Frederick County Bancorp, Inc., the parent company for Frederick County Bank (FCB), announced that for the second quarter ended June 30, 2015 net income was $355 thousand and diluted earnings per share of $0.23.
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This compares to net income of $377 thousand and diluted earnings per share of $0.25 recorded for the second quarter of 2014.
The company earned $835 thousand with diluted earnings per share of $0.54 for the six months ended on June 30, 2015, as compared to $902 thousand in earnings and diluted earnings per share of $0.59 for the same period in 2014.
The slight decrease in quarterly earnings was due primarily to an increase in total noninterest expense to $2.67 million in the second quarter of 2015 as compared to $2.4 million in the second quarter of 2014, which offset increases in both net interest income to $2.9 million in the second quarter of 2015 from $2.8 million in the second quarter of 2014 and in total noninterest income to $248 thousand in the second quarter of 2015 from $189 thousand in the second quarter of 2014.
The increase in total noninterest expense was due primarily to increases in salaries and employee benefits of $94 thousand, occupancy and equipment expenses of $70 thousand, and other operating expenses of $83 thousand.
The decrease in year-to-date earnings was due primarily to an increase in total noninterest expense to $5.3 million in the first half of 2015 as compared to $4.7 million in the first half of 2014, which offset increases in both net interest income to $5.7 million in the second quarter of 2015 from $5.6 million in the second quarter of 2014 and in total noninterest income to $776 thousand in the second quarter of 2015 from $411 thousand in the second quarter of 2014.
The increase in total noninterest expense was due primarily to increases in salaries and employee benefits of $340 thousand, occupancy and equipment expenses of $118 thousand, and other operating expenses of $159 thousand. The increase in total noninterest income was due primarily to securities gains of $69 thousand and gains on sale of loans of $243 thousand, both recorded in the first quarter of 2015.
The ratio of the allowance for loan losses to total loans stood at 1.16% and 1.32% as of June 30, 2015 and 2014, respectively. Total nonperforming assets stood at $4.4 million and $5.8 million at June 30, 2015 and 2014, respectively, and at $5.6 million at December 31, 2014.
The corresponding nonperforming assets to total assets ratios were 1.24% and 1.74% as of June 30, 2015 and 2014, respectively, and 1.63% at December 31, 2014.
The company also reported that, as of June 30, 2015, assets stood at $356.5 million, with total deposits of $302.9 million and gross loans of $267.8 million, representing increases of 3.9%, 6.3%, and 2.0%, respectively, compared to December 31, 2014. ■