Continues to Increase Tier 1 Capital Ratio
First Commons Bank of Newton, Mass., today reported its results for the quarter ended September 30, 2014. Net Income for the quarter was $285 thousand compared to $110 thousand for the 3rd quarter of 2013. Year-to-date income for the period January 1 to September 30, 2014 was $973 thousand, compared to $631 thousand for the same period of 2013 — an increase of 54%. Net Income results for 2013 were impacted by Gains on Sale of Securities of $262 thousand, while 2014 results are all from banking operations.
The Bank’s Return on Average Assets for the nine-month period ended September 30, 2014 was 0.52%, compared to 0.37% for the nine-month period ended September 30, 2013. The Bank’s Tier 1 Capital to Asset Ratio also improved from the 8.91% reported as of September 30, 2013 to 9.46% as of September 30, 2014.
Tony Nuzzo, Chairman, President and CEO of First Commons Bank said, “We are pleased with our core earnings results, especially as we increased our Tier 1 Capital Ratio. Earnings from Bank operations grew by over 50% for the first nine months of 2014, compared to the first nine months of 2013.”
Total Interest Income of $8.1 million increased by approximately $887 thousand, or 12.2%, for the nine-month period ended September 30, 2014 vs. 2013. Interest Expense of $1.7 million increased by approximately $298 thousand, or 21.4%, for the nine months ended September 30, 2014 vs. 2013. The Bank’s Net Interest Margin of $6.5 million as of September 30, 2014 represents an increase of $589 thousand, or 10.0% over the nine-month period ended September 30, 2013. Noninterest operating expenses increased by approximately $167 thousand, or 3.50%, for the nine month-period ended September 30, 2014 compared to the nine-month period ended September 30, 2013. Book value of the Bank’s common stock as of September 30, 2014 was $9.40.
Mr. Nuzzo further commented, “We are also pleased that our ratio of non-performing loans to total loans remains at 0.00% as of September 30, 2014, and we still do not have a loan that is more than 60 days past due.”
First Commons Bank’s financial results are available on the FDIC’s Web site at http://goo.gl/f9mpZR.
About First Commons Bank
First Commons Bank, N.A., is a nationally chartered, FDIC-insured Full-service community bank dedicated to serving the businesses and individuals of Newton, Wellesley, Waltham, and eastern Massachusetts. The bank opened for business on July 22, 2009. Locations include its headquarters at 718 Beacon Street in Newton Centre, Mass., and 161 Linden Square in Wellesley, Mass. Visit the First Commons Bank website at http://www.firstcommonsbank.com Follow the bank of Facebook at http://facebook.com/firstcommonsbank and on Twitter at http://twitter.com/firstcommonsbnk.