STATEN ISLAND, N.Y. (Oct. 2017) – VSB Bancorp, Inc. (OTCQX: VSBN) – Staten Island’s only community-based commercial bank – recently reported net income of $724,213 for the third quarter of 2017. The figure represents an increase of $157,046 – or 27.7 percent – from the third quarter of 2016.

“Our year over year earnings results show robust growth,” stated Raffaele (Ralph) M. Branca, president and CEO of VSB Bancorp, Inc. “We are continuing to evaluate different ways to increase our loan portfolio while maintaining our underwriting standards. We are deploying more cash into higher yielding assets.”

Unaudited figures released in October showed a pre-tax income of $1,114,097 in the third quarter of 2017, compared to $872,525 for the third quarter of 2016. Net income for the quarter was $724,213, or basic income of 41 cents per common share, compared to net income of $567,167, or 32 cents basic net income per common share, for the quarter ended September 30, 2016.

Return on average assets increased from 0.66 percent in the third quarter of 2016 to 0.77 percent in the third quarter of 2017, while return on average equity increased from 7.28 percent to 8.66 percent.

The average yield on earning assets rose by 8 basis points while the average cost of funds fell by 3 basis points.

Total assets increased to $364.8 million at September 30, 2017, an increase of $31.7 million, or 9.5 percent, from December 31, 2016.

40^TH CONSECUTIVE CASH DIVIDEND

VSB Bancorp, Inc. recently declared its 40^th consecutive cash dividend: 8 cents per share, which was payable on Oct. 2, 2017 to stockholders of record on Sept. 22, 2017.

“We are focused on increasing value to our stockholders,” stated Joseph J. LiBassi, chairman of VSB Bancorp, Inc. “We paid our 40th consecutive cash dividend and our book value per share has now reached $17.84. We have stayed true to our philosophy of delivering the best in personal service to our customers.”

STOCKHOLDERS’ EQUITY

The latest numbers show the bank’s total stockholders’ equity increased by $2.1 million.

For the first nine months of 2017, pre-tax income increased to $3.4 million from $2.6 million for the first nine months of 2016, an improvement of $862,750, or 33.5 percent. Net income for the nine months ended September 30, 2017 was $2.2 million, or basic net income of $1.26 per common share, as compared to net income of $1.7 million, or basic net income of 96 cents per common share, for the nine months ended September 30, 2016.

ABOUT VSB BANCORP

VSB Bancorp, Inc. (OTCQX: VSBN) is the one-bank holding company for Victory State Bank. As Staten Island, N.Y.’s only community-based commercial bank, Victory State Bank operates five full-service locations on the Island, including the main office in the community of Great Kills and branches in West Brighton, St. George, Dongan Hills and Rosebank.

A planned sixth branch, to be situated in Meiers Corners, has received both regulatory and building department approvals.

Victory State Bank commenced operations on Nov. 17, 1997. The Bank’s initial capitalization of $7 million was primarily raised in the Staten Island community. The Bancorp’s total equity has increased to $32.7 million primarily through the retention of earnings.

For additional information, Victory State Bank may be reached at 718-979-1100, or visited online at www.VictoryStateBank.com.

FORWARD LOOKING STATEMENTS

This release contains forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to adverse changes in local, regional or national economic conditions, fluctuations in market interest rates, changes in laws or government regulations, weaknesses of other financial institutions, changes in customer preferences, and changes in competition within our market area. When used in this release or in any other written or oral statements by the Company or its directors, officers or employees, words or phrases such as “will result in,” “management expects that,” “will continue,” “is anticipated,” “estimate,” “projected,” or similar expressions, and other terms used to describe future events, are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). Readers should not place undue reliance on the forward-looking statements, which reflect management’s view only as of the date of the statement. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances. This statement is included for the express purpose of protecting the Company under the PSLRA’s safe harbor provisions.

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Relevant Public Relations, LLC
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