LOS ANGELES--(BUSINESS WIRE)--PBB Bancorp (the “Company”) (OTCQX: PBCA), the parent company of Premier Business Bank, announced a 21% increase in assets compared to the prior year, another record high in the Company’s history. The Company’s Consolidated Balance Sheet as of March 31, 2018 reflected exceptional results: total assets of $640 million; net loans of $553 million; total deposits of $473 million; and total equity of $53 million.
Net income for the three month period ended March 31, 2018 was $1,997,000 or $0.40 per share compared to $1,348,000, or $0.27 per share for the same period in the prior year. The increase in net income of $649,000 was attributed to the growth of the loan portfolio and the reduction in the income tax rates related to the tax reform bill passed in late 2017. Net interest income for the three months ended March 31, 2018 was $5.8 million, an increase of $771,000 or 15% compared to the same period last year. This was primarily due to the loan portfolio growth of $125 million or 29% compared to the same period ended last year. Non-interest expenses for the three months ended March 31, 2018 increased by $238,000 as compared to the same three month period last year. Included in the non-interest expenses for the three months ended March 31, 2018 were $132,000 in legal expenses related to the pending merger of the Company with and into First Foundation Inc., which was announced on December 19, 2017. Total deposits as of March 31, 2018 were $473 million reflecting an increase of $55.1 million or 13% as compared to the same period ended last year.
The first quarter growth in 2018 underscores our commitment to our shareholders and clients. “We are proud of our results and pleased to be able to support our local businesses and residents in the communities where we live, work, and play,” stated President and Chief Executive Officer, John R. Polen.
HIGHLIGHTS for the 1st Quarter ended March 31, 2018
- Net Income increased for the three month period ended March 31, 2018 to $2.0 million increasing approximately $649,000 or 48% compared to the same period last year.
- Net Interest Income before provisions increased $771,000, or 15% for the three months ended March 31, 2018 as compared to the same period last year.
- Total Assets were at another record high of $640 million reflecting an increase of $110 million, or 21% as compared to the prior year.
- Net Loans reached a record high of $553 million increasing $125 million, or 29% as compared to the prior year.
- Total Deposits reached a record high of $473 million increasing $55 million, or 13% when compared to the prior year.
ABOUT PBB BANCORP AND PREMIER BUSINESS BANK
PBB Bancorp is the parent company of Premier Business Bank and its full service community bank divisions, Premier Bank of Palos Verdes and First Mountain Bank. Premier Business Bank is headquartered in downtown Los Angeles, California, and has three additional locations in Los Angeles County; two community-based full service retail branches in Rolling Hills Estates and Palos Verdes Estates, and an SBA loan center in Torrance. Our First Mountain Bank division has three full service retail branches located in San Bernardino County, California. Branches are located in Big Bear Lake, Running Springs and Lucerne Valley.
Premier Business Bank, Premier Bank of Palos Verdes, and First Mountain Bank have a client-centric service philosophy that focuses on client relationships with individuals, small to medium size businesses, real estate investors, professional management firms, and entrepreneurs. PBB Bancorp currently trades on the OTCQX under the symbol “PBCA.” For more information, please visit us at: ibankpremier.com or firstmountainbank.com
FORWARD LOOKING INFORMATION:
This financial information in this release is based on unaudited financial results. Certain statements contain "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) such as statements about certain plans, expectations and projections which are subject to numerous risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, including the real estate market in California, the adequacy of the Company’s allowance for loan losses, and other factors beyond the Company’s control. Such risks and uncertainties could cause results for subsequent interim periods or for entire years to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management’s view only as the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.
|Consolidated Statement of Condition|
|Prior Year Comparison|
|For the Period Ended March 31,|
|Cash and due from banks||$||59,519,766||$||76,552,828|
|Federal funds sold||-||-|
|Investment in subsidiary||-||-|
|Loans and leases held for sale||-||105,471|
|Loans and leases||556,029,439||429,548,617|
|Non accrual loans||-||1,079,814|
|Deferred loan costs / (fees)||(69,101||)||66,081|
|Allowance for loan losses||(3,011,679||)||(2,515,052||)|
|Net loans and leases||552,948,659||428,179,461|
|Fixed assets, net||3,752,951||3,614,735|
|Accrued interest receivable||1,369,227||1,046,690|
|Bank owned life insurance||4,093,369||3,986,916|
|Interest bearing demand deposits||33,022,377||37,048,513|
|Money market accounts||114,893,947||125,430,089|
|Certificates of deposit||182,555,857||118,340,310|
|Federal funds purchased||-||-|
|Overnight borrowings - FHLB||52,000,000||8,000,000|
|FHLB term borrowings||58,000,000||52,000,000|
|Accrued interest payable||365,363||146,589|
|Common stock; issued and outstanding||38,364,550||38,364,550|
|4,967,458 shares at 03/31/18 and 4,967,458 shares at 03/31/17|
|Add'l paid-in-capital - stock based comp.||4,436,701||4,298,370|
|Retained earnings - preopening expenses||(863,858||)||(863,858||)|
|Current year net income (loss)||1,996,570||1,347,976|
|Unrealized gain (loss) on securities AFS||(107,117||)||(38,112||)|
|Total stockholders' equity||52,556,732||47,069,938|
|Total liabilities and stockholders' equity||$||639,803,232||$||529,410,864|
|Consolidated Statement of Operations|
|Prior Year to Date Comparison|
|For the 3 Months Ended|
|Loans and leases, including fees||$||6,790,484||$||5,533,226|
|Federal funds sold||-||-|
|Total interest income||7,007,101||5,733,301|
|Interest bearing demand deposits||10,278||11,509|
|Money market accounts||227,589||195,397|
|Retail certificates of deposit||272,835||112,086|
|Qwickrate and brokered certificates of deposit||332,666||157,104|
|FHLB overnight borrowings and federal funds purchased||40,220||175|
|FHLB term borrowings||259,278||166,143|
|Total interest expense||1,177,165||674,699|
|Net int. income before prov. for loan losses||5,829,935||5,058,602|
|Provision for loan losses||-||85,000|
|Net int. income after prov. for loan losses||5,829,935||4,973,602|
|Fees and service charges on dep. accts.||75,683||27,980|
|Gain (loss) on sale of SBA loans||217,457||434,546|
|Total noninterest income||541,711||620,097|
|Salaries and benefits||1,872,086||1,853,120|
|Furniture, fixtures and equipment||152,439||130,824|
|Total noninterest expense||3,525,669||3,287,233|
|Income before tax provision||2,845,978||2,306,466|
|Provision for income taxes||849,408||958,490|
|Net income (loss)||$||1,996,570||$||1,347,976|