EFSI

Eagle Financial Services, Inc.

 
Common Stock SEC Reporting - Current
OTCQX U.S. Premier
 

OTC Disclosure & News Service

 

Eagle Financial Services, Inc. Announces 2017 First Quarter Dividend And Financial Results

Apr 21, 2017

OTC Disclosure & News Service

- Eagle Financial Services, Inc. Announces 2017 First Quarter Dividend And Financial Results

Eagle Financial Services, Inc. Announces 2017 First Quarter Dividend And Financial Results

PR Newswire

BERRYVILLE, Va., April 21, 2017 /PRNewswire/ -- Eagle Financial Services, Inc. (OTCQX:EFSI), the holding company for Bank of Clarke County, whose divisions include Eagle Investment Group, reported increased quarterly earnings, asset quality improvement and continued strong performance for the first quarter of 2017. On April 19, 2017, the Board of Directors announced a quarterly common stock cash dividend of $0.22 per common share, payable on May 15, 2017, to shareholders of record on May 1, 2017. Select highlights for the first quarter include: 

  • Net income of $2.0 million
  • Deposit growth of $12.0 million
  • Basic and diluted earnings per share of $0.59
  • Net interest margin of 4.09%

John R. Milleson, President and CEO, stated, "Despite lower than desired loan growth, the Company delivered very strong results for the first quarter of 2017.  We will remain intensely focused on smart and profitable balance sheet growth to help safeguard the net interest margin. I am pleased with the continued traction that the Bank is gaining in Loudoun County.  Every day we welcome new customers due partly to the fact that we are a strong, customer focused community bank, just as the customers in our existing markets of Clarke County, Frederick County and Winchester City already know."

Income Statement Review

Net income for the quarter ended March 31, 2017 was $2.0 million reflecting an increase of 13.2% from the quarter ended December 31, 2016 and an increase of 34.0% from the quarter ended March 31, 2016.  Net income was $1.8 million for the three-month period ended December 31, 2016 and $1.5 million for the quarter ended March 31, 2016.

Net interest income was $6.4 million for the quarter ended March 31, 2017 and $6.2 million for the quarter ended December 31, 2016. Net interest income was $6.1 million for the quarter ended March 31, 2016. The increase in interest income from investment securities was the biggest contributor to the increase in net interest income. To deploy some of its excess cash balances, the Company purchased approximately $10.0 million in investment securities during the first quarter of 2017.

Total loan interest income was $5.7 million for the quarter ended March 31, 2017, reflecting a decrease of $50,000 from the quarter ended December 31, 2016. Total loan interest income was $5.7 million for the quarter ended March 31, 2016.  Average loans for the quarter ended March 31, 2017 were $518.3 million compared to $516.2 million at December 31, 2016.  Total average accruing loans were $511.8 million for the quarter ended March 31, 2017 and $508.9 million at December 31, 2016.  For the quarter ended March 31, 2015, total average loans were $501.3 million and average accruing loans were $496.1 million. The tax equivalent yield on average loans for the quarter ended March 31, 2017 was 4.51%, an increase of three basis points from 4.48% for the quarter ended December 31, 2016 and a decrease of nine basis points from the 4.60% average yield at March 31, 2016.  Interest income from the investment portfolio was $809,000 for the quarter ended March 31, 2017 and $636,000 for the quarter ended December 31, 2016.  Average investments were $125.0 million for the quarter ended March 31, 2017 and $107.9 million for the quarter ended December 31, 2016.  Average investments were $104.7 million for the quarter ended March 31, 2016 and interest income was $696,000 for that same period.

Total interest expense for the three months ended March 31, 2017 was $203,000, a decrease of $17,000 from the quarter ended December 31, 2016.  Total interest expense decreased $104,000 when comparing the quarter ended March 31, 2017 to the same period in 2016. Much of that decrease related to the July 2016 payoff the of the $20.0 million advance with the Federal Home Loan Bank. The average cost of interest bearing liabilities increased two basis points when comparing the quarter ended March 31, 2017 to the quarter ended December 31, 2016.  The average balance of interest bearing liabilities increased $13.1 million from the quarter ended December 31, 2016.  The average cost of interest bearing liabilities decreased 11 basis points when comparing the quarter ended March 31, 2017 to the quarter ended March 31, 2016.  The average balance of interest bearing liabilities increased $9.0 million from the quarter ended March 31, 2016.  Much of this increase results from the increase in non-maturity deposits as the Bank continues to acquire more deposits in its Loudoun County branches. The Company continues to steadfastly manage the cost of its interest-bearing deposits. The net interest margin was 4.09% for the quarter ended March 31, 2017 and 4.01% for the quarter December 31, 2016.  For the quarter ended March 31, 2016 the net interest margin was 4.09%.

The Company's net interest margin is not a measurement under accounting principles generally accepted in the United States, but it is a common measure used by the financial services industry to determine how profitably earning assets are funded. The Company's net interest margin is calculated by dividing tax equivalent net interest income by total average earning assets. Tax equivalent net interest income is calculated by grossing up interest income for the amounts that are non-taxable (i.e., municipal income) then subtracting interest expense. The tax rate utilized is 34%.

Noninterest income was $1.7 million for the quarter ended March 31, 2017 and $1.6 million for the quarter ended December 31, 2016. The increase for the quarter results mostly from the increase in commissions from sales of non-deposit investments and net gains from sales of investment securities. Noninterest income for the quarter ended March 31, 2016 was $1.6 million.

Noninterest expense was $5.7 million for the quarter ended March 31, 2017.  This represents an increase of $314,000 or 5.8% from $5.4 million for the quarter ended December 31, 2016.  Much of this rise results from increases in employee benefit expense, mainly medical insurance.  Employee benefit expenses increased $110,000 when comparing the quarter ended March 31, 2017 to the quarter ended December 31, 2016.  Increases in employee medical insurance contributed $62,000 to the overall $110,000 increase in employee benefit expenses. Both increases in the number of employees covered and higher premiums resulted in the increase.  Additionally, professional fees increased $117,000 when comparing the three-month period ended March 31, 2017 to the three-month period ended December 31, 2016. Increased audit and legal fees contributed to the higher level of professional expenses.  Noninterest expense increased $156,000 or 2.8% when comparing the quarter ended March 31, 2017 to the same time period in 2016.

Asset Quality and Provision for Loan Losses

Nonperforming assets consist of nonaccrual loans, loans 90 days or more past due and still accruing, other real estate owned (foreclosed properties), and repossessed assets.  Nonperforming assets decreased from $7.4 million or 1.05% of total assets at December 31, 2016 to $6.4 million or 0.91% of total assets at March 31, 2017. This decrease resulted mostly from the decreases in nonaccrual loans.  Non-performing assets were $5.1 million or 0.76% of total assets at March 31, 2016. During the first quarter of 2017, the Bank returned one loan, totaling $687,000, to accruing status and placed three loans totaling $110,000 on non-accrual status. Other changes to non-accrual loan balances resulted from loan payments. Management evaluates the financial condition of these borrowers and the value of any collateral on these loans.  The results of these evaluations are used to estimate the amount of losses which may be realized on the disposition of these nonaccrual loans.  At March 31, 2017, $263,000 or 4.16% of total nonaccrual loans had allocated specific allowances totaling $99,000.  At March 31, 2017, the Bank had no loans 90 days or more past due and still accruing.  At December 31, 2016, the Bank had two loans 90 days or more past due and still accruing that totaled $8,400 and at March 31, 2016, one loan totaling $24,000 was 90 days or more past due and still accruing.   Other real estate owned was $106,000 at March 31, 2017 and $370,000 at December 31, 2016.  Other real estate owned was $571,000 at March 31, 2016. 

The Company may, under certain circumstances, restructure loans in troubled debt restructurings as a concession to a borrower when the borrower is experiencing financial distress.  Formal, standardized loan restructuring programs are not utilized by the Company.  Each loan considered for restructuring is evaluated based on customer circumstances and may include modifications to one or more loan provision.  Such restructured loans are included in impaired loans but may not necessarily be nonperforming loans.  At March 31, 2017, the Company had 23 troubled debt restructurings totaling $5.4 million. All but five of the restructured loans are performing loans. 

The Company realized $440,000 in net recoveries for the quarter ended March 31, 2017 versus $11,000 in net charge-offs for the three months ended December 31, 2016. The Company's troubled credit group continues to monitor past due loans, identify potential problem credits, and develop action plans to work through its troubled loans as promptly as possible.  Net charge offs totaled $34,000 for the quarter ended March 31, 2016.

The amount of provision for loan losses reflects the results of the Bank's analysis used to determine the adequacy of the allowance for loan losses.  The Company had negative provisions for loan losses of $527,000 for the three months ended March 31, 2017, compared to negative provisions of $142,000 for the quarter ended December 31, 2016. The provisions for loan losses for the quarter ended March 31, 2016 were $79,000.  The ratio of allowance for loan losses to total nonaccrual loans was 69.7% at March 31, 2017. The ratio of allowance for loan losses to total nonaccrual loans was 64.4% and 112.3% at December 31, 2016 and March 31, 2016, respectively.  At March 31, 2017, impaired loans totaled $12.0 million and had related specific allocations of $366,000.  At December 31, 2016, impaired loans totaled $13.4 million and had related specific allocations of $385,000. At March 31, 2016, total impaired loans were $12.7 million and required specific allocations of $546,000.

Total Consolidated Assets

Total consolidated assets of the Company at March 31, 2017 were $705.1 million, which represented an increase of $5.0 million or 0.7% from total assets of $700.1 million at December 31, 2016. At March 31, 2016, total consolidated assets were $664.3 million. Securities available for sale increased $12.1 million from $120.3 million at December 31, 2016.  Total loans decreased from $516.9 million at December 31, 2016 to $514.9 million at March 31, 2017.  At March 31, 2016, total investment securities were $102.3 million and total loans were $511.0 million.

Deposits and Other Borrowings 

Total deposits increased $12.0 million from $603.9 million at December 31, 2016 to $615.9 million at March 31, 2017. At March 31, 2016, total deposits were $559.4 million.  The Company held no brokered deposits for any of the above-mentioned periods.  

The Company had no borrowings with the Federal Home Loan Bank of Atlanta at March 31, 2017 and December 31, 2016.  Borrowings with the Federal Home Loan Bank of Atlanta were $20.0 million at March 31, 2016.    

Equity

Shareholders' equity at March 31, 2017 was $80.5 million and $79.4 million at December 31, 2016. Shareholder's equity was $79.8 million at March 31, 2016.  The book value of the Company at March 31, 2017 was $23.32 per common share. Total common shares outstanding were 3,476,553 at March 31, 2017.  On April 19, 2017, the board of directors declared a $0.22 per common share cash dividend for shareholders of record as of May 1, 2017 and payable on May 15, 2017.

 

Certain information contained in this discussion may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements relate to the Company's future operations and are generally identified by phrases such as "the Company expects," "the Company believes" or words of similar import. Although the Company believes that its expectations with respect to the forward-looking statements are based upon reliable assumptions within the bounds of its knowledge of its business and operations, there can be no assurance that actual results, performance or achievements of the Company will not differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements. For details on factors that could affect expectations, see the risk factors and other cautionary language included in the Company's Annual Report on Form 10-K for the year ended December 31, 2016, and other filings with the Securities and Exchange Commission.

 

 

EAGLE FINANCIAL SERVICES, INC.










KEY STATISTICS

For the Three Months Ended


1Q17


4Q16


3Q16


2Q16


1Q16











Net Income (dollars in thousands)

$          2,044


$          1,806


$          1,428


$          1,611


$          1,525

Earnings per share, basic

$            0.59


$            0.52


$            0.40


$            0.46


$            0.43

Earnings per share, diluted

$            0.59


$            0.52


$            0.40


$            0.46


$            0.43











Return on average total assets

1.20%


1.07%


0.85%


0.97%


0.89%

Return on average total equity

10.40%


9.00%


7.03%


8.07%


7.42%

Dividend payout ratio

37.29%


4.23%


50.00%


43.48%


46.51%

Fee revenue as a percent of total revenue

19.21%


19.82%


21.17%


20.56%


18.68%











Net interest margin(1)

4.09%


4.01%


3.94%


4.16%


4.09%

Yield on average earning assets

4.21%


4.14%


4.10%


4.35%


4.30%

Yield on average interest-bearing liabilities

0.21%


0.23%


0.25%


0.31%


0.32%

Net interest spread

4.00%


3.92%


3.85%


4.50%


3.98%

Tax equivalent adjustment to net interest income (dollars in thousands)

$             158


$             146


$             147


$             149


$             148











Non-interest income to average assets

0.97%


0.95%


1.00%


1.05%


1.00%

Non-interest expense to average assets

3.35%


3.19%


3.50%


3.51%


3.40%











Efficiency ratio(2)

69.67%


67.62%


74.61%


70.84%


70.33%

 

(1)     The net interest margin is calculated by dividing tax equivalent net interest income by total average earning assets.  Tax equivalent interest income is calculated by grossing up interest income for the amounts that are non taxable (i.e., municipal income) then subtracting interest expense.  The rate utilized is 34%.  See the table below for the quarterly tax equivalent net interest income and the reconciliation of net interest income to tax equivalent net interest income.  The Company's net interest margin is a common measure used by the financial service industry to determine how profitable earning assets are funded.  Because the Company earns a fair amount of non taxable interest income due to the mix of securities in its investment security portfolio, net interest income for the ratio is calculated on a tax equivalent basis as described above. 

(2)     The efficiency ratio is not a measurement under accounting principles generally accepted in the United States. It is calculated by dividing non-interest expense by the sum of tax equivalent net interest income and non-interest income excluding gains and losses on the investment portfolio and sales of repossessed assets. The tax rate utilized is 34%. See the table below for the quarterly tax equivalent net interest income and a reconciliation of net interest income to tax equivalent net interest income. The Company calculates this ratio in order to evaluate its overhead structure or how effectively it is operating. An increase in the ratio from period to period indicates the Company is losing a larger percentage of its income to expenses. The Company believes that the efficiency ratio is a reasonable measure of profitability.

 

EAGLE FINANCIAL SERVICES, INC.










SELECTED FINANCIAL DATA BY QUARTER












1Q17


4Q16


3Q16


2Q16


1Q16

BALANCE SHEET RATIOS











Loans to deposits

83.61%


85.60%


88.52%


90.58%


91.35%


Average interest-earning assets to











    average-interest bearing liabilities

162.59%


164.25%


163.98%


160.81%


158.08%

PER SHARE DATA











Dividends

$            0.22


$            0.22


$            0.20


$            0.20


$            0.20


Book value

23.32


23.01


23.28


$          23.09


$          22.70


Tangible book value

23.32


23.10


23.28


$          23.09


$          22.70

SHARE PRICE DATA











Closing price

$          28.40


$          25.75


$          23.45


$          22.90


$          22.96


Diluted earnings multiple(1)

12.03


12.38


14.66


12.45


13.35


Book value multiple(2)

1.22


1.12


1.01


0.99


1.01

COMMON STOCK DATA











Outstanding shares at end of period

3,476,553


3,468,243


3,486,425


3,541,802


3,535,684


Weighted average shares outstanding

3,478,053


3,477,020


3,527,725


3,538,997


3,531,134


Weighted average shares outstanding, diluted

3,478,053


3,477,020


3,527,725


3,538,997


3,531,134

CAPITAL RATIOS











Total equity to total assets

11.42%


11.34%


12.07%


12.02%


12.02%

CREDIT QUALITY











Net charge-offs to average loans

-0.34%


0.01%


0.15%


0.02%


0.03%


Total non-performing loans to total loans

1.23%


1.35%


1.47%


0.78%


0.88%


Total non-performing assets to total assets

0.91%


1.05%


1.26%


0.67%


0.76%


Non-accrual loans to:











      total loans

1.23%


1.35%


1.41%


0.77%


0.87%


      total assets

0.90%


1.00%


1.08%


0.59%


0.67%


Allowance for loan losses to:











      total loans

0.86%


0.87%


0.91%


0.96%


0.98%


     non-performing assets

68.59%


61.13%


55.36%


109.64%


99.05%


     non-accrual loans

69.74%


64.44%


64.24%


124.99%


112.28%

NON-PERFORMING ASSETS:










(dollars in thousands)











    Loans delinquent over 90 days

$                -


$                 8


$             300


$               33


$               24


    Non-accrual loans   

6,335


6,991


7,251


3,978


4,456


    Other real estate owned and repossessed assets

106


370


863


524


571

NET LOAN CHARGE-OFFS (RECOVERIES):










(dollars in thousands)











    Loans charged off

$               62


$             135


$             316


$               82


$               72


    (Recoveries)

(502)


(124)


(127)


(51)


(38)


Net charge-offs (recoveries)

(440)


11


189


31


34

PROVISION FOR LOAN LOSSES (dollars in thousands)

$           (527)


$           (142)


$           (125)


$                -


$               79

ALLOWANCE FOR LOAN LOSS SUMMARY










(dollars in thousands)











Balance at the beginning of period

$          4,505


$          4,658


$          4,972


$          5,003


$          4,958


Provision

(527)


(142)


(125)


-


79


Net charge-offs (recoveries)

(440)


11


189


31


34


Balance at the end of period

$          4,418


$          4,505


$          4,658


$          4,972


$          5,003

 

(1)     The diluted earnings multiple (or price earnings ratio) is calculated by dividing the period's closing market price per share by total equity per weighted average shares outstanding, diluted for the period. The diluted earnings multiple is a measure of how much an investor may be willing to pay for $1.00 of the Company's earnings. 

(2)     The book value multiple (or price to book ratio) is calculated by dividing the period's closing market price per share by the period's book value per share. The book value multiple is a measure used to compare the Company's market value per share to its book value per share.

 

EAGLE FINANCIAL SERVICES, INC.










CONSOLIDATED BALANCE SHEETS










(dollars in thousands)











Unaudited


Audited


Unaudited


Unaudited


Unaudited


3/31/2017


12/31/2016


9/30/2016


6/30/2016


3/31/2016











Assets










Cash and due from banks

$        24,826


$        35,125


$        19,286


$        29,594


$        25,451

Federal funds sold

132


156


108


-


-

Securities available for sale, at fair value

132,449


120,329


106,622


104,699


102,251

Loans, net of allowance for loan losses

514,940


512,437


509,654


512,434


506,030

Bank premises and equipment, net

19,959


20,169


20,278


20,495


20,756

Other assets

12,834


11,933


12,473


10,166


9,783

              Total assets

$      705,140


$      700,149


$      668,421


$      677,388


$      664,271











Liabilities and Shareholders' Equity










Liabilities










    Deposits:










       Noninterest bearing demand deposits

$      213,542


$      208,948


$      203,626


$      197,524


$      193,276

       Savings and interest bearing demand deposits

317,325


306,847


288,535


284,572


279,033

       Time deposits

85,006


88,082


88,861


89,133


87,130

          Total deposits

$      615,873


$      603,877


$      581,022


$      571,229


$      559,439

    Federal funds purchased and securities










        sold under agreements to repurchase

-


-


-


-


-

    Federal Home Loan Bank advances

-


-


-


20,000


20,000

    Trust preferred capital notes

-


-


-


-


-

    Other liabilities

8,740


16,856


6,692


4,764


4,990

    Commitments and contingent liabilities

-


-


-


-


-

              Total liabilities

$      624,613


$      620,733


$      587,714


$      595,993


$      584,429











Shareholders' Equity










    Preferred stock, $10 par value

$                -


$                -


$                -


$                -


$                -

    Common stock, $2.50 par value

8,632


8,633


8,666


8,817


8,791

    Surplus

12,548


12,642


12,951


14,129


13,936

    Retained earnings

59,442


58,165


57,125


56,405


55,501

    Accumulated other comprehensive income

(95)


(24)


1,965


2,044


1,614

              Total shareholders' equity

$        80,527


$        79,416


$        80,707


$        81,395


$        79,842

              Total liabilities and shareholders' equity

$      705,140


$      700,149


$      668,421


$      677,388


$      664,271

 

 

 

EAGLE FINANCIAL SERVICES, INC.










CONSOLIDATED STATEMENTS OF INCOME










(dollars in thousands)










Unaudited











Three Months Ended


3/31/2017


12/31/2016


9/30/2016


6/30/2016


3/31/2016











Interest and Dividend Income










        Interest and fees on loans

$          5,736


$          5,786


$          5,658


$          5,884


$          5,709

        Interest on federal funds sold

-


-


-


-


-

        Interest and dividends on securities available for sale:










              Taxable interest income

550


393


354


483


440

              Interest income exempt from federal income taxes

254


230


230


232


233

              Dividends

5


13


22


22


23

        Interest on deposits in banks

21


20


14


22


16

                    Total interest and dividend income

$          6,566


$          6,442


$          6,278


$          6,643


$          6,421

Interest Expense










        Interest on deposits

$             203


$             196


$             197


$             193


$             201

        Interest on federal funds purchased and securities










            sold under agreements to repurchase

-


-


-


-


-

        Interest on Federal Home Loan Bank advances

-


-


7


65


65

        Interest on trust preferred capital notes

-


24


38


39


41

                   Total interest expense

$             203


$             220


$             242


$             297


$             307

                   Net interest income

$          6,363


$          6,222


$          6,036


$          6,346


$          6,114

Provision For Loan Losses

(527)


(142)


(125)


-


79

                   Net interest income after provision for loan losses

$          6,890


$          6,364


$          6,161


$          6,346


$          6,035

Noninterest Income










        Income from fiduciary activities

$             292


$             333


$             315


$             380


$             328

        Service charges on deposit accounts

299


326


321


290


290

        Other service charges and fees

953


893


999


992


829

        Gain on the sale of bank premises and equipment

(6)


-


-


-


-

        Gain (Loss) on sales of AFS securities

50


5


8


-


85

        Gain on redemption of trust preferred debt

-


-


-


-


-

        Other operating income

85


52


44


76


102

                    Total noninterest income

$          1,673


$          1,609


$          1,687


$          1,738


$          1,634

Noninterest Expenses










        Salaries and employee benefits

$          3,350


$          3,187


$          3,251


$          3,312


$          3,264

        Occupancy expenses

377


355


355


368


408

        Equipment expenses

239


307


361


355


310

        Advertising and marketing expenses

178


135


151


185


162

        Stationery and supplies

41


32


68


51


50

        ATM network fees

220


224


242


259


177

        Other real estate owned expenses

1


9


50


2


-

        Loss (gain) on sale of other real estate

(1)


67


(12)


47


-

        FDIC assessment

52


(2)


104


99


104

       Computer software expense

195


176


180


131


136

       Bank franchise tax

125


125


125


125


126

       Professional fees

291


174


266


282


228

       Data processing fees

117


143


183


202


143

        Other operating expenses

524


463


548


414


445

                    Total noninterest expenses

$          5,709


$          5,395


$          5,872


$          5,832


$          5,553

                    Income before income taxes

2,854


2,578


1,976


2,252


2,116

Income Tax Expense

810


772


548


641


591

                    Net income

$          2,044


$          1,806


$          1,428


$          1,611


$          1,525

Earnings Per Share










        Net income per common share, basic

$            0.59


$            0.52


$            0.40


$            0.46


$            0.43

        Net income per common share, diluted

$            0.59


$            0.52


$            0.40


$            0.46


$            0.43

 

EAGLE FINANCIAL SERVICES, INC.










Average Balances, Income and Expenses, Yields and Rates










(dollars in thousands)


























For the Three Months Ended


March 31, 2017


December 31, 2016


March 31, 2016




Interest





Interest





Interest



Average


Income/

Average


Average


Income/

Average


Average


Income/

Average

Assets:

Balance


Expense

Yield


Balance


Expense

Yield


Balance


Expense

Yield

Securities:















        Taxable

$88,081


$    2,251

2.56%


$  74,313


$    1,616

2.17%


$   73,313


$  1,862

2.54%

        Tax-Exempt (1)

36,966


1,563

4.23%


33,634


1,384

4.12%


31,424


1,421

4.52%

            Total Securities

$125,047


$    3,814

3.05%


$107,947


$    3,000

2.78%


$ 104,737


$  3,283

3.13%

Loans:















        Taxable

$505,538


$  23,048

4.56%


$502,710


$  22,803

4.54%


$ 489,657


$22,740

4.64%

         Nonaccrual

6,552


-

0.00%


7,248


-

0.00%


5,122


-

0.00%

        Tax-Exempt (1)

6,230


326

5.23%


6,224


327

5.25%


6,479


333

5.14%

            Total Loans

$518,320


$  23,374

4.51%


$516,182


$  23,130

4.48%


$ 501,258


$23,074

4.60%

Federal funds sold

85


1

1.25%


115


1

0.00%


-


-

0.00%

Interest-bearing deposits in other banks

10,435


85

0.82%


15,427


82

0.53%


14,254


64

0.45%

            Total earning assets

$647,335


$  27,274

4.21%


$632,423


$  26,213

4.14%


$ 615,127


$26,421

4.30%

Allowance for loan losses

(4,812)





(4,723)





(5,026)




Total non-earning assets

49,455





45,203





46,035




Total assets

$691,978





$672,903





$ 656,136



















Liabilities and Shareholders' Equity:















Interest-bearing deposits:















        NOW accounts

$83,730


$       130

0.15%


$  81,384


$         91

0.11%


$   82,710


$       97

0.12%

        Money market accounts

129,830


227

0.17%


122,881


203

0.17%


112,140


189

0.17%

        Savings accounts

98,075


61

0.06%


92,831


58

0.06%


82,436


44

0.05%

Time deposits:















        $100,000 and more

40,755


264

0.65%


46,277


280

0.61%


39,540


205

0.52%

        Less than $100,000

45,709


146

0.32%


41,660


147

0.35%


52,261


273

0.52%

            Total interest-bearing deposits

$398,099


$       827

0.21%


$385,033


779

0.20%


$ 369,087


$     808

0.22%

Federal funds purchased and securities















     sold under agreements to repurchase

42


1

1.87%


-


-

0.00%


32


-

0.00%

Federal Home Loan Bank advances

-


-

0.00%


-


-

0.00%


20,000


426

2.13%

Trust preferred capital notes

-


-

0.00%


-


95

NM(2)


-


-

0.00%

            Total interest-bearing liabilities

$398,141


$       828

0.21%


$385,033


874

0.23%


$ 389,119


$  1,234

0.32%

Noninterest-bearing liabilities:















        Demand deposits

205,646





205,358





183,242




        Other Liabilities

8,469





2,727





4,850




            Total liabilities

$612,256





$593,118





$ 577,211




Shareholders' equity

79,722





79,785





78,925




Total liabilities and shareholders' equity

$691,978





$672,903





$ 656,136



















Net interest income



$  26,446





$25,338





$25,186

















Net interest spread




4.00%





3.92%





3.98%

Interest expense as a percent of















     average earning assets




0.13%





0.14%





0.20%

Net interest margin




4.09%





4.01%





4.09%

 

(1)     Income and yields are reported on a tax equivalent basis using a federal tax rate of 34%.

(2)     NM- Not meaningful.

 

EAGLE FINANCIAL SERVICES, INC.






Reconciliation of Tax-Equivalent Net Interest Income






(dollars in thousands)













Three Months Ended


3/31/2017

12/31/2016

9/30/2016

6/30/2016

3/31/2016







GAAP Financial Measurements:






   Interest Income - Loans

$          5,736

$          5,786

$          5,658

$          5,884

$          5,709

   Interest Income - Securities and Other Interest-Earnings Assets

830

657

620

759

712

   Interest Expense - Deposits

203

196

197

193

201

   Interest Expense - Other Borrowings

-

24

45

104

106

Total Net Interest Income

$          6,363

$          6,223

$          6,036

$          6,346

$          6,114







Non-GAAP Financial Measurements:






   Add:  Tax Benefit on Tax-Exempt Interest Income - Loans

$               27

$               28

$               28

$               30

$               28

   Add:  Tax Benefit on Tax-Exempt Interest Income - Securities

131

118

119

119

120

Total Tax Benefit on Tax-Exempt Interest Income

$             158

$             146

$             147

$             149

$             148

Tax-Equivalent Net Interest Income

$          6,521

$          6,369

$          6,183

$          6,495

$          6,262

 

 

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/eagle-financial-services-inc-announces-2017-first-quarter-dividend-and-financial-results-300443478.html

SOURCE Eagle Financial Services, Inc.

Copyright © 2017 PR Newswire. All Rights Reserved


The above news release has been provided by the above company via the OTC Disclosure and News Service. Issuers of news releases and not OTC Markets Group Inc. are solely responsible for the accuracy of such news releases.