Potomac Bancshares Q4 net income up

Potomac Bancshares, Inc. has reported a net income of $502,000, or $0.15 per share, for the fourth quarter ended December 31, 2012, compared to $362,000, or $0.11 per share, for the same quarter ended December 31, 2011.

Net interest income for the fourth quarter ended December 31, 2012 was $2.54 million, compared to $2.49 million for the same quarter ended December 31, 2011.

Net income for the year ended December 31, 2012 was $1.64 million, or $0.48 per share, compared to a net loss of $1.01 million, or $0.30 loss per share, for the year ended December 31, 2011.

Net interest income for the year ended December 31, 2012 was $10.10 million, compared to $9.67 million for the year ended December 31, 2011.

President and CEO Robert Baronner, Jr, said: "During 2012, we continued to see signs that the economy was stabilizing as real estate prices in our area stopped declining and demand for both new and existing housing picked up. For the ┬Črst time in a number of years, we experienced loan growth with loans net of reserve of $211.4 million at 12/31/12 compared to $202.8 million at 12/31/11, an increase of 4.2%.

"We had a record year for residential mortgage production and began to see our commercial loan portfolio grow once again. In 2012, credit quality continued to improve as non-performing assets (non-accruing loans and other real estate owned) as a percentage to total assets declined from 4.74% at 12/31/11 to 2.97% at 12/31/12."