SCVBank Reports Fourth Quarter 2013 Results

  • Continued Improvement in Loan Quality
  • Strong Capital Ratios
  • Highly Liquid

SANTA PAULA, Calif.--()--Santa Clara Valley Bank (SCVBank)(OTCBB: SCVE) Chairman of the Board Scott K. Rushing today announced the Bank's 2013 fourth quarter results.

Board Chairman Scott Rushing reported that portfolio quality continues to demonstrate solid performance with increasing loan production.

SCVBank recorded a $190,000 income before taxes for the fourth quarter of 2013 compared to an income before taxes of $157,000 for the fourth quarter of 2012. Income before taxes for 2013 was $77,000.

Due to a $227,000 writedown of deferred tax assets during the fourth quarter of 2013, the Bank's net loss, after taxes, was $37,000. The net loss for 2013 was $153,000.

SCVBank continues to maintain a strong capital position with a Tier 1 Leverage Capital Ratio of 10.84%, up from 10.68% at December 31, 2012. Liquidity continues to be very strong as cash, interest bearing deposits at financial institutions, and investments total 45% of total assets at year end.

President Cheryl Knight commented that, “challenges remain due to weak loan demand and very low interest rates, leading to margin compression and lower income; however, returns on our high quality investment portfolio have increased recently. Core deposits compare favorably with other similar banks.” Chairman Rushing added that, “the bank continues to seek good quality business and commercial real estate loans in Ventura County and North Los Angeles County. As good quality loans are funded, the financial performance of SCVBank will continue to strengthen.”

Founded in 1998, SCVBank currently operates three branches in Santa Paula, Fillmore, and Valencia. Executive and Loan Offices are located at 866 East Main Street, Santa Paula, Ca. Under its stock symbol of SCVE, SCVBank’s stock is traded through McAdams Wright Ragen, Raymond James & Associates Inc., and Monroe Securities. The Bank’s web site is www.SCVBank.com.

Santa Clara Valley Bank Corporation Headquarters
901 East Main Street
Santa Paula, California 93060
(805) 525-1999

Statements concerning future performance, developments or events concerning expectations for growth and market forecasts, and any other guidance on future periods, constitute forward looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to, the effect of interest rate changes, and the ability to control costs and expenses, the impact of consolidation in the banking industry, financial policies of the United States government, and general economic conditions.

Santa Clara Valley Bank, N. A.    
 

Balance Sheets

Unaudited Audited
December 31, 2013 December 31, 2012
Assets:
Cash and noninterest-bearing due from banks $ 4,006,000 $ 3,990,000

Federal funds sold and interest bearing deposits at financial institutions

5,900,000 12,196,000
Investments 50,001,000 49,408,000
Loans 66,232,000 68,998,000
Allowance for loan losses (1,173,000 ) (1,407,000 )
Other assets   6,867,000     3,801,000  
Total Assets $ 131,833,000   $ 136,986,000  
 
Liabilities and Stockholders' Equity:
Deposits $ 111,639,000 $ 114,972,000
Borrowed Funds 6,000,000 6,550,000
Other liabilities 344,000 434,000
Stockholders' equity   13,850,000     15,030,000  
Total Liabilities and Stockholders' Equity $ 131,833,000   $ 136,986,000  
 
Book value per common share $ 5.63 $ 7.40
Common shares outstanding (end of period) 1,926,167 1,472,167
Tier 1 leverage ratio 10.84 % 10.68 %
Total risk-based capital ratio 21.35 % 21.25 %
 
For the Three Months Ended

Statements of Income (unaudited)

December 31, 2013 December 31, 2012
Interest income $ 1,415,000 $ 1,369,000
Interest expense   82,000     132,000  
Net interest income 1,333,000 1,237,000
Provision for loan losses - 75,000
Noninterest income 177,000 314,000
Noninterest expense   1,320,000     1,319,000  
Income (loss) before taxes 190,000 157,000
Income tax provision   227,000     -  
Net Income (Loss) $ (37,000 ) $ 157,000
Preferred stock dividends or accretion   -     9,000  
Net income (loss) applicable to common shares $ (37,000 ) $ 148,000  
Income (Loss) per common share, basic ($0.02 ) $ 0.10
Return on average assets -0.13 % 0.47 %
Return on average equity -1.17 % 4.18 %
 
Year to date through

Statements of Income

December 31, 2013 December 31, 2012
Unaudited Audited
Interest income $ 5,129,000 $ 5,547,000
Interest expense   392,000     541,000  
Net interest income 4,737,000 5,006,000
Provision for loan losses - 75,000
Noninterest income 797,000 937,000
Noninterest expense   5,460,000     5,312,000  
Income (loss) before taxes 74,000 556,000
Income tax provision   227,000     -  
Net Income (Loss) $ (153,000 ) $ 556,000
Preferred stock dividends or accretion   -     (37,000 )
Net income (loss) applicable to common shares $ (153,000 ) $ 519,000  
Income (Loss) per common share, basic ($0.09 ) $ 0.35
Return on average assets -0.12 % 0.53 %
Return on average equity -1.08 % 4.74 %

Contacts

Santa Clara Valley Bank
Cheryl Knight
President & Chief Executive Officer
805-525-1999
or
Fred Antrim
Executive Vice President & Chief Financial Officer
805-525-1999

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Contacts

Santa Clara Valley Bank
Cheryl Knight
President & Chief Executive Officer
805-525-1999
or
Fred Antrim
Executive Vice President & Chief Financial Officer
805-525-1999