EX-99 2 ex99.txt EX-99 Exhibit 99 Release Date: Further Information: IMMEDIATE RELEASE David J. Bursic October 18, 2007 President and CEO or Pamela M. Tracy Investor Relations Phone: 412/364-1913 WVS FINANCIAL CORP. ANNOUNCES INCREASED FIRST QUARTER EARNINGS PER SHARE AND NET INCOME Pittsburgh, PA -- WVS Financial Corp. (NASDAQ: WVFC), the holding company for West View Savings Bank, today reported net income of $1,023,000 or $0.45 per diluted share, for the three months ended September 30, 2007 as compared to net income of $904,000 or $0.39 per diluted share for the same period in 2006. The $119,000 or 13% increase in net income during the quarter was primarily attributable to a $223,000 increase in net interest income, an $8,000 increase in recovery for loan losses and a $5,000 increase in non-interest income, which were partially offset by a $77,000 increase in income tax expense and a $40,000 increase in non-interest expense. The increase in net interest income primarily resulted from the favorable impact of somewhat higher intermediate term market interest rates and lower short-term borrowing costs. To a lesser extent, net interest income benefited from a higher level of average assets when compared to the same period in 2006. The increase in income tax expense was primarily attributable to higher levels of taxable income. The increase in non-interest expense was primarily attributable to increases in charitable contributions eligible for PA tax credits and increased employee related costs, which were partially offset by decreases in correspondent bank service charges. During the quarter ended September 30, 2007, the Company successfully completed its Eighth Stock Repurchase Program totaling 125,000 shares. The Company also announced its Ninth Stock Repurchase Program targeting 125,000 shares. Book value per share increased to $13.72 per share at September 30, 2007 from $13.49 per share at June 30, 2007. Return on average equity totaled 13.20% at September 30, 2007 compared to 12.14% at June 30, 2007. WVS Financial Corp. owns 100% of the outstanding common stock of West View Savings Bank. The Savings Bank is a Pennsylvania-chartered, FDIC savings bank, which conducts business from six offices located in the North Hills suburbs of Pittsburgh, Pennsylvania. --TABLES ATTACHED-- # # # Page 4 of 6 WVS FINANCIAL CORP. AND SUBSIDIARY SELECTED CONSOLIDATED FINANCIAL DATA (Dollars in thousands except per share data) September 30, June 30, 2007 2007 (Unaudited) (Unaudited) ------------ ------------ Total assets $ 449,236 $ 408,076 Investment securities held-to-maturity 218,409 202,664 Investment securities available-for-sale 19,407 8,933 Mortgage-backed securities held-to- maturity 130,832 119,271 Mortgage-backed securities available-for- sale 2,226 2,246 Net loans receivable 59,561 60,350 Deposits 163,659 159,377 FHLB advances: long-term 135,579 130,579 FHLB advances: short-term 86,325 0 Other borrowings 28,324 82,950 Equity 31,012 31,293 Book value per share 13.72 13.49 Return on average assets 0.91% 0.90% Return on average equity 13.20% 12.14% Page 5 of 6 WVS FINANCIAL CORP. AND SUBSIDIARY SELECTED CONSOLIDATED OPERATING DATA (In thousands except per share data) Three Months Ended September 30, (Unaudited) -------------------------- 2007 2006 ----------- ----------- Interest income $ 6,537 $ 6,118 Interest expense 4,234 4,038 ----------- ----------- Net interest income 2,303 2,080 Recovery for loan losses (17) (9) ----------- ----------- Net interest income after recovery for loan losses 2,320 2,089 Non-interest income 157 152 Non-interest expense 942 902 ----------- ----------- Income before income tax expense 1,535 1,339 Income taxes 512 435 ----------- ----------- NET INCOME $ 1,023 $ 904 =========== =========== EARNINGS PER SHARE: Basic $ 0.45 $ 0.39 Diluted $ 0.45 $ 0.39 WEIGHTED AVERAGE SHARES OUTSTANDING: Basic 2,283,510 2,327,183 Diluted 2,284,384 2,329,120 Page 6 of 6