Presidio Bank Reports Strong Growth for the Second Quarter 2013

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Presidio Bank Reports Strong Growth for the Second Quarter 2013

Record levels of Loans, Deposits and Pre-tax Income

SAN FRANCISCO--(BUSINESS WIRE)-- Presidio Bank (OTCBB: PDOB), a Bay Area business bank, today reported unaudited results for the quarter ended June 30, 2013 with pre-tax profit of $900 thousand, up 21% from the quarter ended March 31, 2013 and up 14% from the quarter ended June 30, 2012. This represents the highest quarterly pre-tax profit achieved by the Bank. Deposits and loans grew to record levels during the quarter as well.


"We are pleased to see our growth momentum continue in the second quarter," said Presidio Bank President and CEO, Steve Heitel. "Our pipeline of business remains solid and we look forward to more growth in the second half of the year."

Some key financial highlights for the quarter included:

  • Assets: Totals assets are $433 million at June 30, 2013, up $40 million (10%) from June 30, 2012 and up $50 million (13%) from March 31, 2013.
  • Deposits: Deposits totaled $384 million at June 30, 2013, up $38 million from June 30, 2012 and up $50 million from March 31, 2013. At June 30, 2013, a number of key clients were holding unusually high levels of deposits and as such we expect some contraction of those balances in the third quarter.
  • Loans: Loans increased by $15 million for the quarter (4.7%) and by $70 million (26%) from June 30, 2012.
  • Loan Loss Provision Expense: Loan loss provision expense was zero for the quarter.
  • Operating Expenses: Operating expenses for the quarter ending June 30, 2013 were up 3.2% from the quarter ending March 31, 2013, due to some non-recurring professional fees incurred during the quarter. We expect to operate in the second half of the year much closer to our target run rate of $3 million per quarter in operating expenses.

"In addition to the growth in the second quarter, the Bank achieved an improvement in its already strong credit quality with the pay off of its largest non-performing loan," said Presidio Bank Chairman and Founder, Jim Woolwine.

        

2nd Quarter 2013 Financial Results

(Unaudited)

 
 
Condensed Balance Sheet
            
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Total Assets$433,186$383,24113.0%$393,43710.1%$405,4716.8%
Loans333,724318,7664.7%264,06026.4%313,9926.3%
Deposits384,442334,89114.8%346,45911.0%357,3737.6%
Total Shareholder's Equity46,63846,2970.7%45,4742.6%45,8891.6%
Common Equity35,60435,2790.9%34,5043.2%34,8872.1%
Book Value Per Common Share$8.54$8.500.5%$8.372.0%$8.461.0%
 
 
Condensed Statement of Income
 

For the three months ended

For the six months ended

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Net Interest Income$3,945$3,7056.5%$3,49612.9%$7,651$6,9939.4%
Provision for Loan Loss--NM-NM--NM
Other income14512912.7%1375.7%27424810.5%
Total Operating Expenses3,1903,090(3.2%)2,844(12.2%)6,2815,828(7.8%)
Net Income Before Taxes90074421.0%78914.1%1,6441,41316.3%
Income taxes369305(21.0%)323(14.1%)674579(16.3%)
Net Income53143921.0%46514.1%97083416.3%
Preferred Dividends1421420.0%1420.0%2852850.0%
Net Income to Common38929731.1%32320.3%68554924.8%
Earnings Per Common Share$0.09$0.0730.5%$0.0817.7%$0.16$0.1421.8%
Net Interest Margin3.9%3.9%3.7%3.9%3.8%
Efficiency Ratio78.0%80.6%78.3%79.3%80.5%
Return on Average Assets0.5%0.5%0.5%0.5%0.5%
Return on Average Common Equity4.4%3.4%3.8%3.9%3.2%
 

NM = Not Meaningful

 

About Presidio Bank

Presidio Bank provides business banking services to small and mid-size businesses, including professional service firms, real estate developers and investors, and not-for-profit organizations, and to their owners who desire personalized, responsive service with access to local decision makers. Presidio Bank offers clients the resources of a large bank combined with the personalized services of a neighborhood bank. Presidio Bank is headquartered in San Francisco, California and currently operates four banking offices in San Francisco, Walnut Creek, San Rafael and Palo Alto. More information is available at www.presidiobank.com. Presidio Bank is a member of FDIC and an Equal Housing Lender.

This press release contains certain forward-looking statements that involve risk and uncertainties. These statements are identifiable by use of the words "believe," "expect," "intend," "anticipate," "plan," "estimate," "project," or similar expressions. The risks and uncertainties that may affect the operations, performance, development, growth projections and results of Presidio Bank's business include, but are not limited to, the growth of the economy, interest rate movements, timely development by Presidio Bank of technology enhancements for its products and operating systems, the impact of competitive products, services and pricing, client-based requirements, Congressional legislation, changes in regulatory or generally accepted accounting principles and similar matters. Readers are cautioned not to place undue reliance on forward-looking statements which are subject to influence by the named risk factors and unanticipated future events. Actual results, accordingly, may differ materially from management expectations.



Presidio Bank
Steve Heitel, 415-229-8428
President & CEO
or
Ed Murphy, 415-229-8403
EVP/CFO
or
Annette Gelinas, 415-229-8415 (o)
925-787-2956 (c)
SVP/Marketing Director
agelinas@presidiobank.com

KEYWORDS:   United States  North America  California

INDUSTRY KEYWORDS:

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