Northway Financial (NASDAQ:NWFI)
Historical Stock Chart
From Jul 2019 to Jul 2024
Northway Financial, Inc. Announces Third Quarter Results and Declares Quarterly
Dividend
BERLIN, N.H., Oct. 28 /PRNewswire-FirstCall/ -- Northway Financial, Inc. (the
"Company") reported net income for the quarter ended September 30, 2003 of
$978,000, or $0.65 per share, compared to $175,000, or $0.12 per share, for the
same quarter in 2002, an increase of $803,000. Net income for the nine months
ended September 30, 2003 was $2,613,000, or $1.74 per share, compared to
$2,216,000, or $1.46 per share, for the nine months ended September 30, 2002, an
increase of $397,000.
Commenting on the third quarter results, William J. Woodward, Chairman,
President and Chief Executive Officer of the Company stated: "We are pleased
with the results of our latest quarter. Two of the more significant factors in
the improvement of earnings are the more favorable market conditions for
investment securities and the acquisition last October of three branches in the
Laconia area. During this past quarter, we made further progress in continuing
to optimize the effectiveness of our technology resources, with a focus on
improved customer service and greater internal efficiency."
The Company declared a quarterly dividend on October 28, 2003 of $0.17 per share
payable November 12, 2003 to shareholders of record on November 7, 2003.
Net interest and dividend income for the third quarter of 2003 increased by
$333,000 to $5,637,000 compared to $5,304,000 for the third quarter of 2002.
The provision for loan losses for the third quarter of 2003 decreased $15,000 to
$210,000, compared to $225,000 for the third quarter of last year. Securities
gains for the quarter increased $621,000 to $614,000, compared to a loss of
$7,000 for the same period last year. Noninterest income for the quarter,
excluding securities gains, increased $228,000 to $1,102,000 compared to
$874,000 for the same period last year. During the third quarter, the Company
recorded a write-down of equity securities in the amount of $65,000 compared to
$814,000 for the third quarter of last year. Other operating expense, excluding
write-down of equity securities, increased $694,000 to $5,542,000 for the
quarter, compared to $4,848,000 for the same period last year.
Net interest and dividend income for the nine months ended September 30, 2003
increased by $1,381,000 to $17,438,000, compared to $16,057,000 for the same
period last year. The provision for loan losses for the first nine months of
2003 decreased $20,000 to $655,000, compared to $675,000 for the first nine
months of 2002. Securities gains for the first nine months of 2003 increased
$584,000 to $851,000, compared to $267,000 for the same period last year.
Noninterest income year-to-date, excluding securities gains, increased $582,000
to $2,886,000, compared to $2,304,000 for the same period last year. During the
first nine months of 2003, the Company recorded a write-down of equity
securities in the amount of $184,000 compared to $814,000 for the same period
last year. Other operating expense, excluding write-down of equity securities,
increased $2,497,000 to $16,234,000 for the first nine months of 2003, compared
to $13,737,000 for the same period last year.
At September 30, 2003, Northway Financial had total assets of $619,982,000
compared to $542,093,000 at September 30, 2002, an increase of $77,889,000. This
increase in total assets was funded by both the October 2002 acquisition of
three branch facilities located in Laconia, Pittsfield, and Belmont, New
Hampshire by Pemigewasset National Bank, a subsidiary of the Company and an
increase in Federal Home Loan Bank advances. Loans, including loans held-for-
sale, at September 30, 2003 increased $56,789,000 to $461,476,000, compared to
September 30, 2002. Investments, including federal funds sold, increased
$15,268,000 to $106,588,000. Total deposits were $473,875,000 at September 30,
2003, an increase of $54,221,000 over September 30, 2002. Total borrowings
increased $19,929,000 to $75,633,000. Total equity increased $2,252,000 to
$46,670,000.
During the quarter the Company repurchased 5,000 shares of stock for
approximately $151,000 pursuant to the Company's current stock repurchase
program. An additional 91,915 shares are authorized for repurchase under the
current stock repurchase program.
Northway Financial, Inc., headquartered in Berlin, New Hampshire, is a
multi-bank holding company. Through its subsidiary banks, The Berlin City Bank
and Pemigewasset National Bank, the Company offers a broad range of financial
products and services to individuals, businesses and the public sector from its
full service banking offices.
Certain statements in this press release are "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements can be identified by the use of the words "expect,"
"believe," "estimate," "will" and other expressions which predict or indicate
future trends and which do not relate to historical matters. Forward-looking
statements may include, but are not limited to, expectations for re-engineering
and new technology initiatives, projections of revenue, income or loss, plans
for future operations, including in new markets, and acquisitions, and plans
related to products or services of the Company and its subsidiaries. Such
forward-looking statements are subject to known and unknown risks, uncertainties
and contingencies, many of which are beyond the control of the Company. The
Company's actual results could differ materially from those projected in the
forward-looking statements as the result of, among other factors, changes in
technology, changes in interest rates, changes in the securities or financial
markets, a deterioration in general economic conditions on a national basis or
in the local markets in which the Company operates, including changes in local
business conditions resulting in rising unemployment and other circumstances
which adversely affect borrowers' ability to service and repay our loans,
changes in loan defaults and charge-off rates, reduction in deposit levels
necessitating increased borrowing to fund loans and investments, the passing of
adverse government regulation, and changes in assumptions used in making such
forward-looking statements. These forward- looking statements were based on
information, plans and estimates at the date of this press release, and the
Company does not promise to update any forward- looking statements to reflect
changes in underlying assumptions or factors, new information, future events or
other changes.
Northway Financial, Inc.
Selected Consolidated Financial Data
(Unaudited)
(In thousands, except for ratios and per share amounts)
Period end balance sheet data: September 30,
2003 2002
Total assets $619,982 $542,093
Loans, net (1) 461,476 404,687
Investments (2) 106,588 91,320
Deposits 473,875 419,654
Borrowings 75,633 55,704
Capital securities 20,000 20,000
Stockholders' equity 46,670 44,418
Book value per share $31.12 $29.29
Tangible book value per share (3) 21.34 23.92
Leverage ratio 6.85% 9.22%
Shares outstanding 1,499,574 1,516,574
For the Three Months For the Nine Months
Ended Sept 30, Ended Sept 30,
Operating results: 2003 2002 2003 2002
Net interest and
dividend income $5,637 $5,304 $17,438 $16,057
Securities gains
(losses), net 614 (7) 851 267
Other noninterest income 1,102 874 2,886 2,304
Loan loss provision 210 225 655 675
Write-down of equity
securities 65 814 184 814
Other operating expense 5,542 4,848 16,234 13,737
Income before tax 1,536 284 4,102 3,402
Income tax expense 558 109 1,489 1,186
Net income $978 $175 $2,613 $2,216
Earnings per share $0.65 $0.12 $1.74 $1.46
Return on average assets 0.62% 0.13% 0.58% 0.58%
Return on average equity 8.26% 1.55% 7.61% 6.69%
(1) Net of unearned income and the allowance for loan losses. Includes
loans held-for-sale.
(2) Includes federal funds sold, Federal Home Loan Bank stock, Federal
Reserve Board stock and investment securities available-for-sale.
(3) Includes a deduction of $14,676 and $7,849 for goodwill, core deposit
intangible and mortgage servicing assets for 2003 and 2002,
respectively.
Contact: Richard P. Orsillo
Senior Vice President
and Chief Financial Officer
603-752-1171
DATASOURCE: Northway Financial, Inc.
CONTACT: Richard P. Orsillo, Senior Vice President and Chief Financial
Officer of Northway Financial, Inc., +1-603-752-1171