Evans Bancorp, Inc. (the “Company” or “Evans”) (NYSE MKT:EVBN), a community financial services company serving Western New York since 1920, today reported its results of operations for the third quarter ended September 30, 2016.
THIRD QUARTER 2016 HIGHLIGHTS
- Record loan growth: Loan portfolio of $913 million, up 25% year-over-year and 7% from the trailing second quarter
- Net interest income increased 11% from last year’s third quarter to $9.1 million
- Strong year-over-year deposit growth across all product categories; Total deposits up 15% to $898 million
- New account openings up 32% compared with the second quarter
- Net income was $2.2 million, or $0.51 per diluted share
Net income was $2.2 million, or $0.51 per diluted share, in the third quarter of 2016 compared with $2.0 million, or $0.46 per diluted share, in the trailing second quarter of 2016 and $2.5 million, or $0.58 per diluted share, in last year’s third quarter. The increase from the 2016 trailing second quarter reflects higher net interest income and noninterest income, partially offset by higher provision for loan loss. The decline from the third quarter of 2015 reflects the after-tax gain of $0.5 million, or $0.11 per diluted share, last year from an insurance settlement related to a fire sustained at a branch location. Return on average equity was 9.23% for the third quarter of 2016 compared with 8.56% in the trailing second quarter and 11.20% in the third quarter of 2015.
“We continue to deliver strong growth and increasing revenue as both our loan and deposit portfolios have been expanding at a very healthy pace. This has driven a double-digit increase in net interest income, even as we face continued headwinds from interest rates and a very competitive market environment,” said David J. Nasca, President and CEO of Evans Bancorp. “Over the last year, we have organically grown loans by 25% and deposits by 15%. New account openings were 32% higher in the third quarter. We believe these are an excellent indicator of the strong customer response to Evans’ value proposition as a full service, locally-based community bank and our ability to execute our strategy and acquire new clients in a market going through transition.”