BNC Financial Group reports record earnings for second quarter
Published 1:55 pm, Wednesday, August 24, 2011
BNC Financial Group CEO Jay Forgotson has announced that the organization achieved record growth at the end of the second quarter of 2011, with a consolidated profit of $781,000 -- a gain of $435,000 or 126 percent over the previous year's profit of $346,000 for the same period. BNC Financial Group is the Holding Company for The Bank of New Canaan, its division Stamford First Bank and The Bank of Fairfield.
"The second quarter of 2011 marked several important milestones for our Organization," Forgotson said. "First, The Bank of Fairfield exceeded $100 million in assets and turned the corner to profitability. Additionally, Stamford First Bank celebrated its first anniversary ahead of plan, with $58.5 million in deposits and $38.7 million in loans outstanding."
"Finally, BNC Financial Group became the first Organization in Connecticut to be funded under the Treasury Department's Small Business Lending Fund, a program created to bring eligible community banks and small businesses together to spur economic growth and promote jobs in local communities," Forgotson said.
The SBLF is the Treasury's effort to bring community banks and small businesses together to help create jobs and promote economic growth in local communities. The bank received the funding on Aug.4, and will use the SBLF proceeds of approximately $11 million initially for the repayment of the $5,037,000 outstanding under the Treasury's Capital Purchase Program. Remaining proceeds will support the organization's leadership role as small business lenders in the communities it serves.
Throughout the economic crisis that has spanned the last three years, the bank has been unwavering in dedication to provide loans to small businesses. This commitment is reflected in the fact that overall assets have more than doubled -- from $210 million in June 2008 to our present level of more than $440 million -- while credit quality has remained excellent. The SBLF funding will expand the ability to lend to small businesses, which will in turn help stimulate the economy and promote job growth.
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The Bank of New Canaan continued to demonstrate solid growth during the first half of 2011. Some of the Bank's financial highlights for the first six months of 2011 versus the same period for 2010, including results for our new division, Stamford First Bank, are as follows: total assets increased by 24 percent to $336 million; deposits increased by 30 percent to $278 million; loan portfolio increase by $28 million to $234 million, or 14 percent over 2010; the bank's net income for the first six months was $1.168 million, an increase of $375 thousand, or 47 percent over 2010's net income of $793 thousand; Net Interest Margin was 4.12 percent; credit quality remains strong -- total non-performing assets (decreased to .94 percent of total assets; with a Tier 1 Capital to Total Asset ratio of 7.98 percent, it remains well capitalized.
As the only locally owned, independent commercial banks in both New Canaan and Fairfield, The Bank of New Canaan, The Bank of Fairfield and Stamford First Bank are committed to providing the highest possible level of customer service and added value to the community.