LifeStore Financial Group, Inc. Reports Quarter End Results - May 2023
May 3, 2023 - LifeStore Financial Group, Inc. reported net income of $1,611,545 for the quarter ended March 31, 2023, as compared to $932,245 for the quarter ended March 31, 2022. Net income for the nine months ended March 31, 2023, was $4,746,809, as compared to $3,486,941 for the nine months ended March 31, 2022. Basic earnings per share were $4.61 as compared to $3.38 for the same nine-month period in 2022. Assets increased 7.3% to $433.1 million during the nine-months ended March 31, 2023.
Bob Washburn, President and CEO, noted, “We had another strong quarter with ROA of 1.5% and ROE of 14.3%. We had solid loan growth of $16.9 million, and deposits increased $13.2 million during the nine-month period. Asset quality remains strong in an increasingly slowing economic environment. Our net interest margin has continued to trend upward due to improvements on yields for earning assets as a result of the multiple rate increases in prime and other indices; however, our cost of funds has also increased. We expect our cost of funds to continue to increase during the fourth quarter of our fiscal year.
In a challenging and unique quarter for the banking industry, LifeStore’s risk management processes have resulted in strong capital and liquidity positions, which allow us to continue to serve all current and prospective customers. We take pride in our relationship-based business model focused on building long-term trust with our customers. We are a community bank focusing on small businesses and diverse industries within the communities we serve. We have always prioritized safety and soundness, profitability, and growth in that order.”
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.
Except for historical information, all of the statements, expectations, and assumptions contained in this press release are forward-looking statements. Actual results might differ materially from those explicit or implicit in the forward-looking statements. Important factors that could cause actual results to differ materially include, without limitation: the effects of future economic conditions; governmental fiscal and monetary policies; legislative and regulatory changes; the risks of changes in interest rates; management of growth; fluctuations in our financial results; reliance on key personnel; our ability to compete effectively; privacy, security and other risks associated with our business.
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LifeStore Financial Group, Inc. and Subsidiaries
(Dollars in thousands)
|Year Ended||March 31, 2023||March 31, 2022|
|Selected Financial Condition Data:|
|Total assets||$ 433,088||$ 418,618|
|Loans receivable, net1||258,583||218,084|
|Cash and cash equivalents||37,507||83,823|
|Book value per share||$45.64||$ 42.48|
|Return on assets||1.50%||1.27%|
|Return on equity||14.28%||11.60%|
|Three Months Ended||Nine Months Ended|
|March 31, 2023||March 31, 2022||March 31, 2023||March 31, 2022|
|Selected Operating Data:|
|Interest income and dividends||$ 4,612||$ 2,970||$ 12,901||$ 9,185|
|Net interest income||3,345||2,735||10,637||8,423|
|Provision for loan losses||13||17||47||200|
|Net interest income after provision for loan losses||3,332||2,718||10,590||8,223|
|Other non-interest income||669||725||2,174||2,807|
|Income before income tax expense||1,978||1,168||5,760||4,246|
|Income tax expense||367||236||1,013||759|
|Net income||$1,611||$ 932||$ 4,747||$ 3,487|
|Basic earnings per share of common stock||$ 1.56||$0.90||$ 4.61||$ 3.38|
1 Loans receivable, net is comprised of total loans less allowance for loan losses, loans sold, undisbursed loan funds and deferred loan fees.
2 Includes equity securities and securities available for sale.
3 The efficiency ratio represents non-interest expense as a percentage of the sum of net interest income and non-interest income.