- Quarterly net income increased by 127% year-over-year
- Total assets and net loans both increased from the prior year
- Retained earnings further strengthened robust capital position
IRVINE, CALIF. (May 3, 2018) – Commercial Bank of California (“CBC”), a BauerFinancial Five-Star Superior Bank, today reported net income for the first quarter of 2018 of $2,055,000, compared to $907,000 for the comparable period in 2017. Reflecting growth in earning assets and increases in prevailing interest rates, net interest income for the quarter was $8.6 million, a sharp increase from the $6.7 million recorded in the first quarter of 2017.
At March 31, 2018, the Bank’s total assets were $816.1 million, compared to $785.1 million a year ago. Net loans rose to $605.6 million at March 31, 2018 from a 2017 total of $537.5 million. Deposits totaled $646.4 million at March 31, 2018; the comparable 2017 figure was $692.1 million. Total capital at March 31, 2018 was $90.8 million, up from $85.3 million a year ago.
The Bank’s capital ratios continue to significantly exceed regulatory requirements, with Tier 1 Leverage, Tier 1 Risk-based Capital, and Total Risk-based Capital Ratios of 10.61%, 12.55%, and 13.80%, respectively, as of March 31, 2018.
Ash Patel, President and Chief Executive Officer, commented, “We are pleased with Commercial Bank of California’s strong initial quarter of the new year. We recorded a substantial increase in profits, and continued to achieve prudent, controlled growth in total assets and net loans.
“Once again, we are proud that our loan growth was achieved without sacrificing credit quality. Non-performing assets net of federal guarantees totaled just $2.3 million at March 31, 2018, and loan reserves were $9.4 million, or 1.53% of total loans, at quarter end.”
Mr. Patel added: “We remain committed to providing a ‘second to none’ banking experience to our clients, whether they utilize our advanced technology offerings, avail themselves of the proactive, responsive service provided by the outstanding CBC team, or any combination of these channels. CBC’s unique combination of financial strength, advanced technology, and personal service is what is making us the bank of choice for businesses and professionals in Southern California.”
He concluded: “Since our founding, our overriding objective has been to build a unique institution, a bank that does not yet exist, with an ecosystem of financial products ranging from Payments Solutions to Mobile Banking, and the financial strength and responsive service needed to make a meaningful contribution to the success of our clients. We are well on our way towards that objective, and our message of ‘Our Solutions, Your Success’ is resonating with clients and prospects alike. At the same time, our financial strength and flexibility enables us to react decisively to changing market conditions and the challenges and opportunities they bring. We remain highly confident about the success of Commercial Bank of California now and in the years ahead.”
About Commercial Bank of California
Commercial Bank of California is a full-service bank serving the business and professional communities of Los Angeles and Orange counties. Recognized as a BauerFinancial, Inc. “Five-Star Superior Bank” for its financial strength and stability, CBC provides the financial expertise of a major bank while maintaining a commitment to personalized service for every CBC client. More information about CBC’s custom solutions for your business is available at www.cbcal.com.