SCVBank Reports Third Quarter Results

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, 2012

December 31, 2011

Assets:

Cash and due from banks

$

15,648,000

$

11,339,000

Investments

44,489,000

39,009,000

Loans

71,943,000

75,086,000

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 Funds

6,550,000

6,550,000

Other liabilities

754,000

331,000

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)

1,472,167

1,472,167

Tier 1 leverage ratio

10.95

%

10.81

%

Total risk-based capital ratio

20.58

%

18.19

%

For the Nine Months Ended

Statements of Income (unaudited)

September 30, 2012

September 30, 2011

Interest income

$

4,233,000

$

4,520,000

Interest expense

411,000

572,000

Net interest income

3,822,000

3,948,000

Provision for loan losses

75,000

-

Noninterest income

748,000

442,000

Noninterest expense

3,961,000

4,006,000

Income (loss) before taxes

534,000

384,000

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 date

0.55

%

0.04

%

Return on average equity - year to date

4.85

%

3.89

%

For the Three Months Ended

Statements of Income (unaudited)

September 30, 2012

September 30, 2011

Interest income

$

1,369,000

$

1,442,000

Interest expense

132,000

171,000

Net interest income

1,237,000

1,271,000

Provision for loan losses

75,000

-

Noninterest income

314,000

164,000

Noninterest expense

1,319,000

1,295,000

Income (loss) before taxes

157,000

140,000

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 quarter

0.47

%

0.43

%

Return on average equity - 3rd quarter

4.19

%

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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