American Business Bank Reports First Quarter Earnings of $8.9 Million

Bank originated $225 million in second round of PPP loans

First Quarter 2021 Highlights

  • Total loans, excluding PPP loans, increased $40 million or 3% over prior quarter
  • Total PPP loans outstanding of $642 million with $13 million of net deferred processing fees
  • Total deposits including estimated deposits related to PPP loans, increased $248 million or 8% from prior quarter
  • Non-interest bearing demand deposits were 54% of total deposits
  • Net interest income includes accelerated PPP fees of $2.8 million on loan forgiveness
  • Efficiency ratio of 54% improved from 59% over prior year quarter
  • Net income increased $4 million or 84% over prior year quarter
  • Continued status as well-capitalized, the highest regulatory category

LOS ANGELES--()--AMERICAN BUSINESS BANK (OTCQX: AMBZ) today reported net income of $8.9 million or $1.09 per fully diluted share for the first quarter of 2021 compared to $9.3 million or $1.14 per fully diluted share for the fourth quarter of 2020, a decrease of 4%. For the quarter ended March 31, 2021 net income associated with the PPP program was $3.6 million or $0.43 per fully diluted share, a decrease of $292,000 or 8% compared to $3.8 million or $0.47 per fully diluted share for the fourth quarter of 2020.

“The Bank experienced strong core loan growth in the first quarter of 2021 primarily in owner occupied commercial real estate. Typically our borrowers possess strong liquidity, but in the last year their liquidity has increased causing a meaningful decline in C&I line utilization from 35% to 24%. Our loan pipeline remains strong as we expect volume to act as a buffer to net interest income in this low rate environment.”

“Participation in the second round of PPP was significant to not only the Bank but also for our customer base providing them added confidence. Fees related to the second round of PPP averaged 3.31% as compared to 2.27% in the first round. Our expectation is to have 80% of the first round of PPP loans forgiven in the first half of 2021, as we have reached 39% by the end of March. This new found income has enabled us to step up our community support further with our plan to participate in a small business grant program for the benefit of minority and women-owned businesses. We have excelled in the pandemic storm and eagerly anticipate the expansion of our economy to grow with our clients, prospects, shareholders, employees and our market,” said Leon Blankstein, ABB’s President, CEO and Director.

Net interest income for the first quarter of 2021 was $24.5 million, a 3% decrease over the fourth quarter of 2020 as interest and realized deferred fees on PPP loans decreased by $402,000 driven by a decrease in PPP loan forgiveness. Additionally, interest income on the securities portfolio decreased by $236,000 in the first quarter of 2021 compared to the fourth quarter of 2020 as investment securities have decreased by $26 million. For the quarters ending March 31, 2021 and December 31, 2020, the cost of deposits was 0.06%. For the quarter ending March 31, 2021 and December 31, 2020, there was no provision for loan losses as the economy recovered. The allowance for loan losses as a percentage of loans, excluding PPP loans, was 1.48% at March 31, 2021.

Net Interest Margin

Net interest margin for the first quarter of 2021 was 2.92% compared to fourth quarter of 2020 at 3.00% and 3.47% for the first quarter of 2020. Excluding the impact of PPP loans, the net interest margin was 2.82% for the first quarter of 2021 and 2.90% for the fourth quarter of 2020. Without the acceleration of fees on forgiveness, the yield on PPP loans was 1.44% for the first quarter of 2021 and 1.42% for fourth quarter of 2020. The reduction in the net interest margin compared to the prior year is due to lower market interest rates and the impact of PPP loans. As of December 31, 2020, approximately 42% of the Bank’s variable-rate loans are indexed to prime and 73% of these loans are at or above interest rate floors.

Net Interest Income

Net interest income increased for the first quarter of 2021 compared to the first quarter of 2020 by $4.5 million, or 22.4%, and decreased compared to the fourth quarter of 2020 by $806,000, or 3.2%. This was primarily due to the accelerated realization of net deferred PPP processing fees as 18% and 20% of PPP loans originated in 2020 were forgiven for the first quarter of 2021 and the fourth quarter of 2020, respectively. The Bank’s core funding continues to be a strength with the cost of deposits at 0.06% for the first quarter of 2021 compared to 0.23% for same quarter a year ago.

(Figures in $000s, except per share amounts)

As of or For the Three Months Ended:

March 2021

December 2020

PPP loans - first round, net

$

424,327

$

551,190

PPP loans - second round, net

 

217,780

 

-

PPP Total Loans, net

$

642,107

$

551,190

 

1% Coupon Interest

$

1,527

$

1,604

Amortized fees

 

668

 

640

Accelerated fees

 

2,845

 

3,198

Total PPP loan income

$

5,040

$

5,442

Total PPP loan income after tax

$

3,555

$

3,847

Total PPP loan income after tax per share - diluted

$

0.43

$

0.47

As of April 25, 2021, approximately 43% of PPP loan balances originated in 2020 have been forgiven, approximately 30% of balances are in the forgiveness review or submission process and approximately 27% of balances have yet to apply for forgiveness.

Non Interest Income

Non-interest income in the first quarter of 2021 was $1.5 million, representing a decrease of $335,000 or 18% compared to the fourth quarter of 2020 and an increase of $1.1 million or 272% from the same quarter a year ago. This was primarily due to the fluctuation in Bank/Corporate owned life insurance income as a result of the decrease/increase in the value of the policies that are invested in mutual funds.

Non Interest Expense

Non-interest expense increased $1.9 million for the quarter ended March 31, 2021 compared to the first quarter of 2020. This was driven by increases in salaries and employee benefits of $1.4 million for the quarter primarily due to increased expenses related to the deferred compensation plan (DCP) as a result of the market performance of DCP investment balances. Other increases included additional bonus expenses due to the PPP program and higher base salaries. The efficiency ratio declined to 54% for the first quarter of 2021 compared to 59% for the first quarter of 2020.

For the first quarter of 2021, total non-interest expense decreased $651,000 compared to the fourth quarter of 2020 primarily due to a decrease in salaries and employee benefits of $552,000 (DCP related) and a decrease in professional service expense of $315,000. This was offset by an increase in occupancy and equipment of $187,000 related to the headquarters. The efficiency ratio remained at 54% for the first quarter of 2021 compared to the fourth quarter of 2020.

Full time equivalent employees at March 31, 2021 were 192 compared to 195 a year ago. Full time equivalent employees were 194 at December 31, 2020. The Bank has 34 relationship managers in seven offices, an increase over a year of four and the prior quarter of one. The higher mix of relationship managers to back office personnel is from the benefit of technology implementations that continue in 2021.

Balance Sheet

Total assets increased $250 million, or 7% from year-end December 31, 2020 to $3.7 billion. Total loans, excluding PPP loans, increased $40 million, to $1.5 billion from the fourth quarter of 2020 as CRE loans increased by $41.6 million offset by a $5.5 million decline in C&I line utilization. At March 31, 2021, the utilization rate for the Bank’s commercial lines of credit was 24% compared to 25% at December 31, 2020. Investment securities declined by $26 million from the fourth quarter of 2020 to $1.1 billion. The duration of the securities portfolio increased from 3.3 to 4.7 years from December 31, 2020 to March 31, 2021 commensurate with higher interest rates.

During the first quarter of 2021, total deposits grew by $248 million with a majority of the increase attributable to the proceeds of PPP loans and new deposit relationships of approximately $33 million. At March 31, 2021, the tangible common equity ratio was 6.7%; excluding PPP loans, the tangible common equity ratio was 8.1%.

Asset Quality

Non-performing assets declined from $2.4 million at December 31, 2020 to $2.2 million at March 31, 2021, representing 0.08% of total assets (excluding PPP loans). The Bank continues to have no Other Real Estate Owned. Loans that were past due, criticized and classifieds represented 0.00%, 6.02%, and 0.98%, respectively of total loans at March 31, 2021 compared to 0.00%, 6.74%, and 0.92%, respectively of total loans at December 31, 2020 (excluding PPP loans in all periods). As of March 31, 2021, the Bank had total specific reserve of $197,000 related to one $2.1 million commercial loan on non-accrual status and one $216,000 impaired loan relationship. As of March 31, 2021, the allowance for loan losses totaled $22.9 million, or 1.48% of total loans (excluding PPP loans); compared to 1.52% at December 31, 2020 (excluding PPP loans). All PPP loans are 100% guaranteed by the SBA and as such, no allowance for loan losses is allocated to these loans. The Bank is required to adopt CECL, or Current Expected Credit Loss, on January 1, 2023. During the first quarter of 2021, the Bank recorded no loan charge-offs and recoveries of $16,000.

In response to the COVID-19 pandemic, the Bank established a loan payment deferment program to assist its customers who are experiencing short-term financial or operational problems. As of March 31, 2021, there were five loans with a total principal balance of $11.2 million (0.5% of total loans) on a loan payment deferment program of which there are four loans that received a second deferral modification. As of December 31, 2020, there were four loans with a total principal balance of $5.6 million (0.3% of total loans) on a loan payment deferment program. At the time of origination, the loans currently granted deferrals were underwritten with a 49% average loan-to-value ratio. One loan is C&I and four loans are backed by commercial real estate of which two are owner occupied. All payment deferrals granted to-date meet applicable requirements to continue accruing interest.

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

 

2021

 

 

2020

 

 

2020

 

Assets:
Cash and Due from Banks

$

38,637

 

$

44,334

 

$

36,539

 

Interest Earning Deposits in Other Financial Institutions

 

350,354

 

 

201,719

 

 

149,654

 

 
Investment Securities:
US Agencies

 

218,794

 

 

228,102

 

 

265,758

 

Mortgage Backed Securities

 

407,651

 

 

419,393

 

 

286,122

 

State and Municipals

 

270,161

 

 

279,045

 

 

75,240

 

US Treasuries

 

-

 

 

-

 

 

10,116

 

Corporate Bonds

 

8,848

 

 

12,725

 

 

20,068

 

Securities Available-for-Sale, at Fair Value

 

905,454

 

 

939,265

 

 

657,304

 

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

 

151,041

 

 

143,229

 

 

86,499

 

Federal Home Loan Bank Stock, at Cost

 

10,864

 

 

10,864

 

 

10,356

 

Total Investment Securities

 

1,067,359

 

 

1,093,358

 

 

754,159

 

Loans Receivable:
Commercial Real Estate

 

1,137,493

 

 

1,095,811

 

 

1,009,731

 

Commercial and Industrial

 

327,519

 

 

333,021

 

 

454,838

 

SBA Payroll Protection Program

 

642,107

 

 

551,190

 

 

-

 

Residential Real Estate

 

80,686

 

 

76,483

 

 

76,083

 

Installment and Other

 

4,212

 

 

4,405

 

 

5,337

 

Total Loans Receivable

 

2,192,017

 

 

2,060,910

 

 

1,545,989

 

Allowance for Loan Losses

 

(22,946

)

 

(22,931

)

 

(21,888

)

Loans Receivable, Net

 

2,169,071

 

 

2,037,979

 

 

1,524,101

 

Furniture, Equipment and Leasehold Improvements, Net

 

7,472

 

 

7,857

 

 

8,833

 

Bank/Corporate Owned Life Insurance

 

28,070

 

 

27,738

 

 

25,698

 

Other Assets

 

44,247

 

 

41,277

 

 

38,650

 

Total Assets

$

3,705,210

 

$

3,454,262

 

$

2,537,634

 

 
Liabilities:
Non-Interest Bearing Demand Deposits

$

1,855,756

 

$

1,686,091

 

$

1,164,965

 

Interest Bearing Transaction Accounts

 

260,610

 

 

258,950

 

 

214,967

 

Money Market and Savings Deposits

 

1,270,228

 

 

1,191,591

 

 

872,908

 

Certificates of Deposit

 

34,267

 

 

35,778

 

 

36,044

 

Total Deposits

 

3,420,861

 

 

3,172,410

 

 

2,288,884

 

Federal Home Loan Bank Advances / Other Borrowings

 

-

 

 

-

 

 

-

 

Other Liabilities

 

36,265

 

 

34,014

 

 

33,526

 

Total Liabilities

$

3,457,126

 

$

3,206,424

 

$

2,322,410

 

 
Shareholders' Equity:
Common Stock

$

166,956

 

$

166,263

 

$

164,456

 

Retained Earnings

 

84,473

 

 

75,557

 

 

51,624

 

Accumulated Other Comprehensive Income / (Loss)

 

(3,345

)

 

6,018

 

 

(856

)

Total Shareholders' Equity

$

248,084

 

$

247,838

 

$

215,224

 

Total Liabilities and Shareholders' Equity

$

3,705,210

 

$

3,454,262

 

$

2,537,634

 

 
Standby Letters of Credit

$

32,115

 

$

33,469

 

$

38,614

 

 
Per Share Information:
Common Shares Outstanding

 

7,977,567

 

 

7,942,368

 

 

7,870,120

 

Book Value Per Share

$

31.10

 

$

31.20

 

$

27.35

 

Tangible Book Value Per Share

$

31.10

 

$

31.20

 

$

27.35

 

American Business Bank

Figures in $000, except share and per share amounts

INCOME STATEMENTS (unaudited)

 
For the three months ended:
March December March

 

2021

 

 

2020

 

2020

 

Interest Income:
Interest and Fees on Loans

$

20,774

 

$

21,339

$

17,295

 

Interest on Investment Securities

 

4,122

 

 

4,358

 

3,913

 

Interest on Interest Earning Deposits in Other Financial Institutions

 

66

 

 

77

 

54

 

Total Interest Income

 

24,962

 

 

25,774

 

21,262

 

 
Interest Expense:
Interest on Interest Bearing Transaction Accounts

 

41

 

 

45

 

105

 

Interest on Money Market and Savings Deposits

 

414

 

 

414

 

968

 

Interest on Certificates of Deposits

 

14

 

 

16

 

41

 

Interest on Federal Home Loan Bank Advances and Other Borrowings

 

-

 

 

-

 

131

 

Total Interest Expense

 

469

 

 

475

 

1,245

 

 
Net Interest Income

 

24,493

 

 

25,299

 

20,017

 

Provision for Loan Losses

 

-

 

 

-

 

1,434

 

Net Interest Income after Provision for Loan Losses

 

24,493

 

 

25,299

 

18,583

 

 
Non-Interest Income:
Deposit Fees

 

745

 

 

719

 

615

 

International Fees

 

263

 

 

275

 

282

 

Gain (Loss) on Sale of Investment Securities, Net

 

(15

)

 

-

 

47

 

Gain on Sale of SBA Loans, Net

 

-

 

 

-

 

19

 

Bank/Corporate Owned Life Insurance Income (Expense)

 

332

 

 

725

 

(750

)

Other

 

202

 

 

143

 

198

 

Total Non-Interest Income

 

1,527

 

 

1,862

 

411

 

 
Non-Interest Expense:
Salaries and Employee Benefits

 

9,663

 

 

10,215

 

8,219

 

Occupancy and Equipment

 

1,146

 

 

959

 

920

 

Professional Services

 

1,703

 

 

2,018

 

1,482

 

Promotion Expenses

 

222

 

 

390

 

366

 

Other

 

1,200

 

 

1,003

 

1,058

 

Total Non-Interest Expense

 

13,934

 

 

14,585

 

12,045

 

 
Earnings before income taxes

 

12,086

 

 

12,576

 

6,949

 

Income Tax Expense

 

3,170

 

 

3,252

 

2,110

 

 
NET INCOME

$

8,916

 

$

9,324

$

4,839

 

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

$

11

 

$

-

$

(33

)

Core Net Income

$

8,927

 

$

9,324

$

4,806

 

 
Per Share Information:
Earnings Per Share - Basic

$

1.10

 

$

1.15

$

0.60

 

 
Earnings Per Share - Diluted

$

1.09

 

$

1.14

$

0.60

 

Core Earnings Per Share - Diluted

$

1.09

 

$

1.14

$

0.59

 

 
Weighted Average Shares - Basic

 

8,110,856

 

 

8,091,367

 

8,036,255

 

 
Weighted Average Shares - Diluted

 

8,211,935

 

 

8,152,979

 

8,122,355

 

American Business Bank

Figures in $000

QUARTERLY AVERAGE BALANCE SHEETS AND YIELD ANALYSIS (unaudited)

 
For the three months ended:
March 2021   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

$

216,373

$

66

0.12

%

 

$

224,487

$

77

0.14

%

   
Investment Securities:  
US Agencies

 

225,144

 

408

0.72

%

 

 

227,960

 

338

0.59

%

Mortgage Backed Securities

 

398,884

 

1,229

1.23

%

 

 

372,987

 

1,544

1.66

%

State and Municipals

 

414,773

 

2,267

2.19

%

 

 

381,965

 

2,201

2.31

%

US Treasuries

 

-

 

-

0.00

%

 

 

9,896

 

37

1.47

%

Corporate Bonds

 

10,273

 

82

3.20

%

 

 

13,106

 

101

3.08

%

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

 

1,049,074

 

3,986

1.52

%

 

 

1,005,914

 

4,221

1.68

%

Federal Home Loan Bank Stock

 

10,864

 

136

5.01

%

 

 

10,864

 

137

5.04

%

Total Investment Securities

 

1,059,938

 

4,122

1.56

%

 

 

1,016,778

 

4,358

1.71

%

Loans Receivable:  
Commercial Real Estate

 

1,105,890

 

11,463

4.20

%

 

 

1,070,812

 

11,482

4.27

%

Commercial and Industrial

 

330,778

 

3,462

4.24

%

 

 

337,596

 

3,624

4.27

%

SBA Payroll Protection Program

 

609,638

 

5,040

3.35

%

 

 

627,003

 

5,442

3.45

%

Residential Real Estate

 

78,034

 

758

3.94

%

 

 

73,470

 

737

3.99

%

Installment and Other

 

4,957

 

51

4.15

%

 

 

5,270

 

54

4.10

%

Total Loans Receivable

 

2,129,297

 

20,774

3.96

%

 

 

2,114,151

 

21,339

4.02

%

Total Interest Earning Assets

$

3,405,608

$

24,962

2.93

%

 

$

3,355,416

$

25,774

3.01

%

   
Liabilities:  
Non-Interest Bearing Demand Deposits

 

1,730,626

 

-

0.00

%

 

 

1,724,816

 

-

0.00

%

Interest Bearing Transaction Accounts

 

255,416

 

41

0.07

%

 

 

247,980

 

45

0.07

%

Money Market and Savings Deposits

 

1,223,414

 

414

0.14

%

 

 

1,181,043

 

414

0.14

%

Certificates of Deposit

 

34,865

 

14

0.16

%

 

 

36,223

 

16

0.18

%

Total Deposits

 

3,244,321

 

469

0.06

%

 

 

3,190,062

 

475

0.06

%

Federal Home Loan Bank Advances / Other Borrowings

 

-

 

-

0.00

%

 

 

-

 

-

0.00

%

Total Interest Bearing Deposits and Borrowings

 

1,513,695

 

469

0.13

%

 

 

1,465,246

 

475

0.13

%

Total Deposits and Borrowings

$

3,244,321

$

469

0.06

%

 

$

3,190,062

$

475

0.06

%

   
Net Interest Income

$

24,493

 

$

25,299

Net Interest Rate Spread

2.87

%

 

2.95

%

Net Interest Margin

2.92

%

 

3.00

%

Net Interest Margin, excluding SBA PPP

2.82

%

 

2.90

%

American Business Bank

Figures in $000

QUARTERLY AVERAGE BALANCE SHEETS AND YIELD ANALYSIS (unaudited)

   

For the three months ended:

March 2021   March 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

$

216,373

$

66

0.12

%

 

$

27,556

$

54

0.80

%

   
Investment Securities:  
US Agencies

 

225,144

 

408

0.72

%

 

 

277,854

 

677

0.98

%

Mortgage Backed Securities

 

398,884

 

1,229

1.23

%

 

 

287,295

 

1,742

2.43

%

State and Municipals

 

414,773

 

2,267

2.19

%

 

 

163,149

 

1,121

2.75

%

US Treasuries

 

-

 

-

0.00

%

 

 

10,025

 

37

1.48

%

Corporate Bonds

 

10,273

 

82

3.20

%

 

 

19,947

 

150

3.00

%

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

 

1,049,074

 

3,986

1.52

%

 

 

758,270

 

3,727

1.97

%

Federal Home Loan Bank Stock

 

10,864

 

136

5.01

%

 

 

10,356

 

186

7.16

%

Total Investment Securities

 

1,059,938

 

4,122

1.56

%

 

 

768,626

 

3,913

2.04

%

Loans Receivable:  
Commercial Real Estate

 

1,105,890

 

11,463

4.20

%

 

 

1,005,413

 

11,345

4.54

%

Commercial and Industrial

 

330,778

 

3,462

4.24

%

 

 

436,183

 

5,024

4.63

%

SBA Payroll Protection Program

 

609,638

 

5,040

3.35

%

 

 

-

 

-

0.00

%

Residential Real Estate

 

78,034

 

758

3.94

%

 

 

76,302

 

886

4.67

%

Installment and Other

 

4,957

 

51

4.15

%

 

 

5,649

 

40

2.88

%

Total Loans Receivable

 

2,129,297

 

20,774

3.96

%

 

 

1,523,547

 

17,295

4.57

%

Total Interest Earning Assets

$

3,405,608

$

24,962

2.93

%

 

$

2,319,729

$

21,262

3.63

%

   
Liabilities:  
Non-Interest Bearing Demand Deposits

 

1,730,626

 

-

0.00

%

 

 

1,104,595

 

-

0.00

%

Interest Bearing Transaction Accounts

 

255,416

 

41

0.07

%

 

 

202,250

 

105

0.21

%

Money Market and Savings Deposits

 

1,223,414

 

414

0.14

%

 

 

807,134

 

968

0.48

%

Certificates of Deposit

 

34,865

 

14

0.16

%

 

 

36,427

 

41

0.46

%

Total Deposits

 

3,244,321

 

469

0.06

%

 

 

2,150,406

 

1,114

0.21

%

Federal Home Loan Bank Advances / Other Borrowings

 

-

 

-

0.00

%

 

 

31,714

 

131

1.66

%

Total Interest Bearing Deposits and Borrowings

 

1,513,695

 

469

0.13

%

 

 

1,077,525

 

1,245

0.46

%

Total Deposits and Borrowings

$

3,244,321

$

469

0.06

%

 

$

2,182,119

$

1,245

0.23

%

   
Net Interest Income

$

24,493

 

$

20,017

Net Interest Rate Spread

2.87

%

 

3.40

%

Net Interest Margin

2.92

%

 

3.47

%

Net Interest Margin, excluding SBA PPP

2.82

%

 

3.47

%

American Business Bank

Figures in $000

SUPPLEMENTAL DATA (unaudited)

     
March   December   March

 

2021

 

 

 

2020

 

 

 

2020

 

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

 

1.01

%

 

 

1.08

%

 

 

0.80

%

Core Return on Average Assets (ROAA)

 

1.01

%

 

 

1.08

%

 

 

0.79

%

     
Return on Average Equity (ROAE)

 

14.32

%

 

 

15.57

%

 

 

9.15

%

Core Return on Average Equity (ROAE)

 

14.34

%

 

 

15.57

%

 

 

9.09

%

     
Efficiency Ratio

 

53.52

%

 

 

53.70

%

 

 

59.10

%

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

 

1.01

%

 

 

0.93

%

 

 

0.80

%

Core Return on Average Assets (ROAA)

 

1.01

%

 

 

0.93

%

 

 

0.79

%

     
Return on Average Equity (ROAE)

 

14.32

%

 

 

12.70

%

 

 

9.15

%

Core Return on Average Equity (ROAE)

 

14.34

%

 

 

12.76

%

 

 

9.09

%

     
Efficiency Ratio

 

53.52

%

 

 

56.40

%

 

 

59.10

%

Core Efficiency Ratio

 

53.52

%

 

 

56.40

%

 

 

59.10

%

     
Capital Adequacy:    
Total Risk Based Capital Ratio

 

14.85

%

 

 

14.65

%

 

 

13.71

%

Common Equity Tier 1 Capital Ratio

 

13.60

%

 

 

13.40

%

 

 

12.46

%

Tier 1 Risk Based Capital Ratio

 

13.60

%

 

 

13.40

%

 

 

12.46

%

Tier 1 Leverage Ratio

 

7.13

%

 

 

6.98

%

 

 

8.91

%

Tangible Common Equity / Tangible Assets

 

6.70

%

 

 

7.17

%

 

 

8.48

%

     
Asset Quality Overview    
Non-Performing Loans

$

2,172

 

 

$

2,405

 

 

$

4,225

 

Loans 90+ Days Past Due and Still Accruing

 

-

 

 

 

-

 

 

 

-

 

Total Non-Performing Loans

 

2,172

 

 

 

2,405

 

 

 

4,225

 

     
Restructured Loans

 

216

 

 

 

218

 

 

 

225

 

     
Other Real Estate Owned

 

-

 

 

 

-

 

 

 

-

 

     
ALLL / Loans Receivable

 

1.05

%

 

 

1.11

%

 

 

1.42

%

Non-Performing Loans / Total Loans Receivable *

 

0.11

%

 

 

0.13

%

 

 

0.29

%

Non-Performing Loans / Total Loans Receivable *, excluding PPP **

 

0.15

%

 

 

0.17

%

 

 

0.29

%

Non-Performing Assets / Total Assets *

 

0.06

%

 

 

0.08

%

 

 

0.18

%

Non-Performing Assets / Total Assets *, excluding PPP **

 

0.08

%

 

 

0.09

%

 

 

0.18

%

Net Charge-Offs (Recoveries) quarterly

$

(16

)

 

$

(21

)

 

$

370

 

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

$

(16

)

 

$

457

 

 

$

370

 

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

 

0.00

%

 

 

0.02

%

 

 

0.02

%

     
*Includes non-accrual loans, accruing loans past due 90+ days and Troubled Debt Restructurings (TDRs).
**SBA Paycheck Protection Program (PPP)

 

Contacts

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

Release Summary

AMERICAN BUSINESS BANK REPORTS FIRST QUARTER 2021 EARNINGS of $8.9 MILLION

Social Media Profiles

Contacts

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