Market Overview

Bank of Santa Clarita Announces Third Quarter Results

Share:
SANTA CLARITA, Calif.--(BUSINESS WIRE)--

Bank of Santa Clarita (OTC BB: BSCA) today announced its operating results for the third quarter of 2012.

Bank of Santa Clarita, the only commercial bank headquartered in the Santa Clarita Valley, reported net earnings for the three months ending September 30, 2012 totaling $203,000, which represented a growth rate of more than 10% over the $184,000 reported for the third quarter of 2011.

Year-to-date net earnings for the nine months ended September 30, 2012 and 2011 were $305,000 and $158,000, respectively. The results for 2012 increased by $147,000, or more than 90% over the total reported for the same period of 2011. These totals for 2012 include non-recurring costs announced earlier in 2012 and the Bank expects to benefit from the resulting lower cost structure in future periods.

The Bank's net loan portfolio totaling $145.0 million as of September 30, 2012, had grown $9.5 million or 7.0% from the balance as of December 31, 2011. The Bank also reported a net growth in deposits of $11.4 million or 7.6% during the first three quarters of 2012, which net growth included an increase of $8.4 million or 19.4% in noninterest bearing demand deposits.

Largely resulting from the growth in loans and deposits (and particularly the growth in noninterest-bearing deposits noted above), the Bank's net interest income for the nine months ended September 30, 2012 increased $221,000 or 4.5% over the amount recorded in the first three quarters of 2011, as the Bank has seen the overall effective cost of deposits in 2012 decline to 0.78%, as compared to 1.10% for the first three quarters of 2011. The Bank's 2012 earnings also benefited from the 2011 facility lease termination, as total facilities and other fixed asset-related costs declined from $1,003,000 for the first three quarters of 2011 to $646,000 for the same period of 2012.

The Bank continues to experience excellent credit quality in its loan portfolio, as nonaccrual loans totaled $8,000 at September 30, 2012, as compared to $16,000 as of December 31, 2011 and $18,000 as of September 30, 2011.

“We are pleased to announce another excellent quarter for Bank of Santa Clarita, which is the result of the Bank's conservative approach to managing risk and strong balance sheet growth. Total assets for the Bank now exceed $218 million, as our commercial lending and depository production continued to perform exceptionally well,” stated Chairman and Chief Executive Officer Frank Di Tomaso.

At September 30, 2012, shareholders' equity totaled $21.6 million and the Bank's total risk-based regulatory capital ratio was 14.32%, exceeding the “well-capitalized” level of 10% which is prescribed in applicable capital regulations. The Bank also continues to maintain substantial liquidity positions, retaining significant balances of liquidity on its balance sheet as well as readily available collateralized borrowings and other potential sources of liquidity.

Bank of Santa Clarita, founded in 2004, is the only independent, full service commercial bank headquartered in the Santa Clarita Valley and generally serves the needs of retail consumers, small to mid-sized businesses, professionals, entrepreneurs, and high-net worth individuals. The Bank provides local, experienced decision-making and the personalized service that growing businesses need on a daily basis. Bank clients have direct access to executive management and professional staff members to address their SBA and other credit requirements, and also technology-based services that include online bill-paying, remote capture depositing, check imaging and initiating online wire transfers, among other cash management facilities, which services enable its clients to effectively and efficiently manage their cash and credit needs.

Bank of Santa Clarita, Corporate Headquarters
23780 Magic Mountain Parkway
Santa Clarita, California 91355
(661) 362-6000
www.bankofsantaclarita.com

FORWARD LOOKING STATEMENTS

Certain matters discussed in this release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to the Bank's current expectations regarding deposit and loan growth, operating results and the strength of the local economy. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results, performance or achievements to differ materially from those expressed, suggested or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to: the impact of changes in interest rates, a decline in economic conditions and increased competition among financial service providers as these factors may impact the Bank's operating results, its ability to attract deposit and loan customers, the quality of the Bank's earning assets and government regulation. The Bank does not undertake, and specifically disclaims, any obligation to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements.

     
BANK OF SANTA CLARITA
 
BALANCE SHEETS
Unaudited
 
September 30, December 31, September 30,
  2012   2011   2011

(In thousands)

ASSETS
Cash and Due From Banks $ 2,735 $ 4,033 $ 3,632
Interest Bearing Deposits at Other Financial Institutions 26,630 22,928 22,008
Federal Funds Sold 1,200 1,855 1,440
Investment Securities 30,909 32,757 32,869
Loans, Net 145,009 135,480 140,471
Other Assets   12,237   11,433   11,770
Total Assets $ 218,720 $ 208,486 $ 212,190
 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
Noninterest Bearing Demand Deposits $ 51,707 $ 43,308 $ 41,784
Interest Bearing Demand Deposits 6,572 7,493 8,220
Money Market and Savings Deposits 43,263 34,087 33,102
Time Deposits   60,462   65,643   66,617
Total Deposits 162,004 150,531 149,723
Borrowings 34,500 36,500 41,000
Other Liabilities   580   698   758
Total Liabilities 197,084 187,729 191,481
Stockholders' Equity   21,636   20,757   20,709
Total Liabilities & Stockholders' Equity $ 218,720 $ 208,486 $ 212,190
 
         
STATEMENTS OF EARNINGS
Unaudited
 
For the Three Months Ended September 30, For the Nine Months Ended September 30,
  2012   2011   2012   2011
Interest Income (In thousands except per share amounts)
Loans $ 1,912 $ 1,961 $ 5,834 $ 5,721
Interest Bearing Deposits at Other Financial Institutions 19 20 54 53
Investment Securities 178 271 628 834
Federal Funds Sold   1   1   1   1
Total Interest Income 2,110 2,253 6,517 6,609
Interest Expense
Interest Bearing Demand Deposits 6 6 19 19
Money Market and Savings Deposits 55 50 153 159
Time Deposits 234 349 721 1,024
Borrowings   162   165   487   491
Total Interest Expense 457 570 1,380 1,693
 
Net Interest Income 1,653 1,683 5,137 4,916
Provision for Loan Losses   12   37   120   115
Net Interest Income after
Provision for Loan Losses 1,641 1,646 5,017 4,801
Noninterest Income 101 228 421 523
Noninterest Expense   1,431   1,567   4,976   5,092
 
Net Earnings Before Income Taxes 311 307 462 232
Income Tax Expense   108   123   157   74
Net Earnings $ 203 $ 184 $ 305 $ 158
 
Basic and Diluted Earnings Per Share $ 0.09 $ 0.08 $ 0.14 $ 0.07
 

Bank of Santa Clarita
Frank Di Tomaso
Chairman of the Board of Directors and Chief Executive Officer
(661) 362-6000

View Comments and Join the Discussion!