William Penn Bancorp, Inc. Announces Quarter and Year End Results and Appointments of Executive Officers

BRISTOL, PA / ACCESSWIRE / August 11, 2020 / William Penn Bancorp, Inc. ("William Penn" or the "Company") (OTC PINK:WMPN), the parent company of William Penn Bank (the "Bank"), today announced its financial results for the quarter and year ended June 30, 2020. William Penn recorded a net loss of $1.3 million and net income of $1.3 million, or ($0.32) and $0.33 per diluted share, for the quarter and year ended June 30, 2020, respectively, compared to net income of $1.3 million and $3.8 million, or $0.33 and $0.94 per diluted share, for the quarter and year ended June 30, 2019, respectively. Net income for the quarter and year ended June 30, 2020 included $2.5 million, or $0.63 per diluted share, of merger related expenses net of the gain on bargain purchase associated with the acquisitions of Washington Savings Bank ("Washington") and Fidelity Savings and Loan Association of Bucks County ("Fidelity") on May 1, 2020.

Kenneth J. Stephon, William Penn's President and CEO, stated "Despite a challenging operating environment related to the COVID-19 pandemic, we continued to make progress on our strategic priorities during the year. We successfully completed the acquisitions of Washington and Fidelity, organically grew deposits, and continued to invest in the growth of our business. In fiscal 2020, we opened a new branch in Collingswood, New Jersey and added five new offices through the two acquisitions, bringing our branch network up to twelve full-service locations. We continue to make strategic investments in technology and talent to help us continue to grow and serve our customers going forward. We are currently working to prudently deploy the excess cash we hold on our balance sheet from the two acquisitions to improve our asset mix and augment earnings."

Highlights for the quarter and year ended June 30, 2020 are as follows:

William Penn completed the acquisition of Washington and Fidelity on May 1, 2020, which increased total loans by $177.5 million and total deposits by $202.0 million.
The Company opened a new branch located in Collingswood, New Jersey that is currently offering curbside assistance.
The Company appointed Jonathan Logan to the role of Chief Financial Officer, Gregory Garcia to the role of Chief Operating Officer, and Jill M. Ross to the role of Chief Retail & Commercial Officer.
William Penn increased credit reserves amidst the uncertain economic environment and recorded a $605 thousand provision for credit losses during the quarter ended June 30, 2020.
During the year ended June 30, 2020, William Penn recorded net income of $1.3 million, or $0.33 per diluted share.
Tangible book value per share measured $20.12 as of June 30, 2020, compared to $17.74 as of June 30, 2019, an increase of $2.38, or 13.4%.
Net interest income increased $1.1 million, or 33.3%, and $569 thousand, or 4.0%, for the quarter and year ended June 30, 2020 compared to the same periods in the prior year.
Non-interest income for the quarter and year ended June 30, 2020 includes a $746 thousand gain on bargain purchase associated with the acquisitions of Washington and Fidelity.
Non-interest expense for the quarter and year ended June 30, 2020 includes $3.3 million of merger related expenses associated with the acquisitions of Washington and Fidelity.
Asset quality metrics continued to remain strong with non-performing assets to total assets of 0.46% as of June 30, 2020. Our allowance for loan losses totaled $3.5 million, or 1.26% of total loans, excluding acquired loans, as of June 30, 2020.

Balance Sheet

Total assets increased $321.1 million, or 77.2%, to $736.9 million at June 30, 2020, from $415.8 million of total assets at June 30, 2019. The increase in total assets can primarily be attributed to a $244.9 million increase from the acquisitions of Washington and Fidelity.

Cash and cash equivalents increased $56.7 million, or 216.9%, to $82.9 million at June 30, 2020, from $26.2 million at June 30, 2019. The increase in cash and cash equivalents was primarily driven by cash acquired as part of the acquisitions of Washington and Fidelity and organic deposit growth, partially offset by purchases of investment securities.

Investments increased $67.5 million, or 298.9%, to $90.0 million at June 30, 2020, compared to $22.5 million at June 30, 2019. We focus on maintaining a high-quality investment portfolio that provides a steady stream of cash flows both in the current and in rising interest rate environments.

Loans increased $182.6 million, or 56.0%, to $508.6 million at June 30, 2020, from $326.0 million at June 30, 2019. The increase in loans can primarily be attributed to the $177.5 million of loans acquired as part of the acquisitions of Washington and Fidelity. During the quarter ended June 30, 2020, William Penn provided $2.4 million in Paycheck Protection Program (PPP) loans for 56 new and existing customers. William Penn also granted eligible loan modifications in the form of payment deferral of principal and interest for $49.8 million of existing loans under the 2020 Coronavirus Aid, Relief, and Economic Security Act.

Deposits increased $278.9 million, or 99.2%, to $560.1 million at June 30, 2020, from $281.2 million at June 30, 2019. Deposit growth was primarily achieved through $202.0 million of deposits acquired from Washington and Fidelity on May 1, 2020 with the remaining increase attributed to strong organic growth. Excluding deposits acquired in the mergers, organic growth produced an increase in deposits of $76.9 million, or 27.3%.

Borrowings increased $14.5 million, or 29.8%, to $64.9 million at June 30, 2020, from $50.0 million at June 30, 2019. The increase in borrowings was primarily due to FHLB advances acquired from Washington and Fidelity.

Stockholders' equity increased $19.8 million, or 25.8%, to $96.4 million at June 30, 2020, from $76.6 million at June 30, 2019. The increase in stockholders' equity was primarily due to $20.5 million of equity recorded at fair value in connection with the acquisitions of Washington and Fidelity and $1.3 million of net income during the year ended June 30, 2020, partially offset by $1.9 million of dividends paid to common shareholders during the year ended June 30, 2020.

Net Interest Income

For the quarter ended June 30, 2020, net interest income was $4.5 million, an increase of $1.1 million, or 33.3%, from the quarter ended June 30, 2019. The increase in net interest income was primarily due to an increase in interest-earning assets as a result of the acquisitions of Washington and Fidelity. The net interest margin totaled 3.06% for the quarter ended June 30, 2020 as compared to 3.57% for the same period in 2019. The decrease in the net interest margin is consistent with the recent decrease in interest rates and current margin compression primarily due to the COVID-19 pandemic and its impact on the economy and interest rate environment.

For the year ended June 30, 2020, William Penn reported net interest income of $14.8 million, an increase of $569 thousand, or 4.0%, from the year ended June 30, 2019. The increase in net interest income was primarily due to an increase in interest-earning assets as a result of the acquisitions of Washington and Fidelity on May 1, 2020. Our net interest margin totaled 3.27% for the year ended June 30, 2020, from 3.76% for 2019.

Non-interest Income

For the quarter ended June 30, 2020, non-interest income totaled $1.1 million, an increase of $664 thousand, or 139.2%, from the quarter ended June 30, 2019. The increase was primarily due to a $746 thousand gain on bargain purchase recorded in connection with the acquisitions of Washington and Fidelity. This increase in non-interest income was partially offset by a $237 thousand gain on sale of loans recorded during the quarter ended June 30, 2019.

For the year ended June 30, 2020, non-interest income totaled $2.2 million, an increase of $1.0 million, or 91.7%, from the year ended June 30, 2019. The increase was primarily due to a $746 thousand gain on bargain purchase recorded in connection with the acquisitions of Washington and Fidelity and a $98 thousand increase in the gain on sale of investment securities.

Non-interest Expense

For the quarter ended June 30, 2020, non-interest expense totaled $6.8 million, an increase of $4.4 million, or 184.7%, from the quarter ended June 30, 2019. The increase in non-interest expense was primarily due to $3.3 million of merger related expenses associated with the acquisitions of Washington and Fidelity, as well as a $540 thousand increase in salaries and employee benefits due to the addition of new employees from the acquisitions of Washington and Fidelity.

For the year ended June 30, 2020, non-interest expense totaled $15.4 million, an increase of $4.9 million, or 47.3%, from the year ended June 30, 2019. The increase in non-interest expense was primarily due to $3.3 million of merger related expenses associated with the acquisitions of Washington and Fidelity, as well as a $688 thousand increase in occupancy and equipment expense due to the addition of premises and equipment from the acquisitions of Washington and Fidelity.

Income Taxes

For the year ended June 30, 2020, we recorded an income tax benefit of $387 thousand, reflecting an effective tax benefit of 41.1%, compared to a provision for income taxes of $1.1 million, reflecting an effective tax rate of 22.0%, for the year ended June 30, 2019. The decrease in the effective tax rate in the year ended June 30, 2020 compared to the same period a year ago is primarily due to the timing of the reversal of a deferred tax asset valuation allowance related to the Company's investment in bank-owned life insurance.

Asset Quality

Our ratio of non-performing assets to total assets decreased to 0.46% as of June 30, 2020 compared to 0.48% as of June 30, 2019. Net charge-offs for the year ended June 30, 2020, totaled $257 thousand, or 6 basis points of average loans, compared to net charge-offs of $17 thousand, or 1 basis point of average loans, for the year ended June 30, 2019. As a result of the continued economic uncertainty due to the COVID-19 pandemic, we recorded a $626 thousand provision for loan losses during the year ended June 30, 2020 compared to an $88 thousand provision for loan losses during the prior year. Our allowance for loan losses totaled $3.5 million, or 1.26% of total loans, excluding acquired loans, as of June 30, 2020, compared to $3.2 million, or 1.24% of total loans, excluding acquired loans, as of June 30, 2019.

Capital

The Bank's capital position remains strong relative to current regulatory requirements. The Bank continues to have substantial liquidity that has been retained in cash or invested in high quality government-backed securities. As of June 30, 2020, William Penn's tangible capital to tangible assets totaled 12.36%. In addition, at June 30, 2020, we had the ability to borrow up to $223.0 million from the Federal Home Loan Bank of Pittsburgh. The federal regulators issued a final rule, effective January 1, 2020, that set the elective community bank leverage ratio at 9% tier 1 capital to average total consolidated assets. William Penn Bank has elected to follow this alternative framework. As of June 30, 2020, William Penn Bank had a community bank leverage ratio of 13.67% and is considered well-capitalized under the prompt corrective action framework.

Appointments of Executive Officers

William Penn announced the appointment of Jonathan Logan as Chief Financial Officer and Senior Vice President of the Company and the Bank. Mr. Logan is a Certified Public Accountant who started his career at Ernst & Young before joining Beneficial Bancorp, Inc., where he held progressively responsible positions including serving as Corporate Controller. He holds a Bachelor of Science degree in Business Administration from Susquehanna University, where he majored in Accounting.

William Penn also announced the appointment of Gregory Garcia as Chief Operating Officer and Executive Vice President, having previously served in the capacity of Chief Financial Officer of the Company and the Bank since January 2019. Mr. Garcia is a graduate of Rutgers University and the Stonier Graduate School of Banking at the University of Pennsylvania.

William Penn also announced that the role of Executive Vice President Jill M. Ross had been expanded, with a corresponding change in title to EVP – Chief Retail & Commercial Officer. Ms. Ross joined William Penn in March 2019 as Chief Retail Officer. She earned a Bachelor of Science Degree in Finance from Rutgers University and a Master's Degree from Rutgers in Social Work and Organizational Leadership.

About William Penn Bancorp, Inc.

William Penn Bancorp, Inc., headquartered in Bristol, Pennsylvania, is the holding company for William Penn Bank, which serves the Delaware Valley area through twelve full-service branch offices in Bucks County and Philadelphia, Pennsylvania, and Burlington and Camden Counties in New Jersey. The Company's executive offices are located at 10 Canal Street, Bristol, Pennsylvania 19007. William Penn Bank's deposits are insured up to the legal maximum (generally $250,000 per depositor) by the Federal Deposit Insurance Corporation (FDIC). The primary federal regulator for William Penn Bank is the FDIC. For more information about the Bank and William Penn, please visit www.williampenn.bank.

Forward Looking Statements

This news release may contain forward-looking statements, which can be identified by the use of words such as "believes," "expects," "anticipates," "estimates" or similar expressions. Such forward-looking statements and all other statements that are not historic facts are subject to risks and uncertainties which could cause actual results to differ materially from those currently anticipated due to a number of factors. These factors include, but are not limited to, general economic conditions, the effect of the COVID-19 pandemic (including its impact on our business operations and credit quality, on our customers and their ability to repay their loan obligations and on general economic and financial market conditions), changes in the interest rate environment, legislative or regulatory changes that may adversely affect our business, changes in accounting policies and practices, changes in competition and demand for financial services, adverse changes in the securities markets, changes in deposit flows, changes in the quality or composition of our loan or investment portfolios and our ability to successfully integrate the business operations of Fidelity Savings and Loan Association of Bucks County and Washington Savings Bank, each of which we recently acquired on May 1, 2020, into our business operations. Additionally, other risks and uncertainties may be described in William Penn's Annual Report, which is available through the Company's website www.williampenn.bank. Should one or more of these risks materialize, actual results may vary from those anticipated, estimated or projected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Except as may be required by applicable law or regulation, William Penn assumes no obligation to update any forward-looking statements.

WILLIAM PENN BANCORP, INC. AND SUBSIDIARIES
Unaudited Consolidated Statements of Financial Condition
(Dollars in thousands, except share amounts)

 
June 30,
 
 
March 31,
 
 
June 30,
 

 
2020
 
 
2020
 
 
2019
 

ASSETS

Cash and due from banks

 
$
6,403
 
 
$
7,185
 
 
$
8,260
 

Interest bearing deposits with other banks

 
 
76,512
 
 
 
12,967
 
 
 
17,908
 

Total cash and cash equivalents

 
 
82,915
 
 
 
20,152
 
 
 
26,168
 

Interest-bearing time deposits

 
 
2,562
 
 
 
2,000
 
 
 
8,486
 

Securities available for sale

 
 
89,208
 
 
 
56,042
 
 
 
20,660
 

Securities held to maturity

 
 
814
 
 
 
718
 
 
 
1,906
 

Loans receivable, net of allowance for loan losses of

$3,519, $3,009 and $3,209, respectively

 
 
508,605
 
 
 
346,408
 
 
 
326,017
 

Premises and equipment, net

 
 
16,733
 
 
 
10,786
 
 
 
8,406
 

Regulatory stock, at cost

 
 
4,267
 
 
 
3,175
 
 
 
2,785
 

Deferred income taxes

 
 
4,787
 
 
 
2,472
 
 
 
2,111
 

Other real estate owned

 
 
100
 
 
 
–
 
 
 
–
 

Bank-owned life insurance

 
 
14,758
 
 
 
11,452
 
 
 
11,203
 

Goodwill

 
 
4,858
 
 
 
4,858
 
 
 
4,858
 

Intangible assets

 
 
1,192
 
 
 
996
 
 
 
1,172
 

Accrued interest receivable and other assets

 
 
6,049
 
 
 
2,657
 
 
 
2,057
 

TOTAL ASSETS

 
$
736,848
 
 
$
461,716
 
 
$
415,829
 

LIABILITIES AND STOCKHOLDERS' EQUITY

LIABILITIES

Deposits

 
$
560,110
 
 
$
313,514
 
 
$
281,206
 

Advances from Federal Home Loan Bank

 
 
64,892
 
 
 
61,000
 
 
 
50,000
 

Advances from borrowers for taxes and insurance

 
 
4,536
 
 
 
3,584
 
 
 
3,814
 

Accrued interest payable and other liabilities

 
 
10,945
 
 
 
6,448
 
 
 
4,179
 

TOTAL LIABILITIES

 
 
640,483
 
 
 
384,546
 
 
 
339,199
 

Commitments and contingencies

 
 
–
 
 
 
–
 
 
 
–
 

STOCKHOLDERS' EQUITY

Preferres stock, no par value

 
 
–
 
 
 
–
 
 
 
–
 

Common Stock, $.10 par value

 
 
467
 
 
 
416
 
 
 
416
 

Additional paid-in capital

 
 
42,932
 
 
 
22,441
 
 
 
22,435
 

Treasury stock

 
 
(3,710
)
 
 
(3,710
)
 
 
(3,710
)

Retained earnings

 
 
56,600
 
 
 
57,892
 
 
 
57,261
 

Accumulated other comprehensive income

 
 
76
 
 
 
131
 
 
 
228
 

TOTAL STOCKHOLDERS' EQUITY

 
 
96,365
 
 
 
77,170
 
 
 
76,630
 

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

 
$
736,848
 
 
$
461,716
 
 
$
415,829
 

WILLIAM PENN BANCORP, INC. AND SUBSIDIARIES
Unaudited Consolidated Statements of Income
(Dollars in thousands, except per share amounts)

 
Quarter ended
 
 
Year ended
 

 
June 30, 2020
 
 
March 31, 2020
 
 
June 30, 2019
 
 
June 30, 2020
 
 
June 30, 2019
 

INTEREST INCOME

Loans receivable, including fees

 
$
5,414
 
 
$
4,277
 
 
$
4,172
 
 
$
17,914
 
 
$
16,595
 

Securities

 
 
362
 
 
 
444
 
 
 
215
 
 
 
1,557
 
 
 
415
 

Other

 
 
35
 
 
 
104
 
 
 
108
 
 
 
346
 
 
 
811
 

Total Interest Income

 
 
5,811
 
 
 
4,825
 
 
 
4,495
 
 
 
19,817
 
 
 
17,821
 

INTEREST EXPENSE

Deposits

 
 
946
 
 
 
892
 
 
 
780
 
 
 
3,604
 
 
 
2,297
 

Borrowings

 
 
350
 
 
 
364
 
 
 
328
 
 
 
1,414
 
 
 
1,294
 

Total Interest Expense

 
 
1,296
 
 
 
1,256
 
 
 
1,108
 
 
 
5,018
 
 
 
3,591
 

Net Interest Income

 
 
4,515
 
 
 
3,569
 
 
 
3,387
 
 
 
14,799
 
 
 
14,230
 

Provision for Loan Losses

 
 
605
 
 
 
21
 
 
 
–
 
 
 
626
 
 
 
88
 

NET INTEREST INCOME AFTER PROVISION

FOR LOAN LOSSES

 
 
3,910
 
 
 
3,548
 
 
 
3,387
 
 
 
14,173
 
 
 
14,142
 

OTHER INCOME

Service fees

 
 
124
 
 
 
151
 
 
 
137
 
 
 
569
 
 
 
483
 

Realized losses on sale of REO, net

 
 
–
 
 
 
–
 
 
 
(31
)
 
 
(16
)
 
 
(30
)

Gain on sale of loans

 
 
–
 
 
 
–
 
 
 
237
 
 
 
–
 
 
 
12
 

Gain on sale of securities

 
 
41
 
 
 
103
 
 
 
–
 
 
 
238
 
 
 
140
 

Earnings on bank-owned life insurance

 
 
98
 
 
 
84
 
 
 
82
 
 
 
347
 
 
 
327
 

Gain on bargain purchase

 
 
746
 
 
 
–
 
 
 
–
 
 
 
746
 
 
 
–
 

Other

 
 
132
 
 
 
47
 
 
 
52
 
 
 
276
 
 
 
195
 

Total Other Income

 
 
1,141
 
 
 
385
 
 
 
477
 
 
 
2,160
 
 
 
1,127
 

OTHER EXPENSES

Salaries and employee benefits

 
 
2,038
 
 
 
1,633
 
 
 
1,498
 
 
 
6,855
 
 
 
6,438
 

Occupancy and equipment

 
 
576
 
 
 
399
 
 
 
262
 
 
 
1,784
 
 
 
1,096
 

Data processing

 
 
356
 
 
 
276
 
 
 
158
 
 
 
1,155
 
 
 
692
 

Professional fees

 
 
49
 
 
 
152
 
 
 
101
 
 
 
451
 
 
 
277
 

Merger related expenses

 
 
3,294
 
 
 
–
 
 
 
–
 
 
 
3,294
 
 
 
796
 

Amortization on intangible assets

 
 
67
 
 
 
59
 
 
 
65
 
 
 
242
 
 
 
260
 

Other

 
 
442
 
 
 
367
 
 
 
312
 
 
 
1,611
 
 
 
894
 

Total Other Expense

 
 
6,822
 
 
 
2,886
 
 
 
2,396
 
 
 
15,392
 
 
 
10,453
 

Income Before Income Taxes

 
 
(1,771
)
 
 
1,047
 
 
 
1,468
 
 
 
941
 
 
 
4,816
 

Income Tax Expenses

 
 
(479
)
 
 
210
 
 
 
205
 
 
 
(387
)
 
 
1,060
 

NET INCOME

 
$
(1,292
)
 
$
837
 
 
$
1,263
 
 
$
1,328
 
 
$
3,756
 

Basic and diluted earnings per share

 
$
(0.32
)
 
$
0.21
 
 
$
0.32
 
 
$
0.33
 
 
$
0.94
 

WILLIAM PENN BANCORP, INC. AND SUBSIDIARIES
Unaudited Selected Consolidated Financial and Other Data
(Dollars in thousands)

Average Balance Tables

 
Year Ended June 30,
 

 
2020
 
 
2019
 

(Dollars in thousands)

 
Average Balance
 
 
Interest and Dividends
 
 
Yield/Cost
 
 
Average Balance
 
 
Interest and Dividends
 
 
Yield/Cost
 

Interest-earning assets:

Loans (1)

 
$
366,961
 
 
$
17,914
 
 
 
4.88
%
 
$
330,102
 
 
$
16,595
 
 
 
5.03
%

Investment securities (2)

 
 
56,799
 
 
 
1,557
 
 
 
2.74
 
 
 
17,181
 
 
 
415
 
 
 
2.42
 

Other interest-earning assets

 
 
29,251
 
 
 
346
 
 
 
1.18
 
 
 
30,899
 
 
 
811
 
 
 
2.62
 

Total interest-earning assets

 
 
453,011
 
 
 
19,817
 
 
 
4.37
 
 
 
378,182
 
 
 
17,821
 
 
 
4.71
 

Non-interest-earning assets

 
 
38,036
 
 
 
 
 
 
 
 
 
 
 
30,960
 
 
 
 
 
 
 
 
 

Total assets

 
$
491,047
 
 
 
 
 
 
 
 
 
 
$
409,142
 
 
 
 
 
 
 
 
 

Interest-bearing liabilities:

Interest bearing accounts

 
$
63,389
 
 
 
82
 
 
 
0.13
%
 
$
56,605
 
 
 
53
 
 
 
0.09
%

Money market deposit accounts

 
 
88,965
 
 
 
1,136
 
 
 
1.28
 
 
 
64,363
 
 
 
524
 
 
 
0.81
 

Savings, including club deposits

 
 
42,044
 
 
 
67
 
 
 
0.16
 
 
 
39,354
 
 
 
48
 
 
 
0.12
 

Certificates of deposit

 
 
127,597
 
 
 
2,319
 
 
 
1.82
 
 
 
105,464
 
 
 
1,672
 
 
 
1.59
 

Total interest-bearing deposits

 
 
321,995
 
 
 
3,604
 
 
 
1.12
 
 
 
265,786
 
 
 
2,297
 
 
 
0.86
 

FHLB advances

 
 
58,401
 
 
 
1,414
 
 
 
2.42
 
 
 
48,772
 
 
 
1,294
 
 
 
2.65
 

Total interest-bearing liabilities

 
 
380,396
 
 
 
5,018
 
 
 
1.32
 
 
 
314,558
 
 
 
3,591
 
 
 
1.14
 

Non-interest-bearing liabilities:

Non-interest-bearing deposits

 
 
20,311
 
 
 
 
 
 
 
 
 
 
 
11,901
 
 
 
 
 
 
 
 
 

Other non-interest-bearing liabilities

 
 
9,218
 
 
 
 
 
 
 
 
 
 
 
7,771
 
 
 
 
 
 
 
 
 

Total liabilities

 
 
409,925
 
 
 
 
 
 
 
 
 
 
 
334,230
 
 
 
 
 
 
 
 
 

Total equity

 
 
81,122
 
 
 
 
 
 
 
 
 
 
 
74,912
 
 
 
 
 
 
 
 
 

Total liabilities and equity

 
$
491,047
 
 
 
 
 
 
 
 
 
 
$
409,142
 
 
 
 
 
 
 
 
 

Net interest income

 
 
 
 
 
$
14,799
 
 
 
 
 
 
 
 
 
 
$
14,230
 
 
 
 
 

Interest rate spread (3)

 
 
 
 
 
 
3.05
%
 
 
 
 
 
 
 
 
 
 
3.57
%
 
 
 
 

Net interest-earning assets (4)

 
$
72,615
 
 
 
 
 
 
 
 
 
 
$
63,624
 
 
 
 
 
 
 
 
 

Net interest margin (5)

 
 
 
 
 
 
3.27
%
 
 
 
 
 
 
 
 
 
 
3.76
%
 
 
 
 

Ratio of interest-earning assets to interest-bearing liabilities

 
 
 
 
 
 
119.09
%
 
 
 
 
 
 
120.23
%
 
 
 
 
 
 
 
 

ASSET QUALITY INDICATORS

 
June 30,
 
 
June 30,
 

(Dollars in thousands)

 
2020
 
 
2019
 

Non-performing assets:

Non-accruing loans

 
$ 
3,172
 
 
$ 
1,844
 

Accruing loans past due 90 days or more

 
 
90
 
 
 
147
 

Total non-performing loans

 
$ 
3,262
 
 
$ 
1,991
 

Real estate owned

 
 
100
 
 
 
–
 

Total non-performing assets

 
$ 
3,362
 
 
$ 
1,991
 

Non-performing loans to total loans and leases

 
 
0.64
%
 
 
0.60
%

Non-performing assets to total assets

 
 
0.46
%
 
 
0.48
%

ALLL to total loans and leases

 
 
0.69
%
 
 
0.96
%

ALLL to non-performing loans

 
 
107.88
%
 
 
161.18
%

Key performance ratios are as follows for the year ended (unaudited):

 
For the Year Ended
 

 
June 30,
 

 
2020
 
 
2019
 

PERFORMANCE RATIOS:

Return on average assets

 
 
0.27
%
 
 
0.92
%

Return on average assets (excluding merger charges and gain on bargain purchase)

 
 
0.79
%
 
 
1.11
%

Return on average equity

 
 
1.64
%
 
 
5.01
%

Return on average equity (excluding merger charges and gain on bargain purchase)

 
 
4.78
%
 
 
6.08
%

Net interest margin

 
 
2.90
%
 
 
3.76
%

Net charge-off ratio

 
 
0.06
%
 
 
0.01
%

Efficiency ratio

 
 
90.76
%
 
 
68.07
%

Efficiency ratio (excluding merger charges and gain on bargain purchase)

 
 
74.62
%
 
 
62.88
%

Tangible common equity

 
 
12.36
%
 
 
17.23
%

CONTACT:
Kenneth J. Stephon
President and CEO
PHONE: (856) 656-2201

SOURCE: William Penn Bancorp, Inc.

ReleaseID: 601272