PBB Bancorp Total Assets Increased 21% as of March 31, 2018

LOS ANGELES--()--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.

         
PBB BANCORP
Consolidated Statement of Condition
Prior Year Comparison
(unaudited)
   
 
For the Period Ended March 31,
2018     2017
Assets
 
Cash and due from banks $ 59,519,766 $ 76,552,828
Federal funds sold - -
Investment securities 10,332,587 10,351,033
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
Other assets   7,786,674         5,573,730  
Total assets $ 639,803,232       $ 529,410,864  
 
Liabilities
 
Deposits:
Demand deposits $ 114,993,625 $ 111,553,033
Interest bearing demand deposits 33,022,377 37,048,513
Money market accounts 114,893,947 125,430,089
Savings accounts 27,378,472 25,415,194
Certificates of deposit   182,555,857         118,340,310  
Total deposits 472,844,279 417,787,138
 
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
Other liabilities   4,036,859         4,407,199  
Total liabilities   587,246,500         482,340,927  
 
Stockholders' equity
 
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 )
Retained earnings 8,729,887 3,961,011
Cash dividend - -
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  
 
         
PBB BANCORP
Consolidated Statement of Operations
Prior Year to Date Comparison
(unaudited)
     
For the 3 Months Ended
3/31/18     3/31/17
Interest income:
Loans and leases, including fees $ 6,790,484 $ 5,533,226
Investment securities 55,001 51,386
Federal funds sold - -
Interest Income-FRB 99,926 80,874
Interest Income-Other   61,690       67,815
Total interest income 7,007,101 5,733,301
 
Interest expense:
Interest bearing demand deposits 10,278 11,509
Money market accounts 227,589 195,397
Savings accounts 9,432 7,285
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
Other borrowings   24,868       25,000
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
 
Noninterest income:
Fees and service charges on dep. accts. 75,683 27,980
Analysis charges 25,913 3,915
Gain (loss) on sale of SBA loans 217,457 434,546
Other income   222,659       153,656
Total noninterest income 541,711 620,097
 
Noninterest expense:
Salaries and benefits 1,872,086 1,853,120
Occupancy expense 250,879 266,588
Furniture, fixtures and equipment 152,439 130,824
Other expenses   1,250,265       1,036,701
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
 

Contacts

PBB Bancorp
John R. Polen
President and Chief Executive Officer
213-689-4800
john.polen@pbbla.com

Contacts

PBB Bancorp
John R. Polen
President and Chief Executive Officer
213-689-4800
john.polen@pbbla.com