Welcome!

Microsoft Cloud Authors: Yeshim Deniz, Janakiram MSV, Andreas Grabner, Stackify Blog, Liz McMillan

News Feed Item

Chain Bridge Bancorp, Inc. and Chain Bridge Bank, N.A. Earnings Release 2012

Earnings up 23% in 2012 Over 2011

MCLEAN, VA -- (Marketwire) -- 02/07/13 -- Chain Bridge Bancorp, Inc. (the "Company"), the parent of Chain Bridge Bank, N.A. (the "Bank") (collectively, "Chain Bridge"), today reported that its net income grew 23% in 2012, to $2.956 million or $147 per share, up from $2.403 million, or $129 per share in 2011.

Peter G. Fitzgerald, Chairman of Chain Bridge, commented: "Chain Bridge's earnings reflect strong loan growth and continued exceptional credit quality. The Bank performed well even in a weak revenue environment." Regarding the outlook for 2013, Fitzgerald said: "Chain Bridge expects continued low interest rates and, consequently, continued pressure on bank net interest margins. To compensate, management is working hard to control costs while at the same time increasing non-interest income."

Balance Sheet Growth

Loan demand was strong during the year as loans grew 34% from $86.6 million at year end 2011 to $116.3 million at year end 2012. Closed-end residential real estate loans grew $22.9 million while commercial real estate loans rose $4.1 million. The Bank's securities portfolio decreased slightly, by $2.8 million, to $158.5 million at year-end.

Average assets of the Company grew $118 million, or 53%, to $341 million in 2012 compared to $223 million in 2011. The bulk of the growth in average assets was due to a temporary, seasonal rise in client deposit balances. Prior to year-end, clients drew down the bulk of these seasonal deposit balances, so year-over-year assets increased only slightly, by $395 thousand, to $292 million at year end 2012.

Net Interest Income and Yields

Net interest income increased by $2.0 million as average earning assets grew $116 million to $330 million. Liquidity was maintained to fund draw-downs of balances in seasonal deposit accounts, so excess funds were invested in liquid investments and cash. Investments in shorter term assets resulted in a decline in the yield on earning assets of 97 basis points to 3.49 percent. Deposit growth was primarily in non-interest bearing accounts, so the Bank's overall cost of funds declined to 0.24 percent. The net interest margin declined 78 basis points to 3.26 percent.

Non-Interest Income

Non-interest income, excluding securities gains and losses, increased $258 thousand during the year to $668 thousand. Service charge income grew $170 thousand as transaction activity in seasonal accounts was strong. A fresh source of revenue came from the newly established mortgage division of the Bank. Non-interest income earned on consumer mortgage loans totaled $67 thousand during the year.

Asset Quality and Capital

The Bank's asset quality remained exceptional. No loans were past-due at December 31, 2012 and the Bank reported no repossessed assets or non-performing loans. The Bank charged-off one commercial loan during 2012 for $225 thousand as the borrower declared bankruptcy. The Bank is working with the bankruptcy trustee to pursue collection of the debt.

At year-end 2012, the Company's tier 1 risk-based capital ratio stood at 17.08% and its equity-to-assets ratio stood at 10.56. The Company's capital ratios substantially exceed those required by law. In 2012, MSN Money ranked Chain Bridge Bank as one of the 359 safest banks in the country (out of more than 7,300).

New Residential Mortgage Division

During the year, the Bank invested considerable resources in establishing a full service residential mortgage division. In addition to purchasing an office condominium to house the division, the Bank hired six highly experienced specialists who collectively have over 100 years experience in residential mortgage lending. The division has state-of-the art systems, two loan originators, an underwriter, a processor, a closer and an administrative assistant, all under one roof.

Due to legal, regulatory, and start-up costs, the division incurred a loss of $158 thousand and was a drag on net income in 2012. Management expects that if interest rates remain low and the demand for mortgages remains high that the division will add to net income in 2013.

Outlook for 2013

The banking outlook for the coming year contains the same interest rate and regulatory challenges faced over the past year with the added complexity of uncertain fiscal policy decisions. Low rates will continue to place further pressure on net interest income throughout 2013. Likewise, enhanced operating controls will be needed to stay ahead of ever changing regulatory expectations. The U.S. economy is showing signs of improvement with the jobless rate continuing its slow decline and the housing market gradually improving, but the recovery is tenuous and, particularly in the Washington, D.C. area, will be impacted by policy decisions on spending cuts and "sequestration."

"Chain Bridge Bank is uniquely positioned to take advantage of industry challenges over the coming year," said the Bank's President and Chief Executive Officer John J. Brough. Brough added that "Low rates present an opportunity for the Bank to grow its loan portfolio. Loan growth will help the Bank's interest margin as lower yielding cash and bonds are converted into higher yielding loans. We also are excited to offer clients a full suite of real estate loans through our new residential mortgage division."

Chain Bridge Bank, National Association is a full service community bank organized under the laws of the United States and is the sole subsidiary of Chain Bridge Bancorp, Inc., a registered bank holding company. The Bank is headquartered in McLean, Virginia and serves businesses and individuals throughout the metropolitan Washington, D.C. area. The Bank is a member of the FDIC and its deposits are insured up to the legal maximums. The Company's shares are privately held.


                  Chain Bridge Bancorp, Inc (Consolidated)
                  Chain Bridge Bank, National Association
                                 McLean, VA
                       Financial Highlights Year End
                                                  Period Ended December 31,
                                                 --------------------------
                                                     2012          2011
                                                 ------------  ------------
(Dollars in Thousands)                            (Unaudited)    (Audited)

Performance Measures and Yields
  Consolidated net income                        $      2,956  $      2,403
  Earnings growth rate (%)                              23.01%        14.56%
  Return on average assets (ROAA) (%)                    0.87%         1.08%
  Return on average equity (ROAE) (%)                   10.04%        10.66%
  Yield on earning assets (%)                            3.49%         4.46%
  Cost of interest bearing liabilities (%)               0.60%         0.77%
  Cost of funds (%)                                      0.24%         0.43%
  Net interest margin (%)                                3.26%         4.04%

Balance Sheet Highlights
  Total assets                                   $    292,494  $    292,099
  Average assets                                 $    341,163  $    223,002
  Total loans & leases                           $    115,266  $     86,591
  Total deposits                                 $    254,392  $    263,019
  Loans to deposit ratio (%)                               45%           33%

Capitalization
  Total equity capital                           $     30,874  $     26,809
  Percent change in total equity capital                 15.2%         33.7%
  Tangible equity                                $     30,874  $     26,809
  Tier 1 capital                                 $     26,761  $     23,721
  Equity as a percentage of total assets (%)            10.56%         9.18%
  Total risk-based capital ratio (%)                    18.23%        15.86%
  Tier 1 risk-based ratio (%)                           17.08%        14.89%

Deposit Composition (%)
  Noninterest bearing deposits / deposits                46.8%         56.8%
  Transaction accounts / deposits                        63.4%         77.3%
  MMDAs & savings / deposits                             15.3%         11.3%
  Time deposits / deposits                               21.6%         11.4%

Asset Quality (%)
  Non-performing assets / assets                            -%         0.08%
  Loan loss reserves / gross loans                       1.70%         1.78%
  Reserves / non-performing assets                          -%          642%
  Net charge-offs / average loans                        0.23%         0.08%

Chain Bridge Bancorp, Inc. Share Information
  Number of shares outstanding                         20,158        20,086
  Book value per share (dollars)                 $   1,531.61  $   1,334.69
  Percent change in book value per share                14.75%        23.68%
  Net income per share (dollars)                 $     146.92  $     128.82
  Percent change in net income per share                14.05%        13.60%

Contact:
Guy A. Brewer
Senior Vice President & CFO
Phone: 703-748-2005
Address: 1445-A Laughlin Avenue
McLean, VA 22101
Email Contact
www.chainbridgebank.com


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
"We provide IoT solutions. We provide the most compatible solutions for many applications. Our solutions are industry agnostic and also protocol agnostic," explained Richard Han, Head of Sales and Marketing and Engineering at Systena America, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.
SYS-CON Events announced today that Calligo, an innovative cloud service provider offering mid-sized companies the highest levels of data privacy and security, has been named "Bronze Sponsor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Calligo offers unparalleled application performance guarantees, commercial flexibility and a personalised support service from its globally located cloud plat...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
"The Striim platform is a full end-to-end streaming integration and analytics platform that is middleware that covers a lot of different use cases," explained Steve Wilkes, Founder and CTO at Striim, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
SYS-CON Events announced today that DXWorldExpo has been named “Global Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Digital Transformation is the key issue driving the global enterprise IT business. Digital Transformation is most prominent among Global 2000 enterprises and government institutions.
SYS-CON Events announced today that Datera, that offers a radically new data management architecture, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datera is transforming the traditional datacenter model through modern cloud simplicity. The technology industry is at another major inflection point. The rise of mobile, the Internet of Things, data storage and Big...
"We've been engaging with a lot of customers including Panasonic, we've been involved with Cisco and now we're working with the U.S. government - the Department of Homeland Security," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We are focused on SAP running in the clouds, to make this super easy because we believe in the tremendous value of those powerful worlds - SAP and the cloud," explained Frank Stienhans, CTO of Ocean9, Inc., in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
DX World EXPO, LLC., a Lighthouse Point, Florida-based startup trade show producer and the creator of "DXWorldEXPO® - Digital Transformation Conference & Expo" has announced its executive management team. The team is headed by Levent Selamoglu, who has been named CEO. "Now is the time for a truly global DX event, to bring together the leading minds from the technology world in a conversation about Digital Transformation," he said in making the announcement.
"MobiDev is a Ukraine-based software development company. We do mobile development, and we're specialists in that. But we do full stack software development for entrepreneurs, for emerging companies, and for enterprise ventures," explained Alan Winters, U.S. Head of Business Development at MobiDev, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
While the focus and objectives of IoT initiatives are many and diverse, they all share a few common attributes, and one of those is the network. Commonly, that network includes the Internet, over which there isn't any real control for performance and availability. Or is there? The current state of the art for Big Data analytics, as applied to network telemetry, offers new opportunities for improving and assuring operational integrity. In his session at @ThingsExpo, Jim Frey, Vice President of S...
SYS-CON Events announced today that DXWorldExpo has been named “Global Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Digital Transformation is the key issue driving the global enterprise IT business. Digital Transformation is most prominent among Global 2000 enterprises and government institutions.
In his opening keynote at 20th Cloud Expo, Michael Maximilien, Research Scientist, Architect, and Engineer at IBM, discussed the full potential of the cloud and social data requires artificial intelligence. By mixing Cloud Foundry and the rich set of Watson services, IBM's Bluemix is the best cloud operating system for enterprises today, providing rapid development and deployment of applications that can take advantage of the rich catalog of Watson services to help drive insights from the vast t...
SYS-CON Events announced today that EnterpriseTech has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. EnterpriseTech is a professional resource for news and intelligence covering the migration of high-end technologies into the enterprise and business-IT industry, with a special focus on high-tech solutions in new product development, workload management, increased effic...
SYS-CON Events announced today that Massive Networks, that helps your business operate seamlessly with fast, reliable, and secure internet and network solutions, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. As a premier telecommunications provider, Massive Networks is headquartered out of Louisville, Colorado. With years of experience under their belt, their team of...
SYS-CON Events announced today that Cloud Academy named "Bronze Sponsor" of 21st International Cloud Expo which will take place October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara, CA. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud com...
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and ...
SYS-CON Events announced today that CHEETAH Training & Innovation will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CHEETAH Training & Innovation is a cloud consulting and IT training firm specializing in improving clients cloud strategies and infrastructures for medium to large companies.
SYS-CON Events announced today that Datanami has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Datanami is a communication channel dedicated to providing insight, analysis and up-to-the-minute information about emerging trends and solutions in Big Data. The publication sheds light on all cutting-edge technologies including networking, storage and applications, and thei...
The current age of digital transformation means that IT organizations must adapt their toolset to cover all digital experiences, beyond just the end users’. Today’s businesses can no longer focus solely on the digital interactions they manage with employees or customers; they must now contend with non-traditional factors. Whether it's the power of brand to make or break a company, the need to monitor across all locations 24/7, or the ability to proactively resolve issues, companies must adapt to...