UCFC announces 1Q earnings
United Community Financial Corp., parent company of Home Savings Bank, announced first-quarter 2017 net income of $1.5 million, which compares with $3.3 million reported during the first quarter of 2016.
The first quarter included acquisition-related expenses of $3.3 million for Premier Bank & Trust. During the first quarter, the Youngstown bank completed the acquisition and integration of Premier.
The acquisition, valued at $40.3 million, of Premier was the first one for the bank since 2002. The last acquisition for UCFC was made in 2002 with Potters National Bank.
Premier Bank & Trust is headquartered in North Canton, with four full-service banking centers in North Canton, Fairlawn and St. Clairsville.
Though Home Savings has no locations in those areas, it does have a market there with close to $100 million in mortgage and commercial loans in Stark and Summit counties.
The acquisition brought UCFC from a $2.1 billion institution to a $2.5 billion institution. Home Savings locations rose from 31 to 35.
It also gives the bank an asset and trust-management business, which it does not have currently.
“We are very pleased to announce solid core earnings along with the completion of a significant acquisition integration effort in March,” Gary M. Small, president and chief executive officer of the bank, said Tuesday. “New clients are on-boarded, financial performance is in line with expectations, and we are currently expanding our wealth-management group to capitalize on our newly acquired capabilities.”
Also during the first quarter, the bank’s total assets increased $365.7 million, or 16.7 percent, to a total of $2.6 billion. Loan growth, including loans available for sale but excluding the effects of the acquisition, totaled $90.4 million. Total loans, including loans held for sale, grew $344.4 million for the quarter, as a result of the growth and the acquisition of Premier. Commercial loan growth led the way, but both mortgage and consumer loans also increased, the bank said.