The Company reported net income (unaudited) of
President and CEO
“The Wayne Savings lending team set a record of
2022 Select Business Highlights
- Net loan balances increased to
$554.8 million atSeptember 30, 2022 , compared to$433.2 million atSeptember 30, 2021 , or 28.1% growth, comprised mainly of$77.1 million of commercial loans secured by real estate and$41.8 million of one to four residential mortgage loans. - Wayne Savings deposits increased
$62.6 million , or 11.8%, to$592.7 million atSeptember 30, 2022 , compared to$530.1 million atSeptember 30, 2021 , primarily due to the growth in “Platinum” checking accounts of$17.7 million , increased brokered certificate of deposits of$20.0 million and$8.1 million in basic business accounts. Personal Platinum checking accounts increased from$105.7 million atSeptember 30, 2021 , to$116.9 million atSeptember 30, 2022 , while Business Platinum checking accounts increased from$29.7 million atSeptember 30, 2021 , to$36.2 million during the same period ending in 2022. In addition to the Platinum growth, our Impact checking product increased from$9.5 million atSeptember 30, 2021 , to$14.0 million atSeptember 30, 2022 . The Company used brokered deposits as a replacement to Federal Home Loan Advances to fund the loan growth. - On
May 23, 2022 ,Wayne Savings Bancshares, Inc. , purchased 189,398 shares from a single shareholder. This completed the stock repurchase program announced onDecember 16, 2021 . Wayne Savings Bancshares, Inc. declared a cash dividend of$0.23 per share for the quarter endingSeptember 30, 2022 . The quarterly cash dividend will be paid onNovember 2, 2022 , to the stockholders of record as ofOctober 19, 2022 .
Third Quarter 2022 Financial Highlights
- Net interest income was
$6.2 million for the quarter endedSeptember 30, 2022 , an increase of$1.3 million , or 25.1%, compared to the quarter endedSeptember 30, 2021 . The net interest margin increased from 3.31% for the quarter endedSeptember 30, 2021 , to 3.83% for the same period in 2022. Interest income on loans increased by$1.1 million , or 21.45% primarily related to the$111.9 million of increased average loan balances to$536.3 million for the quarter endedSeptember 30, 2022 , from$424.4 million for the same period in the prior year - Provision for loan losses increased to
$410,000 for the third quarter 2022 compared to$177,000 for the same period in 2021 mainly due to the increased loan growth for the 2022 quarter compared to the 2021 quarter. - Noninterest income totaled
$636,000 , a decrease of$27,000 , or 4.1%, from$663,000 for the quarter endedSeptember 2021 , caused by a decline in mortgage loans sold during the 2022 quarter, partially offset with increased deposit fees. - Noninterest expense totaled
$3.4 million for the three-month period endedSeptember 30, 2022 , an increase of$293,000 , or 9.6%, compared to the three months endedSeptember 30, 2021 , primarily due to increased salaries and employee benefits as the Company added additional sales and sales support staff to facilitate loan and deposit growth. The Company’s efficiency ratio was 48.8% for the three-month period endedSeptember 30, 2022 , compared to 54.3% for the same period in 2021.
2022 Year-to-Date Business Highlights
- Net interest income was
$16.5 million for the nine-month period endedSeptember 30, 2022 , an increase of$2.1 million , or 14.7%, compared to the same period in 2021 as the nine-month average net loan balances increased$85.8 million from theSeptember 30, 2021 period. Net interest margin for the nine months endedSeptember 30, 2022 and 2021, rose by 25 basis points to 3.48% as the average yield on interest-earning assets increased 18 basis point and the average rate on interest-bearing liabilities declined by 7 basis points. Interest income on loans increased by$1.6 million , or 10.9%, as average balances increased for the nine-month period endingSeptember 30, 2022 , of$496.2 million , from$410.4 million for the period endedSeptember 30, 2021 . - Net loan balances increased from
$454.6 million atDecember 31, 2021 , to$554.8 million atSeptember 30, 2022 , an increase of$100.2 million , or 29.4% of annualized growth consisting mainly of commercial real estate loans and one to four residential mortgage loans. - Provision for loan losses was
$841,000 for the nine-month period endingSeptember 30, 2022 , compared to$618,000 for the same period in the prior year. This increase in provision for loan losses expense was mainly due to the annualized growth in our loan portfolio for 2022 was 29.4% compared to the annualized growth for the same period in 2021 of 14.2%. - Noninterest income totaled
$2.1 million , an increase of$85,000 , or 4.2%, from$2.0 million for the nine-month period endedSeptember 30, 2021 , caused by a gain of$229,000 on the sale of foreclosed assets held for sale that was recorded during the nine-month period endedSeptember 30, 2022 .
- Noninterest expense totaled
$9.6 million for the year-to-date period endedSeptember 30, 2022 , an increase of$815,000 , or 9.2%, compared to theSeptember 30, 2021 nine-month period. The increase was primarily due to an increase in salaries and employee benefits expense. The Company’s efficiency ratio was 51.8% for the nine-month period endedSeptember 30, 2022 , compared to 53.8% for the same period endedSeptember 2021 .
At
The allowance for loan losses was
Total nonperforming loans declined to
Total liabilities increased
Total stockholders’ equity declined by
Established in 1899,
Forward-Looking-Statements
This release contains forward-looking statements that are not historical facts and that are intended to be “forward-looking statements” as that term is defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include, but are not limited to, statements about the Company’s plans, objectives, expectations and intentions and other statements contained in this release that are not historical facts and pertain to the Company’s future operating results. When used in this release, the words “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions are generally intended to identify forward-looking statements. Actual results may differ materially from the results discussed in these forward-looking statements, because such statements are inherently subject to significant assumptions, risks and uncertainties, many of which are difficult to predict and are generally beyond the Company’s control. These include but are not limited to: the possibility of adverse economic developments that may, among other things, increase default and delinquency risks in the Company’s loan portfolios; shifts in interest rates; shifts in the rate of inflation; shifts in the demand for the Company’s loan and other products; unforeseen increases in costs and expenses; lower-than-expected revenue or cost savings in connection with acquisitions; changes in accounting policies; changes in the monetary and fiscal policies of the federal government; and changes in laws, regulations and the competitive environment. Unless legally required, the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
Contact Information:
Senior Vice President Chief Financial Officer
(330) 264-5767
Selected Condensed Consolidated Financial Data | |||||||||||||||||
(Dollars in thousands, except share data - unaudited) | |||||||||||||||||
September | June | March | December | ||||||||||||||
2022 | 2022 | 2022 | 2021 | ||||||||||||||
Interest and dividend income | $ | 6,892 | $ | 5,889 | $ | 5,517 | $ | 5,502 | |||||||||
Interest expense | 670 | 564 | 564 | 592 | |||||||||||||
Net interest income | 6,222 | 5,325 | 4,953 | 4,910 | |||||||||||||
Provision for loan losses | 410 | 257 | 174 | 128 | |||||||||||||
Net interest income after | |||||||||||||||||
provision for loan losses | 5,812 | 5,068 | 4,779 | 4,782 | |||||||||||||
Non-interest income | 636 | 599 | 865 | 598 | |||||||||||||
Non-interest expense | 3,350 | 3,191 | 3,101 | 3,156 | |||||||||||||
Income before federal income taxes | 3,098 | 2,476 | 2,543 | 2,224 | |||||||||||||
Provision for federal income taxes | 589 | 457 | 476 | 428 | |||||||||||||
Net income | $ | 2,509 | $ | 2,019 | $ | 2,067 | $ | 1,796 | |||||||||
Earnings per share - basic | $ | 1.14 | $ | 0.88 | $ | 0.87 | $ | 0.76 | |||||||||
Earnings per share - diluted | $ | 1.13 | $ | 0.87 | $ | 0.86 | $ | 0.75 | |||||||||
Dividends per share | $ | 0.23 | $ | 0.23 | $ | 0.23 | $ | 0.21 | |||||||||
Return on average assets | 1.48% | 1.23% | 1.28% | 1.12% | |||||||||||||
Return on average equity | 22.85% | 17.37% | 15.44% | 13.48% | |||||||||||||
Shares outstanding | 2,191,338 | 2,185,688 | 2,369,886 | 2,365,268 | |||||||||||||
Book value per share | $ | 18.94 | $ | 19.33 | $ | 21.12 | $ | 22.67 | |||||||||
September | June | March | December | ||||||||||||||
2021 | 2021 | 2021 | 2020 | ||||||||||||||
Interest and dividend income | $ | 5,589 | $ | 5,364 | $ | 5,352 | $ | 5,168 | |||||||||
Interest expense | 617 | 630 | 670 | 716 | |||||||||||||
Net interest income | 4,972 | 4,734 | 4,682 | 4,452 | |||||||||||||
Provision for loan losses | 177 | 278 | 163 | 134 | |||||||||||||
Net interest income after | |||||||||||||||||
provision for loan losses | 4,795 | 4,456 | 4,519 | 4,318 | |||||||||||||
Non-interest income | 663 | 737 | 615 | 742 | |||||||||||||
Non-interest expense | 3,057 | 2,975 | 2,795 | 2,848 | |||||||||||||
Income before federal income taxes | 2,401 | 2,218 | 2,339 | 2,212 | |||||||||||||
Provision for federal income taxes | 449 | 416 | 452 | 439 | |||||||||||||
Net income | $ | 1,952 | $ | 1,802 | $ | 1,887 | $ | 1,773 | |||||||||
Earnings per share - basic | $ | 0.81 | $ | 0.73 | $ | 0.76 | $ | 0.71 | |||||||||
Earnings per share - diluted | $ | 0.80 | $ | 0.72 | $ | 0.76 | $ | 0.68 | |||||||||
Dividends per share | $ | 0.21 | $ | 0.21 | $ | 0.21 | $ | 0.20 | |||||||||
Return on average assets | 1.23% | 1.15% | 1.26% | 1.25% | |||||||||||||
Return on average equity | 14.76% | 13.53% | 14.22% | 13.69% | |||||||||||||
Shares outstanding | 2,380,374 | 2,401,411 | 2,477,391 | 2,482,886 | |||||||||||||
Book value per share | $ | 22.25 | $ | 21.66 | $ | 21.14 | $ | 20.99 |
Condensed Consolidated Statements of Income | ||||||||||||
(Dollars in thousands, except share data - unaudited) | ||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||
Interest income | $ | 6,892 | $ | 5,589 | $ | 18,298 | $ | 16,305 | ||||
Interest expense | 670 | 617 | 1,798 | 1,917 | ||||||||
Net interest income | 6,222 | 4,972 | 16,500 | 14,388 | ||||||||
Provision for loan losses | 410 | 177 | 841 | 618 | ||||||||
Net interest income after provision for loan losses | 5,812 | 4,795 | 15,659 | 13,770 | ||||||||
Non-interest income | 636 | 663 | 2,100 | 2,015 | ||||||||
Non-interest expense | ||||||||||||
Salaries and employee benefits | 1,933 | 1,779 | 5,625 | 5,051 | ||||||||
Net occupancy and equipment expense | 500 | 468 | 1,489 | 1,440 | ||||||||
Federal deposit insurance premiums | 92 | 81 | 187 | 165 | ||||||||
Franchise taxes | 115 | 116 | 346 | 330 | ||||||||
Advertising and marketing | 98 | 38 | 196 | 105 | ||||||||
Legal | 25 | 11 | 58 | 48 | ||||||||
Professional fees | 95 | 18 | 250 | 150 | ||||||||
ATM network | 100 | 96 | 291 | 289 | ||||||||
Auditing and accounting | 64 | 71 | 184 | 217 | ||||||||
Other | 328 | 379 | 1,016 | 1,032 | ||||||||
Total non-interest expense | 3,350 | 3,057 | 9,642 | 8,827 | ||||||||
Income before federal income taxes | 3,098 | 2,401 | 8,117 | 6,958 | ||||||||
Provision for federal income taxes | 589 | 449 | 1,522 | 1,317 | ||||||||
Net income | $ | 2,509 | $ | 1,952 | $ | 6,595 | $ | 5,641 | ||||
Earnings per share | ||||||||||||
Basic | $ | 1.14 | $ | 0.81 | $ | 2.89 | $ | 2.30 | ||||
Diluted | $ | 1.13 | $ | 0.80 | $ | 2.86 | $ | 2.28 |
Condensed Consolidated Balance Sheets | ||||||||
(Dollars in thousands, except share data - unaudited) | ||||||||
ASSETS | ||||||||
Cash and cash equivalents | $ | 8,487 | $ | 44,437 | ||||
Securities, net (1) | 94,657 | 110,216 | ||||||
Loans held for sale | - | 272 | ||||||
Loans receivable, net | 554,808 | 454,587 | ||||||
3,322 | 4,226 | |||||||
Premises & equipment, net | 5,021 | 5,223 | ||||||
Bank-owned life insurance | 11,366 | 11,169 | ||||||
Other assets | 9,595 | 5,874 | ||||||
TOTAL ASSETS | $ | 687,256 | $ | 636,004 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Deposit accounts | $ | 592,670 | $ | 540,456 | ||||
Other short-term borrowings | 17,016 | 22,402 | ||||||
31,100 | 14,000 | |||||||
Accrued interest payable and other liabilities | 4,967 | 5,520 | ||||||
TOTAL LIABILITIES | 645,753 | 582,378 | ||||||
Common stock (3,978,731 shares of | 398 | 398 | ||||||
Additional paid-in capital | 36,465 | 36,420 | ||||||
Retained earnings | 47,740 | 42,698 | ||||||
Treasury Stock, at cost - 1,787,393 shares and 1,613,463 shares | ||||||||
at | (30,481 | ) | (25,786 | ) | ||||
Accumulated other comprehensive loss | (12,619 | ) | (104 | ) | ||||
TOTAL STOCKHOLDERS' EQUITY | 41,503 | 53,626 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 687,256 | $ | 636,004 | ||||
(1) Includes available-for-sale and held-to-maturity classifications. | ||||||||
Note: The | ||||||||
Source:
2022 GlobeNewswire, Inc., source