First Bancorp of Indiana, Inc. Announces Financial Results and Quarterly Cash Dividend
The company reported earnings of $2.1 million for the fiscal year ended June 30, 2019, nearly double the preceding year's total. Interest income increased 12.8% in fiscal 2019 as net loans grew $15.7 million, or 5.6%, and loan yields improved overall. Interest expense increased 34.5% in fiscal 2019 as competition for fixed-term deposits, particularly in the local market, intensified. Excluding nonroutine gains from sales of investment securities, noninterest income dipped 2.6% in fiscal 2019 as service charge revenues and gains on loan sales were marginally lower. Noninterest expenses for fiscal 2019 were 5.0% less than the prior year with professional fees and compensation responsible for much of the savings.
At approximately 8.4%, First Federal's tier one capital ratio at June 30, 2019, was well in excess of the five percent regulatory standard for "well-capitalized"
In addition, the Board of Directors has declared a quarterly cash dividend of $0.155 per share, payable to stockholders of record as of September 3, 2019. The dividend will be paid on or about September 13, 2019. The annual dividend rate on this quarterly declaration is unchanged from the preceding quarter and results in an annualized dividend yield of 3.03% based on the $20.48 share price for the last reported trade as of August 22, 2019.
Certain information in this press release may constitute forward-looking information that involves risks and uncertainties that could cause actual results to differ materially from those estimated. Persons are cautioned that such forward-looking statements are not guarantees of future performance and are subject to various factors that could cause actual results to differ materially from those estimated. Undue reliance should not be placed on such forward-looking statements.