WILMINGTON, Del.--(BUSINESS WIRE)--
The Bancorp, Inc. ("Bancorp") (Nasdaq: TBBK), a financial holding
company, today reported results for the quarter and year ended December
31, 2008.
Fiscal 2008 Financial highlights:
-- Total deposits increased 19% over fiscal 2007 to $1.53 billion
-- Stored Value Solutions (SVS) deposits increased 136% to $380 million
since December 31, 2007
-- Health Savings Account (HSA) deposits increased 133% over fiscal 2007 to
$211 million
-- Transaction accounts increased 32% over fiscal 2007 to $1.1 billion
-- Loans increased 13% in fiscal 2008 to $1.45 billion
-- Total capital to risk-weighted assets ratio increased to 12.53% at
December 31, 2008 from 10.95% at December 31, 2007
Net interest margin
Net interest margin was 3.69 percent in the fourth quarter of 2008
compared to 3.28 percent in the third quarter of 2008; the increase
reflects the impact of the low cost deposits generated by the
acquisition of SVS.
Betsy Z. Cohen, Bancorp's Chief Executive Officer, said, "During the
fourth quarter, Bancorp continued its strong deposit growth.
Transactional deposit accounts grew 32% in 2008. However, the weakening
economy and illiquidity in the market for certain securities caused us
to record a net charge, after taxes, to the securities portfolio of $1.9
million. Additionally, the continuing weakness in the economy led to
increases in both the Bancorp's provision for loan and lease losses and
its allowance for loan and lease losses in 2008. The ratio of allowance
for loan and lease losses to total loans was 1.20 at December 31, 2008
as compared to .80 at December 31, 2007."
Financial Results
Bancorp reported a net loss available to common shareholders for the
three months ended December 31, 2008 of $877,000, or a loss per share -
diluted of $0.06, based on 14,563,919 diluted shares, compared to net
income available to common shareholders of $2.9 million, or $0.20
diluted earnings per share, based on 14,382,223 diluted shares, for the
three months ended December 31, 2007.
Bancorp reported net loss available to common shareholders for fiscal
2008 of $2.1 million, or a loss per share - diluted of $0.14, based on
14,563,182 diluted shares, compared to net income available to common
shareholders of $14.2 million, or $0.98 diluted earnings per share,
based on 14,396,069 diluted shares, for fiscal 2007.
Capital Ratios
Tier 1 Tier 1 Total
capital to average capital to capital to
risk-weighted risk-weighted
assets ratio
assets ratio assets ratio
AS OF DECEMBER 31, 2008
The Bancorp, Inc. 10.09% 11.38% 12.53%
"Well capitalized"
institution (under FDIC 5.00% 6.00% 10.00%
regulations)
AS OF DECEMBER 31, 2007
The Bancorp, Inc. 9.18% 10.15% 10.95%
"Well capitalized"
institution (under FDIC 5.00% 6.00% 10.00%
regulations)
Balance Sheet Summary
At December 31, 2008, Bancorp's total assets were $1.83 billion, an
increase of $260.9 million or 16.6% from December 31, 2007. Loans grew
to $1.45 billion, an increase of $162.6 million or 12.6% from those of
December 31, 2007, and deposits increased to $1.53 billion, an increase
of $247.0 million or 19.3%, from deposits at December 31, 2007. Total
common shares outstanding were 14,563,919 at December 31, 2008 and
14,560,470 at December 31, 2007.
Conference Call Webcast
Interested parties can access the LIVE webcast of Bancorp's Quarterly
Earnings Conference Call at 10:00 AM EST on January 30, 2009 by clicking
on the webcast link on Bancorp's homepage at www.thebancorp.com.
The conference call may also be listened to by dialing 800.901.5226
using access code 25930228. For those who are not available to listen to
the live broadcast, the replay of the webcast will be available
following the live call on Bancorp's investor relations website and
telephonically until Friday, February 6, 2009 by dialing 888.286.8010,
access code 52288789.
About Bancorp
The Bancorp, Inc. is a financial holding company that operates The
Bancorp Bank, an FDIC-insured commercial bank that delivers a full array
of financial services and products both directly and through
private-label affinity partner programs nationwide. The Bancorp Bank's
regional community bank division serves the needs of small and mid-size
businesses and their principals in the Philadelphia-Wilmington region.
The Bancorp, Inc.
Financial highlights
(unaudited)
Three months ended Year ended
December 31, December 31,
2008 2007 2008 2007
(dollars in thousands except (dollars in thousands except
per share data) per share data)
Condensed income
statement
Net interest $ 14,905 $ 13,550 $ 54,219 $ 52,669
income
Provision for
loan and lease 3,700 3,150 12,500 5,400
losses
Non-interest 3,111 3,272 12,283 7,614
income
Other than
temporarily
impaired 3,000 - 11,275 -
investment
securities
Non-interest 12,254 8,766 45,500 31,205
expense
Net income (loss)
before income tax (938) 4,906 (2,773) 23,678
expense
Income tax (251) 1,925 (900) 9,338
expense (benefit)
Net income (loss) (687) 2,981 (1,873) 14,340
Less preferred
stock dividends (194) (16) (243) (68)
and accretion
(Income) loss
allocated to
Series A 5 (23) 13 (115)
preferred
shareholders
Net income (loss)
available to $ (876) $ 2,942 $ (2,103) $ 14,157
common
shareholders
Basic earnings $ (0.06) $ 0.21 $ (0.14) $ 1.02
(loss) per share
Diluted earnings $ (0.06) $ 0.20 $ (0.14) $ 0.98
(loss) per share
Weighted average 14,563,919 14,068,772 14,563,182 13,859,066
shares - basic
Weighted average 14,563,919 14,382,223 14,563,182 14,396,069
shares - diluted
December 31, September 30, June 30, December 31,
2008 2008 2008 2007
Condensed balance
sheet
Assets
Federal funds $ 87,729 $ 36,485 $ 18,047 $ 40,783
sold
Investment 109,712 116,106 118,897 122,215
securities
Loans 1,449,349 1,469,615 1,427,578 1,286,789
Allowance for
loan and lease (17,361) (15,468) (14,245) (10,233)
losses
Other assets 199,972 174,204 127,129 128,828
Total assets $ 1,829,401 $ 1,780,942 $ 1,677,406 $ 1,568,382
Liabilities and
shareholders'
equity
Transaction $ 1,144,515 $ 1,069,945 $ 786,785 $ 864,254
accounts
Time deposits 380,847 389,184 527,582 414,064
Total deposits 1,525,362 1,459,129 1,314,367 1,278,318
Short term 69,419 103,249 152,005 93,846
borrowings
Subordinated debt 13,401 13,401 13,401 13,401
Long term 1,000 28,250 20,000 -
borrowings
Other liabilities 2,791 4,149 4,970 6,558
Shareholder's 217,428 172,764 172,663 176,259
equity
Total liabilities
and shareholders' $ 1,829,401 $ 1,780,942 $ 1,677,406 $ 1,568,382
equity
Fourth Third Second Fourth
quarter quarter quarter quarter
Average condensed average 2008 average 2008 average 2008 average 2007
balance sheet
Assets
Federal funds $ 37,634 $ 82,984 $ 21,566 $ 31,880
sold
Investment 116,816 115,814 127,544 118,313
securities
Loans 1,460,204 1,444,000 1,396,421 1,269,324
Allowance for
loan and lease (15,853) (14,808) (11,875) (9,863)
losses
Other assets 178,834 164,891 116,715 60,842
Total assets $ 1,777,635 $ 1,792,881 $ 1,650,371 $ 1,470,496
Liabilities and
shareholders'
equity
Transaction $ 1,050,658 $ 961,358 $ 799,675 $ 731,571
accounts
Time deposits 397,009 554,142 476,468 423,617
Total deposits 1,447,667 1,515,500 1,276,143 1,155,188
Short term 101,789 59,039 157,638 144,937
borrowings
Other borrowings 37,208 38,961 28,456 -
Other liabilities 7,090 5,842 6,626 6,325
Shareholders' 183,881 173,539 181,508 164,046
equity
Total liabilities
and shareholders' $ 1,777,635 $ 1,792,881 $ 1,650,371 $ 1,470,496
equity
Loan Portfolio
December 31, September 30, June 30, December 31,
2008 2008 2008 2007
Amount Amount Amount Amount
Commercial $ 353,219 $ 354,575 $ 341,304 $ 325,166
Commercial 488,986 478,534 461,170 369,124
mortgage
Construction 305,889 332,091 332,088 307,614
Total commercial 1,148,094 1,165,200 1,134,562 1,001,904
loans
Direct financing 85,092 87,710 90,201 89,519
leases
Residential 57,636 63,472 52,389 50,193
mortgage
Consumer loans 157,446 151,876 149,186 144,882
and others
1,448,268 1,468,258 1,426,338 1,286,498
Unamortized costs 1,081 1,357 1,240 291
(fees)
Total loans, net
of unamortized $ 1,449,349 $ 1,469,615 $ 1,427,578 $ 1,286,789
fees and costs
Supplemental loan
data :
Construction 1-4 $ 163,718 $ 158,310 $ 174,196 $ 167,485
family
Construction
commercial, 142,171 173,781 157,892 140,129
acquisition and
development
$ 305,889 $ 332,091 $ 332,088 $ 307,614
Three months ended Year ended
December 31, December 31,
2008 2007 2008 2007
Selected
operating ratios
Return on average -0.15% 0.81% -0.11% 1.04%
assets
Return on average -1.49% 7.27% -1.04% 9.15%
equity
Net interest 3.69% 3.80% 3.44% 3.90%
margin
Efficiency ratio 68.02% 52.11% 68.42% 51.76%
Book value per $ 11.74 $ 12.01 $ 11.74 $ 12.01
share
December 31, September 30, June 30, December 31,
2008 2008 2008 2007
Asset quality
ratios
Nonperforming
loans to total 1.20% 0.95% 0.74% 0.76%
loans
Nonperforming
assets to total 0.95% 0.78% 0.63% 0.63%
assets
Allowance for
loan and lease 1.20% 1.05% 1.00% 0.80%
losses to total
loans
Nonaccrual loans $ 8,729 $ 13,637 $ 10,053 $ 1,169
Loans 90 days
past due still $ 4,055 $ 331 $ 492 $ 8,673
accruing interest
Other real estate $ 4,600 $ - $ - $ -
owned
Source: The Bancorp, Inc.
Contact: The Bancorp, Inc.
Andres Viroslav, 215-861-7990
andres.viroslav@thebancorp.com