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 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
(Dollar amounts in thousands, except share and per share data)
Three Months EndedNine 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 income2,3542,4407,2337,115
Noninterest income4993611,352773
Noninterest expense 2,588  2,537  7,522  7,240 
Income before provision for loan and lease losses2652641,063648
Provision for loan and lease losses -  150  2,650  750 
Loss before provision for income taxes265114(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 outstanding10,650,71610,613,24410,630,71610,613,244
Diluted average shares for the period10,652,13710,613,24410,632,04810,613,244
Return on average assets0.39%0.15%-0.81%-0.10%
Return on average equity5.42%1.87%-10.25%-1.25%
Yield on earning assets3.90%4.26%4.07%4.23%
Cost of funds0.33%0.37%0.33%0.41%
Net interest margin3.59%3.92%3.76%3.85%
Efficiency ratio90.73%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 leases0.00%0.37%2.12%0.62%


As of
Sept. 30,Sept. 30,%
Cash and due from banks
Non-interest bearing$4,030$2,38069%
Interest bearing37,70233,33613%
Investment securities64,12356,69413%
Loans and leases162,548161,3861%
Allowance for loan and lease losses (4,467) (4,736)-6%
Net loans and leases158,081156,6501%
Other real estate1,6351,974-17%
Other assets 6,323  3,705 71%
TOTAL ASSETS$271,894 $254,739 7%
Non-interest bearing$80,869$65,61723%
Interest bearing 159,353  158,367 1%
Total deposits240,222223,9847%
Subordinated debentures8,2488,2480%
Other liabilities 3,730  1,698 120%
TOTAL LIABILITIES 252,200  233,930 8%
SHAREHOLDERS' EQUITY$271,894 $254,739 7%
Book value per share$1.86$1.96
Leverage ratio10.28%11.19%
Tier 1 risk-based capital ratio15.58%16.10%
Total risk-based capital ratio16.84%17.37%
ALLL as a percentage of total loans and leases2.75%2.93%
Non-performing assets as a percentage of
total assets2.82%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

KEYWORDS:   United States  North America  California


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