Second quarter 2020 net earnings of $7.5 million, or $3.18 per common share
Quarterly net earnings increased $4,151,585, or 124%
Quarterly Residential Mortgage Lending reached $430 million
Oregon Bancorp, Inc. (OTCBB: ORBN) (the “Company”), parent company of Willamette Valley Bank, reported net income of $7,504,322 for the second quarter of 2020 compared to $3,352,737 during the second quarter of 2019. This represents an increase of $4,151,585, or 124%, over the year-ago quarter. The improvement in quarterly net income was the result of a $63 million, or 38%, increase in commercial lending and $185 million, or 75%, increase in residential mortgage lending from the 2019 second quarter.
Quarterly return on assets rose to 9.07% compared to 5.21% in the year-ago period and return on average equity reached 73.01% compared to 45.02% in 2019. Total assets rose to $353 million from $257 million and earnings per share for the quarter were $3.18 compared to $1.45 for the same quarter a year ago. The company declared a quarterly dividend of $0.11 per share that was paid on July 15, 2020.
Ryan Dempster, President and CEO, commented, “A portion of our commercial loan growth during the quarter is attributable to the Bank’s participation in the Paycheck Protection Program. During the year we have distributed $25 million in funding to help 220 companies stay in business and retain jobs for approximately 2,974 employees.” He continued by saying “We are proud to have loaned $430 million to help over 1,600 households during the quarter purchase their dream home or lower their mortgage payments by refinancing their existing home loan.”
About Oregon Bancorp, Inc.
Oregon Bancorp, Inc. is the parent company of Willamette Valley Bank (Bank), a community bank headquartered in Salem, Oregon. The Bank operates full-service branches in Salem, Keizer, Silverton, and Albany, Oregon. The Bank also operates Home Loan Centers in Bend, Eugene, Grants Pass, Medford, Tualatin, and West Linn, Oregon, Vancouver, Spokane, Newport and Yakima, Washington, and Coeur d’Alene and Meridian, Idaho. For more information about Oregon Bancorp, Inc. or its subsidiary, Willamette Valley Bank, please call (503)485-2222 or visit our website at www.willamettevalleybank.com.
| CONSOLIDATED BALANCE SHEETS |
| Unaudited |
|
|
|
|
|
|
|
|
|
June 30, |
|
March 31, |
| Summary Statements of Condition |
|
|
2020
|
|
|
|
2019
|
|
|
|
2020
|
|
| Cash and short term investments |
|
$
|
20,044,152
|
|
|
$
|
27,549,342
|
|
|
$
|
22,902,162
|
|
| Loans: |
|
|
|
|
|
|
| Commercial |
|
|
37,461,985
|
|
|
|
8,927,461
|
|
|
|
170,283,067
|
|
| Commercial real estate |
|
|
186,977,728
|
|
|
|
151,544,604
|
|
|
|
12,051,408
|
|
| Other |
|
|
3,315,807
|
|
|
|
3,726,059
|
|
|
|
3,902,202
|
|
| Loan loss reserve and unearned income |
|
|
(3,489,212
|
)
|
|
|
(1,782,693
|
)
|
|
|
(2,425,837
|
)
|
| Total net loans |
|
|
224,266,308
|
|
|
|
162,415,431
|
|
|
|
183,810,840
|
|
| Loans available for sale |
|
|
90,436,887
|
|
|
|
54,128,103
|
|
|
|
83,528,555
|
|
| Property and other assets |
|
|
19,050,237
|
|
|
|
13,747,473
|
|
|
|
17,970,015
|
|
| Total assets |
|
$
|
353,797,584
|
|
|
$
|
257,840,349
|
|
|
$
|
308,211,572
|
|
|
|
|
|
|
|
|
| Deposits: |
|
|
|
|
|
|
| Noninterest-bearing demand |
|
$
|
25,508,692
|
|
|
$
|
41,478,578
|
|
|
$
|
19,001,215
|
|
| Interest-bearing demand |
|
|
62,843,120
|
|
|
|
20,744,371
|
|
|
|
44,561,804
|
|
| Savings and Money Market |
|
|
86,736,079
|
|
|
|
52,332,747
|
|
|
|
58,006,561
|
|
| Certificates of deposit |
|
|
82,004,946
|
|
|
|
101,433,425
|
|
|
|
106,543,506
|
|
| Total deposits |
|
|
257,092,837
|
|
|
|
215,989,121
|
|
|
|
228,113,086
|
|
| Other liabilities |
|
|
51,904,911
|
|
|
|
9,882,383
|
|
|
|
42,665,912
|
|
| Shareholders' equity |
|
|
44,799,836
|
|
|
|
31,968,845
|
|
|
|
37,432,574
|
|
| Total liabilities and shareholders' equity |
|
$
|
353,797,584
|
|
|
$
|
257,840,349
|
|
|
$
|
308,211,572
|
|
|
|
|
|
|
|
|
| Book value per share |
|
$
|
18.96
|
|
|
$
|
13.77
|
|
|
$
|
15.94
|
|
| CONSOLIDATED STATEMENTS OF NET INCOME |
| Unaudited |
|
|
|
|
|
|
|
|
|
|
|
Six Months Ending |
|
Three Months Ending |
|
|
June 30, 2020 |
|
June 30, 2019 |
|
June 30, 2020 |
|
June 30, 2019 |
| Interest income |
|
$
|
6,283,316
|
|
$
|
5,973,814
|
|
$
|
3,332,170
|
|
$
|
3,111,986
|
| Interest expense |
|
|
1,157,237
|
|
|
1,119,539
|
|
|
548,638
|
|
|
591,740
|
| Net interest income |
|
|
5,126,079
|
|
|
4,854,275
|
|
|
2,783,532
|
|
|
2,520,246
|
| Less Provision for loan losses |
|
|
566,000
|
|
|
190,000
|
|
|
176,000
|
|
|
-
|
| Net interest income after provision |
|
|
4,560,079
|
|
|
4,664,275
|
|
|
2,607,532
|
|
|
2,520,246
|
| Noninterest income |
|
|
35,154,978
|
|
|
19,596,582
|
|
|
23,270,920
|
|
|
11,630,066
|
| Noninterest expense |
|
|
26,492,466
|
|
|
17,842,141
|
|
|
15,732,020
|
|
|
9,910,504
|
| Net income before income taxes |
|
|
13,222,591
|
|
|
6,418,716
|
|
|
10,146,432
|
|
|
4,239,808
|
| Provision for income taxes |
|
|
3,337,532
|
|
|
1,444,547
|
|
|
2,642,110
|
|
|
887,071
|
| Net income after income taxes |
|
$
|
9,885,059
|
|
$
|
4,974,169
|
|
$
|
7,504,322
|
|
$
|
3,352,737
|
|
|
|
|
|
|
|
|
|
| Net income per share, basic |
|
$
|
4.21
|
|
$
|
2.16
|
|
$
|
3.18
|
|
$
|
1.45
|
Forward Looking Statements
Certain statements in this release may be deemed “forward-looking statements”. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore you should not place undue reliance on them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking statement.
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