PRINCETON, N.J., Jan. 26,
2023 /PRNewswire/ -- The Bank of Princeton (the "Bank"), the wholly owned
subsidiary of Princeton Bancorp, Inc. (NASDAQ: BPRN), today
reported its unaudited financial condition and results of
operations at and for the quarter and year ended December 31, 2022. The Bank reported net
income of $7.2 million, or
$1.13 per diluted common share, for
the fourth quarter of 2022, compared to net income of $7.0 million, or $1.09 per diluted common share, for the third
quarter of 2022, and net income of $6.2
million, or $0.92 per diluted
common share, for the fourth quarter of 2021. The increase in net
income for the fourth quarter of 2022, when compared to the three
months ended September 30, 2022, was
primarily due to an increase of $550
thousand in net interest income and a $454 thousand decrease in non-interest expenses,
partially offset by a $710 thousand
decrease in non-interest income and a $98
thousand increase in income tax expense. The increase in net
income, when comparing it to the three months ended December 31, 2021, was primarily due to an
increase in net interest income of $2.2
million and a $100 thousand
decrease in the provision for loan losses, partially offset by a
$708 thousand increase in
non-interest expenses, a $470
thousand decrease in non-interest income and a $180 thousand increase in income tax
expense. For the year ended December 31, 2022, the Bank recorded net income
of $26.5 million, or $4.11 per diluted common share, compared to
$22.5 million, or $3.30 per diluted common share for the year ended
December 31, 2021, primarily due to a
$5.5 million increase in net interest
income, a $3.2 million decrease in
the Bank's provision for loan losses, and a $196 thousand increase in non-interest income,
partially offset by a $4.0 million
increase in non-interest expenses and an increase in income taxes
of $856 thousand.
Highlights for the three and twelve month
periods ended December 31, 2022 are
as follows:
- During the year ended December 31,
2022, the Bank completed the purchase of 324,017 shares of
common stock from the 5% stock buyback program that commenced in
2022 at a weighted average price of $29.07.
- Net income for the fourth quarter of 2022 increased
$988 thousand or 16.0% over the same
period in 2021.
- The Bank improved its net interest margin by 86 basis points
for the fourth quarter of 2022 compared to the same period in
2021.
- The ratio of nonperforming loans to total loans continues to be
low at 0.02% as of December 31, 2022,
compared to 0.09% at December 31,
2021.
President/CEO Edward Dietzler
noted that, "The Bank's earnings performance far exceeds the prior
year, up 17.8% year-over-year, driven by a strong net interest
margin of 4.82% for the quarter and excellent credit quality."
Balance Sheet Review
Total assets were $1.60 billion at
December 31, 2022, a decrease of
$85.9 million, or 5.1% when compared
to $1.69 billion at the end of 2021.
The primary reason for the decrease in total assets was a decrease
in cash and cash equivalents of approximately $105.4 million and a $17.8
million decrease in available-for-sale securities, partially
offset by an increase of $35.2
million in net loans. The increase in net loans
primarily consisted of a $102.5
million increase in commercial real estate loans, partially
offset by a decrease of $77.3 million
in Payroll Protection Program ("PPP") loans which are no longer
being offered by the SBA.
Total deposits at December 31,
2022 decreased $98.4 million,
or 6.8%, when compared to December 31,
2021. When comparing deposit products between the two
periods, money market deposits decreased $89.4 million, savings decreased $34.9 million and non-interest-bearing demand
deposits decreased $21.2
million. Partially offsetting these decreases were
increases in certificates of deposit of $36.4 million and interest-bearing demand
deposits of $10.7 million. In
addition, the Bank had $10 million in
outstanding borrowings at December 31,
2022 and none at December 31,
2021.
Total stockholders' equity at December
31, 2022 increased $3.0
million or 1.4% when compared to the end of 2021. The
increase was primarily due to the $20.0
million increase in retained earnings consisting of
$26.5 million in income less
$6.5 million of cash dividends
recorded during the period. Partially offsetting this
increase was $9.4 million of common
stock repurchased pursuant to the 2022 buyback program, and a
$9.1 million change in the
accumulated other comprehensive income (loss) on the
available-for-sale investment portfolio associated with an increase
in unrealized losses due to the increase in interest rates.
The ratio of equity to total assets at December 31, 2022 and at December 31, 2021, was 13.7% and 12.8%,
respectively.
Asset Quality
At December 31, 2022,
non-performing assets were $266
thousand, a decrease of $1.1
million, or 81.0%, when compared to the amount at
December 31, 2021. This
decrease was primarily due to the sale of an other real estate
owned property in the amount of $226
thousand and a $757 thousand
write-down of a non-performing loan. Troubled debt
restructurings ("TDRs") totaled $5.9
million at December 31, 2022
and $6.9 million at December 31, 2021. All three TDR loans totaling
$5.9 million are performing in
accordance with the agreed-upon terms as of December 31, 2022.
Review of Quarterly and Year-to-Date Financial
Results
Net interest income was $18.2
million for the fourth quarter of 2022, compared to
$17.7 million for the third quarter
of 2022 and $16.0 million for the
fourth quarter of 2021. The increase from the previous
quarter was the result of an increase in interest income of
$1.4 million, or 7.2%, partially
offset by an increase in interest expense of $817 thousand. The net interest margin for
the fourth quarter 2022 was 4.82%, increasing 18 basis points when
compared to the third quarter of 2022. This increase was primarily
associated with an increase of 39 basis points in the yield on
earning assets. When comparing the three-month periods ended
December 31, 2022 and 2021, net
interest income increased $2.2
million, which was primarily due to an increase of 109 basis
points in the yield earned on interest-earning assets. For the year
ended December 31, 2022, net interest
income was $68.1 million compared to
$62.6 million for the year ended
December 31, 2021. The increase
from the previous year was the result of an increase in interest
income of $4.8 million, or 6.9% and a
decrease in interest expense of $674
thousand, or 10.1%. The rate on total deposits, for
the three-month periods ended December 31,
2022 and 2021 was 0.64% and 0.38%, respectively. For
the years ended December 31, 2022 and
2021, the rate on total deposits was 0.43% and 0.47%,
respectively.
The Bank recorded provisions for loan losses of $200 thousand and $400
thousand during the three-months and year ended December 30, 2022, respectively. The comparable
amounts were $300 thousand and
$3.6 million for the three months and
year ended December 31, 2021,
respectively. Net charge-offs for the three-month and twelve-month
periods ended December 31, 2022 were
$406 thousand and $560 thousand, respectively. Net
charge-offs for the comparable periods in 2021 were $101 thousand and $1.8
million, respectively. The Bank did not make any
material changes to the qualitative factors used in determining the
level of general reserve needed for management's assessment of the
credit quality in the loan portfolio. The coverage ratio of
allowance for loan losses to period end loans was 1.20% (excluding
and including PPP loans) at December 31,
2022, compared to 1.24% (excluding PPP loans it was 1.32%)
at December 31, 2021.
Total non-interest income of $1.0
million for the fourth quarter of 2022 decreased
$710 thousand and $470 thousand, or by 41.6% and 32.0%, when
compared to the quarter ended September 30,
2022 and the quarter ended December
31, 2021, respectively. The decrease over the prior quarter
was primarily due to a $614 thousand
decrease in loan fees and a $58
thousand decrease in other fees and service charges. The
decrease over the 2021 period was primarily due to a $521 thousand decrease in loan fees, partially
offset by a $117 thousand increase in
other non-interest income. For the year ended December 31, 2022, non-interest income increased
$196 thousand, or 4.2%, from the year
ended December 31, 2021, primarily
due to a $365 thousand increase in
other non-interest income, partially offset by a $273 thousand decrease in loan fees.
Total non-interest expense for the fourth quarter of 2022
increased $708 thousand, or 7.9%,
when compared to the same period in 2021. This increase was
primarily due to a $537 thousand
increase in salaries and benefits expenses and a $456 thousand increase in data processing and
communications expenses partially offset by decreases in other real
estate owned expense of $157
thousand, other non-interest expenses of $115 thousand and occupancy and equipment
expenses of $108 thousand. When
comparing the quarter ended December 31,
2022 to the immediately preceding quarter, non-interest
expense decreased $454 thousand, or
4.5%, primarily due to decreases in salaries and employee benefits
costs, professional fees and occupancy and equipment expenses,
partially offset by an increase in data processing and
communications expenses. For the year ended December 31, 2022, non-interest expense was
$38.5 million, compared to
$34.5 million for the same period in
2021. This increase was primarily due to increases in salaries and
benefits expenses as a result of additional benefit programs and
increases in data processing and communications costs related to
technology costs incurred to enhance services.
For the three-month period ended December
31, 2022, the Bank recorded an income tax expense of
$2.2 million, resulting in an
effective tax rate of 23.5%, compared to an income tax expense of
$2.1 million resulting in an
effective tax rate of 23.2% for the three-month period ended
September 30, 2022, and compared to
an income tax expense of $2.0 million
resulting in an effective tax rate of 24.6% for the three-month
period ended December 31, 2021.
For the years ended December 31, 2022
and 2021, the income tax expenses were $7.6
million (effective tax rate of 22.2%) and $6.7 million (effective tax rate of 23.0%),
respectively.
About Princeton Bancorp, Inc. and The Bank of Princeton
Princeton Bancorp, Inc. is the holding company for The Bank of
Princeton, a community bank
founded in 2007. The Bank is a New
Jersey state-chartered commercial bank with 19 branches in
New Jersey, including three in
Princeton and others in
Bordentown, Browns Mills, Chesterfield, Cream
Ridge, Deptford,
Hamilton, Lakewood, Lambertville, Lawrenceville, Monroe, New Brunswick, Pennington, Piscataway, Princeton Junction, Quakerbridge and
Sicklerville. There are also four branches in the
Philadelphia, Pennsylvania area.
The Bank of Princeton is a member
of the Federal Deposit Insurance Corporation ("FDIC").
Forward-Looking Statements
Princeton Bancorp, Inc. may from time to time make written or
oral "forward-looking statements," including statements contained
in the company's filings with the Securities and Exchange
Commission, in its reports to stockholders and in other
communications by the company (including this press release), which
are made in good faith by the company pursuant to the "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995
and Section 21E of the Securities Exchange Act of 1934, as
amended.
These forward-looking statements involve risks and
uncertainties, such as statements of the company's plans,
objectives, expectations, estimates and intentions that are subject
to change based on various important factors (some of which are
beyond the company's control). The following factors, among others,
could cause the company's financial performance to differ
materially from the plans, objectives, expectations, estimates and
intentions expressed in such forward-looking statements: the extent
of the adverse impact of the current global coronavirus outbreak on
our customers, prospects and business, including related supply
chain shortage of goods, as well as the impact of any future
pandemics or other natural disasters; civil unrest, rioting, acts
or threats of terrorism, or actions taken by the local, state and
Federal governments in response to such events, which could impact
business and economic conditions in our market area, the
strength of the United States
economy in general and the strength of the local economies in which
the company and the Bank conduct operations; the effects of, and
changes in, trade, monetary and fiscal policies and laws, including
interest rate policies of the Board of Governors of the Federal
Reserve System; inflation, interest rate, market and monetary
fluctuations; market volatility; the value of the Bank's products
and services as perceived by actual and prospective customers,
including the features, pricing and quality compared to
competitors' products and services; the willingness of customers to
substitute competitors' products and services for the Bank's
products and services; credit risk associated with the Bank's
lending activities; risks relating to the real estate market and
the Bank's real estate collateral; the impact of changes in
applicable laws and regulations and requirements arising out of our
supervision by banking regulators; other regulatory requirements
applicable to the company and the Bank; and the timing and nature
of the regulatory response to any applications filed by the company
and the Bank; technological changes; acquisitions including the
company's pending acquisition of Noah
Bank; ability to meet other closing conditions to that
acquisition; delay in closing the acquisition; difficulties and
delays in integrating the businesses of Noah Bank and the Bank or fully realizing cost
savings and other benefits; changes in consumer spending and saving
habits; those risks set forth in the Bank's Annual Report on Form
10-K for the year ended December 31,
2021 under the heading "Risk Factors," and the success of
the company at managing the risks involved in the foregoing.
The company cautions that the foregoing list of important
factors is not exclusive. The company does not undertake to update
any forward-looking statement, whether written or oral, that may be
made from time to time by or on behalf of the company, except as
required by applicable law or regulation.
The Bank of
Princeton
|
|
Consolidated
Statements of Financial Condition
|
|
|
(Unaudited)
|
|
|
(Dollars in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
2022 vs
2021
|
|
2022 vs
2021
|
|
|
|
|
2022
|
|
2021
|
|
|
|
$
Change
|
|
%
Change
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
Cash and cash
equivalents
|
|
$
53,351
|
|
$
158,716
|
|
|
|
$
(105,365)
|
|
-66.4 %
|
|
|
Securities
available-for-sale taxable
|
|
42,061
|
|
51,690
|
|
|
|
(9,629)
|
|
-18.6 %
|
|
|
Securities
available-for-sale tax-exempt
|
|
41,341
|
|
49,468
|
|
|
|
(8,127)
|
|
-16.4 %
|
|
|
Securities
held-to-maturity
|
|
201
|
|
208
|
|
|
|
(7)
|
|
-3.4 %
|
|
|
Loans receivable, net
of deferred
|
|
1,370,368
|
|
1,335,163
|
|
|
|
35,205
|
|
2.6 %
|
|
|
Allowance for loan
losses
|
|
(16,461)
|
|
(16,620)
|
|
|
|
159
|
|
-1.0 %
|
|
|
Goodwill
|
|
8,853
|
|
8,853
|
|
|
|
-
|
|
0.0 %
|
|
|
Core deposit
intangible
|
|
1,825
|
|
2,393
|
|
|
|
(568)
|
|
-23.7 %
|
|
|
Other assets
|
|
100,240
|
|
97,811
|
|
|
|
2,429
|
|
2.5 %
|
|
|
TOTAL
ASSETS
|
|
$
1,601,779
|
|
$
1,687,682
|
|
|
|
$
(85,903)
|
|
-5.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
checking
|
|
$
265,078
|
|
$
286,247
|
|
|
|
$
(21,169)
|
|
-7.4 %
|
|
|
Interest
checking
|
|
269,737
|
|
259,022
|
|
|
|
10,715
|
|
4.1 %
|
|
|
Savings
|
|
190,685
|
|
225,579
|
|
|
|
(34,894)
|
|
-15.5 %
|
|
|
Money market
|
|
283,652
|
|
373,075
|
|
|
|
(89,423)
|
|
-24.0 %
|
|
|
Time deposits over
$250
|
|
76,150
|
|
33,741
|
|
|
|
42,409
|
|
125.7 %
|
|
|
Other time
deposits
|
|
262,428
|
|
268,479
|
|
|
|
(6,051)
|
|
-2.3 %
|
|
|
Total
deposits
|
|
1,347,730
|
|
1,446,143
|
|
|
|
(98,413)
|
|
-6.8 %
|
|
|
Borrowings
|
|
10,000
|
|
-
|
|
|
|
10,000
|
|
N/A
|
|
|
Other
liabilities
|
|
24,448
|
|
24,961
|
|
|
|
(513)
|
|
-2.1 %
|
|
|
TOTAL LIABILITIES
|
|
1,382,178
|
|
1,471,104
|
|
|
|
(88,926)
|
|
-6.0 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
STOCKHOLDERS'
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock
|
|
34,547
|
|
34,100
|
|
|
|
447
|
|
1.3 %
|
|
|
Paid-in
capital
|
|
81,291
|
|
80,220
|
|
|
|
1,071
|
|
1.3 %
|
|
|
Treasury
stock
|
|
(19,452)
|
|
(10,032)
|
|
|
|
(9,420)
|
|
93.9 %
|
|
|
Retained
earnings
|
|
131,488
|
|
111,451
|
|
|
|
20,037
|
|
18.0 %
|
|
|
Accumulated other
comprehensive income (loss)
|
|
(8,273)
|
|
839
|
|
|
|
(9,112)
|
|
-1086.1 %
|
|
|
TOTAL STOCKHOLDERS'
EQUITY
|
|
219,601
|
|
216,578
|
|
|
|
3,023
|
|
1.4 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
AND STOCKHOLDERS'
EQUITY
|
|
$
1,601,779
|
|
$
1,687,682
|
|
|
|
$
(85,903)
|
|
-5.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per
common share
|
|
$
35.16
|
|
$
33.42
|
|
|
|
$
1.74
|
|
5.2 %
|
|
|
Tangible book value
per common share1
|
|
$
33.45
|
|
$
31.69
|
|
|
|
$
1.76
|
|
5.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Tangible
book value per common share is a non-GAAP measure that represents
book value per common share which excludes goodwill and core
deposit intangible.
|
The Bank of
Princeton
|
Loan and Deposit
Tables
|
(Unaudited)
|
|
|
|
|
|
|
The components of loans
receivable, net at December 31, 2022 and 2021 were as
follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
2022
|
|
2021
|
|
|
|
(In
thousands)
|
|
Commercial real
estate
|
|
$
873,573
|
|
$
771,028
|
|
Commercial and
industrial
|
|
28,859
|
|
29,677
|
|
Construction
|
|
417,538
|
|
403,680
|
|
Residential first-lien
mortgages
|
|
43,125
|
|
48,638
|
|
Home equity /
consumer
|
|
7,260
|
|
7,685
|
|
PPP I (SBA
loans)
|
|
1,307
|
|
6,641
|
|
PPP II (SBA
loans)
|
|
1,162
|
|
73,099
|
|
Total loans
|
|
1,372,824
|
|
1,340,448
|
|
Deferred fees and
costs
|
|
(2,456)
|
|
(5,285)
|
|
Allowance for loan
losses
|
|
(16,461)
|
|
(16,620)
|
|
Loans, net
|
|
$ 1,353,907
|
|
$ 1,318,543
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The components of
deposits at December 31, 2022 and 2021 were as follows:
|
|
|
|
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
2022
|
|
2021
|
|
|
|
(In
thousands)
|
|
Demand,
non-interest-bearing
|
|
$
265,078
|
|
$
286,247
|
|
Demand,
interest-bearing
|
|
269,737
|
|
259,022
|
|
Savings
|
|
190,685
|
|
225,579
|
|
Money
markets
|
|
283,652
|
|
373,075
|
|
Time
deposits
|
|
338,578
|
|
302,220
|
|
Total deposits
|
|
$ 1,347,730
|
|
$ 1,446,143
|
|
|
The Bank of
Princeton
|
|
Consolidated
Statements of Income
|
|
(Unaudited)
|
|
(Amounts in
thousands except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
|
|
|
|
|
|
|
2022
|
|
2021
|
|
$
Change
|
|
%
Change
|
|
Interest and
dividend income
|
|
|
|
|
|
|
|
|
|
Loans and
fees
|
$
19,400
|
|
$
16,861
|
|
$
2,539
|
|
15.1 %
|
|
|
Available-for-sale debt
securities:
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
288
|
|
194
|
|
94
|
|
48.5 %
|
|
|
|
Tax-exempt
|
285
|
|
295
|
|
(10)
|
|
-3.4 %
|
|
|
Held-to-maturity debt
securities
|
3
|
|
3
|
|
0
|
|
0.0 %
|
|
|
Other interest and
dividend income
|
482
|
|
58
|
|
424
|
|
731.0 %
|
|
|
|
Total interest and
dividends
|
20,458
|
|
17,411
|
|
3,047
|
|
17.5 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
2,210
|
|
1,411
|
|
799
|
|
56.6 %
|
|
|
|
Borrowing
|
2
|
|
-
|
|
2
|
|
N/A
|
|
|
|
Total interest
expense
|
2,212
|
|
1,411
|
|
801
|
|
56.8 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
18,246
|
|
16,000
|
|
2,246
|
|
14.0 %
|
|
Provision for loan
losses
|
200
|
|
300
|
|
(100)
|
|
-33.3 %
|
|
Net interest income
after provision for loan losses
|
18,046
|
|
15,700
|
|
2,346
|
|
14.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
income
|
|
|
|
|
|
|
|
|
|
Income from bank-owned
life insurance
|
286
|
|
290
|
|
(4)
|
|
-1.4 %
|
|
|
Fees and service
charges
|
411
|
|
473
|
|
(62)
|
|
-13.1 %
|
|
|
Loan fees, including
prepayment penalties
|
236
|
|
757
|
|
(521)
|
|
-68.8 %
|
|
|
Other
|
64
|
|
(53)
|
|
117
|
|
-220.8 %
|
|
|
|
Total non-interest
income
|
997
|
|
1,467
|
|
(470)
|
|
-32.0 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
expense
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
5,204
|
|
4,667
|
|
537
|
|
11.5 %
|
|
|
Occupancy and
equipment
|
1,413
|
|
1,521
|
|
(108)
|
|
-7.1 %
|
|
|
Professional
fees
|
541
|
|
511
|
|
30
|
|
5.9 %
|
|
|
Data processing and
communications
|
1,354
|
|
898
|
|
456
|
|
50.8 %
|
|
|
Federal deposit
insurance
|
222
|
|
206
|
|
16
|
|
7.8 %
|
|
|
Advertising and
promotion
|
105
|
|
42
|
|
63
|
|
150.0 %
|
|
|
Office
expense
|
71
|
|
66
|
|
5
|
|
7.6 %
|
|
|
Other real estate
owned
|
(6)
|
|
151
|
|
(157)
|
|
-104.0 %
|
|
|
Core deposit
intangible
|
135
|
|
154
|
|
(19)
|
|
-12.3 %
|
|
|
Other
|
632
|
|
747
|
|
(115)
|
|
-15.4 %
|
|
|
|
Total non-interest
expense
|
9,671
|
|
8,963
|
|
708
|
|
7.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
tax expense
|
9,372
|
|
8,204
|
|
1,168
|
|
14.2 %
|
|
Income tax
expense
|
2,201
|
|
2,021
|
|
180
|
|
8.9 %
|
|
Net
income
|
$
7,171
|
|
$
6,183
|
|
988
|
|
16.0 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per
common share - basic
|
$
1.14
|
|
$
0.94
|
|
$ 0.20
|
|
21.1 %
|
|
Net income per
common share - diluted
|
$
1.13
|
|
$
0.92
|
|
$ 0.21
|
|
22.3 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic
|
6,246
|
|
6,538
|
|
(292)
|
|
-4.5 %
|
|
Weighted average
shares outstanding - diluted
|
6,371
|
|
6,694
|
|
(323)
|
|
-4.8 %
|
|
The Bank of
Princeton
|
|
Consolidated
Statements of Income (Current Quarter vs Prior
Quarter)
|
|
(Unaudited)
|
|
(Amounts in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
|
|
|
December
31,
|
|
September
30,
|
|
|
|
|
|
|
|
|
2022
|
|
2022
|
|
$
Change
|
|
%
Change
|
|
Interest and
dividend income
|
|
|
|
|
|
|
|
|
|
Loans and
fees
|
$
19,400
|
|
$
18,336
|
|
$ 1,064
|
|
5.8 %
|
|
|
Available-for-sale debt
securities:
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
288
|
|
241
|
|
47
|
|
19.5 %
|
|
|
|
Tax-exempt
|
285
|
|
286
|
|
(1)
|
|
-0.3 %
|
|
|
Held-to-maturity debt
securities
|
3
|
|
2
|
|
1
|
|
50.0 %
|
|
|
Other interest and
dividend income
|
482
|
|
226
|
|
256
|
|
113.3 %
|
|
|
|
Total interest and
dividends
|
20,458
|
|
19,091
|
|
1,367
|
|
7.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
2,210
|
|
1,392
|
|
818
|
|
58.8 %
|
|
|
|
Borrowing
|
2
|
|
3
|
|
(1)
|
|
-33.3 %
|
|
|
|
Total interest
expense
|
2,212
|
|
1,395
|
|
817
|
|
58.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
18,246
|
|
17,696
|
|
550
|
|
3.1 %
|
|
Provision for loan
losses
|
200
|
|
200
|
|
0
|
|
0.0 %
|
|
Net interest income
after provision for loan losses
|
18,046
|
|
17,496
|
|
550
|
|
3.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
income
|
|
|
|
|
|
|
|
|
|
Income from bank-owned
life insurance
|
286
|
|
287
|
|
(1)
|
|
-0.3 %
|
|
|
Fees and service
charges
|
411
|
|
469
|
|
(58)
|
|
-12.4 %
|
|
|
Loan fees, including
prepayment penalties
|
236
|
|
850
|
|
(614)
|
|
-72.2 %
|
|
|
Other
|
64
|
|
101
|
|
(37)
|
|
-36.6 %
|
|
|
|
Total non-interest
income
|
997
|
|
1,707
|
|
(710)
|
|
-41.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
expense
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
5,204
|
|
5,442
|
|
(238)
|
|
-4.4 %
|
|
|
Occupancy and
equipment
|
1,413
|
|
1,539
|
|
(126)
|
|
-8.2 %
|
|
|
Professional
fees
|
541
|
|
786
|
|
(245)
|
|
-31.2 %
|
|
|
Data processing and
communications
|
1,354
|
|
1,043
|
|
311
|
|
29.8 %
|
|
|
Federal deposit
insurance
|
222
|
|
249
|
|
(27)
|
|
-10.8 %
|
|
|
Advertising and
promotion
|
105
|
|
140
|
|
(35)
|
|
-25.0 %
|
|
|
Office
expense
|
71
|
|
52
|
|
19
|
|
36.5 %
|
|
|
Other real estate
owned
|
(6)
|
|
-
|
|
(6)
|
|
N/A
|
|
|
Core deposit
intangible
|
135
|
|
135
|
|
0
|
|
0.0 %
|
|
|
Other
|
632
|
|
739
|
|
(107)
|
|
-14.5 %
|
|
|
|
Total non-interest
expense
|
9,671
|
|
10,125
|
|
(454)
|
|
-4.5 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
tax expense
|
9,372
|
|
9,078
|
|
294
|
|
3.2 %
|
|
Income tax
expense
|
2,201
|
|
2,103
|
|
98
|
|
4.7 %
|
|
Net
income
|
$
7,171
|
|
$
6,975
|
|
$
196
|
|
2.8 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per
common share - basic
|
$
1.14
|
|
$
1.12
|
|
$ 0.02
|
|
1.6 %
|
|
Net income per
common share - diluted
|
$
1.13
|
|
$
1.09
|
|
$ 0.04
|
|
3.3 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic
|
6,246
|
|
6,269
|
|
(23)
|
|
-0.4 %
|
|
Weighted average
shares outstanding - diluted
|
6,371
|
|
6,378
|
|
(7)
|
|
-0.1 %
|
|
The Bank of
Princeton
|
|
Consolidated
Statements of Income
|
|
(Unaudited)
|
|
(Amounts in
thousands, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year
Ended
|
|
|
|
|
|
|
|
|
December
31,
|
|
|
|
|
|
|
|
|
2022
|
|
2021
|
|
$
Change
|
|
%
Change
|
|
Interest and
dividend income
|
|
|
|
|
|
|
|
|
|
Loans and
fees
|
$ 70,996
|
|
$
67,348
|
|
$
3,648
|
|
5.4 %
|
|
|
Available-for-sale debt
securities:
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
986
|
|
547
|
|
439
|
|
80.3 %
|
|
|
|
Tax-exempt
|
1,167
|
|
1,172
|
|
(5)
|
|
-0.4 %
|
|
|
Held-to-maturity debt
securities
|
11
|
|
11
|
|
-
|
|
0.0 %
|
|
|
Other interest and
dividend income
|
923
|
|
197
|
|
726
|
|
368.5 %
|
|
|
|
Total interest and
dividends
|
74,083
|
|
69,275
|
|
4,808
|
|
6.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
5,995
|
|
6,673
|
|
(678)
|
|
-10.2 %
|
|
|
|
Borrowings
|
5
|
|
1
|
|
4
|
|
400.0 %
|
|
|
|
Total interest
expense
|
6,000
|
|
6,674
|
|
(674)
|
|
-10.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
68,083
|
|
62,601
|
|
5,482
|
|
8.8 %
|
|
Provision for loan
losses
|
400
|
|
3,625
|
|
(3,225)
|
|
-89.0 %
|
|
Net interest income
after provision for loan losses
|
67,683
|
|
58,976
|
|
8,707
|
|
14.8 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Interest
income
|
|
|
|
|
|
|
|
|
|
Gain on sale of
securities available-for-sale, net
|
2
|
|
7
|
|
(5)
|
|
-71.4 %
|
|
|
Income from bank-owned
life insurance
|
1,138
|
|
1,117
|
|
21
|
|
1.9 %
|
|
|
Fees and service
charges
|
1,852
|
|
1,764
|
|
88
|
|
5.0 %
|
|
|
Loan fees, including
prepayment penalties
|
1,484
|
|
1,757
|
|
(273)
|
|
-15.5 %
|
|
|
Other
|
386
|
|
21
|
|
365
|
|
1738.1 %
|
|
|
|
Total non-interest
income
|
4,862
|
|
4,666
|
|
196
|
|
4.2 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest
expense
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
20,455
|
|
17,483
|
|
2,972
|
|
17.0 %
|
|
|
Occupancy and
equipment
|
5,859
|
|
6,055
|
|
(196)
|
|
-3.2 %
|
|
|
Professional
fees
|
2,470
|
|
2,431
|
|
39
|
|
1.6 %
|
|
|
Data processing and
communications
|
4,488
|
|
3,562
|
|
926
|
|
26.0 %
|
|
|
Federal deposit
insurance
|
1,010
|
|
792
|
|
218
|
|
27.5 %
|
|
|
Advertising and
promotion
|
484
|
|
214
|
|
270
|
|
126.2 %
|
|
|
Office
expense
|
239
|
|
219
|
|
20
|
|
9.1 %
|
|
|
Other real estate
owned
|
106
|
|
241
|
|
(135)
|
|
-56.0 %
|
|
|
Core deposit
intangible
|
569
|
|
643
|
|
(74)
|
|
-11.5 %
|
|
|
Other
|
2,812
|
|
2,813
|
|
(1)
|
|
0.0 %
|
|
|
|
Total non-interest
expense
|
38,492
|
|
34,453
|
|
4,039
|
|
11.7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income
tax expense
|
34,053
|
|
29,189
|
|
4,864
|
|
16.7 %
|
|
Income tax
expense
|
7,559
|
|
6,703
|
|
856
|
|
12.8 %
|
|
Net
income
|
$ 26,494
|
|
$
22,486
|
|
$
4,008
|
|
17.8 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per
common share - basic
|
$
4.19
|
|
$ 3.37
|
|
$
0.82
|
|
24.4 %
|
|
Net income per
common share - diluted
|
$
4.11
|
|
$ 3.30
|
|
$
0.81
|
|
24.5 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding - basic
|
6,320
|
|
6,667
|
|
(347)
|
|
-5.2 %
|
|
Weighted average
shares outstanding - diluted
|
6,449
|
|
6,814
|
|
(365)
|
|
-5.4 %
|
The Bank of Princeton
|
Consolidated Average Statement of Financial
Condition
|
(Unaudited)
|
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended December
31,
|
|
|
|
|
|
2022
|
|
2021
|
|
|
|
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
|
|
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
$ Change
|
|
% Change
|
Earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$ 1,375,191
|
|
5.60 %
|
|
$
1,347,511
|
|
4.96 %
|
|
$
27,680
|
|
0.64 %
|
Securities
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
available-for-sale
|
42,458
|
|
2.69 %
|
|
50,124
|
|
1.56 %
|
|
(7,666)
|
|
1.13 %
|
Tax-exempt
available-for-sale
|
39,743
|
|
2.85 %
|
|
47,562
|
|
2.47 %
|
|
(7,819)
|
|
0.38 %
|
Held-to-maturity
|
202
|
|
5.24 %
|
|
209
|
|
5.27 %
|
|
(7)
|
|
-0.03 %
|
Securities
|
82,403
|
|
2.77 %
|
|
97,895
|
|
2.01 %
|
|
(15,492)
|
|
0.76 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Other interest earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
bank accounts
|
44,410
|
|
4.09 %
|
|
157,550
|
|
0.11 %
|
|
(113,140)
|
|
3.98 %
|
Equities
|
1,303
|
|
7.40 %
|
|
1,338
|
|
3.99 %
|
|
(35)
|
|
3.41 %
|
Other interest-earning
assets
|
45,713
|
|
4.19 %
|
|
158,888
|
|
0.15 %
|
|
(113,175)
|
|
4.04 %
|
Total interest-earning
assets
|
1,503,307
|
|
5.40 %
|
|
1,604,294
|
|
4.31 %
|
|
(100,987)
|
|
1.09 %
|
Total non-earning
assets
|
109,554
|
|
|
|
102,987
|
|
|
|
|
|
|
Total assets
|
$ 1,612,861
|
|
|
|
$
1,707,281
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$
275,797
|
|
0.45 %
|
|
$ 274,944
|
|
0.26 %
|
|
$
853
|
|
0.19 %
|
Savings
|
201,498
|
|
0.53 %
|
|
223,590
|
|
0.23 %
|
|
(22,092)
|
|
0.30 %
|
Money market
|
294,246
|
|
0.91 %
|
|
367,493
|
|
0.27 %
|
|
(73,247)
|
|
0.64 %
|
Certificates of
deposit
|
316,689
|
|
1.19 %
|
|
312,634
|
|
1.09 %
|
|
4,055
|
|
0.10 %
|
Total interest-bearing deposits
|
1,088,230
|
|
0.81 %
|
|
1,178,661
|
|
0.48 %
|
|
(90,431)
|
|
0.33 %
|
Non-interest bearing
deposits
|
280,626
|
|
|
|
288,292
|
|
|
|
|
|
|
Total deposits
|
1,368,856
|
|
0.64 %
|
|
1,466,953
|
|
0.38 %
|
|
(98,097)
|
|
0.26 %
|
Borrowings
|
217
|
|
4.67 %
|
|
-
|
|
0.00 %
|
|
217
|
|
4.67 %
|
Total interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
(excluding non
interest deposits)
|
1,088,447
|
|
0.81 %
|
|
1,178,661
|
|
0.48 %
|
|
(90,214)
|
|
0.33 %
|
Non-interest-bearing
deposits
|
280,626
|
|
|
|
288,292
|
|
|
|
|
|
|
Total cost of
funds
|
1,369,073
|
|
0.64 %
|
|
1,466,953
|
|
0.38 %
|
|
(97,880)
|
|
0.26 %
|
Accrued expenses and
other liabilities
|
28,215
|
|
|
|
24,056
|
|
|
|
|
|
|
Stockholders'
equity
|
215,573
|
|
|
|
216,272
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$ 1,612,861
|
|
|
|
$
1,707,281
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
4.59 %
|
|
|
|
3.83 %
|
|
|
|
|
Net interest
margin
|
|
|
4.82 %
|
|
|
|
3.96 %
|
|
|
|
|
Net interest margin
(FTE)1
|
|
|
4.89 %
|
|
|
|
4.02 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Includes federal and state tax effect of tax-exempt
securities and loans.
|
|
|
|
|
|
|
|
|
|
The Bank of Princeton
|
Consolidated Average Statement of Financial
Condition
|
(Unaudited)
|
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended
|
|
|
|
|
|
December 31, 2022
|
|
September 30, 2022
|
|
|
|
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
|
|
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
$ Change
|
|
% Change
|
Earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$
1,375,191
|
|
5.60 %
|
|
$
1,386,589
|
|
5.25 %
|
|
$ (11,398)
|
|
0.35 %
|
Securities
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
available-for-sale
|
42,458
|
|
2.69 %
|
|
46,281
|
|
2.06 %
|
|
(3,823)
|
|
0.63 %
|
Tax-exempt
available-for-sale
|
39,743
|
|
2.85 %
|
|
42,220
|
|
2.68 %
|
|
(2,477)
|
|
0.17 %
|
Held-to-maturity
|
202
|
|
5.24 %
|
|
204
|
|
5.24 %
|
|
(2)
|
|
0.00 %
|
Securities
|
82,403
|
|
2.77 %
|
|
88,705
|
|
2.37 %
|
|
(6,302)
|
|
0.40 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Other interest earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
bank accounts
|
44,410
|
|
4.09 %
|
|
35,081
|
|
2.28 %
|
|
9,329
|
|
1.81 %
|
Equities
|
1,303
|
|
7.40 %
|
|
1,322
|
|
5.85 %
|
|
(19)
|
|
1.55 %
|
Other interest-earning
assets
|
45,713
|
|
4.19 %
|
|
36,403
|
|
2.41 %
|
|
9,310
|
|
1.78 %
|
Total interest-earning
assets
|
1,503,307
|
|
5.40 %
|
|
1,511,697
|
|
5.01 %
|
|
(8,390)
|
|
0.39 %
|
Total non-earning
assets
|
109,554
|
|
|
|
115,159
|
|
|
|
|
|
|
Total assets
|
$
1,612,861
|
|
|
|
$
1,626,856
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$ 275,797
|
|
0.45 %
|
|
$
240,948
|
|
0.29 %
|
|
$
34,849
|
|
0.16 %
|
Savings
|
201,498
|
|
0.53 %
|
|
217,133
|
|
0.32 %
|
|
(15,635)
|
|
0.21 %
|
Money market
|
294,246
|
|
0.91 %
|
|
350,901
|
|
0.43 %
|
|
(56,655)
|
|
0.48 %
|
Certificates of
deposit
|
316,689
|
|
1.19 %
|
|
289,274
|
|
0.86 %
|
|
27,415
|
|
0.33 %
|
Total interest-bearing deposits
|
1,088,230
|
|
0.81 %
|
|
1,098,256
|
|
0.51 %
|
|
(10,026)
|
|
0.30 %
|
Non-interest bearing
deposits
|
280,626
|
|
|
|
285,665
|
|
|
|
|
|
|
Total deposits
|
1,368,856
|
|
0.64 %
|
|
1,383,921
|
|
0.40 %
|
|
(15,065)
|
|
0.24 %
|
Borrowings
|
217
|
|
4.67 %
|
|
391
|
|
2.65 %
|
|
(174)
|
|
2.02 %
|
Total interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
(excluding non
interest deposits)
|
1,088,447
|
|
0.81 %
|
|
1,098,647
|
|
0.51 %
|
|
(10,200)
|
|
0.30 %
|
Non-interest-bearing
deposits
|
280,626
|
|
|
|
285,665
|
|
|
|
|
|
|
Total cost of
funds
|
1,369,073
|
|
0.64 %
|
|
1,384,312
|
|
0.40 %
|
|
(15,239)
|
|
0.24 %
|
Accrued expenses and
other liabilities
|
28,215
|
|
|
|
28,136
|
|
|
|
|
|
|
Stockholders'
equity
|
215,573
|
|
|
|
214,408
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$
1,612,861
|
|
|
|
$
1,626,856
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
4.59 %
|
|
|
|
4.50 %
|
|
|
|
|
Net interest
margin
|
|
|
4.82 %
|
|
|
|
4.64 %
|
|
|
|
|
Net interest margin
(FTE)1
|
|
|
4.89 %
|
|
|
|
4.71 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Includes federal and state tax effect of tax-exempt
securities and loans.
|
|
|
|
|
|
|
|
|
|
|
|
The Bank of Princeton
|
Consolidated Average Statement of Financial
Condition
|
(Unaudited)
|
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended December 31,
|
|
|
|
|
|
2022
|
|
2021
|
|
|
|
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
|
|
|
|
Balance
|
|
Rate
|
|
Balance
|
|
Rate
|
|
$ Change
|
|
% Change
|
Earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$
1,375,501
|
|
5.16 %
|
|
$
1,381,626
|
|
4.87 %
|
|
$
(6,125)
|
|
0.29 %
|
Securities
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
available-for-sale
|
47,626
|
|
2.07 %
|
|
33,805
|
|
1.62 %
|
|
13,821
|
|
0.45 %
|
Tax-exempt
available-for-sale
|
44,832
|
|
2.60 %
|
|
47,294
|
|
2.48 %
|
|
(2,462)
|
|
0.12 %
|
Held-to-maturity
|
205
|
|
5.25 %
|
|
212
|
|
5.27 %
|
|
(7)
|
|
-0.02 %
|
Securities
|
92,664
|
|
2.34 %
|
|
81,311
|
|
2.13 %
|
|
11,353
|
|
0.21 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Other interest earning
assets
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
bank accounts
|
75,583
|
|
1.12 %
|
|
93,031
|
|
0.15 %
|
|
(17,448)
|
|
0.97 %
|
Equities
|
1,321
|
|
5.57 %
|
|
1,366
|
|
4.21 %
|
|
(45)
|
|
1.36 %
|
Other interest-earning
assets
|
76,904
|
|
0.44 %
|
|
94,397
|
|
0.21 %
|
|
(17,493)
|
|
0.23 %
|
Total interest-earning
assets
|
1,545,069
|
|
4.79 %
|
|
1,557,334
|
|
4.45 %
|
|
(12,265)
|
|
0.34 %
|
Total non-earning
assets
|
101,940
|
|
|
|
101,479
|
|
|
|
|
|
|
Total assets
|
$
1,647,008
|
|
|
|
$
1,658,813
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
Checking
|
$ 261,951
|
|
0.31 %
|
|
$ 263,715
|
|
0.27 %
|
|
$
(1,764)
|
|
0.04 %
|
Savings
|
220,222
|
|
0.32 %
|
|
205,788
|
|
0.25 %
|
|
14,434
|
|
0.07 %
|
Money market
|
353,224
|
|
0.44 %
|
|
339,903
|
|
0.30 %
|
|
13,321
|
|
0.14 %
|
Certificates of
deposit
|
293,627
|
|
0.99 %
|
|
336,488
|
|
1.32 %
|
|
(42,861)
|
|
-0.33 %
|
Total interest-bearing deposits
|
1,129,024
|
|
0.42 %
|
|
1,145,894
|
|
0.58 %
|
|
(16,870)
|
|
-0.16 %
|
Non-interest bearing
deposits
|
280,729
|
|
|
|
273,260
|
|
|
|
|
|
|
Total deposits
|
1,409,753
|
|
0.43 %
|
|
1,419,154
|
|
0.47 %
|
|
(9,401)
|
|
-0.04 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowings
|
153
|
|
3.37 %
|
|
270
|
|
0.32 %
|
|
(117)
|
|
3.05 %
|
Total interest-bearing liabilities
|
|
|
|
|
|
|
|
|
|
|
|
(excluding non
interest deposits)
|
1,129,177
|
|
0.53 %
|
|
1,146,164
|
|
0.58 %
|
|
(16,987)
|
|
-0.05 %
|
Non-interest-bearing
deposits
|
280,729
|
|
|
|
273,260
|
|
|
|
|
|
|
Total cost of
funds
|
1,409,906
|
|
0.43 %
|
|
1,419,424
|
|
0.47 %
|
|
(9,518)
|
|
-0.04 %
|
Accrued expenses and
other liabilities
|
22,307
|
|
|
|
25,470
|
|
|
|
|
|
|
Stockholders'
equity
|
214,795
|
|
|
|
213,919
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$
1,647,008
|
|
|
|
$
1,658,813
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
spread
|
|
|
4.26 %
|
|
|
|
3.87 %
|
|
|
|
|
Net interest
margin
|
|
|
4.41 %
|
|
|
|
4.02 %
|
|
|
|
|
Net interest margin
(FTE)1
|
|
|
4.47 %
|
|
|
|
4.12 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1Includes federal and state tax effect of tax-exempt
securities and loans.
|
|
|
|
|
|
|
|
|
|
The Bank of
Princeton
|
Quarterly Financial
Highlights
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
2022
|
|
2022
|
|
2022
|
|
2022
|
|
2021
|
|
|
December
|
|
September
|
|
June
|
|
March
|
|
December
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average
assets
|
1.76 %
|
|
1.70 %
|
|
1.52 %
|
|
1.45 %
|
|
1.44 %
|
|
Return on average
equity
|
13.20 %
|
|
12.91 %
|
|
11.90 %
|
|
11.25 %
|
|
11.34 %
|
|
Return on average tangible
equity1
|
13.89 %
|
|
13.59 %
|
|
12.54 %
|
|
11.86 %
|
|
11.97 %
|
|
Net interest
margin
|
4.82 %
|
|
4.64 %
|
|
4.19 %
|
|
4.09 %
|
|
3.96 %
|
|
Net interest margin
(FTE)2
|
4.89 %
|
|
4.71 %
|
|
4.24 %
|
|
4.14 %
|
|
4.02 %
|
|
Efficiency ratio -
non-GAAP3
|
49.56 %
|
|
51.49 %
|
|
53.36 %
|
|
53.93 %
|
|
50.43 %
|
|
|
|
|
|
|
|
|
|
|
|
|
COMMON STOCK
DATA
|
|
|
|
|
|
|
|
|
|
|
Market value at period
end
|
$ 31.72
|
|
$ 28.35
|
|
$ 27.46
|
|
$ 28.85
|
|
$ 29.33
|
|
Market range:
|
|
|
|
|
|
|
|
|
|
|
High
|
$ 32.80
|
|
$ 29.95
|
|
$ 30.55
|
|
$ 32.05
|
|
$ 30.89
|
|
Low
|
$ 28.57
|
|
$ 27.16
|
|
$ 26.57
|
|
$ 28.67
|
|
$ 28.71
|
|
Book value per common share
at period end
|
$ 35.16
|
|
$ 34.00
|
|
$ 33.74
|
|
$ 33.49
|
|
$ 33.42
|
|
Tangible book value per
common share at period end4
|
$ 33.45
|
|
$ 32.27
|
|
$ 32.00
|
|
$ 31.75
|
|
$ 31.96
|
|
Shares of common stock
outstanding (in thousands)
|
6,245
|
|
6,251
|
|
6,263
|
|
6,366
|
|
6,480
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL
RATIOS
|
|
|
|
|
|
|
|
|
|
|
Total capital (to
risk-weighted assets)
|
15.12 %
|
|
14.71 %
|
|
14.13 %
|
|
14.16 %
|
|
15.10 %
|
|
Tier 1 capital (to
risk-weighted assets)
|
14.06 %
|
|
13.63 %
|
|
13.08 %
|
|
13.10 %
|
|
13.97 %
|
|
Tier 1 capital (to
average assets)
|
13.47 %
|
|
13.10 %
|
|
12.46 %
|
|
12.36 %
|
|
12.06 %
|
|
Period-end equity to
assets
|
13.71 %
|
|
13.26 %
|
|
13.00 %
|
|
12.71 %
|
|
12.84 %
|
|
Period-end tangible equity
to tangible assets 1,5
|
13.13 %
|
|
12.67 %
|
|
12.42 %
|
|
12.13 %
|
|
12.26 %
|
|
|
|
|
|
|
|
|
|
|
|
|
CREDIT QUALITY DATA
(Dollars in thousands)
|
|
|
|
|
|
|
|
|
|
|
Net charge-offs
(recoveries)
|
$ 406
|
|
$ 200
|
|
$
(12)
|
|
$
(34)
|
|
$ 101
|
|
Annualized net charge-offs
(recoveries) to average loans
|
0.118 %
|
|
0.058 %
|
|
-0.003 %
|
|
-0.010 %
|
|
0.030 %
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonperforming loans
(excluding TDRs)
|
$ 266
|
|
$ 370
|
|
$ 402
|
|
$ 406
|
|
$ 409
|
|
Other real estate
owned
|
-
|
|
-
|
|
-
|
|
226
|
|
226
|
|
Troubled debt restructurings
(TDRs)
|
|
|
|
|
|
|
|
|
|
|
-Performing
|
5,882
|
|
5,943
|
|
6,001
|
|
6,066
|
|
6,122
|
|
-Non-performing
|
-
|
|
359
|
|
563
|
|
766
|
|
766
|
|
Total nonperforming assets
and accruing TDRs
|
$ 6,148
|
|
$ 6,672
|
|
$ 6,966
|
|
$ 7,464
|
|
$ 7,523
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses as
a percent of:
|
|
|
|
|
|
|
|
|
|
|
Period-end
loans
|
1.20 %
|
|
1.21 %
|
|
1.19 %
|
|
1.19 %
|
|
1.24 %
|
|
Nonaccrual
loans
|
6188.35 %
|
|
2286.15 %
|
|
1727.05 %
|
|
1420.99 %
|
|
1398.99 %
|
|
Nonperforming
assets
|
6188.35 %
|
|
2286.15 %
|
|
1727.05 %
|
|
1191.27 %
|
|
1175.39 %
|
|
|
|
|
|
|
|
|
|
|
|
|
As a
percent of total loans:
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans
|
0.02 %
|
|
0.05 %
|
|
0.07 %
|
|
0.08 %
|
|
0.09 %
|
|
Accruing TDRs
|
0.43 %
|
|
0.43 %
|
|
0.43 %
|
|
0.43 %
|
|
0.46 %
|
|
Nonaccrual loans and accruing TDRs
|
0.45 %
|
|
0.48 %
|
|
0.50 %
|
|
0.52 %
|
|
0.55 %
|
|
|
1Tangible
equity is a non-GAAP measure that represents equity excluding
goodwill and core deposit intangible.
|
2Includes
the effect of tax exempt securities and loans.
|
3The
efficiency ratio is a non-GAAP measure that represents the ratio of
non-interest expense (excluding amortization of core deposit
intangible)
|
divided by net
interest income and non-interest income.
|
4Tangible
book value per common share is a non-GAAP measure that represents
book value per common share which
|
excludes goodwill and
core deposit intangible.
|
5Tangible
assets is a non-GAAP measure that represents assets excluding
goodwill and core deposit intangible.
|
Contact George
Rapp
609.454.0718
grapp@thebankofprinceton.com
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SOURCE The Bank of Princeton