8-K
Glen Burnie Bancorp (GLBZ)
UNITED STATES SECURITIES AND EXCHANGECOMMISSION
WASHINGTON, D.C. 20549
_________________________
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): February 12, 2020
GLEN BURNIE BANCORP
(Exact name of registrant as specified in its charter)
| Maryland | 0-24047 | 52-1782444 |
|---|---|---|
| (State or Other Jurisdiction | (Commission File Number) | (IRS Employer |
| of Incorporation) | Identification No.) |
101 Crain Highway, S.E., Glen Burnie, Maryland 21061
(Address of Principal Executive Offices)
Registrant’s telephone number, including area code: (410) 766-3300
Inapplicable
(Former Name or Former Address if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ¨ | Written<br>communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ¨ | Soliciting<br>material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| --- | --- |
| ¨ | Pre-commencement<br>communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| --- | --- |
| ¨ | Pre-commencement<br>communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| --- | --- |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol | Name of each exchange on which registered |
|---|---|---|
| Common Stock | GLBZ | Nasdaq Capital Market |
INFORMATION TO BE INCLUDED IN THE REPORT
| Item 2.02. | Results of Operations and Financial Condition. |
|---|
On February 12, 2020, Glen Burnie Bancorp (the “Company”) announced its results of operations for its fiscal quarter and fiscal year ended December 31, 2019. A copy of the Company’s press release announcing such results dated February 12, 2020 is attached hereto as Exhibit 99.1. This Form 8-K and the attached exhibit are furnished to, but not filed with, the Securities and Exchange Commission (“SEC”) and shall not be deemed to be incorporated by reference into any of the Company’s filings with the SEC under the Securities Act of 1933.
| Item 9.01. | Financial Statements and Exhibits. |
|---|
(c) Exhibits
The following exhibits are filed herewith:
| Exhibit No. | |
|---|---|
| 99.1 | Press Release dated February 12, 2020 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| GLEN BURNIE BANCORP | ||
|---|---|---|
| (Registrant) | ||
| Date: February 13, 2020 | By: | /s/ John D. Long |
| John D. Long | ||
| Chief Executive Officer |
Exhibit 99.1
| Press Release | For Immediate Release |
|---|---|
| Date: February 12, 2020 |
GLEN BURNIE BANCORP ANNOUNCES
FOURTH QUARTER and FULL YEAR 2019 RESULTS
GLENBURNIE, MD (February 12, 2020) – Glen Burnie Bancorp (“Bancorp”) (NASDAQ: GLBZ), the bank holding company for The Bank of Glen Burnie (“Bank”), announced today net income of $0.54 million, or $0.19 per basic and diluted common share for the three-month period ended December 31, 2019, as compared to $0.31 million, or $0.11 per basic and diluted common share for the three-month period ended December 31, 2018.
Bancorp reported net income of $1.60 million, or $0.57 per basic and diluted common share for the year ended December 31, 2019, compared to $1.58 million, or $0.56 per basic and diluted common share for the same period in 2018. Net loans decreased by $13.9 million, or 4.69% during the twelve-month period ended December 31, 2019, compared to an increase of $27.6 million, or 10.24% during the same period of 2018. At December 31, 2019, Bancorp had total assets of $384.9 million. Bancorp, the oldest independent commercial bank in Anne Arundel County, paid its 110^th^ consecutive quarterly dividend on January 31, 2020.
During 2018, the Company conducted a periodic review of the estimated direct cost to originate loans resulting in a change to the estimated materiality of these costs. As a result, the Company began recognizing certain direct loan origination costs over the life of the related loan as a reduction of the loan’s yield by the interest method based on the contractual term of the loan. In the fourth quarter of 2018, the Company recorded a reduction of noninterest expense and an increase in loan balances of $375,000, and reduced loan balances and loan interest income by $51,000 due to the amortization of deferred costs. The effect of these adjustments increased income before taxes for the three- and twelve-months periods ended December 31, 2018 by $324,000 and increased net income by $300,000 or $0.11 per basic and diluted common share for the twelve-month period ended December 31, 2018.
“Although our net interest margin was negatively impacted by the three Federal Reserve federal funds rate decreases that occurred in the third and fourth quarters of 2019, our fourth quarter results were in line with our expectations and highlighted by continued positive momentum,” stated John D. Long, President and CEO. “We continue to invest in technology systems that allow us to remain competitive in the rapidly changing technology environment. As such, our strong fundamental performance was partially offset by the significant technology and infrastructure investments made across the Company. We completed the first phase of our technology infrastructure transformation in November 2019, and Phase II enhancements are on-track for a mid-2020 implementation. We are encouraged that these investments represent a foundation for sustainable growth as we move forward into the new decade. Completion of this initial phase is expected to result in lower noninterest expenses and an improving efficiency ratio beginning in the second half of 2020 and beyond. We continue to grow our business organically and diversify our loan portfolio. Our loan originators, retail branches and treasury management team are focused on increasing commercial deposits from existing clients and acquiring new client relationships.”
“While the competitive landscape is intense, our continued growth, profitability, credit quality and capital strength demonstrate our ability to continue to deliver value to our shareholders. We remain confident in our Company’s progress as we move forward,” continued Mr. Long. “Headquartered in the dynamic Northern Anne Arundel County market, we remain deeply committed to serving the financial needs of the community through the development of new loan and deposit products.”
Highlights for the Quarter and Year endedDecember 31, 2019
The low interest rate environment and yield-curve inversion in 2019 caused by three 25 basis point rate decreases in the benchmark rate by the Federal Reserve negatively impacted Bancorp’s organic growth strategy resulting in a $28.1 million, or 6.80% decrease in total assets year-over-year. The effect of the lower interest rate environment on the net interest margin was somewhat mitigated by managing loan and deposit pricing strategies and adjusting the investment portfolio composition and pro-active reduction of high cost wholesale funding. Bancorp has strong liquidity and capital positions that provide ample capacity for future growth, along with the Bank’s total regulatory capital to risk weighted assets of 13.21% at December 31, 2019, as compared to 13.18% for the same period of 2018.
Return on average assets for the three-month period ended December 31, 2019 was 0.55%, as compared to 0.30% for the three-month period ended December 31, 2018. Return on average equity for the three-month period ended December 31, 2019 was 6.00%, as compared to 3.68% for the three-month period ended December 31, 2018. Return on average assets for the year ended December 31, 2019 was 0.41%, as compared to 0.39% for the year ended December 31, 2018. Return on average equity for the year ended December 31, 2019 was 4.55%, as compared to 4.69% for the year ended December 31, 2018.
The book value per share of Bancorp’s common stock was $12.62 at December 31, 2019, as compared to $12.10 per share at December 31, 2018.
At December 31, 2019, the Bank remained above all “well-capitalized” regulatory requirement levels. The Bank’s tier 1 risk-based capital ratio was approximately 12.47% at December 31, 2019, as compared to 12.27% at December 31, 2018. Liquidity remained strong due to managed cash and cash equivalents, borrowing lines with the FHLB of Atlanta, the Federal Reserve and correspondent banks, and the size and composition of the bond portfolio.
Balance Sheet Review
Total assets were $384.9 million at December 31, 2019, a decrease of $28.1 million or 6.80%, from $413.0 million at December 31, 2018. Investment securities were $71.5 million at December 31, 2019, a decrease of $10.1 million or 12.38%, from $81.6 million at December 31, 2018. Loans, net of deferred fees and costs, were $284.7 million at December 31, 2019, a decrease of $14.4 million or 4.81%, from $299.1 million at December 31, 2018. Net deferred tax assets decreased $0.7 million or 51.76%, from December 31, 2018 to December 31, 2019 primarily due to the increase in fair value of securities available for sale.
Total deposits were $321.4 million at December 31, 2019, a decrease of $1.1 million or 0.34%, from $322.5 million at December 31, 2018. Noninterest-bearing deposits were $107.2 million at December 31, 2019, an increase of $5.8 million or 5.72%, from $101.4 million at December 31, 2018. Interest-bearing deposits were $214.3 million at December 31, 2019, a decrease of $6.8 million or 3.08%, from $221.1 million at December 31, 2018. Total borrowings were $25.0 million at December 31, 2019, a decrease of $30.0 million or 54.55%, from $55.0 million at December 31, 2018.
Stockholders’ equity was $35.7 million at December 31, 2019, an increase of $1.6 million or 4.69%, from $34.1 million at December 31, 2018. The $1.5 million decrease in accumulated other comprehensive loss associated with net unrealized losses on the available for sale bond portfolio, 2019 retained earnings and stock issuances under the dividend reinvestment program, offset by unrealized losses on interest rate swap contracts drove the increase in stockholders’ equity.
Nonperforming assets, which consist of nonaccrual loans, troubled debt restructurings, accruing loans past due 90 days or more, and other real estate owned, represented 1.26% of total assets at December 31, 2019, as compared to 0.70% for the same period of 2018.
Review of Financial Results
For the three-month periods ended December31, 2019 and 2018
Net income for the three-month period ended December 31, 2019 was $0.54 million, as compared to $0.31 million for the three-month period ended December 31, 2018.
Net interest income for the three-month period ended December 31, 2019 totaled $3.18 million, as compared to $3.24 million for the three-month period ended December 31, 2018. Average earning-asset balances decreased $26 million to $369 million for the three-month period ended December 31, 2019, as compared to $395 million for the same period of 2018. Competitive loan origination pressures as well as a declining interest rate environment drove the decrease in average interest-earning asset balances.
Net interest margin for the three-month period ended December 31, 2019 was 3.42%, as compared to 3.26% for the same period of 2018, an increase of 0.16%. Lower average balances and higher yields on interest-earning assets combined with lower cost of funds were the primary drivers of the results. The average balance on interest-earning assets decreased $26 million while the yield increased 0.06%. The cost of funds decreased 0.10% from 0.63% to 0.53% primarily due to the $21 million reduction in borrowed funds year-over-year.
The negative provision for loan losses for the three-month period ended December 31, 2019 was $180,000, as compared to a provision of $256,000 for the same period of 2018. The decrease for the three-month period ended December 31, 2019 primarily reflects a decrease in the balance of the loan portfolio, decreases in net charge offs, and a decrease in the qualitative factor adjustment. As a result, the allowance for loan losses was $2.07 million at December 31, 2019, representing 0.73% of total loans, as compared to $2.54 million, or 0.85% of total loans at December 31, 2018.
Noninterest income for the three-month period ended December 31, 2019 was $339,000, as compared to $313,000 for the three-month period ended December 31, 2018.
For the three-month period ended December 31, 2019, noninterest expense was $3.02 million, as compared to $2.94 million for the three-month period ended December 31, 2018. The primary contributors to the $0.08 million increase, when compared to the three-month period ended December 31, 2018 were increases in salary and employee benefits, occupancy and equipment expenses, legal, accounting and other professional fees, data processing and item processing services and loan collection costs, offset by decreases in FDIC insurance premiums due to the application of small bank assessment credits.
For the three-month period ended December 31, 2019, income tax expense was $137,000 compared with $58,000 for the same period a year earlier. The effective tax rate was 20.3%, compared with 15.9% for the same period a year ago. The 4.4% increase in the effective tax rate was primarily due to the sale, call and maturity of tax-advantaged municipal securities.
For the twelve-month periods ended December31, 2019 and 2018
Net income for the twelve-month period ended December 31, 2019 was $1.60 million, as compared to net income of $1.58 million for the twelve-month period ended December 31, 2018.
Net interest income for the twelve-month period ended December 31, 2019 totaled $12.6 million, as compared to $12.6 million for the twelve-month period ended December 31, 2018. Average earning-asset balances decreased $15 million to $371 million for the twelve-month period ended December 31, 2019, as compared to $386 million for the same period of 2018. Competitive loan origination pressures as well as a declining interest rate environment drove the decrease in average interest-earning asset balances.
Net interest margin for the twelve-month period ended December 31, 2019 was 3.39%, as compared to 3.26% for the same period of 2018, an increase of 0.13%. Lower average balances and higher yields on interest-earning assets combined with lower cost of funds were the primary drivers of the results. The average balance on interest-earning assets decreased $15 million while the yield increased 0.10%. The cost of funds decreased 0.02% from 0.57% to 0.55% primarily due to the $6 million reduction in borrowed funds year-over-year.
The negative provision for loan losses for the twelve-month period ended December 31, 2019 was $115,000, as compared to a provision of $856,000 for the same period of 2018. The decrease for the twelve-month period ended December 31, 2019 was primarily driven by $544,000 decrease in net loan charge offs year-over-year, $13.7 million decrease in loan balances and 0.13% decrease in the qualitative factor adjustment. As a result, the allowance for loan losses was $2.07 million at December 31, 2019, representing 0.73% of total loans, as compared to $2.54 million, or 0.85% of total loans for the same period of 2018.
Noninterest income for the twelve-month period ended December 31, 2019 was $1.30 million, as compared to $1.52 million for the twelve-month period ended December 31, 2018. The decrease for the twelve-month period ended December 31, 2019 was primarily driven by $308,000 gain on redemptions of BOLI policies recognized in 2018.
For the twelve-month period ended December 31, 2019, noninterest expense was $11.9 million, as compared to $11.5 million for the twelve-month period ended December 31, 2018. The primary contributors to the $0.4 million increase, when compared to the twelve-month period ended December 31, 2018 were increases in salary and employee benefits, occupancy and equipment expenses, and legal, accounting and other professional fees, partially offset by decreases in data processing and item processing services and FDIC insurance premiums due to the application of small bank assessment credits.
For the twelve-month period ended December 31, 2019, income tax expense was $452,000 compared with $130,000 for the same period a year earlier. The effective tax rate was 22.0%, compared with 7.6% for the same period a year ago. The 14.4% increase in the effective tax rate was primarily due to the sale, call and maturity of tax-advantaged municipal securities.
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Glen Burnie Bancorp Information
Glen Burnie Bancorp is a bank holding company headquartered in Glen Burnie, Maryland. Founded in 1949, The Bank of Glen Burnie® is a locally owned community bank with 8 branch offices serving Anne Arundel County. The Bank is engaged in the commercial and retail banking business including the acceptance of demand and time deposits, and the origination of loans to individuals, associations, partnerships and corporations. The Bank’s real estate financing consists of residential first and second mortgage loans, home equity lines of credit and commercial mortgage loans. The Bank also originates automobile loans through arrangements with local automobile dealers. Additional information is available at www.thebankofglenburnie.com.
Forward-Looking Statements
The statements contained herein that are not historical financial information, may be deemed to constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties, which could cause the company’s actual results in the future to differ materially from its historical results and those presently anticipated or projected. These statements are evidenced by terms such as “anticipate,” “estimate,” “should,” “expect,” “believe,” “intend,” and similar expressions. Although these statements reflect management’s good faith beliefs and projections, they are not guarantees of future performance and they may not prove true. For a more complete discussion of these and other risk factors, please see the company’s reports filed with the Securities and Exchange Commission.
For further information contact:
Jeffrey D. Harris, Chief Financial Officer
410-768-8883
106 Padfield Blvd
Glen Burnie, MD 21061
GLENBURNIE BANCORP AND SUBSIDIARY
CONSOLIDATEDBALANCE SHEETS
(dollars in thousands)
| September 30, | December 31, | |||||||
|---|---|---|---|---|---|---|---|---|
| 2019 | 2018 | |||||||
| (unaudited) | (audited) | |||||||
| ASSETS | ||||||||
| Cash and due from banks | 2,420 | $ | 3,678 | $ | 2,605 | |||
| Interest bearing deposits with banks and federal funds sold | 10,870 | 15,893 | 13,349 | |||||
| Cash and Cash Equivalents | 13,290 | 19,571 | 15,954 | |||||
| Investment securities available for sale, at fair value | 71,486 | 64,817 | 81,572 | |||||
| Restricted equity securities, at cost | 1,437 | 1,225 | 2,481 | |||||
| Loans, net of deferred fees and costs | 284,738 | 283,889 | 299,120 | |||||
| Less: Allowance for loan losses | (2,066 | ) | (2,307 | ) | (2,541 | ) | ||
| Loans, net | 282,672 | 281,582 | 296,579 | |||||
| Real estate acquired through foreclosure | 705 | 705 | 705 | |||||
| Premises and equipment, net | 3,761 | 3,820 | 3,106 | |||||
| Bank owned life insurance | 8,023 | 7,982 | 7,860 | |||||
| Deferred tax assets, net | 672 | 1,013 | 1,392 | |||||
| Accrued interest receivable | 961 | 976 | 1,198 | |||||
| Accrued taxes receivable | 1,221 | 982 | 1,177 | |||||
| Prepaid expenses | 406 | 557 | 466 | |||||
| Other assets | 308 | 208 | 556 | |||||
| Total Assets | 384,942 | $ | 383,438 | $ | 413,046 | |||
| LIABILITIES | ||||||||
| Noninterest-bearing deposits | 107,158 | $ | 111,453 | $ | 101,369 | |||
| Interest-bearing deposits | 214,282 | 213,813 | 221,084 | |||||
| Total Deposits | 321,440 | 325,266 | 322,453 | |||||
| Short-term borrowings | 25,000 | 20,000 | 55,000 | |||||
| Defined pension liability | 317 | 311 | 285 | |||||
| Accrued expenses and other liabilities | 2,505 | 2,493 | 1,257 | |||||
| Total Liabilities | 349,262 | 348,070 | 378,995 | |||||
| STOCKHOLDERS' EQUITY | ||||||||
| Common stock, par value 1, authorized 15,000,000 shares, issued and outstanding 2,827,473, 2,824,412, and 2,814,157 shares as of December 31, 2019, September 30, 2019, and December 31, 2018, respectively. | ||||||||
| 2,827 | 2,824 | 2,814 | ||||||
| Additional paid-in capital | 10,525 | 10,495 | 10,401 | |||||
| Retained earnings | 22,537 | 22,280 | 22,066 | |||||
| Accumulated other comprehensive loss | (209 | ) | (231 | ) | (1,230 | ) | ||
| Total Stockholders' Equity | 35,680 | 35,368 | 34,051 | |||||
| Total Liabilities and Stockholders' Equity | 384,942 | $ | 383,438 | $ | 413,046 |
All values are in US Dollars.
GLEN BURNIE BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OFINCOME
(dollars in thousands, except per share amounts)
| Three Months Ended<br> December 31, | Twelve Months Ended<br> December 31, | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| 2019<br> (unaudited) | 2018<br> (unaudited) | 2019<br> (unaudited) | 2018<br> (audited) | ||||||||
| Interest income | |||||||||||
| Interest and fees on loans | $ | 3,204 | $ | 3,249 | $ | 12,747 | $ | 12,348 | |||
| Interest and dividends on securities | 368 | 515 | 1,429 | 2,100 | |||||||
| Interest on deposits with banks and federal funds sold | 68 | 80 | 338 | 245 | |||||||
| Total Interest Income | 3,640 | 3,844 | 14,514 | 14,693 | |||||||
| Interest expense | |||||||||||
| Interest on deposits | 348 | 352 | 1,349 | 1,348 | |||||||
| Interest on short-term borrowings | 112 | 247 | 578 | 754 | |||||||
| Total Interest Expense | 460 | 599 | 1,927 | 2,102 | |||||||
| Net Interest Income | 3,180 | 3,245 | 12,587 | 12,591 | |||||||
| Provision for loan losses | (180 | ) | 256 | (115 | ) | 856 | |||||
| Net interest income after provision for loan losses | 3,360 | 2,989 | 12,702 | 11,735 | |||||||
| Noninterest income | |||||||||||
| Service charges on deposit accounts | 68 | 61 | 255 | 248 | |||||||
| Other fees and commissions | 230 | 210 | 874 | 774 | |||||||
| Gains on redemption of BOLI policies | - | - | - | 308 | |||||||
| Gain on securities sold | - | - | 3 | - | |||||||
| Income on life insurance | 41 | 42 | 163 | 172 | |||||||
| Gain on sale of OREO | - | - | - | 15 | |||||||
| Total Noninterest Income | 339 | 313 | 1,295 | 1,517 | |||||||
| Noninterest expenses | |||||||||||
| Salary and employee benefits | 1,685 | 1,513 | 6,826 | 6,593 | |||||||
| Occupancy and equipment expenses | 389 | 320 | 1,429 | 1,170 | |||||||
| Legal, accounting and other professional fees | 261 | 196 | 1,056 | 917 | |||||||
| Data processing and item processing services | 203 | 160 | 531 | 614 | |||||||
| FDIC insurance costs | 16 | 127 | 131 | 314 | |||||||
| Advertising and marketing related expenses | 28 | 39 | 107 | 104 | |||||||
| Loan collection costs | 45 | (8 | ) | 107 | 145 | ||||||
| Telephone costs | 62 | 72 | 244 | 253 | |||||||
| Other expenses | 334 | 518 | 1,515 | 1,429 | |||||||
| Total Noninterest Expenses | 3,023 | 2,937 | 11,946 | 11,539 | |||||||
| Income before income taxes | 676 | 365 | 2,051 | 1,713 | |||||||
| Income tax expense | 137 | 58 | 452 | 130 | |||||||
| Net income | $ | 539 | $ | 307 | $ | 1,599 | $ | 1,583 | |||
| Basic and diluted net income<br> per share of common stock | $ | 0.19 | $ | 0.11 | $ | 0.57 | $ | 0.56 |
GLENBURNIE BANCORP AND SUBSIDIARY
CONSOLIDATEDSTATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
Forthe year ended December, 2019 (unaudited) and 2018
(dollars in thousands)
| Accumulated | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Additional | Other | Total | ||||||||||
| Paid-in | Retained | Comprehensive | Stockholders' | |||||||||
| Capital | Earnings | (Loss) | Equity | |||||||||
| Balance, December 31, 2017 | 2,801 | $ | 10,267 | $ | 21,605 | $ | (631 | ) | $ | 34,042 | ||
| Net income | - | - | 1,583 | - | 1,583 | |||||||
| Cash dividends, 0.40 per share | - | - | (1,122 | ) | - | (1,122 | ) | |||||
| Dividends reinvested under dividend reinvestment plan | 13 | 134 | - | - | 147 | |||||||
| Other comprehensive loss | - | - | - | (599 | ) | (599 | ) | |||||
| Balance, December 31, 2018 | 2,814 | $ | 10,401 | $ | 22,066 | $ | (1,230 | ) | $ | 34,051 |
All values are in US Dollars.
| Accumulated | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Additional | Other | Total | ||||||||||
| Paid-in | Retained | Comprehensive | Stockholders' | |||||||||
| Capital | Earnings | (Loss)/Income | Equity | |||||||||
| Balance, December 31, 2018 | 2,814 | $ | 10,401 | $ | 22,066 | $ | (1,230 | ) | $ | 34,051 | ||
| Net income | - | - | 1,599 | - | 1,599 | |||||||
| Cash dividends, 0.40 per share | - | - | (1,128 | ) | - | (1,128 | ) | |||||
| Dividends reinvested under dividend reinvestment plan | 13 | 124 | - | - | 137 | |||||||
| Other comprehensive income | - | - | - | 1,021 | 1,021 | |||||||
| Balance, December 31, 2019 | 2,827 | $ | 10,525 | $ | 22,537 | $ | (209 | ) | $ | 35,680 |
All values are in US Dollars.
THE BANK OF GLEN BURNIE
CAPITAL RATIOS
(dollars in thousands)
| To Be Well | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Capitalized Under | |||||||||||||||
| To Be Considered | Prompt Corrective | ||||||||||||||
| Adequately Capitalized | Action Provisions | ||||||||||||||
| Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||
| As of December 31, 2019: | |||||||||||||||
| (unaudited) | |||||||||||||||
| Common Equity Tier 1 Capital | $ | 35,693 | 12.47 | % | $ | 12,878 | 4.50 | % | $ | 18,602 | 6.50 | % | |||
| Total Risk-Based Capital | $ | 37,797 | 13.21 | % | $ | 22,895 | 8.00 | % | $ | 28,619 | 10.00 | % | |||
| Tier 1 Risk-Based Capital | $ | 35,693 | 12.47 | % | $ | 17,171 | 6.00 | % | $ | 22,895 | 8.00 | % | |||
| Tier 1 Leverage | $ | 35,693 | 9.26 | % | $ | 15,414 | 4.00 | % | $ | 19,268 | 5.00 | % | |||
| As of September 30, 2019: | |||||||||||||||
| (unaudited) | |||||||||||||||
| Common Equity Tier 1 Capital | $ | 35,216 | 12.36 | % | $ | 12,822 | 4.50 | % | $ | 18,520 | 6.50 | % | |||
| Total Risk-Based Capital | $ | 37,561 | 13.18 | % | $ | 22,794 | 8.00 | % | $ | 28,493 | 10.00 | % | |||
| Tier 1 Risk-Based Capital | $ | 35,216 | 12.36 | % | $ | 17,096 | 6.00 | % | $ | 22,794 | 8.00 | % | |||
| Tier 1 Leverage | $ | 35,216 | 9.26 | % | $ | 15,215 | 4.00 | % | $ | 19,019 | 5.00 | % | |||
| As of December 31, 2018: | |||||||||||||||
| (audited) | |||||||||||||||
| Common Equity Tier 1 Capital | $ | 34,778 | 12.27 | % | $ | 12,757 | 4.50 | % | $ | 18,427 | 6.50 | % | |||
| Total Risk-Based Capital | $ | 37,354 | 13.18 | % | $ | 22,679 | 8.00 | % | $ | 28,349 | 10.00 | % | |||
| Tier 1 Risk-Based Capital | $ | 34,778 | 12.27 | % | $ | 17,009 | 6.00 | % | $ | 22,679 | 8.00 | % | |||
| Tier 1 Leverage | $ | 34,778 | 8.52 | % | $ | 16,330 | 4.00 | % | $ | 20,413 | 5.00 | % |
GLENBURNIE BANCORP AND SUBSIDIARY
SELECTEDFINANCIAL DATA
(dollars in thousands, except per share amounts)
| Three Months Ended | Year Ended | Year Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| December 31, | September 30, | December 31, | December 31, | December 31, | |||||||||||
| 2019 | 2019 | 2018 | 2019 | 2018 | |||||||||||
| (unaudited) | (unaudited) | (unaudited) | (unaudited) | (audited) | |||||||||||
| Financial Data | |||||||||||||||
| Assets | $ | 384,942 | $ | 383,438 | $ | 413,046 | $ | 384,942 | $ | 413,046 | |||||
| Investment securities | 71,486 | 64,817 | 81,572 | 71,486 | 81,572 | ||||||||||
| Loans, (net of deferred fees & costs) | 284,738 | 283,889 | 299,120 | 284,738 | 299,120 | ||||||||||
| Allowance for loan losses | 2,066 | 2,307 | 2,541 | 2,066 | 2,541 | ||||||||||
| Deposits | 321,440 | 325,266 | 322,453 | 321,440 | 322,453 | ||||||||||
| Borrowings | 25,000 | 20,000 | 55,000 | 25,000 | 55,000 | ||||||||||
| Stockholders' equity | 35,680 | 35,368 | 34,051 | 35,680 | 34,051 | ||||||||||
| Net income | 539 | 606 | 307 | 1,599 | 1,583 | ||||||||||
| Average Balances | |||||||||||||||
| Assets | $ | 385,603 | $ | 380,852 | $ | 409,314 | $ | 387,315 | $ | 401,494 | |||||
| Investment securities | 68,245 | 61,456 | 85,055 | 65,315 | 89,351 | ||||||||||
| Loans, (net of deferred fees & costs) | 286,427 | 286,944 | 297,791 | 292,076 | 286,702 | ||||||||||
| Deposits | 327,048 | 322,893 | 332,284 | 324,565 | 335,167 | ||||||||||
| Borrowings | 20,323 | 20,000 | 42,748 | 25,573 | 31,595 | ||||||||||
| Stockholders' equity | 35,602 | 35,489 | 33,106 | 35,104 | 33,777 | ||||||||||
| Performance Ratios | |||||||||||||||
| Annualized return on average assets | 0.55 | % | 0.63 | % | 0.30 | % | 0.41 | % | 0.39 | % | |||||
| Annualized return on average equity | 6.00 | % | 6.77 | % | 3.68 | % | 4.55 | % | 4.69 | % | |||||
| Net interest margin | 3.42 | % | 3.43 | % | 3.26 | % | 3.39 | % | 3.26 | % | |||||
| Dividend payout ratio | 52 | % | 47 | % | 91 | % | 71 | % | 71 | % | |||||
| Book value per share | $ | 12.62 | $ | 12.52 | $ | 12.10 | $ | 12.62 | $ | 12.10 | |||||
| Basic and diluted net income per share | 0.19 | 0.21 | 0.11 | 0.57 | 0.56 | ||||||||||
| Cash dividends declared per share | 0.10 | 0.10 | 0.10 | 0.40 | 0.40 | ||||||||||
| Basic and diluted weighted average<br> shares outstanding | 2,826,408 | 2,823,271 | 2,813,045 | 2,821,608 | 2,808,031 | ||||||||||
| Asset Quality Ratios | |||||||||||||||
| Allowance for loan losses to loans | 0.73 | % | 0.81 | % | 0.85 | % | 0.73 | % | 0.85 | % | |||||
| Nonperforming loans to avg. loans | 1.45 | % | 1.55 | % | 0.73 | % | 1.42 | % | 0.76 | % | |||||
| Allowance for loan losses to nonaccrual & 90+ past<br> due loans | 49.8 | % | 54.3 | % | 128.7 | % | 49.8 | % | 128.7 | % | |||||
| Net charge-offs annualize to avg. loans | 0.09 | % | 0.02 | % | 0.23 | % | 0.12 | % | 0.32 | % | |||||
| Capital Ratios | |||||||||||||||
| Common Equity Tier 1 Capital | 12.47 | % | 12.36 | % | 12.27 | % | 12.47 | % | 12.27 | % | |||||
| Tier 1 Risk-based Capital Ratio | 12.47 | % | 12.36 | % | 12.27 | % | 12.47 | % | 12.27 | % | |||||
| Leverage Ratio | 9.26 | % | 9.26 | % | 8.52 | % | 9.26 | % | 8.52 | % | |||||
| Total Risk-Based Capital Ratio | 13.21 | % | 13.18 | % | 13.18 | % | 13.21 | % | 13.18 | % |