NASHVILLE, Tenn., Aug. 12, 2019 /PRNewswire/ -- InsCorp (OTCQX: IBTN), parent company of INSBANK, reported 2nd quarter profits of $968,000, or $0.33 Per share. Year-to-date net income for the Nashville based full service bank is $1,871,000, versus $1,939,000 the prior year. Year-to-date earnings per share are $0.64 versus $0.67 the prior year, the slight decrease being driven by the cost of interest on a recent debt issue. Exclusive of the interest expense, the holding company's pre-tax operating income grew 7.7%.
"To support our historical growth trajectory, on 12/31/18 we issued $15 million in subordinated notes," said Jim Rieniets, President & CEO of INSBANK. "Doing so stepped up our financing costs in the short-term, but it augments our common equity and we expect to benefit from the additional growth it affords the bank over the next couple years."
Total assets were $536 million as of June 30, 2019, and included loans totaling $438 million, which had increased 10 percent over the past 12 months. Over the same period, deposit growth has remained steady, increasing 11 percent from $385 million to $427 million, as the bank continues a focus on growing commercial account relationships and related treasury management services.
"This year we've seen loan payoffs from local borrowers taking profits on real estate and business holdings, as well as out-of-market competitors offering loan terms that don't meet our standards. Both of these conditions are a function of Nashville's robust economic expansion," Rieniets continued. "We plan to stay focused on executing our model, and we're excited about the growth prospects of two niche lending products we're about to deploy, as well as recent key additions to our staff in both production and operations."
Measures of asset quality remain healthy as the bank has no foreclosed real estate in its portfolio, and nonperforming loans of 0.29% remained well below the bank's peer group average of 0.66%.
InsCorp's board of directors approved a $0.10 per share cash dividend which was paid during 2nd quarter to common shareholders of record. InsCorp shares trade on the OTC-QX market under the symbol "IBTN."
Since 2000, INSBANK has offered its clients highly personal services provided by experienced relationship managers, and has utilized technologies to deliver those services efficiently and conveniently. TMA Medical Banking is a division of INSBANK which provides banking services to members of the Tennessee Medical Association. INSBANK is owned by InsCorp, Inc., a Tennessee bank holding company. The bank has offices in Nashville at 2106 Crestmoor Road, and in Brentwood at 5614 Franklin Pike Circle. For more information, please visit www.insbanktn.com.
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Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: revenues may be lower than expected; the adequacy of our cash flow and earnings and other conditions which may affect our ability to pay our semi-annual dividend at the planned level; restrictions or conditions imposed by our regulators on us; examinations by our regulatory authorities, including the possibility that the regulatory authorities may, among other things, require us to increase our allowance for loan losses or write down assets; strategic actions, including acquisitions and dispositions and our success in integrating acquired businesses; changes in customer demand; increases in competitive pressure in the banking and financial services industries; the occurrence of hostilities, political instability or catastrophic events; changes in political conditions or the legislative or regulatory environment, including governmental initiatives affecting the financial services industry; increased cybersecurity risk, including potential business disruptions or financial losses; and disruptions to our technology network including computer systems and software, as well as natural events such as severe weather, fires, floods and earthquakes or man-made or other disruptions of our operating systems, structures or equipment.
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