Welcome!

Microsoft Cloud Authors: Liz McMillan, Pat Romanski, John Basso, Elizabeth White, Mihai Corbuleac

News Feed Item

Greater Hudson Bank, N.A. Reports Earnings for Both the Three and Nine Months Ended September 30, 2012

MIDDLETOWN, NY -- (Marketwire) -- 11/06/12 -- Greater Hudson Bank, N.A. (the "Bank") (OTCQB: GHDS), with assets of $328.2 million, today reported net income for the 2012 third quarter of $777,000 or $0.08 per common share, compared to $918,000 or $0.09 per common share for the 2011 third quarter, a decrease of $141,000 or 15.4 percent. Return on average common stockholders' equity was 8.07 percent for the third quarter of 2012 compared to 10.38 percent for the 2011 third quarter.

For the nine months ended September 30, 2012, net income was $1.877 million, or $0.19 per common share compared to $1.950 million, also $0.19 per common share for the nine months ended September 30, 2011, a decrease of approximately $73,000, or 3.7 percent. Return on average common stockholders' equity was 6.62 percent for the nine months ended September 30, 2012 compared to 7.63 percent for the 2011 nine month period.

Excluding security gains, earnings from operations increased $462,000 or 17.8 percent and $1.0 million or 13.8 percent for the three and nine months ended September 30, 2012, respectively, compared to the prior year periods.

The Bank is also very proud to report that since the October 2008 recapitalization, it has earned back all of the $8.8 million in losses incurred since the Bank opened in 2002 and now has $396,000 in retained earnings.

Commenting on the third quarter of 2012, Kenneth J. Torsoe, chairman of the board of directors of Greater Hudson Bank, stated, "We understand that the environment in which we are operating continues to be a challenging one for not only the economy in general, but the banking industry as well. However, in spite of the low interest rate environment, limited small and-medium sized business loan demand, and the need for increased resources focused on ever-changing government regulations, we have made progress as a community bank. We want those in our communities to know that we are here to help them and we have money to lend, especially for those severely affected by Hurricane Sandy. Our Greater Hudson Bank team is working hard to attract new quality loans, as we understand that it is the health and growth of our small and-medium sized businesses that will help to rebuild and sustain the communities we serve."

Mr. Torsoe also stated that, "We do not believe that Hurricane Sandy will have a material effect on the Bank's financial statements."

Financial highlights as of and for the three months ended September 30, 2012 compared to the September 30, 2011 period are as follows:

  • Total assets increased $26.1 million, or 8.6 percent, to $328.2 million.
  • Net loans increased $42.7 million, or 29.9 percent, to $185.5 million.
  • Investments decreased $27.9 million, or 19.5 percent, to $115.3 million.
  • Deposits increased $14.7 million, or 5.9 percent, to $263.8 million.
  • Net interest income increased $482,000, or 18.9 percent, to $3.0 million.
  • Non-interest expense increased $271,000, or 17.5 percent, to $1.8 million.
  • Provision for income taxes decreased $100,000, or 17.6 percent, to $467,000.

Financial highlights as of and for the nine months ended September 30, 2012 compared to the September 30, 2011 period are as follows:

  • Net interest income increased $1.3 million, or 17.3 percent, to $8.6 million.
  • Provision for loan losses increased $202,000 or 76.6 percent, to $466,000.
  • Non-interest expense increased $996,000, or 22.0 percent, to $5.5 million.
  • Provision for income taxes decreased $103,000, or 8.4 percent, to $1.1 million.

Eric J. Wiggins, president and CEO of Greater Hudson Bank, stated, "Our earnings this year have been impacted primarily by additional expansion and staffing costs, however, the extended low interest rate environment has placed further pressure on margins. In spite of this, we have been successful in maintaining our net interest margin as we have transitioned our balance sheet from lower yielding investment securities into additional loans to local businesses and property owners. Our efforts have resulted in net loans outstanding increasing 30% year-over-year and enabled us to grow our net interest income over 17% year-over-year. Excluding security gains, the Bank's pre-tax operating income has increased 18% when compared with the 3rd quarter in 2011."

"In addition, our efficiency ratio of 58.9% for the 3rd quarter 2012 has improved from the 2nd quarter 2012 ratio of 72.2% as earnings have begun to absorb the additional expenses related to our new branch and loan center, as well as staffing added in the first half of the year."

Mr. Wiggins further commented, "The Bank's non-performing assets declined significantly since the 2nd quarter as the Bank received payment in full on a large loan relationship during the 3rd quarter. Non-performing assets declined from $1.56 million to $725 thousand and the ratio of non-performing assets to total assets improved from 0.47% to 0.22% for the same period. The Bank had no additional OREO properties following the disposal of its only OREO in the second quarter."

EARNINGS


*Results Unaudited                Three months Ended     Nine months Ended
                                     September 30,         September 30,
                                        (in thousands, except ratios)
SUMMARY OF OPERATIONS DATA:         2012       2011       2012       2011
                                 ---------  ---------  ---------  ---------
Net interest income              $   3,039  $   2,557  $   8,630  $   7,360
Provision for loan losses               32         31        466        264
Noninterest income                      45         64        110        173
Net gains on securities
 transactions                            8        440        255        440
Noninterest Expense                  1,816      1,545      5,526      4,530
                                 ---------  ---------  ---------  ---------
Income before income taxes           1,244      1,485      3,003      3,179
Provision for income taxes             467        567      1,126      1,229
                                 ---------  ---------  ---------  ---------
Net income                       $     777  $     918  $   1,877  $   1,950
                                 =========  =========  =========  =========

Efficiency Ratio                      58.9%      58.9%      63.2%      60.1%


AVERAGE BALANCE SHEET DATA:         2012       2011       2012       2011
                                 ---------  ---------  ---------  ---------
Earning Assets                   $ 312,662  $ 267,074  $ 306,431  $ 269,185
Total Interest Bearing
 Liabilities                       263,743    247,398    261,956    234,279
Net interest spread                   3.74%      3.77%      3.63%      3.53%
Net interest margin                   3.89%      3.83%      3.75%      3.65%

Net interest income increased for both the three and nine months ended September 30, 2012 compared to the 2011 comparable periods as a result of an increase in the balance of the Bank's average earning assets. The increase in net interest income was partially offset by the increase in average interest bearing liabilities for both the three and nine months ended September 30, 2012 compared to the 2011 comparable periods.

As a result of market conditions, net gains on securities transactions decreased $432,000 and $185,000 for the three and nine months ended September 30, 2012 compared to the three and nine months ended September 30, 2011, respectively.

The provision for credit losses increased $202,000 for the nine months ended September 30, 2012 compared to the 2011 comparable period, primarily due to an increase in net loans outstanding for 2012 of $28.6 million compared to an increase of $18.4 million in 2011.

Non-interest expense increased $271,000 and $996,000 for the three and nine months ended September 30, 2012 compared to the prior year periods. The increase was driven by increases in salaries, occupancy, supplies, and marketing expenses associated with the opening of the new branch and loan center in Monroe, NY, as well as to support the Bank's overall growth in its balance sheet.

The provision for income taxes decreased $100,000 and $103,000 for the three and nine months ended September 30, 2012 compared to the prior year periods as a result of lower net income.

BALANCE SHEET & CREDIT QUALITY


SELECTED BALANCE SHEET DATA -
 Unaudited:                                         As of
(in thousands, except ratios)     September 30,    Dec. 31,   September 30,
                                       2012          2011          2011
                                  -------------  -----------  -------------
Total Investments                 $     115,285  $   130,645  $     143,219
Federal funds sold                            -           64             67
Loans, net of unearned income           185,479      156,830        142,760
Allowance for loan losses                 2,598        2,148          1,998
Total assets                            328,166      299,185        302,076
Total deposits                          263,804      245,810        249,096
Borrowings                               22,733       15,000         15,000
Nonperforming assets                        725          910          1,108
Allowance for loan losses to
 total net loans                           1.40%        1.37%          1.40%
Nonperforming assets to total
 assets                                    0.22%        0.30%          0.37%

The Bank increased loans, net of unearned income $42.7 million as of September 30, 2012 compared to the prior year period. The increase in the loan portfolio was funded primarily by net security sales and redemptions in the investment portfolio, which decreased by $27.9 million as of September 30, 2012, a $14.7 million, or 5.9 percent increase in deposits to $263.8 million, and an increase of $7.7 million in Federal Home Loan Bank of New York advances as of September 30, 2012 compared to September 30, 2011.

The Bank's total assets have increased over the past year from $302.1 million to $328.2 million and the Bank's total non-performing assets have decreased from $1.1 million to $0.7 million from September of 2011 to September of 2012, respectively. As a result, the Bank's nonperforming assets to total assets ratio has decreased from 0.37 percent to 0.22 percent over the past year.

CAPITAL


          EQUITY - Unaudited                       As of
          (in thousands, except ratios)        September 30,
                                             2012         2011
                                         -----------  -----------
          Tier 1 Capital                 $    37,956  $    34,400
          Total Stockholders' Equity          39,113       36,095
          Book value per common share           3.91         3.61
          Tier 1 Leverage Ratio                 11.5%        11.3%

At September 30, 2012, the Bank had $39.1 million in stockholders' equity, representing an increase of $3.0 million from September 30, 2011. As of September 30, 2012, the Bank's leverage ratio was 11.5 percent and as a result, the Bank continues to be considered a well-capitalized institution under Federal regulatory requirements.

Greater Hudson Bank, N.A. founded in 2002, is headquartered in Middletown, New York and was the first community bank chartered in Orange County, New York in over fifty years. The Bank has 5 branches which are located in Middletown, Warwick and Monroe, Orange County, New York, Bardonia, Rockland County, New York, and White Plains, Westchester County, New York. The Bank is chartered by the Office of the Comptroller of the Currency and its deposits are insured by the Federal Deposit Insurance Corporation. Further information can be found on the Bank's website at www.GreaterHudsonBank.com.

Forward-Looking Statements: This Press Release may contain certain statements which are not historical facts or which concern the Bank's future operations or economic performance and which are to be considered forward-looking statements. Any such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Bank cautions that all forward-looking statements involve risk and uncertainties, and that actual results may differ from those indicated in the forward-looking statements as a result of various factors, such as changing economic and competitive conditions and other risk and uncertainties. In addition, any statements in this news release regarding historical stock price performance are not indicative of or guarantees of future price performance.

Contact:
Jon Lieb
(914) 690-2948

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
There will be new vendors providing applications, middleware, and connected devices to support the thriving IoT ecosystem. This essentially means that electronic device manufacturers will also be in the software business. Many will be new to building embedded software or robust software. This creates an increased importance on software quality, particularly within the Industrial Internet of Things where business-critical applications are becoming dependent on products controlled by software. Qua...
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Large scale deployments present unique planning challenges, system commissioning hurdles between IT and OT and demand careful system hand-off orchestration. In his session at @ThingsExpo, Jeff Smith, Senior Director and a founding member of Incenergy, will discuss some of the key tactics to ensure delivery success based on his experience of the last two years deploying Industrial IoT systems across four continents.
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, demonstrated how to move beyond today's coding paradigm and shared the must-have mindsets for removing complexity from the develo...
Basho Technologies has announced the latest release of Basho Riak TS, version 1.3. Riak TS is an enterprise-grade NoSQL database optimized for Internet of Things (IoT). The open source version enables developers to download the software for free and use it in production as well as make contributions to the code and develop applications around Riak TS. Enhancements to Riak TS make it quick, easy and cost-effective to spin up an instance to test new ideas and build IoT applications. In addition to...
IoT is rapidly changing the way enterprises are using data to improve business decision-making. In order to derive business value, organizations must unlock insights from the data gathered and then act on these. In their session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, and Peter Shashkin, Head of Development Department at EastBanc Technologies, discussed how one organization leveraged IoT, cloud technology and data analysis to improve customer experiences and effi...
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with the 19th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world and ThingsExpo Silicon Valley Call for Papers is now open.
"We've discovered that after shows 80% if leads that people get, 80% of the conversations end up on the show floor, meaning people forget about it, people forget who they talk to, people forget that there are actual business opportunities to be had here so we try to help out and keep the conversations going," explained Jeff Mesnik, Founder and President of ContentMX, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
With 15% of enterprises adopting a hybrid IT strategy, you need to set a plan to integrate hybrid cloud throughout your infrastructure. In his session at 18th Cloud Expo, Steven Dreher, Director of Solutions Architecture at Green House Data, discussed how to plan for shifting resource requirements, overcome challenges, and implement hybrid IT alongside your existing data center assets. Highlights included anticipating workload, cost and resource calculations, integrating services on both sides...
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet a...
Big Data engines are powering a lot of service businesses right now. Data is collected from users from wearable technologies, web behaviors, purchase behavior as well as several arbitrary data points we’d never think of. The demand for faster and bigger engines to crunch and serve up the data to services is growing exponentially. You see a LOT of correlation between “Cloud” and “Big Data” but on Big Data and “Hybrid,” where hybrid hosting is the sanest approach to the Big Data Infrastructure pro...
"My role is working with customers, helping them go through this digital transformation. I spend a lot of time talking to banks, big industries, manufacturers working through how they are integrating and transforming their IT platforms and moving them forward," explained William Morrish, General Manager Product Sales at Interoute, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
A critical component of any IoT project is what to do with all the data being generated. This data needs to be captured, processed, structured, and stored in a way to facilitate different kinds of queries. Traditional data warehouse and analytical systems are mature technologies that can be used to handle certain kinds of queries, but they are not always well suited to many problems, particularly when there is a need for real-time insights.
IoT generates lots of temporal data. But how do you unlock its value? You need to discover patterns that are repeatable in vast quantities of data, understand their meaning, and implement scalable monitoring across multiple data streams in order to monetize the discoveries and insights. Motif discovery and deep learning platforms are emerging to visualize sensor data, to search for patterns and to build application that can monitor real time streams efficiently. In his session at @ThingsExpo, ...
The best-practices for building IoT applications with Go Code that attendees can use to build their own IoT applications. In his session at @ThingsExpo, Indraneel Mitra, Senior Solutions Architect & Technology Evangelist at Cognizant, provided valuable information and resources for both novice and experienced developers on how to get started with IoT and Golang in a day. He also provided information on how to use Intel Arduino Kit, Go Robotics API and AWS IoT stack to build an application tha...
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
Amazon has gradually rolled out parts of its IoT offerings in the last year, but these are just the tip of the iceberg. In addition to optimizing their back-end AWS offerings, Amazon is laying the ground work to be a major force in IoT – especially in the connected home and office. Amazon is extending its reach by building on its dominant Cloud IoT platform, its Dash Button strategy, recently announced Replenishment Services, the Echo/Alexa voice recognition control platform, the 6-7 strategic...