Evans Bancorp, Inc. (the “Company” or “Evans”) (NYSE Amex: EVBN), a community financial services company serving Western New York since 1920, today reported its results of operations for the first quarter ended March 31, 2011.
HIGHLIGHTS OF THE 2011 FIRST QUARTER
- Net income increased to $1.9 million in the 2011 first quarter from $1.4 million in the first quarter of 2010.
- The provision for loan and lease losses declined $0.7 million reflecting the positive impact of the wind down of the national direct financing lease portfolio.
- Total deposits grew 7.5% to $585.1 million in the first quarter 2011 driven by seasonal municipal deposits and continued growth in checking and savings deposits, which increased $15.9 million, or 4.6%, during the first quarter.
- First quarter 2011 net interest margin remained strong at 4.05%.
- Strong capital position with Total Risk-Based Capital ratio of 14.21% at March 31, 2011.
Net income grew to $1.9 million in the first quarter of 2011, up 30% from net income of $1.4 million in the first quarter of 2010. The improvement in net income reflects a provision for loan and lease losses of $0.5 million in the first quarter of 2011, down $0.7 million from the provision recorded in the first quarter of 2010. The 2010 first quarter included a $0.8 million provision for the Company’s leasing portfolio, whereas no provision was required for the leasing portfolio in this year’s first quarter. Return on average equity was 11.71% for the first quarter of 2011, compared with 12.29% in the first quarter of 2010. Net income was $0.46 per diluted share in the 2011 first quarter compared with $0.51 in the prior year period. Lower earnings per share reflect a 1.27 million increase in weighted average outstanding shares as a result of the Company’s successful equity raise in May 2010.