 |
|
|  |  
Eastern Virginia Bankshares
217 Duke Street
Tappahannock, VA 22560
|
Contact: Ron Blevins
Sr.Vice President & Chief Financial Officer
Voice: 804/443-8423
Fax: 804/445-1047
|
October 21, 2002
For Immediate Release
Eastern Virginia Bankshares Announces Record Earnings, Declares Dividend
Tappahannock, VA - Eastern Virginia Bankshares (NASDAQ:EVBS) today reported record third quarter and year to date net income.
EVBS reported third quarter net income of $1.6 million, or $0.33 per share, and $5.03 million or $1.03 per share for the nine months ended September 30, 2002. For the quarter ended September 30, 2002, net income increased $322 thousand or 25.2% from third quarter 2001 net income of $1.28 million. Earnings per share increased $0.07 per share from $0.26 per share in the same quarter of 2001. Net income increased 33.2% and earnings per share increased 33.8% for the nine months ended September 30,2002, compared to the same period in 2001. The primary factor in the quarter and year to date earnings increase has been a significant increase in net interest income fueled by record loan growth and improved margins. President and CEO Joe Shearin stated "The Company continues to achieve double digit increases in asset growth and net earnings, while it absorbs increased noninterest expense related to major infrastructure investments. Operating in three distinct markets gives us a unique opportunity to achieve improved earnings and growth, all within our mission as community bankers".
The Company's return on average equity (ROE) and return on average assets (ROA) were 12.47% and 1.24%, respectively, for the quarter ended September 30, 2002, compared to 10.86% and 1.16%, respectively for the third quarter of 2001. Annualized ROE and ROA were 13.69% and 1.37%, respectively for the nine months ended September 30, 2002, compared to 10.95% and 1.19% for the same period in 2001. As of September 30, 2002, the Company's total assets were $526.9 million, a 17.2% increase from the $449.8 million reported one year ago.
President and CEO Joe Shearin is also pleased to announce that the Board of Directors declared a regular quarterly dividend of $0.14 per share, payable November 8, 2002, to shareholders of record on October 28, 2002.
Eastern Virginia Bankshares, the parent company for Bank of Northumberland, Hanover Bank and Southside Bank, operates 16 retail branches in the counties of Caroline, Essex, Gloucester, Hanover, King William, Lancaster, Middlesex, and Northumberland.
This press release may contain "forward-looking statements" within the meaning of federal securities laws. Although EVB believes that its expectations concerning certain forward-looking statements are based upon reasonable assumptions within the bounds of its knowledge of its business and operations, there can be no assurance that actual results and performance achievements of the Company will not differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements.
Selected Financial Information (dollars in thousands, except per share data)
|
9/30/2002 |
9/30/2001 |
| Interest income |
$8,734 |
$8,278 |
| Interest expense |
3,079 |
3,860 |
| Net interest income |
5,655 |
4,418 |
| Provision for loan losses |
380 |
587 |
| Noninterest income |
765 |
641 |
| Noninterest expense |
3,732 |
2,708 |
| Income tax expense |
708 |
486 |
| Net income |
$1,600 |
$1,278 |
Earnings per share, basic and
assuming dilution |
$0.33 |
$0.26 |
| Return on average assets |
1.24% |
1.16% |
| Return on average equity |
12.47% |
10.86% |
| Net interest margin |
4.76% |
4.36% |
| |
|
9/30/2002 |
9/30/2001 |
| Interest income |
$ 25,705 |
$ 24,572 |
| Interest expense |
9,230 |
11,739 |
| Net interest income |
16,475 |
12,833 |
| Provision for loan losses |
1,165 |
1,119 |
| Noninterest income |
2,291 |
1,916 |
| Noninterest expense |
10,580 |
8,465 |
| Income tax expense |
1,992 |
1,389 |
| Net income |
$ 5,029 |
$ 3,776 |
Earnings per share, basic and
assuming dilution |
$ 1.03 |
$ 0.77 |
| Return on average assets |
1.37% |
1.19% |
| Return on average equity |
13.69% |
10.95% |
| Net interest margin |
4.84% |
4.39% |
| |
| Loans, net of unearned interest |
$ 393,329 |
$ 328,096 |
| Total assets |
526,882 |
449,823 |
| Deposits |
454,749 |
391,746 |
| Other borrowings |
15,000 |
6,000 |
| Shareholders' equity |
51,670 |
47,703 |
| Book value per share |
10.61 |
9.74 |
| |
| Allowance for loan losses |
5,859 |
5,004 |
| Nonperforming assets |
3,807 |
5,077 |
| Loan loss reserve % of total loans |
1.49% |
1.52% |
Nonperforming assets % of total
loans and other real estate |
0.97% |
1.55% |
|
|  |
