WARRENTON, Va., July 19, 2019 /PRNewswire/ -- Fauquier
Bankshares, Inc. (the Company) (NASDAQ: FBSS), parent company of
The Fauquier Bank, reported net income of $1.6 million, or $0.41 per diluted share for the quarter ended
June 30, 2019, compared with $1.6
million, or $0.43 per diluted
share for the prior quarter and $1.7
million, or $0.44 per diluted
share for the second quarter of 2018.
For the quarter ended June 30, 2019, the Company's return
on average equity (ROE) and return on average assets (ROA) were
9.94% and 0.89%, respectively, compared with 10.83% and 0.96% for
the prior quarter, respectively, and 11.66% and 1.02%, for the
second quarter of 2018, respectively.
Marc Bogan, President and CEO
said, "Financial results for the second quarter were solid;
however, slightly below the linked quarter and previous year second
quarter. Excluding one-time events, second quarter earnings
were in line with prior periods. While loan growth for the
quarter was flat, we are encouraged by the increase in deposits,
particularly lower cost demand deposits. Lower loan demand
and competition for funding and loans is contributing to added
pressure on the net interest margin. Asset quality continues
to be strong. The efficiency ratio has improved as our focus on
expense management has resulted in the reduction of noninterest
expenses. Overall, we are pleased with the results of the
quarter, and believe we are positioned well for the second half of
the year."
Total assets were $717.5 million
on June 30, 2019 compared with $700.5 million for the prior quarter and
$651.5 million on
June 30, 2018. Net loans were $538.6 million on June 30, 2019 compared
with $539.7 million for the prior
quarter and $505.6 million on
June 30, 2018. Total deposits were $607.3 million on June 30, 2019 compared
with $592.4 million for the prior
quarter and $565.8 million on
June 30, 2018. Lower cost transaction deposits
(demand and interest checking accounts) were $351.9 million on June 30, 2019 compared
with $346.7 million for the prior
quarter and $345.1 million on
June 30, 2018.
Net interest margin was 3.73% for the second quarter of
2019 compared with 3.89% for the prior quarter, and
3.88% for the second quarter of 2018. Net interest
income was $6.1 million for the
second quarter of 2019, relatively unchanged when compared with the
prior quarter and $5.9 million for
the second quarter of 2018.
The Company's allowance for loan loss methodology determines the
level of loan provision at the end of each quarter. Based on
loan portfolio growth, net charge-off history, asset quality
indicators, impaired loans and other qualitative factors, the
allowance for loan losses was $5.4
million or 0.99% of total loans on June 30, 2019
compared with $5.3 million or 0.97%
of total loans for the prior quarter and $5.0 million or 0.98% of total loans on
June 30, 2018.
Nonperforming assets were $7.1
million on June 30, 2019, compared with $7.8 million for the prior quarter and
$9.1 million on
June 30, 2018. Included in nonperforming assets for
the quarter were $5.7 million of
nonperforming loans and $1.4 million
of other real estate owned. Net loan charge-offs were
$77,000 for the second quarter of
2019 compared with net loan recoveries of $55,000 for the prior quarter and net loan
charge-offs of $434,000 for the
second quarter of 2018.
Noninterest income was $1.4
million in the second quarter of 2019, compared with
$1.5 million for the prior quarter
and $1.6 million for the second
quarter of 2018.
Noninterest expense for the second quarter of 2019 was
$5.5 million compared with
$5.7 million for the prior quarter
and $5.6 million for the second
quarter of 2018.
Shareholders' equity was $64.1
million on June 30, 2019 compared with $62.1 million for the prior quarter and
$57.7 million on
June 30, 2018. Book value per common share was
$16.94 on June 30, 2019 compared
with $16.41 for the prior quarter and
$15.29 on
June 30, 2018.
Fauquier Bankshares, through its operating subsidiary, The
Fauquier Bank, is an independent community bank offering a full
range of financial services, including internet banking, mobile
banking with mobile deposit, commercial, retail, insurance, wealth
management, and financial planning services through eleven banking
offices throughout Fauquier and
Prince William counties in
Virginia. Additional information
is available at www.tfb.bank or by calling Investor Relations
at (800) 638-3798.
This press release may contain "forward-looking statements"
as defined by federal securities laws. These statements address
issues that involve risks, uncertainties, estimates and assumptions
made by management, and actual results could differ materially from
the results contemplated by these forward-looking statements.
Factors that could have a material adverse effect on our operations
and future prospects include, but are not limited to, changes in:
interest rates and the shape of the interest rate yield curve,
general economic conditions, legislative/regulatory policies,
monetary and fiscal policies of the U.S. Government, including
policies of the U.S. Treasury, the FDIC and the Board of Governors
of the Federal Reserve System, the quality or composition of the
loan and/or investment portfolios, demand for loan products,
deposit flows, competition, demand for financial services in our
market area, our plans to expand our branch network and increase
our market share, and accounting principles, policies and
guidelines. Readers should consider these risks and uncertainties
in evaluating our forward-looking statements and should not place
undue reliance on such statements. We undertake no obligation to
update these statements following the date of this news
release.
|
FAUQUIER
BANKSHARES, INC.
|
|
Selected Financial
Data By Quarter
|
|
|
|
At or For the
Quarter Ended,
|
|
|
(Dollars in thousands, except per share data)
|
|
June 30,
2019
|
|
|
March 31,
2019
|
|
|
December
31,
2018
|
|
|
September 30,
2018
|
|
|
June 30,
2018
|
|
|
EARNINGS STATEMENT DATA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
$
|
7,279
|
|
|
$
|
7,179
|
|
|
$
|
7,094
|
|
|
$
|
6,694
|
|
|
$
|
6,540
|
|
|
Interest
expense
|
|
|
1,195
|
|
|
|
1,046
|
|
|
|
1,042
|
|
|
|
853
|
|
|
|
686
|
|
|
Net interest
income
|
|
|
6,084
|
|
|
|
6,133
|
|
|
|
6,052
|
|
|
|
5,841
|
|
|
|
5,854
|
|
|
Provision for loan
losses
|
|
|
205
|
|
|
|
50
|
|
|
|
-
|
|
|
|
195
|
|
|
|
12
|
|
|
Net interest income
after provision for loan losses
|
|
|
5,879
|
|
|
|
6,083
|
|
|
|
6,052
|
|
|
|
5,646
|
|
|
|
5,842
|
|
|
Noninterest
income
|
|
|
1,400
|
|
|
|
1,480
|
|
|
|
1,263
|
|
|
|
1,324
|
|
|
|
1,624
|
|
|
Noninterest
expense
|
|
|
5,509
|
|
|
|
5,718
|
|
|
|
5,612
|
|
|
|
5,484
|
|
|
|
5,574
|
|
|
Income before income
taxes
|
|
|
1,770
|
|
|
|
1,845
|
|
|
|
1,703
|
|
|
|
1,486
|
|
|
|
1,892
|
|
|
Income
taxes
|
|
|
206
|
|
|
|
213
|
|
|
|
130
|
|
|
|
169
|
|
|
|
233
|
|
|
Net income
|
|
$
|
1,564
|
|
|
$
|
1,632
|
|
|
$
|
1,573
|
|
|
$
|
1,317
|
|
|
$
|
1,659
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PER SHARE
DATA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share,
basic
|
|
$
|
0.41
|
|
|
$
|
0.43
|
|
|
$
|
0.42
|
|
|
$
|
0.35
|
|
|
$
|
0.44
|
|
|
Net income per share,
diluted
|
|
$
|
0.41
|
|
|
$
|
0.43
|
|
|
$
|
0.42
|
|
|
$
|
0.35
|
|
|
$
|
0.44
|
|
|
Cash
dividends
|
|
$
|
0.12
|
|
|
$
|
0.12
|
|
|
$
|
0.12
|
|
|
$
|
0.12
|
|
|
$
|
0.12
|
|
|
Weighted average
shares outstanding, basic
|
|
|
3,784,934
|
|
|
|
3,778,895
|
|
|
|
3,773,836
|
|
|
|
3,773,836
|
|
|
|
3,773,739
|
|
|
Weighted average
shares outstanding, diluted
|
|
|
3,793,966
|
|
|
|
3,788,910
|
|
|
|
3,779,289
|
|
|
|
3,780,547
|
|
|
|
3,784,572
|
|
|
Book value
|
|
$
|
16.94
|
|
|
$
|
16.41
|
|
|
$
|
15.90
|
|
|
$
|
15.44
|
|
|
$
|
15.29
|
|
|
BALANCE SHEET
DATA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
717,528
|
|
|
$
|
700,502
|
|
|
$
|
730,805
|
|
|
$
|
669,977
|
|
|
$
|
651,529
|
|
|
Loans, net
|
|
$
|
538,593
|
|
|
$
|
539,672
|
|
|
$
|
544,188
|
|
|
$
|
527,802
|
|
|
$
|
505,623
|
|
|
Securities, including
restricted investments
|
|
$
|
74,310
|
|
|
$
|
72,344
|
|
|
$
|
74,124
|
|
|
$
|
75,124
|
|
|
$
|
75,018
|
|
|
Deposits
|
|
$
|
607,256
|
|
|
$
|
592,358
|
|
|
$
|
635,638
|
|
|
$
|
566,231
|
|
|
$
|
565,835
|
|
|
Transaction
accounts
(demand &
interest checking accounts)
|
|
$
|
351,891
|
|
|
$
|
346,687
|
|
|
$
|
392,583
|
|
|
$
|
345,862
|
|
|
$
|
345,063
|
|
|
Shareholders'
equity
|
|
$
|
64,106
|
|
|
$
|
62,133
|
|
|
$
|
60,007
|
|
|
$
|
58,277
|
|
|
$
|
57,698
|
|
|
PERFORMANCE
RATIOS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest margin
(1)
|
|
|
3.73
|
%
|
|
|
3.89
|
%
|
|
|
3.79
|
%
|
|
|
3.81
|
%
|
|
|
3.88
|
%
|
|
Return on average
assets
|
|
|
0.89
|
%
|
|
|
0.96
|
%
|
|
|
0.92
|
%
|
|
|
0.79
|
%
|
|
|
1.02
|
%
|
|
Return on average
equity
|
|
|
9.94
|
%
|
|
|
10.83
|
%
|
|
|
10.58
|
%
|
|
|
8.96
|
%
|
|
|
11.66
|
%
|
|
Efficiency ratio
(2)
|
|
|
73.16
|
%
|
|
|
75.41
|
%
|
|
|
76.29
|
%
|
|
|
76.02
|
%
|
|
|
77.16
|
%
|
|
Yield on earning
assets
|
|
|
4.46
|
%
|
|
|
4.55
|
%
|
|
|
4.44
|
%
|
|
|
4.37
|
%
|
|
|
4.33
|
%
|
|
Cost of
funds
|
|
|
0.76
|
%
|
|
|
0.69
|
%
|
|
|
0.67
|
%
|
|
|
0.71
|
%
|
|
|
0.58
|
%
|
|
|
|
(1)
|
Net interest margin
is calculated as fully taxable equivalent net interest income
divided by average earning assets and represents the Company's net
yield on its earning assets.
|
|
(2)
|
Efficiency ratio is
computed by dividing noninterest expense by the sum of fully
taxable equivalent net interest income and noninterest income, net
of securities gains or losses.
|
|
FAUQUIER
BANKSHARES, INC.
|
|
Selected Financial
Data By Quarter
|
|
|
|
At or For the
Quarter Ended,
|
|
|
(Dollars in thousands, except for
ratios)
|
|
June
30,
2019
|
|
|
March
31,
2019
|
|
|
December
31,
2018
|
|
|
September
30,
2018
|
|
|
June
30,
2018
|
|
|
ASSET QUALITY
RATIOS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual
loans
|
|
$
|
2,278
|
|
|
$
|
1,969
|
|
|
$
|
1,993
|
|
|
$
|
2,381
|
|
|
$
|
2,661
|
|
|
Restructured loans
still accruing
|
|
|
2,979
|
|
|
|
3,319
|
|
|
|
3,361
|
|
|
|
3,402
|
|
|
|
3,442
|
|
|
Loans 90+ days past
due and accruing
|
|
|
484
|
|
|
|
1,163
|
|
|
|
1,227
|
|
|
|
1,841
|
|
|
|
1,665
|
|
|
Total nonperforming
loans
|
|
|
5,741
|
|
|
|
6,451
|
|
|
|
6,581
|
|
|
|
7,624
|
|
|
|
7,768
|
|
|
Other real estate
owned, net
|
|
|
1,356
|
|
|
|
1,356
|
|
|
|
1,356
|
|
|
|
1,356
|
|
|
|
1,356
|
|
|
Total nonperforming
assets
|
|
$
|
7,097
|
|
|
$
|
7,807
|
|
|
$
|
7,937
|
|
|
$
|
8,980
|
|
|
$
|
9,124
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses
|
|
$
|
5,409
|
|
|
$
|
5,281
|
|
|
$
|
5,176
|
|
|
$
|
5,214
|
|
|
$
|
4,978
|
|
|
Allowance for loan
losses to total loans
|
|
|
0.99
|
%
|
|
|
0.97
|
%
|
|
|
0.94
|
%
|
|
|
0.98
|
%
|
|
|
0.98
|
%
|
|
Nonaccrual loans to
total loans
|
|
|
0.42
|
%
|
|
|
0.36
|
%
|
|
|
0.36
|
%
|
|
|
0.45
|
%
|
|
|
0.52
|
%
|
|
Allowance for loan
losses to nonperforming loans
|
|
|
94.22
|
%
|
|
|
81.86
|
%
|
|
|
78.65
|
%
|
|
|
68.39
|
%
|
|
|
64.08
|
%
|
|
Nonperforming loans
to total loans
|
|
|
1.06
|
%
|
|
|
1.18
|
%
|
|
|
1.20
|
%
|
|
|
1.43
|
%
|
|
|
1.52
|
%
|
|
Nonperforming assets
to total assets
|
|
|
0.99
|
%
|
|
|
1.11
|
%
|
|
|
1.09
|
%
|
|
|
1.34
|
%
|
|
|
1.40
|
%
|
|
Net loan charge-offs
(recoveries)
|
|
$
|
77
|
|
|
$
|
(55)
|
|
|
$
|
38
|
|
|
$
|
(41)
|
|
|
$
|
434
|
|
|
Net loan charge-offs
(recoveries) to average loans
|
|
|
0.01
|
%
|
|
|
(0.01)
|
%
|
|
|
0.01
|
%
|
|
|
(0.01)
|
%
|
|
|
0.09
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FAUQUIER
BANKSHARES, INC.
|
|
Selected Financial
Data
|
|
|
(Dollars in thousands, except per share data)
|
|
For the Six Months
Ended
|
|
|
|
June 30, 2019
|
|
|
June 30, 2018
|
|
|
EARNINGS STATEMENT
DATA:
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
$
|
14,459
|
|
|
$
|
12,910
|
|
|
Interest
expense
|
|
|
2,243
|
|
|
|
1,338
|
|
|
Net interest
income
|
|
|
12,216
|
|
|
|
11,572
|
|
|
Provision for loan
losses
|
|
|
255
|
|
|
|
312
|
|
|
Net interest income
after provision for loan losses
|
|
|
11,961
|
|
|
|
11,260
|
|
|
Noninterest
income
|
|
|
2,878
|
|
|
|
3,487
|
|
|
Noninterest
expense
|
|
|
11,224
|
|
|
|
11,055
|
|
|
Income before income
taxes
|
|
|
3,615
|
|
|
|
3,692
|
|
|
Income
taxes
|
|
|
419
|
|
|
|
447
|
|
|
Net income
|
|
$
|
3,196
|
|
|
$
|
3,245
|
|
|
|
|
|
|
|
|
|
|
|
PER SHARE
DATA:
|
|
|
|
|
|
|
|
|
|
Net income per share,
basic
|
|
$
|
0.84
|
|
|
$
|
0.86
|
|
|
Net income per share,
diluted
|
|
$
|
0.84
|
|
|
$
|
0.86
|
|
|
Cash
dividends
|
|
$
|
0.24
|
|
|
$
|
0.24
|
|
|
Weighted average
shares outstanding, basic
|
|
|
3,781,931
|
|
|
|
3,770,983
|
|
|
Weighted average
shares outstanding, diluted
|
|
|
3,791,455
|
|
|
|
3,780,858
|
|
|
|
|
|
|
|
|
|
|
|
PERFORMANCE
RATIOS:
|
|
|
|
|
|
|
|
|
|
Net interest margin
(1)
|
|
|
3.81
|
%
|
|
|
3.81
|
%
|
|
Return on average
assets
|
|
|
0.92
|
%
|
|
|
0.99
|
%
|
|
Return on average
equity
|
|
|
10.38
|
%
|
|
|
11.55
|
%
|
|
Efficiency ratio
(2)
|
|
|
74.29
|
%
|
|
|
77.20
|
%
|
|
|
|
|
|
|
|
|
|
|
Net loan
charge-offs
|
|
$
|
22
|
|
|
$
|
427
|
|
|
Net loan charge-offs
to average loans
|
|
|
0.004
|
%
|
|
|
0.08
|
%
|
|
|
|
(1)
|
Net interest margin
is calculated as fully taxable equivalent net interest income
divided by average earning assets and represents the Company's net
yield on its earning assets.
|
|
(2)
|
Efficiency ratio is
computed by dividing noninterest expense by the sum of fully
taxable equivalent net interest income and noninterest income, net
of securities gains or losses.
|
View original
content:http://www.prnewswire.com/news-releases/fauquier-bankshares-inc-announces-second-quarter-2019-results-300888177.html
SOURCE Fauquier Bankshares, Inc.