Lumbee Guaranty Bank Reports 4th Quarter 2020 Earnings
Bank reports higher quarterly earnings but a decrease from prior year earnings
$2.47 million in net income for 2020- 4th quarter of 2020 was up
17% over 4th quarter of 2019 - Reduced noninterest expense and improved efficiency measures
PEMBROKE, NC / ACCESSWIRE / February 8, 2021 / For the year ended December 31, 2020, Lumbee Guaranty Bank (OTCQX:LUMB)("Lumbee" or "Bank"), reported net income of
As of December 31, 2020, Lumbee reported assets of
Net interest income was
Asset quality measurements continued to improve during 2020, as nonperforming assets (including nonaccruing loans, loans more than 90 days past due and still accruing, and Other Real Estate Owned) totaled
"Even with good news on the horizon regarding vaccines, the challenges of managing our bank through COVID-19 have not ended. With an extremely low interest rate environment, management continues to concentrate on maximizing our earnings while controlling costs. We can see our efforts coming to fruition with strong financial performance in the 4th quarter of 2020," said Kyle R. Chavis, Chief Executive Officer of Lumbee. "Despite the obstacles, our employees remain focused on our goal to continue to serve our customers and to help meet their changing financial needs." Chavis added, "Our bank stands ready to lend money, provide financial expertise, and assist our customers in the continued economic recovery of our region."
Lumbee Guaranty Bank is a community bank headquartered in Pembroke, NC and serves Robeson, Cumberland, and Hoke Counties. Established in 1971, the Bank offers a full array of financial services through its network of fourteen strategically located branch offices over the three-county area. The Bank's common stock is traded on the OTC-QX under the stock symbol LUMB.
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The information as of and for the quarter ended December 31, 2020, as presented is unaudited. This news release contains forward-looking statements. Actual results may differ materially from those projected, for various reasons, including our ability to manage growth, substantial changes in financial markets, regulatory changes, changes in interest rates, loss of deposits and loan demand to other savings and financial institutions, and changes in real estate values and the real estate market.
Kyle R. Chavis, Chief Executive Officer
Lumbee Guaranty Bank
(910) 521-9707; kylechavis@lumbeeguarantybank.com; www.lumbeeguarantybank.com
LUMBEE GUARANTY BANK | ||||||||
Balance Sheets (unaudited) June 30, | 2020 | 2019 | ||||||
(Dollars in thousands) | ||||||||
Assets | ||||||||
Cash and due from banks | $ | 5,482 | $ | 4,829 | ||||
Interest-earning deposits with banks | 39,314 | 26,243 | ||||||
Total cash and cash equivalents | 44,796 | 31,072 | ||||||
Net Investments | 136,778 | 99,294 | ||||||
Loans receivable | 212,897 | 191,622 | ||||||
Allowance for loan losses | 2,361 | 2,067 | ||||||
Net loans receivable | 210,536 | 189,555 | ||||||
Bank premises & equipment, net | 8,922 | 9,056 | ||||||
Other assets | 16,162 | 14,776 | ||||||
Total assets | $ | 417,194 | $ | 343,753 | ||||
Liabilities and Shareholders' Equity | ||||||||
Deposits: | ||||||||
Demand deposits, Money market & NOW | $ | 245,599 | $ | 184,058 | ||||
Savings | 34,165 | 26,384 | ||||||
Time deposits | 82,324 | 85,652 | ||||||
Total deposits | 362,088 | 296,094 | ||||||
Securities Sold under Agreement to Repurchase | 1,631 | 1,096 | ||||||
Other borrowed money | 5,114 | 825 | ||||||
Accrued interest payable and other liabilities | 5,413 | 4,811 | ||||||
Total liabilities | 374,246 | 302,826 | ||||||
Total shareholders' equity | 42,948 | 40,927 | ||||||
Total liabilities and shareholders' equity | $ | 417,194 | $ | 343,753 | ||||
Book value per share | $ | 12.69 | $ | 11.99 | ||||
LUMBEE GUARANTY BANK | ||||||||||
Statement of Operations (unaudited) Twelve Months Ended, December 31, | 2020 | 2019 | ||||||||
(Dollars in thousands, except per share data) | ||||||||||
Interest Income | 13,623 | 14,436 | ||||||||
Interest Expense | 1,472 | 1,784 | ||||||||
Net Interest Income | 12,151 | 12,652 | ||||||||
Provision for loan losses | 300 | -100 | ||||||||
Net Interest Income after provision | 11,851 | 12,752 | ||||||||
Service charges on deposit accounts | 1,192 | 1,350 | ||||||||
Other | 766 | 686 | ||||||||
Total noninterest Income | 1,958 | 2,036 | ||||||||
Realized gains on AFS securities | 0 | 25 | ||||||||
Personnel costs | 6,184 | 6,327 | ||||||||
Occupancy and equipment | 1,532 | 1,273 | ||||||||
Data processing fees | 1,206 | 1,400 | ||||||||
Other | 2,112 | 2,322 | ||||||||
Total noninterest expense | 11,034 | 11,322 | ||||||||
Net Income before income taxes | 2,775 | 3,491 | ||||||||
Income taxes | 307 | 487 | ||||||||
Net Income | 2,468 | 3,004 | ||||||||
Net income per common share | $ | 0.73 | $ | 0.88 | ||||||
LUMBEE GUARANTY BANK | ||||||||||
Statement of Operations (unaudited) Three Months Ended, December 31, | 2020 | 2019 | ||||||||
(Dollars in thousands, except per share data) | ||||||||||
Interest Income | 3,494 | 3,547 | ||||||||
Interest Expense | 295 | 471 | ||||||||
Net Interest Income | 3,199 | 3,076 | ||||||||
Provision for loan losses | 0 | -100 | ||||||||
Net Interest Income after provision | 3,199 | 3,176 | ||||||||
Service charges on deposit accounts | 303 | 340 | ||||||||
Other | 172 | 157 | ||||||||
Total noninterest Income | 475 | 497 | ||||||||
Realized gains on AFS securities | 0 | 25 | ||||||||
Personnel costs | 1,428 | 1,613 | ||||||||
Occupancy and equipment | 390 | 302 | ||||||||
Data processing fees | 298 | 364 | ||||||||
Other | 568 | 573 | ||||||||
Total noninterest expense | 2,684 | 2,852 | ||||||||
Net Income before income taxes | 990 | 846 | ||||||||
Income taxes | 137 | 120 | ||||||||
Net Income | 853 | 726 | ||||||||
Net income per common share | $ | 0.25 | $ | 0.21 | ||||||
SOURCE: Lumbee Guaranty Bank
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