Welcome!

Microsoft Cloud Authors: John Basso, Liz McMillan, Pat Romanski, Glenn Rossman, Elizabeth White

News Feed Item

Royal Financial, Inc. Announces FY13 Earnings for the Six Months Ended December 31, 2012

CHICAGO, Feb. 18, 2013 /PRNewswire/ -- Royal Financial, Inc. (the "Company") (OTCBB: RYFL.OB), incorporated under the laws of Delaware on December 15, 2004, for the purpose of serving as the holding company of Royal Savings Bank (the "Bank"), announced earnings for the six months ended December 31, 2012.

For the six months ended December 31, 2012, the Company reported net income of $247,000, or $0.10 per common share, compared to net income of $79,000, or $0.03 per common share, for the six months ended December 31, 2011.  The net income for the six months ended December 31, 2012 was an increase of $168,000 from the same period in 2011.  The increase in income was due to an increase in non-interest income of $369,000 and net interest income of $22,000 and a decrease in noninterest expense of $289,000, partially offset by an increase in the provision for loan losses of $500,000. The increase in noninterest income was primarily the result of a gain of $291,000 on the sale of securities from the investment portfolio. The decrease in noninterest expense was primarily the result of a decrease in salaries and employee benefits of $110,000 and a decrease in foreclosed assets expense of $292,000, partially offset by increases in various operating expenses. The increase in the provision for loan losses was primarily due to the recognition of a credit provision of $425,000 in December 2011, which was directly related to a recovery of previously charged off bad debt.  

Comparison of Financial Condition at December 31, 2012 and June 30, 2012

The Company's total assets decreased $1.4 million, or 1.20%, to $114.0 million at December 31, 2012, from $115.4 million at June 30, 2012.

Securities available for sale decreased $20.3 million, or 37.05%, to $34.5 million at December 31, 2012 from $54.8 million at June 30, 2012.  The decrease in the securities portfolio was due to securities sold to provide liquidity to fund loan growth.

Loans, net of allowance, increased $18.2 million, or 37.92%, to $66.1 million at December 31, 2012, from $47.9 million at June 30, 2012.  The increase in loans was primarily a result of locally originated commercial loan growth, consisting of commercial real estate and multi-family properties.

Other real estate owned decreased $1.1 million to $2.6 million at December 31, 2012, from $3.8 million at June 30, 2012. The decrease was primarily due to the sale of a $1.6 million residential property in the western suburbs of Chicago, partially offset by a newly obtained residential property with a carrying value of $475,000.

Total deposits reflect a slight increase of $435,000, or 0.63%, to $69.9 million at December 31, 2012 from $69.5 million at June 30, 2012.

Federal Home Loan Bank advances decreased $3.2 million, or 12.00%, to $24.0 million at December 31, 2012 from $27.2 million at June 30, 2012. FHLB advances were reduced using proceeds of investment securities sold during the period, in accordance with management's liquidity strategy.  

Total stockholders' equity increased $429,000, or 2.40%, to $18.3 million at December 31, 2012 from $17.8 million at June 30, 2012. The increase is primarily a result of net income of $247,000 for the period and an increase in accumulated other comprehensive income of $169,000, net of deferred taxes.

The allowance for loan losses was $1.8 million, or 2.70% of total loans, at December 31, 2012, as compared to $1.8 million, or 3.66% of total loans, at June 30, 2012.  The Company believes, as of December 31, 2012, its allowance for loan losses was adequate to cover probable incurred losses.  Nonperforming assets were $5.6 million, or 4.95%, at December 31, 2012 compared to $7.1 million, or 6.13%, at June 30, 2012.

The Bank is required to maintain regulatory capital sufficient to meet Tier 1 leverage, Tier 1 risk-based and total risk-based capital ratios of at least 4.0%, 4.0%, and 8.0%, respectively.  At December 31, 2012, the Bank exceeded each of its capital requirements with ratios of 13.40%, 24.63%, and 25.90%, respectively.  At December 31, 2012, the book value per common share, shares outstanding 2,490,930, was $7.33 compared to June 30, 2012, the book value per common share, shares outstanding 2,487,756 was $7.16.

 

Consolidated Statements of Financial Condition

December 31, 2012 and June 30, 2012

(Unaudited)





December 31, 2012


June 30, 2012

Assets




Cash and non-interest bearing balances in financial institutions

$                 900,115


$        898,993

Interest bearing balances in financial institutions

2,933,472


1,108,376

Federal funds sold

-


19,988

     Total cash and cash equivalents

3,833,587


2,027,357





Securities available for sale

34,493,447


54,796,381





Loans receivable, net of allowance for loan losses

66,087,944


47,917,818

Federal Home Loan Bank stock

1,750,000


1,357,500

Premises & equipment, net

4,303,576


4,426,150

Land available for sale, net of valuation allowance

265,000


433,350

Accrued interest receivable

496,717


499,354

Other real estate owned

2,647,811


3,797,105

Other assets

170,035


166,418

     Total assets

$          114,048,116


$ 115,421,433





Liabilities & Stockholders' Equity




Deposits

$            69,896,735


$   69,461,669

Advances from borrowers for taxes and insurance

723,987


452,686

Federal funds purchased

29,856


-

Federal Home Loan Bank advances and other borrowings

24,000,000


27,150,000

Accrued interest payable and other liabilities

1,146,840


534,901

     Total liabilities

95,797,418


97,599,256





Stockholders' equity




     Preferred stock $0.01 par value per share, authorized




      1,000,000 shares, no issues are outstanding

-


-

     Common stock $0.01 par value per share, authorized




       5,000,000 shares, 2,645,000 shares issued at




       December 31, 2012 and June 30, 2012

26,450


26,450

     Additional paid-in capital

23,987,444


24,021,570

     Retained deficit

(5,800,766)


(6,047,643)

     Treasury stock, 154,070 and 159,744 shares, at cost

(1,251,856)


(1,298,672)

     Accumulated other comprehensive income (loss), net of tax

1,289,425


1,120,472

          Total stockholders' equity

18,250,698


17,822,177





               Total liabilities and stockholders' equity

$          114,048,116


$ 115,421,433

















This report has not been prepared in accordance with Securities and Exchange Commission ("SEC")

rules applicable to SEC registrant companies and is not intended to comply with such rules.

 

 

Consolidated Statements of Operations

Six months ended December 31, 2012 and 2011

(Unaudited)













Six Months Ended



December 31,








2012


2011






Interest income





     Loans


$ 1,514,816


$ 1,709,194

     Securities


594,828


428,126

     Federal funds sold and other


3,368


2,485

          Total interest income


2,113,012


2,139,805






Interest expense





     Deposits


75,601


147,772

     Borrowings


26,227


2,817

          Total interest expense


101,828


150,589






Net interest income


2,011,185


1,989,216






Provision/(Credit) provision for loan losses


75,000


(425,011)

Net interest income after provision for loan loss


1,936,185


2,414,227






Non-interest income





     Service charges on deposit accounts


84,856


113,223

     Secondary mortgage market fees


94,550


47,027

     Income on other real estate owned


97,524


39,191

     Gain on sale of investment securities


290,816


-

     Other


501


13

          Total non-interest income


568,247


199,454






Non-interest expense





     Salaries and employee benefits


852,864


963,330

     Occupancy and equipment


360,825


332,200

     Data processing


176,686


141,259

     Professional services


271,618


240,969

     Director fees


29,850


66,200

     Marketing


5,404


9,586

     FDIC insurance expense


73,505


53,277

     Insurance premiums


33,430


32,656

     Foreclosed asset expense


107,866


399,643

     Loss valuation on land available for sale


168,350


142,650

     Other


165,157


152,771

          Total non-interest expense


2,245,555


2,534,541






Income before income taxes


258,877


79,140

Provision for income taxes


12,000


-






     Net income


$    246,877


$      79,140





















This report has not been prepared in accordance with Securities and Exchange Commission ("SEC")

rules applicable to SEC registrant companies and is not intended to comply with such rules.

Contact: Mr. Leonard Szwajkowski
President and CEO
Telephone: (773) 382-2111
E-mail: [email protected]

SOURCE Royal Financial, Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Big Data, cloud, analytics, contextual information, wearable tech, sensors, mobility, and WebRTC: together, these advances have created a perfect storm of technologies that are disrupting and transforming classic communications models and ecosystems. In his session at @ThingsExpo, Erik Perotti, Senior Manager of New Ventures on Plantronics’ Innovation team, provided an overview of this technological shift, including associated business and consumer communications impacts, and opportunities it ...
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 ...
WebRTC is bringing significant change to the communications landscape that will bridge the worlds of web and telephony, making the Internet the new standard for communications. Cloud9 took the road less traveled and used WebRTC to create a downloadable enterprise-grade communications platform that is changing the communication dynamic in the financial sector. In his session at @ThingsExpo, Leo Papadopoulos, CTO of Cloud9, discussed the importance of WebRTC and how it enables companies to focus...
ReadyTalk has expanded the capabilities of the FoxDen collaboration platform announced late last year to include FoxDen Connect, an in-room video collaboration experience that launches with a single touch. With FoxDen Connect, users can now not only engage in HD video conferencing between iOS and Android mobile devices or Chrome browsers, but also set up in-person meeting rooms for video interactions. A host’s mobile device automatically recognizes the presence of a meeting room via beacon tech...
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...
On Dice.com, the number of job postings asking for skill in Amazon Web Services increased 76 percent between June 2015 and June 2016. Salesforce.com saw its own skill mentions increase 37 percent, while DevOps and Cloud rose 35 percent and 28 percent, respectively. Even as they expand their presence in the cloud, companies are also looking for tech professionals who can manage projects, crunch data, and figure out how to make systems run more autonomously. Mentions of ‘data science’ as a skill ...
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, ...
"delaPlex is a software development company. We do team-based outsourcing development," explained Mark Rivers, COO and Co-founder of delaPlex Software, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
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...
SYS-CON Events announced today that LeaseWeb USA, a cloud Infrastructure-as-a-Service (IaaS) provider, will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LeaseWeb is one of the world's largest hosting brands. The company helps customers define, develop and deploy IT infrastructure tailored to their exact business needs, by combining various kinds cloud solutions.
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
For basic one-to-one voice or video calling solutions, WebRTC has proven to be a very powerful technology. Although WebRTC’s core functionality is to provide secure, real-time p2p media streaming, leveraging native platform features and server-side components brings up new communication capabilities for web and native mobile applications, allowing for advanced multi-user use cases such as video broadcasting, conferencing, and media recording.
SYS-CON Events announced today that Venafi, the Immune System for the Internet™ and the leading provider of Next Generation Trust Protection, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Venafi is the Immune System for the Internet™ that protects the foundation of all cybersecurity – cryptographic keys and digital certificates – so they can’t be misused by bad guys in attacks...
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...
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...
SYS-CON Events announced today that MangoApps will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides modern company intranets and team collaboration software, allowing workers to stay connected and productive from anywhere in the world and from any device.
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.