Form 8-K LCNB CORP For: Apr 20

FREE Breaking News Alerts from StreetInsider.com!

E-mail Address

StreetInsider.com Top Tickers, 8/14/2026

1. AMAT
2. GLOB
3. RDDT
4. SPY
5. ADYEN:NA
6. ADYYF
7. STRR
8. DGNX
9. HTFL
10. SNDK

April 20, 2015 4:07 PM EDT

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
___________________

FORM 8‑K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934


Date of Report (Date of earliest event reported): April 20, 2015
LCNB CORP.
(Exact name of Registrant as specified in its Charter)


Ohio
0-26121
31-1626393
(State or other jurisdiction of incorporation)
(Commission File No.)
(IRS Employer Identification Number)


2 North Broadway, Lebanon, Ohio
45036
(Address of principal executive offices)
(Zip Code)

Registrant’s telephone number, including area code: (513) 932-1414
N/A
(Former name or former address, if changed since last report)



Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

__    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

__    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

__    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

__    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))




Item 2.02 Results of Operations and Financial Condition.

On April 20, 2015, LCNB Corp. issued an earnings release announcing its financial results for the first quarter ended March 31, 2015. A copy of the earnings release (Exhibit 99.1) and unaudited financial highlights (Exhibit 99.2) are attached and are furnished under this Item 2.02.

Item 7.01 Regulation FD Disclosure.

On April 20, 2015, LCNB Corp. issued an earnings release announcing its financial results for the first quarter ended March 31, 2015. A copy of the earnings release (Exhibit 99.1) and unaudited financial highlights (Exhibit 99.2) are attached and are furnished under this Item 7.01.
Item 9.01 Financial Statements and Exhibits.
(d)    Exhibits.

Exhibit No.        Description
99.1
Earnings Press Release Dated April 20, 2015
99.2
Unaudited Financial Highlights
 


SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

 
 
LCNB CORP.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Date: April 20, 2015
 
By: /s/ Robert C. Haines II              
 
 
 
 
Robert C. Haines II
Chief Financial Officer
 
 
 
 
 




Exhibit 99.1

Press Release
April 20, 2015

LCNB CORP. REPORTS FINANCIAL RESULTS FOR
THE THREE MONTHS ENDED MARCH 31, 2015

LCNB Corp. (LCNB) today announced net income of $2,834,000 (total basic and diluted earnings per share of $0.30) for the three months ended March 31, 2015.  This compares to net income of $1,323,000 (total basic and diluted earnings per common share of $0.14) for the same three-month period in 2014.  Results for 2014 were significantly affected by the completion of the acquisition of Eaton National Bank & Trust Co. on January 24, 2014.

Commenting on the financial results, LCNB CEO Steve Wilson said, "We are pleased to report solid financial results for the first quarter of 2015. Growth in the loan portfolio and in deposits has contributed to increased net interest income and a higher net interest margin. Credit quality remains stable and our capital ratios remain strong. In addition, we look forward to our pending partnership with BNB Bancorp, Inc. and its subsidiary Brookville National Bank of Brookville, Ohio, which we anticipate closing during the second quarter 2015. This acquisition will strengthen our presence in the desirable Montgomery County market and open up new markets as we provide Brookville's customers with a broader array of banking services."

Net interest income for the three months ended March 31, 2015 increased $965,000 from the comparative period in 2014 due primarily to an increase in the volume of average interest earning assets, primarily loans, and to an increase in the net interest margin.

The provision for loan losses for the three months ended March 31, 2015 was $12,000 less than the comparable period in 2014.  Net loan charge-offs for for the first quarter of 2015 and 2014 totaled $352,000 and $300,000, respectively.  Non-accrual loans and loans past due 90 days or more and still accruing interest totaled $4,327,000 or 0.62% of total loans at March 31, 2015, compared to $5,802,000 or 0.83% of total loans at December 31, 2014.  Other real estate owned (which includes property acquired through foreclosure or deed-in-lieu of foreclosure) totaled $1,364,000 and $1,370,000 at March 31, 2015 and December 31, 2014, respectively.

Non-interest income for the three months ended March 31, 2015 was $229,000 greater than the comparable period in 2014 primarily due to increases in trust income and gains from sales of investment securities. The increase in trust income was due to growth in the fair value of assets serviced. The increase in gains from sales of investment securities was due to a higher volume of sales during the 2015 period.

Non-interest expense for the three months ended March 31, 2015 was $1,023,000 less than the comparable periods in 2014 primarily due to the absence of an acquisition during the first quarter 2015. Merger-related expense for 2015 was $1,222,000 less than for the same period in 2014. This decrease was partially offset by a $372,000 increase in salaries and employee benefits primarily due to routine salary and wage increases, an increase in the number of employees, and to increased retirement plan expenses.

LCNB Corp. is a financial holding company headquartered in Lebanon, Ohio.  LCNB Corp.’s only business is ownership of LCNB National Bank, which has 35 offices located in Warren, Butler, Montgomery, Clinton, Clermont, Hamilton, Fayette, Ross, and Preble Counties, Ohio.  Additional information about LCNB Corp. and information about products and services offered by LCNB National Bank can be found on the internet at www.lcnb.com.
  





Certain statements made in this news release regarding LCNB’s financial condition, results of operations, plans, objectives, future performance and business, are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are identified by the fact they are not historical facts and include words such as “anticipate”, “could”, “may”, “feel”, “expect”, “believe”, “plan”, and similar expressions.

These forward-looking statements reflect management's current expectations based on all information available to management and its knowledge of LCNB’s business and operations. Additionally, LCNB’s financial condition, results of operations, plans, objectives, future performance and business are subject to risks and uncertainties that may cause actual results to differ materially. These factors include, but are not limited to:
1.
the success, impact, and timing of the implementation of LCNB’s business strategies, including the successful integration of recently completed and pending acquisitions;
2.
LCNB may incur increased charge-offs in the future;
3.
LCNB may face competitive loss of customers;
4.
changes in the interest rate environment may have results on LCNB’s operations materially different from those anticipated by LCNB’s market risk management functions;
5.
changes in general economic conditions and increased competition could adversely affect LCNB’s operating results;
6.
changes in other regulations and government policies affecting bank holding companies and their subsidiaries, including changes in monetary policies, could negatively impact LCNB’s operating results;
7.
LCNB may experience difficulties growing loan and deposit balances;
8.
the current economic environment poses significant challenges for us and could adversely affect our  financial condition and results of operations;
9.
deterioration in the financial condition of the U.S. banking system may impact the valuations of investments LCNB has made in the securities of other financial institutions resulting in either actual losses or other than temporary impairments on such investments; and
10.
the effects of the Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) and the regulations promulgated and to be promulgated thereunder, which may subject LCNB and its subsidiaries to a variety of new and more stringent legal and regulatory requirements which adversely affect their respective businesses. 

Forward-looking statements made herein reflect management's expectations as of the date such statements are made. Such information is provided to assist shareholders and potential investors in understanding current and anticipated financial operations of LCNB and is included pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. LCNB undertakes no obligation to update any forward-looking statement to reflect events or circumstances that arise after the date such statements are made. 






Exhibit 99.2

LCNB Corp. and Subsidiaries
Financial Highlights
(Dollars in thousands, except per share amounts)
(Unaudited)
 
Three Months Ended
 
 
3/31/2015
 
12/31/2014
 
9/30/2014
 
6/30/2014
 
3/31/2014
 
Condensed Income Statement
 
 
 
 
 
 
 
 
 
 
Interest income
$
10,090

 
$
10,367

 
9,906

 
9,926

 
9,278

 
Interest expense
762

 
844

 
911

 
920

 
915

 
Net interest income
9,328

 
9,523

 
8,995

 
9,006

 
8,363

 
Provision for loan losses
69

 
193

 
401

 
255

 
81

 
Net interest income after provision
9,259

 
9,330

 
8,594

 
8,751

 
8,282

 
Non-interest income
2,306

 
2,449

 
2,315

 
2,301

 
2,077

 
Non-interest expense
7,649

 
7,334

 
7,238

 
7,600

 
8,672

 
Income before income taxes
3,916

 
4,445

 
3,671

 
3,452

 
1,687

 
Provision for income taxes
1,082

 
1,228

 
953

 
841

 
364

 
Net income
$
2,834

 
3,217

 
2,718

 
2,611

 
1,323

 
 
 
 
 
 
 
 
 
 
 
 
Per Share Data
 
 
 
 
 
 
 
 
 
 
Dividends per share
$
0.16

 
0.16

 
0.16

 
0.16

 
0.16

 
Basic earnings per share
$
0.30

 
0.34

 
0.30

 
0.28

 
0.14

 
Diluted earnings per share
$
0.30

 
0.34

 
0.29

 
0.28

 
0.14

 
Book value per share
$
13.80

 
13.50

 
13.24

 
13.18

 
12.89

 
Tangible book value per share
$
10.40

 
10.08

 
9.80

 
9.71

 
9.44

 
Average basic shares outstanding
9,312,636

 
9,306,382

 
9,299,691

 
9,293,382

 
9,288,400

 
Average diluted shares outstanding
9,410,774

 
9,403,013

 
9,405,013

 
9,402,343

 
9,413,049

 
Shares outstanding at period end
9,317,583

 
9,311,318

 
9,305,208

 
9,298,270

 
9,292,226

 
 
 
 
 
 
 
 
 
 
 
 
Selected Financial Ratios
 
 
 
 
 
 
 
 
 
 
Return on average assets
1.02
%
 
1.14
%
 
0.95
%
 
0.91
%
 
0.50
%
 
Return on average equity
9.01
%
 
10.18
%
 
8.71
%
 
8.60
%
 
4.47
%
 
Dividend payout ratio
53.33
%
 
47.06
%
 
53.33
%
 
57.14
%
 
114.29
%
 
Net interest margin (tax equivalent)
3.83
%
 
3.82
%
 
3.57
%
 
3.59
%
 
3.66
%
 
Efficiency ratio (tax equivalent)
63.90
%
 
59.48
%
 
61.97
%
 
65.26
%
 
80.50
%
 
 
 
 
 
 
 
 
 
 
 
 
Selected Balance Sheet Items
 
 
 
 
 
 
 
 
 
 
Investment securities and stock
$
329,429

 
314,074

 
322,341

 
357,567

 
331,771

 
 
 
 
 
 
 
 
 
 
 
 
Loans
$
701,685

 
698,956

 
685,915

 
691,719

 
685,196

 
Less allowance for loan losses
2,837

 
3,121

 
3,298

 
3,394

 
3,370

 
Net loans
$
698,848

 
695,835

 
682,617

 
688,325

 
681,826

 
 
 
 
 
 
 
 
 
 
 
 
Total assets
$
1,129,497

 
1,108,066

 
1,123,356

 
1,151,109

 
1,133,508

 
Total deposits
973,725

 
946,205

 
956,633

 
986,824

 
984,514

 
Short-term borrowings
13,454

 
16,645

 
24,954

 
23,523

 
11,215

 
Long-term debt
6,153

 
11,357

 
11,432

 
11,506

 
11,580

 
Total shareholders’ equity
128,576

 
125,695

 
123,179

 
122,584

 
119,761

 
 
 
 
 
 
 
 
 
 
 
 
Tangible common equity (TCE)
$
96,340

 
93,277

 
90,579

 
89,800

 
87,017

 
Tangible common assets (TCA)
1,097,261

 
1,075,648

 
1,090,756

 
1,118,325

 
1,100,764

 
TCE/TA
8.78
%
 
8.67
%
 
8.30
%
 
8.03
%
 
7.91
%
 
Loans to deposit ratio
72.06
%
 
73.87
%
 
71.70
%
 
70.10
%
 
69.60
%
 
Equity to assets ratio
11.38
%
 
11.34
%
 
10.97
%
 
10.65
%
 
10.57
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 




 
Three Months Ended
 
 
3/31/2015
 
12/31/2014
 
9/30/2014
 
6/30/2014
 
3/31/2014
 
Selected Average Balance Sheet Items
 
 
 
 
 
 
 
 
 
Investment securities and stock
$
313,279

 
311,395

 
348,469

 
347,837

 
302,791

 
 
 
 
 
 
 
 
 
 
 
 
Loans
$
699,959

 
694,185

 
688,972

 
685,581

 
647,535

 
Less allowance for loan losses
2,870

 
3,075

 
3,288

 
3,367

 
3,372

 
Net loans
$
697,089

 
691,110

 
685,684

 
682,214

 
644,163

 
 
 
 
 
 
 
 
 
 
 
 
Total assets
$
1,125,326

 
1,123,949

 
1,140,922

 
1,145,300

 
1,071,198

 
Total deposits
969,658

 
967,505

 
976,109

 
991,809

 
922,051

 
Short-term borrowings
13,824

 
12,217

 
22,547

 
13,601

 
10,814

 
Long-term debt
6,598

 
11,382

 
11,457

 
11,531

 
11,821

 
Total shareholders’ equity
127,608

 
125,302

 
123,807

 
121,725

 
119,959

 
 
 
 
 
 
 
 
 
 
 
 
Asset Quality
 
 
 
 
 
 
 
 
 
 
Net charge-offs
$
352

 
370

 
496

 
232

 
300

 
Other real estate owned
1,364

 
1,370

 
1,460

 
1,906

 
1,799

 
Non-accrual loans
3,972

 
5,599

 
6,264

 
6,243

 
5,374

 
Loans past due 90 days or more and still accruing
355

 
203

 
111

 
130

 
825

 
Total nonperforming loans
$
4,327

 
5,802

 
6,375

 
6,373

 
6,199

 
Net charge-offs to average loans
0.20
%
 
0.21
%
 
0.29
%
 
0.14
%
 
0.19
%
 
Allowance for loan losses to total loans
0.40
%
 
0.45
%
 
0.48
%
 
0.49
%
 
0.49
%
 
Nonperforming loans to total loans
0.62
%
 
0.83
%
 
0.93
%
 
0.92
%
 
0.90
%
 
Nonperforming assets to total assets
0.50
%
 
0.65
%
 
0.70
%
 
0.72
%
 
0.71
%
 
 
 
 
 
 
 
 
 
 
 
 
Assets Under Management
 
 
 
 
 
 
 
 
 
 
LCNB Corp. total assets
$
1,129,497

 
1,108,066

 
1,123,356

 
1,151,109

 
1,133,508

 
Trust and investments (fair value)
264,122

 
258,266

 
255,409

 
267,857

 
262,666

 
Mortgage loans serviced
116,534

 
120,433

 
123,792

 
128,855

 
133,504

 
Business cash management
5,839

 
5,811

 
5,846

 
6,307

 
5,871

 
Brokerage accounts (fair value)
141,439

 
132,823

 
127,303

 
126,069

 
120,768

 
Total assets managed
$
1,657,431

 
1,625,399

 
1,635,706

 
1,680,197

 
1,656,317

 
 
 
 
 
 
 
 
 
 
 
 
Non-GAAP Financial Measures
 
 
 
 
 
 
 
 
 
 
Net income
$
2,834

 
3,217

 
2,718

 
2,611

 
1,323

 
Less (add) net gain (loss) on sales of securities, net of tax
73

 
37

 
64

 
0

 
(3
)
 
Add merger-related expenses, net of tax
50

 
26

 
3

 
46

 
853

 
Core net income
$
2,811

 
3,206

 
2,657

 
2,657

 
2,179

 
Basic core earnings per share
$
0.30

 
0.34

 
0.29

 
0.29

 
0.23

 
Diluted core earnings per share
$
0.30

 
0.34

 
0.28

 
0.28

 
0.23

 
Adjusted return on average assets
1.01
%
 
1.13
%
 
0.92
%
 
0.93
%
 
0.82
%
 
Adjusted return on average equity
8.86
%
 
10.06
%
 
8.44
%
 
8.67
%
 
7.32
%
 
Core efficiency ratio (tax equivalent)
63.91
%
 
59.48
%
 
62.46
%
 
64.66
%
 
68.48
%
 
 
 
 
 
 
 
 
 
 
 
 







LCNB CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)
 
 
March 31, 2015 (Unaudited)
 
December 31, 2014
ASSETS:
 
 
 
 
Cash and due from banks
 
$
12,760

 
14,235

Interest-bearing demand deposits
 
4,879

 
1,610

Total cash and cash equivalents
 
17,639

 
15,845

Investment securities:
 
 

 
 

Available-for-sale, at fair value
 
300,527

 
285,365

Held-to-maturity, at cost
 
22,918

 
22,725

Federal Reserve Bank stock, at cost
 
2,346

 
2,346

Federal Home Loan Bank stock, at cost
 
3,638

 
3,638

Loans, net
 
698,848

 
695,835

Premises and equipment, net
 
20,495

 
20,733

Goodwill
 
27,638

 
27,638

Core deposit and other intangibles
 
4,598

 
4,780

Bank owned life insurance
 
22,095

 
21,936

Other assets
 
8,755

 
7,225

TOTAL ASSETS
 
$
1,129,497

 
1,108,066

LIABILITIES:
 
 

 
 

Deposits:
 
 

 
 

Noninterest-bearing
 
$
209,521

 
213,303

Interest-bearing
 
764,204

 
732,902

Total deposits
 
973,725

 
946,205

Short-term borrowings
 
13,454

 
16,645

Long-term debt
 
6,153

 
11,357

Accrued interest and other liabilities
 
7,589

 
8,164

TOTAL LIABILITIES
 
1,000,921

 
982,371

SHAREHOLDERS' EQUITY:
 
 

 
 

Preferred shares – no par value, authorized 1,000,000 shares, none outstanding
 
—

 
—

Common shares – no par value, authorized 12,000,000 shares, issued 10,071,210 and 10,064,945 shares at March 31, 2015 and December 31, 2014, respectively
 
67,283

 
67,181

Retained earnings
 
70,738

 
69,394

Treasury shares at cost, 753,627 shares at March 31, 2015 and December 31, 2014
 
(11,665
)
 
(11,665
)
Accumulated other comprehensive loss, net of taxes
 
2,220

 
785

TOTAL SHAREHOLDERS' EQUITY
 
128,576

 
125,695

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
 
$
1,129,497

 
1,108,066









LCNB CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
 
 
Three Months Ended 
 March 31,
 
 
 
2015
 
2014
 
INTEREST INCOME:
 
 
 
 
 
Interest and fees on loans
 
$
8,540

 
7,696

 
Interest on investment securities –
 
 

 
 

 
Taxable
 
856

 
891

 
Non-taxable
 
653

 
646

 
Other short-term investments
 
41

 
45

 
TOTAL INTEREST INCOME
 
10,090

 
9,278

 
INTEREST EXPENSE:
 
 

 
 

 
Interest on deposits
 
682

 
809

 
Interest on short-term borrowings
 
4

 
3

 
Interest on long-term debt
 
76

 
103

 
TOTAL INTEREST EXPENSE
 
762

 
915

 
NET INTEREST INCOME
 
9,328

 
8,363

 
PROVISION FOR LOAN LOSSES
 
69

 
81

 
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES
 
9,259

 
8,282

 
NON-INTEREST INCOME:
 
 

 
 

 
Trust income
 
800

 
655

 
Service charges and fees on deposit accounts
 
1,107

 
1,122

 
Net gain (loss) on sales of securities
 
111

 
(4
)
 
Bank owned life insurance income
 
159

 
172

 
Gains from sales of mortgage loans
 
35

 
15

 
Other operating income
 
94

 
117

 
TOTAL NON-INTEREST INCOME
 
2,306

 
2,077

 
NON-INTEREST EXPENSE:
 
 

 
 

 
Salaries and employee benefits
 
4,290

 
3,918

 
Equipment expenses
 
288

 
294

 
Occupancy expense, net
 
595

 
651

 
State franchise tax
 
252

 
244

 
Marketing
 
163

 
132

 
FDIC insurance premiums
 
151

 
149

 
Merger-related expenses
 
70

 
1,292

 
Other non-interest expense
 
1,840

 
1,992

 
TOTAL NON-INTEREST EXPENSE
 
7,649

 
8,672

 
INCOME BEFORE INCOME TAXES
 
3,916

 
1,687

 
PROVISION FOR INCOME TAXES
 
1,082

 
364

 
NET INCOME
 
$
2,834

 
1,323

 
 
 
 
 
 
 
Dividends declared per common share
 
$
0.16

 
0.16

 
Earnings per common share:
 
 

 
 

 
Basic
 
$
0.30

 
0.14

 
Diluted
 
0.30

 
0.14

 
Weighted average common shares outstanding:
 
 

 
 

 
Basic
 
9,312,636

 
9,288,400

 
Diluted
 
9,410,774

 
9,413,049

 




Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

SEC Filings