Elmer Bancorp, Inc. Announces Third Quarter Earnings

Elmer Bancorp, Inc. ELMA, (the Company), holding company for The First National Bank of Elmer (the Bank), reports third quarter earnings. For the quarter ended September 30, 2017, Net Income was $324 thousand, compared to $172 thousand for the quarter ended September 30, 2016. Third quarter Net Interest Income was $2.6 million compared to $2.3 million in the prior year, an increase of $265 thousand or 11.2%, primarily due to loan growth. For the quarter ended September 30, 2017, Noninterest Income was $220 thousand, compared to $186 thousand for the quarter ended September 30, 2016, an increase of $34 thousand or 18.3%. Third quarter Provision for Loan Loss Reserve was $135 thousand, compared to $91 thousand in the prior year period, an increase of $44 thousand or 48.4%. For the quarter ended September 30, 2017, Noninterest Expense was $2.2 million, compared to $2.0 million for the quarter ended September 30, 2016, an increase of $154 thousand or 7.7%.

Elmer Bancorp's total assets were $261.6 million at September 30, 2017 compared to $258.9 million at June 30, 2017, an increase of $2.7 million or 1.0%. Total loans reached $221.5 million at September 30, 2017 compared to $217.1 million at June 30, 2017, an increase of $4.4 million or 2.0%. Total deposits were $236.0 million at September 30, 2017 compared to $233.5 million at June 30, 2017, an increase of $2.5 million or 1.1%. Stockholder's equity remained strong at approximately $23.7 million at September 30, 2017, based on quarterly Net Income, offset by declaration of the Company's regular semi-annual dividend to stockholders. At September 30, 2017, the Bank was "well capitalized" under applicable banking regulations.

During the nine months ended September 30, 2017, Net Interest Income increased by $355 thousand, or 4.9%, reaching $7.57 million, compared to $7.22 million for the nine months ended September 30, 2016. Noninterest Income totaled $757 thousand for the period ending September 30, 2017 compared to $537 thousand in the prior year period, an increase $220 thousand or 41.0%. Noninterest Expense increased by $352 thousand, or 5.9%, reaching $6.4 million as of September 30, 2017, compared to $6.0 million for the prior year period. Net Income for the nine months ended September 30, 2017 was $1.022 million compared to Net Income of $771 thousand for the nine months ended September 30, 2016, an increase of $251 thousand or 32.6%.

Brian W. Jones, President and Chief Executive Officer, stated: "I am proud of our team's efforts to make our institution the community bank of choice in the markets we serve, and our growth reflects our customers continued support and faith in our ability to service their financial needs. By increasing our civic involvement, we are able to support worthy causes and form strategic partnerships within our communities. As we devote more assets to improve our operating infrastructure, our key financial metrics remain strong and reflect the bank's corporate initiatives to grow in our target markets. This growth supports our goal of remaining an independent community bank, while enhancing shareholder equity."

The Bank is headquartered at 10 South Main Street, Elmer, New Jersey and offers convenient hours and a high level of service for traditional consumer and commercial products and services. The Bank currently has six branch offices located in Salem, Cumberland and Gloucester counties.

For more information about the Bank and its products and services, please visit our website at www.ElmerBank.com or call toll free 1-877-358-8141.

Forward-Looking Statements

This press release and other statements made from time to time by the Company's management contain express and implied statements relating to our future financial condition, results of operations, credit quality, corporate objectives, and other financial and business matters, which are considered forward-looking statements. These forward-looking statements are necessarily speculative and speak only as of the date made, and are subject to numerous assumptions, risks and uncertainties, all of which may change over time. Actual results could differ materially from those expected or implied by such forward-looking statements. Risks and uncertainties which could cause our actual results to differ materially and adversely from such forward-looking statement include economic conditions affecting the financial industry; changes in interest rates and shape of the yield curve; credit risk associated with our lending activities; risks relating to our market area, significant real estate collateral and the real estate market; operating, legal and regulatory risk; fiscal and monetary policy; economic, political and competitive forces affecting our business; our ability to identify and address cyber-security risks; and management's analysis of these risks and factors being incorrect, and/or the strategies developed to address them being unsuccessful. Any statements made that are not historical facts should be considered to be forward-looking statements. You should not place undue reliance on any forward-looking statements. We undertake no obligation to update forward-looking statements or to make any public announcement when we consider forward-looking statements to no longer be accurate, whether as a result of new information of future events, except as may be required by applicable law or regulation.

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