EX-99 2 ex99.htm PRESS RELEASE

Exhibit 99

CONTACT: Robert F. Mangano
President & Chief Executive Officer
(609) 655-4500
Joseph M. Reardon
Senior Vice President & Treasurer
(609) 655-4500

PRESS RELEASE – FOR IMMEDIATE RELEASE......

1ST CONSTITUTION BANCORP REPORTS RECORD NET INCOME, UP 20.0%
FOR THE FIRST QUARTER ENDED MARCH 31, 2006

Cranbury NJ – APRIL 26, 2006......1ST Constitution Bancorp (NASDAQ; FCCY), the parent company of 1ST Constitution Bank, announced today record net income for the first quarter ended March 31, 2006.  For the quarter ended March 31, 2006, net income increased by 20.0 percent to $1,254,758 or $0.35 per diluted share, up from $1,045,531 or $0.29 per diluted share achieved during the first quarter of 2005.  All per share amounts have been restated to give effect to a 5 percent stock dividend paid January 31, 2006.

For the quarter ended March 31, 2006, net interest income increased $693,460 or 19.6 percent over the first quarter of 2005.  Return on average assets stood at 1.38 percent for the period, while return on average equity reached 16.91 percent.  These results compare favorably to the return on average assets of 1.27 percent and the return on average equity of 15.82 percent achieved for the first quarter of 2005.  The Company’s net interest margin also grew to 5.03 percent for the first quarter of 2006, which represents a positive increase from the 4.65 percent achieved for the corresponding prior year period.

For the quarter ended March 31, 2006 the Company provided $170,000 to the allowance for loan and lease losses compared to $60,000 for the quarter ended March 31, 2005. 

Robert F. Mangano, president and chief executive officer of 1ST Constitution Bancorp attributed higher earnings for the quarter ended March 31, 2006 to continuing momentum across a broad range of product lines, primarily relating to the Bank’s lending activities and the continued generation of non-interest income.  Loans in all categories grew 19.8 percent for the period and non-interest income increased to $729,586, or 17.3 percent when compared to the first quarter of 2005. 

At March 31, 2006, 1ST Constitution Bancorp had total assets of $369.1 million, an increase of $34.8 million, or 10.4 percent from total assets at March 31, 2005.  1ST Constitution Bancorp, through its primary subsidiary, 1ST Constitution Bank, operates nine branch banking offices in Cranbury (2), Hamilton, Jamesburg, Montgomery, Perth Amboy, Plainsboro, West Windsor and Princeton, and a loan production office in Fort Lee, New Jersey.

1ST Constitution Bancorp common stock is traded on the Nasdaq National Market under the trading symbol “FCCY”.  Information about 1ST Constitution Bancorp can be accessed via the Internet at www.1STCONSTITUTION.com.


The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management’s confidence and strategies and management’s expectations about new and existing programs and products, relationships, opportunities, taxation, technology and market conditions. These statements may be identified by such forward-looking terminology as “expect,” “look,” “believe,” “anticipate,” “may,” “will,” or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, changes in the direction of the economy in New Jersey, the direction of interest rates, effective income tax rates, loan prepayment assumptions, continued levels of loan quality and origination volume, continued relationships with major customers including sources for loans, as well as the effects of general economic conditions and legal and regulatory barriers and structure. 1st Constitution Bancorp assumes no obligation for updating any such forward-looking statements at any time.

 

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1st Constitution Bancorp
Selected Consolidated Financial Data

 

 

 

($ in thousands, except per share amounts)

 

Three Months Ended

 

Years Ended

 

 

 

 

 

March 31,

 

December 31,

 

 

 

 

 

2006

2005

 

2005

2004

2003

Income Statement Data:

 

 

 

 

 

 

 

 

 

Interest income

 

 

$6,153

$4,821

 

$21,328

$17,016

$14,387

 

Interest expense

 

 

1,919

1,280

 

6,028

4,545

4,374

 

Net interest income

 

 

4,234

3,541

 

15,300

12,471

10,013

 

Provision for loan losses

 

170

60

 

405

240

240

 

Net interest income after prov. for loan losses

4,064

3,481

 

14,895

12,231

9,773

 

Non-interest income

 

 

730

622

 

2,647

2,557

2,401

 

Non-interest expense

 

 

3,090

2,570

 

10,887

8,990

7,169

 

Income before income taxes

 

1,704

1,533

 

6,655

5,798

5,005

 

Income tax expense

 

 

449

487

 

2,095

1,960

1,777

 

Net income

 

 

$1,255

$1,046

 

$4,560

$3,838

$3,228

 

 

 

 

 

 

 

 

 

 

 

Balance Sheet Data:

 

 

 

 

 

 

 

 

 

Total Assets

 

 

$369,068

$334,242

 

$372,495

$335,830

$293,483

 

Loans, including loans held for sale

 

263,784

220,100

 

256,772

220,581

179,356

 

Allowance for  loan losses

 

(2,534)

(2,065)

 

(2,361)

(2,005)

(1,787)

 

Investment securities available for sale

64,184

79,980

 

69,237

85,589

85,000

 

Investment securities held to maturity

 

17,496

16,282

 

21,758

12,167

6,191

 

Deposits

 

 

 

284,443

275,936

 

305,809

276,887

245,354

 

Shareholders' Equity

 

 

30,826

26,946

 

29,797

26,790

23,585

 

 

 

 

 

 

 

 

 

 

 

Performance Ratios:

 

 

 

 

 

 

 

 

 

Return on average assets

 

1.38%

1.27%

 

1.22%

1.22%

1.18%

 

Return on average equity

 

16.91%

15.82%

 

15.54%

15.54%

14.85%

 

Net interest margin

 

 

5.03%

4.65%

 

4.25%

4.25%

3.94%

 

Efficiency ratio

 

 

62.3%

61.7%

 

59.8%

59.8%

57.7%

 

 

 

 

 

 

 

 

 

 

 

Asset Quality:

 

 

 

 

 

 

 

 

 

Loans past due over 90 days and still accruing

$118

$0

 

$63

$63

$0

 

Nonaccrual loans

 

 

833

1,118

 

1,049

1,049

331

 

OREO property

 

 

0

0

 

0

0

9

 

Net charge-offs (recoveries)

 

(3)

0

 

21

21

123

 

Allowance for loan losses to total loans

0.96%

0.94%

 

0.91%

0.91%

1.09%

 

Nonperforming loans to total loans

 

0.37%

0.51%

 

0.50%

0.50%

0.20%

 

 

 

 

 

 

 

 

 

 

 

Per Share Data:

 

 

 

 

 

 

 

 

 

Earnings per share - Basic

 

$0.36

$0.30

 

$1.32

$1.11

$0.94

 

Earnings per share - Diluted

 

$0.35

$0.29

 

$1.27

$1.08

$0.89

 

Book value per share

 

 

$8.95

$7.75

 

$8.67

$7.72

$6.84