Pacific City Financial Corporation Reports Another Solid Financial Results for 2017 First Quarter

LOS ANGELES--()--Pacific City Financial Corporation (the “Company”) (OTC Pink: PFCF), the holding company of Pacific City Bank, today reported net income of $4.4 million, or $0.33 per diluted common share, compared with $4.3 million, or $0.32 per diluted common share, in the previous quarter and $3.0 million, or $0.25 per diluted common share, in the year-ago quarter.

2017 First Quarter Highlights

  • Net income totaled $4.4 million, or $0.33 per diluted common share
  • Total assets increased $194.1 million, or 17.8%, to $1.3 billion at March 31, 2017, compared with $1.1 billion at March 31, 2016
  • Total loans, including loans held-for-sale and net of unearned fee/cost, increased $160.4 million, or 17.7%, to $1,067.0 million at March 31, 2017, compared with $906.7 million at March 31, 2016
  • Total deposits increased $163.9 million, or 16.7%, to $1,146.3 million at March 31, 2017, compared with $982.4 million at March 31, 2016

"We are pleased to announce another quarter with a strong net income and loan growth. In connection to our solid performance and as part of our ongoing efforts to benefit our shareholders, our Board of Directors approved a $0.03 per share cash dividend in February 2017,” said Haeyoung Cho, President and CEO. “Our net income in the first quarter of 2017 increased to $4.4 million, compared with $4.3 million in the previous quarter and $3.0 million in the year-ago quarter. Both of our loan portfolio and deposit balances increased nicely during the 2017 first quarter. Our loan portfolio increased $33.8 million, or 3.3%, to $1,067.0 million at March 31, 2017, compared with $1,033.3 million at December 31, 2016, and increased $160.4 million, or 17.7%, compared with $906.7 million at March 31, 2016. Our deposit balance increased $54.5 million, or 5.0%, to $1,146.3 million at March 31, 2017, compared with $1,091.8 million at December 31, 2016, and increased $163.9 million, or 16.7%, compared with $982.4 million at March 31, 2016.”

RESULTS OF OPERATIONS

Net Income

Net income in the first quarter of 2017 increased $86,000, or 2.0%, to $4.4 million, compared with $4.3 million in the previous quarter, and increased $1.4 million, or 47.2%, compared with $3.0 million in the year-ago quarter. Diluted earnings per share were $0.33 in the first quarter of 2017, compared with $0.32 in the previous quarter and $0.25 in the year-ago quarter.

Net Interest Income and Net Interest Margin

Net interest income before provision for loan losses in the first quarter of 2017 decreased $109,000, or 0.9%, to $12.5 million, compared with $12.6 million in the previous quarter, and increased $1.8 million, or 16.6%, compared with $10.7 million in the year-ago quarter. The decrease compared with the previous quarter was primarily due to an increase in interest-bearing deposits balance. The increase compared with the previous quarter was primarily due to an increase in loan portfolio balance.

Interest income on loans increased $84,000, or 0.6%, to $13.9 million in the first quarter of 2017, compared with $13.8 million in the previous quarter, and increased $2.2 million, or 19.2%, compared with $11.6 million in the year-ago quarter. The increases were mainly due to an increase in average loan balance. The average total loan balance, including loans held for sale, was $1,055.8 million in the first quarter of 2017, compared with $1,040.8 million in the previous quarter, and $899.8 million in the year-ago quarter.

The loan yield increased 6 basis points to 5.33% in the first quarter of 2017, compared with 5.27% in the previous quarter, and increased 13 basis points compared with 5.20% in the year-ago quarter. The increase compared with the previous year was primarily due to the “asset sensitive” nature of the balance sheet where the variable interest rate loans repriced to a higher rates as a result of the 0.25% increase in Wall Street Journal Prime rate in December 2016.

Below is a table of fixed and variable interest rate loans accompanied with weighted average contractual rates:

      March 31, 2017       December 31, 2016       March 31, 2016

% to Gross
Loans*

     

WAVG
Contractual
Rate

% to Gross
Loans*

     

WAVG
Contractual
Rate

% to Gross
Loans*

     

WAVG

Contractual

Rate

Fixed rate loans 29.3 % 5.11 % 30.9 % 5.10 % 35.2 % 5.12 %
Variable rate loans 70.7 % 4.92 % 69.1 % 4.68 % 64.8 % 4.49 %
* Including LHFS
 

The interest income on investment securities increased $80,000, or 18.7%, to $508,000, compared with $428,000 in the previous quarter, and increased $2,000, or 0.4%, compared with $506,000 in the year-ago quarter. The increase compared with the previous quarter was primarily due to the increase in investment portfolio balance and increase in investment yield. The average balance of investment securities was $104.3 million in the first quarter of 2017, compared with $95.7 million in the previous quarter. Investment yield increased 16 basis points to 1.95%, compared with 1.79% in the previous quarter primarily due to the purchase of higher yield securities during the first quarter of 2017 and higher premium amortization in the fourth quarter of 2016 resulting from higher principal pay-down of investment securities.

Total interest expense in the first quarter of 2017 increased $137,000, or 6.8%, to $2.1 million, compared with $2.0 million in the previous quarter, and increased $580,000, or 37.0%, compared with $1.6 million in the year-ago quarter. The increase was primarily due to an increase in average balance of interest bearing deposits and an increase in cost of deposit. The average balance of interest bearing deposits was $839.4 million in the first quarter of 2017, compared with $798.4 million in the previous quarter, and $676.1 million in the year-ago quarter. The cost of interest bearing deposits was 1.04% in the first quarter of 2017, compared with 1.00% in the previous quarter, and 0.93% in the year-ago quarter.

The cost of total deposits including non-interest bearing deposits was 0.78% in the first quarter of 2017, compared with 0.74% in the previous quarter, and 0.67% in the year-ago quarter.

Net interest margin was 4.13% in the first quarter of 2017, compared with 4.16% in the previous quarter, and 4.19% in the year-ago quarter. The decrease in net interest margin in the 2017 first quarter compared with the previous quarter and the year-ago quarter was primarily due to an increase of Fed funds balance, which generally yields less than other interest earning assets.

Loan Loss Provision

The provision for loan losses in the first quarter of 2017 was a reversal of $198,000, compared with a provision of $621,000 in the previous quarter, and a provision of $491,000 in the year-ago quarter. The decrease compared with the previous quarter and the year-ago quarter was primarily due to a decrease in historical loss rate and a decrease in charge-off amount. During the first quarter of 2017, the Company recognized a net recovery of $193,000, compared with a net charge-off of $293,000 in the previous quarter, and a net recovery of $107,000 in the year-ago quarter.

The allowance for loan losses to gross loan ratio was 1.07% at March 31, 2017, compared with 1.10% at December 31, 2016, and 1.13% at March 31, 2016.

Non-interest Income

Non-interest income in the first quarter of 2017 decreased $157,000, or 4.3%, to $3.5 million, compared with $3.6 million in the previous quarter, and increased $520,000, or 17.5%, compared with $3.0 million in the year-ago quarter. The decrease compared to the previous quarter was primarily due to a decrease of $135,000 in gain on sale of SBA and residential home mortgage loans to $2.3 million, compared with $2.5 million, and the increase compared to the year-ago quarter was due to an increase of $521,000 in gain on sale of SBA and mortgage loans.

The Bank originated $61.1 million in SBA loans and sold $36.4 million in the first quarter of 2017, compared with $28.3 million in origination and $38.9 million sold during the previous quarter, and $39.1 million in origination and $26.1 million sold during the year-ago quarter. The Bank originated $15.4 million in residential mortgage loans and sold $2.7 million in the first quarter of 2017, compared with $18.4 million in origination and $4.4 million sold in the previous quarter, and $18.1 million in origination and $4.0 million sold in the year-ago quarter.

Non-interest Expenses

Non-interest expenses in the first quarter of 2017 increased $448,000, or 5.6%, to $8.5 million, compared with $8.1 million in the previous quarter, and increased $537,000, or 6.7%, compared with $8.0 million in the year-ago quarter. The increase compared with the previous quarter was primarily due to an increase of $620,000 in salary and benefits expenses resulting from the increase in payroll related taxes and an increase in bonus accrual in the first quarter of 2017. The increase compared with the year-ago quarter was primarily due to an increase of $756,000 in salary and employee benefits expenses resulting from an increase in headcount, partially offset by a decrease of $236,000 in legal and professional expenses.

The Company’s efficiency ratio was 53.38% in the first quarter of 2017, compared with 49.75% in the previous quarter, and 58.41% in the year-ago quarter.

Income Tax Provision

The Company’s effective income tax rate was 42.41% in the first quarter of 2017, compared with 42.75% in the previous quarter, and 42.48% in the year-ago quarter.

BALANCE SHEET SUMMARY

Total Assets

Total assets at March 31, 2017, increased $59.8 million, or 4.9%, to $1,286.4 million, compared with $1,226.6 million at December 31, 2016, and increased $194.1 million, or 17.8%, compared with $1,092.3 million at March 31, 2016.

Loans

Total loans receivable, including loan held-for-sale, net of deferred costs and fees, increased $33.8 million, or 3.3%, to $1,067.0 million at March 31, 2017, compared with $1,033.3 million at December 31, 2016, and increased $160.4 million, or 17.7%, compared with $906.7 million at March 31, 2016.

During the first quarter of 2017, the Company originated $151.1 million in loans, sold $36.4 million in SBA and $2.7 million in residential mortgage loans, recognized $77.8 million in loan principal paydown/payoff, and charged-off $18,000. During the fourth quarter of 2016, the Company originated $118.7 million in loans, sold $38.9 million in SBA and $4.4 million in residential mortgage loans, recognized $52.3 million in loan principal paydown/payoff, and charged-off $386,000.

The following table illustrates details of gross loan balance by type:

Loan type (dollars in thousands)
                       
          Mar. 31,

2017

Dec. 31,

2016

Percentage

Change

Mar. 31,

2016

Percentage

Change

Real estate loans $ 615,887 $ 612,301 0.6 % $ 522,775 17.8 %
Residential mortgage loans 142,719 140,688 1.4 % 116,214 22.8 %
SBA loans 139,236 130,577 6.6 % 117,953 18.0 %
Commercial industrial loans 122,325 113,642 7.6 % 91,779 33.3 %
Consumer loans 33,617 33,722 -0.3 % 29,791 12.8 %
Deferred loan fees/costs   410   181 126.5 %   203 102.0 %
Gross loans receivables 1,054,194 1,031,111 2.2 % 878,715 20.0 %
Loans held for sale   12,847   2,150 497.5 %   27,974 -54.1 %
Total loans $ 1,067,041 $ 1,033,261 3.3 % $ 906,689 17.7 %
 

Investment Securities

Total investment securities at March 31, 2017, increased $9.0 million, or 8.9%, to $109.4 million, compared with $100.4 million at December 31, 2016, and increased $9.1 million, or 9.1%, compared with $100.3 million at March 31, 2016. The increase in the investment securities portfolio compared with the previous quarter was primarily due to the purchase of $13.1 million in investment securities, partially offset by $4.0 million in principal pay-downs, $180,000 in net premium amortization, and $119,000 increase in fair market value.

Deposits

Total deposit balance increased $54.5 million, or 5.0%, to $1,146.3 million at March 31, 2017, compared with $1,091.8 million at December 31, 2016, and increased $163.9 million, or 16.7%, compared with $982.4 million at March 31, 2016. The demand deposit to total deposit ratio was 26.0% at March 31, 2017, compared with 25.1% at December 31, 2016, and 29.6% at March 31, 2016.

The table below consists of deposit mix by period:

Deposit mix (Dollars in thousands)
                             
          March 31, 2017 December 31, 2016 March 31, 2016
Amount Percentage Amount Percentage Amount Percentage
Demand deposits $ 298,563 26.0 % $ 274,003 25.1 % $ 290,956 29.6 %
Now accounts 9,655 0.8 % 7,837 0.7 % 8,951 0.9 %
Money market accounts 313,212 27.3 % 303,233 27.8 % 213,177 21.7 %
Savings 8,382 0.7 % 8,858 0.8 % 8,434 0.9 %
Time deposits under $250K 257,660 22.5 % 252,491 23.1 % 229,573 23.4 %
Time deposits of $250K and over 132,724 11.6 % 127,624 11.7 % 108,434 11.0 %
State & Broker CDs   126,066 11.0 %   117,766 10.8 %   122,856 12.5 %
Total deposits $ 1,146,262 100.0 % $ 1,091,812 100.0 % $ 982,381 100.0 %
 

Stockholders’ Equity

The Stockholders’ equity increased $4.3 million, or 3.4%, to $131.3 million at March 31, 2017, compared with $127.0 million at December 31, 2016, and increased $29.4 million, or 28.8%, compared with $101.9 million at March 31, 2016.

CREDIT QUALITY

Non-performing Assets

Non-performing loans (“NPL”) balance at March 31, 2017, decreased $148,000 to $1.7 million, compared with $1.8 million at December 31, 2016, and decreased $468,000, compared with $2.2 million at March 31, 2016. Non-performing loans to gross loans ratios were 0.16% at March 31, 2017, compared with 0.18% at December 31, 2016, and 0.25% at March 31, 2016.

OREO balance decreased $1,000 to $505,000 at March 31, 2017, compared with $506,000 at December 31, 2016, and at March 31, 2016.

The following tables summarize composition of non-performing loans and non-performing assets:

Non-performing loans composition (Dollars in thousands)
                             
Mar. 31,

2017

Dec. 31,

2016

Percentage

Change

Mar. 31,

2016

Percentage

Change

Real estate loans $ 51 $ 57 -10.5 % $ 74 -31.1 %
Commercial and industrial loans 244 284 -14.1 % 636 -61.6 %
SBA loans 1,357 1,468 -7.6 % 1,447 -6.2 %
Consumer loans & others   48   39 23.1 %   11 336.4 %
$ 1,700 $ 1,848 -8.0 % $ 2,168 -21.6 %
 
Non-performing assets (Dollars in thousands)
                             
Mar. 31,

2017

Dec. 31,

2016

%

Change

Mar. 31,

2016

%

Change

Non-performing loans (NPL) $ 1,700 $ 1,848 -8.0 % $ 2,168 -21.6 %
Non-performing TDR (included in NPL) 597 663 -10.0 % 1,414 -57.8 %
Gross loans including deferred loan fees/cost 1,054,194 1,031,112 2.2 % 878,715 20.0 %
NPL/Gross loans 0.16 % 0.18 % 0.25 %
OREO $ 505 $ 506 -0.2 % $ 506 N/A
Performing TDR 1,790 2,196 -18.5 % 2,449 -26.9 %
NPA (NPL+OREO) 2,205 2,353 -6.3 % 2,674 -17.5 %
Total assets $ 1,286,432 $ 1,226,642 4.9 % $ 1,092,320 17.8 %
 
NPA (NPL+OREO)/Gross loans 0.21 % 0.23 % 0.30 %
NPA (NPL+OREO)/Total assets 0.17 % 0.19 % 0.24 %
 

Classified Assets

Classified loans decreased $213,000 to $8.9 million, compared with $9.1 million at December 31, 2016, and increased $2.8 million, compared with $6.1 million at March 31, 2016. Classified assets to total assets ratio was 0.73% at March 31, 2017, compared with 0.78% at December 31, 2016, and 0.60% at March 31, 2016.

The following tables provide certain details on classified loans and classified assets:

Classified loans (Dollars in thousands)
                       
     

Mar. 31,

2017

Dec. 31,

2016

Percentage

Change

Mar. 31,

2016

Percentage

Change

Substandard (Classified) $ 8,852 $ 9,065 -2.3 % $ 6,098 45.2 %
Special mention   5,742   5,842 -1.7 %   6,122 -6.2 %
Total criticized 14,594 14,907 -2.1 % 12,220 19.4 %
 
Watch   8,627   8,692 -0.7 %   17,383 -50.4 %
Total problem loans $ 23,221 $ 23,599 -1.6 % $ 29,603 -21.6 %
 
Classified assets (Dollars in thousands)
                             
Mar. 31,

2017

Dec. 31,

2016

%

Change

Mar. 31,

2016

%

Change

Classified assets $ 9,357 $ 9,571 -2.2 % $ 6,604 41.7 %
Classified loans/Gross loans 0.84 % 0.88 % 0.69 %
Tier 1 + ALLL $ 142,113 $ 138,136 2.9 % $ 110,927 28.1 %
Classified assets/Tier 1 + ALLL 6.58 % 6.93 % 5.95 %
Classified assets/Total assets 0.73 % 0.78 % 0.60 %
 

Capital

The following table illustrates Pacific City Bank capital ratios:

Capital Ratios
                 
March 31, 2017 December 31, 2016 March 31, 2016
Tier 1 Leverage Capital Ratio (Bank) 10.39 % 10.38 % 9.48 %
Common Equity Tier 1 Capital Ratio (Bank) 12.49 % 12.35 % 11.63 %
Tier 1 Risk-Based Capital Ratio (Bank) 12.49 % 12.35 % 11.63 %
Total Risk-Based Capital Ratio (Bank) 13.59 % 13.48 % 12.80 %
 

About Pacific City Financial Corporation

Headquartered in Los Angeles, California, Pacific City Financial Corporation is the parent company of Pacific City Bank, a full-service commercial bank with twelve branch offices and ten loan production offices in Lynwood and Bellevue, Washington; Denver, Colorado; Chicago, Illinois; Annandale, Virginia; Atlanta, Georgia; Orange County, California; Bayside, New York; Los Angeles, California; and Carrollton, Texas. Pacific City Bank specializes in commercial banking for small- to medium-size businesses by providing commercial real estate loans, small business loans and lines of credit, trade finance loans, auto loans, residential mortgage loans, and SBA loans. Pacific City Bank serves a diverse customer base through its branches in the Greater Los Angeles Area and Fort Lee, New Jersey, and its Loan Production Offices in seven States.

Safe Harbor Statement

This press release may contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from the projected, including descriptions of plans or objectives of its management for future operations, products or services, and forecasts of its revenues, earnings or other measures of economic performance. 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.”

                             
Pacific City Financial Corporation
Consolidated Balance Sheets (Unaudited)
(Dollars In thousands)
   
March 31,

2017

December 31,

2016

%

change

March 31,

2016

%

change

Assets
Cash and due from banks $ 16,085 $ 18,488 -13.0 % $ 13,173 22.1 %

Interest bearing deposits in financial institutions

  72,509     51,463   40.9 %   51,651   40.4 %
Total cash and cash equivalents   88,594     69,951   26.7 %   64,824   36.7 %
 
Investment securities, available-for-sale 90,370 82,838 9.1 % 83,171 8.7 %
Investment securities, held-to-maturity   19,024     17,584   8.2 %   17,080   11.4 %
Total investment securities   109,394     100,422   8.9 %   100,251   9.1 %
 
Loans held for sale 12,847 2,150 497.5 % 27,974 -54.1 %
 
Loans receivable, net of deferred loan costs (fees) 1,054,194 1,031,112 2.2 % 878,715 20.0 %
Less: allowance for loan losses   (11,315 )   (11,320 ) 0.0 %   (9,943 ) 13.8 %
Net loans receivables   1,042,879     1,019,792   2.3 %   868,772   20.0 %
 
Premises and equipment, net 4,370 4,563 -4.2 % 3,608 21.1 %
Other real estate owned, net 505 506 -0.2 % 506 NA
Federal Home Loan Bank and other bank stock 5,686 5,686 0.0 % 4,922 15.5 %
Deferred tax assets, net 5,536 5,254 5.4 % 5,660 -2.2 %
Servicing assets 8,637 8,302 4.0 % 7,609 13.5 %
Accrued interest receivables 3,264 3,150 3.6 % 2,685 21.6 %
Others   4,720     6,866   -31.3 %   5,509   -14.3 %
Total assets $ 1,286,432   $ 1,226,642   4.9 % $ 1,092,320  

 

17.8 %
 
Liabilities
Deposits

Non-interest bearing demand

$ 298,563 $ 274,003 9.0 % $ 290,956 2.6 %
Savings, NOW, and money market accounts 331,248 319,929 3.5 % 230,562 43.7 %
Time deposits under $250,000 283,726 291,557 -2.7 % 275,229 3.1 %
Time deposits of $250,000 and over   232,725     206,323   12.8 %   185,634   25.4 %
Total deposits   1,146,262     1,091,812   5.0 %   982,381   16.7 %
Accrued interest payable 1,701 1,559 9.1 % 1,471 15.6 %
Other liabilities   7,162     6,264   14.3 %   6,548   9.4 %
Total liabilities $ 1,155,125   $ 1,099,635   5.0 % $ 990,400   16.6 %
 
Capital
Common stock 125,270 125,093 0.1 % 99,465 25.9 %
Additional paid in capital 2,502 2,444 2.4 % 2,179 14.8 %
Retained earnings 3,996 - NA - NA
Other comprehensive (loss) income   (461 )   (530 ) -13.0 %   276   -267.0 %
Total capital   131,307     127,007   3.4 %   101,920   28.8 %
 
Total liabilities & capital $ 1,286,432   $ 1,226,642   4.9 % $ 1,092,320   17.8 %
 
 
                           
Pacific City Financial Corporation
Consolidated Income Statements (Unaudited)
(Dollars in thousands, except share and per share data)
   
Three Months Ended
Mar. 31,

2017

Dec. 31,

2016

Percentage

Change

Mar. 31,

2016

Percentage

Change

Interest income
Interest and fees on loans $ 13,877 $ 13,793 0.6 % $ 11,639 19.2 %
Interest on investments 508 428 18.7 % 506 0.4 %
Interest on others   232     368 -37.0 %   120 93.3 %
Total interest income   14,617     14,589 0.2 %   12,265 19.2 %
 
Interest expense
Interest on deposits 2,147 2,010 6.8 % 1,565 37.2 %
Interest on borrowings   -     - NA     2 -100.0 %
Total interest expenses   2,147     2,010 6.8 %   1,567 37.0 %
 
Net interest income 12,470 12,579 -0.9 % 10,698 16.6 %
 
(Reversal) Provision for loan losses (PLL) (198 ) 621 -131.9 % 491 -140.3 %
 
Net interest income after PLL   12,668     11,958 5.9 %   10,207 24.1 %
 
Non-interest income
Gain on sale of SBA loans 2,315 2,427 -4.6 % 1,779 30.1 %
Gain on sale of residential mortgage loans 29 52 -44.2 % 44 -34.1 %
Service charges on deposits 350 369 -5.1 % 367 -4.6 %
Loan servicing fees 566 505 12.1 % 544 4.0 %
Other   228     292 -21.9 %   234 -2.6 %
Total non-interest income   3,488     3,645 -4.3 %   2,968 17.5 %
 
Non-interest expense
Employee salaries & benefits 5,521 4,901 12.7 % 4,764 15.9 %
Occupancies and fixed assets 1,096 1,150 -4.7 % 1,047 4.7 %
Legal & professional 584 651 -10.3 % 820 -28.8 %
FDIC assessment 98 50 96.0 % 139 -29.5 %
Marketing expenses 267 269 -0.7 % 346 -22.8 %
Data and item processing expenses 249 241 3.3 % 229 8.7 %
Loan related expenses 124 70 77.1 % 46 169.6 %
Others   580     739 -21.5 %   591 -1.9 %
Total non-interest expenses   8,519     8,071 5.6 %   7,982 6.7 %
 
Net income before taxes 7,637 7,532 1.4 % 5,193 47.1 %
 
Income tax provision   3,239     3,220 0.6 %   2,206 46.8 %
 
Net income $ 4,398   $ 4,312 2.0 % $ 2,987 47.2 %
 
 
Earnings per common shares
 
Basic $ 0.33 $ 0.32 $ 0.25
Diluted $ 0.33 $ 0.32 $ 0.25
 
Average shares outstanding
 
Basic 13,395,363 13,386,503 11,879,799
Diluted 13,503,502 13,461,260 11,968,356
 
 
                                     
Pacific City Financial Corporation
Average Balance, Average Yield, and Average Rate
(Dollars in thousands)
 
Three Months Ended
March 31, 2017 December 31, 2016 March 31, 2016
Average

Balance

Interest

Income/

Expense

Average

Yield/

Rate

Average

Balance

Interest

Income/

Expense

Average

Yield/

Rate

Average

Balance

Interest

Income/

Expense

Average

Yield/

Rate

Assets
Interest-earning assets:
Gross loans, net of deferred loan fees $ 1,055,843 $ 13,877 5.33 % $ 1,040,783 $ 13,793 5.27 % $ 899,753 $ 11,639 5.20 %
US government agencies 22,701 130 2.28 % 20,298 112 2.21 % 23,579 131 2.22 %
Mortgage backed securities 49,129 220 1.79 % 46,629 187 1.60 % 47,413 246 2.08 %
Collateralized mortgage obligation 23,657 110 1.87 % 20,775 89 1.71 % 22,922 93 1.62 %
Muni bonds 8,794 48 2.19 % 8,037 41 2.04 % 7,506 36 1.92 %
Interest bearing deposit & others   53,007     106 0.80 %   35,561     49 0.55 %   16,113     19 0.47 %
Total interest-earning assets $ 1,213,131   $ 14,491 4.84 % $ 1,172,083   $ 14,271 4.84 % $ 1,017,286   $ 12,164 4.81 %

Non-interest-earning assets:

Cash and cash equivalents $ 16,945 $ 16,479 $ 14,911
Allowances for loan losses (11,479 ) (11,212 ) (9,628 )
Other assets   33,141     33,864     27,259  
$ 38,607   $ 39,131   $ 32,542  
 
Total assets $ 1,251,738   $ 1,211,214   $ 1,049,828  
 
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Deposits:
Money market & NOW accounts $ 322,261 $ 776 0.98 % $ 296,593 $ 712 0.95 % $ 228,609 $ 491 0.86 %
Savings 8,713 6 0.28 % 8,880 6 0.27 % 8,260 6 0.29 %
Time deposits   508,411     1,365 1.09 %   492,909     1,292 1.04 %   439,201     1,068 0.98 %
Total interest-bearing deposits $ 839,385   $ 2,147 1.04 % $ 798,382   $ 2,010 1.00 % $ 676,070   $ 1,565 0.93 %
Borrowings:
Other borrowings   -     - NA     -     - NA     2,039     2 0.45 %
$ -   $ - NA   $ -   $ - NA   $ 2,039   $ 2 0.45 %
 
Total interest-bearing liabilities $ 839,385   $ 2,147 1.04 % $ 798,382   $ 2,010 1.00 % $ 678,109     1,567 0.93 %

Non-interest-bearing liabilities:

Demand deposits $ 275,150 $ 278,006 $ 265,507
Other liabilities   7,690     8,641     5,781  
$ 282,840   $ 286,647   $ 271,288  
 
Total liabilities $ 1,122,225   $ 1,085,029   $ 949,397  
 
Stockholders' equity $ 129,513   $ 126,185   $ 100,431  
 
Total liabilities and stockholders' equity $ 1,251,738   $ 1,211,214   $ 1,049,828  
 
Net interest income $ 12,344 $ 12,261 $ 10,597
 
Cost of funds 0.78 % 0.74 % 0.67 %
 
Net interest spread 3.81 % 3.84 % 3.88 %
 
Net interest margin 4.13 % 4.16 % 4.19 %
 

Contacts

Pacific City Financial Corporation
Timothy Chang
Executive Vice President & Chief Financial Officer
213-210-2000

Contacts

Pacific City Financial Corporation
Timothy Chang
Executive Vice President & Chief Financial Officer
213-210-2000