Lewis & Clark Bancorp Announces 2021 First Quarter Results
Lewis & Clark Bancorp (OTC Pink: LWCL) announces 2021 first quarter consolidated results. As a result of the Lewis & Clark Bancorp holding company reorganization and merger effective as of July 31, 2020, the current period financial discussion reflects the Lewis & Clark Bancorp consolidated summary balance sheet for both periods presented, and the current period summary income statement in this release reflects Lewis & Clark Bancorp consolidated, while the comparative prior year period is Lewis & Clark Bank only. As the results presented are substantially the performance of Lewis & Clark Bank, management believes there is not a material difference related to disclosing the current and comparative results as presented.
Quarter to date net income totaled
The increased earnings in the current year quarter were due to an increase in both net interest income and noninterest income and decreases in both the provision for loan losses and noninterest expense, partially offset by an increase in provision for income taxes compared to the same period one year ago. The increase in net interest income is due to an increase in interest and fees on loans and a decrease in interest expense as a result of Management’s decision to lower the rates paid on deposits to reflect current market conditions, partially offset by a decline in interest earned on investments and interest earning cash balances. The increase in noninterest income was primarily due to an increase in interchange fees related to an increase in debit cards and a more favorable fee structure. The decrease in the provision for loan losses was due to Management’s assessment of risk factors related to the ongoing COVID-19 pandemic and improved qualitative risk factors compared to the prior year. The decrease in noninterest expense was due to a reduction in overall salaries and employee benefits, data processing, intangible amortization, and travel occupancy expense. The increase in the provision for income taxes was due to increased pre-tax earnings compared to the prior year period.
Jeffrey Sumpter, President and CEO commented, “We are pleased to report increased first quarter earnings highlighted by increases in total revenue and a decrease in expenses compared to the prior year period, as well as continued asset growth through the first quarter of 2021. We are also pleased to announce 20 consecutive quarters of shareholder dividends.” Sumpter continued, “Although we entered the new year with the same economic uncertainty that we faced in 2020, we are cautiously optimistic that conditions will improve as we move through the remainder of 2021, and that we are well positioned with a strong balance sheet and disciplined underwriting.”
As of March 31, 2021, total consolidated assets were
About Lewis & Clark Bancorp
Headquartered in Oregon City, Oregon, Lewis & Clark Bancorp is the holding company for Lewis & Clark Bank, a state-chartered full-service commercial bank. Partnering with people and businesses throughout Oregon and SW Washington, the Bank believes that being an integral part of the community it serves, helps promote both growth and success.
For more information about Lewis & Clark Bank, visit www.lewisandclarkbank.com.
Summary Balance Sheet |
|||||||||||||||
(dollars in thousands) |
|||||||||||||||
|
|
|
|||||||||||||
March 31, 2021 |
December 31, 2020 |
$$ Change |
%% Change |
||||||||||||
ASSETS |
|||||||||||||||
Cash |
$ |
127,374 |
|
$ |
73,171 |
|
$ |
54,203 |
|
74.1 |
% |
||||
Equity Securities |
|
779 |
|
|
702 |
|
|
77 |
|
11.0 |
% |
||||
Investment Securities |
|
1,515 |
|
|
1,515 |
|
|
- |
|
0.0 |
% |
||||
Gross loans |
|
279,050 |
|
|
256,233 |
|
|
22,817 |
|
8.9 |
% |
||||
Allowance for loan losses |
|
(3,054 |
) |
|
(3,043 |
) |
|
(11 |
) |
0.4 |
% |
||||
Net loans |
|
275,996 |
|
|
253,190 |
|
|
22,806 |
|
9.0 |
% |
||||
Fixed Assets |
|
7,702 |
|
|
7,210 |
|
|
492 |
|
6.8 |
% |
||||
Other Assets |
|
11,756 |
|
|
10,510 |
|
|
1,246 |
|
11.9 |
% |
||||
Total Assets |
$ |
425,122 |
|
$ |
346,298 |
|
$ |
78,824 |
|
22.8 |
% |
||||
LIABILITIES AND EQUITY |
|||||||||||||||
Deposits: |
|||||||||||||||
Noninterest-bearing |
$ |
106,692 |
|
$ |
86,191 |
|
$ |
20,501 |
|
23.8 |
% |
||||
Interest-bearing demand |
|
19,404 |
|
|
16,791 |
|
|
2,613 |
|
15.6 |
% |
||||
Money market and savings |
|
212,917 |
|
|
149,915 |
|
|
63,002 |
|
42.0 |
% |
||||
Time deposits |
|
40,625 |
|
|
42,082 |
|
|
(1,457 |
) |
-3.5 |
% |
||||
Total deposits |
|
379,638 |
|
|
294,979 |
|
|
84,659 |
|
28.7 |
% |
||||
Subordinated debentures, net |
|
6,886 |
|
|
6,880 |
|
|
6 |
|
0.09 |
% |
||||
Borrowings |
|
- |
|
|
5,873 |
|
|
(5,873 |
) |
100.0 |
% |
||||
Other liabilities |
|
1,754 |
|
|
1,690 |
|
|
64 |
|
3.8 |
% |
||||
Total liabilities |
|
388,278 |
|
|
309,422 |
|
|
78,856 |
|
25.5 |
% |
||||
Equity |
|
36,844 |
|
|
36,876 |
|
|
(32 |
) |
-0.1 |
% |
||||
Total Liabilities and Equity |
$ |
425,122 |
|
$ |
346,298 |
|
$ |
78,824 |
|
22.8 |
% |
||||
Net loans to deposits |
|
72.70 |
% |
|
85.83 |
% |
|||||||||
Allowance for loan losses to total loans |
|
1.09 |
% |
|
1.19 |
% |
|||||||||
DDA deposits to total deposits |
|
28.10 |
% |
|
29.22 |
% |
|||||||||
Tangible book value per share |
$ |
32.26 |
|
$ |
31.42 |
|
Summary Income Statement |
||||||||
(dollars in thousands) |
||||||||
Three months ended March 31, |
||||||||
2021 |
2020 |
|||||||
Interest and fees on loans and investments |
$ |
3,496 |
|
$ |
3,081 |
|
||
Interest expense |
|
360 |
|
|
521 |
|
||
Net interest income |
|
3,136 |
|
|
2,560 |
|
||
Provision for loan losses |
|
- |
|
|
200 |
|
||
Net interest income after provision |
|
3,136 |
|
|
2,360 |
|
||
Noninterest income |
|
176 |
|
|
137 |
|
||
Noninterest expense |
|
2,080 |
|
|
2,339 |
|
||
Pre-tax income |
|
1,232 |
|
|
158 |
|
||
Provision for income taxes |
|
322 |
|
|
32 |
|
||
Net income |
$ |
910 |
|
$ |
126 |
|
||
Return on average equity |
|
9.86 |
% |
|
1.41 |
% |
||
Return on average assets |
|
0.94 |
% |
|
0.18 |
% |
||
Net interest margin |
|
3.43 |
% |
|
3.89 |
% |
||
Efficiency ratio |
|
62.80 |
% |
|
86.72 |
% |
View source version on businesswire.com: https://www.businesswire.com/news/home/20210609005833/en/