Abigail Adams National Bancorp Reports a 13.6% Increase in Second
Quarter Earnings
WASHINGTON, July 21 /PRNewswire-FirstCall/ -- Abigail Adams National Bancorp,
Inc. (NASDAQ:AANB), the parent holding company of The Adams National Bank,
reported strong second quarter 2005 earnings of $944 thousand, versus $831
thousand for the same period of 2004, a 13.6% increase. Diluted earnings per
share for the quarter were $0.28 compared to $0.25 for the second quarter 2004.
Year to date the Company has earned $1.87 million in net income or $0.56 per
share versus $1.65 million or $0.50 per share at June 30, 2004. The return on
average equity was 14.92% for the first six months of 2005 compared to 14.29%
for the same period in 2004, while return on average assets remained a constant
of 1.49%.
The increase in net income for the first six months of 2005 over the respective
prior year period is attributable to solid loan growth of 17.1% with the
maintenance of a healthy net interest margin of 5.26%. The 9.7% increase in
noninterest expense reflects the expansion of staff to support the growth and
profitability of the bank.
Loans grew to $191.2 million at June 30, 2005 compared to $163.3 million at
June 31, 2004. Total deposits increased 10.1% to $222.0 million at June 30,
2005 compared to $201.6 million at June 30, 2004.
Asset quality for the second quarter continued to strengthen as non- performing
assets to total assets improved to 0.33% versus 1.33% from the same period last
year. The allowance for loan losses was 320% of non-performing loans as of June
30, 2005 as compared to 73% at June 30, 2004. At quarter end, the allowance for
loan losses equaled 1.42% of total loans.
According to Kate Carr, President and CEO, "Adams Bank continues with
double-digit growth in profitability, driven by solid relationship-based growth
in loans and deposits. We continue to aggressively work to provide our
depositors with competitive rates while meeting loan demand with solid credit
policies. We enthusiastically look forward to the acquisition of Consolidated
Bank in Richmond, Virginia." Abigail Adams National Bancorp, Inc. declared a quarterly common dividend of
$0.125 per share paid out on June 30, 2005 to stockholders of record as of June
15, 2005.
The Adams National Bank is a wholly owned subsidiary of Abigail Adams National
Bancorp, Inc., headquartered in Washington, DC. Adams currently operates five
offices in DC and one in Maryland. Abigail Adams National Bancorp, Inc. is
acquiring Consolidated Bank & Trust Company, the oldest minority bank in the
country, headquartered in Richmond, VA, with three branches in Richmond and
Hampton Roads, VA.
Adams Bank is focused on serving minorities, small businesses and not-for-
profit organizations in the Washington, DC area. The Adams National Bank offers
a full line of banking services including business and real estate loans, as
well as deposit services. All information for the period ended June 30, 2005
has been derived from unaudited financial information.
Abigail Adams National Bancorp, Inc. & Subsidiary
Selected Financial Data
June 30, 2005 and 2004
(In thousands, except per share data) Three Months Ended: Six Months Ended:
6/30/05 6/30/04 6/30/05 6/30/04
INCOME STATEMENT:
Interest income 4,057 3,331 7,804 6,616
Interest expense 910 465 1,529 923
Net interest income 3,147 2,866 6,275 5,693
Provision for loan losses 35 105 100 210
Net interest income after
provision for loan losses 3,112 2,761 6,175 5,483
Noninterest income 502 457 930 912
Noninterest expense 2,045 1,837 4,009 3,655
Income before taxes 1,569 1,381 3,096 2,740
Provision for income tax
expense 625 550 1,230 1,091
Net income 944 831 1,866 1,649 PER SHARE DATA:
Basic earnings per share $0.28 $0.25 $0.56 $0.50
Diluted earnings per share $0.28 $0.25 $0.56 $0.50
Dividends paid on common
shares $0.13 $0.11 $0.25 $0.23 Average shares outstanding
- Basic 3,323,368 3,315,777 3,323,096 3,315,777 Average shares outstanding
- Diluted 3,331,251 3,328,491 3,331,455 3,328,807
CONSOLIDATED BALANCE SHEET:
Assets:
Cash & due from banks 9,383 9,498
Short-term investments 4,927 19,543
Investment securities 49,079 43,519
Loans, gross 191,198 163,278
Allowance for loan losses (2,708) (2,307)
Other assets 5,967 5,133
Total assets 257,846 238,664 Liabilities:
Deposits 221,968 201,606
Short-term borrowings 1,756 3,505
Long-term borrowings 6,671 9,580
Accrued expenses & other
liabilities 1,765 925
Total liabilities 232,160 215,616 Stockholders' equity:
Capital stock 33 30
Surplus 22,629 17,241
Retained earnings 3,024 5,777
Total stockholders'
equity 25,686 23,048
Total liabilities &
stockholders' equity 257,846 238,664 PERFORMANCE RATIOS:
Book value per share $7.73 $6.95
Return on average assets 1.48% 1.49% 1.49% 1.49%
Return on average
stockholders' equity 14.90% 14.38% 14.92% 14.29%
Net interest margin 5.15% 5.40% 5.26% 5.40%
Efficiency ratio 56.04% 55.28% 55.64% 55.34%
Ratio of nonperforming
assets to total assets 0.33% 1.33%
Allowance for loan losses
to loans 1.42% 1.41%
Allowance for loan losses
to nonperforming assets 320% 73%
DATASOURCE: The Adams National Bank CONTACT: Kathleen Walsh Carr of The Adams National Bank, +1-202-772-3711 Web site: http://www.adamsbank.com/
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