Monday, November 19th, 2018

NEIB announces increased earnings

Posted: Friday, October 26, 2018

Northeast Indiana Bancorp, Inc. (OTCQB: NIDB), the parent company of First Federal Savings Bank, today announced net income for the nine months ended September 30, 2018 increased $257,000 or 8.8% to $3.16 million ($2.65 per diluted common share), compared to net income of $2.90 million ($2.41 per diluted common share) for the nine months ended September 30, 2017. The prior nine months earnings were increased by a negative Loan Loss Provision that increased earnings roughly $400,000, net of taxes.

Core earnings for the nine months ended September 30, 2017 would have been roughly $2.50 million without the negative Loan Loss Provision. The current nine months earnings equates to an annualized ROA of 1.31% and an ROE of 11.68% compared to an annualized ROA of 1.28% and an annualized ROE of 11.08% for the nine months ended September 30, 2017.

Net income decreased $283,000 to $1.03 million ($0.86 per diluted common share) for the Company’s third quarter ended September 30, 2018 compared to net income of $1.31 million ($1.10 per diluted common share) for the third quarter ended September 30, 2017. Core earnings for the three months ended September 30, 2017 would have been roughly $915,000 without the negative Loan Loss Provision discussed above. The current three months earnings equates to an annualized return on average assets (ROA) of 1.27% and a return on average equity (ROE) of 11.22% compared to an annualized ROA of 1.74% and an ROE of 14.70% for the three months ended September 30, 2017.

Net Loans Receivable has increased $4.2 million or 1.9% to $229.3 million at September 30, 2018 compared to $225.1 million at December 31, 2017. Total Deposits have increased $20.9 million or 9.9% to $233.1 million at September 30, 2018 compared to $212.2 million at December 31, 2017. Shareholder’s equity was $36.9 million at September 30, 2018 compared to $35.7 million at December 31, 2017. The book value of NIDB’s stock was $30.59 per common share as of September 30, 2018. The number of outstanding common shares was 1,206,327 as of the same date. The last reported trade of the stock on October 19, 2018 was $38.00 per common share.