COEUR D’ALENE, Idaho, Oct. 11, 2017 (GLOBE NEWSWIRE) -- Jack W. Gustavel, Chairman and Chief Executive Officer of Idaho Independent Bank (“IIB” or the “Bank”) (OTC Pink:IIBK), announced IIB’s unaudited, consolidated financial results for the third quarter and year-to-date ending September 30, 2017. 

Pre-tax income for the third quarter was $2.3 million, a $900,000 increase over the $1.4 million earned in the third quarter of 2016.  Net income after taxes was $1.4 million, or $0.18 per diluted share, compared to $1.1 million, or $0.14 per diluted share, for the third quarter of 2016.  “Pre-tax income increased 64.3% largely due to strong loan and deposit growth and an increase in the Bank’s net interest margin,” Mr. Gustavel said.  Income tax expense for the 2016 quarter included a $248,000 benefit related to a reversal of the Bank’s deferred tax valuation allowance, while there was no reversal in 2017.  After-tax income for the nine months ended September 30, 2017, was $3.4 million, or $0.43 per diluted share, compared to $3.0 million, or $0.37 per diluted share, for 2016.  The 2016 income tax expense was reduced by a valuation allowance reversal that totaled $761,000, while there was no reversal in 2017.

At September 30, 2017, the Bank's total assets were $686.3 million, an increase of $70.0 million, or 11.4%, when compared to September 30, 2016.  Total loans, including loans held-for-sale, increased $57.0 million, or 18.3%, to $367.9 million; while deposits and repurchase agreements increased $65.0 million, or 12.1%, to $601.1 million over the same timeframe.  As of September 30, 2017, the allowance for loan and lease losses was $6.3 million, or 1.7% of total loans, excluding loans held-for-sale, and nonperforming assets continued to be less than 0.2% of total assets.

As of quarter end, the Bank’s stockholders' equity to average total assets was 10.1%, and IIB’s capital ratios exceeded the regulatory thresholds required to be considered “Well-Capitalized.”  During the quarter, the Bank purchased 9,969 shares of its common stock at a cost of $103,096.  IIB may still purchase shares worth up to $1.3 million under its current buyback approval.  

IIB will file its Consolidated Report of Condition and Income for the quarter ended September 30, 2017, ("Call Report") with the Federal Deposit Insurance Corporation by October 30, 2017.  The Call Report will be posted on the Federal Financial Institutions Examinations Council website at http://cdr.ffiec.gov/public/.

About IIB
IIB was established in 1993 as an Idaho state-chartered, commercial bank that operates branches in Boise (3), Caldwell, Coeur d’Alene, Hayden, Meridian, Mountain Home, Nampa, Star, and Ketchum/Sun Valley, Idaho.  IIB earned honorable mention as one of the Best Places to Work in Idaho through a survey conducted by Populus in 2016 & 2017, was named to DepositAccounts.com’s Top 200 Healthiest Banks in America in 2015 & 2016, and was named among the top 1% most extraordinary banks in the U.S. by The Institute for Extraordinary Banking^TM in 2016.  The Bank has approximately 200 employees throughout the State of Idaho. To learn more about IIB, visit us online at www.theidahobank.com.

Statements contained herein concerning future performance, developments or events, expectations for earnings, growth and market forecasts, and similar statements that are not historical facts are intended to be “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995, and as such, are subject to a number of risks and uncertainties that may cause actual results to differ materially from expectations or our stated objectives. Factors that could cause actual results to differ materially, include, but are not limited to, declines in regional and general economic conditions; changes in interest rates, deposit flows, demand for loans, real estate values, competition, and/or loan delinquency rates; changes in accounting principles, practices, policies, or guidelines; changes in legislation or regulations; changes in the regulatory environment; changes in monetary policy of the Federal Reserve Bank; changes in fiscal policy of the Federal government and the State of Idaho; changes in other economic, competitive, governmental, regulatory, and technological factors affecting operations, pricing, products, and services; material unforeseen changes in the liquidity, results of operations, or financial condition of the Bank's customers.  Accordingly, these factors should be considered in evaluating forward-looking statements, and there should not be undue reliance placed on such statements. The Bank undertakes no responsibility to update or revise any forward-looking statements.

Idaho Independent Bank
Financial Highlights (unaudited)
(dollars in thousands, except share data)
	Three Months Ended								Nine Months Ended
CONDENSED STATEMENT OF OPERATIONS	September 30,								September 30,
	2017				2016				2017				2016
Net interest income	$	5,950			$	4,890			$	16,436			$	13,719
Provision for loan losses		-				-				-				-
Net interest income after provision for loan losses		5,950				4,890				16,436				13,719
Noninterest income		1,953				2,129				5,520				5,406
Noninterest expense		5,652				5,650				16,598				15,710
Income before income tax expense		2,251				1,369				5,358				3,415
Income tax expense		844				238				1,978				440
Net income	$	1,407			$	1,131			$	3,380			$	2,975
Earnings per share:
Basic	$	0.19			$	0.14			$	0.44			$	0.37
Diluted	$	0.18			$	0.14			$	0.43			$	0.37
SELECTED BALANCE SHEET ACCOUNTS	September 30,				September 30,
	2017				2016
Loans held for sale	$	6,741			$	4,460
Loans receivable		361,175				306,429
Gross loans		367,916				310,889
Allowance for loan losses		6,304				6,331
Total assets		686,267				616,280
Deposits		571,589				511,977
Customer repurchase agreements		29,502				24,131
Total deposits and repurchase agreements		601,091				536,108
Stockholders' equity		66,870				64,923
PER SHARE DATA
Common shares outstanding		7,555,542				7,855,592
Book value per share	$	8.85			$	8.26
	Three Months Ended								Nine Months Ended
PERFORMANCE RATIOS (annualized)	September 30,								September 30,
	2017				2016				2017				2016
Return on average assets		0.84	%			0.75	%			0.69	%			0.69	%
Return on average equity		8.42	%			6.92	%			6.90	%			6.13	%
Efficiency ratio		71.52	%			80.50	%			75.60	%			82.14	%
Net interest margin		3.82	%			3.52	%			3.63	%			3.46	%

CONTACT:                                                                                                   
Jack W. Gustavel
IDAHO INDEPENDENT BANK
1260 W. Riverstone Drive
Coeur d’Alene, Idaho  83814
(208) 292-1902