Louisiana Bancorp, Inc. Announces Earnings for the Second Quarter
METAIRIE, La., Aug. 3, 2012 (GLOBE NEWSWIRE) -- Louisiana Bancorp, Inc. (the "Company") (Nasdaq:LABC), the holding company for Bank of New Orleans (the "Bank"), announced today that the Company's net income for the quarter ended June 30, 2012 was $616,000, or $0.22 per diluted share, an increase of $159,000 from the second quarter of 2011. Net interest income was $2.5 million during the second quarter of 2012, an increase of $81,000 compared to the second quarter of 2011. Our provision for loan losses was $73,000 during the second quarter of 2012 compared to a recovery of loan loss provisions of $67,000 during the second quarter of 2011. Non-interest income for the June 30, 2012 quarter increased by $301,000 compared to the June 30, 2011 quarter due primarily to an increase in commissions earned on brokered loans and an increase in gains on loans sold. For the six month period ended June 30, 2012, the Company reported net income of $1.1 million, or $0.40 per diluted share, compared to net income of $1.0 million, or $0.33 per diluted share for the six month period ended June 30, 2011.
Lawrence J. LeBon, III, Chairman, President and Chief Executive Officer of the Company and the Bank, stated: "The unprecedented low level of interest rates has led to an increase in refinancing activity in our market, which has favorably impacted our non-interest income derived from the sale of long-term residential mortgage loans. Although the current rate environment has reduced the yield on our interest-earning assets, it has also decreased the cost of our interest-bearing liabilities resulting in increases in our average interest rate spread and net interest margin." LeBon added, "During the quarter, we were pleased to open our new full service branch office located in Covington, Louisiana. We believe that this new office will contribute to the growth of our core deposit base, provide low-cost funding for our loan growth, and contribute to the long-term value of the Company."
Total assets were $322.5 million at June 30, 2012, an increase of $9.4 million compared to December 31, 2011. During the first six months of 2012, cash and cash equivalents decreased by $23.9 million to $3.7 million. The reduction in cash and cash equivalents primarily reflects the redeployment of such assets throughout the six month period into our securities and loan portfolios. Total securities available-for-sale were $14.1 million at June 30, 2012, a decrease of $8.6 million compared to December 31, 2011. This decrease was primarily due to maturities of U.S. Agency issued securities during the first six months of 2012. Total securities held-to-maturity increased by $21.4 million, to $80.9 million, during the first six months of 2012. This increase in securities held-to-maturity was primarily due to the purchase of $27.4 million in US Agency issued CMOs and $4.0 million in US Agency issued mortgage-backed securities. These purchases were partially offset by $9.9 million in repayments of principal on mortgage-backed securities and CMOs. Net loans receivable were $215.1 million at June 30, 2012, an increase of $19.4 million, or 9.9%, compared to December 31, 2011. During the six months ended June 30, 2012, our first mortgage loans secured by single family residential loans increased by $8.9 million, our funded home equity loans and lines increased by $2.8 million, our loans secured by multifamily residential collateral increased by $5.2 million, and our first mortgage loans secured by non-residential commercial real estate increased by $3.8 million.
Total deposits were $195.4 million at June 30, 2012 and $194.3 million at December 31, 2011. Non-interest bearing deposits increased during the six month period by $2.8 million, to $12.6 million, and interest-bearing deposits decreased by $1.7 million, to $182.9 million. Total Federal Home Loan Bank advances and other borrowings were $67.2 million at June 30, 2012, an increase of $10.1 million from December 31, 2011. This increase in borrowings was primarily used to fund the growth in our loans receivable during the first six months of 2012.
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