Welcome!

Microsoft Cloud Authors: Lori MacVittie, Elizabeth White, Yeshim Deniz, Serafima Al, Janakiram MSV

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
Data is the fuel that drives the machine learning algorithmic engines and ultimately provides the business value. In his session at Cloud Expo, Ed Featherston, a director and senior enterprise architect at Collaborative Consulting, discussed the key considerations around quality, volume, timeliness, and pedigree that must be dealt with in order to properly fuel that engine.
"Akvelon is a software development company and we also provide consultancy services to folks who are looking to scale or accelerate their engineering roadmaps," explained Jeremiah Mothersell, Marketing Manager at Akvelon, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, discussed the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docker c...
Two weeks ago (November 3-5), I attended the Cloud Expo Silicon Valley as a speaker, where I presented on the security and privacy due diligence requirements for cloud solutions. Cloud security is a topical issue for every CIO, CISO, and technology buyer. Decision-makers are always looking for insights on how to mitigate the security risks of implementing and using cloud solutions. Based on the presentation topics covered at the conference, as well as the general discussions heard between sessio...
To Really Work for Enterprises, MultiCloud Adoption Requires Far Better and Inclusive Cloud Monitoring and Cost Management … But How? Overwhelmingly, even as enterprises have adopted cloud computing and are expanding to multi-cloud computing, IT leaders remain concerned about how to monitor, manage and control costs across hybrid and multi-cloud deployments. It’s clear that traditional IT monitoring and management approaches, designed after all for on-premises data centers, are falling short in ...
Organizations planning enterprise data center consolidation and modernization projects are faced with a challenging, costly reality. Requirements to deploy modern, cloud-native applications simultaneously with traditional client/server applications are almost impossible to achieve with hardware-centric enterprise infrastructure. Compute and network infrastructure are fast moving down a software-defined path, but storage has been a laggard. Until now.
DXWorldEXPO LLC announced today that the upcoming DXWorldEXPO | CloudEXPO New York event will feature 10 companies from Poland to participate at the "Poland Digital Transformation Pavilion" on November 12-13, 2018.
Digital Transformation is much more than a buzzword. The radical shift to digital mechanisms for almost every process is evident across all industries and verticals. This is often especially true in financial services, where the legacy environment is many times unable to keep up with the rapidly shifting demands of the consumer. The constant pressure to provide complete, omnichannel delivery of customer-facing solutions to meet both regulatory and customer demands is putting enormous pressure on...
The best way to leverage your CloudEXPO | DXWorldEXPO presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering CloudEXPO | DXWorldEXPO will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at CloudEXPO. Product announcements during our show provide your company with the most reach through our targeted audienc...
In an era of historic innovation fueled by unprecedented access to data and technology, the low cost and risk of entering new markets has leveled the playing field for business. Today, any ambitious innovator can easily introduce a new application or product that can reinvent business models and transform the client experience. In their Day 2 Keynote at 19th Cloud Expo, Mercer Rowe, IBM Vice President of Strategic Alliances, and Raejeanne Skillern, Intel Vice President of Data Center Group and ...
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
DXWorldEXPO LLC announced today that All in Mobile, a mobile app development company from Poland, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. All In Mobile is a mobile app development company from Poland. Since 2014, they maintain passion for developing mobile applications for enterprises and startups worldwide.
@DevOpsSummit at Cloud Expo, taking place November 12-13 in New York City, NY, is co-located with 22nd international CloudEXPO | first international DXWorldEXPO and will feature technical sessions from a rock star conference faculty and the leading industry players in the world.
In his keynote at 19th Cloud Expo, Sheng Liang, co-founder and CEO of Rancher Labs, discussed the technological advances and new business opportunities created by the rapid adoption of containers. With the success of Amazon Web Services (AWS) and various open source technologies used to build private clouds, cloud computing has become an essential component of IT strategy. However, users continue to face challenges in implementing clouds, as older technologies evolve and newer ones like Docker c...
DXWorldEXPO LLC announced today that ICC-USA, a computer systems integrator and server manufacturing company focused on developing products and product appliances, will exhibit at the 22nd International CloudEXPO | DXWorldEXPO. DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City. ICC is a computer systems integrator and server manufacturing company focused on developing products and product appliances to meet a wide range of ...
Coca-Cola’s Google powered digital signage system lays the groundwork for a more valuable connection between Coke and its customers. Digital signs pair software with high-resolution displays so that a message can be changed instantly based on what the operator wants to communicate or sell. In their Day 3 Keynote at 21st Cloud Expo, Greg Chambers, Global Group Director, Digital Innovation, Coca-Cola, and Vidya Nagarajan, a Senior Product Manager at Google, discussed how from store operations and ...
We are seeing a major migration of enterprises applications to the cloud. As cloud and business use of real time applications accelerate, legacy networks are no longer able to architecturally support cloud adoption and deliver the performance and security required by highly distributed enterprises. These outdated solutions have become more costly and complicated to implement, install, manage, and maintain.SD-WAN offers unlimited capabilities for accessing the benefits of the cloud and Internet. ...
Headquartered in Plainsboro, NJ, Synametrics Technologies has provided IT professionals and computer systems developers since 1997. Based on the success of their initial product offerings (WinSQL and DeltaCopy), the company continues to create and hone innovative products that help its customers get more from their computer applications, databases and infrastructure. To date, over one million users around the world have chosen Synametrics solutions to help power their accelerated business or per...
Founded in 2000, Chetu Inc. is a global provider of customized software development solutions and IT staff augmentation services for software technology providers. By providing clients with unparalleled niche technology expertise and industry experience, Chetu has become the premiere long-term, back-end software development partner for start-ups, SMBs, and Fortune 500 companies. Chetu is headquartered in Plantation, Florida, with thirteen offices throughout the U.S. and abroad.
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.