STROUDSBURG, PA / ACCESSWIRE / April 24, 2019 / ESSA Bancorp, Inc. (the “Company”) (NASDAQ: ESSA), the holding company for ESSA Bank & Trust (the “Bank”), a $1.8 billion asset financial institution providing full service retail and commercial banking, financial, and investment services in eastern Pennsylvania, today announced financial results for the three months and six months ended March 31, 2019.

Net income was $2.9 million, or $0.26 per diluted share, for the three months ended March 31, 2019, compared with $2.3 million, or $0.21 per diluted share, for the three months ended March 31, 2018. Net income was $5.9 million, or $0.54 per diluted share, for the six months ended March 31, 2019, compared with $625,000 or $0.06 per diluted share, for the six months ended March 31, 2018. Results for the six months ended March 31, 2018 reflect a one-time charge to income tax expense of $3.7 million recorded in the Company’s first fiscal quarter of 2018 related to the reduction in the carrying value of the Company’s deferred tax assets, which resulted from the reduction in the federal corporate income tax rate under the Tax Cuts and Jobs Act of 2017.

Gary S. Olson, President and CEO, commented: “The Company’s fiscal second quarter and first half 2019 financial performance demonstrated continued progress toward our key goals of generating steady commercial loan growth, growing interest income from loans, expanding our deposit base, and operating with increasing efficiency and productivity. Importantly, a keen focus on maintaining credit quality while growing assets has led to consistently strong asset quality and our lower loan loss provision, which has supported positive earnings performance.”

SECOND QUARTER, FIRST HALF 2019 HIGHLIGHTS

Increased earnings reflected the Company’s continuing progress in driving revenue from lending activity, with net income in the fiscal second quarter of 2019 of $2.9 million, up 26.3% from $2.3 million in the fiscal second quarter of 2018. In the first half of fiscal 2019, pre-tax income of $7.0 million rose 33.0% compared with the first half of fiscal 2018. Note that pre-tax income was used in the fiscal first half comparison due to the one-time charge to income tax expense of $3.7 million in the fiscal first half of 2018 as described above.

Total interest income increased to $17.1 million in the second quarter of fiscal 2019 from $15.8 million in the second quarter of fiscal 2018, primarily reflecting higher interest income generated by loans.

A lower provision for loan losses contributed to year-over-year improvement in net interest income after provision for loan losses, which was $11.1 million in second quarter of fiscal 2019 compared with $10.8 million in second quarter of fiscal 2018, and $22.1 million in the first half of fiscal 2019 compared with $21.6 million in the same period a year earlier.

Total net loans at March 31, 2019 increased $30.1 million to $1.3 billion from September 30, 2018, primarily reflecting growth in commercial and commercial real estate loans. Year-to-date, net loan growth of $30.1 million includes a decline of $34.3 million in indirect auto loan balances during the same period. Net loans at March 31, 2019 were up 3.4%, or $43.9 million, compared with net loans at March 31, 2018, primarily reflecting commercial loan growth. The year-over-year decline in indirect auto loan balances outstanding was $66.5 million. Note that as previously disclosed, the Company discontinued indirect auto lending in July 2018.

Core deposits (demand accounts, savings and money market) increased to 62.7% of total deposits, reflecting year-over-year growth in noninterest bearing, lower-cost interest bearing and money market deposits.

Asset quality remained strong, with non-performing assets of $10.3 million, or 0.56% of total assets, at March 31, 2019 compared to $11.7 million, or 0.64% of total assets, at September 30, 2018 and $15.2 million, or 0.83% of total assets, at March 31, 2018.

Expense management led to a 2.8% decline in total noninterest expense for the quarter ended March 31, 2019 compared to the same period in 2018, while the efficiency ratio improved to 69.8% in the fiscal second quarter of 2019 compared to 71.0% in the fiscal second quarter of 2018. Year-over-year, total noninterest expense declined by 4.5% and the efficiency ratio improved to 69.0% in 2019 from 72.4% in 2018.

For the three months ended March 31, 2019, the Company’s return on average assets and return on average equity were 0.63% and 6.26%, compared with 0.50% and 5.12%, respectively, in the comparable period of fiscal 2018. The Company’s return on average assets for the six months ended March 31, 2019 was 0.64% and the return on average equity was 6.42% compared to 0.07% and 0.69% for the same period in fiscal 2018. Total stockholders’ equity increased to $183.6 million at March 31, 2019 from $179.2 million at September 30, 2018. Tangible book value per share at March 31, 2019 increased to $14.78, compared with $13.92 at September 30, 2018.

During the three months ended March 31, 2019 the Company repurchased 405,384 of its common stock at an aggregate cost of $6.5 million under a previously disclosed stock repurchase plan.

The Company paid a quarterly cash dividend of $0.10 per share on March 29, 2019, its 44th consecutive quarterly cash dividend to shareholders.

“The Company’s performance has generated continued value for shareholders and enabled us to make ongoing investments to build our team of high-performing bankers and expand our technological capabilities. Internal systems are enhancing our ability to more efficiently serve customers, while customer-facing applications in commercial banking have helped facilitate our growth. We are looking forward to the numerous opportunities as we enter the second half of our year.”

Second Quarter, First Half Income Statement Review

Total interest income was $17.1 million for the three months ended March 31, 2019, up from $15.8 million for the three months ended March 31, 2018. The primary driver was growth in interest income from loans to $14.0 million in fiscal second quarter 2019, up from $13.0 million a year earlier. Interest expense was $5.4 million for the quarter ended March 31, 2019 compared to $3.9 million for the same period in 2018, partially reflecting growth in borrowings along with increases in the cost of both borrowings and retail deposits.

Total interest income was $34.0 million for the six months ended March 31, 2019, up 8.9% from $31.2 million for the six months ended March 31, 2018. The primary driver was 8.6% growth in interest income from loans to $27.9 million in the first half of fiscal 2019, up from $25.7 million in the same period a year earlier. Interest expense in the first half of fiscal 2019 was $10.4 million compared to $7.5 million for the same period in 2018.

“We have a number of Company-wide initiatives in place to build our base of lower-cost core deposits and reduce the need for borrowed funds, whose rates have been rising,” noted Olson. “Growing new commercial relationships and expanding business with existing clients, who are the primary users of noninterest bearing demand accounts, is one component of these initiatives and contributed to 10.2% year-over-year growth in noninterest bearing deposits.”

Net interest income was $11.7 million for the three months ended March 31, 2019, compared with $11.9 million for the comparable period in fiscal 2018. The net interest margin for the second quarter of fiscal 2019 was 2.71%, compared with 2.84% for the second quarter of fiscal 2018. The net interest rate spread was 2.50% in second quarter fiscal 2019, compared with 2.71% for the second quarter of fiscal 2018.

For the six months ended March 31, 2019, net interest income was $23.6 million compared with $23.7 million for the comparable period in 2018. The net interest margin for the six months ended March 31, 2019 was 2.72%, compared with 2.81% for the same period in 2018. The net interest rate spread was 2.51% in six months ended March 31, 2019, compared with 2.69% for 2018.

The Company’s provision for loan losses decreased to $600,000 for the three months ended March 31, 2019, compared with $1.1 million for the three months ended March 31, 2018. This decrease reflected provisioning primarily related to declining charge off activity and improving nonperforming assets. The Company’s provision for loan losses decreased to $1.5 million for the six months ended March 31, 2019, compared with $2.1 million for the six months ended March 31, 2018.

Noninterest income increased 6.3% to $2.1 million for the three months ended March 31, 2019, compared with $1.9 million for the three months ended March 31, 2018. An increase in other income was the primary driver of the noninterest income increase, reflecting a settlement of approximately $280,000 from a previously
purchased credit impaired loan.

For the six months ended March 31, 2019, noninterest income increased 7.2% to $4.2 million compared with $3.9 million for the six months ended March 31, 2018. An increase in other income was the primary driver of the noninterest income increase, which included the recovery of $226,000 of previously expensed professional fees related to the settlement of a non-performing loan and the $280,000 recovery noted above.

Noninterest expense decreased to $9.7 million for the three months ended March 31, 2019 compared with $10.0 million for the comparable period in fiscal 2018. Noninterest expense decreased $907,000 or 4.5%, to $19.4 million for the six months ended March 31, 2019 compared with $20.3 million for the comparable period in fiscal 2018. The decrease in all noninterest expense categories other than compensation and employee benefits and data processing for the six months ended March 31, 2019 compared to the same period in 2018 reflects the Company’s focus on expense management and reducing its efficiency ratio.

Balance Sheet, Asset Quality and Capital Adequacy Review

Total assets grew $2.0 million to $1.84 billion at March 31, 2019, from $1.83 billion at September 30, 2018, primarily reflecting growth in loans, and a decline in investment securities available for sale. The Company sold $20.5 million of investment securities during the second quarter of fiscal 2019 at a gain of $39,000. The funds were used to partially fund commercial loan growth.

Total net loans increased to $1.34 billion at March 31, 2019 from $1.31 billion at September 30, 2018. Residential real estate loans were $595.1 million at March 31, 2019, up $14.6 million from September 30, 2018. The Company purchased $22.3 million of 1 to 4 family, adjustable-rate residential loans during the quarter ended December 31, 2018. Indirect auto loans declined $34.3 million to $111.9 million at March 31, 2019 from $146.2 million at September 30, 2018, reflecting expected runoff of the portfolio following our previously announced discontinuation of indirect auto lending in July 2018.

Commercial real estate (“CRE”) loans were $458.3 million at March 31, 2019, up from $416.6 million at September 30, 2018 and reflected strong year-over-year growth from $383.6 million at March 31, 2018. Residential multi-family lending has been a particularly strong component of CRE activity. Commercial (primarily commercial and industrial) loans increased to $58.7 million at March 31, 2019 from $49.5 million at September 30, 2018 and were up from $49.3 million at March 31, 2018, reflecting balanced activity in a number of business sectors.

Peter A Gray, Executive Vice President and Chief Banking Officer, commented: “ESSA’s ability to provide comprehensive lending, deposit and treasury management solutions, backed by quality service and a consultative relationship management approach from a team of seasoned professionals, have supported the Company’s ongoing commercial banking growth.”

Total deposits decreased $43.0 million, or 3.2%, to $1.29 billion at March 31, 2019 from September 30, 2018, primarily due to a decrease in municipal deposits of $64.2 million. Core deposits (demand accounts, savings and money market) were $811.3 million, or 62.7% of total deposits, at March 31, 2019 compared to $727.6 million, or 58.7% of total deposits, at March 31, 2018. Noninterest bearing demand accounts exhibited strong year-over-year growth, increasing 10.2% to $167.9 million, while interest bearing demand accounts grew 8.5% to $178.6 million. Total borrowings increased $39.5 million to $338.0 million at March 31. 2019 from $298.5 million at September 30, 2018, primarily due to the decrease in deposits during the same period.

Asset quality remained strong. Nonperforming assets totaled $10.3 million, or 0.56% of total assets, at March 31, 2019, down from $11.7 million, or 0.64% of total assets, at September 30, 2018 and sharply lower than nonperforming assets of $15.2
million, or 0.83% of total assets, a year earlier at March 31, 2018. The allowance for loan losses was $12.4 million, or 0.92% of loans outstanding, at March 31, 2019, up slightly from $11.7 million, or 0.89% of loans outstanding at September 30, 2018, primarily reflecting prudent reserving to match loan growth.

For the three months ended March 31, 2019, the Company’s return on average assets and return on average equity were 0.63% and 6.26%, compared with 0.50% and 5.12%, respectively, in the comparable period of fiscal 2018. For the six months ended March 31, 2019, the Company’s return on average assets and return on average equity were 0.64% and 6.42%, compared with 0.07% and 0.69%, respectively for the comparable fiscal 2018 period.

The Bank continued to demonstrate financial strength with a Tier 1 leverage ratio of 8.96% at March 31, 2019, exceeding regulatory standards for a well-capitalized institution. The Company maintained a tangible equity to tangible assets ratio of 9.26% at March 31, 2019.

Total stockholders’ equity increased $4.5 million to $183.7 million at March 31, 2019, from $179.2 million at September 30, 2018, primarily reflecting the net income for the period and a decrease in other comprehensive loss, which primarily reflected mark-to-market adjustments to the value of investment securities classified as available for sale. Tangible book value per share at March 31, 2019 was $14.78, compared with $13.92 at September 30, 2018.

About the Company: ESSA Bancorp, Inc. is the holding company for its wholly-owned subsidiary, ESSA Bank & Trust, which was formed in 1916. Headquartered in Stroudsburg, Pennsylvania, the Company has total assets of $1.8 billion and has 22 community offices throughout the Greater Pocono, Lehigh Valley, Scranton/Wilkes-Barre, and suburban Philadelphia areas. ESSA Bank & Trust offers a full range of commercial and retail financial services, financial advisory and asset management capabilities. ESSA Bancorp Inc. stock trades on the NASDAQ Global Market (SM) under the symbol “ESSA”.

Forward-Looking Statements

Certain statements contained herein are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements may be identified by reference to a future period or periods, or by the use of forward-looking terminology, such as “may,” “will,” “believe,” “expect,” “estimate,” “anticipate,” “continue,” or similar terms or variations on those terms, or the negative of those terms. Forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, those related to the economic environment, particularly in the market areas in which the Company operates, competitive products and pricing, fiscal and monetary policies of the U.S. Government, changes in government regulations affecting financial institutions, including compliance costs and capital requirements, changes in prevailing interest rates, acquisitions and the integration of acquired businesses, credit risk management, asset-liability management, the financial and securities markets and the availability of and costs associated with sources of liquidity, and the Risk Factors disclosed in our annual and quarterly reports.

The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The Company wishes to advise readers that the factors listed above could affect the Company’s financial performance and could cause the Company’s actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not undertake and specifically declines any obligation to publicly release the result of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.

ESSA BANCORP, INC. AND SUBSIDIARY
CONSOLIDATED BALANCE SHEET
(UNAUDITED)

March 31,

2019

September 30,

2018

(dollars in thousands)

ASSETS

Cash and due from banks

$
34,535

$
39,197

Interest-bearing deposits with other institutions

6,624

4,342

Total cash and cash equivalents

41,159

43,539

Certificates of deposit

250

500

Investment securities available for sale, at fair value

348,617

371,438

Loans receivable (net of allowance for loan losses of $12,389 and $11,688)

1,335,197

1,305,071

Regulatory stock, at cost

14,633

12,973

Premises and equipment, net

14,323

14,601

Bank-owned life insurance

39,114

38,630

Foreclosed real estate

665

1,141

Intangible assets, net

1,213

1,375

Goodwill

13,801

13,801

Deferred income taxes

5,665

8,441

Other assets

21,177

22,280

TOTAL ASSETS

$
1,835,814

$
1,833,790

LIABILITIES

Deposits

$
1,293,883

$
1,336,855

Short-term borrowings

198,293

179,773

Other borrowings

139,673

118,723

Advances by borrowers for taxes and insurance

10,353

6,826

Other liabilities

9,975

12,427

TOTAL LIABILITIES

1,652,177

1,654,604

STOCKHOLDERS’ EQUITY

Common stock

181

181

Additional paid in capital

180,857

180,765

Unallocated common stock held by the Employee Stock Ownership Plan

(8,029
)

(8,255
)

Retained earnings

97,821

94,112

Treasury stock, at cost

(83,864
)

(77,707
)

Accumulated other comprehensive loss

(3,329
)

(9,910
)

TOTAL STOCKHOLDERS’ EQUITY

183,637

179,186

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

$
1,835,814

$
1,833,790

ESSA BANCORP, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENT OF OPERATIONS
(UNAUDITED)

Three Months

Ended March 31

Six Months

Ended March 31

2019

2018

2019

2018

(dollars in thousands, except per share data)

INTEREST INCOME

Loans receivable

14,042

$
12,953

$
27,949

$
25,736

Investment securities:

Taxable

2,530

2,186

5,012

4,244

Exempt from federal income tax

94

285

230

573

Other investment income

462

423

806

670

Total interest income

17,128

15,847

33,997

31,223

INTEREST EXPENSE

Deposits

3,555

2,359

6,943

4,736

Short-term borrowings

1,172

951

2,249

1,535

Other borrowings

669

602

1,188

1,249

Total interest expense

5,396

3,912

10,380

7,520

NET INTEREST INCOME

11,732

11,935

23,617

23,703

Provision for loan losses

600

1,100

1,476

2,100

NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES

11,132

10,835

22,141

21,603

NONINTEREST INCOME

Service fees on deposit accounts

784

821

1,647

1,704

Services charges and fees on loans

276

299

606

668

Realized and Unrealized gains on equity securities

3

–

1

–

Trust and investment fees

235

237

474

477

Gain on sale of investment securities available for sale

39

75

43

75

Earnings on Bank-owned life insurance

240

249

484

504

Insurance commissions

194

204

395

375

Other

297

60

544

111

Total noninterest income

2,068

1,945

4,194

3,914

NONINTEREST EXPENSE

Compensation and employee benefits

6,035

5,900

12,159

11,908

Occupancy and equipment

1,112

1,186

2,138

2,371

Professional fees

646

626

1,170

1,192

Data processing

930

888

1,833

1,817

Advertising

204

201

359

359

Federal Deposit Insurance Corporation Premiums

182

256

369

445

Loss(Gain) on foreclosed real estate

11

32

-104

-4

Amortization of intangible assets

77

135

161

279

Other

514

764

1,278

1,903

Total noninterest expense

9,711

9,988

19,363

20,270

Income before income taxes

3,489

2,792

6,972

5,247

Income taxes

630

529

1,104

4,622

Net Income

$
2,859

$
2,263

$
5,868

$
625

Earnings per share:

Basic

$
0.26

$
0.21

$
0.54

$
0.06

Diluted

$
0.26

$
0.21

$
0.54

$
0.06

Dividends per share

$
0.10

$
0.09

$
0.20

$
0.18

For the Three Months

Ended March 31,

For the Six Months

Ended March 31,

2019

2018

2019

2018

(dollars in thousands)

(UNAUDITED)

(dollars in thousands)

(UNAUDITED)

CONSOLIDATED AVERAGE BALANCES:

Total assets

$
1,850,123

$
1,822,352

$
1,841,372

$
1,812,366

Total interest-earning assets

1,752,867

1,702,982

1,741,373

1,689,856

Total interest-bearing liabilities

1,484,379

1,469,427

1,479,834

1,457,205

Total stockholders’ equity

185,360

179,250

183,264

181,719

PER COMMON SHARE DATA:

Average shares outstanding – basic

10,825,626

10,796,353

10,891,187

10,749,088

Average shares outstanding – diluted

10,825,626

10,822,109

10,891,187

10,780,379

Book value shares

11,408,935

11,732,222

11,408,935

11,732,222

Net interest rate spread

2.50
%

2.71
%

2.51
%

2.69
%

Net interest margin

2.71
%

2.84
%

2.72
%

2.81
%

Contact: Gary S. Olson, President & CEO
Corporate Office: 200 Palmer Street
Stroudsburg, Pennsylvania 18360
Telephone: (570) 421-0531

SOURCE: ESSA Bancorp, Inc.

ReleaseID: 542939

VANCOUVER, BC / ACCESSWIRE / April 24, 2019 / Unity Metals Corp. (“Unity” or the “Company”) (TSXV: UTY) is pleased to announce the results from the Q1 field reconnaissance program at the Phillips Arm Gold Camp, which is comprised of the Margurete and Hewitt Point claims. The primary purpose of the program was to follow up on and verify historic outcrop sampling from 1985 and drill holes from 1986, both conducted by Falconbridge, to refine targets for Unity’s proposed 2019 diamond drilling program. The investigation was successful, in that assay results from the reconnaissance program returned similar values seen in the upper sections of the 1986 drilling. In total, 99 rock samples and 2.32m of backpack drill core were taken.

The best rock sample (#36733), taken from a vein outcrop at the Falconbridge 1986 drill pad, assayed 14.05g/t Au, 34g/t Ag and 0.78% Zn.
Another rock sample (#36730), obtained from a road cut along vein strike from Falconbridge drill pad, assayed 4.21g/t Au.
In addition, a further seven samples assayed greater than 1g/t Au and overall one third (32/99) of the samples assayed greater than 0.1g/t Au, which may be indicative of a broader mineralized system.
In addition, a new target area was also identified through an outcrop located in a previously unexplored section in the south of the Margurete claims. A sample from that outcrop assayed 1.84g/t Au and 1.6g/t Ag.
Back pack drilling at the surface of the Falconbridge 1986 drill pad also encountered anomalous gold values. The highest value obtained was 0.644g/t Au over 0.49m (#MG19-02).

Unity is also pleased to announce that it has completed an initial prospecting and backpack drilling program on the new Hewitt and Enid claim blocks in the Phillips Arm Gold Camp. In all, 132 samples were collected, with 15 collected on the Enid claims and the balance collected on the Hewitt Point block. At Hewitt Point three historic occurrences were identified and sampled with mineralization found at all three and, in some cases, followed and sampled along strike. The Amethyst and Hewitt adits were mapped and sampled, while the Monte Cristo historic bulk sample site was also identified and sampled. Tracing mineralized veins away from the historic adits may lead to expansion of known mineralization. Assay results will be announced as they become available.

About the Company

Unity Metals Corp. is a Vancouver-based gold exploration company. The Company controls a 100% interest in the Margurete Gold Project, which covers 678ha of mineral claims, located in the Phillips Arm gold camp, approximately 200 kilometers northwest of Vancouver in southwest British Columbia, Vancouver Mining Division. The project is on trend with the historic Doratha Morton and Alexandria gold mines, which were active in the late 1800’s. The Margurete project was last explored in 2015 with property-wide prospecting, mapping and rock chip sampling run in parallel with a targeted diamond drilling program. The primary target at the Margurete Gold Project is the FB Zone, where Falconbridge drilled multiple gold bearing intervals at shallow depths. For more information, please visit www.unitymetalscorp.com.

The technical content of this news release has been reviewed and approved by Dr. Peter Born, P. Geo., a Qualified Person for the purposes of National Instrument 43-101.

On behalf of the Company,

Peter Born

Peter Born, President

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release. This news release may contain forward-looking statements. These statements are based on
current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statement or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

SOURCE: Unity Metals Corp.

ReleaseID: 542709

TORONTO, ON / ACCESSWIRE / April 24, 2019 / Easton Pharmaceuticals, Inc. (the “Company” or “Easton”) (OTC PINK: EAPH) is pleased to announce that it has now officially closed on its acquisition of a food processing company based in Toronto, Canada.

Easton has completed its acquisition of Supreme Sweets Inc. and 2498411 Ontario Inc. (collectively the “Acquiree”), which includes all the tangible and intangible assets of the company such as equipment, intellectual property (patents, trade secrets, formulas, etc.) and client lists of both Supreme Sweets Inc. and 2498411 Ontario Inc. The purchase was completed with a combination of cash and Easton stock. The Aquiree will be paid the stock the earlier of 3 years or based on revenue milestones being achieved.

Easton saw an opportunity to acquire a company with a proven track record, but also major expansion opportunities that can potentially grow its sales to over an estimated $50,000,000 per year in baked goods. The Company expects its edibles division to reach $100 million in short order through the supply to major chains.

The business operates from a 40,000 square foot certified facility in Toronto, Canada, and produces high quality traditional baked goods, including higher margin gluten free and keto products. The business supplies baked goods to major grocery chains in North America, as well as specialty coffee chains, under its own brands or as a contract packer. The acquisition is strategic for Easton to enter the Cannabis Edibles market and to supply premium Cannabis Edibles for various ailments through its existing distribution channels, while it continues to grow the traditional baked goods business with new specialty product launches. The Company is anticipating sales to reach $20,000,000 over the next 12 months with increasing margins once economies of scale begin to take effect. Further, Easton has signed an LOI with a licensed producer of Cannabis based in Toronto, Canada and is working towards completing a definitive agreement which will secure a legal supply of oil and flower for its product launches.

Easton acquired the business from Barbara and Mario Parravano, the founders of Supreme Sweets, who have over 60 years of combined experience in the industry and have been innovators in the marketplace. “We are extremely excited to have completed this transaction and to be working with Easton to bring high quality baked goods to the market,” stated Mario Parravano. The completion of this transaction has positioned Easton to become a leader in the development of Cannabis Edibles which are expected to become legal in Canada in the fourth quarter of 2019. Easton will be operating from a large-scale production facility that can meet large commercial orders as well as be used for R&D and to develop new products. Evan Karras, CEO of Easton, stated “We are very pleased to have completed our acquisition of Supreme Sweets and are very excited for the direction of the Company. This acquisition forms part of our strategic growth plan to add shareholder value and will give Easton the platform to enter the Cannabis industry.”

More information will be announced in the upcoming days, while Easton plans the re-launch of its websites.

About Easton Pharmaceuticals

Easton Pharmaceuticals is a diversified company and as part of its strategic growth plan, the Company has entered new lucrative market segments globally, including Food & Beverage, Real Estate Development and Gaming. Easton has been a specialty pharmaceutical company involved in various pharmaceutical sectors and other growing industries and previously developed and owned an FDA-approved wound-healing medical drug and currently owns topically delivered drugs to treat cancer and other therapeutic products to treat various conditions that are all in various stages of development and approval. Easton, together with BMV Medica S.A. own the exclusive distribution rights in Mexico and Latin America for two patented women’s diagnostic products and a novel natural treatment for Bacterial Vaginosis, which they have sub-licensed to Bayer and Gedeon Richter. In addition, a generic cancer drugs line is being developed for sale in Mexico. The company’s gel formulation is thought to be an innovative and unique transdermal delivery system that can in the future be adaptable in the delivery of other drugs.

For More Information on Easton and Affiliated and Partner Company’s Visit:

http://www.eastonpharmaceuticalsinc.com
http://finance.yahoo.com/q?s=eaph
https://twitter.com/eastonpharma

Safe Harbor

This news release may contain forward-looking statements or expressions within the meaning of the Private Securities Litigation Reform Act of 1995 (The “Act”). In particular, when certain words or phrases such as “hope,” “positive,” “anticipate,” “pleased,” “plan,” “confident that,” “believe,” “expect,” ‘possible” or “intent to” and similar conditional expressions are expressed, they are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Any investment made into Easton Pharmaceuticals may contain risks. Such risks and uncertainties include, but are not limited to, market conditions, general acceptance of the company’s products and technologies, competitive factors, the ability to successfully complete additional or adequate financing, government approvals or changes to proposed laws and other risks and uncertainties further stated in the company’s financial reports and filings.

CONTACT INFORMATION

Easton Pharmaceuticals, Inc.
Tel: +1 (647) 362-5700
Email: eastonpharma@protonmail.com
www.eastonpharmaceuticalsinc.com

SOURCE: Easton Pharmaceuticals, Inc.

ReleaseID: 542940

Return on Equity 13.90%
Tier 1 Leverage Ratio 13.70%

FORT WORTH, TX / ACCESSWIRE / April 24, 2019 / Trinity Bank N.A. (OTC PINK: TYBT) today announced operating results for the three months ending March 31, 2019.

Results of Operations

Trinity Bank, N.A. reported Net Income After Taxes of $1,202,000 or $1.08 per diluted common share for the first quarter of 2019, compared to $1,129,000 or $1.00 per diluted common share for the first quarter of 2018, an increase of 8.0%.

Jeffrey M. Harp, President, stated, “First Quarter 2019 results were very good. Return on Assets of 1.91% reflects very favorably to the Peer Group average ROA of 1.19%, and Trinity Bank continues to operate with exceptional efficiency. The current economic environment is volatile (to say the least), but we look forward to meeting the challenge with the goal of producing exceptional results.”

Executive Vice President, Matt Opitz, stated, “We are pleased to announce that Travis Smart has accepted an offer to join the Trinity Bank team as Vice President of commercial banking. Travis brings with him a proven ability to generate and maintain quality commercial banking relationships. With the addition of Travis, Trinity Bank, in the last 18 months, has gone from two lenders (Barney Wiley and Jeff Harp) to five. We are excited about what five revenue producers will mean for Trinity’s goal to continue growing and expanding our customer base in the North Texas marketplace.”

Profitability

3/31/2019

3/31/2018

Return on Assets

1.91%

1.73%

Return on Equity

13.90%

14.34%

Average for Quarter Ending

3/31/2019

3/31/2018

%

(in 000’s)

Loans

$152,227

$137,942

10.4

Deposits

$216,220

$228,828

(5.5)

Trinity Bank First Quarter 2019

Actual for Quarter Ending

(in 000’s)

3/31/2019

3/31/2018

%

Net Interest Income

$2,420

$2,277

6.3

Non-Interest Income

123

129

(4.7)

Non-Interest Expense

(1,129)

(1,131)

(0.2)

Pretax Preprovision Income

$1,414

$1,275

10.9

Gain on Sale of Securities and Assets

(2)

0

N/M

Loan Loss Provision

(30)

0

N/M

Pre Tax Income

1,382

1,275

8.4

Income Tax

180

146

N/M

Net Income

$1,202

$1,129

6.5

Diluted Weighted Average Shares

1,118

1,125

.

Earnings per Share

$1.08

$1.00

8.0

Trinity Bank, N.A. is a commercial bank that began operations May 28, 2003. For a full financial statement, visit Trinity Bank’s website: www.trinitybk.com Regulatory reporting format is also available at www.fdic.gov.

For information contact:

Richard Burt
Executive Vice President
Trinity Bank
817-763-9966

This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding future financial conditions, results of operations and the Bank’s business operations. Such forward-looking statements involve risks, uncertainties and assumptions, including, but not limited to, monetary policy and general economic conditions in Texas and the greater Dallas-Fort Worth metropolitan area, the risks of changes in interest rates on the level and composition of deposits, loan demand and the values of loan collateral, securities and interest rate protection agreements, the actions of competitors and customers, the success of the Bank in implementing its strategic plan, the failure of the assumptions underlying the reserves for loan losses and the estimations of values of collateral and various financial assets and liabilities, that the costs of technological changes are more difficult or expensive than anticipated, the effects of regulatory restrictions imposed on banks generally, any changes in fiscal, monetary or regulatory policies and other uncertainties as discussed in the Bank’s Registration Statement on Form SB‑1 filed with the Office of the Comptroller of the Currency. Should one or more of these risks or uncertainties materialize, or should these underlying assumptions prove incorrect, actual outcomes may vary materially from outcomes expected or anticipated by the Bank. A forward-looking statement may include a statement of the assumptions or bases underlying the forward‑looking statement. The Bank believes it has chosen these assumptions or bases in good faith and that they are reasonable. However, the Bank cautions you that assumptions or bases almost always vary from actual results, and the differences between assumptions or bases and actual results can be material. The Bank undertakes no obligation to publicly update or otherwise revise any forward‑looking statements, whether as a result of new information, future events or otherwise, unless the securities laws require the Bank to do so.

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Quarter Ended

March 31

%

EARNINGS SUMMARY

2019

2018

Change

Interest income

$
2,814

$
2,486

13.2
%

Interest expense

394

209

88.5
%

Net Interest Income

2,420

2,277

6.3
%

Service charges on deposits

40

42

-4.8
%

Other income

83

87

-4.6
%

Total Non Interest Income

123

129

-4.7
%

Salaries and benefits expense

763

628

21.5
%

Occupancy and equipment expense

107

121

-11.6
%

Other expense

259

382

-32.2
%

Total Non Interest Expense

1,129

1,131

-0.2
%

Pretax pre-provision income

1,414

1,275

10.9
%

Gain on sale of securities

(2
)

0

N/M

Gain on sale of foreclosed assets

0

0

N/M

Gain on sale of assets

0

0

N/M

Provision for Loan Losses

30

0

N/M

Earnings before income taxes

1,382

1,275

8.4
%

Provision for income taxes

180

146

N/M

Net Earnings

$
1,202

$
1,129

6.5
%

Basic earnings per share

1.09

1.02

6.9
%

Basic weighted average shares

1,099

1,106

outstanding

Diluted earnings per share – estimate

1.08

1.00

8.0
%

Diluted weighted average shares outstanding

1,118

1,125

Average for Quarter

March 31

%

BALANCE SHEET SUMMARY

2019

2018

Change

Total loans

$
152,227

$
137,942

10.4
%

Total short term investments

12,728

23,035

-44.7
%

Total investment securities

79,278

92,926

-14.7
%

Earning assets

244,233

253,903

-3.8
%

Total assets

251,901

260,399

-3.3
%

Noninterest bearing deposits

73,881

82,622

-10.6
%

Interest bearing deposits

142,339

146,206

-2.6
%

Total deposits

216,220

228,828

-5.5
%

Fed Funds Purchased and Repurchase Agreements

1,187

0

N/M

Shareholders’ equity

$
33,940

$
31,308

8.4
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Average for Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

BALANCE SHEET SUMMARY

2019

2018

2018

2018

2018

Total loans

$
152,227

$
144,801

$
145,280

$
147,227

$
137,942

Total short term investments

12,728

23,175

18,368

10,843

23,035

Total investment securities

79,278

79,700

80,509

84,981

92,926

Earning assets

244,233

247,676

244,157

243,051

253,903

Total assets

251,901

255,113

251,839

250,070

260,399

Noninterest bearing deposits

73,881

81,187

83,151

80,637

82,622

Interest bearing deposits

142,339

141,081

135,815

135,940

146,206

Total deposits

216,220

222,268

218,966

216,577

228,828

Fed Funds Purchased and Repurchase Agreements

1,187

0

0

1,566

0

Shareholders’ equity

$
33,940

$
31,948

$
32,151

$
31,236

$
31,308

Quarter Ended

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

HISTORICAL EARNINGS SUMMARY

2019

2018

2018

2018

2018

Interest income

$
2,814

$
2,785

$
2,658

$
2,591

$
2,486

Interest expense

394

358

309

241

209

Net Interest Income

2,420

2,427

2,349

2,350

2,277

Service charges on deposits

40

31

38

37

42

Other income

83

101

111

100

87

Total Non Interest Income

123

132

149

137

129

Salaries and benefits expense

763

757

707

731

628

Occupancy and equipment expense

107

120

119

106

121

Other expense

259

289

272

302

382

Total Non Interest Expense

1,129

1,166

1,098

1,139

1,131

Pretax pre-provision income

1,414

1,393

1,400

1,348

1,275

Gain on sale of securities

(2
)

3

4

7

0

Gain on sale of foreclosed assets

0

0

0

0

0

Gain on sale of other assets

0

0

0

0

0

Provision for Loan Losses

30

30

30

30

0

Earnings before income taxes

1,382

1,366

1,374

1,325

1,275

Provision for income taxes

180

166

184

166

146

Net Earnings

$
1,202

$
1,200

$
1,190

$
1,159

$
1,129

Diluted earnings per share

$
1.08

$
1.08

$
1.07

$
1.03

$
1.00

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Ending Balance

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

HISTORICAL BALANCE SHEET

2019

2018

2018

2018

2018

Total loans

$
160,028

$
154,184

$
143,846

$
150,833

$
142,848

Total short term investments

14,160

13,127

23,080

7,454

20,766

Total investment securities

75,906

81,896

79,234

78,840

93,034

Total earning assets

250,094

249,207

246,160

237,127

256,648

Allowance for loan losses

(1,703
)

(1,671
)

(1,664
)

(1,634
)

(1,604
)

Premises and equipment

2,613

2,627

2,652

2,729

2,725

Other Assets

5,506

7,018

5,892

7,582

5,046

Total assets

256,510

257,181

253,040

245,804

262,815

Noninterest bearing deposits

69,934

85,668

81,856

79,678

86,903

Interest bearing deposits

150,895

137,979

137,926

133,922

143,929

Total deposits

220,829

223,647

219,782

213,600

230,832

Fed Funds Purchased and Repurchase Agreements

0

0

0

0

0

Other Liabilities

1,158

701

1,311

610

1,143

Total liabilities

221,987

224,348

221,093

214,210

231,975

Shareholders’ Equity Actual

34,522

34,051

32,772

32,244

31,497

Unrealized Gain – AFS

1

(1,218
)

(825
)

(650
)

(657
)

Total Equity

$
34,523

$
32,833

$
31,947

$
31,594

$
30,840

Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

NONPERFORMING ASSETS

2019

2018

2018

2018

2018

Nonaccrual loans

$
952

$
60

$
137

$
179

$
224

Restructured loans

$
0

$
0

$
0

$
0

$
0

Other real estate & foreclosed assets

$
0

$
0

$
0

$
0

$
0

Accruing loans past due 90 days or more

$
0

$
0

$
0

$
0

$
0

Total nonperforming assets

$
952

$
60

$
137

$
179

$
224

Accruing loans past due 30-89 days

$
477

$
0

$
456

$
458

$
0

Total nonperforming assets as a percentage

of loans and foreclosed assets

0.59
%

0.04
%

0.10
%

0.12
%

0.16
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

Quarter Ending

ALLOWANCE FOR

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

LOAN LOSSES

2019

2018

2018

2018

2018

Balance at beginning of period

$
1,671

$
1,664

$
1,634

$
1,604

$
1,600

Loans charged off

0

23

0

0

0

Loan recoveries

2

0

0

0

4

Net (charge-offs) recoveries

2

(23
)

0

0

4

Provision for loan losses

30

30

30

30

0

Balance at end of period

$
1,703

$
1,671

$
1,664

$
1,634

$
1,604

Allowance for loan losses

as a percentage of total loans

1.06
%

1.08
%

1.10
%

1.08
%

1.12
%

Allowance for loan losses

as a percentage of nonperforming assets

179
%

2785
%

930
%

913
%

716
%

Net charge-offs (recoveries) as a

percentage of average loans

-0.01
%

0.02
%

0.00
%

0.00
%

-0.01
%

Provision for loan losses

as a percentage of average loans

0.02
%

0.02
%

0.02
%

0.02
%

0.00
%

Quarter Ending

March 31,

Dec 31,

Sept. 30,

June 30,

March 31,

SELECTED RATIOS

2019

2018

2018

2018

2018

Return on average assets (annualized)

1.91
%

1.88
%

1.89
%

1.85
%

1.73
%

Return on average equity (annualized)

14.17
%

15.02
%

14.81
%

14.84
%

14.42
%

Return on average equity (excluding unrealized gain on investments)

13.90
%

14.39
%

14.53
%

14.51
%

14.34
%

Average shareholders’ equity to average assets

13.47
%

12.52
%

12.77
%

12.49
%

12.02
%

Yield on earning assets (tax equivalent)

4.86
%

4.75
%

4.59
%

4.53
%

4.19
%

Effective Cost of Funds

0.64
%

0.58
%

0.51
%

0.40
%

0.33
%

Net interest margin (tax equivalent)

4.22
%

4.17
%

4.08
%

4.13
%

3.86
%

Efficiency ratio (tax equivalent)

41.9
%

37.9
%

41.5
%

43.0
%

43.9
%

End of period book value per common share

$
31.44

$
29.85

$
29.07

$
28.13

$
27.88

End of period book value (excluding unrealized gain on investments)

$
31.44

$
30.96

$
29.82

$
29.31

$
28.48

End of period common shares outstanding (in 000’s)

1,098

1,100

1,099

1,100

1,106

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

3 Months Ending

March 31, 2019

March 31, 2018

Tax

Tax

Average

Equivalent

Average

Equivalent

YIELD ANALYSIS

Balance

Interest

Yield

Yield

Balance

Interest

Yield

Yield

Interest Earning Assets:

Short term investment

$
12,350

76

2.46
%

2.46
%

$
22,661

89

1.57
%

1.57
%

FRB Stock

378

6

6.00
%

6.00
%

374

6

6.00
%

6.00
%

Taxable securities

911

5

2.20
%

2.20
%

0

0

0.00
%

0.00
%

Tax Free securities

78,367

579

2.96
%

3.74
%

92,926

649

2.79
%

3.53
%

Loans

152,227

2,148

5.64
%

5.64
%

137,942

1,742

5.05
%

5.05
%

Total Interest Earning Assets

244,233

2,814

4.61
%

4.86
%

253,903

2,486

3.92
%

4.19
%

Noninterest Earning Assets:

Cash and due from banks

4,904

3,767

Other assets

4,447

4,333

Allowance for loan losses

(1,683
)

(1,604
)

Total Noninterest Earning Assets

7,668

6,496

Total Assets

$
251,901

$
260,399

Interest Bearing Liabilities:

Transaction and Money Market accounts

115,560

261

0.90
%

0.90
%

120,745

146

0.48
%

0.48
%

Certificates and other time deposits

26,779

124

1.85
%

1.85
%

25,461

63

0.99
%

0.99
%

Other borrowings

1,187

9

3.03
%

3.03
%

0

0

0.30
%

0.30
%

Total Interest Bearing Liabilities

143,526

394

1.10
%

1.10
%

146,206

209

0.57
%

0.57
%

Noninterest Bearing Liabilities:

Demand deposits

73,881

82,622

Other liabilities

554

263

Shareholders’ Equity

33,940

31,308

Total Liabilities and Shareholders Equity

$
251,901

$
260,399

Net Interest Income and Spread

2,420

3.51
%

3.76
%

2,277

3.34
%

3.62
%

Net Interest Margin

3.96
%

4.22
%

3.58
%

3.86
%

TRINITY BANK N.A.
(Unaudited)
(Dollars in thousands, except per share data)

March 31

March 31

2019

%

2018

%

LOAN PORTFOLIO

Commercial and industrial

$
92,873

58.04
%

$
78,423

54.86
%

Real estate:

Commercial

24,424

15.26
%

20,664

14.46
%

Residential

16,895

10.56
%

24,766

17.33
%

Construction and development

25,215

15.76
%

18,552

12.98
%

Consumer

621

0.39
%

539

0.38
%

Total loans (gross)

160,028

100.00
%

142,944

100.00
%

Unearned discounts

0

0.00
%

0

0.00
%

Total loans (net)

$
160,028

100.00
%

$
142,944

100.00
%

March 31

March 31

2018

2018

REGULATORY CAPITAL DATA

Tier 1 Capital

$
34,522

$
31,497

Total Capital (Tier 1 + Tier 2)

$
36,225

$
33,101

Total Risk-Adjusted Assets

$
174,228

$
160,648

Tier 1 Risk-Based Capital Ratio

19.81
%

19.61
%

Total Risk-Based Capital Ratio

20.79
%

20.60
%

Tier 1 Leverage Ratio

13.70
%

12.10
%

OTHER DATA

Full Time Equivalent

Employees (FTE’s)

21

19

Stock Price Range

(For the Three Months Ended):

High

$
65.50

$
59.83

Low

$
65.50

$
58.50

Close

$
65.50

$
59.05

SOURCE: Trinity Bank N.A.

ReleaseID: 542895