American Business Bank Reports First Quarter 2020 Net Income

Loans and Deposits increase at double-digit annualized growth rates

First Quarter 2020 Highlights

  • Net organic loan growth of $59 million or 16% annualized
  • Deposit growth of $124 million or 23% annualized
  • Non-interest bearing demand deposits were 51% of total deposits
  • Cost of deposits at 0.21%
  • Nonperforming assets to total assets at 0.18%
  • Continued status as well-capitalized, the highest regulatory category

COVID-19 Response

  • Participation in the SBA Paycheck Protection Program (PPP) with approximately $675 million of PPP loans funded in Phase I covering a significant portion of existing business customers
  • Robust liquidity in cash and high quality securities as well as more than $600 million in Federal Home Loan Bank and other borrowing availability

LOS ANGELES--()--AMERICAN BUSINESS BANK (OTCQX: AMBZ) today reported net income of $4.8 million or $0.60 per fully diluted share for the first quarter of 2020 as compared to $5.4 million or $0.67 per fully diluted share for the first quarter of 2019, a decrease of 10%. Net interest income increased $1.2 million or 6% due to strong loan growth funded by core deposit growth. However, provision for loan losses increased $1.3 million primarily as a result of loan growth during the quarter, as well as higher qualitative factors in the allowance methodology in response to the macro-economic changes.

“The Bank’s strong growth in 2020 was a continuation of the record setting 2019 performance. Then COVID-19 and a monumental economic disruption affected our customers and our staff. We very early on enabled over 95% of our staff to work remotely even before schools shut down to ensure they were safe and healthy to provide our high level of service through technology. This allowed us to act nimbly to participate in the SBA Paycheck Protection Program (PPP) as the window opened to help our customers who are the employers in our communities,” said Leon Blankstein, AMBZ’s President, CEO and Director.

“As a Preferred SBA Lender, our SBA team with our talented bankers worked tirelessly to start accepting PPP applications, working round the clock to process in the early morning hours of Friday, April 3, 2020, when the SBA officially opened its portal for submission. Our expertise and experience in SBA lending has proven to be invaluable to our clients as we help them navigate this emergency funding. I’m extremely proud of our entire Bank’s efforts to meet the needs of those who rely on us to succeed. Our responsiveness with our fortress balance sheet will resonate with prospects as we navigate to the other side of this historic event,” continued Mr. Blankstein.

For the quarter ending March 31, 2020, net income was $4.8 million or $0.60 per fully diluted share, compared with net income of $6.0 million or $0.74 per fully diluted share for the fourth quarter of 2019. Net interest income for the first quarter was similar to the fourth quarter of 2019 as solid loan growth was offset by the effect of much lower interest rates, while the cost of deposits declined three basis points to 0.21%. The decrease in net income was further impacted by a $633,000 increase in provision for loan losses, a $1.0 million decrease in Bank/Corporate Owned Life Insurance income offset by a $786,000 decrease in salaries and employee benefits. The allowance for loan losses as a percentage of loans increased from 1.40% at December 31, 2019 to 1.42% at March 31, 2020.

Net Interest Margin

The Bank’s net interest margin for the first quarter of 2020 was 3.47% compared to 3.62% in the first quarter of 2019, representing a decrease of 0.15%. The decrease was primarily due to a total reduction of 225 basis points in prime as well as Treasury rates since August 2019. The Bank’s prime rate was adjusted from 5.50% in the first quarter of 2019 to 3.25% in the first quarter of 2020. However, the impact of the rate cuts is offset by average loans being a higher percentage of average earnings assets in the first quarter of 2020 than in the first quarter of 2019. The loan to deposit ratio increased to 68% for the first quarter of 2020 from 64% for the first quarter of 2019. As of March 31, 2020, approximately 47% of the Bank’s variable-rate loans are indexed to prime and 71% of these loans are at or above their floor.

The Bank’s net interest margin for the first quarter of 2020 was 3.47% compared to 3.43% in the fourth quarter of 2019, representing an increase of 0.04%. This was mainly driven by average loans being a higher percentage of average earnings assets in the first quarter of 2020 than in the fourth quarter of 2019.

Net Interest Income

Net interest income increased for the first quarter of 2020 compared to the first quarter of 2019 by $1.2 million, or 6%, due to a significant increase in average outstanding loans offset by lower yields on all interest earning assets for the periods compared. The yield on average loans decreased to 4.57% for the first quarter of 2020 compared to 4.89% for the first quarter of 2019. The Bank’s core funding continues to be a strength with the cost of deposits at 0.21% for the same periods compared.

Net interest income declined slightly for the first quarter of 2020 compared to the fourth quarter of 2019 by $163,000, or 3% annualized, even with a $76 million increase in average outstanding loans. The slight decline was the result of one less day in the first quarter of 2020 coupled with prime rate cuts of 150 basis points in March 2020. The yield on average loans decreased to 4.57% for the first quarter of 2020 compared to 4.67% for the fourth quarter of 2019. The Bank’s cost of deposits decreased 3 basis points over the prior quarter.

Non-Interest Income

Non-interest income in the first quarter of 2020 was $411,000, a decrease of $1.1 million, or 72% from the quarter a year ago and a decrease of $1.2 million, or 74% compared to the fourth quarter of 2019. This was mainly attributable to a decrease in Bank/Corporate Owned Life Insurance income of over $1 million, which is driven by the decrease in the value of the policies that are invested in mutual funds. The Bank sold one municipal bond with a realized gain of $47,000 in the first quarter of 2020. Additionally, Deposit and International fees increased due to growth in commercial business customers.

Non-Interest Expense

Non-interest expense decreased $975,000 for the quarter ended March 31, 2020 compared to the quarter a year ago. The decrease was predominantly due to a $1.2 million decrease in salaries and employee benefits expense. That decrease was attributable to a $925,000 deferred compensation plan (DCP) expense recorded in the first quarter of 2019 primarily related to the increase in the Bank’s stock price, compared to an $837,000 DCP benefit related to the other mutual fund measurement balances recorded in the first quarter of 2020. As of June 1, 2019, the Bank is no longer required to mark-to-market its DCP obligation related to the AMBZ stock fund. Additionally, occupancy and equipment expense decreased $101,000 in the first quarter of 2020 versus the first quarter of 2019 as the lease for the Bank’s former Los Angeles headquarters expired in June 2019. Professional Services fees increased $285,000 compared to the quarter a year ago primarily due to higher legal services expense. In other non-interest expense, the Bank received a Small Bank Assessment Credit of $117,000 from the FDIC in the first quarter of 2020 to offset regular deposit insurance assessments. The Bank did not receive such credit in the first quarter of 2019. The efficiency ratio was 59% for the first quarter of 2020.

Compared to the fourth quarter of 2019, non-interest expense decreased $739,000 due to a $786,000 decrease in salaries and employee benefits, primarily as a result of an $837,000 DCP benefit related to the other measurement funds recorded in the first quarter of 2020, compared to a $275,000 DCP expense recorded in the fourth quarter of 2019. The decrease is offset by a $389,000 increase in employee benefits and seasonally higher payroll tax expense. The efficiency ratio remained at 59% compared to the prior quarter.

Full time equivalent employees at March 31, 2020 were 195 compared to 189 a year ago, and the same as December 31, 2019. The Bank has 30 relationship managers in seven offices.

Balance Sheet

Total assets increased $136 million, or 6% from year-end December 31, 2019 to $2.54 billion. Total loans increased $59 million to $1.5 billion, or 4% from year-end primarily in commercial and industrial loans and non-owner occupied real estate loans. In the first quarter of 2020, the Bank grew loans by $59 million and deposits by $124 million. New relationships to the Bank contributed to the significant first quarter growth in deposits. At March 31, 2020, non-interest bearing deposits represented 51% of total deposits.

Outstanding unused loan commitments consist primarily of commercial lines of credit which have not been fully disbursed. As of March 31, 2020, the Company’s commercial and industrial line of credit utilization is 28%.

Asset Quality

At March 31, 2020 non-performing assets to total assets was 0.18%, with $4.2 million in non-performing loans, and no Other Real Estate Owned (OREO). Furthermore, at March 31, 2020, the Bank’s level of past due loans, criticized loan and classified loans remain low at 1.32%, 3.28% and 0.31% of total loans, respectively. There are two non-accrual loans at March 31, 2020: one commercial real estate loan that is fully secured by real estate with no specific allowance and one commercial loan with a specific allowance. At the end of the quarter, the allowance for loan losses stood at $21.9 million, or 1.42% of total loans. The Bank is required to adopt CECL, or Current Expected Credit Loss, on January 1, 2023. For the first three months of 2020, the Bank had one commercial loan charge off for $374,000. The Bank has had minimal requests for three-month payment deferrals at this time but they meet applicable requirements to continue accruing interest. At March 31, 2020, loans to customers in the hotel, restaurant, entertainment, and recreation industries represented 5% of the loan portfolio. Retail related loans, collateralized by commercial real estate, comprised 5% of the loan portfolio that was originally underwritten with a 55% average loan to value ratio.

Shareholder Meeting

Traditionally, the Bank’s shareholder meeting has been held by May following the calendar year end. Due to the California Governor’s Order to stay home, we have delayed the Bank’s meeting at this time to do our part to preserve public health and safety.

ABOUT AMERICAN BUSINESS BANK

American Business Bank, headquartered in downtown Los Angeles, offers a wide range of financial services to the business marketplace. Clients include wholesalers, manufacturers, service businesses, professionals and non-profits. American Business Bank has six Loan Production Offices in strategic locations including: North Orange County in Anaheim, Orange County in Irvine, South Bay in Torrance, San Fernando Valley in Woodland Hills, Riverside County in Corona and Inland Empire in Ontario.

FORWARD-LOOKING STATEMENTS

This communication contains certain forward-looking information about American Business Bank that is intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Reform Act of 1995. Such statements include future financial and operating results, expectations, intentions and other statements that are not historical facts. Such statements are based on information available at the time of this communication and are based on current beliefs and expectations of the Bank’s management and are subject to significant risks, uncertainties and contingencies, many of which are beyond our control. Actual results may differ materially from those set forth in the forward-looking statements due to a variety of factors, including various risk factors. We are under no obligation (and expressly disclaim any such obligation) to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

American Business Bank
Figures in $000, except share and per share amounts
 
BALANCE SHEETS (unaudited)
 

March

 

December

 

March

2020

 

2019

 

2019

Assets:
Cash and Due from Banks

$

36,539

 

$

31,673

 

$

54,418

 

Interest Earning Deposits in Other Financial Institutions

 

149,654

 

 

45,202

 

 

28,428

 

 
Investment Securities:
US Agencies

 

265,758

 

 

284,032

 

 

415,682

 

Mortgage Backed Securities

 

286,122

 

 

292,126

 

 

181,978

 

State and Municipals

 

75,240

 

 

78,520

 

 

80,914

 

US Treasuries

 

10,116

 

 

10,009

 

 

9,878

 

Corporate Bonds

 

20,068

 

 

19,805

 

 

1,972

 

Securities Available-for-Sale, at Fair Value

 

657,304

 

 

684,492

 

 

690,424

 

State and Municipals Securities Held-to-Maturity, at Amortized Cost

 

86,499

 

 

86,707

 

 

87,325

 

Federal Home Loan Bank Stock, at Cost

 

10,356

 

 

10,356

 

 

10,356

 

Total Investment Securities

 

754,159

 

 

781,555

 

 

788,105

 

Loans Receivable:
Commercial Real Estate

 

1,009,731

 

 

982,070

 

 

836,069

 

Commercial and Industrial

 

454,838

 

 

423,868

 

 

359,548

 

Residential Real Estate

 

76,083

 

 

76,481

 

 

58,340

 

Installment and Other

 

5,337

 

 

4,959

 

 

3,715

 

Total Loans Receivable

 

1,545,989

 

 

1,487,378

 

 

1,257,672

 

Allowance for Loan Losses

 

(21,888

)

 

(20,824

)

 

(17,608

)

Loans Receivable, Net

 

1,524,101

 

 

1,466,554

 

 

1,240,064

 

Furniture, Equipment and Leasehold Improvements, Net

 

8,833

 

 

9,023

 

 

3,044

 

Bank/Corporate Owned Life Insurance

 

25,698

 

 

26,448

 

 

25,775

 

Other Assets

 

38,650

 

 

41,456

 

 

50,728

 

Total Assets

$

2,537,634

 

$

2,401,911

 

$

2,190,562

 

 
Liabilities:
Non-Interest Bearing Demand Deposits

$

1,164,965

 

$

1,083,705

 

$

988,196

 

Interest Bearing Transaction Accounts

 

214,967

 

 

215,730

 

 

187,838

 

Money Market and Savings Deposits

 

872,908

 

 

827,713

 

 

722,043

 

Certificates of Deposit

 

36,044

 

 

37,712

 

 

81,934

 

Total Deposits

 

2,288,884

 

 

2,164,860

 

 

1,980,011

 

Federal Home Loan Bank Advances / Other Borrowings

 

-

 

 

-

 

 

-

 

Other Liabilities

 

33,526

 

 

30,386

 

 

36,678

 

Total Liabilities

$

2,322,410

 

$

2,195,246

 

$

2,016,689

 

 
Shareholders' Equity:
Common Stock

$

164,456

 

$

163,872

 

$

155,448

 

Retained Earnings

 

51,624

 

 

46,784

 

 

30,108

 

Accumulated Other Comprehensive Income / (Loss)

 

(856

)

 

(3,991

)

 

(11,683

)

Total Shareholders' Equity

$

215,224

 

$

206,665

 

$

173,873

 

Total Liabilities and Shareholders' Equity

$

2,537,634

 

$

2,401,911

 

$

2,190,562

 

 
Standby Letters of Credit

$

38,614

 

$

39,513

 

$

38,106

 

 
Per Share Information:
Common Shares Outstanding

 

7,870,120

 

 

7,850,171

 

 

7,745,979

 

Book Value Per Share

$

27.35

 

$

26.33

 

$

22.45

 

Tangible Book Value Per Share

$

27.35

 

$

26.33

 

$

22.45

 

 
American Business Bank
Figures in $000, except share and per share amounts
 
INCOME STATEMENTS (unaudited)
 
For the three months ended:
March December March

2020

2019

2019

Interest Income:
Interest and Fees on Loans

$

17,295

 

$

17,021

$

15,078

Interest on Investment Securities

 

3,913

 

 

3,942

 

4,273

Interest on Interest Earning Deposits in Other Financial Institutions

 

54

 

 

530

 

503

Total Interest Income

 

21,262

 

 

21,493

 

19,854

 
Interest Expense:
Interest on Interest Bearing Transaction Accounts

 

105

 

 

154

 

104

Interest on Money Market and Savings Deposits

 

968

 

 

1,114

 

807

Interest on Certificates of Deposits

 

41

 

 

45

 

105

Interest on Federal Home Loan Bank Advances and Other Borrowings

 

131

 

 

-

 

-

Total Interest Expense

 

1,245

 

 

1,313

 

1,016

 
Net Interest Income

 

20,017

 

 

20,180

 

18,838

Provision for Loan Losses

 

1,434

 

 

801

 

90

Net Interest Income after Provision for Loan Losses

 

18,583

 

 

19,379

 

18,748

 
Non-Interest Income:
Deposit Fees

 

615

 

 

562

 

503

International Fees

 

282

 

 

319

 

259

Gain (Loss) on Sale of Investment Securities, Net

 

47

 

 

-

 

-

Gain on Sale of SBA Loans, Net

 

19

 

 

65

 

79

Bank/Corporate Owned Life Insurance Income (Expense)

 

(750

)

 

338

 

447

Other

 

198

 

 

290

 

185

Total Non-Interest Income

 

411

 

 

1,574

 

1,473

 
Non-Interest Expense:
Salaries and Employee Benefits

 

8,219

 

 

9,005

 

9,444

Occupancy and Equipment

 

920

 

 

982

 

1,021

Professional Services

 

1,482

 

 

1,426

 

1,197

Promotion Expenses

 

366

 

 

425

 

264

Other

 

1,058

 

 

946

 

1,094

Total Non-Interest Expense

 

12,045

 

 

12,784

 

13,020

 
Earnings before income taxes

 

6,949

 

 

8,169

 

7,201

Income Tax Expense

 

2,110

 

 

2,179

 

1,800

 
NET INCOME

$

4,839

 

$

5,990

$

5,401

Add back:
After-Tax Gain (Loss) on Sale of Investment Securities, Net

$

(33

)

$

-

$

-

After-Tax DCP ABB Stock Expense (Benefit)

$

-

 

$

-

$

402

Core Net Income

$

4,806

 

$

5,990

$

5,803

 
Per Share Information:
Earnings Per Share - Basic

$

0.60

 

$

0.75

$

0.70

 
Earnings Per Share - Diluted

$

0.60

 

$

0.74

$

0.67

Core Earnings Per Share - Diluted

$

0.59

 

$

0.74

$

0.72

 
Weighted Average Shares - Basic

 

8,036,255

 

 

8,019,772

 

7,722,461

 
Weighted Average Shares - Diluted

 

8,122,355

 

 

8,117,068

 

8,033,433

 
American Business Bank
Figures in $000
 
QUARTERLY AVERAGE BALANCE SHEETS AND YIELD ANALYSIS (unaudited)
 
For the three months ended:
March 2020 December 2020
Average Interest Average Average Interest Average
Balance Inc/Exp Yield/Rate Balance Inc/Exp Yield/Rate
Interest Earning Assets:
Interest Earning Deposits in Other Financial Institutions

$

27,556

$

54

0.79

%

$

123,977

$

530

1.73

%

 
Investment Securities:
US Agencies

 

277,854

 

677

0.98

%

 

297,971

 

774

1.04

%

Mortgage Backed Securities

 

287,295

 

1,742

2.43

%

 

258,469

 

1,700

2.63

%

State and Municipals

 

166,727

 

1,121

2.69

%

 

163,437

 

1,094

2.68

%

US Treasuries

 

10,025

 

37

1.48

%

 

10,032

 

37

1.46

%

Corporate Bonds

 

19,947

 

150

3.00

%

 

19,942

 

151

3.02

%

Securities Available-for-Sale and Held-to-Maturity

 

761,848

 

3,727

1.96

%

 

749,851

 

3,756

2.00

%

Federal Home Loan Bank Stock

 

10,356

 

186

7.16

%

 

10,356

 

186

7.18

%

Total Investment Securities

 

772,204

 

3,913

2.03

%

 

760,207

 

3,942

2.07

%

Loans Receivable:
Commercial Real Estate

 

1,005,413

 

11,345

4.54

%

 

969,700

 

11,232

4.60

%

Commercial and Industrial

 

436,183

 

5,024

4.63

%

 

399,926

 

4,839

4.80

%

Residential Real Estate

 

76,302

 

886

4.67

%

 

72,137

 

894

4.92

%

Installment and Other

 

5,649

 

40

2.88

%

 

5,413

 

56

4.11

%

Total Loans Receivable

 

1,523,547

 

17,295

4.57

%

 

1,447,176

 

17,021

4.67

%

Total Interest Earning Assets

$

2,323,307

$

21,262

3.62

%

$

2,331,360

$

21,493

3.61

%

 
Liabilities:
Non-Interest Bearing Demand Deposits

 

1,104,594

 

-

0.00

%

 

1,118,736

 

-

0.00

%

Interest Bearing Transaction Accounts

 

202,250

 

105

0.21

%

 

216,134

 

154

0.28

%

Money Market and Savings Deposits

 

807,134

 

968

0.48

%

 

823,561

 

1,114

0.54

%

Certificates of Deposit

 

36,427

 

41

0.46

%

 

38,339

 

45

0.47

%

Total Deposits

 

2,150,405

 

1,114

0.21

%

 

2,196,770

 

1,313

0.24

%

Federal Home Loan Bank Advances / Other Borrowings

 

31,714

 

131

1.66

%

 

-

 

-

0.00

%

Total Interest Bearing Deposits and Borrowings

 

1,077,525

 

1,245

0.46

%

 

1,078,034

 

1,313

0.48

%

Total Deposits and Borrowings

$

2,182,119

$

1,245

0.23

%

$

2,196,770

$

1,313

0.24

%

 
Net Interest Income

$

20,017

$

20,180

Net Interest Rate Spread

3.39

%

3.37

%

Net Interest Margin

3.47

%

3.43

%

 
 
American Business Bank
Figures in $000
 
QUARTERLY AVERAGE BALANCE SHEETS AND YIELD ANALYSIS (unaudited)
 
For the three months ended:
March 2020 March 2019
Average Interest Average Average Interest Average
Balance Inc/Exp Yield/Rate Balance Inc/Exp Yield/Rate
Interest Earning Assets:
Interest Earning Deposits in Other Financial Institutions

$

27,556

$

54

0.79

%

$

82,027

$

503

2.49

%

 
Investment Securities:
US Agencies

 

277,854

 

677

0.98

%

 

433,799

 

1,757

1.62

%

Mortgage Backed Securities

 

287,295

 

1,742

2.43

%

 

148,059

 

1,118

3.02

%

State and Municipals

 

166,727

 

1,121

2.69

%

 

172,411

 

1,161

2.69

%

US Treasuries

 

10,025

 

37

1.48

%

 

10,052

 

37

1.48

%

Corporate Bonds

 

19,947

 

150

3.00

%

 

2,000

 

18

3.63

%

Securities Available-for-Sale and Held-to-Maturity

 

761,848

 

3,727

1.96

%

 

766,321

 

4,091

2.14

%

Federal Home Loan Bank Stock

 

10,356

 

186

7.16

%

 

10,356

 

182

7.03

%

Total Investment Securities

 

772,204

 

3,913

2.03

%

 

776,677

 

4,273

2.20

%

Loans Receivable:
Commercial Real Estate

 

1,005,413

 

11,345

4.54

%

 

831,259

 

9,656

4.71

%

Commercial and Industrial

 

436,183

 

5,024

4.63

%

 

353,660

 

4,599

5.27

%

Residential Real Estate

 

76,302

 

886

4.67

%

 

59,928

 

788

5.33

%

Installment and Other

 

5,649

 

40

2.88

%

 

4,685

 

35

3.01

%

Total Loans Receivable

 

1,523,547

 

17,295

4.57

%

 

1,249,532

 

15,078

4.89

%

Total Interest Earning Assets

$

2,323,307

$

21,262

3.62

%

$

2,108,236

$

19,854

3.77

%

 
Liabilities:
Non-Interest Bearing Demand Deposits

 

1,104,594

 

-

0.00

%

 

996,040

 

-

0.00

%

Interest Bearing Transaction Accounts

 

202,250

 

105

0.21

%

 

198,809

 

104

0.21

%

Money Market and Savings Deposits

 

807,134

 

968

0.48

%

 

736,155

 

807

0.44

%

Certificates of Deposit

 

36,427

 

41

0.46

%

 

64,601

 

105

0.66

%

Total Deposits

 

2,150,405

 

1,114

0.21

%

 

1,995,605

 

1,016

0.21

%

Federal Home Loan Bank Advances / Other Borrowings

 

31,714

 

131

1.66

%

 

-

 

-

0.00

%

Total Interest Bearing Deposits and Borrowings

 

1,077,525

 

1,245

0.46

%

 

999,565

 

1,016

0.41

%

Total Deposits and Borrowings

$

2,182,119

$

1,245

0.23

%

$

1,995,606

$

1,016

0.21

%

 
Net Interest Income

$

20,017

$

18,838

Net Interest Rate Spread

3.39

%

3.56

%

Net Interest Margin

3.47

%

3.62

%

 
American Business Bank
Figures in $000
 
SUPPLEMENTAL DATA (unaudited)
 
March December March

 

 

2020

 

2019

 

2019

Performance Ratios:
Quarterly:
Return on Average Assets (ROAA)

 

0.80

%

 

0.99

%

 

0.99

%

Core Return on Average Assets (ROAA)

 

0.79

%

 

0.99

%

 

1.06

%

 
Return on Average Equity (ROAE)

 

9.15

%

 

11.74

%

 

12.88

%

Core Return on Average Equity (ROAE)

 

9.09

%

 

11.74

%

 

13.84

%

 
Efficiency Ratio

 

59.10

%

 

58.77

%

 

64.10

%

Core Efficiency Ratio

 

59.10

%

 

58.77

%

 

61.46

%

 
Year-to-Date
Return on Average Assets (ROAA)

 

0.80

%

 

0.97

%

 

0.99

%

Core Return on Average Assets (ROAA)

 

0.79

%

 

1.00

%

 

1.06

%

 
Return on Average Equity (ROAE)

 

9.15

%

 

11.80

%

 

12.88

%

Core Return on Average Equity (ROAE)

 

9.09

%

 

12.15

%

 

13.84

%

 
Efficiency Ratio

 

59.10

%

 

60.29

%

 

64.10

%

Core Efficiency Ratio

 

59.10

%

 

59.57

%

 

61.46

%

 
Capital Adequacy:
Total Risk Based Capital Ratio

 

13.71

%

 

13.82

%

 

14.15

%

Common Equity Tier 1 Capital Ratio

 

12.46

%

 

12.57

%

 

12.90

%

Tier 1 Risk Based Capital Ratio

 

12.46

%

 

12.57

%

 

12.90

%

Tier 1 Leverage Ratio

 

8.91

%

 

8.66

%

 

8.46

%

Tangible Common Equity / Tangible Assets

 

8.48

%

 

8.60

%

 

7.94

%

 
Asset Quality Overview
Non-Performing Loans

$

4,225

 

$

1,855

 

$

1,222

 

Loans 90+ Days Past Due and Still Accruing

 

-

 

 

-

 

 

-

 

Total Non-Performing Loans

 

4,225

 

 

1,855

 

 

1,222

 

 
Restructured Loans

 

225

 

 

227

 

 

233

 

 
Other Real Estate Owned

 

-

 

 

-

 

 

-

 

 
ALLL / Loans Receivable

 

1.42

%

 

1.40

%

 

1.40

%

Non-Performing Loans / Total Loans Receivable *

 

0.29

%

 

0.14

%

 

0.12

%

Non-Performing Assets / Total Assets *

 

0.18

%

 

0.09

%

 

0.07

%

Net Charge-Offs (Recoveries) quarterly

$

370

 

$

(8

)

$

(15

)

Net Charge-Offs (Recoveries) year-to-date

$

370

 

$

(41

)

$

(15

)

Net Charge-Offs (Recoveries) year-to-date / Average

 

0.02

%

 

(0.00

%)

 

(0.00

%)

Loans Receivable
* Includes non-accrual loans, accruing loans past due 90+ days and Troubled Debt Restructurings (TDRs).

 

Contacts

Karen Schoenbaum
EVP/CFO
(213) 430-4000
www.americanbb.bank

Release Summary

American Business Bank Announces First Quarter 2020 Net Income

Contacts

Karen Schoenbaum
EVP/CFO
(213) 430-4000
www.americanbb.bank