

At December 31, 2013, total assets were $1.1 billion, an increase of $216.5 million or 25.8% from December 31, 2012. Investments in held-to-maturity securities have increased by $55.8 million or 87.2% from December 31, 2012. The Company also experienced net loan growth, excluding loans held for sale, of $184.7 million, or 28.2%, from December 31, 2012. Commercial real estate loans, residential mortgage loans, home equity loans, and indirect auto loans increased by $54.1 million, $85.8 million, $25.5 million and $19.5 million, respectively. The asset growth was funded by deposits and borrowings from the Federal Home Loan Bank.

At December 31, 2013, deposits totaled $764.8 million, an increase of $156.9 million or 25.8% from December 31, 2012. Core deposits, which we consider to include all deposits other than CD's and brokered CD's, increased by $132.0 million from December 31, 2012. Hal R. Tovin, Executive Vice President and Chief Operating Officer, said, "This strong growth was due to the impact of our business banking programs focused on deposit driven businesses as well as the effective cross selling of deposit relationships of new and existing borrowers by our commercial real estate lenders. In addition, this performance reflects the expanding customer base of our two new branches in Newton and Cambridge."

Total stockholders' equity decreased by $2.9 million from $133.3 million as of December 31, 2012 to $130.4 million as of December 31, 2013. This decrease is primarily the result of the Stock Repurchase Program that was adopted on December 12, 2012. During the twelve months ended December 31, 2013, the Company purchased 476,622 shares of its common stock for $6.5 million and completed the Stock Repurchase Program. This was partially offset by earnings of $2.0 million and a $1.6 million positive effect on additional paid-in capital related to stock based compensation.

ASSET QUALITY

The allowance for loan losses in total and as a percentage of total loans as of December 31, 2013 equaled $8.0 million and 0.95%, respectively, as compared to $6.4 million and 0.98%, respectively, as of December 31, 2012.  For the year ended December 31, 2013 the Company recorded net recoveries of $20,000 compared to $1.1 million in net charge offs for the year ended December 31, 2012. Total non-performing assets were $4.1 million, or 0.39% of total assets, as of December 31, 2013, as compared to $4.3 million, or 0.52% of total assets, as of December 31, 2012.

Company Profile

BSB Bancorp, Inc. is headquartered in Belmont, Massachusetts and is the holding company for Belmont Savings Bank. The Bank provides financial services to individuals, families and businesses through its six full-service branch offices located in Belmont, Watertown, Cambridge, Newton and Waltham in Southeast Middlesex County, Massachusetts. The Bank's primary lending market includes Essex, Middlesex, Norfolk and Suffolk Counties, Massachusetts. The Company's common stock is traded on the NASDAQ Capital Market under the symbol "BLMT". For more information, visit the Company's website at www.belmontsavings.com.

Forward-looking statements

Certain statements herein constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. These statements are based on the beliefs and expectations of management, as well as the assumptions made using information currently available to management. Since these statements reflect the views of management concerning future events, these statements involve risks, uncertainties and assumptions. As a result, actual results may differ from those contemplated by these statements. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like "believe," "expect," "anticipate," "estimate," and "intend" or future or conditional verbs such as "will," "would," "should," "could" or "may." Certain factors that could cause actual results to differ materially from expected results include changes in the interest rate environment, changes in general economic conditions, legislative and regulatory changes that adversely affect the businesses in which the Company is engaged, changes in the securities market, and other factors that may be described in the Company's annual report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. The Company disclaims any intent or obligation to update any forward-looking statements, whether in response to new information, future events or otherwise, except as may be required by law.

 




BSB BANCORP, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)
















December 31, 2013


December 31, 2012







(unaudited)



ASSETS







Cash and due from banks



$                2,196


$                1,433

Interest-bearing deposits in other banks

35,839


51,279




Cash and cash equivalents

38,035


52,712

Interest-bearing time deposits with other banks

119


119

Investments in available-for-sale securities

21,921


22,621

Investments in held-to-maturity securities, at cost

119,776


63,984

Federal Home Loan Bank stock, at cost

7,712


7,627

Loans held-for-sale

-


11,205

Loans, net of allowance for loan losses of $7,958 as of 






12/31/2013 (unaudited) and $6,440 as of 12/31/2012

839,013


654,295

Premises and equipment, net



3,327


2,902

Accrued interest receivable



2,241


2,217

Deferred tax asset, net



5,146


4,025

Income taxes receivable



-


806

Bank-owned life insurance



13,325


12,884

Other real estate owned



-


661

Other assets



4,004


2,024




Total assets



$         1,054,619


$            838,082










LIABILITIES AND STOCKHOLDERS' EQUITY




Deposits:








Noninterest-bearing



$            139,733


$            126,760



Interest-bearing



625,020


481,105




Total deposits



764,753


607,865

Federal Home Loan Bank advances



142,100


83,100

Securities sold under agreements to repurchase

2,127


3,404

Other borrowed funds



1,113


1,156

Accrued interest payable



683


455

Deferred compensation liability



5,137


4,685

Income taxes payable



178


-

Other liabilities



8,107


4,109




Total liabilities



924,198


704,774










Stockholders' Equity:







Common stock



91


95


Additional paid-in capital



85,449


90,188


Retained earnings



49,312


47,352


Accumulated other comprehensive (loss) income

(188)


68


Unearned compensation - ESOP



(4,243)


(4,395)




Total stockholders' equity



130,421


133,308




Total liabilities and stockholders' equity

$         1,054,619


$            838,082










Asset Quality Data:






Total non-performing assets



4,115


4,325

Total non-performing loans



4,115


3,621

Non-performing loans to total loans



0.49%


0.55%

Non-performing assets to total assets



0.39%


0.52%

Allowance for loan losses to non-performing loans

193.39%


177.86%

Allowance for loan losses to total loans



0.95%


0.98%










 

BSB BANCORP, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in thousands, except per share data)










Three months ended


Twelve months ended




December 31,


December 31,




2013


2012


2013


2012




(unaudited)


(unaudited)



Interest and dividend income:









Interest and fees on loans

$  7,982


$ 6,537


$ 28,407


$ 24,568


Interest on taxable debt securities

865


584


2,455


2,124


Dividends

7


9


28


47


Other interest income

21


13


82


85



Total interest and dividend income

8,875


7,143


30,972


26,824

Interest expense:









Interest on deposits

1,103


1,076


4,215


4,125


Interest on Federal Home Loan Bank advances

204


204


735


958


Interest on securities sold under agreements to repurchase

1


1


4


8


Interest on other borrowed funds

8


10


33


42



Total interest expense

1,316


1,291


4,987


5,133



Net interest and dividend income

7,559


5,852


25,985


21,691

Provision for loan losses

632


696


1,498


2,736



Net interest and dividend income after provision for loan losses










6,927


5,156


24,487


18,955

Noninterest income:









Customer service fees

228


217


938


830


Income from bank-owned life insurance

122


123


435


439


Net gain on sales of loans

56


1,013


1,024


2,520


Net gain on sales and calls of securities

-


59


34


59


Loan servicing fee income

260


137


750


467


Other income

136


25


425


390



Total noninterest income 

802


1,574


3,606


4,705

Noninterest expense:









Salaries and employee benefits

4,086


3,710


15,207


13,305


Director compensation

195


174


889


529


Occupancy expense

266


215


951


801


Equipment expense

196


131


650


450


Deposit insurance

145


134


575


500


Data processing

738


624


2,777


2,113


Professional fees

307


305


929


1,036


Marketing

337


185


999


928


Other expense

527


462


2,114


1,884



Total noninterest expense

6,797


5,940


25,091


21,546



Income before income tax expense

932


790


3,002


2,114

Income tax expense

287


305


1,042


713




Net income

$     645


$    485


$   1,960


$   1,401


Earnings per share











Basic

$    0.07


$   0.05


$     0.22


$     0.16




Diluted

$    0.07


$   0.05


$     0.22


$     0.16

Return on average assets

0.25%


0.23%


0.21%


0.19%

Return on average equity

2.00%


1.46%


1.51%


1.06%

Interest rate spread

2.81%


2.62%


2.69%


2.68%

Net interest margin

2.98%


2.90%


2.90%


2.96%

Efficiency ratio

81.28%


79.99%


84.79%


81.62%













 

SOURCE BSB Bancorp, Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
The cloud is becoming the de-facto way for enterprises to leverage common infrastructure while innovating and one of the biggest obstacles facing public cloud computing is security. In his session at 15th Cloud Expo, Jeff Aliber, a global marketing executive at Verizon, discussed how the best place for web security is in the cloud. Benefits include: Functions as the first layer of defense Easy operation –CNAME change Implement an integrated solution Best architecture for addressing network-l...
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of present...
In this scenarios approach Joe Thykattil, Technology Architect & Sales at TimeWarner / Navisite, presented examples that will allow business-savvy professionals to make informed decisions based on a sound business model. This model covered the technology options in detail as well as a financial analysis. The TCO (Total Cost of Ownership) and ROI (Return on Investment) demonstrated how to start, develop and formulate a business case that will allow both small and large scale projects to achieve...
IBM has announced a new strategic technology services agreement with Anthem, Inc., a health benefits company in the U.S. IBM has been selected to provide operational services for Anthem's mainframe and data center server and storage infrastructure for the next five years. Among the benefits of the relationship, Anthem has the ability to leverage IBM Cloud solutions that will help increase the ease, availability and speed of adding infrastructure to support new business requirements.
Today, IT is not just a cost center. IT is an enabler and driver of business. With the emergence of the hybrid cloud paradigm, IT now has increasingly more capabilities to create new strategic opportunities for a business. Hybrid cloud allows an organization to utilize multi-tenant public clouds, dedicated private clouds, bare metal hosting, and the associated support and services for the right use cases through an on-demand, XaaS model. This model of IT creates tremendous opportunities for busi...
Cloud computing started a technology revolution; now DevOps is driving that revolution forward. By enabling new approaches to service delivery, cloud and DevOps together are delivering even greater speed, agility, and efficiency. No wonder leading innovators are adopting DevOps and cloud together! In his session at DevOps Summit, Andi Mann, Vice President of Strategic Solutions at CA Technologies, explored the synergies in these two approaches, with practical tips, techniques, research data, wa...
Software AG and Wipro Ltd. have announced a joint solution platform for streaming analytics that provides real-time actionable intelligence for the Internet of Things (IoT) market. “The key to successfully addressing the IoT market is the ability to rapidly build and evolve apps that tap into, analyze and make smart decisions on fast, big data”, said John Bates, Global Head of Industry Solutions and CMO, Software AG. To address the huge market potential created by streaming analytics in conj...
Appcore deploys cloud for service providers based on the Apache Cloud set. In this demo at 15th Cloud Expo, Nate Gordon, Director of Technology at Appcore, shows their new product that's coming out in January - Appcore Atlas, which is focused on deploying private clouds based on CloudStack in 15 minutes or less. Our upcoming June 9-11, 2015, event in New York City will present a total of 10 simultaneous tracks (the largest conference content in the world) by an all-star faculty, over three days...
The term culture has had a polarizing effect among DevOps supporters. Some propose that culture change is critical for success with DevOps, but are remiss to define culture. Some talk about a DevOps culture but then reference activities that could lead to culture change and there are those that talk about culture change as a set of behaviors that need to be adopted by those in IT. There is no question that businesses successful in adopting a DevOps mindset have seen departmental culture change, ...
“With easy-to-use SDKs for Atmel’s platforms, IoT developers can now reap the benefits of realtime communication, and bypass the security pitfalls and configuration complexities that put IoT deployments at risk,” said Todd Greene, founder & CEO of PubNub. PubNub will team with Atmel at CES 2015 to launch full SDK support for Atmel’s MCU, MPU, and Wireless SoC platforms. Atmel developers now have access to PubNub’s secure Publish/Subscribe messaging with guaranteed ¼ second latencies across PubN...
We’re no longer looking to the future for the IoT wave. It’s no longer a distant dream but a reality that has arrived. It’s now time to make sure the industry is in alignment to meet the IoT growing pains – cooperate and collaborate as well as innovate. In his session at @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, will examine the key ingredients to IoT success and identify solutions to challenges the industry is facing. The deep industry expertise be...
In a world of ever-accelerating business cycles and fast-changing client expectations, the cloud increasingly serves as a growth engine and a path to new business models. Dynamic clouds enable businesses to continuously reinvent themselves, adapting their business processes, their service and software delivery and their operations to achieve speed-to-market and quick response to customer feedback. As the cloud evolves, the industry has multiple competing cloud technologies, offering on-premises ...
DevOps means different things to different people. Qubell defines DevOps as the ability for the developer teams to do what they need to do to have this level of self-service. At DevOps Summit, Stan Klimoff, CTO of Qubell, demos the enterprise DevOps platform.
“We are strong believers in the DevOps movement and our staff has been doing DevOps for large enterprise environments for a number of years. The solution that we build is intended to allow DevOps teams to do security at the speed of DevOps," explained Justin Lundy, Founder & CTO of Evident.io, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.