Blue Valley Ban Corp. Announces First Quarter 2017 Operating Results

OVERLAND PARK, Kan.–(BUSINESS WIRE)– Blue Valley Ban Corp. (OTCQX: BVBC) (the “Company”) today reported consolidated earnings for the quarter ended March 31, 2017 of $902,000, compared to $290,000 for the comparable period ended March 31, 2016. Earnings per common share increased to $0.17 for the quarter ended March 31, 2017, compared to $0.05 for the comparable period ended March 31, 2016. Numerous key aspects of the operating results and financial condition for the Company reflected positive trends and results as of and during the period ended March 31, 2017.

Robert D. Regnier, Chairman and CEO of Blue Valley Ban Corp. commented, “The Company’s improved operating results for the first quarter of 2017 have resulted from our implementation of strategic initiatives, which included loan growth, deposit growth, improvements to asset quality and a continued focus on operational efficiencies. These accomplishments reflect the foundation for growth and success established over the past several years, to which we remain committed.”

For the quarter ended March 31, 2017, net interest income increased $537,000, while the Company’s non-interest income declined by $161,000, compared to the prior year period. For the quarter ended March 31, 2017, the Company’s non-interest expense declined by $141,000, compared to the prior year period.

The Company recorded no provision to the allowance for loan losses during the quarter ended March 31, 2017, compared to a provision of $475,000 during the quarter ended March 31, 2016. Management evaluates credit risk on an ongoing basis to determine an appropriate level for the allowance for loan losses. Net recoveries to the allowance for loan loss as well as continued incremental improvement to the credit quality of the Company’s loan portfolio, net of the impact of loan growth during the period, were the key factors for the determination of the level for the allowance for loan losses for the quarter ended March 31, 2017. The Company’s ratio of total reserves to non-accrual loans improved to approximately 1,219% as of March 31, 2017.

At March 31, 2017, the Bank’s ratio of non-accrual loans plus loans greater than 90 days past due to total loans for the Company’s subsidiary, Bank of Blue Valley (the “Bank”), was 0.10%, which compares favorably with the most recent Uniform Bank Performance Report peer group ratio of 0.80%.

About Blue Valley Ban Corp.

Blue Valley Ban Corp. is a bank holding company that, through its subsidiaries, provides banking services to closely-held businesses, their owners, professionals and individuals in Johnson County, Kansas.

This release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and is including this statement for purposes of those safe harbor provisions. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of the Company, can generally be identified by use of the words “anticipate,” “believe,” “can,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” or the negative of these terms or other comparable terminology. The Company is unable to predict the actual results of its future plans or strategies with certainty. Factors which could have a material adverse effect on the operations and future prospects of the Company include, but are not limited to, fluctuations in market rates of interest and loan and deposit pricing; inability to maintain or increase deposit base and secure adequate funding; a continued deterioration of general economic conditions or the demand for housing in the Company’s market areas; legislative or regulatory changes; regulatory action; continued adverse developments in the Company’s loan or investment portfolio; any inability to obtain funding on favorable terms; the Company’s non-payment on Trust Preferred Securities or other debt; the loss of key personnel; significant increases in competition; potential unfavorable actions from rating agencies; potential unfavorable results of litigation to which the Company may become a party, and the possible dilutive effect of potential acquisitions or expansions. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. We operate in a very competitive and rapidly changing environment. New risks emerge from time to time, and it is not possible for us to predict all risk factors. Nor can we address the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements.

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Blue Valley Ban Corp.

Mark A. Fortino
Chief Financial Officer

(913) 338-1000

Source: Blue Valley Ban Corp.