This excerpt taken from the SOMH 8-K filed Jul 27, 2006.
NET INCOME UP 40.6% FOR THE QUARTER AND 58.2% YEAR TO DATE
BERNARDSVILLE, NJJuly 25, 2006 Somerset Hills Bancorp (NASDAQ : SOMH) reported record net income for the second quarter and year to date 2006. For the quarter ended June 30, 2006, net income increased by $140,000 to $485,000, or $0.11 per diluted share, up 22.2 percent from net income of $0.09 per diluted share achieved during the second quarter of 2005.
The Companys return on average equity was 7.21 percent and return on average assets was .79 percent for the second quarter of 2006. The net interest margin was 4.32 percent for the second quarter of 2006. For the second quarter of 2005, the Companys return on average equity was 5.85 percent, return on average assets was .69 percent and net interest margin was 4.31 percent.
For the six months ended June 30, 2006, net income increased by $353,000 to $960,000, or $0.23 per diluted share, up 53.3 percent from net income of $0.15 per diluted share earned for the six months ended June 30, 2005.
The Companys return on average equity was 7.32 percent, return on average assets was .80 percent and the net interest margin was 4.28 percent for the six months ended June 30, 2006. For the six months ended June 30, 2005, the Companys return on average equity was 5.18 percent, return on average assets was .63 percent and net interest margin was 4.26 percent.
Stewart E. McClure, Jr., President and Chief Executive Officer said, We are especially pleased with our increase of 58.2 percent in net income over the previous six month period as well as our growth in loans of 27.1 percent and our growth in deposits of 21.8 percent. We are in an extremely competitive market and to achieve this kind of growth speaks well of our staff and our product offerings. We hope to continue our growth through the expansion of our branch network. We will open our Madison office in the third quarter of 2006. We anticipate that our Long Valley Branch will open in the first quarter of 2007 followed by our Stirling Office, which we hope to open in the third quarter of 2007. We are also particularly pleased with our growth in income given the continued weakness in our mortgage operations which is somewhat consistent with the mortgage industry as a whole.
At June 30, 2006, loans increased $37.8 million, or 27.1 percent, to $177.4 million from $139.6 at June 30, 2005. At June 30, 2006, deposits increased $39.2 million, or 21.8 percent, to $219.0 million from $179.8 million at June 30, 2005.
At June 30, 2006, total assets were $257.6 million, up from $207.4 million at June 30, 2005, a 24.2 percent increase.
Somerset Hills Bancorp is a bank holding company formed in January 2001 which owns all of the common stock of Somerset Hills Bank, a full service commercial bank with offices in Bernardsville, Mendham, Morristown, and Summit, New Jersey. It has announced plans to open three additional offices in Madison, Stirling, and Long Valley. Somerset Hills Bank focuses its lending activities on small to medium sized businesses, high net worth individuals, professional practices, and consumer and retail customers. The Bank operates a licensed mortgage company subsidiary, Sullivan Financial Services, Inc. and also operates Somerset Hills Wealth Management Services, LLC, a wholly owned subsidiary licensed to provide financial services, including financial planning, insurance (life, health, property and casualty), mutual funds and annuities for individuals and commercial accounts, and Somerset Hills Title Group, LLC, which, with its partner, Property title Group, provides title services in connection with the closing of real estate transactions. The common stock of the Company is traded on NASDAQ under the symbol SOMH and the Companys warrants are traded under the symbol SOMHW. You can visit our website at www.somersethillsbank.com.