First Bank Named a Best Performing Community Bank
S&P Global Market Intelligence Recognizes 17-Branch Community Bank
HAMILTON, N.J. – June 4, 2018—First Bank has been named one of S&P Global Market Intelligence’s Best-Performing Community Banks for its record of growth and profitability.
“We work hard to create a bank that is a community partner and good neighbor while achieving our business goals,” said Patrick L. Ryan, First Bank’s president and CEO. “It is an honor to be named one of S&P’s Best Performing Community Banks because we put so much passion into creating a business that listens to the needs of its customers.”
S&P Global Market Intelligence, a leader in multi-asset class research data and insight, released its annual rankings of 2017’s best-performing community banks with assets between $1 billion and $10 billion.
First Bank is a 17-branch community bank with $1.5 billion in assets and $1.2 billion in deposits as of March 31, 2018. The bank offers traditional deposit and loan banking services for individuals, families and commercial clients. The bank has approximately 176 employees working throughout New Jersey in Burlington, Gloucester, Hunterdon, Mercer, Middlesex, Somerset and Morris counties, as well as in Bucks County, Pennsylvania.
First Bank completed its acquisition of Delanco Bancorp, Inc., headquartered in Delanco, New Jersey, on May 1. The transaction expands First Bank’s footprint into Burlington County with the addition of full-service locations in Delanco and Cinnaminson.
Last year, First Bank completed its merger with Bucks County Bank, adding branches in Levittown, Doylestown, Warminster and Bensalem, Pennsylvania in September 2017. First Bank opened its first Pennsylvania branch in Trevose in May 2015.
On May 30, 2017, First Bank completed a public offering of 3,289,474 shares of its common stock at a price of $11.40 per share. The underwriters exercised in part their overallotment option on June 6, 2017. The aggregate gross proceeds of the offering was approximately $40 million before deducting underwriting discounts, commissions and other offering expenses. This successful public offering follows the June 2016 private placement of common stock raising $13.7 million before deducting underwriting discounts, commissions and other offering expenses and the April 2015 completion of a private placement of subordinated debentures of $22.0 million. First Bank uses capital raised for general corporate purposes, organic growth initiatives and merger and acquisition opportunities.
Six core financial performance metrics were used by S&P Global Market Intelligence to rank the best-performing community banks: pretax return on average tangible common equity, net charge-offs as a percentage of average loans, efficiency ratio, adjusted Texas ratio, net interest margin and loan growth. Each company’s standard deviation from the industry mean was calculated for every ranking metric, equally weighted, then added together to calculate a performance score. To help normalize the data and mitigate the impact of outliers, caps and floors were applied for each metric.
Community banks are defined as institutions with up to $10 billion in assets, according to S&P Global Market Intelligence. For a bank to be eligible for the rankings, at least one-third of its balance sheet must be composed of loans, less than half of which could be attributable to credit card lending. Eligible banks had to be well-capitalized according to regulatory standards and could not have a majority of revenue derived from nontraditional banking activities.
For the $1 billion-to-$10 billion ranking, S&P Global Market Intelligence ranked companies at the holding company level if consolidated data was reported; otherwise, the bank subsidiary was used. Companies that have parents with assets above $10 billion were excluded. Based on these criteria, 533 companies were eligible for the $1 billion-to-$10 billion ranking.
To learn more about First Bank, visit firstbanknj.com.
PHOTO CAPTION: Patrick L. Ryan, First Bank’s president and CEO, is pictured with John-Patrick O’Sullivan, Managing Director, Financial Institutions, S&P Global Market Intelligence at the Community Bankers Conference held during April at the Four Seasons in Orlando, FL.
About First Bank
First Bank (firstbanknj.com) is a New Jersey state-chartered bank with 17 full-service branches in Cinnaminson, Cranbury, Delanco, Denville, Ewing, Flemington, Hamilton, Lawrence, Pennington, Randolph, Somerset and Williamstown, New Jersey, and Trevose, Doylestown, Warminster, Bensalem and Levittown, Pennsylvania. With $1.5 billion in assets as of March 31, 2018, First Bank offers a traditional range of deposit and loan products to individuals and businesses throughout the New York City to Philadelphia corridor. First Bank’s common stock is listed on the Nasdaq Global Market exchange under the symbol “FRBA.”