SCVBank Reports Third Quarter Results

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SCVBank Reports Third Quarter Results

  • Solid Operating Profit
  • Improving Capital Ratios
  • Highly Liquid

SANTA PAULA, Calif.--(BUSINESS WIRE)-- Santa Clara Valley Bank ("SCVBank") (OTCBB: SCVE) Chairman of the Board, Scott K. Rushing, today announced the Bank's 2012 third quarter results.

SCVBank recorded a net profit from operations of $157,000 for the third quarter of 2012 compared to a net profit of $140,000 for the third quarter of 2011. Year to date earnings from operations through September 2012 was $534,000 versus $384,000 for the same nine month period in 2012. The improvement in earnings in the third quarter 2012 was largely due to the improvement in noninterest income and the reduction of noninterest expenses.


A modest provision for loan losses of $75,000 was booked in the third quarter of 2012 to ensure a strong allowance for loan losses.

SCVBank continues to maintain a strong capital position with a Tier 1 Leverage Capital Ratio of 10.95%, up from 10.81% at December 31, 2011.

Liquidity continues to be very strong as cash and investments total 44% of total assets at quarter end.

President Cheryl Knight commented that stronger results reflect continued improvement in asset quality and management of expenses. She added that positive trends are expected to continue under the leadership of Paul Alexander as the Bank's Chief Credit Officer.

Founded in 1998, SCVBank currently operates three branches in Santa Paula, Fillmore, and Valencia. Under its stock symbol of SCVE.OB, SCVBank's stock is traded through McAdams Wright Ragen, Raymond James & Associates Inc., and Monroe Securities. The Bank's web site is www.SCVBank.com.

Santa Clara Valley Bank Corporation Headquarters
901 East Main Street
Santa Paula, California 93060
805 525-1999

Statements concerning future performance, developments or events concerning expectations for growth and market forecasts, and any other guidance on future periods, constitute forward looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to, the effect of interest rate changes, and the ability to control costs and expenses, the impact of consolidation in the banking industry, financial policies of the United States government, and general economic conditions.

 
Santa Clara Valley Bank, N. A.
 

Balance Sheets

  Unaudited  Audited
September 30, 2012December 31, 2011
Assets:
Cash and due from banks$15,648,000$11,339,000
Investments44,489,00039,009,000
Loans71,943,00075,086,000
Allowance for loan losses(1,490,000)(1,926,000)
Other assets 4,867,000  2,925,000 
Total Assets$135,457,000 $126,433,000 
 
Liabilities and Stockholders' Equity:
Deposits$113,051,000$105,113,000
Borrowed Funds6,550,0006,550,000
Other liabilities754,000331,000
Stockholders' equity 15,103,000  14,439,000 
Total Liabilities and Stockholders' Equity$135,458,000 $126,433,000 
 
Book value per common share$7.45$7.03
Common shares outstanding (end of period)1,472,1671,472,167
Tier 1 leverage ratio10.95%10.81%
Total risk-based capital ratio20.58%18.19%
 
For the Nine Months Ended

Statements of Income (unaudited)

September 30, 2012September 30, 2011
Interest income$4,233,000$4,520,000
Interest expense 411,000  572,000 
Net interest income3,822,0003,948,000
Provision for loan losses75,000-
Noninterest income748,000442,000
Noninterest expense 3,961,000  4,006,000 
Income (loss) before taxes534,000384,000
Income tax provision -  - 
Net Income (Loss)$534,000$384,000
Preferred stock dividends or accretion 27,000  27,000 
Net income (loss) applicable to common shares$507,000 $357,000 
Income (Loss) per common share, basic$0.34$0.24
Return on average assets - year to date0.55%0.04%
Return on average equity - year to date4.85%3.89%
 
For the Three Months Ended

Statements of Income (unaudited)

September 30, 2012September 30, 2011
Interest income$1,369,000$1,442,000
Interest expense 132,000  171,000 
Net interest income1,237,0001,271,000
Provision for loan losses75,000-
Noninterest income314,000164,000
Noninterest expense 1,319,000  1,295,000 
Income (loss) before taxes157,000140,000
Income tax provision -  - 
Net Income (Loss)$157,000$140,000
Preferred stock dividends or accretion 9,000  9,000 
Net income (loss) applicable to common shares$148,000 $131,000 
Income (Loss) per common share, basic$0.10$0.09
Return on average assets - 3rd quarter0.47%0.43%
Return on average equity - 3rd quarter4.19%3.94%
 



Santa Clara Valley Bank
Cheryl Knight, 805-525-1999
President & Chief Executive Officer
Fred Antrim, 805-525-1999
Senior Vice President & Chief Financial Officer

KEYWORDS:   United States  North America  California

INDUSTRY KEYWORDS:

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