Danvers Bancorp, Inc. Reports Results for the
Three and Six Months Ended June 30, 2010
July 22, 2010 05:04 PM Eastern Daylight Time
DANVERS, Mass.--(EON: Enhanced Online News)--Danvers Bancorp, Inc. (the “Company”) (NASDAQ:
DNBK), the holding company for Danversbank, today reported net income of $4.9 million for the quarter ended
June 30, 2010 compared to net income of $135,000 for the same quarter in 2009. Net income for the comparable
six month periods in 2010 and 2009 was $9.2 million and $1.5 million, respectively. The combination of the
acquisition of Beverly National Corporation (“Beverly”), organic growth, particularly within the loan portfolio, and
the overall improvement of the Company’s net interest margin resulted in a significant increase in net interest income
and a lesser increase in non-interest income. These increases were partially offset by higher provision for loan losses,
increased salaries and benefits expense and other operating expenses. Specifically, net interest income for the three
and six months ended June 30, 2010 improved by $8.1 million, or 62.2% and $16.4 million, or 64.3%, respectively,
compared to the comparable periods in 2009.
Compared to the quarter ended March 31, 2010, net income increased by $692,000, or 16.3%. Increases in non-
interest income, primarily securities gains and deposit account service charges, and net interest income were offset by
increases in the provision for loan losses and income taxes.
2010 second quarter financial highlights include:
l 15% annualized growth in total deposits during the second quarter;
l Non-performing assets to total assets of 0.81% compared to 0.79% for Q2 ‘09 and 0.68% for Q1 ‘10;
l Net interest margin of 3.66% compared to 3.13% for Q2 ‘09 and 3.66% for Q1 ‘10;
l Net interest income increased 62.18% compared to Q2 ‘09 and 1.72% compared to Q1 ‘10; and
l Non-interest income increased 125.96% compared to Q2 ‘09 and 53.04% compared to Q1 ‘10.
“Our core operations remained stable during the second quarte