Net income at the Brighton-based Peoples Federal Bancshares declined 18 percent year-over-year in the company’s first fiscal quarter.
For its fiscal first quarter ended Dec. 31, the company recorded net income of $554,000, compared with $681,000 for the same period a year ago. In both this quarter and the year-ago quarter, net interest and dividend income remained flat at $4.3 million, as recently originated loans reflected the current low interest rate environment.
Non-interest income totaled $399,000 during the first quarter, compared with $492,000 for the same period a year ago, as gain on sales of loans declined $101,000, or 100 percent, during the current quarter. Non-interest expense totaled $3.8 million for the quarter ended Dec. 31, 2013 as compared to $3.4 million for the quarter ended Dec. 31, 2012.
Total assets increased $3.2 million, or 0.5 percent, to $588.4 million at Dec. 31, from $585.2 million at in the previous quarter. Loans, net increased $4.4 million, or 0.9 percent during the quarter, as residential loans and construction loans increased, while commercial real estate, commercial loans and consumer loans decreased.
Deposits decreased $2.6 million to $422.5 million at Dec. 31, from $425.1 million at Sept. 30.
At Dec. 31, total stockholders’ equity was $105.2 million, a decrease of $1.2 million from $106.4 million at Sept. 30, resulting primarily from dividends paid of $1.7 million and the repurchase and retirement of 34,607 shares or $607,000, of common stock pursuant to the company’s stock repurchase plan. The decline in stockholder’s equity was offset, in part, by net income of $554,000, stock based compensation expense of $525,000 and common stock released by the ESOP of $124,000.
Non-performing assets totaled $2.8 million, or 0.5 percent of total assets, in the first quarter, compared with $2.1 million, or 0.4 percent of total assets, the previous quarter. Classified assets decreased to $3.6 million at Dec. 31, 2013, as compared to $4.1 million at Sept. 30, 2013.
The company did not provide to the allowance for loan losses during the quarter ended Dec. 31, 2013 reflecting little change in net loans and improvements in loan delinquencies, non-performing assets and classified assets.
