BEO Bancorp (OTCBB:BEOB) and its subsidiary, Bank of Eastern Oregon,
announced consolidated year end 2013 earnings of $2,763,000, an increase
of 12.2% when compared to $2,462,000 in 2012. Basic earnings per share
increased 3.1% from $2.55 in 2012 to $2.63 in 2013. Total assets
increased 5.0% from $284.8 million to $299.2 million. Net loans ended
2013 at $240.1 million, up 6.8% year over year. Deposits increased 4.8%
from $252.9 million to $265.0 million.
“2013 was a very good year for the Bank, with net income at an all-time
high. We are an agricultural and natural resource based institution, and
when those related industries perform well, so do main street businesses
and so does our Bank. Even though the 2013 harvest as a whole was not as
good as the past few years, loan portfolio performance is still strong.
It is important to note that a dry winter warrants caution over the 2014
eastern Oregon ag conditions. We are also keeping an eye on the recovery
of the national and global economy and the potential impact on the
interest rate environment,” said President and CEO Jeff Bailey.
“Total shareholders’ equity increased 17.0% year over year to $23.019
million. Our Tier 1 capital ratio of 10.02% matches up favorably to our
peer banks across the nation and continues to make us the highest
capitalized bank in eastern Oregon,” said Chief Financial Officer Mark
Lemmon. “Return on Average Assets is 0.95% and Return on Average Equity
is 12.94%, compared to 0.90% and 13.23%, respectively, year over year.”
Chief Operations Officer Gary Propheter said, “With the prolonged low
interest rate environment, continued growth in year over year deposits
is substantial. We continue to look for ways to enhance the services we
offer our customers. In 2013 we expanded our ATM network, with
deployment of three “smart” (deposit taking) ATMs in Monument, Ontario,
and at our newest loan production office in Lakeview. The acceptance of
the technology by our customers in those locations has been quite
favorable.”
“If you really look into the numbers, you will see that we continue to
clean up our balance sheet. Other real estate owned is down almost 87%
year over year and past dues are at manageable levels. That said, we
realize that agriculture is a cyclical business, and we are taking
prudent steps to make sure that our loan loss provision is funded at
appropriate levels. Our pre-tax, pre-provision income is up 5.8% from
2012,” continued Bailey. “We continue to see good lending opportunities
across our system of branches and loan production offices. Our new LPO
in Lakeview complements our existing branch in Burns and adds to our
vast eastern Oregon presence. We welcome new customers and strive to
build on our relationships with existing friends and neighbors. 2013 was
a very good year for Bank of Eastern Oregon. We were able to build upon
the success of 2011 and 2012. Our success is directly attributable to
our excellent team of employees and the support of loyal shareholders
and customers,” concluded Bailey.
For further information on the Company or to access internet banking,
please visit our website at http://www.beobank.com.
About BEO Bancorp
BEO Bancorp is the holding company for Bank of Eastern Oregon, which
operates 12 branches and five loan production offices in eleven eastern
Oregon counties. Branches are located in Arlington, Ione, Heppner,
Condon, Irrigon, Boardman, Burns, John Day, Prairie City, Fossil, Moro,
and Enterprise; loan production offices are located in Hermiston,
Ontario, Island City, Pendleton, and Lakeview. Bank of Eastern Oregon
also operates a mortgage division. The bank’s website is www.beobank.com.
Forward-Looking Statements
The statements contained in this release that are not historical facts
are forward-looking statements based upon management’s current
expectations and beliefs concerning future developments and their
potential effect on BEO Bancorp. There can be no assurances that future
developments affecting BEO Bancorp will be the same as those anticipated
by management.
Actual results may differ from those projected in the forward-looking
statements. These forward-looking statements involve risks and
uncertainties. These risks and uncertainties include, but are not
limited to:
(1) Competitive pressures in the banking and financial industries.
(2) Changes in interest rate environment.
(3) General economic conditions, nationally, regionally, and in
operating markets.
(4) Changes in regulatory environment.
(5) Changes in business conditions and inflation.
(6) Changes in securities markets.
(7) Future credit loss experience.
Copyright Business Wire 2014