NB&T FINANCIAL GROUP INC

CIK:0000908837|SEC Filings

Earnings Per Share

9 Months Ended

Sep. 30, 2014

Note 7: Earnings Per Share

The factors used in the earnings per share computation were as follows (thousands, except share and per share amounts):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2014		2013		2014		2013
Numerator: Net income	$	1,143	$	1,068	$	3,565	$	3,226

Denominator:
Weighted-average common shares outstanding (basic)		3,430,055		3,415,732		3,429,892		3,416,915
Effect of stock options		52,359		22,458		20,900		11,588

Weighted-average common shares outstanding (diluted)		3,482,414		3,438,190		3,450,792		3,428,503

Earnings per share:
Basic	$	.33	$	.31	$	1.04	$	.94

Diluted	$	.33	$	.31	$	1.03	$	.94

For the three months ended September 30, 2014, all stock options were considered in computing earnings per share as their exercise prices were below the three month average fair market value of the Company’s common shares. For the nine months ended September 30, 2014, stock options covering 65,500 were not considered in computing earnings per share as their exercise prices exceeded the nine month average fair market value of the Company’s common shares. For the three and nine months ended September 30, 2013, stock options covering 116,100 and 198,100 shares of common stock were not considered in computing earnings per share as their exercise prices exceeded the three and nine month average fair market value of the Company’s common shares.

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) In Thousands, unless otherwise specified	9 Months Ended
	Sep. 30, 2014	Sep. 30, 2013
Operating Activities
Net income	$ 3,565	$ 3,226
Items not requiring (providing) cash:
Depreciation and amortization	1,092	1,178
Provision for Loan Losses	510	1,840
Amortization of premiums and discounts on securities	2,183	2,809
Increase in cash surrender value on bank owned life insurance	(351)	(351)
Proceeds from FDIC loss share receivable	400	517
Stock options expense	107	140
Net realized gains on sales of available-for-sale securities	0	(781)
Gain on extinguishment of long-term debt	0	(300)
Net changes in:
Loans held for sale	(120)	10
Other assets and liabilities	163	2,033
Net cash provided by operating activities	7,549	10,321
Investing Activities
Purchases of available-for-sale securities	(35,490)	(72,519)
Proceeds from sales of available-for-sale securities	0	21,436
Proceeds from redemption of Federal Home Loan Bank Stock	2,649	0
Proceeds from maturities of available-for-sale securities	17,653	38,657
Purchase of Federal Reserve Bank stock	(6)	(5)
Net change in loans	(3,152)	(3,927)
Purchases of premises and equipment	(328)	(273)
Net cash used in investing activities	(18,674)	(16,631)
Net change in:
Deposits	6,428	(1,493)
Extinguishment of long-term debt	0	(700)
Proceeds from stock options exercised	197	252
Purchase of treasury shares	(432)	(198)
Proceeds from sale of treasury stock	123	0
Dividends paid	(2,058)	(2,049)
Net cash provided by (used in) financing activities	4,258	(4,188)
Decrease in Cash and Cash Equivalents	(6,867)	(10,498)
Cash and Cash Equivalents, Beginning of Period	51,499	64,509
Cash and Cash Equivalents, End of Period	44,632	54,011
Supplemental Cash Flows Information
Interest paid	866	1,457
Income taxes paid	210	1,398
Transfers of loans into other real estate owned	$ 857	$ 873

Condensed Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Sep. 30, 2014	Dec. 31, 2013
Assets
Cash and due from banks	$ 11,159	$ 9,155
Interest-bearing deposits	33,016	41,901
Federal funds sold	457	443
Cash and cash equivalents	44,632	51,499
Available-for-sale securities	157,874	138,098
Loans held for sale	120	0
Loans, net of allowance for loan losses of $3,911 and $4,053 at September 30, 2014 and December 31, 2013, respectively	397,258	395,443
Premises and equipment	16,275	16,895
Federal Reserve and Federal Home Loan Bank stock	7,392	10,035
Earned income receivable	2,962	2,546
Goodwill	3,625	3,625
Core deposits and other intangibles	168	312
Bank-owned life insurance	16,462	16,111
Other real estate owned	1,353	1,224
FDIC loss share receivable	125	525
Other	1,736	1,999
Total assets	649,982	638,312
Deposits
Demand	118,621	115,206
Savings, NOW and money market	352,012	339,260
Time	86,595	96,334
Total deposits	557,228	550,800
Long-term debt	14,310	14,310
Interest payable and other liabilities	7,179	5,167
Total liabilities	578,717	570,277
Commitments and Contingencies
Stockholders' Equity
Preferred stock, no par value, authorized 100,000 shares; none issued	0	0
Common stock, no par value; authorized 6,000,000 shares; issued - 3,818,950 shares	1,000	1,000
Additional paid-in capital	12,984	12,733
Retained earnings	60,298	59,820
Accumulated other comprehensive income (loss)	1,836	(900)
Treasury stock, at cost Common; 2014 - 387,063 shares, 2013 - 389,390 shares	(4,853)	(4,618)
Total stockholders' equity	71,265	68,035
Total liabilities and stockholders' equity	$ 649,982	$ 638,312