FOR IMMEDIATE RELEASE
February 16, 2017
Capital Bank Contact:
David J. Hanrahan
Capital Bank Reports Record Earnings and Growth;
Declares Increase to Cash Dividend
Vineland, NJ (2/16/2017) – Capital Bank of New Jersey, the South Jersey community bank owned by hundreds of local stockholders, has announced its 2016 earnings. The bank reported a net income of $4,173,000 for the year ended December 31, 2016, a 7.5% increase over its 2015 income of $3,880,000. Earnings per share increased to $1.70 from $1.56 during the same time period. Capital Bank’s total assets at December 31, 2016 were $444 million, representing growth of more than 17% compared to its assets of $378 million at the end of 2015.
David J. Hanrahan, President and CEO, commented, “It is a pleasure to again report record results for Capital Bank. As we approach our tenth anniversary, we remain extremely grateful to the thousands of customers who have chosen to do business with our bank over the last ten years; they make our success possible.”
Capital Bank also announced that today its Board of Directors declared a 17.5 cents per share cash dividend to its stockholders, a 16.7% increase compared to the 2016 dividend of 15 cents. The dividend will be payable on April 21, 2017 to stockholders of record on March 10, 2017.
Dominic J. Romano, Chairman of the Board, said, “Our strong performance has allowed our Directors to declare a sixth consecutive annual cash dividend while maintaining our strong capital position. This increased dividend, together with our second Stock Repurchase Program, completed in 2016, represent the Board’s ongoing efforts to enhance shareholder value.”
During 2016 Capital Bank repurchased a total of 61,932 shares of stock from stockholders, all at a price of $16.00 per share.
Capital Bank opened for business in Vineland in 2007. Today it has four locations – two in Vineland, one in Woodbury Heights, and one in Hammonton. Capital Bank lends money to businesses and individuals throughout South Jersey, is an Approved SBA Lender and a N.J. EDA Premier Lender. It is also 5-Star rated by BauerFinancial. For more information about Capital Bank, please visit www.capitalbanknj.com.
FORWARD LOOKING STATEMENTS
The Bank may from time to time make written or oral “forward-looking statements”, including statements contained in this press release. Such statements are not historical facts and include expressions about management's confidence and strategies and management's current views and expectations about new and existing programs and products, relationships, opportunities, taxation, technology and market conditions. Actual results may differ materially from such forward-looking statements, and no undue reliance should be placed on any forward-looking statement. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, unanticipated changes in the financial markets and the direction of interest rates; volatility in earnings due to certain financial assets and liabilities held at fair value; stronger competition; insufficient allowance for credit losses; a higher level of net loan charge-offs and delinquencies than anticipated; material adverse changes in the Bank’s operations or earnings; a decline in the economy in our primary market areas; changes in relationships with major customers; changes in effective income tax rates; higher or lower cash flow levels than anticipated; inability to hire or retain qualified employees; a decline in the levels of deposits or loss of alternate funding sources; a decrease in loan origination volume; changes in laws and regulations, including issues related to compliance with anti-money laundering and the bank secrecy act laws; adoption, interpretation and implementation of new or current financial or regulatory accounting pronouncements; operational risks, including the risk of fraud by employees and customers; the inability to successfully implement new lines of business or new products and services; and other factors, many of which are beyond the Bank's control. The words “may”, “could”, “should”, “would”, “believe”, “anticipate”, “continue”, “estimate”, “expect”, “intend”, “plan”, “will”, “project”, “take” and similar expressions are intended to identify forward-looking statements. All such statements are made in good faith by the Bank pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Bank does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Bank.