JASPER, Ind., July 26, 2010 (GLOBE NEWSWIRE) -- Summary
German American Bancorp (Nasdaq:GABC) reported today that it achieved a record level of 2010 earnings for the second quarter and year-to-date through June 30th. The Company's second quarter net income totaled $3,408,000, or $0.31 per share, representing the highest level of quarterly earnings in the Company's history. This record earnings performance was an increase of approximately 23%, from the $2,764,000, or $0.25 per share, recorded during the same quarter last year. On a year-to-date basis, 2010 earnings were also a record, increasing to $6,659,000, or $0.60 per share, as compared to $5,706,000, or $0.52 per share for the first six months of 2009. The improvement in year-to-date earnings represented an increase of approximately 17%.
The record quarterly earnings performance was primarily reflective of an improvement in the level of the Company's core operating results, and, to a lesser extent, the previously reported purchase of two branch bank locations in the Evansville (Indiana) banking market in May of this year. As compared to the same quarter in 2009, current quarter net income was enhanced by an increase in the Company's net interest income of approximately $800,000. This improvement in net interest income was directly attributable to over $100 million or 9% growth in the Company's average earning assets, as compared to the second quarter of the prior year, with over three-fourths of the growth in average earning assets coming from the Company's existing banking markets and approximately one-fourth of the growth related to the branch purchase.Mark A. Schroeder, Chairman & CEO of German American, commenting on the second quarter and year-to-date record results stated, "We are very pleased that our trend, over the course of the past several years, of strong earnings, solid loan quality, and the maintenance of a well-capitalized regulatory capital position has culminated in the achievement of this highest level of first half and second quarter earnings performance ever experienced in the history of our Company. Further, our second quarter net income for the current year increased by approximately 5% over the first quarter results. As I have previously stated, our exceptional performance throughout the recent economic downturn is a testament to our staff, our clients, and the economic viability of our Southern Indiana market area."