<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OR THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1996
-----------------------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from________________ to _____________________
Commission File Number: 0-28700
FIRST HOME BANCORP INC.
- - --------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
New Jersey 22-3423990
- - ------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
125 South Broadway, Pennsville, New Jersey 08070
- - --------------------------------------------------------------------------------
(Address of principal executive offices)
(Zip Code)
(609) 678-4400
- - --------------------------------------------------------------------------------
(Registrant's telephone number, including area code)
- - --------------------------------------------------------------------------------
(Former name, former address and former fiscal year, if changes since last
report)
Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes __X__ No _____
APPLICABLE ONLY TO CORPORATE ISSUERS: Indicate the number of shares outstanding
of each of the issuer's classes of common stock, as of the latest practicable
date:
Common Stock, No par value, 2,030,009 shares as of August 9, 1996.
<PAGE>
FIRST HOME BANCORP INC.
AND SUBSIDIARY
INDEX
Page
Number
------
Part I Financial Information:
Item 1: Financial Statements:
Consolidated Statements of Financial Condition -
June 30, 1996 and December 31, 1995 (unaudited) 1
Consolidated Statements of Income -
Three and Six Months Ended June 30, 1996
and 1995 (unaudited) 2
Consolidated Statements of Cash Flows -
Six Months Ended June 30, 1996
and 1995 (unaudited) 3
Notes to Consolidated Financial Statements
(unaudited) 4
Item 2: Management's Discussion and Analysis of
Financial Condition and Results of Operations 10
Part II Other Information 17
<PAGE>
Part I
Item 1.
FIRST HOME BANCORP INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
June 30, December 31,
1996 1995
-------- ------------
(Unaudited)
<S> <C> <C>
ASSETS
Cash and amounts due from depository institutions $ 5,769,808 $ 7,015,388
Interest-earning deposits and short-term funds 627,575 1,642,052
Investment securities (market value - 1996, $538,000;
1995, $517,000) 538,000 517,000
Investment securities held for trading at market value 913,430 57,019
Investment securities available-for-sale at market value 25,307,594 28,729,522
Mortgage-backed securities (market value - 1996, $87,897,806;
1995, $69,588,486) 87,164,756 67,994,547
Mortgage-backed securities available-for-sale at market value 88,185,617 78,765,677
Loans receivable - net 253,850,002 254,798,690
Loans held for sale at market value 1,469,676 418,305
Accrued interest receivable 2,983,221 2,903,279
Real estate owned and other repossessed assets 1,173,805 486,763
Federal Home Loan Bank stock-at cost 5,709,900 5,317,000
Office properties and equipment 2,945,210 2,586,321
Deposit premium 759,704 888,632
Net deferred income taxes 817,446 542,473
Prepaid expenses and other assets 1,097,981 376,057
------------ ------------
TOTAL ASSETS $479,313,725 $453,038,725
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Deposits $277,134,338 $270,175,738
Advances from the Federal Home Loan Bank 114,197,300 105,797,300
Other borrowed funds 54,967,000 44,329,000
Advances by borrowers for taxes and insurance 556,504 393,140
Accrued interest payable on advances 582,500 555,101
Excess of fair value over cost 190,613 315,089
Accounts payable and accrued expenses 849,321 1,370,629
------------ ------------
Total liabilities 448,477,576 422,935,997
------------ ------------
Commitments and Contingencies (Note 13)
Shareholders' equity:
Preferred stock - No par value; 1,000,000 shares authorized;
none issued
Common stock - No par value; 10,000,000 shares authorized; 2,030,009 shares
issued and outstanding at June 30, 1996 and
December 31, 1995 --- ---
Paid-in capital 8,918,639 8,918,639
Retained earnings - partially restricted 23,103,050 21,315,342
Unrealized (loss) gain on securities available-for-sale (1,185,540) (131,253)
------------ ------------
Total shareholders' equity 30,836,149 30,102,728
------------ ------------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $479,313,725 $453,038,725
============ ============
</TABLE>
See notes to consolidated financial statements.
1
<PAGE>
FIRST HOME BANCORP INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
1996 1995 1996 1995
---------- ---------- ----------- -----------
(Unaudited)
<S> <C> <C> <C> <C>
INTEREST INCOME:
Interest and fees on loans $5,389,440 $5,057,376 $10,768,779 $ 9,997,640
Interest on mortgage-backed securities 3,070,629 2,317,237 5,934,772 4,225,385
Other interest income and dividends 568,884 648,307 1,158,383 1,308,602
---------- ---------- ----------- -----------
Total interest income 9,028,953 8,022,920 17,861,934 15,531,627
---------- ---------- ----------- -----------
INTEREST EXPENSE:
Interest on deposits 3,050,253 2,762,304 6,010,355 5,222,351
Interest on borrowed money 2,204,268 1,895,641 4,345,065 3,609,734
---------- ---------- ----------- -----------
Total interest expense 5,254,521 4,657,945 10,355,420 8,832,085
---------- ---------- ----------- -----------
NET INTEREST INCOME 3,774,432 3,364,975 7,506,514 6,699,542
PROVISION FOR CREDIT LOSSES 100,000 150,000 200,000 350,000
---------- ---------- ----------- -----------
NET INTEREST INCOME AFTER
PROVISION FOR CREDIT LOSSES 3,674,432 3,214,975 7,306,514 6,349,542
---------- ---------- ----------- -----------
OTHER INCOME:
Loan servicing fees 54,002 58,229 109,382 116,035
Profit (loss) relating to:
Loans held for sale (61,014) 21,001 (84,049) 47,584
Investment securities held for trading 76,806 12,671 113,172 86,660
Accretion of excess of fair value over cost 62,238 62,238 124,476 124,476
Other income 186,731 329,376 365,697 1,160,304
---------- ---------- ----------- -----------
Total other income 318,763 483,515 628,678 1,535,059
---------- ---------- ----------- -----------
OPERATING EXPENSES:
General and administrative expense:
Salaries and employee benefits 1,008,449 922,761 2,044,878 1,761,469
Occupancy and equipment 315,158 287,338 626,517 551,566
Federal insurance premium 144,385 143,363 278,519 286,725
Other expenses 684,609 555,201 1,241,751 1,132,670
---------- ---------- ----------- -----------
Total general and administrative expenses 2,152,601 1,908,663 4,191,665 3,732,430
Amortization of deposit premium 64,464 63,891 128,928 128,355
Real estate operations, net 70,113 (33,983) 84,622 (28,450)
---------- ---------- ----------- -----------
Total operating expenses 2,287,178 1,938,571 4,405,215 3,832,335
---------- ---------- ----------- -----------
INCOME BEFORE INCOME TAXES 1,706,017 1,759,919 3,529,977 4,052,266
INCOME TAX EXPENSE 596,100 617,850 1,255,100 1,477,650
---------- ---------- ----------- -----------
NET INCOME $1,109,917 $1,142,069 $ 2,274,877 $ 2,574,616
========== ========== =========== ===========
Earnings per share $ .55 $ .56 $ 1.12 $ 1.27
========== ========= =========== ===========
Dividends per share $ .12 $ .12 $ .24 $ .24
========== ========= =========== ===========
Weighted average number of shares outstanding 2,030,009 2,030,009 2,030,009 2,025,192
========== ========= =========== ===========
</TABLE>
See notes to consolidated financial statements.
2
<PAGE>
FIRST HOME BANCORP INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CHANGES IN CASH FLOWS
<TABLE>
<CAPTION>
Six Months Ended
June 30, June 30,
1996 1995
-------- --------
(Unaudited)
<S> <C> <C>
OPERATING ACTIVITIES:
Net Income $ 2,274,877 $ 2,574,616
Adjustments to reconcile net income to net
cash provided by operating activities:
Provision for credit losses 200,000 350,000
Depreciation 161,504 151,061
Accretion of excess fair value over cost (124,476) (124,476)
Amortization of fair market premiums 42,063 107,538
Amortization of deposit premium 128,928 128,355
Investment security gains (113,172) (86,660)
Purchase of investment securities held for trading (4,002,284) (140,390)
Proceeds from sale of investment securities held for trading 3,259,045 628,220
Loans originated for sale (4,211,017) (3,653,629)
Proceeds from loans sold 3,075,597 3,652,338
Losses (gains) on sale of loans 84,049 (47,584)
Increase in accrued interest receivable (79,942) (212,668)
Increase in accrued interest payable 27,399 91,173
Decrease in net deferred tax asset 318,064 43,817
Net other (1,243,232) (95,011)
------------ -----------
Net cash (used in) provided by operating activities (202,597) 3,366,700
------------ -----------
INVESTMENT ACTIVITIES:
Proceeds from maturities of investment securities 13,000,000 8,000,000
Purchase of investment securities (10,040,772) (5,938,002)
Purchase of mortgage-backed securities (34,524,254) (37,023,833)
Repayments on mortgage-backed securities 4,702,209 2,752,649
Purchase of FHLB stock (392,900) (452,300)
Purchase of property and equipment (520,393) (436,805)
(Increase) decrease in real estate owned (687,042) 627,472
Principal collected on longer term loans 29,704,564 17,907,179
Loans originated or acquired (28,971,667) (25,364,747)
Cash obtained from acquisition of branches --- 14,511,820
------------ -----------
Net cash used by investing activities (27,730,255) (25,416,567)
------------ -----------
FINANCING ACTIVITIES:
Net increase (decrease) in:
Demand deposits, NOW accounts, and savings accounts 2,057,733 (4,280,389)
Certificates of deposit 4,900,867 11,613,740
Proceeds from short-term borrowings 10,638,000 925,700
Proceeds from FHLB advances 14,000,000 23,296,300
Cash dividends (487,169) (486,940)
Repayment of FHLB advances (5,600,000) (8,400,000)
Proceeds from exercise of common stock options --- 46,345
Increase in advance from borrowers for taxes and insurance 163,364 150,194
------------ -----------
Net cash provided by financing activities 25,672,795 22,864,950
------------ -----------
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (2,260,057) 815,083
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 8,657,440 5,783,663
------------ -----------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 6,397,383 $ 6,598,746
=========== ===========
</TABLE>
See notes to consolidated financial statements
3
<PAGE>
FIRST HOME BANCORP INC. AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - UNAUDITED
1. BASIS OF PRESENTATION
First Home Bancorp Inc. (the Company) is a New Jersey corporation which
is the holding company for First Home Savings Bank, F.S.B. (First Home
or Bank). The Company was organized for the purpose of acquiring all of
the capital stock of the Bank in connection with the reorganization of
the Bank into the holding company form of ownership. Each outstanding
share of common stock of the Bank was converted into one share of
common stock of the Company. The reorganization was consummated on May
31, 1996.
In the opinion of management, the accompanying unaudited consolidated
financial statements contain all adjustments necessary to present
fairly the Company's financial position as of June 30, 1996 and
December 31, 1995, the results of operations for the three months and
six months ended June 30, 1996 and 1995 and changes in cash flows for
the six months then ended. The accompanying financial statements do not
include information or footnotes necessary for a complete presentation
of financial condition, statements of income and cash flows in
conformity with generally accepted accounting principles. Certain
reclassifications have been made to the consolidated financial
statements for 1995 to conform to the 1996 presentation. The statements
of income for the three months and six months ended June 30, 1996 and
1995 are not necessarily indicative of the results which may be
expected for the entire year.
On July 1, 1992, the Bank acquired Fidelity Mutual Savings and Loan
Association (Fidelity Mutual) in a supervisory conversion merger
transaction. No consideration was paid in connection with the
transaction. The Bank acquired assets with a fair value of $79.9
million and assumed liabilities of $79.4 million. The acquisition was
accounted for as a purchase with excess fair value over cost being
accreted into income over a period of five years.
2. INVESTMENT SECURITIES HELD TO MATURITY
Investment securities at June 30, 1996 and December 31, 1995 consisted
of the following:
<TABLE>
<CAPTION>
June 30, 1996 December 31, 1995
------------- -----------------
Estimated Estimated
Amortized Market Amortized Market
Cost Value Cost Value
-------- -------- -------- --------
<S> <C> <C> <C> <C>
Tax Exempt Obligations
Due in one year or less $538,000 $538,000 $517,000 $517,000
-------- -------- -------- --------
Total $538,000 $538,000 $517,000 $517,000
======== ======== ======== ========
</TABLE>
4
<PAGE>
3. INVESTMENT SECURITIES HELD FOR TRADING
Investment securities held for trading at June 30, 1996 and December
31, 1995 consisted of the following:
June 30, 1996 December 31, 1995
------------- -----------------
Common stock $855,000 $ ---
Mutual fund 58,430 57,019
-------- ---------
$913,430 $57,019
======== =======
The Bank buys and sells debt and equity securities that are classified
as trading securities. At each recording period, the Bank adjusts the
value of these securities to market value.
4. INVESTMENT SECURITIES AVAILABLE-FOR-SALE
Investment securities available-for-sale at June 30, 1996 and December
31, 1995 consisted of the following:
<TABLE>
<CAPTION>
June 30, 1996
-------------
Gross Gross Estimated
Amortized Unrealized Unrealized Market
Cost Gains Losses Value
--------- ---------- ---------- ------
<S> <C> <C> <C> <C>
U.S. Government Agencies
Due in one year through five years $11,973,613 $10,272 $(123,189) $11,860,696
Due after five years through ten years 6,000,000 9,828 (7,154) 6,002,674
Corporate Notes
Due in one year or less 723,874 --- (4,335) 719,539
Due after one year through five years 2,960,445 35,475 (2,339) 2,993,581
Due after five years through ten years 642,414 2,440 --- 644,854
Preferred stock 3,096,775 --- (10,525) 3,086,250
----------- ------- --------- -----------
Total $25,397,121 $58,015 $(147,542) $25,307,594
=========== ======= ========= ===========
December 31, 1995
-----------------
Gross Gross Estimated
Amortized Unrealized Unrealized Market
Cost Gains Losses Value
--------- ---------- ---------- ------
U.S. Government Agencies
Due in one year through five years $10,991,273 $132,055 $(15,000) $11,108,328
Due after five years through ten years 8,978,750 39,129 (11,400) 9,006,479
Corporate Notes
Due in one year or less 1,996,543 19,719 --- 2,016,262
Due after one year through five years 3,668,388 103,305 --- 3,771,693
Due after five years through ten years 645,621 33,639 --- 679,260
Preferred stock 2,096,775 50,725 --- 2,147,500
----------- ------- --------- -----------
Total $28,377,350 $378,572 $(26,400) $28,729,522
=========== ======== ======== ===========
</TABLE>
No investment securities available-for-sale were sold under agreement to
repurchase at June 30, 1996. U.S. Government Agencies with amortized costs of
$8,978,750 and market values of $9,006,479 were sold under agreement to
repurchase at December 31, 1995.
5
<PAGE>
5. MORTGAGE-BACKED SECURITIES
A summary of mortgage-backed securities at June 30, 1996 and December
31, 1995 consisted of the following:
<TABLE>
<CAPTION>
June 30, 1996
-------------
Gross Gross Gross Estimated
Amortized Unrealized Unrealized Market
Cost Gains Losses Value
--------- ---------- ---------- ------
<S> <C> <C> <C> <C>
Mortgage-Backed Securities
Available-for-Sale
FNMA pass-through certificates $ 2,035,740 $ 10,798 $ (17,587) $ 2,028,951
FHLMC pass-through certificates 4,987,032 263,442 (3,938) 5,246,536
GNMA pass-through certificates 6,891,442 348,094 --- 7,239,536
Real estate mortgage investment
conduit obligations 76,034,285 119,175 (2,482,866) 73,670,594
--------- ---------- ---------- ------------
Total mortgage-backed securities
available-for-sale $89,948,499 $ 741,509 $(2,504,391) $88,185,617
=========== ========== =========== ===========
Mortgage-Backed Securities
Held to Maturity
Non-agency pass through certificates $ 6,590,329 $ 52,449 $ (1,698) $ 6,641,080
Real estate mortgage investment
conduit obligations 80,574,427 1,036,625 (354,326) 81,256,726
--------- ---------- ---------- ------------
Total mortgage-backed securities
held to maturity $87,164,756 $1,089,074 $ (356,024) $87,897,806
=========== ========== ========== ===========
December 31, 1995
-----------------
Gross Gross Gross Estimated
Amortized Unrealized Unrealized Market
Cost Gains Losses Value
--------- ---------- ---------- ------
Mortgage-Backed Securities
Available-for-Sale
FNMA pass-through certificates $ 2,340,880 $ 38,472 $ --- $ 2,379,352
FHLMC pass-through certificates 5,573,652 332,827 (373) 5,906,106
GNMA pass-through certificates 7,775,011 378,043 --- 8,153,054
Real estate mortgage investment
conduit obligations 63,633,391 236,559 (1,542,785) 62,327,165
--------- ---------- ---------- ------------
Total mortgage-backed securities
available-for-sale $79,322,934 $ 985,901 $(1,543,158) $78,765,677
=========== ========== =========== ===========
Mortgage-Backed Securities
Held to Maturity
Non-agency pass through certificates $ 7,319,434 $ 79,947 $ (47,265) $ 7,352,116
Real estate mortgage investment
conduit obligations 60,675,113 1,651,045 (89,788) 62,236,370
--------- ---------- ---------- ------------
Total mortgage-backed securities
held to maturity $67,994,547 $1,730,992 $ (137,053) $69,588,486
=========== ========== ========== ===========
</TABLE>
Mortgage-backed securities with amortized costs of $56,867,532 and $36,860,813
and market values of approximately $56,748,300 and $36,863,793 were pledged as
collateral for securities sold under agreements to repurchase at June 30, 1996
and December 31, 1995, respectively.
6
<PAGE>
6. LOANS RECEIVABLE
Loans receivable at June 30, 1996 and December 31, 1995 consisted of
the following:
<TABLE>
<CAPTION>
June 30, December 31,
1996 1995
------------ ------------
<S> <C> <C>
Residential mortgages on existing property $202,661,347 $206,264,708
Residential construction mortgages 5,417,699 3,258,284
Commercial real estate loans 15,864,716 15,670,880
Commercial business loans 1,476,129 1,232,999
Consumer loans:
Home equity loans 18,075,137 16,631,949
Mobile home loans 7,117,953 7,804,508
Equity lines of credit 3,704,658 3,674,874
Automobile loans 4,438,313 4,087,717
Other loans 3,256,120 3,538,614
------------ ------------
Total 262,012,072 262,164,533
Undisbursed portion of loans in process (2,494,274) (1,680,884)
Net deferred loan fees, discounts and premiums (2,003,380) (2,122,629)
Allowance for possible credit losses (3,664,416) (3,562,330)
------------ ------------
Total $253,850,002 $254,798,690
============ ============
</TABLE>
The total amount of loans serviced for the benefit of others was
approximately $62,500,000 and $63,400,000 at June 30, 1996 and December
31, 1995, respectively.
Following is a summary of changes in allowance for possible credit
losses:
<TABLE>
<CAPTION>
June 30, December 31,
1996 1995
------------ ------------
<S> <C> <C>
Balance, beginning of period $3,562,330 $3,315,340
Provision for credit losses 200,000 600,000
Charge-offs (182,805) (580,427)
Recoveries 84,891 227,417
---------- ------------
Total $3,664,416 $3,562,330
========== ==========
</TABLE>
7. LOANS HELD FOR SALE
Loans held for sale amounted to $1,469,676 and $418,305 at June 30,
1996 and December 31, 1995, respectively. Loans held for sale consist
of long-term fixed-rate residential mortgage loans which qualify for
sale in the secondary market. These loans are recorded at the lower of
cost or market value determined on an aggregate basis.
7
<PAGE>
8. REAL ESTATE OWNED AND OTHER REPOSSESSED ASSETS
Repossessed assets at June 30, 1996 and December 31, 1995 consisted of
the following:
June 30, December 31,
1996 1995
---------- ---------
Real estate owned $1,170,205 $480,763
Other repossessed assets 3,600 6,000
---------- --------
Total $1,173,805 $486,763
========== ========
The components of real estate operations, net consisted of the
following:
June 30, December 31,
1996 1995
---------- ---------
Rental income $ 18,457 $ 3,316
Real estate operation expense (93,052) (54,571)
Net recovery (provision) for losses (10,027) 79,705
---------- --------
Total $(84,622) $ 28,450
======== =========
9. OFFICE PROPERTIES AND EQUIPMENT
Office properties and equipment are summarized by major classifications
as follows:
June 30, December 31,
1996 1995
---------- ---------
Land, buildings and improvements $ 3,674,941 $ 3,435,768
Furniture and equipment 1,240,430 969,719
----------- -----------
Total 4,915,371 4,405,487
Less accumulated depreciation (1,970,161) (1,819,166)
----------- -----------
Total $ 2,945,210 $ 2,586,321
=========== ===========
10. DEPOSITS
Deposits at June 30, 1996 and December 31, 1995 consisted of the
following:
June 30, December 31,
1996 1995
---------- ---------
NOW accounts $ 25,330,824 $ 26,292,766
Non-interest bearing accounts 7,401,811 7,042,519
Money market and other accounts 45,451,877 41,364,855
Savings and club accounts 38,628,611 40,043,245
Time deposits 160,061,334 155,223,667
------------ -----------
Total 276,874,457 269,967,052
Accrued interest payable 259,881 208,686
------------ -----------
Total $277,134,338 $270,175,738
============ ============
The Bank has pledged mortgage loans and mortgage-backed securities
aggregating approximately $785,000 for public fund deposits as required
by the New Jersey Department of Banking's Governmental Unit Deposit
Protection Act.
8
<PAGE>
11. ADVANCES FROM FEDERAL HOME LOAN BANK
Federal Home Loan Bank advances, due at various dates through 2000 with
interest rates from 4.67% to 7.52% at June 30, 1996 totaled
$114,197,300 and from 4.47% to 7.52% at December 31, 1995 totaled
$105,797,300.
The advances from the Federal Home Loan Bank are collateralized by
Federal Home Loan Bank stock and substantially all first mortgage
loans.
12. OTHER BORROWED FUNDS
Other borrowed funds at June 30, 1996 and December 31, 1995 consisted
of securities sold under agreements to repurchase. These agreements are
all due within ninety days and have a weighted interest rate of 5.62%
and 6.00%, respectively. Such agreements are treated as financings and
the obligations to repurchase securities sold are reflected as a
liability in the statements of financial condition. Securities sold
under agreement to repurchase were collateralized by mortgage-backed
securities and U.S. Government Agencies with amortized costs of
$56,867,532 and $45,839,563 and market values of approximately
$56,748,300 and $45,870,272 at June 30, 1996 and December 31, 1995,
respectively. The securities underlying the agreements were delivered
to, and are held by the dealers who arranged the transactions.
13. COMMITMENTS
Commitments at June 30, 1996 and December 31, 1995 consisted of the
following:
June 30, December 31,
1996 1995
-------- ------------
Fixed rate (current market rates)
mortgage loans $ 3,243,885 $1,686,700
Unused lines of credit 5,172,640 4,618,605
Purchase of securities and investments 2,000,000 --
Letters of credit 1,142,858 1,176,358
Consumer loans 349,354 207,794
Loans in process 2,494,274 1,680,884
----------- ----------
Total $14,403,011 $9,370,341
=========== ==========
At June 30, 1996 all commitments are expected to be funded within one
year.
14. PROPOSED LEGISLATION
A recapitalization of the Savings Association Insurance Fund (SAIF) is
under consideration by Congress, the Treasury Department, and the
Federal Deposit Insurance Corporation (FDIC). An assessment on all
SAIF-insured deposits of $.80 to $.85 per $100 of deposits held as of
March 31, 1995 has been proposed. This assessment is intended to
recapitalize the SAIF to the required level of 1.25% of insured
deposits, and could be payable in 1996. This may allow the SAIF to
reduce the insurance assessment from its current level of $.23 per $100
of deposits to a level competitive with the Bank Insurance Fund
assessment. If the higher assessment is made at the proposed rate, the
effect on the Bank would be a pre-tax charge to earnings of
approximately $2.1 million, or $1.3 million after tax assuming a 36%
income tax rate. Management cannot predict as to when or whether the
proposed, or similar legislation will be enacted or the ultimate effect
on the Company's financial condition or results of operation, except as
noted.
Additionally, legislation recently enacted by Congress and expected to
be signed by the President changes the Internal Revenue Code regarding
the bad debt deduction. The legislation eliminates the bad debt
deduction under the percentage of taxable income method, and required
the recapture of the bad debt reserve accumulated since 1988. The
amount recaptured must be taken into account ratably over a six year
period beginning with the 1996 taxable year. Since the Bank is
currently providing deferred income taxes for these reserves, the
change would increase the Bank's tax payments but would not have a
material effect on earnings.
9
<PAGE>
FIRST HOME BANCORP INC.
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
General
The Company is the sole stockholder of First Home. Substantially all of
the Company's consolidated revenues are derived from the operations of First
Home, and First Home represented substantially all of the Company's consolidated
assets and liabilities at June 30, 1996. First Home's business is that of a
financial intermediary and consists primarily of attracting deposits from the
general public and using such deposits, together with borrowings and other
funds, to make mortgage loans secured by residential real estate located in New
Jersey and Delaware. First Home operates eight retail banking offices in New
Jersey and two retail banking offices in Delaware providing consumer banking
services as well as residential real estate loans. First Home is subject to
significant competition from other financial institutions, and is also subject
to regulation by certain federal agencies and undergoes periodic examinations by
those regulatory agencies.
Net Income
The Company had net income of $1,109,917 and $2,274,877 or $.55 and
$1.12 per share for the three and six month periods ended June 30, 1996 compared
to $1,142,069 and $2,574,616 or $.56 and $1.27 per share for the three and six
month periods ended June 30, 1995.
The three and six month periods ended June 30, 1995 included $135,129
and $807,129 in non-recurring pre-tax income from interest on a federal tax
refund and the receipt of an insurance settlement related to indemnification for
claims against directors and officers of a previously acquired company. These
non-recurring events added $.04 and $.25 per share after tax to net income for
the three and six months ended June 30, 1995. Additionally, losses relating to
loans held for sale of $61,014 and $84,049 were recognized for the three and six
month periods of 1996, respectively. During 1995, gains of $21,001 and $47,584
were recognized for the three and six month periods, respectively.
Net Interest Income
Net interest income for the three and six month periods ended June 30,
1996 totaled $3,774,432 and $7,506,514 compared to $3,364,975 and $6,699,542 for
the three and six month periods ended June 30, 1995, a $409,457 and $806,972
increase for the three and six month periods or 12.2% and 12.0% increase,
respectively. The increase in net interest income for the three and six month
periods ended June 30, 1996 were attributable to growth in the net
interest-earning assets of $3.8 million and $5.7 million, respectively, which
were offset by declines in the net interest margin. Average interest-earning
assets increased by $55.5 million and $58.7 million for the three and six month
periods ended June 30, 1996 as compared to the prior year. Average
interest-bearing liabilities increased by $51.7 million and $53.1 million for
the three and six month periods ended June 30, 1996 as compared to the prior
year. The increase in interest-earning assets was primarily attributable to the
purchase of mortgaged-backed securities which increased by $45.3 million and
$47.7 million for the three and six month periods ended June 30, 1996 as
compared to the prior year. The increases in net interest income resulting from
the increase in net interest-earning assets was offset by a decline in interest
rate spread of .06% from 3.15% to 3.09% for the three month period and by .14%
from 3.26% to 3.12% for the six month period.
The following table sets forth information for the three and six month
periods ended June 30, 1996 and June 30, 1995 regarding First Home's (1) average
balance of interest-earning assets and the resultant interest income and average
yields; (2) average balance of interest-bearing liabilities and the resultant
interest expense and average costs; (3) net interest income; (4) interest rate
spread; (5) and net yield earned on weighted average interest-earning assets.
Averages are calculated on a month-end basis for each of the periods indicated.
The table is not presented on a tax equivalent basis because First Home's
investment in tax-free obligations is insignificant.
10
<PAGE>
<TABLE>
<CAPTION>
Three Months Ended
June 30, 1996 June 30, 1995
------------- -------------
(Dollars in thousands)
Average Average
Average Yield/ Average Yield/
Balance Interest Rate Balance Interest Rate
------- -------- ------- ------- -------- -------
<S> <C> <C> <C> <C> <C> <C>
Interest-earning assets:
Loans $255,376 $5,389 8.44% $242,262 $5,058 8.35%
Mortgage-backed securities 170,796 3,071 7.19 125,540 2,317 7.38
Other (1) 34,553 569 6.59 37,467 648 6.92
-------- ------ ---- -------- ------ ----
Total interest-earning assets 460,725 9,029 7.84 405,269 8,023 7.92
-------- ------ ---- -------- ------ ----
Non-interest earning assets 14,649 14,534
-------- --------
Total assets $475,374 $419,803
======== ========
Interest bearing liabilities:
Deposits $281,014 3,051 4.34 $260,205 2,762 4.25
Borrowings 161,532 2,204 5.46 130,674 1,896 5.80
-------- ------ ---- -------- ------ ----
Total interest-bearing liabilities 442,546 5,255 4.75 390,879 4,658 4.77
-------- ------ ---- -------- ------ ----
Non-interest-bearing liabilities 1,990 2,628
-------- --------
Total liabilities 444,536 393,507
-------- --------
Shareholders' equity 30,838 26,296
-------- --------
Total liabilities and shareholders' equity $475,374 $419,803
======== ========
Net interest income $3,774 $3,365
====== ======
Interest rate spread 3.09% 3.15%
==== ====
Net yield on weighted average
interest-earning assets 3.28% 3.32%
==== ====
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Six Months Ended
June 30, 1996 June 30, 1995
------------- -------------
(Dollars in thousands)
Average Average
Average Yield/ Average Yield/
Balance Interest Rate Balance Interest Rate
------- -------- ------- ------- -------- -------
<S> <C> <C> <C> <C> <C> <C>
Interest-earning assets:
Loans $254,854 $10,769 8.45% $240,989 $9,998 8.30%
Mortgage-backed securities 163,206 5,935 7.27 115,536 4,225 7.31
Other (1) 34,112 1,158 6.79 36,922 1,309 7.09
-------- ------ ---- -------- ------ ----
Total interest-earning assets 452,172 17,862 7.90 393,447 15,532 7.90
-------- ------ ---- -------- ------ ----
Non-interest earning assets 13,883 14,855
-------- --------
Total assets $466,055 $408,302
======== ========
Interest bearing liabilities:
Deposits $276,370 6,010 4.35 $257,506 5,222 4.06
Borrowings 156,666 4,345 5.55 122,790 3,610 5.88
-------- ------ ---- -------- ------ ----
Total interest-bearing liabilities 433,036 10,355 4.78 380,296 8,832 4.64
-------- ------ ---- -------- ------ ----
Non-interest-bearing liabilities 2,331 2,774
-------- --------
Total liabilities 435,367 383,070
-------- --------
Shareholders' equity 30,688 25,232
-------- --------
Total liabilities and shareholders' equity $466,055 $408,302
======== ========
Net interest income $ 7,507 $6,700
======= ======
Interest rate spread 3.12% 3.26%
==== ====
Net yield on weighted average
interest-earning assets 3.32% 3.41%
==== ====
</TABLE>
(1) Consists of interest-earning deposits, short-term funds, investment
securities, and Federal Home Loan Bank Stock.
11
<PAGE>
Provision for Possible Credit Losses
The provision for possible credit losses were $100,000 and $200,000 for
the three and six month periods ended June 30, 1996 compared to $150,000 and
$350,000 for the three month and six month periods in the prior year, a $50,000
and $150,000 decrease for the three and six month periods. As of June 30, 1996,
the allowance for credit losses totaled $3,664,416 or 1.41% of total loans
including loans held for sale compared to $3,414,912 or 1.36% of total loans at
June 30, 1995.
Other Income
Other income decreased by $164,752 and $906,381 for the three and six
months ended June 30, 1996 from the comparable period of 1995. The decreases for
the three and six month periods ended June 30, 1996 were primarily attributable
to non-recurring income of $135,129 on interest on a Federal tax refund received
in June 1995 and a recovery from an insurance carrier of $672,000 received
during March 1995. In addition losses relating to the sale of loans held for
sale of $61,014 and $84,049 were recognized for the three and six month periods
ended June 30, 1996 compared to gains of $21,001 and $47,584 for the same
periods ended June 30, 1995. Gains recognized on the sale of investments
securities held for trading of $76,806 and $113,172 for the three and six month
periods ended June 30, 1996 helped offset the losses recognized in the sale of
loans held for sale for the same periods.
Operating Expenses
General and Administrative Expense - General and administrative expenses
increased $243,938 and $459,235 or 12.8% and 12.3% for the three and six month
periods ended June 30, 1996 from the comparable periods ended June 30, 1995. The
increase in general and administrative expenses for the three and six month
periods ended June 30, 1996 were attributable to increases in personnel and cost
associated with the operation of ten retail banking offices.
Amortization of Deposit Premium - In January 1995, the Bank acquired two branch
offices with deposits of approximately $15.9 million. The premium paid for these
deposits are being amortized over a period not exceeding the estimated average
remaining life of the customer base acquired.
Real Estate Operations (Net) - Real estate operations, net expense increased
$104,096 and $113,072 for the three and six months ended June 30, 1996, compared
to the same periods of the prior year. Real estate operations include rental
income and recoveries offset by operating expenses and loss provisions. Loss
provisions for the three and six months ended June 30, 1996 were $4,922 and
$10,027 compared to recoveries of $43,018 and $79,705 for the three and six
month periods ended June 30, 1995. Real estate operating expenses net of rental
income increased $56,156 and $23,340 for the three and six month periods ended
June 30, 1996 compared to the same periods of the prior year.
Income Tax Expense
Income tax expense decreased $21,750 and $222,550 or 3.5% and 15.1%for
the three and six month periods ended June 30, 1996 as compared to the same
period in 1995. The decrease was attributable to a decrease in pre-tax income
for the three and six month periods ended June 30, 1996 of $53,902 and $522,289
or 3.1%and 12.9%, respectively, from the comparable periods of 1995.
Financial Condition
Total assets increased from $453,038,725 on December 31, 1995 to
$479,313,725 as of June 30, 1996, an increase of 11.6% on an annualized basis.
This increase was mainly attributable to an increase in mortgage-backed
securities. From December 31, 1995 to June 30, 1996 mortgage-backed securities
increased by $28,590,149.
12
<PAGE>
Total liabilities increased from $422,935,997 as of December 31, 1995 to
$448,477,576 as of June 30, 1996, an increase of 12.1% on an annualized basis.
Deposits increased from $270,175,738 on December 31, 1995 to $277,134,338 as of
June 30, 1996 . This increase was primarily due to increases in time deposits.
From December 31, 1995 to June 30, 1996 time deposits increased by $4,837,667.
Advances from the Federal Home Loan Bank and other borrowed funds increased from
$150,126,300 on December 31, 1995 to $169,164,300 as of June 30, 1996 . This
increase of $19,038,000 was primarily used to fund mortgage-backed securities.
Shareholders' equity increased from $30,102,728 as of December 31, 1995
to $30,836,149 as of June 30, 1996. This increase was primarily the result of
net income of $2,274,877 for the six months ended June 30, 1996, less cash
dividends of $487,169 declared during the period. In addition, investments
classified as available-for-sale in accordance with the Financial Accounting
Standards Board Statement No. 115"Accounting for Certain Investments in Debt and
Equity Securities" are required to be marked to market on an after-tax basis and
unrealized gains or losses reflected as adjustments to shareholders' equity. The
Bank had unrealized losses of $131,253 on December 31, 1995 and unrealized
losses of $1,185,540 at June 30, 1996 or a net increase in unrealized losses of
$1,054,287.
Asset Quality
The Bank's non-performing assets consist of non-accrual loans, real
estate owned and other repossessed assets. The following table sets forth
information regarding non-performing assets.
June 30, December 31,
1996 1995
-------- ------------
Non-accrual loans
Residential loans $2,723,653 $2,308,546
Commercial loans 373,580 351,566
Consumer loans 104,543 261,347
---------- ----------
Total non-accrual loans 3,201,776 2,921,459
Real estate owned 1,170,204 480,763
Other repossessed assets 3,600 6,000
---------- ----------
Total non-performing assets $4,375,580 $3,408,222
========== ==========
Total non-performing assets as a
percent of total assets .91% .75%
=== ===
The increase in non-performing assets was primarily attributable to an
increase in real estate owned. During the period ended June 30, 1996 the Bank
foreclosed or acquired ten properties totaling $866,212. Three real estate owned
properties were liquidated during the period with carrying values of $181,865.
The Bank's level of non-performing assets is affected by adverse
situations that may affect a borrower's ability to repay and other conditions
beyond the Bank's control. The Bank's management monitors the quality of the
Bank's assets on a regular basis.
Liquidity and Committed Resources
Liquidity is maintained at a sufficient level to generate cash to fund
current loan demand and pay operating expenses. Sources of funds are obtained
from increases in deposits, loan principal repayments, sales of loans and
investments, increases in borrowed money and from operations. While loan
principal repayments are a relatively stable source of funds, deposit flows are
greatly influenced by general interest rates, economic conditions and
competition. As a member of the Federal Home Loan Bank (FHLB) system, the Bank
borrows from the FHLB of New York. The Bank also utilizes reverse repurchase
agreements collateralized by mortgage-backed securities or other securities.
13
<PAGE>
Management believes that the Bank has sufficient borrowing capacity to
compensate for reductions in other sources of funds such as deposits.
The Bank had 6.93% of its assets qualifying for liquidity under
applicable federal regulations as of June 30, 1996 . The overall liquidity
percentage requirement is currently 5% on an average monthly basis.
At June 30, 1996, the Bank had $14,403,011 in outstanding commitments.
It is anticipated that these commitments will fund within the next year and
funds will be available from normal cash flows.
Interest Rate Risk Management
First Home has a program to control its interest rate risk. The strategy
includes an emphasis on originating adjustable rate mortgage (ARM) loans, the
purchase of adjustable rate and short-term mortgage-backed securities (MBS) and
the origination of short-term consumer loans. Management maintains interest rate
risk within prescribed limits. First Home implemented an internal
asset/liability modeling system to monitor the effect on income of changing
market interest rates.
First Home also monitors the difference between the amount of
interest-earning assets maturing or repricing within a specific time period and
the amount of interest-bearing liabilities maturing or repricing within that
time period (gap). A gap is considered positive when the amount of interest rate
sensitive assets exceeds the amount of interest rate sensitive liabilities. When
interest rate sensitive liabilities exceed interest rate sensitive assets, the
gap is considered negative. However, because all interest rates and yields do
not adjust at the same velocity, the gap is only a general indicator of interest
rate sensitivity.
During a period of rising interest rates, a negative gap tends to
adversely affect net interest income while a positive gap tends to increase net
interest income. During a period of declining interest rates, a negative gap
tends to increase net interest income while a positive gap tends to adversely
affect net interest income.
First Home's net interest income tends to increase in periods of
declining interest rates because its interest-bearing liabilities generally
reprice faster than its interest-earning assets. First Home's net interest
income tends to decrease in periods of rising interest rates. Therefore, rising
interest rates, particularly when combined with a flattening yield curve, could
have a negative impact on net interest income in future periods.
The following table summarizes the amount of interest-earning assets and
interest-bearing liabilities outstanding as of June 30, 1996 , which are
anticipated to mature, prepay or reprice in each of the time periods shown.
Adjustable and floating rate assets are included in the period in which interest
rates are next scheduled to adjust rather than in the period in which they are
due. Loans and MBS are included in the periods in which they are anticipated to
be repaid. If available, estimated prepayment speeds were obtained from external
sources. Otherwise, they were estimated by management based on the experience of
the portfolio. Non-performing loans have been excluded from interest-earning
assets. Money market deposits, NOW and savings accounts which are subject to
immediate withdrawal and repricing are classified at decay rates based upon
assumptions provided by the Office of Thrift Supervision (OTS).
14
<PAGE>
<TABLE>
<CAPTION>
Twelve
Months 1-3 3-5 5-10 10-20 Over 20
or less Years Years Years Years Years Total
------- ----- ----- ----- ----- ------- -----
(Dollars in thousands)
<S> <C> <C> <C> <C> <C> <C> <C>
Interest-earning assets:
Residential mortgage loans
Adjustable rate $ 57,139 $ 14,307 $ 1,224 $ -- $ -- $ -- $ 72,670
Fixed rate 24,182 35,253 24,881 32,678 12,900 297 130,191
Mortgage-backed securities
Adjustable rate 89,401 -- -- -- -- -- 89,401
Fixed rate 15,673 22,525 15,465 21,397 11,557 1,094 87,711
Consumer and commercial loans
Adjustable rate 10,222 3,395 349 -- -- -- 13,966
Fixed rate 17,077 14,157 5,118 2,843 294 -- 39,489
Loans held for sale 1,470 -- -- -- -- -- 1,470
Investment portfolio 6,987 2,960 14,974 1,642 -- 5,710 32,273
Investment securities held for trading 913 -- -- -- -- -- 913
-------- ------- ------- ------- ------- ------ --------
Total 223,064 92,597 62,011 58,560 24,751 7,101 468,084
-------- ------- ------- ------- ------- ------ --------
Interest-bearing liabilities:
Deposits
Savings accounts 5,408 8,651 6,398 9,623 6,657 1,892 38,629
NOW and non-interest
bearing demand accounts 5,565 8,452 5,823 7,815 4,291 787 32,733
Money market accounts 14,090 16,430 7,823 5,997 1,085 27 45,452
Certificates of deposit 104,432 44,377 11,247 5 -- -- 160,061
Borrowings 126,179 36,353 6,632 -- -- -- 169,164
-------- ------- ------- ------- ------- ------ --------
Total 255,674 114,263 37,923 23,440 12,033 2,706 446,039
-------- ------- ------- ------- ------- ------ --------
Excess int.-earning assets (liabilities) $(32,610) $(21,666) $ 24,088 $35,120 $12,718 $ 4,395 $ 22,045
======== ======== ======== ======= ======= ======= ========
Cumulative excess interest-earning
asset (liabilities) $(32,610) $(54,276) $(30,188) $ 4,932 $17,650 $22,045
======== ======== ======== ======= ======= =======
Ratio of GAP during the period
to total assets (6.80)% (4.52)% 5.02% 7.33% 2.65% .92%
===== ===== ==== ==== ==== ===
Ratio of cumulative GAP
to total assets (6.80)% (11.32)% (6.30)% 1.03% 3.68% 4.60%
===== ====== ===== ===== ==== ====
</TABLE>
Capital
The Bank is in full compliance with its capital requirements. Management
believes that, under current regulations, the Bank will continue to meet its
minimum capital requirements in the foreseeable future. The table below presents
the Bank's required, actual and excess capital at June 30, 1996.
<TABLE>
<CAPTION>
Percentage
Percentage Percentage of Risk/
of Core of Tangible Weighted
Amount Assets Amount Assets Amount Assets
------ ---------- ------ ----------- ------ ----------
(Dollars in thousands)
<S> <C> <C> <C> <C> <C> <C>
Actual regulatory capital $30,271 6.3% $30,271 6.3% $32,716 16.3%
Minimum required
regulatory capital 14,382 3.0 7,191 1.5 16,037 8.0
------- --- ------- --- ------- ----
Excess capital $15,889 3.3% $23,080 4.8% $16,679 8.3%
======= === ======= === ======= ====
</TABLE>
15
<PAGE>
<TABLE>
<CAPTION>
Selected Financial and Other Data
- - -------------------------------------------------------------------------------------------------------------------
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
1996 1995 1996 1995
- - -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Interest rate spread 3.09% 3.15% 3.12% 3.26%
Net yield on interest-earning assets 3.28% 3.32% 3.32% 3.41%
Return on average assets .93% 1.09% .98% 1.26%
Return on average equity 14.40% 17.37% 14.83% 20.41%
General and administrative
expenses to average assets 1.81% 1.82% 1.80% 1.83%
Ratio of interest-earning assets to
interest-bearing liabilities 1.04x 1.04x 1.04x 1.03x
Ratio of non-performing assets
to total assets at end of period -- -- .91% .96%
Dividends per common share $.12 $.12 $.24 $.24
Tangible book value per share
at end of period -- -- $15.19 $13.44
</TABLE>
16
<PAGE>
FIRST HOME BANCORP INC.
AND SUBSIDIARY
Part II: Other Information
Item 6: Exhibits and Other Reports on Form 8-K
(A) The Exhibits are being furnished with this report.
Exhibit 11 - Statement Regarding Computation of Per Share Earnings
Exhibit 27 - Financial Data Schedule
(B) The following report on Form 8-K has been filed during the quarter for
which this report is filed:
1. Form 8-K12g-3 dated May 31, 1996 reporting under Item 2 relating
to the completion of reorganization into the holding company form
of ownership.
17
<PAGE>
FIRST HOME BANCORP INC.
AND SUBSIDIARY
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
First Home Bancorp Inc.
(Registrant)
/s/ Stephen D. Miller
Date: August 9, 1996 ---------------------------------------
Stephen D. Miller
President/Chief Executive Officer
/s/ Robert A. DiValerio
Date: August 9, 1996 ---------------------------------------
Robert A. DiValerio
Sr. Executive Vice President/
Chief Financial Officer
18
<PAGE>
<TABLE>
<CAPTION>
EXHIBIT (11)
FIRST HOME BANCORP INC. AND SUBSIDIARY
--------------------------------------
COMPUTATION OF EARNINGS PER SHARE OF COMMON STOCK
-------------------------------------------------
Three Months Ended Six Months Ended
1996 1995 1996 1995
---- ---- ---- ----
<S> <C> <C> <C> <C>
PRIMARY
- - -------
EARNINGS:
Net Income $1,109,917 $1,142,069 $2,274,877 $2,574,616
---------- ---------- ---------- ----------
SHARES:
Weighted average number of
common shares outstanding 2,030,009 2,030,009 2,030,009 2,025,192
Assuming exercise of operations
reduced by the number of shares
which could have been purchased
with the proceeds from exercise
of such options (1) 13,486 4,848 13,305 4,376
---------- ---------- ---------- ----------
Weighted average number of common
shares outstanding as adjusted 2,043,495 2,034,857 2,043,314 2,024,568
========== ========== ========== ==========
Primary earnings per share of
common stock $0.54 $0.56 $1.11 $1.27
===== ===== ===== =====
ASSUMING FULL DILUTION
- - ----------------------
EARNINGS:
Net income $1,109,917 $1,142,069 $2,274,877 $2,574,616
========== ========== ========== ==========
SHARES:
Weighted average number of
common shares outstanding 2,030,009 2,030,009 2,030,009 2,025,192
Assuming exercise of options
reduced by the number of shares
which could have been purchased
with the proceeds from exercise
of such options (2) 13,486 5,535 13,305 5,535
---------- ---------- ---------- ----------
Weighted average number of common
shares outstanding as adjusted 2,043,495 2,035,544 2,043,314 2,030,727
========== ========== ========== ==========
Fully diluted earnings per share of
common stock $0.54 $0.56 $1.11 $1.27
===== ===== ===== =====
</TABLE>
(1) Assumes the proceeds obtained from the exercise of options were used to
purchase common shares at the average market price during the quarter.
(2) Assumes the proceeds obtained from the exercise of stock options were
used to purchase common shares at the market price at the close of the
quarter if such price was higher than the average price during the quarter.
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE QUARTERLY
REPORT ON FORM 10-Q FOR THE FISCAL QUARTER ENDED JUNE 30, 1996 AND IS QUALIFIED
IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<MULTIPLIER> 1
<CIK> 0001009195
<NAME> FIRST HOME BANCORP INC.
<CURRENCY> US DOLLARS
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<EXCHANGE-RATE> 1
<CASH> 5,769,808
<INT-BEARING-DEPOSITS> 627,575
<FED-FUNDS-SOLD> 0
<TRADING-ASSETS> 913,430
<INVESTMENTS-HELD-FOR-SALE> 113,493,211
<INVESTMENTS-CARRYING> 87,702,756
<INVESTMENTS-MARKET> 88,435,806
<LOANS> 255,319,678
<ALLOWANCE> 3,664,416
<TOTAL-ASSETS> 479,313,725
<DEPOSITS> 277,134,338
<SHORT-TERM> 126,179,000
<LIABILITIES-OTHER> 2,178,938
<LONG-TERM> 42,985,300
0
0
<COMMON> 0
<OTHER-SE> 30,836,149
<TOTAL-LIABILITIES-AND-EQUITY> 479,313,725
<INTEREST-LOAN> 10,768,779
<INTEREST-INVEST> 7,093,155
<INTEREST-OTHER> 0
<INTEREST-TOTAL> 17,861,934
<INTEREST-DEPOSIT> 6,010,355
<INTEREST-EXPENSE> 10,355,420
<INTEREST-INCOME-NET> 7,506,514
<LOAN-LOSSES> 200,000
<SECURITIES-GAINS> 113,172
<EXPENSE-OTHER> 4,405,215
<INCOME-PRETAX> 3,529,977
<INCOME-PRE-EXTRAORDINARY> 3,529,977
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 2,274,877
<EPS-PRIMARY> 1.11
<EPS-DILUTED> 1.11
<YIELD-ACTUAL> 7.90
<LOANS-NON> 3,201,776
<LOANS-PAST> 108,281
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 3,562,330
<CHARGE-OFFS> 182,805
<RECOVERIES> 84,891
<ALLOWANCE-CLOSE> 3,664,416
<ALLOWANCE-DOMESTIC> 3,664,416
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
