LACEY, Wash., Jan. 29, 2013 (GLOBE NEWSWIRE) -- Anchor Bancorp (Nasdaq:ANCB) ("Company"), the holding company for Anchor Bank ("Bank"), today reported second quarter earnings for the fiscal year ending June 30, 2013. For the quarter ended December 31, 2012, the Company reported net income of $225,000 or $.09 per diluted share, compared to a net income of $93,000 or $.04 per diluted share for the same period last year.
"Our results continue to improve due to our continued improvement in credit quality and the reduced provision during the quarter. Our total non-interest expense decreased $854,000 during the current quarter as compared to the quarter ended December 31, 2011 which reflects the decline in real estate owned impairment as well as technology expenses as we take advantage of efficiencies from our new core processing system that was completed last year. The prolonged low interest rate environment continues to pressure our net interest margin, which decreased from 3.68% during the quarter ended September 30, 2012 to 3.54% this quarter. This decline was due in part to our focus on credit risk during this difficult economic period resulting in our maintaining higher liquidity at relatively low interest rates. This higher liquidity will enable us to take advantage of lending and other opportunities when the economy recovers and interest rates rise," stated Jerald L. Shaw, President and Chief Executive Officer.
Fiscal Second Quarter Highlights
- Total classified loans decreased $7.4 million or 22.5% to $25.4 million at December 31, 2012 from $32.8 million at June 30, 2012;
- Total non-performing loans decreased by $3.8 million to $9.1 million or 29.4% at December 31, 2012 from $12.9 million at December 31, 2011;
- Provision for loan losses declined to $225,000 for the quarter ended December 31, 2012 compared to $475,000 for the quarter ended December 31, 2011.