This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

DNB Financial Corporation Announces 2010 Fourth Quarter And Full Year Earnings

During the three and twelve months ended December 31, 2010, net interest income rose to $4.9 million and $19.0 million respectively, compared to $4.1 million and $15.3 million for the same periods of 2009. The increase for both periods was due to higher levels of loan balances combined with a reduction in interest expense. Outstanding loans at December 31, 2010 increased 10.22%, or $36.7 million over December 31, 2009. The reduction in interest expense was due to lower rates on interest-bearing deposits and the paydown of $28.0 million of FHLB borrowings in the year. The net interest margin for the three-month period ended December 31, 2010 was 3.31%, a 60 basis point improvement over the same period of 2009.  The net interest margin for the twelve months ended December 31, 2010 was 3.20%, a 49 basis point increase over 2009.

Non-interest income for the three and twelve month periods ended December 31, 2010 improved to $1.5 million and $5.4 million respectively, compared to $1.3 million and $4.5 million for the same periods of 2009. Included in non-interest income were gains on the sale of securities of $633,000 and $540,000 for the respective quarterly periods of 2010 and 2009 and $2.0 million and $1.4 million for the respective twelve month periods. DNB employs a defensive and conservative approach to balance sheet management as a hedge against rising interest rates, by investing in securities with short durations, strong cash flows, and low price volatility. This approach allows us to grow loans and at the same time use gains in the investment portfolio to offset lower yields and non-recurring costs. Absent the gains on the sale of securities, non-interest income was $886,000 compared to $766,000 and $3.4 million compared to $3.1 million for the respective quarterly and twelve month periods.

 Non-interest expense for the three months ended December 31, 2010 declined approximately $120,000 or 2.86%, compared to the fourth quarter of 2009. A decline in salaries and employee benefits due to staff reductions accounted for most of the variance. For the year, non-interest expenses increased 1.88% or $313,000 over 2009, but included pre-payment penalties amounting to approximately $560,000 for the pre-payment of $18.0 million of high cost FHLB borrowings in the first quarter. Absent these penalties, non-interest expenses declined approximately $247,000 or 1.49% compared to 2009.

2 of 5

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs