Blue Valley Ban Corp. (OTCMKTS:BVBC) posted consolidated earnings of $12.8 million in FY2014 compared to net income of $1.0 million in FY2013. The earnings were impacted by the recovery of its DTA valuation allowance of almost $11.8 million, recorded in the third quarter. The recovery of deferred tax asset boosted the EPS for 2014 by almost $2.56. The sustained profitability from reduced non-interest expense and improved net interest income resulted in the recovery of the DTA valuation allowance. Excluding the impact of DTA valuation allowance, the consolidated earnings came at $1.0 million.
The management view
Robert D. Regnier, the CEO of Blue Valley Ban Corp said that the recovery of the DTA valuation allowance indicates the financial strength in Blue Valley Ban Corp. (OTCMKTS:BVBC)’s core business. The financial performance for FY2014 represents a decline in non-interest income and an increase in net interest income compared to the prior year quarters. Blue Valley posted consolidated earnings of $432,000 in 4Q2014 compared to $157,000 in 3Q2013.
Change in management
Regnier further said that the appointment of new Directors to the company’s board and continuous implementation of growth measures helped Blue Valley Ban Coro to achieve higher earnings in 4Q. Blue Valley Ban Corp. (OTCMKTS:BVBC) announced that Thomas A. McDonnell, who was the former CEO of the Kauffman Foundation and longtime Chief Executive of DST Systems, Inc. (NYSE:DST) has joined Board of Directors. Also, Anne D. St. Peter, the founder of Global Prairie became a part of Board of Directors.
The other changes
The bank also elected two new directors, Steven D. Wilkinson and William “Ryan” Wilkerson IV to its Board. Wilkinson is the CEO and President of Haas & Wilkerson Insurance while D. Wilkinson is the retired CEO of Menorah Medical Center. Regnier said that the new members embody and share the core value of philanthropy, entrepreneurship, and community and will significantly contribute to the ongoing implementation of Blue Valley Ban Corp. (OTCMKTS:BVBC)’s growth initiatives.