HIGH COUNTRY BANCORP, INC. ANNOUNCES QUARTERLY EARNINGS AND DECLARES DIVIDEND
The Board of Directors ("the Board") of High Country Bancorp, Inc. (OTCQX: HCBC) ("the Company") has announced its quarterly earnings for the period ended March 31, 2022. For the third quarter of fiscal 2022, the Company's consolidated net income was $843,000 or $0.88 per share, compared to $1.2 million or $1.24 per share for the quarter ended March 31, 2021. For the nine-month fiscal year-to-date period ended March 31, 2022, consolidated net income was $3.5 million or $3.63 per share, compared to $3.9 million or $4.13 per share for the nine months ended March 31, 2021.
The Company's net interest income increased by $380,000 or 10.0% during the quarter ended March 31, 2022 compared to the prior year period primarily due to growth in loans and reduction to borrowing costs, partially offset by the impact of a decline in yield on loans. Noninterest income declined by $600,000 or 43.7% during the quarter ended March 31, 2022 compared to the prior year period primarily due to declines in income on loans sold and other noninterest income. Lower market interest rates are generally more conducive to residential mortgage loan refinance and purchase activity, and the level of residential mortgage loans originated and sold by the Company has been adversely impacted by increases in market interest rates. Noninterest expense increased by $232,000 or 6.4% during the quarter ended March 31, 2022 compared to the prior year period primarily due to increases in occupancy, equipment and data processing expense and professional fees. The Company's provision for income taxes declined to $268,000, or an effective tax rate of approximately 24.1%, during the quarter ended March 31, 2022 from $374,000, or an effective rate of approximately 23.9% during the prior year period.
For the nine months ended March 31, 2022, the Company's net interest income increased by $1.3 million or 10.9% compared to the prior year period primarily due to growth in loans and reduction to borrowing costs, partially offset by the impact of a decline in yield on loans. Noninterest income declined by $1.7 million or 38.2% during the nine months ended March 31, 2022 compared to the prior year period primarily due to declines in income on loans sold and other noninterest income. Similar to as stated above, the level of residential mortgage loans originated and sold by the Company has been adversely impacted by increases in market interest rates. Noninterest expense increased by $812,000 or 7.7% during the nine months ended March 31, 2022 compared to the prior year period due to increases in compensation and benefits expense, occupancy, equipment and data processing expense and insurance and professional fees expense, partially offset by a decline in other noninterest expenses. The Company's provision for income taxes declined to $1.1 million, or an effective tax rate of approximately 24.2%, during the nine months ended March 31, 2022 from $1.3 million, or an effective rate of approximately 25.0%, compared to the prior year period.
Factors including, but not limited to, loan growth, credit quality and others are used to determine the level of the allowance for loan losses. No provision for loan loss was recorded during the quarters ended March 31, 2022 and 2021, respectively. No provision was recorded during the nine months ended March 31, 2022, while a provision of $550,000 was recorded during the prior nine-month periods ended March 31, 2021. Management evaluates credit risk on an ongoing basis to determine an appropriate level for the allowance for loan losses.
Total consolidated assets have increased by $48.2 million or 11.93% from $404.3 million at June 30, 2021 to $452.5 million at March 31, 2022. Net loans held for investment have increased by $16.5 million, or 5.8%, during the first nine months of fiscal 2022. Total consolidated deposits increased by $48.2 million or 13.3% from $361.0 million at June 30, 2021 to $409.2 million at March 31, 2022.
On April 21, 2022, the Board declared a cash dividend in the amount of $0.50 per share to the shareholders of record at the close of business on May 6, 2022, payable on or about May 20, 2022. The Board determined that the payment of a cash dividend was appropriate after consideration of the Company's financial condition and the strength of its core earnings.
High Country Bancorp, Inc. is the holding company for High Country Bank, which conducts business through its main office in Salida, Colorado and branch offices in Salida, Buena Vista, Canon City and Longmont, Colorado. At March 31, 2022, the Company had 1,032,477 shares of common stock issued and outstanding.
This report contains certain forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties including changes in economic conditions in the Company's market area, changes in policies by regulatory agencies, fluctuations in interest rates, loan demand in the Company's market area and competition that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which reflect management's analysis only as the date made. The Company does not undertake any obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date of such statements.
High Country Bancorp, Inc.
Consolidated Statement of Condition
(Unaudited )
(Rounded to thousands, except share data )
June 30, | ||
2021 | ||
Assets | ||
Cash and due from banks | 4,867,000 | |
Interest-earning demand deposits in banks | 84,688,000 | 58,592,000 |
Cash and Equivalents | 91,109,000 | 63,459,000 |
Interest-earning time deposits | 1,244,000 | 1,493,000 |
Securities carried at fair value | 41,472,000 | 36,821,000 |
Held-to-maturity securities | 11,000 | 19,000 |
Loans held for sale | 1,152,000 | 2,344,000 |
Loans held for investment, net of allowance for loan losses | 299,747,000 | 283,258,000 |
Investment in nonmarketable equity securities | 807,000 | 897,000 |
Accrued interest receivable | 1,130,000 | 1,280,000 |
Office and equipment, net | 7,442,000 | 7,904,000 |
Deferred income taxes | 899,000 | 253,000 |
Bank Owned Life Insurance | 5,865,000 | 5,770,000 |
Prepaid expenses and other assets | 1,602,000 | 766,000 |
Total Assets | 452,480,000 | 404,264,000 |
Liabilities and Stockholders' Equity | ||
Liabilities | ||
Deposits | ||
Non-interest-bearing demand deposits | 138,853,000 | 125,553,000 |
Savings, interest-bearing demand and money market | 234,814,000 | 200,877,000 |
Time | 35,541,000 | 34,587,000 |
Total deposits | 409,208,000 | 361,017,000 |
Escrow accounts | 255,000 | 203,000 |
Accrued interest payable | 1,000 | 1,000 |
Accrued income taxes and other liabilities | 4,764,000 | 5,587,000 |
Total Liabilities | 414,228,000 | 366,808,000 |
Stockholders' Equity | ||
Common stock, par | 10,000 | 10,000 |
Paid-in capital | 11,201,000 | 11,007,000 |
Company common stock held in subsidiary trust | (1,251,000) | (1,251,000) |
Accumulated other comprehensive income (loss) | (1,162,000) | 271,000 |
Retained earnings | 29,454,000 | 27,419,000 |
Total Stockholders' Equity | 38,252,000 | 37,456,000 |
Total Liabilities and Stockholders' Equity | 452,480,000 | 404,264,000 |
6,421,000
March 31, 2022
High Country Bancorp, Inc.
Consolidated Statement of Operations
Three and Nine Months Ending March 31, 2022 and 2021
(Unaudited )
(Rounded to thousands, except share data )
Three Months Ending March 31,2022
Interest Income
Interest and fees on loans Investment securities Interest-earning time deposits Interest-earning demand deposit accounts
Total Interest Income
Interest Expense
Deposits
FHLBank term advances Other borrrowings
Total Interest Expense
Net Interest Income Before Provision for Losses on Interest-Earning Assets
Net Provision for Losses on Interest-
Earning Assets
$
4,104,000
134,000
8,000
31,000
4,277,000
104,000 - - 104,000
4,173,000
-
2021
$
3,876,000
120,000
10,000
13,000
4,019,000
Nine Months Ending March 31,2022
2021
$
12,930,000
392,000 371,000
25,000 30,000
88,000 29,000
13,435,000
$
11,995,000
12,425,000
98,000
309,000 293,000
128,000 - 295,000
- 226,000
3,793,000
-- 309,000
13,126,000
-- 588,000
11,837,000
550,000
Net Interest Income After Provision for Losses on Interest-Earning Assets
Noninterest Income
Service Charges on Deposit Accounts Income on Loans Sold
Debit Card Surcharge Income Other Noninterest Income
Total Noninterest Income
Noninterest Expense
Personnel Compensation and Benefits Occupancy, Equipment & DP Expense Insurance and Professional Fees
Other Noninterest Expenses
Total Noninterest Expense
Net Income Before Provision for Income Taxes
4,173,000
37,000
377,000
205,000
155,000
774,000
2,487,000
766,000
207,000
376,000
3,836,000 1,111,000
3,793,000
34,000
926,000
180,000
234,000
1,374,000
2,467,000
643,000
121,000
373,000
3,604,000
1,563,000
13,126,000
11,287,000
109,000 1,485,000
98,000 3,113,000
645,000 562,000
534,000 713,000
2,773,000
4,486,000
7,536,000 7,174,000
2,186,000 1,779,000
569,000 1,031,000 11,322,000
4,577,000
369,000 1,188,000 10,510,000
5,263,000
Net Provision for Income Taxes
Net Income After Provision for Income Taxes
268,000 843,000
374,000
1,189,000
1,109,000 3,468,000
1,319,000 3,944,000
Basic Earnings per Share
$
0.88
$
1.24
$
3.63 $ 4.13
Fully Diluted Earnings per Share
Weighted Average Common Shares Outstanding
Basic
$
0.82
$
1.15
$
3.36 $ 3.80
Diluted
958,347 1,032,477
956,743 1,036,037
955,397 1,033,379
954,673 1,037,369
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Disclaimer
High Country Bancorp Inc. published this content on 25 April 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 April 2022 23:59:11 UTC.