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Section 1: 8-K (8-K)

rndb-8k_20190423.htm

 

 

 

 

 

UNITED STATES

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 23, 2019

 

Randolph Bancorp, Inc.

(Exact name of Registrant as Specified in Its Charter)

 

 

Massachusetts

001-37780

81-1844402

(State or Other Jurisdiction

of Incorporation)

(Commission
File Number)

(IRS Employer

Identification No.)

10 Cabot Place, Stoughton, Massachusetts 02072

(Address of principal executive offices)

(781) 963-2100

(Registrant’s telephone number, including area code)

 

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:

 

[  ]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))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company [X]

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [  ]

 

 

 

 


 

Item 2.02

Results of Operations and Financial Condition.

On April 23, 2019, Randolph Bancorp, Inc. (the “Company”), the holding company for Envision Bank, issued a press release announcing its financial results for the three months ended March 31, 2019. The Company’s press release is included as Exhibit 99.1 to this report.

The information set forth in this Item 2.02 and in the attached Exhibit 99.1 is deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section.

 

Item 9.01

Financial Statements and Exhibits.

(d) Exhibits.

 

 

 

 

Exhibit

  

Description

99.1

  

Press release dated April 23, 2019

 


 


 

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.

 

 

 

 

 

 

 

 

 

 

 

 

Randolph Bancorp, Inc.

 

 

 

 

 

 

 

 

By:

 

/s/ Michael K. Devlin

 

 

 

 

Name:

Title:

 

Michael K. Devlin

Executive Vice President and Chief

Financial Officer

Date: April 23, 2019

 

 

 

 

 

 

 

 

 

(Back To Top)

Section 2: EX-99.1 (EX-99.1)

rndb-ex991_6.htm

Exhibit 99.1

10 Cabot Place, Stoughton, MA 02072

News Release

For Immediate Release

April 23, 2019

For More Information, Contact:

Michael K. Devlin, Executive Vice President and Chief Financial Officer (617-925-1961)

[email protected]

 

RANDOLPH BANCORP, INC. ANNOUNCES FIRST QUARTER 2019 FINANCIAL RESULTS

 

STOUGHTON, Massachusetts, April 23, 2019 – Randolph Bancorp, Inc. (the “Company”) (NASDAQ Global Market: RNDB), the holding company for Envision Bank (the “Bank”), today announced a net loss of $51,000, or $0.01 per share, for the first quarter of 2019 compared to a net loss of $707,000, or $0.13 per share, for the first quarter of 2018.

 

James P. McDonough, President and Chief Executive Officer, stated, “Because of the typical slowdown in homebuying during the winter months in New England, our mortgage banking business generally experiences its lowest loan origination volume of the year during the first quarter.  However, the actions taken in the fourth quarter of 2018 to expand our loan origination capabilities and to consolidate mortgage banking operations had a significant impact in the improvement in our first quarter revenues and operating results compared to the prior year period. Overall, our residential mortgage loan production increased 40% compared to the first quarter of last year and our pipeline of interest rate lock agreements with customers increased threefold at March 31, 2019 compared to March 31, 2018. With the drop in mortgage rates, we are optimistic that the recent surge in loan applications will be sustained throughout the upcoming Spring homebuying season.”

 

“We are also encouraged by the steady improvement in operating results in our community banking business,” Mr. McDonough added. “The leveraging of our capital through loan growth has resulted in steady improvement in our net interest income which increased approximately 10% in the first quarter of 2019 compared to the prior year period. As we continue to focus on this aspect of our business, we are pleased to announce the addition of Nancy Curry as our new Senior Vice President of Commercial Lending. Nancy joins us from Blue Hills Bank, where she had led their commercial real estate lending team.”

 

First Quarter Operating Results

Net interest income increased by $396,000, or 9.9%, to $4.4 million for the three months ended March 31, 2019 compared to the same period in the prior year. This increase was due to an increase in average interest-earning assets between periods of $76.7 million, or 15.4%, as the Company continued to leverage the capital raised in its 2016 initial public offering.  The net interest margin decreased in the first quarter of 2019 to 3.04% from 3.20% in the first quarter of 2018 due primarily to the increased utilization of Federal Home Loan Bank of Boston (“FHLBB”) advances and brokered deposits to fund asset growth, combined with a flattening yield curve.

 

The Bank recognized no provision for loan losses for the three months ended March 31, 2019 compared to $95,000 for the three months ended March 31, 2018. Classified and nonaccrual loan balances were stable during the quarter. The provision during the first quarter of 2018 primarily reflected portfolio growth in the residential and commercial real estate loan portfolios. The allowance for loan losses was 0.88% of total loans at March 31, 2019 and 0.91% at December 31, 2018, and was 150.3% of non-performing loans at March 31, 2019 compared to 121.1% at December 31, 2018. The increase in the allowance as a percentage of non-performing loans was due to a reduction of $815,000 in non-performing loans during the first quarter.

 

Non-interest income increased $1.0 million, or 41.7%, to $3.4 million for the three months ended March 31, 2019 from $2.4 million for the three months ended March 31, 2018. This increase was primarily due to our mortgage banking business as the net gain on loan origination and sale activities increased $1.0 million, or 67.3%, to $2.6 million. Loan production


capacity has significantly increased over the past year with the addition of new originators and expansion into Central and Western Massachusetts, as well the MetroWest region of the Boston market. In addition, the decrease in mortgage rates occurring during the first quarter of 2019 favorably impacted loan refinancing activity. Together, these factors resulted in a 40% increase in closed loan production and a threefold increase in outstanding interest rate locks with customers.  

 

Non-interest expenses increased $880,000, or 12.6%, from $7.0 million for the three months ended March 31, 2018 to $7.9 million for the three months ended March 31, 2019. This increase was entirely attributable to salaries and employee benefits which increased $976,000 due primarily to: 1) increased commissions of $374,000; 2) transition payments to new loan originators of $300,000, and 3) higher employment related taxes of $160,000. The number of full-time equivalent  employees increased by 16 from 180 at March 31, 2018 to 196 at March 31, 2019. This increase was entirely due to an increase in loan originators.

 

Other areas of non-interest expense decreased, in the aggregate, $96,000 between periods largely caused by a reduction of $114,000 in marketing spending due to prior year costs associated with the re-branding to Envision Bank.

 

The Company has a net operating loss carryforward (“NOL”) of $13.6 million. Since 2014, the NOL as well as other deferred tax assets have been subject to a full valuation allowance, which totaled $3.2 million at March 31, 2019.  We evaluate this position on a quarterly basis. Based on recent operating results, we concluded that the valuation allowance should be maintained at March 31, 2019.

 

Balance Sheet

Total assets were unchanged at $614.3 million at March 31, 2019 as compared to December 31, 2018. An increase in loans held for sale of $3.4 million during the first quarter of 2019 was largely offset by decreases in net loans ($2.7 million) and securities available for sale ($367,000).  

 

The decrease in net loans during the three months ended March 31, 2019 occurred principally as a result of decreases in commercial and industrial loans ($1.2 million) and consumer loans ($1.4 million). These loans are originated by other lenders with the Bank either purchasing or participating in the loan. Loan purchases were limited to less than $1.0 million during the first quarter of 2019 as the Bank expects loan growth during 2019 to be primarily in its internally generated real estate secured loans.  

 

Deposits increased $6.7 million, or 1.5%, to $443.8 million at March 31, 2019 from $437.1 million at December 31, 2018. During this period brokered deposits decreased $224,000.  Deposit growth was primarily used to repay FHLBB advances which decreased $5.4 million during the first quarter of 2019. Brokered deposits and FHLBB advances make up the Bank’s wholesale funding which the Bank targets to limit to 25% of total assets. At March 31, 2019, wholesale funding amounted to $144.0 million, or 23.4% of total assets.

 

Total stockholders’ equity increased $434,000 to $78.4 million at March 31, 2019 compared to $78.0 million at December 31, 2018. This increase was due to an increase of $640,000 in the fair value of available-for-sale securities and equity adjustments of $263,000 related to the stock benefit plan and employee stock ownership plan, partially offset by stock repurchases of $428,000 and the net loss of $51,000. The increase in the fair value of available-for-sale securities was due to a decrease in longer-term interest rates during the quarter. The Company’s tier one capital to average assets was 13.22% at March 31, 2019 compared to 14.08% at December 31, 2018. Envision Bank exceeded all regulatory capital requirements at March 31, 2019.  

 

 

 

 

 

 

 

 

877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

2


About Randolph Bancorp, Inc.

Randolph Bancorp, Inc. is the holding company for Envision Bank and its Envision Mortgage Division. Envision Bank is a full-service community bank with five retail branch locations, loan operations centers in North Attleboro and Stoughton, Massachusetts, eight loan production offices located throughout Massachusetts and one loan production office in Southern New Hampshire.

 

Randolph Bancorp, Inc. is the sole member of Envision Bank Foundation, Inc. (the “Foundation”), a nonprofit corporation organized in 2016 to financially support community projects that improve the quality of life in markets served by Envision Bank. Since 2016, the Foundation has funded projects focused on support of military veterans and education. At March 31, 2019, the Foundation had total assets of $3.0 million.

 

Forward Looking Statements

Certain statements contained in this press release that are not historical facts may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties. The Company’s actual results could differ materially from those projected in the forward-looking statements as a result of, among others, the risk factors described in the Company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission. The Company does not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statements are made.

 

Non-GAAP Financial Measures

The Company uses certain non-GAAP financial measures, such as return on average assets, return on average equity, non-interest income to total income and the efficiency ratio, and, where applicable, as adjusted for non-recurring items. These non-GAAP financial measures provide information for investors to effectively analyze financial trends of on-going business activities, and to enhance comparability with peers across the financial services sector.

877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

3


Randolph Bancorp, Inc.

Consolidated Balance Sheets

(Dollars in thousands)

(Unaudited)

 

 

 

March 31,

 

 

December 31,

 

 

 

2019

 

 

2018

 

 

 

 

 

 

 

 

 

 

Assets

 

Cash and due from banks

 

$

3,774

 

 

$

3,451

 

Interest-bearing deposits

 

 

2,494

 

 

 

3,667

 

Total cash and cash equivalents

 

 

6,268

 

 

 

7,118

 

 

 

 

 

 

 

 

 

 

Certificates of deposit

 

 

2,205

 

 

 

2,205

 

Securities available for sale, at fair value

 

 

50,189

 

 

 

50,556

 

Loans held for sale, at fair value

 

 

41,858

 

 

 

38,474

 

Loans, net of allowance for loan losses of $4,282 in 2019 and $4,437 in 2018

 

 

481,173

 

 

 

483,846

 

Federal Home Loan Bank of Boston stock, at cost

 

 

3,650

 

 

 

4,700

 

Accrued interest receivable

 

 

1,526

 

 

 

1,504

 

Mortgage servicing rights

 

 

8,140

 

 

 

7,786

 

Premises and equipment, net

 

 

6,307

 

 

 

6,368

 

Bank-owned life insurance

 

 

8,301

 

 

 

8,256

 

Foreclosed real estate

 

 

76

 

 

 

65

 

Other assets

 

 

4,655

 

 

 

3,462

 

 

 

 

 

 

 

 

 

 

Total assets

 

$

614,348

 

 

$

614,340

 

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

Deposits:

 

 

 

 

 

 

 

 

Non-interest bearing

 

$

67,284

 

 

$

64,229

 

Interest bearing

 

 

316,182

 

 

 

312,321

 

Brokered

 

 

60,355

 

 

 

60,580

 

Total deposits

 

 

443,821

 

 

 

437,130

 

 

 

 

 

 

 

 

 

 

Federal Home Loan Bank of Boston advances

 

 

83,642

 

 

 

89,036

 

Mortgagors' escrow accounts

 

 

1,992

 

 

 

2,129

 

Post-employment benefit obligations

 

 

2,416

 

 

 

2,551

 

Other liabilities

 

 

4,082

 

 

 

5,533

 

Total liabilities

 

 

535,953

 

 

 

536,379

 

 

 

 

 

 

 

 

 

 

Stockholders' Equity:

 

 

 

 

 

 

 

 

Common stock

 

 

59

 

 

 

60

 

Additional paid-in capital

 

 

55,419

 

 

 

55,608

 

Retained earnings

 

 

28,278

 

 

 

28,329

 

ESOP-Unearned compensation

 

 

(4,085

)

 

 

(4,132

)

Accumulated other comprehensive loss, net of tax

 

 

(1,276

)

 

 

(1,904

)

Total stockholders' equity

 

 

78,395

 

 

 

77,961

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders' equity

 

$

614,348

 

 

$

614,340

 

877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

4


 

Randolph Bancorp, Inc.

Consolidated Statements of Operations

(Dollars in thousands except per share amounts)

(Unaudited)

 

 

Three Months Ended March 31,

 

 

 

2019

 

 

2018

 

Interest and dividend income:

 

 

 

 

 

 

 

 

Loans

 

$

5,588

 

 

$

4,295

 

Other interest and dividend income

 

 

428

 

 

 

432

 

Total interest and dividend income

 

 

6,016

 

 

 

4,727

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

1,638

 

 

 

745

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

4,378

 

 

 

3,982

 

Provision for loan losses

 

 

-

 

 

 

95

 

 

 

 

 

 

 

 

 

 

Net interest income after provision for loan losses

 

 

4,378

 

 

 

3,887

 

 

 

 

 

 

 

 

 

 

Non-interest income:

 

 

 

 

 

 

 

 

Customer service fees

 

 

329

 

 

 

301

 

Gain on loan origination and sale activities, net

 

 

2,588

 

 

 

1,547

 

Mortgage servicing fees, net

 

 

319

 

 

 

334

 

Other

 

 

177

 

 

 

226

 

Total non-interest income

 

 

3,413

 

 

 

2,408

 

 

 

 

 

 

 

 

 

 

Non-interest expenses:

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

5,412

 

 

 

4,436

 

Occupancy and equipment

 

 

656

 

 

 

699

 

Professional fees

 

 

268

 

 

 

252

 

Marketing

 

 

189

 

 

 

303

 

Other non-interest expenses

 

 

1,353

 

 

 

1,308

 

Total non-interest expenses

 

 

7,878

 

 

 

6,998

 

 

 

 

 

 

 

 

 

 

Loss before income taxes

 

 

(87

)

 

 

(703

)

Income tax provision (benefit)

 

 

(36

)

 

 

4

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(51

)

 

$

(707

)

 

 

 

 

 

 

 

 

 

Loss per share (basic and diluted)

 

$

(0.01

)

 

$

(0.13

)

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding

 

 

5,478,544

 

 

 

5,603,886

 

 


877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

5


Randolph Bancorp, Inc.

Average Balances/Yields

(Dollars in thousands)

(Unaudited)

 

Average Balance and Yields

 

 

For the Three Months Ended March 31,

 

 

2019

 

 

2018

 

 

Average

 

 

Interest

 

 

Average

 

 

Average

 

 

Interest

 

 

Average

 

 

Outstanding

 

 

Earned/

 

 

Yield/

 

 

Outstanding

 

 

Earned/

 

 

Yield/

 

(Dollars in thousands)

Balance

 

 

Paid

 

 

Rate

 

 

Balance

 

 

Paid

 

 

Rate

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Loans (1)

$

516,454

 

 

$

5,588

 

 

 

4.33

%

 

$

430,078

 

 

$

4,295

 

 

 

3.99

%

  Investment securities(2) (3)

 

55,156

 

 

 

404

 

 

 

2.93

%

 

 

61,522

 

 

 

421

 

 

 

2.74

%

  Interest-earning deposits

 

4,550

 

 

 

28

 

 

 

2.46

%

 

 

7,885

 

 

 

29

 

 

 

1.47

%

           Total interest-earning assets

 

576,160

 

 

 

6,020

 

 

 

4.18

%

 

 

499,485

 

 

 

4,745

 

 

 

3.80

%

Noninterest-earning assets

 

25,150

 

 

 

 

 

 

 

 

 

 

 

29,336

 

 

 

 

 

 

 

 

 

           Total assets

$

601,310

 

 

 

 

 

 

 

 

 

 

$

528,821

 

 

 

 

 

 

 

 

 

Interest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Savings accounts

 

101,976

 

 

 

82

 

 

 

0.32

%

 

 

104,140

 

 

 

41

 

 

 

0.16

%

  NOW accounts

 

40,571

 

 

 

48

 

 

 

0.47

%

 

 

44,219

 

 

 

54

 

 

 

0.49

%

  Money market accounts

 

71,407

 

 

 

228

 

 

 

1.28

%

 

 

67,714

 

 

 

115

 

 

 

0.68

%

  Term certificates

 

163,668

 

 

 

802

 

 

 

1.96

%

 

 

100,146

 

 

 

270

 

 

 

1.08

%

           Total interest-bearing deposits

 

377,622

 

 

 

1,160

 

 

 

1.23

%

 

 

316,219

 

 

 

480

 

 

 

0.61

%

  FHLB advances

 

76,153

 

 

 

478

 

 

 

2.51

%

 

 

66,458

 

 

 

265

 

 

 

1.59

%

           Total interest-bearing liabilities

 

453,775

 

 

 

1,638

 

 

 

1.44

%

 

 

382,677

 

 

 

745

 

 

 

0.78

%

Noninterest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  Noninterest-bearing deposits

 

61,748

 

 

 

 

 

 

 

 

 

 

 

59,094

 

 

 

 

 

 

 

 

 

  Other noninterest-bearing liabilities

 

7,632

 

 

 

 

 

 

 

 

 

 

 

5,758

 

 

 

 

 

 

 

 

 

           Total liabilities

 

523,155

 

 

 

 

 

 

 

 

 

 

 

447,529

 

 

 

 

 

 

 

 

 

Total equity

 

78,155

 

 

 

 

 

 

 

 

 

 

 

81,292

 

 

 

 

 

 

 

 

 

           Total liabilities and equity

$

601,310

 

 

 

 

 

 

 

 

 

 

$

528,821

 

 

 

 

 

 

 

 

 

Net interest income

 

 

 

 

$

4,382

 

 

 

 

 

 

 

 

 

 

$

4,000

 

 

 

 

 

Interest rate spread(4)

 

 

 

 

 

 

 

 

 

2.74

%

 

 

 

 

 

 

 

 

 

 

3.02

%

Net interest-earning assets(5)

$

122,385

 

 

 

 

 

 

 

 

 

 

$

116,808

 

 

 

 

 

 

 

 

 

Net interest margin(6)

 

 

 

 

 

 

 

 

 

3.04

%

 

 

 

 

 

 

 

 

 

 

3.20

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of interest-earning assets to interest-bearing liabilities

 

126.97

%

 

 

 

 

 

 

 

 

 

 

130.52

%

 

 

 

 

 

 

 

 

 

(1) Includes nonaccruing loan balances and interest received on such loans.

(2) Includes carrying value of securities classified as available-for-sale and FHLB of Boston stock

(3) Includes tax equivalent adjustments for municipal securities, based on an effective tax rate of 21%, of $4,000 and $18,000 for the three months ended March 31, 2019 and 2018, respectively.

(4) Interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.

(5) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.

(6) Net interest margin represents net interest income divided by average total interest-earning assets.


877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

6


Randolph Bancorp, Inc.

Rate/Volume Analysis

(Dollars in thousands)

(Unaudited)

 

3 Months Ended

 

 

March 31, 2019 v. 2018

 

 

Increase (Decrease)

 

 

Total

 

 

Due to Changes in

 

 

Increase

 

 

Volume

 

 

Rate

 

 

(Decrease)

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

  Loans

$

913

 

 

$

380

 

 

$

1,293

 

  Investment securities

 

(45

)

 

 

28

 

 

 

(17

)

  Interest-earning deposits

 

(15

)

 

 

14

 

 

 

(1

)

           Total interest-earning assets

 

853

 

 

 

422

 

 

 

1,275

 

Interest-bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

Savings accounts

 

(1

)

 

 

42

 

 

 

41

 

NOW accounts

 

(4

)

 

 

(2

)

 

 

(6

)

Money market accounts

 

7

 

 

 

106

 

 

 

113

 

Term certificates

 

232

 

 

 

300

 

 

 

532

 

           Total interest-bearing deposits

 

234

 

 

 

446

 

 

 

680

 

FHLBB advances

 

43

 

 

 

170

 

 

 

213

 

           Total interest-bearing liabilities

 

277

 

 

 

616

 

 

 

893

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in net interest income

 

576

 

 

 

(194

)

 

 

382

 

 

 

 

 

 

 

 

 

 

 

 

 


877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

7


Randolph Bancorp, Inc.

Segment Information

(Dollars in thousands)

(Unaudited)

 

 

 

March 31, 2019

 

 

 

Envision Bank

 

 

Envision Mortgage

 

 

Consolidated Total

 

Net interest income

 

$

4,181

 

 

$

197

 

 

$

4,378

 

Provision for loan losses

 

 

-

 

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income after provision for loan losses

 

 

4,181

 

 

 

197

 

 

 

4,378

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Customer service fees

 

 

329

 

 

 

-

 

 

 

329

 

Gain on loan origination and sale activities, net (1)

 

 

-

 

 

 

2,744

 

 

 

2,744

 

Mortgage servicing fees, net

 

 

(88

)

 

 

407

 

 

 

319

 

Other

 

 

125

 

 

 

52

 

 

 

177

 

Total non-interest income

 

 

366

 

 

 

3,203

 

 

 

3,569

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

1,539

 

 

 

3,873

 

 

 

5,412

 

Occupancy and equipment

 

 

400

 

 

 

256

 

 

 

656

 

Other non-interest expenses

 

 

954

 

 

 

856

 

 

 

1,810

 

Total non-interest expenses

 

 

2,893

 

 

 

4,985

 

 

 

7,878

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes and elimination of inter-segment profit

 

$

1,654

 

 

$

(1,585

)

 

 

69

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Elimination of inter-segment profit

 

 

 

 

 

 

 

 

 

 

(156

)

Loss before income taxes

 

 

 

 

 

 

 

 

 

 

(87

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax benefit

 

 

 

 

 

 

 

 

 

 

(36

)

Net loss

 

 

 

 

 

 

 

 

 

$

(51

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets March 31, 2019

 

$

528,956

 

 

$

85,392

 

 

$

614,348

 

 

(1) Before elimination of inter-segment profit

The information above was derived from the internal management reporting system used by management to measure performance of the segments.


877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

8


Randolph Bancorp, Inc.

Segment Information

(Dollars in thousands)

(Unaudited)

 

 

 

March 31, 2018

 

 

 

Envision Bank

 

 

Envision Mortgage

 

 

Consolidated Total

 

Net interest income

 

$

3,740

 

 

$

242

 

 

$

3,982

 

Provision for loan losses

 

 

95

 

 

 

-

 

 

 

95

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income after provision for loan losses

 

 

3,645

 

 

 

242

 

 

 

3,887

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Customer service fees

 

 

270

 

 

 

31

 

 

 

301

 

Gain on loan origination and sale activities, net (1)

 

 

-

 

 

 

1,800

 

 

 

1,800

 

Mortgage servicing fees, net

 

 

(68

)

 

 

402

 

 

 

334

 

Other

 

 

144

 

 

 

82

 

 

 

226

 

Total non-interest income

 

 

346

 

 

 

2,315

 

 

 

2,661

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

1,636

 

 

 

2,800

 

 

 

4,436

 

Occupancy and equipment

 

 

400

 

 

 

299

 

 

 

699

 

Other non-interest expenses

 

 

1,069

 

 

 

794

 

 

 

1,863

 

Total non-interest expenses

 

 

3,105

 

 

 

3,893

 

 

 

6,998

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes and elimination of inter-segment profit

 

$

886

 

 

$

(1,336

)

 

 

(450

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Elimination of inter-segment profit

 

 

 

 

 

 

 

 

 

 

(253

)

Loss before income taxes

 

 

 

 

 

 

 

 

 

 

(703

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Income tax provision

 

 

 

 

 

 

 

 

 

 

4

 

Net loss

 

 

 

 

 

 

 

 

 

$

(707

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets March 31, 2018

 

$

473,513

 

 

$

60,023

 

 

$

533,536

 

 

(1) Before elimination of inter-segment profit

The information above was derived from the internal management reporting system used by management to measure performance of the segments.

 

 


877-963-2100 • www.envisionbank.com                                                                               Member FDIC • Member DIF

9


 

Randolph Bancorp, Inc.

Selected Financial Highlights

(Unaudited)

 

 

 

Three Months Ended March 31,

 

 

 

2019

 

 

2018

 

 

 

 

 

 

 

 

 

 

Return on average assets: (1)

 

 

(0.03

%)

 

 

(0.53

%)

 

 

 

 

 

 

 

 

 

Return on average equity: (1)

 

 

(0.26

%)

 

 

(3.48

%)