Business
FVCBankcorp, Inc. Announces Earnings for Fourth Quarter and Year End 2019
FAIRFAX, Va.--(BUSINESS WIRE)-- FVCBankcorp, Inc. (NASDAQ:FVCB) (the “Company”) today reported fourth quarter 2019 net income of $3.7 million, or $0.25
About this update from Fvcbankcorp, Inc.
[{"type":"text","content":" FAIRFAX, Va.--(BUSINESS WIRE)--\nFVCBankcorp, Inc. (NASDAQ:FVCB) (the “Company”) today reported fourth quarter 2019 net income of $3.7 million, or $0.25 diluted earnings per share, compared to $1.4 million, or $0.10 diluted earnings per share, for the quarterly period ended December 31, 2018. Weighted-average common shares outstanding for the diluted earnings per share calculations were 14.8 million and 14.7 million for the three months ended December 31, 2019 and 2018, respectively.\n\n\nFor the year ended December 31, 2019, net income was $15.8 million, or $1.07 per diluted earnings per share, compared to $10.9 million, or $0.85 diluted earnings per share, for the year ended December 31, 2018.\n\n\nThe Company believes the reporting of non-GAAP earnings which excludes merger-related expenses, losses on sales of securities, and losses on loans held for sale, are more reflective of the Company’s operating performance and future performance (“Operating Earnings”). The Company incurred merger-related expenses associated with its acquisition of Colombo Bank (“Colombo”) totaling $133 thousand for the year ended December 31, 2019, and $2.7 million and $3.3 million for the three and twelve months ended December 31, 2018, respectively. During the fourth quarter of 2019, the Company reclassed a portion of its consumer unsecured loan portfolio as held for sale, and recorded a loss on the market value adjustment totaling $145 thousand. This portfolio was purchased by the Company within the last two years and is not performing as expected, with recorded net charge-offs totaling $647 thousand for the year ended December 31, 2019. Lastly, during the fourth quarter of 2018, the Company sold $10.9 million in securities available-for-sale at a loss of $462 thousand to reinvest those funds in higher yielding securities. Excluding the above items, net of tax, Operating Earnings for the three months ended December 31, 2019 and 2018 were $3.8 million and $3.9 million, respectively, or $0.26 per diluted share for each of the quarters ended December 31, 2019 and 2018, as earnings were impacted by a flat yield curve and three rate cuts by the Federal Open Market Committee of the Federal Reserve during 2019. For the years ended December 31, 2019 and 2018, Operating Earnings were $16.0 million and $13.9 million, respectively, or $1.08 per diluted share...