PRESS RELEASE
| FROM: | Robert H. Gaughen, Jr., President |
| Hingham Institution for Savings | |
| Hingham, MA (NASDAQ-HIFS) | |
| DATE: | October 20, 2009 |
| CONTACT: | William M. Donovan, Jr., Vice President (781) 749.2200 |
22% INCREASE IN QUARTERLY EARNINGS
HINGHAM INSTITUTION FOR SAVINGS (NASDAQ – HIFS), Hingham, Massachusetts announced third quarter earnings for 2009. Net income for the quarter ended September 30, 2009 was $2,183,000 or $1.03 per share (basic and diluted) as compared to $1,788,000 or $0.84 per share (basic and diluted) for the same period last year. The Bank’s annualized return on average equity for the third quarter of 2009 was 13.67%, compared to 12.37% for the same period in 2008.
Net income for the nine months ending September 30, 2009 was $5,778,000 or $2.72 per share (basic and diluted) as compared to $4,491,000 or $2.12 per share (basic and diluted) for the same period last year. The Bank’s annualized return on average equity for the nine months ended September 30, 2009 was 12.37% compared to 10.56% for the same period in 2008.
Strong growth trends of recent years continued, as deposits increased to $628,819,000 representing a recent record 28.1% increase from September 30, 2008. Loans increased to $700,463,000 representing a 10.2% increase from September 30, 2008 and total assets increased to $913,866,000 representing a 12.5% increase from September 30, 2008. Stockholders’ equity increased to $64,261,000 as of September 30, 2009 representing a 10.6% increase from September 30, 2008 with a related increase in book value per share to $30.25 from $27.39.
President Robert H. Gaughen, Jr. stated, “We’re pleased to report continued growth and consistent strength as our quarterly earnings represent a 22% increase over the same period last year and our earnings for the nine months ending September 30, 2009 represent a 29% increase over the same period in 2008. These results are after a significant provision for loan losses of $400,000 during the third quarter for a total of $1.4 million for the first nine months of 2009. At September 30, 2009, non-performing assets totaled 1.35% of total assets, down from 1.51% reported at June 30, 2009. Continued increases in our net interest margin along with diligent cost control have produced real bottom line improvements and have helped offset additional provisions for loan losses at a time when markets are uncertain. Our goal remains to vigorously manage asset quality, effectively control costs and protect our earnings.”
Hingham Institution for Savings is a Massachusetts-chartered savings bank located in Hingham, Massachusetts. Incorporated in 1834, it is the oldest financial institution headquartered in Hingham and one of the oldest in the Commonwealth. The Bank’s main office is located on Main Street, Hingham, Massachusetts 02043, phone (781) 749-2200. The Bank also maintains branch offices in South Hingham and the neighboring towns of Cohasset, Hull, Scituate, Weymouth, Norwell, as well as the South End of Boston. The Bank’s shares of common stock are listed and traded on The NASDAQ Stock Market under the symbol HIFS.
Copyright 2007 Hingham Institution for Savings. All rights reserved. Member FDIC/Member DIF FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2013. Hingham Institution for Savings has chosen not to participate in the FDIC's Transaction Account Guarantee Program. Customers of Hingham Institution for Savings with noninterest-bearing transaction accounts will continue to be insured through December 31, 2013 for up to $250,000 under the FDIC's general deposit insurance rules. All deposits above this amount are insured by the Deposit Insurance Fund.
