Net.B@nk, Inc. Announces Record Account Growth and First Quarter Results for Fiscal 1999
April 22, 1999 08:30 AM
ATLANTA, April 22 /PRNewswire/ -- Net.B@nk, Inc. NTBK , the holding company for Net.B@nk (http://www.netbank.com), Member FDIC, the first profitable Internet-only bank, will announce its results for the first quarter ended March 31, 1999, at its annual shareholders meeting to be held today. For the quarter, the company recorded $691,000 in net income or $.09 per share compared to a ($151,000) loss or ($.02) per share for the same quarter a year ago. These earnings per share do not reflect the effect of the company's previously announced three for one stock split, which has a record date of April 23, 1999, and a distribution date of May 14, 1999.
D.R. Grimes, CEO of Net.B@nk, indicated in his remarks prepared for shareholders, "The first quarter financial results are in line with earlier analysts' expectations despite increased marketing expenses related to the introduction of a major marketing campaign begun in the quarter to attract traditional checking and money market customers. The success of the marketing campaign has far exceeded our expectations. Total accounts of 27,000 through today represent more than a 50 percent increase since the first of this year. Transactional deposit accounts now represent over two-thirds of our total accounts. These accounts typically represent long-term customer relationships."
Mr. Grimes also noted that in addition to account growth, the first quarter of fiscal 1999 was significant with the completion of a major upgrade to the bank's online banking technology platform that provides customers with quicker response times and gives the bank a scalable platform for further account growth. The company also announced the addition of several key management members during the quarter including: Robbie Jones, Deposit Operations Manager, from SunTrust; Virginia Johnston, Customer Care Manager, from CheckFree; and Patrick Dowling, Loan Acquisition Manager, from Franklin Thrift and Loan.
Net.B@nk, the largest federally insured and first profitable Internet-only bank, offers traditional banking services including checking, money market and certificate of deposit accounts as well as lending products such as mortgage loans, credit cards and small business leases, and brokerage services. A member of the FDIC, the bank's low overhead structure allows it to offer attractive interest rates to its customers in all 50 U.S. states and over 20 foreign countries.
For more information on Net.B@nk, its products and services, visit the web site at netbank.com.
Net.B@nk, Inc.
For Quarters Ended March 31, 1999 and 1998
(In thousands except per share data)
For the Quarter Ended
March 31,
1999 1998
Interest income $7,558 $2,207
Interest expense (4,560) (1,304)
Net interest income 2,998 903
Noninterest income 246 123
Noninterest expense (2,148) (1,173)
Provision for loan loss (50) (4)
Income (loss) before income taxes 1,046 (151)
Income tax benefit (355) --
Net Income (loss) $691 $(151)
Net Income (loss) per share - basic $0.09 $(0.02)
- diluted $0.09 $(0.02)
Weighted average shares
outstanding - basic 7,512 6,146
- diluted 7,808 6,146
Book value per share $16.72 $5.55
Shares outstanding end of period 8,598 6,146
Securities and investments $116,297 $56,608
Loans, net of allowance $359,740 $104,588
Total assets $526,463 $163,457
Deposits $332,678 $128,673
Shareholder equity (deficit) $143,748 $34,095
SOURCE Net.B@nk, Inc. |
