NorCal Community Bancorp Announces Third Quarter Profit

NorCal Community Bancorp Announces Third Quarter Profit

ALAMEDA, Calif.--(BUSINESS WIRE)-- NorCal Community Bancorp (the "Company") (NCLC), parent company for Bank of Alameda, today reported third quarter net income of $265,000, or $0.02 per diluted share, compared to net income of $98,000, or $0.01 per diluted share for the third quarter in 2011.

For the nine months ended September 30, 2012 the Company is reporting a net loss of $1.6 million, or ($0.15) per diluted share, compared to a net loss of $192,000, or ($0.02) for the same period in 2011.


"We are pleased to report a return to quarterly earnings following the second quarter loss associated with a one-time provision expense of $2.575 million," President and CEO, Stephen G. Andrews stated. Andrews further stated, "We believe the Company is on track to build quarterly profitability, with significant growth in mortgage brokerage fee income and modestly increasing loan demand. We are also pleased to report continued growth in new customers and the resulting deposit growth, up 7% over a year ago, while maintaining a very favorable cost of funds. Demand for the Company's electronic banking, cash management and mobile banking services continue to increase."

As of September 30, 2012, total assets were $271.9 million; up 6.7% or $17.2 million compared to September 30, 2011 total assets of $254.7 million. Total loans and leases increased $1.2 million, or 0.7% to $162.5 million at September 30, 2012 compared to $161.3 million at September 30, 2011. Total deposits increased $16.2 million, or 7.2% to $240.2 million at September 30, 2012, compared to $224.0 million at September 30, 2011.

A copy of the Company's information and disclosure statement pursuant to Securities and Exchange Commission Rule 15c2-11 can be found on the home page of the Company's website at www.bankofalameda.com under the Investor Relations section.

Cautionary Statement: This release may contain certain forward-looking statements that are subject to risks and uncertainties that could cause actual results and events to differ materially from those stated herein. Words such as "anticipate," "believe," "estimate," "expect," "should," "intend," "project," and words or phrases of similar meaning are intended to identify forward-looking statements. Management's assumptions and projections are based on their anticipation of future events and actual performance may differ materially from that projected.

NorCal Community Bancorp

FINANCIAL HIGHLIGHTS

(Dollar amounts in thousands, except share and per share data)

(Unaudited)

Three Months Ended

Nine Months Ended

Sept. 30,

Sept. 30,

Sept. 30,

Sept. 30,

FOR THE PERIOD

2012

2011

2012

2011

Total interest income

$

2,556

$

2,652

$

7,832

$

7,817

Total interest expense

202

212

599

702

Net interest income

2,354

2,440

7,233

7,115

Noninterest income

499

361

1,352

773

Noninterest expense

2,588

2,537

7,522

7,240

Income before provision for loan and lease losses

265

264

1,063

648

Provision for loan and lease losses

-

150

2,650

750

Loss before provision for income taxes

265

114

(1,587

)

(102

)

Provision for income tax expense

-

16

2

90

Net Loss

$

265

$

98

$

(1,589

)

$

(192

)

Basic loss per share

$

0.02

$

0.01

$

(0.15

)

$

(0.02

)

Diluted loss per share

$

0.02

$

0.01

$

(0.15

)

$

(0.02

)

Average shares outstanding

10,650,716

10,613,244

10,630,716

10,613,244

Diluted average shares for the period

10,652,137

10,613,244

10,632,048

10,613,244

SELECTED FINANCIAL RATIOS

(Annualized)

Return on average assets

0.39

%

0.15

%

-0.81

%

-0.10

%

Return on average equity

5.42

%

1.87

%

-10.25

%

-1.25

%

Yield on earning assets

3.90

%

4.26

%

4.07

%

4.23

%

Cost of funds

0.33

%

0.37

%

0.33

%

0.41

%

Net interest margin

3.59

%

3.92

%

3.76

%

3.85

%

Efficiency ratio

90.73

%

90.59

%

87.63

%

91.79

%

Net charge-offs (recoveries) as a percentage of

average loans and leases

-0.29

%

0.31

%

2.39

%

1.52

%

Loan loss provision as a percentage of

average loans and leases

0.00

%

0.37

%

2.12

%

0.62

%

As of

Sept. 30,

Sept. 30,

%

CONSOLIDATED BALANCE SHEET

2012

2011

Change

ASSETS

Cash and due from banks

Non-interest bearing

$

4,030

$

2,380

69

%

Interest bearing

37,702

33,336

13

%

Investment securities

64,123

56,694

13

%

Loans and leases

162,548

161,386

1

%

Allowance for loan and lease losses

(4,467

)

(4,736

)

-6

%

Net loans and leases

158,081

156,650

1

%

Other real estate

1,635

1,974

-17

%

Other assets

6,323

3,705

71

%

TOTAL ASSETS

$

271,894

$

254,739

7

%

LIABILITIES

Deposits

Non-interest bearing

$

80,869

$

65,617

23

%

Interest bearing

159,353

158,367

1

%

Total deposits

240,222

223,984

7

%

Subordinated debentures

8,248

8,248

0

%

Other liabilities

3,730

1,698

120

%

TOTAL LIABILITIES

252,200

233,930

8

%

SHAREHOLDERS' EQUITY

19,694

20,809

-5

%

TOTAL LIABILITIES AND

SHAREHOLDERS' EQUITY

$

271,894

$

254,739

7

%

Book value per share

$

1.86

$

1.96

BANK OF ALAMEDA

REGULATORY CAPITAL RATIOS

Leverage ratio

10.28

%

11.19

%

Tier 1 risk-based capital ratio

15.58

%

16.10

%

Total risk-based capital ratio

16.84

%

17.37

%

ASSET QUALITY METRICS

ALLL as a percentage of total loans and leases

2.75

%

2.93

%

Non-performing assets as a percentage of

total assets

2.82

%

3.21

%

Non-performing assets as a percentage of

total equity + ALLL (Texas ratio)

31.76

%

31.97

%



NorCal Community Bancorp
Steve Andrews, 510-748-8468
www.norcalcommunitybancorp.com

KEYWORDS: United States North America California

INDUSTRY KEYWORDS:

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