Pinnacle Bancshr (AMEX:PLE)
Historical Stock Chart
From Jul 2019 to Jul 2024
![Click Here for more Pinnacle Bancshr Charts. Click Here for more Pinnacle Bancshr Charts.](/p.php?pid=staticchart&s=A%5EPLE&p=8&t=15)
Robert B. Nolen, Jr., President and Chief Executive Officer of Pinnacle
Bancshares, Inc. (AMEX:PLE), today announced Pinnacle’s
second quarter results of operations.
For the three months ended June 30, 2007, net income was $405,000,
compared with net income of $376,000 for the three months ended June 30,
2006. Net interest income after the provision for loan losses for the
three months ended June 30, 2007, was $1,585,000, compared with
$1,492,000 in the same period last year. The provision for loan losses
was $25,000 and $112,500 for the three months ended June 30, 2007 and
2006, respectively.
For the six months ended June 30, 2007, net income was $653,000,
compared with $667,000 for the six months ended June 30, 2006. Net
interest income after the provision for loan losses for the six months
ended June 30, 2007, was $3,086,000, compared with $3,003,000 in the
same period last year. The provision for loan losses was $100,000 and
$247,500 for the six months ended June 30, 2007 and 2006, respectively.
Basic and diluted earnings per share for the three months ended June 30,
2007 were each $0.28 per share, compared to $0.25 each for the same
period last year. For the six months ended June 30, 3007 basic and
diluted earnings were $0.45 and $0.44 per share, respectively, compared
to $0.44 and $0.43, respectively, for the same period last year.
Mr. Nolen attributed the decreases in net income and net interest income
to a flat-to-inverted yield curve and a competitive deposit rate
environment which continued to exert pressure on Pinnacle Bank’s
net interest margin. Mr. Nolen noted the reduced provisions for loan
losses was primarily due to a decrease in charge-offs. Net charge-offs
for the six months ended June 30, 2007 were $71,000 compared with
$210,000 in the same period last year.
For the three months ended June 30, 2007, the Company’s
interest income was $3,651,000, compared to $3,232,000 for the three
months ended June 30, 2006, an increase of 13%. However, for the three
months ended June 30, 2007, the Company’s
interest expense was $2,041,000, compared to $1,628,000 for the three
months ended June 30, 2007, an increase of 25%. As a result, the Company’s
net interest margin was 2.92% and 2.90% for the three and six months
ended June 30, 2007, respectively, compared to 3.13% and 3.17% for the
three and six months ended June 30, 2006, respectively. Mr. Nolen
reaffirmed his belief that if interest rates continue to increase, the
net interest margin will continue to decline.
At June 30, 2007, total stockholders’ equity
and book value per share were $19,541,000 and $13.34 per share,
respectively, compared to $19,406,000 and $13.00 per share,
respectively, at December 31, 2006. Total assets at June 30, 2007, were
$243,634,000, compared to total assets at December 31, 2006, of
$232,234,000.
In response to recent market concerns regarding the mortgage lending
industry, Mr. Nolen noted that the Company does not originate subprime
loans.
Information contained in this press release, other than historical
information, may be considered forward-looking in nature and is subject
to various risks, uncertainties and assumptions. Should one or more of
these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from
those anticipated, estimated or expected. Among the key factors that may
have a direct bearing on Pinnacle’s operating
results, performance or financial condition are competition, the demand
for its products and services, the ability to expand, and numerous other
factors as set forth in filings with the Securities and Exchange
Commission.
Pinnacle Bancshares, Inc.’s wholly owned
subsidiary Pinnacle Bank has seven offices located in central and
northwest Alabama.
PINNACLE BANCSHARES, INC.
Unaudited Financial Highlights
Three Months Ended June 30,
2007
2006
Net income
$
405,000
$
376,000
Basic earnings per share
$
0.28
$
0.25
Diluted earnings per share
$
0.28
$
0.25
Performance ratios (annualized):
Return on average assets
0.67
%
0.68
%
Return on average equity
8.23
%
8.19
%
Interest rate spread
2.88
%
3.08
%
Net interest margin
2.92
%
3.13
%
Operating costs to assets
2.41
%
2.60
%
Weighted average basic shares outstanding
1,464,538
1,497,178
Weighted average diluted shares outstanding
1,470,043
1,525,258
Dividends per share
$
0.11
$
0.11
Provision for loan losses
$
25,000
$
112,500
Six Months Ended June 30,
2007
2006
Net income
$
653,000
$
667,000
Basic earnings per share
$
0.45
$
0.44
Diluted earnings per share
$
0.44
$
0.43
Performance ratios (annualized):
Return on average assets
0.55
%
0.60
%
Return on average equity
6.67
%
7.07
%
Interest rate spread
2.87
%
3.16
%
Net interest margin
2.90
%
3.17
%
Operating costs to assets
2.51
%
2.66
%
Weighted average basic shares outstanding
1,464,538
1,519,056
Weighted average diluted shares outstanding
1,470,333
1,547,101
Dividends per share
$
0.22
$
0.22
Provision for loan losses
$
100,000
$
247,500
June 30,2007
December 31,2006
Total assets
$
243,634,000
$
232,234,000
Loans receivable, net
$
119,688,000
$
113,490,000
Deposits
$
217,573,000
$
206,570,000
Total stockholders’ equity
$
19,541,000
$
19,406,000
Book value per share
$
13.34
$
13.00
Stockholders’ equity to assets ratio
8.02
%
8.36
%
Asset quality ratios:
Nonperforming loans as a percent of total loans
0.39
%
0.37
%
Nonperforming assets as a percent of total assets
0.24
%
0.27
%
Allowance for loan losses as a percent of total loans
1.28
%
1.20
%
Allowance for loan losses as a percent of nonperforming loans
328.14
%
329.05
%