-- 2006 diluted earnings per share of $1.86 grew 20% compared to
2005 LAKE OSWEGO, Ore., Jan. 16 /PRNewswire-FirstCall/ -- West
Coast Bancorp (NASDAQ:WCBO) today announced quarterly earnings of
$7.7 million or $.48 per diluted share for the fourth quarter of
2006, compared to fourth quarter 2005 earnings of $6.5 million or
$.42 per diluted share. The Company also reported net income of
$29.3 million or $1.86 per diluted share for the full year 2006, up
20% from $1.55 per diluted share in 2005. (Dollars in millions,
except per share data) 2006 2005 % Change Diluted Earnings Per
Share $0.48 $0.42 14% Return On Average Equity 15.5% 16.5% Return
On Average Equity, Tangible* 17.0% 16.7% Total Period End Loans
$1,945 $1,554 25% Total Period End Deposits $2,006 $1,649 22%
*Return on Average Equity, Tangible is a non-GAAP measure defined
as net income excluding intangible asset amortization, net of tax,
divided by average equity less average intangible assets. "Loan and
deposit growth exceeded our expectations throughout 2006," said
Robert D. Sznewajs, President & CEO. "2006 was a great year for
the Company with record earnings and a very positive response by
both consumers and businesses to our expanded payments system
product offerings. All of our team members are to be congratulated
for a very successful year." Financial Results: Excellent 2006 loan
and deposit growth of 25% and 22%, respectively, were the catalysts
for a 15% or $3.5 million increase in year-over-year fourth quarter
net interest income. Negatively impacted by the sustained, flat to
inverted interest yield curve, the fourth quarter 2006 net interest
margin fell 28 basis points to 4.84% from the same quarter in 2005.
The excellent loan growth's impact on the net interest margin was
more than offset by the declining spreads and the slowing rate of
growth in non-interest bearing demand deposit balances. Total
non-interest income in the fourth quarter of 2006 grew $.9 million
or 14% from the same quarter of 2005 due to higher payment systems
and deposit service charge revenues as well as increased gains on
sales of loans. Successful product introductions, new branch
locations and heavy marketing efforts supported the continued rise
in the number of transaction deposit accounts, which, in turn,
boosted our service charge revenue 15% over the last quarter in
2005. Fourth quarter 2006 payment systems-related revenues extended
their solid growth trend, increasing 29% from the same quarter
2005, mainly reflecting growth in card accounts and their
associated revenues. In contrast to recent quarterly comparisons,
revenues from gain on sale of loans increased over 30% in the
fourth quarter, with growth in both SBA and single-family mortgage
revenues. Compared to fourth quarter 2005, total non-interest
expense increased $1.8 million or 9% in the most recent quarter.
Overall personnel expense grew 17% over the same period
predominantly reflecting higher salaries, additional team members
and increased performance-based pay. Occupancy expense increased
15% primarily from new locations over the past 12 months. Higher
expenses in the remaining categories were mainly attributed to
higher account and transaction volumes, more branch locations, and
our enhanced product offerings. In other non-interest expense, the
Company recorded a legal charge of $.3 million and $1.0 million in
fourth quarters of 2006 and 2005, respectively. The 2006 fourth
quarter provision for loan losses of $1.2 million increased $.3
million from the same quarter in 2005, and doubled from the $.6
million provision in the third quarter of 2006. Annualized net
charge-offs were 0.12% of average loans in the fourth quarter of
2006, up from fourth quarter 2005 net charge-offs of 0.05%. Non-
performing assets at December 31, 2006, remained very low at $1.5
million or .06% of total assets compared to $1.1 million or .05% a
year ago, respectively. The Company repurchased 19,000 of its
shares at an average cost of $32.06 per share during the fourth
quarter of 2006. At December 31, 2006, approximately 257,000 shares
remained available for repurchase under the Company's share
repurchase program. Other: The Company will hold a Webcast
conference call Wednesday, January 17, at 8:30 a.m. Pacific Time,
during which the Company will discuss year-end 2006 results, review
its strategic progress, and provide management's current
expectations for 2007. To access the conference call via a live
Webcast, go to http://www.wcb.com/ and click on Investor Relations
and the 4th Quarter 2006 Earnings Conference Call" tab. The
conference call may also be accessed by dialing 877.604.2074, ID #
5056665 a few minutes prior to 8:30 a.m. PST. The call will be
available for replay by accessing the Company's website at
http://www.wcb.com/ and following the same instructions. West Coast
Bancorp, one of Oregon Business Magazine's 100 Best Companies to
Work For, is a Northwest bank holding company with $2.5 billion in
assets, operating 59 offices in Oregon and Washington. The company
combines the sophisticated products and expertise of larger banks
with the local decision making, market knowledge and customer
service of a community bank. For more information, visit the
Company web site at http://www.wcb.com/ . Forward Looking
Statements: Statements in this release regarding future events,
performance or results are "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995
("PSLRA") and are made pursuant to the safe harbors of the PSLRA.
Actual results could be quite different from those expressed or
implied by the forward-looking statements. Do not unduly rely on
forward-looking statements. They give our expectations about the
future and are not guarantees. Forward-looking statements speak
only as of the date they are made, and we do not undertake any
obligation to update them to reflect changes that occur after that
date. A number of factors could cause results to differ
significantly from our expectations, including, among others,
factors identified in our Annual Report on Form 10-K for the year
ended December 31, 2005, including under the heading "Forward
Looking Statement Disclosure" and in Item 1A. Risk Factors. West
Coast Bancorp Consolidated Income Statements (Unaudited) (Dollars
and shares Three months ended Twelve months ended in thousands)
December 31, Sept. 30, December 31, 2006 2005 2006 2006 2005 Net
interest income Interest and fees on loans $38,137 $28,018 $36,748
$136,193 $101,419 Interest on investment securities 3,815 3,029
3,485 13,737 10,920 Other interest income 349 263 316 868 652 Total
interest income 42,301 31,310 40,549 150,798 112,991 Interest
expense on deposit accounts 13,486 6,566 11,860 40,927 20,497
Interest on borrowings including subordinated debentures 1,975
1,357 2,394 8,999 5,933 Total interest expense 15,461 7,923 14,254
49,926 26,430 Net interest income 26,840 23,387 26,295 100,872
86,561 Provision for loan losses 1,200 950 625 2,733 2,175
Non-interest income Service charges on deposit accounts 2,833 2,459
2,897 11,096 8,686 Payment systems related revenue 1,738 1,352
2,116 6,738 4,900 Trust and investment services revenues 1,484
1,424 1,322 5,480 5,151 Gains on sales of loans 821 628 748 2,962
3,046 Other 631 706 591 2,506 3,348 Loss on impairment of
securities -- -- -- -- (1,316) Losses on sales of securities -- --
(206) (686) (716) Total non-interest income 7,507 6,569 7,468
28,096 23,099 Non-interest expense Salaries and employee benefits
12,017 10,247 12,209 47,240 40,606 Equipment 1,455 1,317 1,412
5,477 4,837 Occupancy 1,921 1,667 1,855 7,048 6,267 Payment systems
related expense 625 515 666 2,378 1,739 Professional fees 646 801
680 2,484 2,984 Postage, printing and office supplies 919 785 996
3,558 2,833 Marketing 1,260 1,202 1,103 4,967 3,830 Communications
388 310 372 1,370 1,210 Other non-interest expense 2,149 2,717
1,845 7,143 8,328 Total non-interest expense 21,380 19,561 21,138
81,665 72,634 Income before income taxes 11,767 9,445 12,000 44,570
34,851 Provision for income taxes 4,068 2,983 4,131 15,310 11,011
Net income $7,699 $6,462 $7,869 $29,260 $23,840 Basic earnings per
share $0.50 $0.44 $0.51 $1.95 $1.63 Diluted earnings per share
$0.48 $0.42 $0.49 $1.86 $1.55 Weighted average common shares 15,432
14,607 15,386 15,038 14,658 Weighted average diluted shares 16,130
15,299 16,053 15,730 15,344 Tax equivalent net interest income
$27,246 $23,758 $26,700 $102,432 $88,026 West Coast Bancorp
Consolidated Balance Sheets (Dollars and shares in thousands, Dec.
31, Dec. 31, Sept. 30, unaudited) 2006 2005 2006 Assets: Cash and
cash equivalents $93,800 $88,369 $119,301 Investments 328,652
292,664 295,753 Total loans 1,945,293 1,554,454 1,868,564 Allowance
for loan losses (23,017) (20,469) (22,404) Loans, net 1,922,276
1,533,985 1,846,160 Goodwill and other intangibles 15,032 180
15,182 Other assets 105,612 81,940 93,045 Total assets $2,465,372
$1,997,138 $2,369,441 Liabilities and Stockholders' Equity: Demand
$496,676 $456,760 $508,719 Savings and interest-bearing demand
986,196 827,909 959,209 Certificates of deposits 523,480 364,793
539,319 Total deposits 2,006,352 1,649,462 2,007,247 Borrowings and
subordinated debentures 229,409 170,450 146,111 Other liabilities
28,729 20,103 21,827 Total liabilities 2,264,490 1,840,015
2,175,185 Stockholders' equity 200,882 157,123 194,256 Total
liabilities and stockholders' equity $2,465,372 $1,997,138
$2,369,441 Common shares outstanding period end 15,586 14,692
15,532 Book value per common share $12.89 $10.69 $12.51 Tangible
book value per common share $11.92 $10.68 $11.53 West Coast Bancorp
Period End Loan Portfolio By Category (Dollars in thousands, Dec.
31, Dec. 31, Change Sept. 30, unaudited) 2006 2005 Amount % 2006
Commercial loans $463,188 $364,604 $98,584 27% $452,035 Real estate
construction loans 363,557 210,828 152,729 72% 308,886 Real estate
mortgage loans 287,495 242,015 45,480 19% 274,812 Real estate
commercial loans 804,865 709,176 95,689 13% 805,458 Installment and
other consumer loans 26,188 27,831 (1,643) -6% 27,373 Total loans
$1,945,293 $1,554,454 $390,839 25% $1,868,564 (Reconciliation to
GAAP financial measures)* Total loans excluding real estate
commercial loans $1,140,428 $845,278 $295,150 35% $1,063,106 Real
estate commercial loans 804,865 709,176 95,689 13% 805,458 Total
loans $1,945,293 $1,554,454 $390,839 25% $1,868,564 *Management
uses the non-GAAP information above, internally, and has disclosed
it to investors, based on its belief that the information provides
additional, valuable information relating to its operating results
in light of its business strategies. (Dollars in millions, Dec. 31,
Dec. 31, Change unaudited) 2006 2005 Amount % Total period end
loans $1,945 $1,554 $391 25% Loans acquired in acquisition $73 $--
$73 -- Total period end organic* loans $1,872 $1,554 $318 20% Total
period end deposits $2,006 $1,650 $356 22% Deposits acquired in
acquisition $86 $-- $86 -- Total period end organic* deposits
$1,920 $1,650 $270 16% * Total loans and deposits less loans and
deposits acquired in Mid-Valley Bank acquisition, respectively.
West Coast Bancorp Financial Information (Dollars in thousands
except for per share data, unaudited) (all rates have been
annualized where appropriate) Fourth Fourth Third Year Year Quarter
Quarter Quarter to date to date 2006 2005 2006 2006 2005
PERFORMANCE RATIOS - Return on average assets 1.29% 1.31% 1.35%
1.33% 1.28% - Return on average common equity 15.54% 16.49% 16.56%
16.47% 15.76% - Return on average tangible equity 17.04% 16.66%
18.02% 17.42% 15.94% - Non-interest income to average assets 1.26%
1.34% 1.28% 1.28% 1.24% - Non-interest expense to average assets
3.58% 3.98% 3.63% 3.72% 3.88% - Efficiency ratio, tax equivalent
61.5% 64.5% 61.5% 62.2% 64.2% NET INTEREST MARGIN - Yield on
interest-earning assets 7.59% 6.83% 7.50% 7.37% 6.49% - Rate on
interest-bearing liabilities 3.71% 2.38% 3.51% 3.27% 2.06% - Net
interest spread 3.88% 4.45% 3.99% 4.10% 4.43% - Net interest margin
4.84% 5.12% 4.89% 4.96% 4.99% AVERAGE ASSETS - Investment
securities $321,942 $279,625 $298,988 $298,758 $262,134 -
Commercial loans $442,512 $361,158 $449,107 $418,955 $360,898 -
Real estate construction loans 328,625 202,030 287,558 274,856
157,785 - Real estate mortgage loans 279,526 225,543 271,511
265,217 219,422 - Real estate commercial loans 802,230 713,634
801,354 759,023 710,119 - Installment and other consumer loans
27,066 28,551 28,567 27,726 31,708 - Total loans $1,879,959
$1,530,916 $1,838,097 $1,745,777 $1,479,932 - Total interest
earning assets $2,233,725 $1,840,939 $2,167,250 $2,066,217
$1,764,209 - Other assets 138,218 110,692 143,854 127,412 105,551 -
Total assets $2,371,943 $1,951,631 $2,311,104 $2,193,629 $1,869,760
AVERAGE LIABILITIES & EQUITY - Demand deposits $496,870
$459,201 $489,796 $466,282 $421,766 - Interest bearing demand,
savings, and money market 984,227 842,663 925,816 897,817 789,054 -
Certificates of deposits 534,000 360,717 504,894 457,077 362,035 -
Total deposits $2,015,097 $1,662,581 $1,920,506 $1,821,176
$1,572,855 - Borrowings and subordinated debentures $137,326
$116,020 $182,085 $170,790 $130,352 - Total interest bearing
liabilities $1,655,553 $1,319,400 $1,612,796 $1,525,683 $1,281,441
- Other liabilities 519,771 476,809 509,812 490,298 437,056 - Total
liabilities $2,175,324 $1,796,209 $2,122,608 $2,015,981 $1,718,497
- Average common equity 196,619 155,422 188,496 177,648 151,263 -
Total average liabilities and common equity $2,371,943 $1,951,631
$2,311,104 $2,193,629 $1,869,760 AVERAGE ASSET/LIABILITY RATIOS -
Average stockholders' equity to average assets 8.29% 7.96% 8.16%
8.10% 8.09% - Average int. earning assets to int. bearing
liabilities 134.9% 139.5% 134.4% 135.4% 137.7% - Average loans to
average assets 79.3% 78.4% 79.5% 79.6% 79.2% - Interest bearing
deposits to assets 64.0% 61.7% 61.9% 61.8% 61.6% West Coast Bancorp
Allowance For Loan Losses and Net Charge-offs (Dollars in
thousands, Quarter ended Quarter ended Quarter ended unaudited)
Dec. 31, Dec. 31, Sept. 30 2006 2005 2006 Allowance for loan
losses, beginning of period $22,404 $19,728 $21,883 Provision for
loan losses 1,200 950 625 Charge-offs 774 412 330 Recoveries 187
203 226 Net charge-offs 587 209 104 Allowance for loan losses, from
acquisition -- -- -- Total allowance for loan losses $23,017
$20,469 $22,404 Net loan charge-offs to average loans (annualized)
0.12% 0.05% 0.02% (Dollars in thousands, Year to date Year to date
unaudited) Dec. 31, Dec. 31, 2006 2005 Allowance for loan losses,
beginning of period $20,469 $18,971 Provision for loan losses 2,733
2,175 Charge-offs 1,921 1,624 Recoveries 849 947 Net Charge-offs
1,072 677 Allowance for loan losses, from acquisition 887 -- Total
allowance for loan losses $23,017 $20,469 Net loan charge-offs to
average loans 0.06% 0.05% West Coast Bancorp Non-performing Assets
(Dollars in thousands, Dec. 31, Dec. 31, Sept. 30, unaudited) 2006
2005 2006 Non-accruing loans $1,468 $1,088 $2,652 90 day
delinquencies -- -- -- Total non-performing loans 1,468 1,088 2,652
Other real estate owned -- -- -- Total non-performing assets $1,468
$1,088 $2,652 Allowance for loan losses to total loans 1.18% 1.32%
1.20% Non-performing loans to total loans 0.08% 0.07% 0.14%
Allowance for loan losses to non-performing loans 1568% 1882% 845%
Non-performing assets to total assets 0.06% 0.05% 0.11% Allowance
for loan losses to non-performing assets 1568% 1182% 845%
DATASOURCE: West Coast Bancorp CONTACT: Robert D. Sznewajs of
President & CEO, +1-503-598-3243, or Anders Giltvedt, Executive
Vice President & CFO, +1-503-598-3250, both of West Coast
Bancorp Web site: http://www.wcb.com/
Copyright
West Coast Bancorp (MM) (NASDAQ:WCBO)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
West Coast Bancorp (MM) (NASDAQ:WCBO)
Historical Stock Chart
Von Jul 2023 bis Jul 2024