LOS ANGELES, CA - April 27, 2015 - PBB Bancorp (“the Company”) (OTCQX: PBCA), the parent company of Premier Business Bank (“Premier”), today reported net income for the quarter ended March 31, 2015 of $384,000, compared to $104,000 for the same period last year. Pre-tax and Pre-provision earnings for the quarter ended March 31, 2015 were $760,000, compared to $181,000, for the same period last year.
PBB Bancorp elected to use pre-tax and pre-provision earnings as a financial metric as a result of the deferred tax asset that was booked in 2013. Although it may be a non-GAAP financial measure that is not commonly used, it does provide an effective way for investors and shareholders to evaluate the operating profitability of the company.
“We’ve achieved phenomenal loan growth over the past two years, especially for a company of our asset size. This was a direct result of successfully leveraging the last two recent capital raises; in fact, we exceeded our own loan growth expectations. As we move forward, our goal is to take advantage of this momentum as we continue to build our franchise. We are very proud of our recent achievements, and our future financial success will be the measurement of our focus and hard work” stated John R. Polen, President and Chief Executive Officer.”
“Our management team, led by Mr. Polen, has done a superb job of developing and executing a profitable growth plan to increase earnings and shareholder value. We are encouraged by the operating performance of the company and feel confident about our ability to achieve our long-term goals,” stated David G. Lake, Chairman of the Board.
2015 1ST QUARTER HIGHLIGHTS:
- Net Interest Income increased 45% or $625,000, to $2.0 million from $1.4 million for the same period in 2014, primarily due to the increase in loans of $68.4 million, or 51% compared to 2014.
- Net Income increased $280,000, or 271% to $384,000 at March 31, 2015, as compared to $104,000 at March 31, 2014.
- Non-interest Income increased $94,000, or 69% to $230,000 at March 31, 2015, as compared to $136,000 at March 31, 2014. The increase was primarily due to a higher gain on the sale of SBA loans in the first quarter 2015, which amounted to $197,000.
- Total Loans increased $68.4 million or 51% as compared to the same period last year. For the quarter, total loans increased $18.8 million or 10% as compared to the end of last year.
- Asset Quality is outstanding with no non-accrual loans and no loans past due at the end of the quarter.
- Total Deposits increased $33.4 million or 24% from the same period last year to $174.4 million at March 31, 2015.
- Non-interest Bearing Deposits increased $7.3 million or 25% from the same period last year to $36.1 million at March 31, 2015.
ABOUT PBB BANCORP AND PREMIER BUSINESS BANK:
PBB Bancorp is the parent company of Premier Business Bank, a full service community business bank headquartered in downtown Los Angeles, California. Premier has two other locations in the South Bay region of Los Angeles County; a community-based full service retail branch in Palos Verdes and a loan center in Torrance. Premier has a client-centric service philosophy that focuses on building banking relationships with individuals, small to medium size businesses, family owned and closely held middle market businesses, real estate investors, professional management firms, and entrepreneurs. Premier offers a wide range of business and real estate lending products including SBA loans, 24/7 high-tech online banking services that include remote deposit capture and cash management, plus many in-branch banking services to meet the unique needs of the clients and the communities it serves. For more information, please visit us at www.ibankpremier.com.
FORWARD LOOKING INFORMATION:
This financial information release is based on unaudited financial results. Certain statements contain "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) such as statements about certain plans, expectations and projections which are subject to numerous risks and uncertainties. Such risk and uncertainties may include, but are not necessarily limited to, fluctuations in interest rates, inflation, government regulations and general economic conditions, including the real estate market in California, the adequacy of the Bank’s allowance for loan losses, and other factors beyond the Bank’s control. Such risks and uncertainties could cause results for subsequent interim periods or for entire years to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management’s view only as the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.
For more information, contact:
John R. Polen
President and Chief Executive Officer
Consolidated Statement of Condition
|For the Period Ended March 31,|
|Cash and due from banks||$ 32,977,904||$ 44,249,426|
|Loans and leases held for sale||1,267,198||-|
|Loans and leases||202,130,684||133,760,063|
|Non Accrual loans||-||-|
|Deferred loan costs / (fees)||133,627||155,695|
|Allowance for loan losses||(1,965,000)||(1,715,000)|
|Net loans and leases||200,299,311||132,200,758|
|Fixed assets, net||215,051||321,446|
|Accrued interest receivable||498,752||327,335|
|Total assets||$ 239,388,205||$ 180,969,920|
|Demand deposits||$ 36,067,123||$ 28,815,560|
|Interest bearing demand deposits||20,467,505||8,261,802|
|Money market accounts||38,639,411||34,859,112|
|Certificates of deposit less than $100K||16,600,794||7,803,405|
|Certificates of deposit $100K or more||62,189,274||61,191,721|
|Federal funds purchased||-||-|
|Overnight Borrowings - FHLB||5,000,000||-|
|FHLB Term Borrowings||35,000,000||19,000,000|
|Accrued interest payable on deposits||52,368||40,769|
|Common stock; issued and outstanding
3,396,550 shares at 03/31/15 and
2,851,063 shares at 03/31/14
|Add'l paid-in-capital - stock based comp.||1,313,693||1,262,513|
|Retained earnings - preopening expenses||(863,858)||(863,858)|
|Current year net income (loss)||383,918||103,588|
|Unrealized gain (loss) on securities AFS||-||-|
|Total stockholders' equity||24,204,552||20,186,945|
|Total liabilities and stockholders' equity||$ 239,388,205||$ 180,969,920|
|Consolidated Statement of Operations
Prior Year to Date Comparison
|For the 3 Months Ended|
|Loans and leases, including fees||$ 2,315,259||$ 1,633,765|
|Other interest income||40,002||36,877|
|Total interest income||2,355,261||1,670,642|
|Deposit interest expense||259,753||221,081|
|FHLB borrowings interest expense||79,855||58,556|
|Total interest expense||339,608||279,637|
|Net int. income before prov. for loan losses||2,015,654||1,391,005|
|Provision for loan losses||100,000||-|
|Net int. income after prov. for loan losses||1,915,654||1,391,005|
|Gain (loss) on sale of SBA loans||197,636||16,125|
|Other noninterest income||32,170||120,148|
|Total noninterest income||229,806||136,273|
|Salaries and benefits||1,022,201||848,139|
|Furniture, fixtures and equipment||43,503||45,489|
|Other noninterest expense||329,846||360,852|
|Total noninterest expense||1,485,865||1,346,014|
|Income before tax provision||659,595||181,264|
|Provision for income taxes||275,677||77,676|
|Net income (loss)||$ 383,918||$ 103,588|