LifeStore Financial Group, Inc. Reports Quarter End Results, November 2020
November 13, 2020 - LifeStore Financial Group, Inc. reported net income of $1,748,174 for the quarter ended September 30, 2020, as compared to $1,159,850 for the quarter ended September 30, 2019. Basic earnings per share were $1.70 as compared to $1.13 for the same period in 2019. Assets increased 3.0% to $357.5 million at September 30, 2020.
Bob Washburn, President and CEO noted, “We had another outstanding quarter with net income up 50.7% over the prior year. We are pleased with our income and asset growth especially during the challenging times presented by the pandemic. We continue to benefit from our diverse noninterest-income sources. We ended the quarter with an increase of 70.3% in non-interest income and a healthy level of liquidity and capital.”
Bob Washburn also noted, “Our mortgage loan officers continue to be very busy assisting homebuyers and customers refinancing their loans to take advantage of the drop in home mortgage rates. We have continued to see a record level of mortgage loan origination. During the quarter ended September 30, 2020, we originated $40.6 million of loans that were sold in the secondary market, compared to $10.4 million during the quarter ended September 30, 2019. This increased our sold mortgage income from $238,764 to $1.6 million for the quarter ended September 30, 2020.”
“We continue to support our customers and communities during these challenging times. We have expanded our charitable giving and will continue to help our customers navigate the PPP loan forgiveness rules. We couldn’t be prouder of our staff and the level of customer service they provide every day,” commented Washburn.
LifeStore Financial Group, Inc., headquartered in West Jefferson, provides banking, investment, and insurance services. It is a state-chartered bank holding company that owns 100% of the common stock of LifeStore Bank (Member FDIC and Equal Housing Lender) and operates branches in Boone, Jefferson, and West Jefferson. LifeStore Insurance is an independent insurance agency that serves these markets along with Elkin, Lenoir, Newland, and Sparta.
LifeStore Financial Group, Inc.
| September 30, 2020 | September 30, 2019 | |
|---|---|---|
| Selected Financial Condition Data: | (Dollars in thousands) | (Dollars in thousands) |
| Total assets | $357,471 | $309,609 |
| Loans receivable, net1 | 198,756 | 190,411 |
| Investment Securities2 | 78,603 | 66,756 |
| Cash and cash equivalents | 48,396 | 24,598 |
| Deposits | 281,492 | 235,552 |
| Borrowings | 33,027 | 36,431 |
| Equity | 37,632 | 32,535 |
| Book value per share | $36.52 | $31.57 |
| Return on assets | 1.98% | 1.52% |
| Return on equity | 19.02% | 14.54% |
| Efficiency ratio3 | 61.71% | 68.69% |
| Three Months Ended | Three Months Ended | |
| September 30, 2020 | September 30, 2019 | |
| (Dollars in thousands) | (Dollars in thousands) | |
| Selected Operating Data: | ||
| Interest income and dividends | $2,838 | $3,113 |
| Interest expense | 580 | 801 |
| Net interest income | 2,258 | 2,312 |
| Provision for loan losses | 214 | 45 |
| Net interest income after provision for loan losses | 2,044 | 2,267 |
| Insurance commissions | 1,388 | 1,317 |
| Other non-interest income | 2,473 | 950 |
| Non-interest expense | 3,776 | 3,145 |
| Income before income tax expense | 2,129 | 1,389 |
| Income tax expense | 381 | 229 |
| Net Income | 1,748 | 1,160 |
| Basic earnings per share of common stock | $1.70 | $1.13 |
1 Loans receivable, net is compromised of total loans less allowance for loan losses, loans sold, undisbursed loan funds and deferred loan fees.
2 Includes other investments, at cost and investment securities.
3 The efficiency ratio represents non-interest expense as a percentage of the sum of net interest income and non-interest income.