Timberland Bancorp 2020 Fiscal Year Net Income Increases to $24.27 Million
- Reports 10th Consecutive Year of Increased Net Income and Earnings per Share
- Loan Deferrals Decreased to Less Than 1% of Loan Portfolio
- Fiscal Year Diluted Earnings per Share Increases to $2.88
- Fiscal Year Return on Average Assets of 1.75%
- Fiscal Year Return on Average Equity of 13.59%
- Announces $0.20 Quarterly Cash Dividend
- Announces Plans to Resume Purchases Under Existing Stock Repurchase Program
HOQUIAM, Wash., Oct. 29, 2020 (GLOBE NEWSWIRE) — Timberland Bancorp, Inc. (NASDAQ: TSBK) (“Timberland” or “the Company”) today reported net income increased 1% to $24.27 million for the fiscal year ended September 30, 2020 from $24.02 million for the fiscal year ended September 30, 2019. Earnings per diluted common share (“EPS”) increased 1% to $2.88 for the 2020 fiscal year from $2.84 for the 2019 fiscal year.
Timberland also reported quarterly net income of $6.36 million, or $0.76 per diluted common share, for the quarter ended September 30, 2020. This compares to net income of $6.21 million, or $0.74 per diluted common share, for the preceding quarter and net income of $6.33 million, or $0.75 per diluted common share, for the quarter ended September 30, 2019.
Timberland’s Board of Directors declared a quarterly cash dividend to shareholders of $0.20 per common share payable on November 27, 2020, to shareholders of record on November 13, 2020.
“We are pleased to report record net income for our fiscal year ended September 30, 2020 and, for the tenth consecutive year, increased net income and earnings per share,” stated Michael Sand, President and CEO. “Net loans outstanding increased 14% for the year primarily as a result of Timberland’s commitment to serving applicants seeking economic relief through the Paycheck Protection Program (“PPP”). Deposit growth, year over year, trended well above average increasing nearly 27% primarily as a result of PPP loan proceeds being placed on deposit, organic growth in customer relationships and depositors opting to build liquidity in the midst of an uncertain economic environment. The result for Timberland was a significant increase in on balance sheet liquidity. Given continuing uncertainties regarding the economy and the interest rate environment we will continue with our measured approach to investing a significant portion of this excess liquidity.”
“We remain committed to our borrowers whom have been affected by COVID related declines in business revenues,” Sand continued. “At June 30th, we had approved deferrals for 209 loans representing balances aggregating to approximately 13% of the Bank’s net loan portfolio. We are pleased to report at September 30th that loans remaining in a deferred payment status had decreased to less than 1% of net loans outstanding.”
“In September 2020, we were honored for the second consecutive year to be included in the prestigious Piper Sandler Bank and Thrift Sm-All Stars: Class of 2020, which identified Timberland Bank as one of the 35 top performing, publicly traded small-cap banks and thrifts in the nation based on growth, profitability, credit quality and capital strength. In May 2020, we were awarded, for the third consecutive year, the Raymond James Community Bankers Cup, which recognized the top 10% of community banks in the country based on profitability, operational efficiency and various balance sheet metrics. Being recognized once again for both of these awards is great affirmation of our extraordinary staff and their commitment to supporting our customers and communities,” said Sand. “After temporarily suspending our existing stock repurchase plan in March as a result of the pandemic, we plan to resume purchasing stock in November under the terms of our existing stock repurchase, subject to market conditions. We believe our stock is an attractive investment,” Sand concluded. The Company has 144,852 shares available to be repurchased under its…
Read More: Timberland Bancorp 2020 Fiscal Year Net Income Increases to $24.27 Million