UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT
TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): March 5, 2015
ESSA Bancorp, Inc.
(Exact Name of Registrant as Specified in its Charter)
|
|
|
|
|
Pennsylvania |
|
001-33384 |
|
20-8023072 |
(State or Other Jurisdiction
of Incorporation) |
|
(Commission
File No.) |
|
(I.R.S. Employer
Identification No.) |
|
|
|
200 Palmer Street, Stroudsburg, Pennsylvania |
|
18360 |
(Address of Principal Executive Offices) |
|
(Zip Code) |
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
¨ |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 7.01 |
Regulation FD Disclosure. |
ESSA Bancorp, Inc. (the Company) will make
a presentation at its 2015 Annual Meeting of Stockholders to be held at the Stroudsmoor Country Inn, Stroudsburg, Pennsylvania on March 5, 2015, at 11:00 a.m., local time. The presentation provides an overview of the Companys business and
strategic focus and the Companys financial performance. A copy of the presentation is attached as Exhibit 99.1 to this report and is being furnished to the SEC and shall not be deemed filed for any purpose.
Item 9.01. |
Financial Statements and Exhibits |
|
(a) |
Financial Statements of Businesses Acquired. Not applicable. |
|
(b) |
Pro Forma Financial Information. Not applicable. |
|
(c) |
Shell Company Transactions. Not applicable. |
|
|
|
Exhibit No. |
|
Description |
|
|
99.1 |
|
Slide presentation to be made at the Companys 2015 Annual Meeting of Stockholders on March 5, 2015 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned, hereunto duly authorized.
|
|
|
|
|
|
|
|
|
|
|
|
|
ESSA BANCORP, INC. |
|
|
|
|
Date: March 5, 2015 |
|
|
|
By: |
|
/s/ Gary S. Olson |
|
|
|
|
|
|
Gary S. Olson |
|
|
|
|
|
|
President and Chief Executive Officer |
|
Exhibit 99.1
|
ESSA Bancorp, Inc.
2015 Annual Meeting
Forward Looking Statements
Certain statements
contained herein are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements may be identified by
reference to a future period or periods, or by the use of forward-looking terminology, such as may, will, believe, expect, estimate, anticipate, continue, or similar
terms or variations on those terms, or the negative of those terms. Forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, those related to the economic environment, particularly in the market
areas in which ESSA Bancorp, Inc. (the Company) operates, competitive products and pricing, fiscal and monetary policies of the U.S. Government, changes in government regulations affecting financial institutions, including regulatory
fees and capital requirements, changes in prevailing interest rates, acquisitions and the integration of acquired businesses, credit risk management, asset-liability management, the financial and securities markets and the availability of and costs
associated with sources of liquidity. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company wishes to advise readers that the factors listed above
could affect the companys financial performance and could cause the Companys actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The
Company does not undertake and specifically declines any obligation to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to
reflect the occurrence of anticipated or unanticipated event.
|
|
Overview: Transformative Growth
$1.6 billion
assets
27 branches serving three complementary markets:
Poconos
Lehigh Valley
Scranton/Wilkes-Barre
Geographical footprint of 3,200 square miles
Expanded commercial banking, indirect auto lending, serving municipalities
Key Data at a Glance (FY2014)
Net Income $8.50
million EPS (diluted) $0.79 ROAA 0.59% ROAE 5.01% Price (9.30.14) $11.30 Tangible Book Value (9.30.14) $13.34 Price/LTM EPS (9.30.14) 14x Price/Tangible Book 85%
Weighted Avg. Dil. Shares Out 10.82 million
FY2014: Growth Drives Financials
Net income of
$8.5 million, second-highest in ESSA history
Company record EPS of $0.79
Net interest income up year-over-year, and up 13% in fourth quarter 2014 compared with Q4 2013
Added $100.5 million of indirect auto loans and $62.5 million of commercial loans year-over-year
Total deposits increased 8.92% to $1.13 billion, including non-interest bearing checking accounts increasing 19.1%,
reflecting new accounts added as a result of the Franklin acquisition
FY2014: Building Franchise Value
Closed,
integrated acquisition of Franklin Security Bancorp
Established a presence in the
Wilkes-Barre & Scranton market
Added $217.5 million in total assets, $152.2 million in loans,
and $162.2 million in deposits
Acquired from another bank the loans and deposits of two branches, and retained
one physical facility in Monroe County
Consolidated two ESSA branches into new facility for improved
efficiency
Tangible Book value rose to $13.34 per share, up from $12.99 a year ago
Stockholders equity of $167.3 million
Growing ESSA Bancorp
Net Income (In $000)
$9,000 $8,823 $8,504
$8,000
$7,000
$6,000 $5,258 $5,000 $4,512
$4,000
$4.6MM debt $3,000 prepayment expense to lower $2,000 interest costs
$1,000 $215 $0
2010 2011 2012 2013 2014
Total Deposits (In $000)
$1,200,000 $1,133,889
$1,100,000 $1,041,059 $995,634 $1,000,000
$900,000
$800,000
$700,000 $637,924
$600,000 $540,410
$500,000
$400,000
2010 2011 2012 2013 2014
Diversifying Deposit Portfolio
Deposit Mix 2013
Deposit Mix 2014
Non-Int. DA Non-Int. DDA NOW NOW Money Mkt. Money Mkt. Savings Savings CDs CDs
Increased Core Deposits by 29%
Building ESSAs Asset Base (In $000)
$1,600,000 $1,574,815
$1,500,000
$1,418,786 $1,400,000 $1,372,315
$1,300,000
$1,200,000
$1,097,480 $1,100,000 $1,071,997
$1,000,000
$900,000
2010 2011 2012 2013 2014
Total Net Loans Expand (In $000)
$1,100,000
$1,058,267 $1,050,000
$1,000,000
$950,000 $950,355 $928,230
$900,000 $850,000
$800,000
$750,000 $738,619 $730,842
$700,000
$650,000
$600,000
2010 2011 2012 2013 2014
Commercial & Municipal Loans (In $000)
$270,000 $265,520
$250,000
$230,000
$206,746 $210,000 $203,039
$190,000 $170,000 $150,000
$130,000 $119,997
$110,000 $94,488 $90,000
$70,000
$50,000
2010 2011 2012 2013 2014
Loans: Increasing Diversification
Loan Mix 2013
Loan Mix 2014
Res. RE Res. RE CRE CRE Construction Construction Commercial Commercial Municipal Municipal Auto Auto Credit Lines Credit Lines Other Other
Growing Portfolio of Commercial,
Indirect Auto Loans Lends Balance
Value, Quality, Strength
NPAs/Total Assets Improvement
2%
1.92% 1.89%
1.59%
1.26%
1.20%
1%
2010 2011 2012 2013 2014
Deploying Capital, Maintaining Strength
34%
32.60% Tier 1 Risk-based Capital Leverage
31.35% 28.54% 29%
Utilizing capital for
27.30% acquisitive growth,
share repurchases
24%
19.71% 20.35%
19% 19.42%
16.98%
18.81%
15.07%
14.18%
16.08% 14%
11.08% 11.03%
10.04%
9%
2010 2011 2012 2013 2014
Total Shareholders Equity (In $000)
$180,000
$175,411 $175,000 $171,623
$170,000 $167,309 $166,446*
$165,000 $161,679
$160,000 $155,000 $150,000
2010
2011
2012
2013
2014
*Decrease in equity primarily due to stock
buyback of 1.2 million shares
Tangible Book Value/ Fiscal Year Stock Price (In $)
$14 Stock Price Tangible Book Value
$13.34
$13.20
$12.99
$13 $12.73
$12.35
$12 $11.84
First Star
$11.30
Acquisition
$11
$10.51 $10.42
$10.39 $10
$9
$8
2010 2011 2012 2013 2014
Steady ESSA Stock Performance
ESSA SNL Micro Cap
U.S. Bank & Thrift
SNL U.S. Bank $1B-$5B
20% 15% 10% 5% 0%
-5%
FY2015 1Q: A Strong Start
Net income of $2.6
million up 30% vs. 1Q 2014, reflecting positive run rate trend
Net Interest income up 16.4%, primarily
reflecting loan growth
Scranton branch relocated to larger, upgraded facility
ROAA rises to 0.66% from 0.59%
ROAE increases to 6.06% from 4.77%
Total
stockholders equity increases by $2 million
Share price 52-week high of $12.55 at 2-6-2015
Stock Price: Gaining Momentum
$12.50
$12.00
$11.50
$11.00
$10.50
$10.00
2/28/2014 5/31/2014 8/31/2014 11/30/2014
2/26/2015
Looking Ahead: FY2015
Drive revenue growth
through larger, diversified franchise
Leverage new commercial, municipal, indirect auto lending capabilities
across the ESSA network
Expand retail banking, wealth management services to Scranton, Wilkes-Barre markets
Assess strategic branch and whole-bank acquisition opportunities
Increased quarterly dividend from $0.07 to $0.09 per share
Deliver balanced value through operational growth, earnings, opportunistic stock repurchases, and dividends
ESSA Bancorp, Inc.
2015 Annual Meeting
ESSA Bancorp (NASDAQ:ESSA)
Historical Stock Chart
From Jun 2024 to Jul 2024
ESSA Bancorp (NASDAQ:ESSA)
Historical Stock Chart
From Jul 2023 to Jul 2024