Skip Navigation Documents in Portable Document Format (PDF) require Adobe Acrobat Reader 5.0 or higher to view,download Adobe® Acrobat Reader.
Chat Offline

Customer Service

800-442-6666


24-Hour Telephone Banking

888-568-6310

Search

What can we help you find?

Press Release

Northway Financial, Inc. Announces Second Quarter Earnings and Declares Semi-Annual Dividend

Company Release - 7/27/2018 8:46 AM ET

NORTH CONWAY, N.H., July 27, 2018 (GLOBE NEWSWIRE) -- Northway Financial, Inc. (the “Company”) (OTCQB: NWYF), the parent company of Northway Bank (the “Bank”), today reported net income for the quarter ended June 30, 2018 of $1.1MM, or $0.39 per basic common share.  Year-to-date, the Company reported net income of $2.2MM, or $0.82 per basic common share.

The Board of Directors has declared a semi-annual cash dividend of $0.35 per share, payable on August 13, 2018, to common stockholders of record on August 6, 2018.  The payment of this dividend results in a 43% payout ratio based on net income available to common stockholders.  Based on a share price of $32.30 on July 25, 2018, this semi-annual dividend, when annualized, results in a dividend yield of approximately 2.1%. The Company’s common stock is available through brokers and is quoted on the OTCQB under the stock symbol “NWYF”. 

Financial Highlights

  • Total assets were $944MM, total loans, net, were $621MM, and total deposits were $717MM at June 30, 2018.
  • Loans, net, increased $56MM from December 31, 2017, which is the result of the implementation of our organic growth strategy. 
  • Net income was $2.2MM for the six months ended June 30, 2018.
  • Net income for the six months ending June 30, 2018 was $1.5MM less than the same period last year, primarily due to a lower level of security gains and an increase in noninterest expense related to the hiring of additional lenders to support our growth strategy. 
  • The net interest margin at June 30, 2018 was 3.36%.
  • The yield on earning assets was 3.85% and the cost of interest-bearing liabilities was 0.61%, for the six months ended June 30, 2018.
  • For the six months ended June 30, 2018, Return on Average Assets was 0.49% and Return on Average Equity was 5.77%
  • Regulatory capital ratios at June 30, 2018 were 10.22% Tier 1 Leverage, 16.13% Total Risk Based Capital, and 11.86% Common Equity Tier 1.
  • Nonperforming loans as a percentage of total loans stood at 0.56% at June 30, 2018.
 
Northway Financial, Inc.
Selected Financial Highlights
(Unaudited)
 
(Dollars in thousands, except per share data)Three Months Ended Six Months Ended
 6/30/2018 6/30/2017 6/30/2018 6/30/2017
        
Interest and Dividend Income$8,321  $7,725 $16,347 $15,252
Interest Expense 1,261   801  2,134  1,567
Net Interest and Dividend Income 7,060   6,924  14,213  13,685
Provision for Loan Losses -   -  -  -
All Other Noninterest Income 1,258   1,458  2,429  3,027
Noninterest Expense 7,029   6,299  14,381  12,829
Net Income Before Securities Gains 1,289   2,083  2,261  3,883
Securities Gains, Net (118)  697  187  1,179
Net Income Before Taxes 1,171   2,780  2,448  5,062
Provision for Income Tax 110   745  204  1,349
Net Income$1,061  $2,035 $2,244 $3,713
Net Income Available to Common Stockholders$1,061  $2,035 $2,244 $3,713
Earnings per Common Share, Basic$0.39  $0.74 $0.82 $1.35
        


       
  6/30/2018 12/31/2017 6/30/2017 
           
Balance Sheet 
Total Assets $944,433 $884,084 $883,476 
Cash and Due from Banks and Interest-Bearing Deposits  20,065  25,091  20,116 
Securities Available-for-Sale, at Fair Value  262,615  258,109  265,107 
Loans, Net  620,852  565,294  561,767 
Total Liabilities  866,482  802,895  813,169 
Retail non-maturity deposits  501,537  503,391  503,039 
Municipal non-maturity deposits  106,408  108,918  101,669 
Certificates of deposit  109,037  110,446  124,672 
Federal Home Loan Bank Advances  59,987  -  8,000 
Securities Sold Under Agreements to Repurchase  60,545  53,380  49,798 
Junior Subordinated Debentures  20,620  20,620  20,620 
Stockholders' Equity  77,951  81,189  78,307 
Profitability and Efficiency   
Net Interest Margin  3.36% 3.48% 3.45%
Yield on Earning Assets  3.85  3.84  3.83 
Cost of Interest Bearing Liabilities  0.61  0.45  0.47 
Book Value Per Share of Common Shares Outstanding $28.33 $29.51 $28.46 
Tangible Book Value Per Share of Common Shares Outstanding  24.71  25.88  24.83 
Capital and Credit       
Tier 1 Core Capital to Average Assets  10.22% 10.45% 10.34%
Common Equity Risk-Based Capital  11.86  12.08  11.92 
Tier 1 Risk-Based Capital  15.00  15.35  15.24 
Total Risk-Based Capital  16.13  16.66  16.54 
Common Shares Outstanding  2,751,650  2,751,650  2,751,650 
Weighted Average Number of Common Shares, Basic  2,751,650  2,751,650  2,751,650 
Return on Average Assets  0.49% 0.82% 0.85%
Return on Average Equity  5.77  9.32  9.82 
Nonperforming Loans as a % of Total Loans  0.56  0.52  0.56 
Allowance for Loan Losses as a % of Nonperforming Loans  219  242  234 
           

About Northway Financial, Inc.

Northway Financial, Inc., headquartered in North Conway, New Hampshire, is a bank holding company. Through its subsidiary bank, Northway Bank, the Company offers a broad range of financial products and services to individuals, businesses and the public sector from its 16 full-service banking offices and its loan production offices located in Bedford and Portsmouth, New Hampshire.

Forward-looking Statements

Statements included in this press release that are not historical or current fact are “forward-looking statements” made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995, and are subject to certain risks and uncertainties that could cause actual results to differ materially from historical earnings and those presently anticipated or projected.  Northway Financial, Inc. disclaims any obligation to subsequently revise any forward-looking statements to reflect events or circumstances after the date of such statements, or to reflect the occurrence of anticipated or unanticipated events or circumstances.

Contact:

Gary Laurash
Chief Financial Officer
603-326-7377

Primary Logo

Source: Northway Financial Inc.