Virginia National Bankshares Corporation has reported a 35.18 percent jump in profit for the quarter ended Dec. 31, 2016. The company has earned $1.49 million, or $0.62 a share in the quarter, compared with $1.10 million, or $0.44 a share for the same period last year.
Revenue during the quarter grew 10.05 percent to $6.09 million from $5.53 million in the previous year period. Net interest income for the quarter rose 9.45 percent over the prior year period to $4.79 million. Non-interest income for the quarter rose 40.17 percent over the last year period to $1.70 million.
Virginia National Bankshares Corporation has made provision of $0.40 million for loan losses during the quarter, up 593.10 percent from $0.06 million in the same period last year.
Net interest margin improved 22 basis points to 3.56 percent in the quarter from 3.34 percent in the last year period. Efficiency ratio for the quarter improved to 60.05 percent from 70.21 percent in the previous year period. A decline in efficiency ratio indicates a rise in profitability.
"We concluded the year with exceptional loan growth and realized a net interest margin of 3.49% for the year, 30 basis points higher than 2015," said Glenn W. Rust, president and chief executive officer. "We continue to elevate our loan portfolio in volume and yield while maintaining high credit quality standards. Our loan growth in the fourth quarter of 2016 will have a positive impact on 2017 earnings. I am also pleased to announce that we achieved a return on average assets of 1.02% for the year. Our focus continues to remain on improving interest and noninterest income as well as streamlining operations and effectively utilizing technology, which will reduce our overall expenses and maximize the use of our staff."
Liabilities outpace assets growth
Total assets stood at $605.03 million as on Dec. 31, 2016, up 6.61 percent compared with $567.49 million on Dec. 31, 2015. On the other hand, total liabilities stood at $545.98 million as on Dec. 31, 2016, up 6.80 percent from $511.19 million on Dec. 31, 2015.
Loans outpace deposit growth
Net loans stood at $478.45 million as on Dec. 31, 2016, up 13.89 percent compared with $420.10 million on Dec. 31, 2015. Deposits stood at $524.65 million as on Dec. 31, 2016, up 7.85 percent compared with $486.47 million on Dec. 31, 2015. Noninterest-bearing deposit liabilities were $176.10 million or 33.56 percent of total deposits on Dec. 31, 2016, compared with $184.57 million or 37.94 percent of total deposits on Dec. 31, 2015.
Investments stood at $58.37 million as on Dec. 31, 2016, down 23.68 percent or $18.11 million from year-ago. Shareholders equity stood at $59.05 million as on Dec. 31, 2016, up 4.90 percent or $2.76 million from year-ago.
Return on average assets moved up 25 basis points to 1.03 percent in the quarter from 0.78 percent in the last year period. At the same time, return on average equity increased 223 basis points to 9.90 percent in the quarter from 7.67 percent in the last year period.
Credit quality improves
Virginia National Bankshares Corp recorded an improvement in credit quality during the quarter. Nonperforming assets moved down 12.57 percent or $0.02 million to $0.17 million on Dec. 31, 2016 from $0.19 million on Dec. 31, 2015. Nonperforming assets to total loans was 0.03 percent in the quarter, down from 0.05 percent in the last year period. Meanwhile, nonperforming assets to total assets was stable at 0.03 percent in the quarter, when compared with the last year period. Tier-1 leverage ratio stood at 10.31 percent for the quarter, up from 10.05 percent for the previous year quarter. Book value per share was $24.93 for the quarter, up 6.86 percent or $1.60 compared to $23.33 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
