| FFBW: A Thrift Conversion Rapidly Repurchasing Stock |
FFBW is trading below tangible book value, yet thrifts have a strong history of being acquired for more than book value. The bank has been aggressively repurchasing stock, both as a first-step conversion and now that it's fully public. |
seekingalpha.com |
2022-05-25 19:33:24 |
Czytaj oryginał (ang.) |
| First Federal Bank Of Wisconsin: An Interesting Bank Demutualization |
First Federal Bank Of Wisconsin: An Interesting Bank Demutualization |
seekingalpha.com |
2021-09-11 08:43:51 |
Czytaj oryginał (ang.) |
| Wells Fargo and FHLB Dallas to Award $200,000 in Grants |
Wells Fargo and the Federal Home Loan Bank of Dallas (FHLB Dallas) will provide $200,000 in Partnership Grant Program (PGP) grants to two nonprofits i |
businesswire.com |
2020-08-11 04:00:00 |
Czytaj oryginał (ang.) |
| Sell Rocket Companies: It Is REKT (NYSE:RKT) |
The market cap of the company was about $43bn at Thursday's close. At first, the IPO seemed in trouble after cutting the offering size and price, but the market turned bullish on the first day of trading. |
seekingalpha.com |
2020-08-10 20:50:40 |
Czytaj oryginał (ang.) |
| Eagle Financial Bancorp, Inc. Announces Second Quarter 2020 Results |
CINCINNATI--(BUSINESS WIRE)--Eagle Financial Bancorp, Inc. (OTCQB: EFBI) (the “Company”), the holding company for Eagle Savings Bank (the “Bank”), today announced net income of $497 thousand, or $0.34 per common share on 1.4 million shares outstanding for the quarter ended June 30, 2020, as compared to $81 thousand, or $0.05 per common share on 1.5 million shares outstanding for the quarter ended June 30, 2019. The improvement was largely driven by a $784 thousand increase in total non-interest income, offset by a $200 thousand provision for loan losses and a $118 thousand increase in income taxes. Net income for the six months ended June 30, 2020 increased $512 thousand to $674 thousand, or $0.44 per common share as compared to $162 thousand, or $0.11 per common share for the six months ended June 30, 2019. The improvement was largely driven by a $1.1 million, or 111.2% increase in total non-interest income, offset by a $225 thousand increase in provision for loan losses, a $142 thousand increase in income taxes, and a $183 thousand decrease in net interest income. The decrease in net interest income for the three months ended June 30, 2020 was largely driven by a decline in the weighted average yield on total interest earning assets to 3.88% for the quarter ended June 30, 2020 from 4.46% for the comparable 2019 period. This decrease was primarily the result of declining interest rates, especially interest rates on interest earning deposits which saw a decline in the weighted average yield of 203 basis points for the quarter ended June 30, 2020 as compared to the quarter ended June 30, 2019. FINANCIAL HIGHLIGHTS Net income of $497 thousand for the three months ended June 30, 2020 compared to $81 thousand for the comparable period in 2019, representing an increase of $416 thousand, or 513.6%. Net income of $674 thousand for the six months ended June 30, 2020 compared to $162 thousand for the comparable period in 2019, representing an increase of $512 thousand, or 316.0%. Net income before taxes of $637 thousand for the quarter ended June 30, 2020 compared to $103 thousand for the comparable period in 2019, representing an increase of $534 thousand, or 518.4%. Net income before taxes of $866 thousand for the six months ended June 30, 2020 compared to $212 thousand for the comparable period in 2019, representing an increase of $654 thousand, or 308.5% Non-interest income of $2.0 million for the six months ended June 30, 2020 compared to $961 thousand for the comparable period in 2019, representing an increase of $1.1 million, or 111.2%. Capital ratios of 14.7%, 17.1% and 18.1% for the Tier 1 Leverage ratio, Tier 1 Risked Based Capital ratio and Total Risked Based Capital ratio, respectively at June 30, 2020. Comparison of Financial Condition at June 30, 2020 and December 31, 2019 Total assets were $154.5 million at June 30, 2020, an increase of $11.7 million, or 8.2%, over the $142.8 million at December 31, 2019. The increase was primarily due to an increase in loans, net of allowance for loan losses of $16.8 million, offset by a decrease in cash and cash equivalents of $4.6 million, and a decrease in interest-bearing time deposits in other banks of $1.5 million. Net loans totaled $123.3 million at June 30, 2020, as compared to $106.6 million at December 31, 2019, an increase of $16.8 million or 15.7%. During the six months ended June 30, 2020, we originated $100.0 million of loans, $77.3 million of which were one- to four-family residential real estate loans, and sold $63.1 million of loans in the secondary market. During the six months ended June 30, 2020, one- to four-family residential real estate loans decreased $4.2 million, or 7.1%, to $55.6 million, multi-family loans decreased $27,000, or 2.5%, to $1.0 million, commercial real estate loans and land loans decreased $533,000, or 2.6%, to $20.3 million, construction loans increased $3.7 million, or 31.6%, to $15.4 million, home equity and other consumer loans decreased $1.5 million, or 15.8% to $8.2 million, and commercial loans increased $22.7 million, or 383.5% to $28.6 million, of which $22.3 million was due to loans made under the Small Business Administration’s Payment Protection Program (or “PPP”) . Management continues to emphasize the origination of high quality loans for retention in the loan portfolio. Deposits increased by $10.8 million, or 9.6%, to $122.8 million at June 30, 2020 from $112.0 million at December 31, 2019. Our core deposits, which are all deposits other than certificates of deposit, increased $12.2 million, or 18.9%, to $76.6 million at June 30, 2020 from $64.4 million at December 31, 2019. Certificates of deposit decreased $1.4 million, or 3.0%, to $46.2 million at June 30, 2020 from $47.6 million at December 31, 2019. During the six months ended June 30, 2020, management continued its strategy of pursuing growth in demand accounts and other lower cost core deposits. Management intends to continue its efforts to increase core deposits, with a special emphasis on growth in consumer and business demand deposits. Shareholders’ equity increased $488,000, or 1.7%, to $28.4 million at June 30, 2020 from $27.9 million at December 31, 2019. The increase resulted from net income of $674,000 during the six months ended June 30, 2020, expense of $51,000 related to the ESOP shares committed to be released and expense of $123,000 related to stock based compensation, offset by a repurchase of common stock of $281,000 and dividends paid of $79,000. EAGLE FINANCIAL BANCORP, INC. STATEMENTS OF CONDITION June 30, 2020 and March 31, 2020 (Unaudited) December 31, 2019 (Audited) (In Thousands) $ 10,662 $ 15,396 $ 15,301 1,494 2,988 2,988 6,421 8,487 6,390 124,662 106,855 107,734 (1,319 ) (1,196 ) (1,166 ) 123,343 105,659 106,568 4,165 4,049 4,062 8,420 7,528 7,479 $ 154,505 $ 144,107 $ 142,788 $ 7,007 $ 5,767 $ 5,967 Interest bearing 115,770 107,476 106,024 122,777 113,243 111,991 3,337 2,776 2,894 126,114 116,019 114,885 28,391 28,088 27,903 $ 154,505 $ 144,107 $ 142,788 Comparison of Operating Results for the Three Months Ended June 30, 2020 and June 30, 2019 General. Our net income for the three months ended June 30, 2020 was $497,000, compared to a net income of $81,000 for the three months ended June 30, 2019, an increase of $416,000, or 513.6%. The increase in net income was primarily due to a $784,000 increase in noninterest income, the result of a large increase in net gain on loan sales, offset by an increase in provision for loan losses of $200,000, a decrease in net interest income of $55,000, and an increase in income taxes of $118,000. Interest Income. Interest income decreased $51,000, or 3.7%, to $1.3 million for the three months ended June 30, 2020 from $1.4 million for the three months ended June 30, 2019. This decrease was primarily attributable to a $52,000 decrease in dividend income on Federal Home Loan Bank (“FHLB”) stock and interest income on other interest earning deposits. The average balance of interest earning deposits increased $4.2 million for the three months ended June 30, 2020, or 38.7%, from the average balance for the three months ended June 30, 2019, while the average yield on interest earning deposits decreased by 203 basis points to 0.29% for the three months ended June 30, 2020 from 2.32% for the three months ended June 30, 2019. Interest Expense. Total interest expense increased $4,000, or 1.5%, to $271,000 for the three months ended June 30, 2020 from $267,000 for the three months ended June 30, 2019. This increase is primarily the result of interest expense on FHLB advances. The average balance of deposits for the three months ended June 30, 2020 increased by $12.1 million, or 12.0% from the average balance for the three months ended June 30, 2019, while the average cost of deposits decreased by 11 basis points to 0.95% for the three months ended June 30, 2020 from 1.06% for the three months ended June 30, 2019. Interest expense on FHLB advances was $4,000 for the three months ended June 30, 2020. The average balance of FHLB advances during the three months ended June 30, 2020 increased by $5.6 million, from the average balance for the three months ended June 30, 2019. The average cost of FHLB advances decreased by 232 basis points to 0.28% for the three months ended June 30, 2020 from 2.60% for the three months ended June 30, 2019. Net Interest Income. Net interest income decreased $55,000, or 5.0%, to $1.0 million for the three months ended June 30, 2020, compared to $1.1 million for the three months ended June 30, 2019. The decrease reflected a decrease in total interest and dividend income of $51,000, and an increase in total interest expense of $4,000. Our net interest margin decreased to 3.08% for the three months ended June 30, 2020 from 3.59% for the three months ended June 30, 2019. Our net interest rate spread decreased to 2.96% for the three months ended June 30, 2020 from 3.40% for the three months ended June 30, 2019. The interest rate spread and net interest margin were impacted by declining interest rates in the three months ended June 30, 2020. Provision for Loan Losses. Based on our analysis of the factors described in “Critical Accounting Policies—Allowance for Loan Losses,” we recorded a provision of $200,000 for loan losses for the three months ended June 30, 2020, compared to $0 for the three months ended June 30, 2019. The allowance for loan losses was $1.3 million, or 0.98% of total loans, at June 30, 2020, compared to $1.2 million, or 1.02% of total loans, at December 31, 2019. Total nonperforming loans were $1.7 million at June 30, 2020, compared to $1.1 million at December 31, 2019. Classified loans increased to $1.7 million at June 30, 2020, compared to $1.4 million at December 31, 2019. Total loans past due 30 days or more were $1.3 million and $952,000 at June 30, 2020 and December 31, 2019, respectively. Net recovery totaled $5,000 for the three months ended June 30, 2020, compared to $4,000 of net recovery for the three months ended June 30, 2019. The allowance for loan losses reflects the estimate we believe to be appropriate to cover incurred probable losses which were inherent in the loan portfolio at June 30, 2020 and 2019. While we believe the estimates and assumptions used in our determination of the adequacy of the allowance are reasonable, such estimates and assumptions could be proven incorrect in the future, and the actual amount of future provisions may exceed the amount of past provisions, and the increase in future provisions that may be required may adversely impact our financial condition and results of operations. In addition, bank regulatory agencies periodically review our allowance for loan losses and may require an increase in the provision for possible loan losses or the recognition of further loan charge-offs, based on judgments different than those of management. Non-Interest Income. Non-interest income increased $784,000, or 142.0%, to $1.3 million for the three months ended June 30, 2020 from $552,000 for the three months ended June 30, 2019. The increase was primarily due to a $766,000 increase in the net gain on sale of loans during the three months ended June 30, 2020 as compared to the three months ended June 30, 2019. Non-Interest Expense. Non-interest expense decreased $5,000, or 0.3%, to $1.54 million for the three months ended June 30, 2020, compared to $1.55 million for the three months ended June 30, 2019. The increase was primarily the result of an increase in compensation and employee benefits of $51,000, offset by a $57,000 decrease in other operating expenses. Federal Income Taxes. Federal income taxes increased by $118,000 to an income tax expense of $140,000 for the three months ended June 30, 2020, compared to an income tax expense of $22,000 for the three months ended June 30, 2019. The increase in income tax expense for the three months ended June 30, 2020 was a direct result of the increase in gain on loans sales, and the resulting increase in net income. Comparison of Operating Results for the Six Months Ended June 30, 2020 and June 30, 2019 General. Our net income for the six months ended June 30, 2020 was $674,000, compared to a net income of $162,000 for the six months ended June 30, 2019, an increase of $512,000, or 316.0%. The increase in net income was due to an increase in non-interest income of $1.1 million, offset by an increase in provision for loan losses of $225,000, a decrease in net interest income of $183,000, and an increase in income taxes of $142,000 for the six months ended June 30, 2020 as compared to the six months ended June 30, 2019. Interest Income. Interest income decreased $130,000, or 4.8%, to $2.6 million for the six months ended June 30, 2020 from $2.7 million for the six months ended June 30, 2019. This decrease was attributable to an $83,000 decrease in interest income on loans receivable, a decrease on FHLB stock dividends of $13,000, and a decrease in interest income on other interest-earning deposits of $34,000. The average balance of loans during the six months ended June 30, 2020 increased by $1.4 million, or 1.2%, from the average balance for the six months ended June 30, 2019, but the average yield on loans decreased by 20 basis points to 4.41% for the six months ended June 30, 2020 from 4.61% for the six months ended June 30, 2019, and the average balance of interest earning deposits increased $6.5 million, however, the average yield on those deposits decreased by 139 basis points to 0.96% for the six months ended June 30, 2020 from 2.35% for the six months ended June 30, 2019. Interest Expense. Total interest expense increased $53,000, or 10.5%, to $557,000 for the six months ended June 30, 2020 from $504,000 for the six months ended June 30, 2019. Interest expense on deposit accounts increased $50,000, or 9.9%, to $553,000 for the six months ended June 30, 2020 from $503,000 for the six months ended June 31, 2019. The average balance of deposits during the six months ended June 30, 2019 increased by $8.8 million, or 8.7% from the average balance for the six months ended June 30, 2019, while the average cost of deposits increased by one basis point to 1.01% for the six months ended June 30, 2020 from 1.00% for the six months ended June 30, 2019. Interest expense on FHLB advances increased $3,000, or 300.0%, to $4,000 for the six months ended June 30, 2020 compared to $1,000 for the six months ended June 30, 2019. The average balance of FHLB advances during the six months ended June 30, 2020 increased by $2.8 million from the average balance for the six months ended June 30, 2019, while the average cost of FHLB advances decreased by 232 basis point to 0.28% for the six months ended June 30, 2020 from 2.60% for the six months ended June 30, 2019. Net Interest Income. Net interest income decreased $183,000, or 8.3%, to $2.0 million for the six months ended June 30, 2020, compared to $2.2 million for the six months ended June 30, 2019. The decrease reflected a decrease in total interest and dividend income of $130,000, and an increase in total interest expense of $53,000. Our net interest margin decreased to 3.09% for the six months ended June 30, 2020 from 3.59% for the six months ended June 30, 2019. Our net interest rate spread decreased to 2.95% for the six months ended June 30, 2020 from 3.40% for the six months ended June 30, 2019. The interest rate spread and net interest margin were impacted by declining interest rates in the six months ended June 30, 2020. Provision for Loan Losses. Based on our analysis of the factors described in “Critical Accounting Policies—Allowance for Loan Losses,” we recorded a $225,000 provision for loan losses for the six months ended June 30, 2020, as compared to $0 for the six months ended June 30, 2019. The allowance for loan losses was $1.3 million, or 0.98% of total loans, at June 30, 2020, compared to $1.2 million, or 1.02% of total loans, at December 31, 2019. Total nonperforming loans were $1.7 million at June 30, 2020, compared to $1.1 million at December 31, 2019. Classified loans increased to $1.7 million at June 30, 2020, compared to $1.4 million at December 31, 2019. Total loans past due 30 days or more were $1.3 million and $952,000 at June 30, 2020 and December 31, 2019, respectively. Net charge-offs totaled $72,000 for the six months ended June 30, 2020, compared to $31,000 of net loan charge-off for the six months ended June 30, 2019. The allowance for loan losses reflects the estimate we believe to be appropriate to cover incurred probable losses which were inherent in the loan portfolio at June 30, 2019 and 2018. While we believe the estimates and assumptions used in our determination of the adequacy of the allowance are reasonable, such estimates and assumptions could be proven incorrect in the future, and the actual amount of future provisions may exceed the amount of past provisions, and the increase in future provisions that may be required may adversely impact our financial condition and results of operations. In addition, bank regulatory agencies periodically review our allowance for loan losses and may require an increase in the provision for possible loan losses or the recognition of further loan charge-offs, based on judgments different than those of management. Non-Interest Income. Non-interest income increased $1.1 million, or 111.2%, to $2.0 million for the six months ended June 30, 2020 from $961,000 for the six months ended June 30, 2019. The increase was primarily due to an increase in the net gain on sale of loans of $1.0 million, and a $55,000 increase in other service charges and fees during the six months ended June 30, 2020 as compared to the six months ended June 30, 2019. Non-Interest Expense. Non-interest expense increased $7,000, or 0.2%, to $2.97 million for the six months ended June 30, 2020, compared to $2.96 million for the six months ended June 30, 2019. The increase was primarily the result of an increase in compensation and employee benefits of $91,000, offset by an $83,000 decrease in other operating expenses. Federal Income Taxes. Federal income taxes increased by $142,000 to an income tax expense of $192,000 for the six months ended June 30, 2020, compared to an income tax expense of $50,000 for the six months ended June 30, 2019. The increase in income tax expense for the six months ended June 30, 2020 was a direct result of the increase in gain on loans sales, and the resulting increase in net income. EAGLE FINANCIAL BANCORP, INC. STATEMENTS OF INCOME Three and Six Months Ended June 30, 2020 and 2019 (Unaudited) (In Thousands, except share and per share data) Three Months Three Months Six Months Six Months Ended Ended Ended Ended 6/30/2020 6/30/2019 6/30/2020 6/30/2019 $ 1,312 $ 1,363 $ 2,587 $ 2,717 271 267 557 504 1,041 1,096 2,030 2,213 200 ---- 225 ---- 841 1,096 1,805 2,213 1,336 552 2,030 961 1,109 1,058 2,112 2,021 63 66 121 125 88 78 172 159 82 86 159 167 6 8 6 8 192 249 399 482 1,540 1,545 2,969 2,962 637 103 866 212 140 22 192 50 $ 497 $ 81 $ 674 $ 162 $ 0.34 $ 0.05 $ 0.44 $ 0.11 1,441,264 1,486,647 1,446,015 1,487,604 EAGLE FINANCIAL BANCORP, INC. OTHER FINANCIAL INFORMATION (In Thousands) (Unaudited) 6/30/2020 3/31/2020 12/31/19 $ 1,319 $ 1,196 $ 1,166 0.77 % 1.09 % 0.74 % 1.08 % 1.06 % 0.80 % 105.94 % 115.67 % 101.83 % 0.98 % 1.05 % 1.02 % 3.88 % 4.00 % 4.19 % 0.92 % 1.08 % 1.14 % 2.96 % 2.92 % 3.05 % 3.08 % 3.10 % 3.24 % 6/30/2020 3/31/2020 12/31/19 14.70 % 15.70 % 15.40 % 17.10 % 16.30 % 16.30 % 18.10 % 17.20 % 17.20 % Coronavirus Disease 2019 (COVID-19) Impact Loan Modifications The Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed by Congress and signed into law by the President on March 27, 2020. The CARES Act provides financial institutions the option of temporarily not accounting for eligible loans as troubled debt restructurings in accordance with GAAP. In addition, Interagency Statements were issued on March 22, 2020 and April 7, 2020 by bank regulatory agencies to encourage financial institutions to work prudently with borrowers. The agencies confirmed with the FASB that loans that were not more than 30 days past due as of December 31, 2019 and receive short-term modifications of six months or less, are not considered to be delinquent or troubled debt restructurings and are not reported as nonaccrual. We began receiving requests from borrowers for loan deferrals in March 2020. Modifications include the deferral of principal and interest for generally 90 days. Requests were evaluated individually and approved modifications were based on the unique circumstances of each borrower. We are committed to working with our clients to allow time to work through the challenges of this pandemic. The Company will be using the provisions of the CARES Act and the Interagency Statements to account for the loans receiving forbearance, which means the loans will remain on accrual status unless the borrower is unable to satisfy the terms of the loans once the forbearance period ends. At this time, it is uncertain what future impact loan modifications related to COVID-19 difficulties will have on our financial condition, results of operations and reserve for loan losses. The following table shows coronavirus (COVID-19) loan modifications outstanding at June 30, 2020. Of these modifications, $11.9 million, or 100%, were performing in accordance with their modified terms. Details with respect to actual modifications are as follows: Number of Loans Balance 10 $ 1,543 13 8,200 --- --- --- --- --- --- --- --- 7 2,169 30 $ 11,912 Paycheck Protection Program (PPP) As part of the CARES Act, approved by the President on March 27, 2020, the Small Business Administration (SBA) has been authorized to guarantee loans under the PPP through June 30, 2020 for small businesses who meet the necessary eligibility requirements in order to keep their workers on the payroll. At June 30, 2020, the Bank has 85 loans for $22.4 million of loans under the PPP. At June 30, 2020, the Bank has recognized interest and fees on these loans of $101,000. This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This release contains forward-looking statements, which can be identified by the use of words such as “estimate,” “project,” “believe,” “intend,” “anticipate,” “assume,” “plan,” “seek,” “expect,” “will,” “may,” “should,” “indicate,” “would,” “contemplate,” “continue,” “target” and words of similar meaning. These forward-looking statements include, but are not limited to: statements of our goals, intentions and expectations; statements regarding our business plans, prospects, growth and operating strategies; statements regarding the asset quality of our loan and investment portfolios; and estimates of our risks and future costs and benefits. These forward-looking statements are based on our current beliefs and expectations and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. We are under no duty to and do not take any obligation to update any forward-looking statements after the date of this report. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: our ability to continue to manage our operations successfully; effect of the Coronavirus Disease 2019 (COVID-19) pandemic on our Company, the communities where we have our branches, the state of Ohio and the United States, related to the economy and overall financial stability, which may also exacerbate the effects of the other factors listed herein; our ability to successfully implement our business plan of managed growth, diversifying our loan portfolio and increasing mortgage banking operations to improve profitability; our success in increasing our commercial business, commercial real estate, construction and home equity lending; adverse changes in the financial industry, securities, credit and national local real estate markets (including real estate values); significant increases in our loan losses, including as a result of our inability to resolve classified and non-performing assets or reduce risks associated with our loans, and management’s assumptions in determining the adequacy of the allowance for loan losses; credit risks of lending activities, including changes in the level and trend of loan delinquencies and write-offs and in our allowance for loan losses and provision for loan losses; the use of estimates in determining fair value of certain of our assets, which may prove to be incorrect and result in significant declines in valuations; competition among depository and other financial institutions; our ability to attract and maintain deposits and our success in introducing new financial products; our ability to maintain our asset quality even as we increase our commercial business, commercial real estate, construction, and home equity lending; changes in interest rates generally, including changes in the relative differences between short term and long term interest rates and in deposit interest rates, that may affect our net interest margin and funding sources; fluctuations in the demand for loans, which may be affected by the number of unsold homes, land and other properties in our market areas and by declines in the value of real estate in our market area; changes in consumer spending, borrowing and saving habits; declines in the yield on our assets resulting from the current low interest rate environment; risks related to a high concentration of loans secured by real estate located in our market area; the results of examinations by our regulators, including the possibility that our regulators may, among other things, require us to increase our allowance for loan losses, write down assets, change our regulatory capital position, limit our ability to borrow funds or maintain or increase deposits, or prohibit us from paying dividends, which could adversely affect our dividends and earnings; changes in the level of government support of housing finance; our ability to enter new markets successfully and capitalize on growth opportunities; changes in laws or government regulations or policies affecting financial institutions, including the Dodd-Frank Act and the JOBS Act, which could result in, among other things, increased deposit insurance premiums and assessments, capital requirements, regulatory fees and compliance costs, particularly the new capital regulations, and the resources we have available to address such changes; changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the Securities and Exchange Commission and the Public Company Accounting Oversight Board; changes in our compensation and benefit plans, and our ability to retain key members of our senior management team and to address staffing needs in response to product demand or to implement our strategic plans; loan delinquencies and changes in the underlying cash flows of our borrowers; our ability to control costs and expenses, particularly those associated with operating as a publicly traded company; the failure or security breaches of computer systems on which we depend; the ability of key third-party service providers to perform their obligations to us; changes in the financial condition or future prospects of issuers of securities that we own; and other economic, competitive, governmental, regulatory and operational factors affecting our operations, pricing, products and services described elsewhere in our SEC filings. Given its ongoing and dynamic nature, it is difficult to predict the full impact of the COVID-19 outbreak on our business. The extent of such impact will depend on future developments, which are highly uncertain, including when the coronavirus that has caused the COVID-19 pandemic can be controlled and abated and when and how the economy may be reopened. As the result of the COVID-19 pandemic and the related adverse local and national economic consequences, our forward-looking statements are subject to the following additional risks, uncertainties and assumptions: demand for our products and services may decline; if the economy is unable to substantially reopen, and high levels of unemployment continue for an extended period of time, loan delinquencies, problem assets, and foreclosures may increase; collateral for loans, especially real estate, may decline in value; our allowance for loan losses may have to be increased if borrowers experience financial difficulties; the net worth and liquidity of loan guarantors may decline; as the result of the decline in the Federal Reserve Board’s target federal funds rate to near 0%, the yield on our assets may decline to a greater extent than the decline in our cost of interest-bearing liabilities; a material decrease in net income or a net loss over several quarters could result in a decrease in the rate of our quarterly cash dividend; actions taken by the federal, state or local governments to cushion the impact of COVID-19 on consumers and businesses may have a negative impact on us and our business; our cyber security risks are increased as the result of an increase in the number of employees working remotely; and FDIC premiums may increase if the agency experiences additional resolution costs. Because of these and a wide variety of other uncertainties our actual future results may be materially different from the results indicated by these forward-looking statements. |
businesswire.com |
2020-08-07 04:00:00 |
Czytaj oryginał (ang.) |
| ADDING and REPLACING Southern California Bancorp Announces Results for the Second Quarter 2020 |
SAN DIEGO--(BUSINESS WIRE)--In release dated July 27, 2020, please note addition of the Quarterly Financial Highlights table after last paragraph of release. The corrected release reads: SOUTHERN CALIFORNIA BANCORP ANNOUNCES RESULTS FOR THE SECOND QUARTER 2020 Southern California Bancorp (the “Company”) (OTC Pink: BCAL), the holding company for Bank of Southern California, N.A. (the “Bank”) today reported results for the second quarter ended June 30, 2020. SECOND QUARTER 2020 HIGHLIGHTS The Company is pleased to announce strong Q2 results, despite very challenging macroeconomic conditions largely due to the COVID-19 pandemic. At the end of May, the all-cash acquisition of CalWest Bancorp (“CalWest”) was completed, adding $221 million in loans, $241 million in deposits, and $312 million in assets. Nathan Rogge, President and CEO, commented, “The acquisition of CalWest was an important step in progressing the Bank towards our goal of becoming the “bank of choice” for Southern California businesses. CalWest customers now have access to additional branch offices, more products and services, and an increased lending capacity.” As previously announced, the Bank was an active participant in the Paycheck Protection Program (PPP), funding more than 2,600 loans in Q2. Rogge explained, “Given COVID-19’s unprecedented impact on the business community, we felt it was important to support both customers and non-customers by providing PPP Loans to all Southern California businesses. We are proud to report that as of June 30, 2020 we have funded a total of $523 million PPP loans, providing or retaining jobs for over 55,000 employees.” As a result of the CalWest acquisition and participation in PPP lending, total assets increased 81% Q/Q from $852 million in Q1 2020 to $1.55 billion in Q2 2020. Furthermore, total loans and total deposits increased significantly, and positively impacted earnings. The following summarizes these results: Total loan portfolio increased $668 million, or 98% Q/Q to $1.35 billion $221 million in total loans from CalWest, including $50 million in PPP Loans $473 million in PPP loans, in addition to those acquired from CalWest $221 million in total loans from CalWest, including $50 million in PPP Loans $473 million in PPP loans, in addition to those acquired from CalWest Total deposits increased $468 million, or 68% Q/Q to $1.16 billion CalWest acquired total deposits were $241 million, including $129 million noninterest DDA Aside from CalWest deposits, other deposits increased $227 million, including an increase of $165 million in DDA and $59 million in money market, which were largely deposits associated with PPP lending customers CalWest acquired total deposits were $241 million, including $129 million noninterest DDA Aside from CalWest deposits, other deposits increased $227 million, including an increase of $165 million in DDA and $59 million in money market, which were largely deposits associated with PPP lending customers Net income increased 35% Q/Q to $2.57 million Earnings increases were driven by the CalWest acquisition and PPP Lending Earnings are net of $2.25 million added to the loan loss reserve Pre-tax, pre-provision recurring operating profit increased from $3.0 million in Q1 2020 to $6.3 million in Q2 2020 Earnings increases were driven by the CalWest acquisition and PPP Lending Earnings are net of $2.25 million added to the loan loss reserve Pre-tax, pre-provision recurring operating profit increased from $3.0 million in Q1 2020 to $6.3 million in Q2 2020 NET INTEREST INCOME AND RATIO OVERVIEW Net interest income increased $3.43 million Q/Q positively driven by balance sheet growth due to the CalWest acquisition and PPP Loans. However, yields, costs and net interest margin were impacted by 150 bps reduction in interest rates near the end of Q1 2020. Average loan yields dropped 77 bps Q/Q from 5.32% to 4.55% (only 43 bps excluding PPP Loans). Average cost of deposits Q/Q dropped 43 bps from 0.78% to 0.35%. Fluctuations are tied to rate reductions of 150 bps at the end Q1 2020 and the overall yield on PPP Loans of 3.88%. A comparison of Q/Q interest income, yields, costs and net interest income follows: Q2 2020 Q1 2020 Interest Income on: Total Loans $12,480,097 4.55% $8,968,879 5.32% Loans excl PPP $8,871,048 4.89% $8,968,879 5.32% PPP Loans $3,609,049 3.88% N/A Investments $195,036 2.61% $215,478 3.96% Fed Funds & Int Earning $57,300 0.24% $354,027 1.35% Total Interest Income $12,732,433 4.17% $9,538,384 4.76% Total Interest Expense $1,317,616 0.46% $1,553,211 0.86% Net Interest Income $11,414,817 3.74% $7,985,173 3.98% During Q2, total PPP Loan fees received were over $14 million. A two-year accretive accounting treatment has been applied to these fees following assumptions related to prepayments and forgiveness of PPP Loans. LIQUIDITY AND CAPITAL The significant growth in PPP Loans was funded through a combination of increased DDA accounts, generally associated directly with the PPP Loans, borrowings under Federal Reserve Bank’s PPP Liquidity Facility (PPP LF), and other sources. On average, during the second quarter, PPP Loans were funded 50% from DDA growth, 35% from borrowings, and 15% from other balance sheet liquidity. The Company has ample liquidity resources to meet its customer’s needs through both the Federal Home Loan Bank (FHLB) and PPP LF. At June 30, 2020, borrowing capacity available at the FHLB was approximately $90 million and borrowing capacity available through PPP LF was approximately $300 million. Despite the growth in assets, the Bank remains well-capitalized, largely due to preferential capital treatment of PPP Loans and PPP LF advances. PPP Loans are considered zero risk-weighted assets and PPP LF advances are not counted in the leverage ratio. The Bank’s capital leverage ratio for Q2 2020 is 10.2% and total risk-based capital ratio is 15.2%. CREDIT QUALITY AND ALLOWANCE FOR LOAN LOSSES The allowance for loan losses (ALLL) increased from $5.67 million in Q1 to $8.30 million in Q2, primarily from $2.25 million in provisions for loan losses due to the increased uncertainty related to macroeconomic variables caused by COVID-19. Although nonperforming assets increased only slightly to $1.7 million, the Company is cognitive of its customers with exposure to COVID-19 sensitive industries, and the quantity of loans currently on deferment. The following table details loan exposure to certain high-risk industries: Industry Outstanding Loan Amounts Number of Loans Hospitality $ 22,959,766 10 Food Service $ 27,451,686 51 Retail $ 7,860,736 19 Educational Services $ 642,827 9 Healthcare Related $ 25,827,360 70 Misc. Services $ 10,623,043 19 Schools $ 16,613,197 7 Total $ 111,978,614 185 At June 30, 2020, a total of $132 million in loans are on payment deferment, with 69% on 3 month deferment, and 73% deferring principal and interest. As the extent of the economic disruption has become more clear, many borrowers who elected a payment deferral have been taken off of deferral; as of June 30, 2020, over $49 million in loans have come off deferment and are now current. As a result of the significant increases in both the loan portfolio and the allowance for loan losses during Q2, relevant reserve ratios compared to the prior quarter are as follows: Q2 2020 Q1 2020 ALLL to Total Loans 0.61% 0.83% ALLL and Loan Fair Value Credit Marks (LFVCM) to Total Loans 0.99% 1.07% ALLL and LFVCM to Total Loans, excluding PPP Loans 1.62% 1.07% Management believes the addition of $2.25 million as provision for loan losses during Q2 is prudent and conservative considering the ongoing uncertainties associated with COVID-19. Management will continue to monitor and proactively manage the loan portfolio to minimize potential future losses. BANK ACQUISITION AND BRANCH OFFICE PLANS To support the $26M acquisition of CalWest Bancorp, a $12 million private placement of common stock was completed in Q4 2019, and the holding company reorganization and $18M subordinated debt offering were completed in May 2020. In addition, Mr. Rogge commented, “We remain focused on positioning the Company for long term success and with our newly expanded footprint we see an opportunity to increase efficiencies while continuing to support our customers and the communities we serve. We recently announced plans to consolidate a few of our branch locations and in January 2021 we will be opening a new branch in downtown La Jolla.” With branch operations in Los Angeles, Riverside and San Diego counties, the acquisition of CalWest Bancorp allows an expanded presence in Orange County, as well as a new presence in San Bernardino County in Redlands. When looking holistically at the Company’s new geographic footprint, efficiencies can be achieved by consolidating and streamlining overall bank operations. As such, the Executive Management Team is executing plans over the next two quarters to integrate two branches with overlapping functions of nearby branches in the Los Angeles and Orange County markets, as well as opening a new branch in San Diego County. With all the changes at the Bank, we will continue to focus on our core strengths, including the highly personal customer service delivered by our staff. These efforts are evident in the new customers introduced through the PPP Loan process, whereby approximately 42% have also chosen additional banking services, and we look forward to continuing to grow our relationships with our newest clients. When considering the overall growth and continued profitability of the Company while there is so much uncertainty in the market, John Farkash, Chairman of the Board said, “As we look ahead, we are well-capitalized to see through these challenging times. We remain focused on supporting Southern California’s businesses and believe our acquisition of CalWest Bancorp will enable us to better serve our clients and communities, while building long-term shareholder value.” ABOUT SOUTHERN CALIFORNIA BANCORP A growing community bank, established in 2001, Southern California Bancorp and its wholly-owned banking subsidiary, Bank of Southern California, N.A., with headquarters in San Diego, CA, is locally owned and managed, and offers a range of financial products to individuals, professionals and small-to-medium sized businesses. The Company’s solution-driven, relationship-based approach to banking provides accessibility to decision makers and enhances value through strong partnerships with its clients. The Company currently operates branches in San Diego County, Los Angeles County, Orange County, San Bernardino County, and the Coachella Valley in Riverside County. For more information, please visit https://www.banksocal.com or call 844.BNK.SOCAL. FORWARD-LOOKING STATEMENTS This press release may contain comments or information that constitute forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995) and Southern California Bancorp and its subsidiary, Bank of Southern California, N.A., intends for such forward-looking statements to be covered by the safe harbor provisions of that Act. 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 are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties and actual results may differ materially from those presented, in this news release. Factors that might cause such differences include, but are not limited to: the impact of the Coronavirus (COVID-19) on the economy and the Company; the ability of the Company to successfully execute its business plan; changes in interest rates and interest rate relationships; changes in demand for products and services; changes in banking legislation or regulation; trends in customer behavior as well as their ability to repay loans; and changes in the national and local economy. Southern California Bancorp undertakes no obligation to update or clarify forward-looking statements, whether as a result of new information, future events or otherwise. Additional current and historical financial results and trends are available on our website: https://www.banksocal.com/about-us/financials Southern California Bancorp Quarterly Financial Highlights (Unaudited) Quarterly 6 Months YTD 2020 2020 2019 2019 2019 ($$ in thousands except per share data) 2nd Qtr 1st Qtr 4th Qtr 3rd Qtr 2nd Qtr 2020 2019 EARNINGS Net interest income $ 11,415 7,985 7,736 7,795 7,625 19,400 15,323 Provision for loan losses $ 2,252 300 200 300 200 2,552 500 NonInterest income $ 390 747 321 695 519 1,137 939 NonInterest expense $ 5,825 5,694 5,512 5,711 5,705 11,519 10,902 Income tax expense $ 1,154 827 709 763 667 1,981 1,438 Net income $ 2,573 1,911 1,636 1,716 1,572 4,485 3,421 Basic earnings per share $ 0.27 0.20 0.19 0.20 0.19 0.48 0.41 Average shares outstanding 9,422,608 9,408,940 8,578,102 8,410,522 8,410,522 9,415,774 8,409,897 Ending shares outstanding 9,424,565 9,412,690 9,405,190 8,410,522 8,410,522 9,424,565 8,410,522 PERFORMANCE RATIOS Return on average assets 0.80 % 0.90 % 0.79 % 0.87 % 0.82 % 0.84 % 0.91 % Return on average common equity 8.33 % 6.30 % 5.93 % 6.37 % 6.02 % 7.31 % 6.65 % Yield on loans 4.55 % 5.32 % 5.23 % 5.44 % 5.59 % 4.84 % 5.63 % Yield on earning assets 4.17 % 4.76 % 4.88 % 5.21 % 5.24 % 4.40 % 5.30 % Cost of deposits 0.35 % 0.78 % 0.88 % 0.99 % 0.98 % 0.53 % 0.97 % Net interest margin 3.74 % 3.98 % 4.01 % 4.24 % 4.28 % 3.83 % 4.34 % Efficiency ratio 49.3 % 65.2 % 68.4 % 67.3 % 70.1 % 56.1 % 67.0 % CAPITAL Tangible equity to tangible assets 6.77 % 12.48 % 12.58 % 10.83 % 11.62 % 6.77 % 11.62 % Book value (BV) per common share $ 13.31 13.00 12.81 12.77 12.56 13.31 12.56 Tangible BV per common share $ 10.94 11.05 10.85 10.56 10.34 10.94 10.34 ASSET QUALITY Net loan charge-offs (recoveries) $ (374 ) (11 ) (11 ) 36 (9 ) (385 ) (15 ) Allowance for loan losses (ALLL) $ 8,300 5,674 5,363 5,153 4,888 8,300 4,888 ALLL to total loans 0.61 % 0.83 % 0.79 % 0.75 % 0.78 % 0.61 % 0.78 % Loan fair value credit marks (LFVCM) $ 5,076 1,649 1,906 2,030 2,249 5,076 2,249 ALLL and LFVCM to total loans 0.99 % 1.07 % 1.07 % 1.05 % 1.14 % 0.99 % 1.14 % Nonperforming loans $ 1,734 1,433 1,911 2,225 2,033 1,734 2,033 Other real estate owned $ 0 0 0 0 0 0 0 Nonperforming assets to total assets 0.11 % 0.17 % 0.23 % 0.27 % 0.27 % 0.11 % 0.27 % END OF PERIOD BALANCES Total loans $ 1,350,751 683,195 676,655 684,717 623,424 1,350,751 623,424 Total assets $ 1,545,957 852,052 830,186 839,060 766,730 1,545,957 766,730 Deposits $ 1,156,452 688,946 671,914 692,899 632,246 1,156,452 632,246 Loans to deposits 116.8 % 99.2 % 100.7 % 98.8 % 98.6 % 116.8 % 98.6 % Shareholders' equity $ 125,421 122,377 120,523 107,400 105,619 125,421 105,619 Full-time equivalent employees 122 92 97 96 100 122 100 AVERAGE BALANCES (QTRLY) | | (YTD) Total loans $ 1,100,180 676,825 678,015 664,946 623,541 888,502 626,653 Earning assets $ 1,225,376 803,804 766,012 730,165 714,889 1,014,590 711,296 Total assets (net of AFS valuation) $ 1,296,741 855,397 818,989 783,043 766,960 1,076,069 761,432 Deposits $ 983,294 696,341 671,443 641,867 633,478 839,818 631,226 Shareholders' equity $ 123,899 121,773 109,464 106,853 104,745 122,972 103,731 *Historical financials prior to May 2020, reflect the results of the subsidiary Bank prior to the Bancorp reorganization. |
businesswire.com |
2020-08-04 04:00:00 |
Czytaj oryginał (ang.) |
| Bogota Financial Corp. Reports Results for the Three and Six Months Ended June 30, 2020 |
Bogota Financial Corp. (the “Company”) (NASDAQ: BSBK), the holding company for Bogota Savings Bank (the “Bank”), reported net income for the three mon |
businesswire.com |
2020-08-03 04:00:00 |
Czytaj oryginał (ang.) |
| Analyzing First Guaranty Bancshares (NASDAQ:FGBI) and FFBW (NASDAQ:FFBW) |
First Guaranty Bancshares (NASDAQ:FGBI) and FFBW (NASDAQ:FFBW) are both small-cap finance companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, profitability, earnings, dividends, valuation, risk and institutional ownership. Risk & Volatility First Guaranty Bancshares has a beta of 0.41, indicating that its share […] |
thelincolnianonline.com |
2020-08-02 06:04:44 |
Czytaj oryginał (ang.) |
| Southern California Bancorp Announces Results for the Second Quarter 2020 |
SAN DIEGO--(BUSINESS WIRE)--In release dated July 27, 2020, please note addition of the Quarterly Financial Highlights table after last paragraph of release. The corrected release reads: SOUTHERN CALIFORNIA BANCORP ANNOUNCES RESULTS FOR THE SECOND QUARTER 2020 Southern California Bancorp (the “Company”) (OTC Pink: BCAL), the holding company for Bank of Southern California, N.A. (the “Bank”) today reported results for the second quarter ended June 30, 2020. SECOND QUARTER 2020 HIGHLIGHTS The Company is pleased to announce strong Q2 results, despite very challenging macroeconomic conditions largely due to the COVID-19 pandemic. At the end of May, the all-cash acquisition of CalWest Bancorp (“CalWest”) was completed, adding $221 million in loans, $241 million in deposits, and $312 million in assets. Nathan Rogge, President and CEO, commented, “The acquisition of CalWest was an important step in progressing the Bank towards our goal of becoming the “bank of choice” for Southern California businesses. CalWest customers now have access to additional branch offices, more products and services, and an increased lending capacity.” As previously announced, the Bank was an active participant in the Paycheck Protection Program (PPP), funding more than 2,600 loans in Q2. Rogge explained, “Given COVID-19’s unprecedented impact on the business community, we felt it was important to support both customers and non-customers by providing PPP Loans to all Southern California businesses. We are proud to report that as of June 30, 2020 we have funded a total of $523 million PPP loans, providing or retaining jobs for over 55,000 employees.” As a result of the CalWest acquisition and participation in PPP lending, total assets increased 81% Q/Q from $852 million in Q1 2020 to $1.55 billion in Q2 2020. Furthermore, total loans and total deposits increased significantly, and positively impacted earnings. The following summarizes these results: Total loan portfolio increased $668 million, or 98% Q/Q to $1.35 billion $221 million in total loans from CalWest, including $50 million in PPP Loans $473 million in PPP loans, in addition to those acquired from CalWest $221 million in total loans from CalWest, including $50 million in PPP Loans $473 million in PPP loans, in addition to those acquired from CalWest Total deposits increased $468 million, or 68% Q/Q to $1.16 billion CalWest acquired total deposits were $241 million, including $129 million noninterest DDA Aside from CalWest deposits, other deposits increased $227 million, including an increase of $165 million in DDA and $59 million in money market, which were largely deposits associated with PPP lending customers CalWest acquired total deposits were $241 million, including $129 million noninterest DDA Aside from CalWest deposits, other deposits increased $227 million, including an increase of $165 million in DDA and $59 million in money market, which were largely deposits associated with PPP lending customers Net income increased 35% Q/Q to $2.57 million Earnings increases were driven by the CalWest acquisition and PPP Lending Earnings are net of $2.25 million added to the loan loss reserve Pre-tax, pre-provision recurring operating profit increased from $3.0 million in Q1 2020 to $6.3 million in Q2 2020 Earnings increases were driven by the CalWest acquisition and PPP Lending Earnings are net of $2.25 million added to the loan loss reserve Pre-tax, pre-provision recurring operating profit increased from $3.0 million in Q1 2020 to $6.3 million in Q2 2020 NET INTEREST INCOME AND RATIO OVERVIEW Net interest income increased $3.43 million Q/Q positively driven by balance sheet growth due to the CalWest acquisition and PPP Loans. However, yields, costs and net interest margin were impacted by 150 bps reduction in interest rates near the end of Q1 2020. Average loan yields dropped 77 bps Q/Q from 5.32% to 4.55% (only 43 bps excluding PPP Loans). Average cost of deposits Q/Q dropped 43 bps from 0.78% to 0.35%. Fluctuations are tied to rate reductions of 150 bps at the end Q1 2020 and the overall yield on PPP Loans of 3.88%. A comparison of Q/Q interest income, yields, costs and net interest income follows: Q2 2020 Q1 2020 Interest Income on: Total Loans $12,480,097 4.55% $8,968,879 5.32% Loans excl PPP $8,871,048 4.89% $8,968,879 5.32% PPP Loans $3,609,049 3.88% N/A Investments $195,036 2.61% $215,478 3.96% Fed Funds & Int Earning $57,300 0.24% $354,027 1.35% Total Interest Income $12,732,433 4.17% $9,538,384 4.76% Total Interest Expense $1,317,616 0.46% $1,553,211 0.86% Net Interest Income $11,414,817 3.74% $7,985,173 3.98% During Q2, total PPP Loan fees received were over $14 million. A two-year accretive accounting treatment has been applied to these fees following assumptions related to prepayments and forgiveness of PPP Loans. LIQUIDITY AND CAPITAL The significant growth in PPP Loans was funded through a combination of increased DDA accounts, generally associated directly with the PPP Loans, borrowings under Federal Reserve Bank’s PPP Liquidity Facility (PPP LF), and other sources. On average, during the second quarter, PPP Loans were funded 50% from DDA growth, 35% from borrowings, and 15% from other balance sheet liquidity. The Company has ample liquidity resources to meet its customer’s needs through both the Federal Home Loan Bank (FHLB) and PPP LF. At June 30, 2020, borrowing capacity available at the FHLB was approximately $90 million and borrowing capacity available through PPP LF was approximately $300 million. Despite the growth in assets, the Bank remains well-capitalized, largely due to preferential capital treatment of PPP Loans and PPP LF advances. PPP Loans are considered zero risk-weighted assets and PPP LF advances are not counted in the leverage ratio. The Bank’s capital leverage ratio for Q2 2020 is 10.2% and total risk-based capital ratio is 15.2%. CREDIT QUALITY AND ALLOWANCE FOR LOAN LOSSES The allowance for loan losses (ALLL) increased from $5.67 million in Q1 to $8.30 million in Q2, primarily from $2.25 million in provisions for loan losses due to the increased uncertainty related to macroeconomic variables caused by COVID-19. Although nonperforming assets increased only slightly to $1.7 million, the Company is cognitive of its customers with exposure to COVID-19 sensitive industries, and the quantity of loans currently on deferment. The following table details loan exposure to certain high-risk industries: Industry Outstanding Loan Amounts Number of Loans Hospitality $ 22,959,766 10 Food Service $ 27,451,686 51 Retail $ 7,860,736 19 Educational Services $ 642,827 9 Healthcare Related $ 25,827,360 70 Misc. Services $ 10,623,043 19 Schools $ 16,613,197 7 Total $ 111,978,614 185 At June 30, 2020, a total of $132 million in loans are on payment deferment, with 69% on 3 month deferment, and 73% deferring principal and interest. As the extent of the economic disruption has become more clear, many borrowers who elected a payment deferral have been taken off of deferral; as of June 30, 2020, over $49 million in loans have come off deferment and are now current. As a result of the significant increases in both the loan portfolio and the allowance for loan losses during Q2, relevant reserve ratios compared to the prior quarter are as follows: Q2 2020 Q1 2020 ALLL to Total Loans 0.61% 0.83% ALLL and Loan Fair Value Credit Marks (LFVCM) to Total Loans 0.99% 1.07% ALLL and LFVCM to Total Loans, excluding PPP Loans 1.62% 1.07% Management believes the addition of $2.25 million as provision for loan losses during Q2 is prudent and conservative considering the ongoing uncertainties associated with COVID-19. Management will continue to monitor and proactively manage the loan portfolio to minimize potential future losses. BANK ACQUISITION AND BRANCH OFFICE PLANS To support the $26M acquisition of CalWest Bancorp, a $12 million private placement of common stock was completed in Q4 2019, and the holding company reorganization and $18M subordinated debt offering were completed in May 2020. In addition, Mr. Rogge commented, “We remain focused on positioning the Company for long term success and with our newly expanded footprint we see an opportunity to increase efficiencies while continuing to support our customers and the communities we serve. We recently announced plans to consolidate a few of our branch locations and in January 2021 we will be opening a new branch in downtown La Jolla.” With branch operations in Los Angeles, Riverside and San Diego counties, the acquisition of CalWest Bancorp allows an expanded presence in Orange County, as well as a new presence in San Bernardino County in Redlands. When looking holistically at the Company’s new geographic footprint, efficiencies can be achieved by consolidating and streamlining overall bank operations. As such, the Executive Management Team is executing plans over the next two quarters to integrate two branches with overlapping functions of nearby branches in the Los Angeles and Orange County markets, as well as opening a new branch in San Diego County. With all the changes at the Bank, we will continue to focus on our core strengths, including the highly personal customer service delivered by our staff. These efforts are evident in the new customers introduced through the PPP Loan process, whereby approximately 42% have also chosen additional banking services, and we look forward to continuing to grow our relationships with our newest clients. When considering the overall growth and continued profitability of the Company while there is so much uncertainty in the market, John Farkash, Chairman of the Board said, “As we look ahead, we are well-capitalized to see through these challenging times. We remain focused on supporting Southern California’s businesses and believe our acquisition of CalWest Bancorp will enable us to better serve our clients and communities, while building long-term shareholder value.” ABOUT SOUTHERN CALIFORNIA BANCORP A growing community bank, established in 2001, Southern California Bancorp and its wholly-owned banking subsidiary, Bank of Southern California, N.A., with headquarters in San Diego, CA, is locally owned and managed, and offers a range of financial products to individuals, professionals and small-to-medium sized businesses. The Company’s solution-driven, relationship-based approach to banking provides accessibility to decision makers and enhances value through strong partnerships with its clients. The Company currently operates branches in San Diego County, Los Angeles County, Orange County, San Bernardino County, and the Coachella Valley in Riverside County. For more information, please visit https://www.banksocal.com or call 844.BNK.SOCAL. FORWARD-LOOKING STATEMENTS This press release may contain comments or information that constitute forward-looking statements (within the meaning of the Private Securities Litigation Reform Act of 1995) and Southern California Bancorp and its subsidiary, Bank of Southern California, N.A., intends for such forward-looking statements to be covered by the safe harbor provisions of that Act. 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 are not guarantees of future performance, nor should they be relied upon as representing management's views as of any subsequent date. Forward-looking statements involve significant risks and uncertainties and actual results may differ materially from those presented, in this news release. Factors that might cause such differences include, but are not limited to: the impact of the Coronavirus (COVID-19) on the economy and the Company; the ability of the Company to successfully execute its business plan; changes in interest rates and interest rate relationships; changes in demand for products and services; changes in banking legislation or regulation; trends in customer behavior as well as their ability to repay loans; and changes in the national and local economy. Southern California Bancorp undertakes no obligation to update or clarify forward-looking statements, whether as a result of new information, future events or otherwise. Additional current and historical financial results and trends are available on our website: https://www.banksocal.com/about-us/financials Southern California Bancorp Quarterly Financial Highlights (Unaudited) Quarterly 6 Months YTD 2020 2020 2019 2019 2019 ($$ in thousands except per share data) 2nd Qtr 1st Qtr 4th Qtr 3rd Qtr 2nd Qtr 2020 2019 EARNINGS Net interest income $ 11,415 7,985 7,736 7,795 7,625 19,400 15,323 Provision for loan losses $ 2,252 300 200 300 200 2,552 500 NonInterest income $ 390 747 321 695 519 1,137 939 NonInterest expense $ 5,825 5,694 5,512 5,711 5,705 11,519 10,902 Income tax expense $ 1,154 827 709 763 667 1,981 1,438 Net income $ 2,573 1,911 1,636 1,716 1,572 4,485 3,421 Basic earnings per share $ 0.27 0.20 0.19 0.20 0.19 0.48 0.41 Average shares outstanding 9,422,608 9,408,940 8,578,102 8,410,522 8,410,522 9,415,774 8,409,897 Ending shares outstanding 9,424,565 9,412,690 9,405,190 8,410,522 8,410,522 9,424,565 8,410,522 PERFORMANCE RATIOS Return on average assets 0.80 % 0.90 % 0.79 % 0.87 % 0.82 % 0.84 % 0.91 % Return on average common equity 8.33 % 6.30 % 5.93 % 6.37 % 6.02 % 7.31 % 6.65 % Yield on loans 4.55 % 5.32 % 5.23 % 5.44 % 5.59 % 4.84 % 5.63 % Yield on earning assets 4.17 % 4.76 % 4.88 % 5.21 % 5.24 % 4.40 % 5.30 % Cost of deposits 0.35 % 0.78 % 0.88 % 0.99 % 0.98 % 0.53 % 0.97 % Net interest margin 3.74 % 3.98 % 4.01 % 4.24 % 4.28 % 3.83 % 4.34 % Efficiency ratio 49.3 % 65.2 % 68.4 % 67.3 % 70.1 % 56.1 % 67.0 % CAPITAL Tangible equity to tangible assets 6.77 % 12.48 % 12.58 % 10.83 % 11.62 % 6.77 % 11.62 % Book value (BV) per common share $ 13.31 13.00 12.81 12.77 12.56 13.31 12.56 Tangible BV per common share $ 10.94 11.05 10.85 10.56 10.34 10.94 10.34 ASSET QUALITY Net loan charge-offs (recoveries) $ (374 ) (11 ) (11 ) 36 (9 ) (385 ) (15 ) Allowance for loan losses (ALLL) $ 8,300 5,674 5,363 5,153 4,888 8,300 4,888 ALLL to total loans 0.61 % 0.83 % 0.79 % 0.75 % 0.78 % 0.61 % 0.78 % Loan fair value credit marks (LFVCM) $ 5,076 1,649 1,906 2,030 2,249 5,076 2,249 ALLL and LFVCM to total loans 0.99 % 1.07 % 1.07 % 1.05 % 1.14 % 0.99 % 1.14 % Nonperforming loans $ 1,734 1,433 1,911 2,225 2,033 1,734 2,033 Other real estate owned $ 0 0 0 0 0 0 0 Nonperforming assets to total assets 0.11 % 0.17 % 0.23 % 0.27 % 0.27 % 0.11 % 0.27 % END OF PERIOD BALANCES Total loans $ 1,350,751 683,195 676,655 684,717 623,424 1,350,751 623,424 Total assets $ 1,545,957 852,052 830,186 839,060 766,730 1,545,957 766,730 Deposits $ 1,156,452 688,946 671,914 692,899 632,246 1,156,452 632,246 Loans to deposits 116.8 % 99.2 % 100.7 % 98.8 % 98.6 % 116.8 % 98.6 % Shareholders' equity $ 125,421 122,377 120,523 107,400 105,619 125,421 105,619 Full-time equivalent employees 122 92 97 96 100 122 100 AVERAGE BALANCES (QTRLY) | | (YTD) Total loans $ 1,100,180 676,825 678,015 664,946 623,541 888,502 626,653 Earning assets $ 1,225,376 803,804 766,012 730,165 714,889 1,014,590 711,296 Total assets (net of AFS valuation) $ 1,296,741 855,397 818,989 783,043 766,960 1,076,069 761,432 Deposits $ 983,294 696,341 671,443 641,867 633,478 839,818 631,226 Shareholders' equity $ 123,899 121,773 109,464 106,853 104,745 122,972 103,731 *Historical financials prior to May 2020, reflect the results of the subsidiary Bank prior to the Bancorp reorganization. |
businesswire.com |
2020-07-27 04:00:00 |
Czytaj oryginał (ang.) |
| Third Century Bancorp Releases Earnings for the Quarter and Six-Months Ended June 30, 2020 |
(OTCPINK: TDCB)--Third Century Bancorp (“Company”), the holding company for Mutual Savings Bank (“Bank”), announced it had a record level of net incom |
businesswire.com |
2020-07-22 04:00:00 |
Czytaj oryginał (ang.) |
| Wayne Savings Bancshares, Inc. Announces Earnings for the second quarter 2020 | MarketScreener |
|
marketscreener.com |
2020-07-17 14:01:02 |
Czytaj oryginał (ang.) |
| Baird Financial Group Inc. Makes New Investment in FFBW Inc (NASDAQ:FFBW) |
Baird Financial Group Inc. acquired a new position in FFBW Inc (NASDAQ:FFBW) during the first quarter, HoldingsChannel reports. The fund acquired 14,764 shares of the company’s stock, valued at approximately $117,000. Several other hedge funds also recently made changes to their positions in the company. Commonwealth Equity Services LLC grew its holdings in shares of […] |
thelincolnianonline.com |
2020-06-24 10:42:48 |
Czytaj oryginał (ang.) |
| First Defiance Financial Corp. to Complete Name and Ticker Symbol Change |
First Defiance Financial Corp. to Complete Name and Ticker Symbol Change; First Defiance Financial Corp. will become Premier Financial Corp. |
businesswire.com |
2020-06-19 04:00:00 |
Czytaj oryginał (ang.) |
| Once-highflying community banks encounter turbulence |
Fallout from the coronavirus pandemic is pressuring banks that have relied on expansion efforts and fee income to produce outsize investor returns. |
americanbanker.com |
2020-06-04 21:26:40 |
Czytaj oryginał (ang.) |
| NuMark CU Donates $20,000 in Grant Money to Local Charities |
One of your neighbors posted in Neighbor News. Click through to read what they have to say. (The views expressed in this post are the author’s own.) |
patch.com |
2020-05-20 22:34:59 |
Czytaj oryginał (ang.) |
| Redwood Trust, Inc. (RWT) CEO Chris Abate on Q1 2020 Results - Earnings Call Transcript |
Redwood Trust, Inc. (NYSE:RWT) Q1 2020 Earnings Conference Call May 08, 2020, 08:00 AM ET Company Participants Lisa Hartman - SVP of IR Chris Abate - CEO Dash R |
seekingalpha.com |
2020-05-10 10:58:06 |
Czytaj oryginał (ang.) |
| Financial Comparison: FFBW (NASDAQ:FFBW) and BBX Capital (NASDAQ:BBXTB) |
FFBW (NASDAQ:FFBW) and BBX Capital (OTCMKTS:BBXTB) are both small-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, analyst recommendations, profitability, dividends and earnings. Valuation and Earnings This table compares FFBW and BBX Capital’s top-line revenue, earnings per share (EPS) […] |
thelincolnianonline.com |
2020-02-22 09:58:48 |
Czytaj oryginał (ang.) |
| Stock Analysts' Downgrades for January, 10th (AAVVF, AAWW, ADMA, AIQUY, AMNB, AMRN, AOBC, AOIFF, ATOM, ATRI) |
Stock Analysts’ downgrades for Friday, January 10th: Advantage Oil & Gas (OTCMKTS:AAVVF) was downgraded by analysts at ValuEngine from a hold rating to a sell rating. Atlas Air Worldwide (NASDAQ:AAWW) was downgraded by analysts at BidaskClub from a hold rating to a sell rating. ADMA Biologics (NASDAQ:ADMA) was downgraded by analysts at ValuEngine from a […] |
thelincolnianonline.com |
2020-01-10 09:22:41 |
Czytaj oryginał (ang.) |