Westbury Bancorp, Inc. Reports Net Income for the Three Months and Year Ended September 30, 2022

PEWAUKEE, Wis., Oct. 20, 2022 (GLOBE NEWSWIRE) — Westbury Bancorp, Inc. (OTCQX: WBBW), the holding company (the “Company”) for Westbury Bank (the “Bank”), today announced net income of $2.5 million, or $1.02 per common share for the three months ended September 30, 2022, and $8.0 million, or $3.19 per common share, for the year ended September 30, 2022, compared to net income of $2.3 million, or $0.90 per common share for the three months ended September 30, 2021, and net income of $9.5 million, or $3.70 per common share, for the year ended September 30, 2021.

About Westbury Bancorp, Inc.

Westbury Bancorp, Inc. is the holding company for Westbury Bank. The Company’s common shares are traded on OTC Pink under the symbol “WBBW”.

Westbury Bank is an independent community bank primarily serving communities in Washington and Waukesha Counties (Wisconsin) through its eight full service offices providing deposit and loan services to individuals, professionals and businesses throughout its markets.

Forward-Looking Information

Information contained in this press release, other than historical information, may be considered forward-looking in nature as defined by the Private Securities Litigation Reform Act of 1995 and is subject to various risks, uncertainties, and assumptions. Such forward-looking statements in this release are inherently subject to many uncertainties arising in the Company’s operations and business environment. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on the Company’s operating results, performance or financial condition are competition, the demand for the Company’s products and services, the Company’s ability to maintain current deposit and loan levels at current interest rates, deteriorating credit quality, including changes in the interest rate environment reducing interest margins, changes in prepayment speeds, loan origination and sale volumes, charge-offs and loan loss provisions, the Company’s ability to maintain required capital levels and adequate sources of funding and liquidity, the Company’s ability to secure confidential information through the use of computer systems and telecommunications networks, and other factors as set forth in filings with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations. Certain tabular presentations may not reconcile because of rounding.

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WEBSITE: www.westburybankwi.com 

Contact:	Kirk Emerich- Executive Vice President and CFO
	Greg Remus – President and CEO
	262-335-6037

	At or For the Three Months Ended:
		September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021			September 30, 2021
Selected Financial Condition Data:
Total assets	$	957,927		$	953,792		$	908,352		$	914,633		$	921,791
Loans receivable, net		713,389			695,947			649,482			661,439			665,166
Allowance for loan losses		9,270			9,020			9,019			8,997			8,995
Securities available for sale		153,795			165,897			178,661			165,917			179,547
Total liabilities		886,621			879,946			827,365			828,673			836,768
Deposits		872,668			863,389			816,103			818,184			812,316
Stockholders’ equity		71,306			73,846			80,987			85,960			85,023
Asset Quality Ratios:
Non-performing assets to total assets		0.95	%		0.95	%		0.99	%		0.97	%		0.95	%
Non-performing loans to total loans		1.26	%		1.29	%		1.36	%		1.33	%		1.30	%
Total classified assets to total assets		2.10	%		1.93	%		1.02	%		1.01	%		0.98	%
Allowance for loan losses to non-performing loans		102.12	%		99.39	%		100.62	%		100.98	%		103.00	%
Allowance for loan losses to total loans		1.28	%		1.28	%		1.37	%		1.34	%		1.33	%
Net charge-offs (recoveries) to average loans – annualized		0.07	%		—	%		—	%		—	%		—	%
Capital Ratios:
Average equity to average assets		8.23	%		8.72	%		9.38	%		9.46	%		9.34	%
Equity to total assets at end of period		7.44	%		7.74	%		8.92	%		9.40	%		9.22	%
Total capital to risk-weighted assets (Bank only)		12.97	%		13.55	%		13.80	%		13.43	%		13.23	%
Tier 1 capital to risk-weighted assets (Bank only)		11.72	%		12.30	%		12.55	%		12.18	%		11.98	%
Tier 1 capital to average assets (Bank only)		9.04	%		9.58	%		9.59	%		9.27	%		9.22	%
CETI capital to risk-weighted assets (Bank only)		11.72	%		12.30	%		12.55	%		12.18	%		11.98	%

	Three Months Ended						Years Ended
	September 30, 2022			September 30, 2021			September 30, 2022			September 30, 2021
Selected Operating Data:	(in thousands, except per share data)
Interest and dividend income	$	7,886		$	7,246		$	28,034		$	28,799
Interest expense		252			330			1,029			1,560
Net interest income		7,634			6,916			27,005			27,239
Provision for loan losses		375			—			375			1,050
Net interest income after provision for loan losses		7,259			6,916			26,630			26,189
Service fees on deposit accounts		1,039			987			3,817			3,598
Gain on sale of loans		112			830			961			3,797
Other non-interest income		348			323			1,596			2,587
Total non-interest income		1,499			2,140			6,374			9,982
Compensation and employee benefits		3,093			3,246			12,501			12,311
Occupancy, furniture and equipment		600			712			2,372			2,594
Data processing		696			825			3,172			3,178
Other non-interest expense		934			1,075			3,855			4,803
Total non-interest expense		5,323			5,858			21,900			22,886
Income before income tax expense		3,435			3,198			11,104			13,285
Income tax expense		958			925			3,112			3,756
Net income	$	2,477		$	2,273		$	7,992		$	9,529
Basic earnings per share	$	1.02		$	0.90		$	3.19		$	3.70
Diluted earnings per share	$	0.96		$	0.85		$	2.98		$	3.52

	For the Three Months Ended:
		September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021		September 30, 2021
Selected Operating Data:	(in thousands, except per share data)
Interest and dividend income	$	7,886	$	6,791	$	6,532	$	6,824	$	7,246
Interest expense		252		227		245		305		330
Net interest income		7,634		6,564		6,287		6,519		6,916
Provision for loan losses		375		—		—		—		—
Net interest income after provision for loan losses		7,259		6,564		6,287		6,519		6,916
Service fees on deposit accounts		1,039		946		910		922		987
Gain on sale of loans		112		135		272		442		830
Other non-interest income		348		347		436		465		323
Total non-interest income		1,499		1,428		1,618		1,829		2,140
Salaries, employee benefits, and commissions		3,093		3,189		3,216		3,003		3,246
Occupancy and furniture and equipment		600		585		629		559		712
Data processing		696		852		829		795		825
Other non-interest expense		934		961		984		975		1,075
Total non-interest expense		5,323		5,587		5,658		5,332		5,858
Income before income tax expense		3,435		2,405		2,247		3,016		3,198
Income tax expense		958		693		662		798		925
Net income	$	2,477	$	1,712	$	1,585	$	2,218	$	2,273
Basic earnings per share	$	1.02	$	0.67	$	0.62	$	0.88	$	0.90
Diluted earnings per share	$	0.96	$	0.63	$	0.58	$	0.82	$	0.85

	At or For the Three Months Ended							At or For the Year Ended
	September 30, 2022				September 30, 2021			September 30, 2022				September 30, 2021
Selected Financial Performance Ratios:
Return on average assets		1.02	%			0.99	%		0.86	%			1.06	%
Return on average equity		13.21	%			10.46	%		9.71	%			11.34	%
Interest rate spread		3.40	%			3.17	%		3.09	%			3.22	%
Net interest margin		3.41	%			3.18	%		3.09	%			3.23	%
Non-interest expense to average total assets		2.20	%			2.56	%		2.37	%			2.55	%
Average interest-earning assets to average interest-bearing liabilities		103.94	%			105.60	%		104.88	%			105.10	%
Per Share and Stock Market Data:
Basic earnings per share	$	1.02			$	0.90		$	3.19			$	3.70
Diluted earnings per share		0.96				0.85			2.98				3.52
Basic weighted average shares outstanding		2,430,671				2,520,527			2,505,508				2,573,599
Book value per share – excluding unallocated ESOP shares	$	29.26			$	32.95		$	29.26			$	32.95
Book value per share – including unallocated ESOP shares	$	29.20			$	32.21		$	29.20			$	32.21
Closing market price	$	28.20			$	28.95		$	28.95			$	28.95
Price to book ratio – excluding unallocated ESOP shares		96.38	%			87.86	%		96.38	%			87.86	%
Price to book ratio – including unallocated ESOP shares		96.58	%			89.88	%		96.58	%			89.88	%

Analysis of Net Interest Income

Net interest income represents the difference between the income we earn on interest-earning assets and the interest expense we pay on interest-bearing liabilities. Net interest income also depends upon the relative amounts of interest-earning assets and interest-bearing liabilities and the interest rates earned or paid on them. The following table sets forth average balance sheets, average yields and costs, and certain other information for the periods indicated. Average balances are derived from daily average balances for all periods. Non-accrual loans were included in the computation of average balances, but have been reflected in the tables as loans carrying a zero yield. The yields set forth below include the effect of loan fees, discounts and premiums that are amortized or accreted to interest income.

		For the Years Ended September 30,
			2022									2021
		Average Outstanding Balance			Interest			Yield/Cost			Average Outstanding Balance			Interest			Yield/Cost
Assets:		(Dollars in Thousands)
Loans		$	679,098		$	25,205		3.71	%		$	664,441		$	26,647		4.01	%
Taxable securities			138,851			2,177		1.57				98,974			1,612		1.63
Securities exempt from federal income taxes(1)			32,893			450		1.73				33,413			454		1.36
Fed funds sold and other interest-earning deposits			23,782			202		0.85				46,254			86		0.19
Total interest-earning assets			874,624			28,034		3.21				843,082			28,799		3.42
Noninterest-earning assets			51,326									55,765
Total assets		$	925,950								$	898,847
Liabilities and stockholders’ equity:
Noninterest-bearing demand deposits		$	251,556			—		—	%		$	229,206			—		—	%
Checking accounts			169,381			135		0.08	%			160,906			140		0.09	%
Passbook and statement savings			217,653			112		0.05				194,849			100		0.05
Variable rate money market			111,715			108		0.10				109,031			117		0.11
Certificates of deposit			78,150			497		0.64				101,084			1,020		1.01
Total interest bearing deposits			576,899			852		0.15				565,870			1,377		0.24
Total deposits			828,455			852		0.10				795,076			1,377		0.17
Short-term FHLB advances			319			2		0.63	%			27			—		0.20	%
Long-term FHLB advances			—			—		—	%			2,685			1		0.04	%
Line of credit			320			18		5.63	%			2,432			93		3.82	%
Total borrowings			5,477			177		3.23	%			7,130			183		2.57	%
Total deposits and interest-bearing liabilities			833,932			1,029		0.12	%			802,206			1,560		0.19	%
Other liabilities			9,732									12,683
Total liabilities			843,664									814,889
Stockholders’ equity			78,398									83,959
		$	922,062								$	898,848
Net interest income					$	27,005								$	27,239
Net interest rate spread								3.09	%								3.23	%
Net interest-earning assets		$	40,692								$	40,876
Net interest margin								3.09	%								3.23	%
Average of interest-earning assets to interest-bearing liabilities								104.88	%								105.10	%
1.  Non-taxable investment income is presented on a fully tax equivalent basis assuming a 21% federal tax rate.

		For the Three Months Ended September 30,									For the Three Months Ended September 30,
			2022									2021
		Average Outstanding Balance			Interest			Yield/Cost			Average Outstanding Balance			Interest			Yield/Cost
Assets:
Loans		$	710,356		$	7,056		3.94	%		$	657,091		$	6,580		3.97	%
Taxable securities			135,437			721		2.11	%			131,815			525		1.58	%
Securities exempt from federal income taxes(1)			30,579			110		1.81	%			39,848			126		1.59	%
Fed funds sold and other interest-earning deposits			28,466			143		1.99	%			33,699			15		0.18	%
Total interest-earning assets			904,838			8,030		3.52				862,453			7,246		3.33	%
Noninterest-earning assets			53,171									52,706
Total assets		$	958,009								$	915,159
Liabilities and stockholders’ equity:
Noninterest-bearing demand deposits		$	261,961			—		—	%		$	240,264			—		—	%
Checking accounts			182,120			40		0.09	%			163,163			33		0.08	%
Passbook and statement savings			226,109			31		0.05	%			208,224			26		0.05	%
Variable rate money market			122,531			35		0.11	%			109,101			25		0.09	%
Certificates of deposit			71,812			93		0.51	%			92,860			211		0.90	%
Total interest bearing deposits			602,572			199		0.13	%			573,348			295		0.20	%
Total deposits			864,533			199		0.09	%			813,612			295		0.14	%
Short-term FHLB advances			—			—		—	%			—			—		—	%
Long-term FHLB advances			—			—		—	%			—			—		—	%
Term note			4,677			38		3.22	%			1,946			23		4.69	%
Line of credit			1,268			16		5.01	%			1,166			11		3.74	%
Total borrowings			5,945			54		3.60	%			3,112			34		4.33	%
Total deposits and interest-bearing liabilities			870,478			253		0.12	%			816,724			329		0.16	%
Other liabilities			10,959									11,500
Total liabilities			881,437									828,224
Stockholders’ equity			76,572									86,934
Total liabilities and stockholders’ equity		$	958,009								$	915,158
Net interest income					$	7,777								$	6,917
Net interest rate spread								3.40	%								3.17	%
Net interest-earning assets		$	34,360								$	45,729
Net interest margin								3.41	%								3.18	%
Average of interest-earning assets to interest-bearing liabilities								103.95	%								105.60	%
1.  Non-taxable investment income is presented on a fully tax equivalent basis assuming a 21% federal tax rate.

A summary of the balances of loans follows:
	September 30, 2022			September 30, 2021
Real Estate:
Single family	$	113,818		$	104,235
Multifamily		236,347			214,592
Commercial real estate non-owner occupied		119,765			133,123
Commercial real estate owner occupied		91,347			83,072
Construction and land development		20,773			22,431
Total Real Estate		582,050			557,453
Commercial Business		111,871			86,084
Commercial Business – Payroll Protection Program		—			11,222
Consumer and Other:
Home equity lines of credit		16,232			13,612
Life insurance cash value loans		6,385			5,435
Other		486			1,106
Total Consumer		23,103			20,153
Total Loans		717,024			674,912
Less:
Net deferred loan fees		168			751
Allowance for loan losses		9,270			8,995
Net Loans	$	707,586		$	665,166

A summary of the balances of deposits follows:
	September 30, 2022					September 30, 2021
	Amount		Percent			Amount		Percent
Negotiable order for withdrawal accounts:
Non-interest bearing	$	275,017	31.52	%		$	241,133	29.69	%
Interest bearing		180,912	20.73	%			163,795	20.16	%
		455,929	52.25	%			404,928	49.85	%
Passbook and statement savings		223,859	25.65	%			207,499	25.54	%
Variable rate money market accounts		123,999	14.21	%			111,537	13.73	%
Certificates of deposit		68,881	7.89	%			88,352	10.88	%
	$	872,668	100.00	%		$	812,316	100.00	%