MADISON, Wis., Nov. 4, 2014 (GLOBE NEWSWIRE) — Anchor BanCorp
Wisconsin Inc. (the “Company”) (Nasdaq:ABCW), today announced its
financial results for the quarter ended September 30, 2014. Net income
was $5.0 million for the quarter compared to $2.6 million in the
quarter ended June 30, 2014 and compared to net income of $113.3
million for the quarter ended September 30, 2013. Earnings per share
were $0.55 for the quarter compared to $0.29 for the quarter ended June
30, 2014, and $5.47 per share for the quarter ended September 30, 2013.
Income per share available to common equity was $10.24 for the quarter
ended September 30, 2013. The prior year quarter income includes
non-recurring extinguishment of debt income of $134.5 million which
occurred as part of the recapitalization transaction we completed in
September, 2013.
“We are encouraged by AnchorBank’s continued, steady progress since the
recapitalization,” stated Chris Bauer, President & CEO for AnchorBank.
“We are pleased that as of July 31, 2014, all regulatory orders were
lifted and we remain focused on our overall financial health and
profitability, with a strategic focus on expanded commercial banking
and lending capabilities. To that end, we are pleased to have added six
experienced commercial bankers to our team during the first nine months
of this year. Looking to the future, we will continue our work toward
improved asset quality, increased core deposits and a more efficient
operating model across all lines of business.”
Highlights for the quarter ended September 30, 2014, include:
— Net income of $5.0 million for the third quarter of 2014 compared to
$113.3 million in the prior year quarter ended September 30, 2013 and an
increase of $2.4 million, or 90.3%, over the quarter ended June 30, 2014.
— Non-interest expense of $21.9 million for the third quarter of 2014
compared to $45.2 million in the prior year quarter ended September 30,
2013. The prior year quarter included a non-recurring debt prepayment
penalty of $16.1 million and expenses related to the reorganization.
Non-interest expense was reduced in the September 2014 quarter by the
reversal of $2.7 million of provision for unfunded loan commitments.
— Capital ratios ,at the Bank, continue to increase as Tier 1 capital was
10.07% at September 30, 2014 compared to 9.06% as of September 30, 2013.
The total risk-based capital ratio was 17.96% as of September 30, 2014,
compared to 16.30% at September 30, 2013.
— Total non-performing loans decreased $30.1 million, or 44.0%, to $38.4
million at September 30, 2014 from $68.5 million at December 31, 2013.
— Total non-performing assets (total non-performing loans and other real
estate owned) decreased $46.9 million, or 35.5 %, to $85.1 million at
September 30, 2014 from $132.0 million at December 31, 2013; as the Bank
continues to reduce problem asset levels. Total non-performing assets to
assets declined to 4.04% from 4.64% in the June quarter compared to 7.43%
in the year ago quarter. There was a reversal of provision for loan
losses for the quarter ended September 30, 2014 of $1.3 million compared
to no provision expense in the prior year period. Total reserves remain
adequate at 3.00% of total loans.
— Loan delinquencies (loans past due 30 days or more) decreased $29.4
million, or 45.1%, to $35.8 million at September 30, 2014 from $65.2
million at December 31, 2013.
“We have made tremendous strides over the last four quarters, and look
forward to continuing this momentum,” Bauer said. “The Company recently
offered Anchor BanCorp common stock in a public offering and we are
pleased with the success of the offering. As always, we remain
extremely grateful for the opportunity to provide banking services to
our Wisconsin customers and clients, as we have done for 95 years. ”
About Anchor BanCorp Wisconsin Inc.
AnchorBank, fsb has 54 offices, all of which are located in Wisconsin.
Forward-Looking Statements
This news release contains certain forward-looking statements, as that
term is defined in the U.S. federal securities laws. In the normal
course of business, we, in an effort to help keep our shareholders and
the public informed about our operations, may from time to time issue
or make certain statements, either in writing or orally, that are or
contain forward-looking statements. Generally, these statements relate
to business plans or strategies, projections involving anticipated
revenues, earnings, liquidity, capital levels, profitability or other
aspects of operating results or other future developments in our
affairs or the industry in which we conduct business. Although we
believe that the anticipated results or other expectations reflected in
our forward-looking statements are based on reasonable assumptions, we
can give no assurance that those results or expectations will be
attained. You should not put undue reliance on any forward-looking
statements. Forward-looking statements speak only as of the date they
are made and we undertake no obligation to update them in light of new
information or future events, except to the extent required by federal
securities laws.
Anchor BanCorp Wisconsin Inc.
CONSOLIDATED FINANCIAL SUMMARY
(Unaudited)
————
Qtr ended
———————————————————
($ in 000’s, except per share data) Quarter ended Year-to-Date 09/14-09/13
—————————————————————————————————-
INCOME STATEMENT
9/30/2014 6/30/2014 9/30/2013 9/30/2014 9/30/2013 Incr(Decr)
—————————————————————————————————————-
Net interest income $ 17,558 $ 17,862 $ 15,812 $ 53,735 $ 44,049 11%
Provision for loan losses
(1,304) — — (1,304) 950 N/M
Non-interest income:
Loan servicing income, net
705 740 646 2,219 756 9%
Service charges on deposits
2,626 2,523 2,667 7,415 7,616 (2%)
Investment and insurance commissions
1,015 1,131 893 3,002 2,908 14%
Net gain on sale of loans
837 698 1,565 2,127 7,388 (47%)
Net gain on sale of investments
482 — — 783 (200) N/M
Net gain on sale of OREO
987 1,040 1,217 2,188 3,479 (19%)
Extingushment of debt
— 134,514 — 134,514 N/M
Other
1,363 1,478 1,177 3,823 2,573 16%
———————————————————————
Total non-interest income
8,015 7,610 142,679 21,557 159,034 (94%)
Non-interest expense:
Personnel costs
10,872 10,739 10,727 32,773 31,999 1%
Net occupancy and equipment expense
2,443 2,405 3,605 7,852 9,514 (32%)
Data processing expense
1,340 1,315 1,264 4,026 4,546 6%
OREO expense
2,999 2,267 3,214 6,451 19,762 (7%)
Professional fees
906 953 1,925 2,619 5,450 (53%)
Debt prepayment penalty
— — 16,149 — 16,149 N/M
Reorganization costs
— — 1,866 — 1,866 N/M
Other
3,355 5,176 6,482 13,366 18,989 (48%)
———————————————————————
Total non-interest expense
21,915 22,855 45,232 67,087 108,275 (52%)
———————————————————————
Net income before taxes
4,962 2,617 113,259 9,509 93,858 (96%)
Income tax expense
— 10 9 10 9 100%
———————————————————————
Net income
4,962 2,607 113,250 9,499 93,849 (96%)
Preferred stock dividends in arrears
— — (837) — (4,200) N/M
Preferred stock discount accretion
— — (4,304) — (8,010) N/M
Retirement of preferred shares
— — 104,000 — 104,000 N/M
———————————————————————
Net income available to common equity
$ 4,962 $ 2,607 $ 212,109 $ 9,499 $ 185,639 (98%)
=====================================================================
——————————————-
SHARE DATA
——————————————-
Diluted earnings per share:
Net income
$ 0.55 $ 0.29 $ 5.47 $ 1.05 $ 4.45 (90%)
Net income available to common equity
0.55 0.29 10.24 1.05 8.81 (95%)
Cash dividends
— — — — —
—
Book value
23.22 23.37 22.21
5%
Average diluted shares outstanding
9,058,000 9,050,000 20,717,000 9,058,000 21,069,000
(56%)
——————————————-
KEY RATIOS AND DATA
——————————————-
Net interest margin (FTE)
3.40% 3.51% 2.80% 3.52% 2.58%
0.60
Return on average assets
0.93% 0.49% 19.60% 0.60% (5.37%)
(18.67)
Average equity (deficit) to average assets
9.99% 9.88% (2.67%) 9.89% (2.44%)
12.66
Total risk based capital
17.96% 17.40% 16.30%
1.66
Tier 1 risk-based capital
16.68% 16.12% 14.99%
1.69
Tier 1 leverage
10.07% 9.75% 9.06%
1.01
N/M = not meaningful
Anchor BanCorp Wisconsin Inc.
(Unaudited)
———-
Ending
balances
—————————————————————–
09/14-12/
(in 000’s)
Quarter ended Averages Ending balances 13
————————————————————————————————————
Incr(Decr
BALANCE SHEET
9/30/14 12/31/13 9/30/13 9/30/14
12/31/13 )
———————————————————————————————————————-
Assets:
Investment securities
$ 294,105 $ 287,797 $ 292,406 $ 291,867 $ 277,872
5%
Loans held for sale
5,145 4,137 12,503 4,937 3,085
60%
Loans: Mortgage
1,185,377 1,242,172 1,258,891 1,211,271 1,232,132
(2%)
Consumer
346,236 371,332 386,613 343,224 367,831
(7%)
Commercial
16,252 21,863 25,679 14,443 21,591
(33%)
—————————————————————————
Total loans $ 1,547,865 $ 1,635,367 $ 1,671,183 $ 1,568,938 $ 1,621,554 (3%)
Allowance for loan losses
(49,377) (69,854) (74,633) (47,037) (65,182) (28%)
Interest earning deposits in banks
162,329 144,748 195,774 145,218 99,257 46%
Other assets
160,877 177,792 195,734 142,597 175,888 (19%)
—————————————————————————
Total assets
$ 2,120,944 $ 2,179,987 $ 2,292,967 $ 2,106,520 $ 2,112,474 (0%)
===========================================================================
Liabilities and Stockholders’ Equity (Deficit):
Total deposits
$ 1,872,362 $ 1,932,837 $ 1,968,536 $ 1,858,807 $ 1,875,293 (1%)
Other borrowed funds
14,520 19,167 297,716 13,060 12,877 1%
Other liabilities
22,186 24,724 87,835 19,944 22,106 (10%)
—————————————————————————
Total liabilities $
1,909,068 $ 1,976,728 $ 2,354,087 $ 1,891,811 $ 1,910,276 (1%)
Total stockholders’ equity (deficit) 211,876 203,259 (61,120) 214,709 202,198 6%
—————————————————————————
Total liabilities & stockholders’ equity
(deficit) $
2,120,944 $ 2,179,987 $ 2,292,967 $ 2,106,520 $ 2,112,474 (0%)
===========================================================================
———-
Qtr ended
—————————————————————–
09/14-09/
Quarter ended Year-to-Date
13
————————————————————————————————————
Incr(Decr
CREDIT QUALITY
9/30/14 12/31/13 9/30/13 9/30/2014 9/30/2013 )
———————————————————————————————————————-
Provision for loan losses
$ (1,304) $ — $ — $ (1,304) $ 950 N/M
Net charge-offs
834 6,671 4,019 16,841 12,858 (79%)
Ending allowance for loan losses
47,037 65,182 71,853
(35%)
Key Metrics
Loans 30 to 89 days past due
$ 9,979 $ 16,165 $ 18,127
(45%)
Non-performing loans (NPL)
38,352 68,497 97,002 (60%)
Other real estate owned
46,725 63,460 65,897
(29%)
Non-performing assets
85,077 131,957 162,899 (48%)
Allowance for loan losses to NPL
122.65% 95.16% 74.07%
48.58
N/M = not meaningful
CONTACT: Jennifer Ranville, 608-252-8862
