Bank of Santa Clarita’s Earnings Growth Continues

SANTA CLARITA, Calif.--()--Bank of Santa Clarita (BSCA) announced earnings for the quarter ended March 31, 2020.

Bank of Santa Clarita reported net income of $685,000 for the quarter ended March 31, 2020, compared with $658,000 for the fourth quarter ended December 31, 2019 and $758,000 for the quarter ended March 31, 2019.

In reviewing operating results for the first quarter of 2020, the Bank reported $2.2 million of interest income before provision for credit losses consistent with the prior quarter and $2.3 million for the same period last year. The Bank’s provision for credit losses was $120,000 for the first quarter compared with $55,000 for the prior quarter and $110,000 for the same period last year. In determining the appropriate level of reserves for loan losses, the Bank considered the recent events as a result of the coronavirus pandemic. Total loans, net of deferred fees and discounts, of $237.9 million at March 31, 2020 represented an increase of $2.6 million, or 1.10%, from December 31, 2019.

Frank Di Tomaso, Chairman and Chief Executive Officer commented: “While it is unknown how this pandemic will continue to unfold, and its direct impact on our customers, Bank of Santa Clarita remains focused on our commitment to our customers, our associates, and our shareholders. We developed a community outreach task force and the Bank was on the forefront offering its customers loans under Sec. 1102 of the CARES Act, the 'Paycheck Protection Plan' and continues to serve both existing and new customers. Our strong capital, liquidity, and credit quality will allow us to continue to support the communities we serve and navigate through this pandemic. I am proud of our associates and confident in our ability to succeed despite these challenges.”

At March 31, 2020, shareholders’ equity totaled $37.8 million and the Bank’s total risk-based capital ratio was 15.87%, significantly exceeding the “well capitalized” level prescribed in the applicable capital regulations. The Bank also continues to maintain substantial liquidity positions, retaining significant balances of liquidity on its balance sheet as well as readily available collateralized borrowings and other potential sources of liquidity.

Bank of Santa Clarita, founded in 2004, is the only full-service commercial bank headquartered in the Santa Clarita Valley, and is focused on meeting the banking needs of the community and its businesses and non-profits. We promote face-to-face interaction with our clients, which in turn leads to deeper relationships overall. The Bank provides local, experienced decision-making and the personalized service that growing businesses and other organizations need on a daily basis. Bank clients have direct access to executive management and experienced professional staff members to address their credit requirements, from commercial lines of credit to SBA loans to commercial real estate and other commercial loans, and also technology-based banking services that include online bill-paying, remote capture depositing, check imaging and initiating online wire transfers, among other cash management facilities.

We are proud of the fact that Bank of Santa Clarita has served the Santa Clarita Valley’s residents, including individuals, small businesses and non-profit organizations, for 15 years, and we truly appreciate the relationships we’ve made with many of our neighbors, and invite any of those in the community who do not yet know us well to visit us, and together we can continue to build an even more vibrant and healthy community.

Bank of Santa Clarita, Corporate Headquarters
23780 Magic Mountain Parkway
Santa Clarita, California 91355
(661) 362-6000
www.bankofsantaclarita.com

FORWARD LOOKING STATEMENTS

Certain matters discussed in this release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to the Bank’s current expectations regarding deposit and loan growth, operating results and the strength of the local economy. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results, performance or achievements to differ materially from those expressed, suggested or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to: the impact of changes in interest rates, a decline in economic conditions and increased competition among financial service providers as these factors may impact the Bank’s operating results, its ability to attract deposit and loan customers, the quality of the Bank’s earning assets and government regulation. The Bank does not undertake, and specifically disclaims, any obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements.

 
BALANCE SHEETS
Unaudited
 

March 31,

December 31,

March 31,

2020

2019

2019

(In thousands)
ASSETS
Cash and Due From Banks

$

3,917

$

4,903

$

8,325

Interest Bearing Deposits at Other Financial Institutions

37,020

33,659

35,673

Federal Funds Sold

109

109

104

Investment Securities

7,019

8,985

13,678

Loans, Net

235,398

232,935

240,150

Other Assets

22,806

23,792

22,959

Total Assets

$

306,269

$

304,383

$

320,889

 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
Deposits
Interest-Bearing
Money Market, Savings and Demand

$

74,009

$

83,563

$

73,600

Time

65,804

63,875

58,510

Total Interest-Bearing

139,813

147,438

132,110

Noninterest-Bearing

80,870

84,639

89,578

Total

220,683

232,077

221,688

Borrowings

47,000

34,000

63,000

Other Liabilities

751

1,391

2,259

Total Liabilities

268,434

267,468

286,947

Stockholders' Equity

37,835

36,915

33,942

Total Liabilities & Stockholders' Equity

$

306,269

$

304,383

$

320,889

 
 
 
 
STATEMENTS OF INCOME
Unaudited
 

For the Three Months Ended March 31,

2020

2019

Interest Income (In thousands)
Loans

$

2,622

$

2,671

Interest Bearing Deposits at Other Financial Institutions

156

255

Investment Securities

-

94

Federal Funds Sold

-

1

Total Interest Income

2,778

3,021

Interest Expense
Interest Bearing Demand Deposits

16

28

Money Market and Savings Deposits

138

102

Time Deposits

241

263

Borrowings

175

292

Total Interest Expense

570

685

 
Net Interest Income

2,208

2,336

Provision for Loan Losses

120

110

Net Interest Income after
Provision for Loan Losses

2,088

2,226

Noninterest Income

188

166

Noninterest Expense

1,308

1,315

 
Net Earnings Before Income Taxes

968

1,077

Income Tax Expense

283

319

Net Earnings

$

685

$

758

 

 

Contacts

Frank Di Tomaso
Chairman of the Board of Directors and
Chief Executive Officer
(661) 362-6000

Contacts

Frank Di Tomaso
Chairman of the Board of Directors and
Chief Executive Officer
(661) 362-6000