2022
Annual
REPORT
Dear Fellow Shareholders:
It was another fantastic year for First Federal Savings Bank. As we celebrated our 110th anniversary, we continue to grow both loans and deposits. Our profitability remained strong and our commitment to the serve our communities did not waiver. We would not have been able to achieve success in all these areas if it was not for the exceptional team the believes in what we do and has a passion to serve our customers.
Our growth continues as planned, steady and controlled. We were able to increase loans by 17% and deposits by 7%. Moving forward, our goal is to grow organically as we solidify our position in the three markets we serve. We increased our commitment in Warsaw as we opened our 2nd location in this market which is our 7th overall. We will begin construction on our 3rd location in Fort Wayne mid 2023 adding to our branch network.
Since we were able to maintain our highly profitable performance, we rewarded you, our shareholder, with a special dividend for the 8th consecutive year. That amounts to $7.8 million in additional dividends returned to our owners during that period. Over the last 5 years, between the regular dividend and special dividend, we returned more than $12.5 million to our shareholders. This was also the 28th year in row we have increased the dividend.
Since 1912, First Federal Savings Bank has been there for our customers and communities. We embrace and understand the importance of our role as a community bank. We've helped families achieve their dream of homeownership. We have partnered with businesses and entrepreneurs helping them grow and thrive. We've been there for our communities donating millions of dollars and countless volunteer hours to ensure needs are being met. We do this because we are a community bank. I would like to thank the staff, for their continued belief in what we do, the board of directors, for their guidance and leadership, and our customers for their faith in us.
Sincerely,
Michael S. Zahn
Northeast Indiana Bancorp, Inc.
President & CEO
SELECTED CONSOLIDATED FINANCIAL INFORMATION
DECEMBER 31 | |||||||||
SELECTED FINANCIAL CONDITION DATA: | 2022* | 2021 | 2020 | 2019 | 2018 | ||||
(DOLLARS IN THOUSANDS, EXCLUDING EARNINGS PER SHARE DATA) | |||||||||
Total assets | $445,528 | $417,657 | $391,277 | $353,924 | $334,211 | ||||
Securities | 90,336 | 98,561 | 85,434 | 63,620 | 62,706 | ||||
Loans receivable, net | 320,756 | 274,267 | 264,220 | 253,462 | 240,076 | ||||
Deposits | 366,816 | 341,949 | 296,958 | 252,282 | 233,371 | ||||
Total borrowings | 32,000 | 23,001 | 45,805 | 57,237 | 59,764 | ||||
Shareholders' equity | 43,127 | 48,694 | 45,552 | 41,207 | 37,230 | ||||
SELECTED OPERATIONS DATA: | |||||||||
Total interest income | $17,552 | $16,353 | $15,449 | $15,996 | $14,143 | ||||
Total interest expense | 2,245 | 2,107 | 3,041 | 4,336 | 3,206 | ||||
Net interest income | 15,307 | 14,246 | 12,408 | 11,660 | 10,937 | ||||
Provision for loan losses | 0 | 120 | 580 | 425 | 175 | ||||
Net interest after provision for loan losses | 15,307 | 14,126 | 11,828 | 11,235 | 10,762 | ||||
Total noninterest income | 3,345 | 4,646 | 4,627 | 3,420 | 3,088 | ||||
Total noninterest expense | 10,783 | 9,831 | 9,696 | 9,177 | 9,007 | ||||
Income before income taxes | 7,869 | 8,941 | 6,759 | 5,478 | 4,843 | ||||
Income tax expense | 1,316 | 1,644 | 1,160 | 793 | 676 | ||||
Net income | $6,553 | $7,297 | $5,599 | $4,685 | $4,167 | ||||
Basic earnings per common share | 5.46 | 6.09 | 4.65 | 3.91 | 3.49 | ||||
Diluted earnings per common share | 5.46 | 6.08 | 4.64 | 3.91 | 3.49 |
SELECTED FINANCIAL RATIOS AND OTHER DATA:
PERFORMANCE RATIOS
Return on assets (ratio of net income to average total assets)
Return on equity (ratio of net income to average total shareholders' equity) Interest rate spread information:
Average during period End of period
Net interest margin (1) Efficiency Ratio
Ratio of operating expense to average total assets
Ratio of average interest-earning assets to average interest-bearing liabilities
QUALITY RATIOS:
Nonperforming assets to total assets at end of period
Allowance for loan losses to nonperforming loans (2)
Allowance for loan losses to total loans
CAPITAL RATIOS:
Total shareholders' equity to total assets at end of period
Average total shareholders' equity to average total assets
OTHER DATA:
Dividends declared per share (3)
Book Value
Dividend payout ratio (3)
Number of full-service offices
1.54% | 1.77% | 1.44% | 1.33% | 1.28% |
14.90 | 15.31 | 12.63 | 11.76 | 11.48 |
3.60 | 3.51 | 3.18 | 3.49 | 3.48 |
3.44 | 3.16 | 3.29 | 3.43 | 3.61 |
3.76 | 3.66 | 3.41 | 3.52 | 3.60 |
57.81 | 52.04 | 56.92 | 60.85 | 64.22 |
2.53 | 2.39 | 2.42 | 2.52 | 2.68 |
128.07 | 128.05 | 123.57 | 118.90 | 118.39 |
0.67 | 0.77 | 1.38 | 1.95 | 0.86 |
133.70 | 124.00 | 71.23 | 48.07 | 100.42 |
1.23 | 1.44 | 1.46 | 1.26 | 1.19 |
9.68 | 11.65 | 11.64 | 11.64 | 11.14 |
10.32 | 11.58 | 11.41 | 11.29 | 11.16 |
$2.47 | $2.39 | $2.09 | $1.77 | $1.72 |
$35.80 | $40.49 | $37.73 | $34.25 | $30.95 |
45.2% | 39.31% | 45.17% | 45.57% | 49.79% |
7 | 6 | 6 | 6 | 6 |
*Unaudited
- Net interest income divided by average interest-earning assets.
- Nonperforming loans includes Troubled Debt Restructurings (TDR's).
- The Company paid a "Special" cash dividend of $1.25/share in 2022 and 2021, $1.00/share in 2020, and $0.75/share in 2019 and 2018.
BOARD OF DIRECTORS
Stephen E. Zahn | Chairman of the Board |
J. David Carnes | Retired Medical Doctor, Parkview Physicians Group |
William A. Zimmer | President, W. A. Zimmer Company |
Michael S. Zahn | President and Chief Executive Officer |
Kyle D. Koob | President, Advanced Machine & Tool Corporation |
Christopher D. Cook | Senior Vice President and Chief Financial Officer |
NORTHEAST INDIANA BANCORP INC. EXECUTIVE OFFICERS
Michael S. Zahn | President and Chief Executive Officer |
Christopher D. Cook | Senior Vice President, Treasurer and Chief Financial Officer |
Cindy L. Krumanaker | Senior Vice President, Secretary and Chief Operations Officer |
FIRST FEDERAL SAVINGS BANK OFFICERS
Michael S. Zahn | President and Chief Executive Officer |
Christopher D. Cook | Senior Vice President, Treasurer and Chief Financial Officer |
Cindy L. Krumanaker | Senior Vice President, Secretary and Chief Operations Officer |
Thomas N. Mills | Senior Vice President Commercial Lending |
Tracy R. Hamilton | Vice President Human Resources |
Rise K. Buzzard | Vice President Deposits |
Joe A. Cavacini | Vice President Commercial Lending/Business Development |
Eric M. Todd | Vice President Commercial Credit |
Juli A. Eckel | Vice President Commercial Lending/Business Development |
Benjamin P. Capper | Vice President Commercial Lending/Business Development |
Lindsi K. Walker | Vice President Commercial Processing |
James D. Boucher | Vice President Information Systems |
Cynthia A. Zay | Vice President Mortgage Operations |
Kimberly L. Fischer | Vice President Mortgage Underwriting |
Amanda L. Stroup | Vice President Marketing Director/Mortgage Lending |
Carla M. Williams | Vice President Mortgage Lending |
Donald K. Haire | Vice President Consumer/Mortgage Lending |
Peter L. Confer | Vice President Controller |
Heather D. Dorsett | Assistant Vice President Records Management/Special Projects Manager |
Andrea N. Nightenhelser | Assistant Vice President BSA Officer/Operations Manager |
Lisa L. Hockemeyer | Assistant Vice President Warsaw Downtown Branch Manager |
Peggy S. Genshaw | Assistant Vice President Warsaw North Branch Manager |
Julia A. Bazur | Assistant Vice President Northeast Fort Wayne Branch Manager |
Emily M. Doss | Assistant Vice President Southwest Fort Wayne Branch Manager |
Matthew E. Bochard | Assistant Vice President Commercial Lending/Business Development |
AUDITED FINANCIAL STATEMENTS AND INVESTOR INFORMATION
A copy of the Company's audited financial statements is available without charge in PDF format at www.firstfedindiana.bank or by writing:
CHRISTOPHER D. COOK
Senior Vice President/Chief Financial Officer
Northeast Indiana Bancorp, Inc.
100 Frontage Road
Huntington, Indiana 46750
CORPORATE OFFICE
Northeast Indiana Bancorp, Inc. 648 North Jefferson Street Huntington, Indiana 46750 (260) 356-3311
FIRST FEDERAL WEALTH
100 Frontage Road Huntington, Indiana 46750 (260) 358-1414
SCAN FOR BRANCH LOCATION INFORMATION
SPECIAL COUNSEL
Smith Amundsen LLC
201 North Illinois, Suite 1400
Indianapolis, IN 46204-4212
INDEPENDENT AUDITOR
FORVIS LLP
201 North Illinois Street
Indianapolis, IN 46244
STOCK TRANSFER AGENT
Inquiries regarding stock transfer, registration, lost certificates, or changes in name and address should be directed to the stock transfer agent and registrar by writing:
COMPUTERSHARE
P.O. Box 43078
Providence, RI 02940-3078
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Disclaimer
Northeast Indiana Bancorp Inc. published this content on 02 March 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 March 2023 08:52:11 UTC.