Louisiana Bancorp, Inc. Announces Earnings for the First Quarter

Louisiana Bancorp, Inc. Announces Earnings for the First Quarter

METAIRIE, La., May 3, 2013 (GLOBE NEWSWIRE) -- Louisiana Bancorp, Inc. (the
"Company") (Nasdaq:LABC), the holding company for Bank of New Orleans (the
"Bank"), announced today that the Company's net income for the quarter ended
March 31, 2013 was $500,000, or $0.19 per diluted share, a decrease of $19,000
from the first quarter of 2012. Net interest income was approximately $2.4
million during each of the respective three month periods ended March 31, 2013
and 2012. Our provision for loan losses increased by $86,000, to $141,000,
during the first quarter of 2013 compared to the first quarter of 2012. This
increase in our provision for loan losses primarily reflects the growth of our
loan portfolio. Non-interest income for the March 31, 2013 quarter increased
by $223,000 compared to the March 31, 2012 quarter due primarily to an
increase in commissions earned on brokered loans and an increase in gains on
loans sold. Total non-interest expense was $2.0 million for the first quarter
of 2013, an increase of $173,000 compared to the first quarter of 2012.The
increase in total non-interest expense was primarily attributed to increased
compensation and occupancy expenses associated with our new branch office that
opened in the second quarter of 2012, and increased marketing expenses.

Lawrence J. LeBon, III, Chairman, President and Chief Executive Officer of the
Company and the Bank, stated: "During the first quarter of 2013, the Bank
launched a new marketing program focused on the growth of our non-interest
bearing deposit accounts.We look forward to developing many new long-term
relationships through this program that will complement the success we have
had in growing our loan portfolio."LeBon added, "As a community bank, we
believe that the personal service extended in creating these customer
relationships ultimately will contribute to the continued long-term
profitability of our institution."

Total assets were $312.4 million at March 31, 2013, an increase of $503,000
compared to December 31, 2012.During the first three months of 2013, cash and
cash equivalents decreased by $7.3 million to $3.4 million.Total securities
available-for-sale were $11.3 million at March 31, 2013, a decrease of
$830,000 compared to December 31, 2012.Total securities held-to-maturity
decreased by $6.6 million during the first quarter of 2013, to $60.8 million,
at March 31, 2013.The decreases in securities available-for-sale and
securities held-to-maturity were due to the contractual and early repayments
of principal on mortgage-backed securities and CMOs.Net loans receivable were
$227.9 million at March 31, 2013, an increase of $14.8 million, or 6.9%,
compared to December 31, 2012.During the first quarter of 2013, our first
mortgage loans secured by single family residential loans increased by $8.3
million, our funded home equity loans and lines increased by $1.1 million, our
loans secured by multifamily residential collateral increased by $1.2 million,
and our first mortgage loans secured by non-residential commercial real estate
increased by $4.3 million.

Total deposits were $197.0 million at March 31, 2013 compared to $196.2
million at December 31, 2012.As of March 31, 2013, non-interest bearing
deposits were $14.3 million, and interest-bearing deposits were $182.7
million.Total Federal Home Loan Bank advances and other borrowings were $56.2
million at March 31, 2013, an increase of $2.8 million from December 31,
2012.

Total shareholders' equity was $55.1 million at March 31, 2013, a decrease of
$1.6 million from December 31, 2012.During the three months ended March 31,
2013, the Company acquired 149,209 shares of its common stock at a total cost
of $2.5 million pursuant to its repurchase plans.The effect of these
repurchase transactions on total shareholders' capital was partially offset by
net income of $500,000 and the release of 42,134 shares held by the Company's
Recognition and Retention Plan Trust, with a total cost basis of $531,000,
which became vested and were released to plan participants during the first
quarter of 2013.The Bank's Tier 1 leverage ratio, Tier 1 risk-based capital
ratio, and total risk-based capital were 14.17%, 24.38%, and 25.52%,
respectively, at March 31, 2013.

Net interest income was approximately $2.4 million during the first quarter of
2013 and the first quarter of 2012.During the first quarter of 2013, interest
income was $3.2 million, a decrease of $326,000 compared to the first quarter
of 2012.This decrease in interest income between the respective quarterly
periods was primarily due to a $6.9 million decrease in the average balance of
interest-earning assets and a 33 basis point decrease in the average yield on
our interest-earning assets. The average yield on our interest-earning assets
was 4.30% and 4.63%, respectively, for the quarterly periods ended March 31,
2013 and 2012.Interest income on loans receivable was $2.7 million during
both the first quarter of 2013 and the first quarter of 2012. The average
balance of our loans receivable increased by $17.5 million during the first
quarter of 2013 compared to the first quarter of 2012; however, the average
yield on loans receivable decreased by 57 basis points between the respective
quarterly periods.The average balance of our mortgage-backed securities and
CMOs decreased by $17.5 million and the average yield on these securities
decreased by 52 basis points during the first quarter of 2013 compared to the
first quarter of 2012, resulting in a decrease of $247,000 in interest income
earned on mortgage-backed securities and CMOs.Interest income on investment
securities during the first quarter of 2013 was $38,000, at an average yield
of 2.38%, compared to $40,000, at an average yield of 2.04%, during the first
quarter of 2012.Interest income earned on other interest-earning assets was
$4,000 and $9,000, respectively, for the three month periods ended March 31,
2013 and March 31, 2012.

Total interest expense was $779,000, with our interest-bearing liabilities
having an average cost of 1.33%, during the first quarter of 2013, compared to
$1.1 million and an average cost of 1.83% for the first quarter of 2012.The
average rate paid on interest-bearing deposits was 0.95% during the quarter
ended March 31, 2013, a decrease of 27 basis points from the quarter ended
March 31, 2012.Interest expense on borrowings was $347,000 at an average cost
of 2.65% during the first quarter of 2013, and $552,000 at an average cost of
3.71% during the first quarter of 2012. The decrease in our interest expense
on borrowings was primarily due to the maturity of certain higher cost
borrowings during the fourth quarter of 2012 and the first quarter of 2013,
and their subsequent replacement with lower rate wholesale funding.The net
interest rate spread between our interest-earning assets and our
interest-bearing liabilities was 2.97% for the first quarter of 2013, compared
to 2.80% for the first quarter of 2012.Our net interest margin, which
expresses net interest income as a percentage of average interest-earning
assets, was 3.26% and 3.18%, respectively, for the three month periods ended
March 31, 2013, and March 31, 2012.

The Company recorded a provision for loan losses of $141,000 during the first
quarter of 2013 compared to $55,000 during the first quarter of 2012.Our
allowance for loan losses was $2.1 and $1.7 million, respectively, at March
31, 2013, and 2012. As of the preceding period ending dates, our allowance for
loan losses was 0.89% and 0.85% of total loans receivable.At March 31, 2013,
total non-performing loans were $1.3 million, or 0.58% of total loans, and
total non-performing assets were $1.9 million, or 0.62% of total assets.

Non-interest income for the first quarter of 2013 was $497,000, an increase of
$223,000 from the first quarter of 2012.Our customer service fees, which are
primarily comprised of fees earned on transaction accounts, loan servicing
fees, and brokered loan commissions, were $238,000 during the first quarter of
2013, an increase of $98,000 from the comparable 2012 period.Gains on the
sale of mortgage loans were $181,000 during the first quarter of 2013 compared
to $109,000 during the first quarter of 2012.Other non-interest income was
$78,000 during the three month period ended March 31, 2013, an increase of
$53,000 compared to the three month period ended March 31, 2012.This increase
in other non-interest income was primarily due to a $59,000 gain on an equity
investment in a small business investment company which was realized during
the first quarter of 2013.There was no such gain realized during the first
quarter of 2012.

Total non-interest expense was $2.0 million for the first quarter of 2013, an
increase of $173,000 compared to the first quarter of 2012.Salaries and
employee benefits expense increased by $50,000 and occupancy expense increased
by $40,000 during the first quarter of 2013 compared to the first quarter of
2012 due primarily to the staffing and operating expenses associated with the
opening of our new branch office in the second quarter of 2012.The Louisiana
bank shares tax was $57,000 and $58,000, respectively, and our FDIC deposit
insurance premiums were $38,000 and $37,000, respectively, for the three month
periods ended March 31, 2013, and March 31, 2012.The net cost associated with
our OREO operations was $18,000 during the first quarter of 2013 compared to
$38,000 during the first quarter of 2012.Advertising expense increased by
$50,000 to $98,000 during the first three months of 2013 compared to the first
three months of 2012, due to promotional efforts related to the development of
our checking account products.Other non-interest expenses were $253,000 for
the first quarter of 2013, and $200,000 for the first quarter of 2012.

For the three month period ended March 31, 2013, the Company recorded income
tax expense of $266,000, a decrease of $11,000 from the three month period
ended March 31, 2012.This decrease in income tax expense was primarily due to
a decrease in pre-tax income of $30,000 between the respective quarterly
periods.

This news release contains certain forward-looking statements.
Forward-looking statements can be identified by the fact that they do not
relate strictly to historical or current facts.They often include the words
"believe," "expect," "anticipate," "intend," "plan," "estimate" or words of
similar meaning, or future or conditional verbs such as "will," "would,"
"should," "could" or "may."

Forward-looking statements, by their nature, are subject to risks and
uncertainties.A number of factors ‑ many of which are beyond our control ‑
could cause actual conditions, events or results to differ significantly from
those described in the forward-looking statements.Louisiana Bancorp's Annual
Report on Form 10-K for the year ended December 31, 2012, which is available
from the SEC's website, www.sec.gov, or the Company's website,
www.bankofneworleans.net, describes some of these factors, including market
rates of interest, competition, risk elements in the loan portfolio, general
economic conditions, the level of the allowance for losses on loans,
geographic concentration of our business, risks of our growth strategy,
dependence on our management team, regulation of our business, increases in
deposit insurance premiums and actions by the U. S. government to stabilize
the financial markets.Forward-looking statements speak only as of the date
they are made.We do not undertake to update forward-looking statements to
reflect circumstances or events that occur after the date the forward-looking
statements are made or to reflect the occurrence of unanticipated events.


SELECTED CONSOLIDATED FINANCIAL AND OTHER DATA
(Dollars in thousands, except per share amounts)
                                                          
                                        March 31,          December 31,
                                        2013               2012
                                        (unaudited)        
                                                          
Selected Financial and Other Data:                         
Total assets                             $312,365         $311,862
Cash and cash equivalents                3,379             10,646
Securities available-for-sale                              
Investment securities                    6,364             6,384
Mortgage-backed securities & CMOs        4,945             5,755
Securities held-to-maturity                                
Investment securities                    --                --
Mortgage-backed securities & CMOs        60,817            67,454
Loans receivable, net                    227,912           213,159
Deposits                                 196,968           196,206
FHLB advances and other borrowings       56,206            53,454
Shareholders' equity                     55,115            56,706
                                                          
Book Value per Share                     $19.22             $18.79
                                                          
                                                          
                                        Three Months Ended March 31,
                                        2013               2012
                                        (unaudited)
Selected Operating Data:                                   
Total interest income                    $3,226           $3,552
Total interest expense                   779                1,111
Net interest income                      2,447              2,441
Provision for loan losses                141                55
Net interest income after provision for  2,306              2,386
loan losses
Total non-interest income                497                274
Total non-interest expense               2,037              1,864
Income before income taxes               766                796
Income taxes                             266                277
Net income                               $500             $519
                                                          
Earnings per share:                                        
Basic                                    $0.20            $0.19
Diluted                                  $0.19            $0.18
Weighted average shares outstanding                        
Basic                                    2,470,863          2,756,850
Diluted                                  2,613,106          2,893,268
                                                          
                                                          
                                        Three Months Ended March 31,
                                        2013               2012
                                                          
Selected Operating Ratios(1):                              
Average yield on interest-earning assets 4.30%              4.63%
Average rate on interest-bearing         1.33%              1.83%
liabilities
Average interest rate spread(2)          2.97%              2.80%
Net interest margin(2)                   3.26%              3.18%
Average interest-earning assets to       127.72%            126.32%
average interest-bearing liabilities
Net interest income after provisionfor  113.21%            128.00%
loan losses to non-interest expense
Total non-interest expense to average    2.64%              2.37%
assets
Efficiency ratio(3)                      69.19%             68.66%
Return on average assets                 0.65%              0.66%
Return on average equity                 3.61%              3.59%
Average equity to average assets         17.97%             18.42%

                                                          
                                        At or For the Quarter Ended
                                        March 31,          Dec. 31,
Asset Quality Ratios(4):                 2013               2012
Non-performing loans as a percent        0.58%              0.68%
oftotal loans receivable (5) (6)
Non-performing assets as a percent       0.62%              0.67%
oftotal assets(5)
Allowance for loan losses as a percent   154.12%            132.02%
of non-performing loans
Allowance for loan losses as a percent   0.89%              0.89%
oftotal loans receivable (6)
Net charge-offs during the period        0.00%              0.01%
toaverage loans receivable (6)(7)
                                                          
Capital Ratios(4):                                         
Tier 1 leverage ratio                    14.17%             14.03%
Tier 1 risk-based capital ratio          24.38%             25.39%
Total risk-based capital ratio           25.52%             26.50%
                                                          
                                                          
(1) All operating ratios are based on average monthly balances during the
indicated periods and are annualized where appropriate.
                                                          
(2) Average interest rate spread represents the difference between the average
yield on interest-earning assets and the average rate paid on interest-bearing
liabilities, and net interest margin represents net interest income as a
percentage of average interest-earning assets.
                                                          
(3) The efficiency ratio represents the ratio of non-interest expense divided
by the sum of net interest income and non-interest income.
                                                          
(4) Asset quality ratios and capital ratios are end of period ratios, except
for net charge-offs to average loans receivable.Capital ratios are for the
Bank, only.
                                                          
(5) Non-performing assets consist of non-performing loans and real estate
owned.Non-performing loans consist of all non-accruing loans and accruing
loans 90 days or more past due.Non-performing loans are reported gross of
allowance for loan losses.
                                                          
(6) Loans receivable are presented before the allowance for loan losses but
include deferred costs/fees.
                                                          
(7) Net charge-offs are presented on a quarterly basis.

CONTACT: Lawrence J. LeBon, III,
         Chairman, President &
         Chief Executive Officer
         or
         John LeBlanc,
         SVP & Chief Financial Officer
         Telephone: (504) 834-1190
 
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