Central Bancorp Inc (CEBK, Financial) filed Quarterly Report for the period ended 2011-06-30.
Central Bancorp Inc. has a market cap of $32.95 million; its shares were traded at around $19.85 with a P/E ratio of 52.97 and P/S ratio of 1.2. The dividend yield of Central Bancorp Inc. stocks is 1.02%.
Investment securities totaled $37.6 million at June 30, 2011 compared to $35.3 million at March 31, 2011, representing an increase of $2.3 million, or 6.5%. The increase in investment securities is primarily due to the purchase of $9.8 million in mortgage-backed securities, offset by the sale of $5.8 million in mortgage-backed securities, the repayment of $1.4 million of principal on mortgage-backed securities and a net decrease of $324 thousand in the fair value of available for sale securities. Stock in the Federal Home Loan Bank of Boston (FHLBB) totaled $8.5 million at both June 30, 2011 and March 31, 2011, respectively.
The net increase in stockholders equity from $47.1 million at March 31, 2011 to $47.2 million at June 30, 2011 was due to net income of $236 thousand and stock related compensation of $210 thousand, partially offset by a $210 thousand decrease in accumulated other comprehensive income and $201 thousand of dividends paid to common and preferred shareholders.
Net income available to common shareholders for the quarter ended June 30, 2011 was $80 thousand, or $0.05 per diluted common share, as compared to net income available to common shareholders of $585 thousand, or $0.37 per diluted common share, for the comparable prior year quarter. The decrease was primarily due to a decrease in net interest and dividend income of $667 thousand, an increase in non-interest expenses of $293 thousand and an increase in the provision for loan losses of $200 thousand, partially offset by a $377 thousand increase in non-interest income and a $280 thousand decrease in income tax expense. Additionally, for each of the quarters ended June 30, 2011 and 2010, net income available to common shareholders was reduced by $154 thousand and $153 thousand, respectively, for allocated dividends paid to preferred shareholders and accretion of the discount related to the Companys December 2008 sale of $10.0 million of preferred stock and a warrant to purchase 234,732 shares of the Companys common stock to the U.S. Treasury Department as a participant in the federal governments TARP Capital Purchase Program.
Interest and Dividend Income. Interest and dividend income decreased by $1.3 million, or 18.4%, to $5.6 million for the quarter ended June 30, 2011 as compared to $6.8 million during the same period of 2010. During the quarter ended June 30, 2011, the yield on interest-earning assets decreased by 59 basis points primarily due to a 45 basis point reduction in the yield on mortgage loans due to a general decline in market interest rates and managements decision to continue to decrease higher-risk, higher-yield commercial real estate loan balances. The average balance of commercial real estate loans decreased by $33.4 million, from $225.6 million during the quarter ended June 30, 2010 to $192.2 million during the quarter ended June 30, 2011.
Interest Expense. Interest expense decreased by $595 thousand, or 26.9%, to $1.6 million for the quarter ended June 30, 2011 as compared to $2.2 million for the same period of 2010 primarily due to decreases in the average rates paid on deposits and FHLBB borrowings. The cost of deposits decreased by 39 basis points from 0.97% for the quarter ended June 30, 2010 to 0.58% for the quarter ended June 30, 2011, as some higher-cost certificates of deposit were either not renewed or were replaced by lower-costing deposits. The average balance of certificates of deposit totaled $108.0 million for the quarter ended June 30, 2011, compared to $130.5 million for the same period in 2010, a decline of $22.5 million. The average balance of lower-cost non-maturity deposits decreased by $5.0 million to $158.4 million for the quarter ended June 30, 2011, as compared to an average balance of $163.4 million during the same period of 2010. The average balance of FHLBB borrowings decreased by $20.7 million, from $138.1 million for the quarter ended June 30, 2010 to $117.3 million for the quarter ended June 30, 2011. The average cost of these borrowings declined as management utilized short-term investments to fund maturing, relatively higher-rate advances during the quarter ended June 30, 2011.
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Central Bancorp Inc. has a market cap of $32.95 million; its shares were traded at around $19.85 with a P/E ratio of 52.97 and P/S ratio of 1.2. The dividend yield of Central Bancorp Inc. stocks is 1.02%.
Highlight of Business Operations:
(excluding loans held for sale) were $417.8 million at June 30, 2011, compared to $394.2 million at March 31, 2011, representing an increase of $23.6 million, or 6.0%. This increase was primarily due to increases in residential and home equity loans of $37.1 million and $291 thousand, respectively, offset by decreases in commercial real estate loans of $13.7 million. Residential and home equity loans increased from $191.6 million at March 31, 2011 to $228.9 million at June 30, 2011. Commercial and industrial loans decreased from $2.2 million at March 31, 2011 to $2.1 million at June 30, 2011 primarily due to the scheduled repayment of principal. Managements efforts to reduce the levels of commercial real estate and land and construction loans are reflected in changes in the Banks commercial real estate concentration ratio, which is calculated as total non-owner occupied commercial real estate and land and construction loans divided by the Banks risk-based capital. At June 30, 2011 the commercial real estate concentration ratio was 309%, compared to a ratio of 330% at March 31, 2010.Investment securities totaled $37.6 million at June 30, 2011 compared to $35.3 million at March 31, 2011, representing an increase of $2.3 million, or 6.5%. The increase in investment securities is primarily due to the purchase of $9.8 million in mortgage-backed securities, offset by the sale of $5.8 million in mortgage-backed securities, the repayment of $1.4 million of principal on mortgage-backed securities and a net decrease of $324 thousand in the fair value of available for sale securities. Stock in the Federal Home Loan Bank of Boston (FHLBB) totaled $8.5 million at both June 30, 2011 and March 31, 2011, respectively.
The net increase in stockholders equity from $47.1 million at March 31, 2011 to $47.2 million at June 30, 2011 was due to net income of $236 thousand and stock related compensation of $210 thousand, partially offset by a $210 thousand decrease in accumulated other comprehensive income and $201 thousand of dividends paid to common and preferred shareholders.
Net income available to common shareholders for the quarter ended June 30, 2011 was $80 thousand, or $0.05 per diluted common share, as compared to net income available to common shareholders of $585 thousand, or $0.37 per diluted common share, for the comparable prior year quarter. The decrease was primarily due to a decrease in net interest and dividend income of $667 thousand, an increase in non-interest expenses of $293 thousand and an increase in the provision for loan losses of $200 thousand, partially offset by a $377 thousand increase in non-interest income and a $280 thousand decrease in income tax expense. Additionally, for each of the quarters ended June 30, 2011 and 2010, net income available to common shareholders was reduced by $154 thousand and $153 thousand, respectively, for allocated dividends paid to preferred shareholders and accretion of the discount related to the Companys December 2008 sale of $10.0 million of preferred stock and a warrant to purchase 234,732 shares of the Companys common stock to the U.S. Treasury Department as a participant in the federal governments TARP Capital Purchase Program.
Interest and Dividend Income. Interest and dividend income decreased by $1.3 million, or 18.4%, to $5.6 million for the quarter ended June 30, 2011 as compared to $6.8 million during the same period of 2010. During the quarter ended June 30, 2011, the yield on interest-earning assets decreased by 59 basis points primarily due to a 45 basis point reduction in the yield on mortgage loans due to a general decline in market interest rates and managements decision to continue to decrease higher-risk, higher-yield commercial real estate loan balances. The average balance of commercial real estate loans decreased by $33.4 million, from $225.6 million during the quarter ended June 30, 2010 to $192.2 million during the quarter ended June 30, 2011.
Interest Expense. Interest expense decreased by $595 thousand, or 26.9%, to $1.6 million for the quarter ended June 30, 2011 as compared to $2.2 million for the same period of 2010 primarily due to decreases in the average rates paid on deposits and FHLBB borrowings. The cost of deposits decreased by 39 basis points from 0.97% for the quarter ended June 30, 2010 to 0.58% for the quarter ended June 30, 2011, as some higher-cost certificates of deposit were either not renewed or were replaced by lower-costing deposits. The average balance of certificates of deposit totaled $108.0 million for the quarter ended June 30, 2011, compared to $130.5 million for the same period in 2010, a decline of $22.5 million. The average balance of lower-cost non-maturity deposits decreased by $5.0 million to $158.4 million for the quarter ended June 30, 2011, as compared to an average balance of $163.4 million during the same period of 2010. The average balance of FHLBB borrowings decreased by $20.7 million, from $138.1 million for the quarter ended June 30, 2010 to $117.3 million for the quarter ended June 30, 2011. The average cost of these borrowings declined as management utilized short-term investments to fund maturing, relatively higher-rate advances during the quarter ended June 30, 2011.
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