CHINO, Calif., April 20, 2015 /PRNewswire/ -- The Board of
Directors of Chino Commercial Bancorp ("CCBC"), the parent company
of Chino Commercial Bank, N.A., announced the results of operations
for the Bank and the consolidated holding company for the first
quarter ended March 31, 2015 with net
earnings of $318,868, or an increase
of 42.1% compared with net income of $224,423 for the same quarter last year. Net
income per basic share for the first quarter of 2015 was
$0.31 as compared $0.22 for the same quarter last year.
Dann H. Bowman, President and
Chief Executive Officer, stated, "The Company had an excellent
first quarter with deposits increasing, loans increasing, and
revenue increasing. In addition to very strong net earnings,
the Bank also had only one delinquent loan and suffered no credit
losses during the first quarter. At the end of the first
quarter the Bank had no OREO.
Economic conditions appear to be improving in the Inland Empire,
and many of our small business customers are reporting better than
expected operating results. We continue to remain optimistic about
the economy, and are eager to lend to the businesses and consumers
in our community."
During the first quarter, the Board of the Directors of the
Company declared a 12% stock dividend to shareholders of record on
March 6, 2015. The dividend was
paid to the shareholders on March 27,
2015; and the earnings per share calculations have been
adjusted to reflect the dividends paid.
Separately, the Bank recently reported that it had received
recognition from the Findley Reports on Financial Institutions by
again receiving their highest rating of Super Premier
Performing.
Financial Condition
At March 31, 2015, total assets were
$145.4 million, an increase of
$15.3 million or 11.8% over
$130.1 million at December 31, 2014. The increase is attributed to
an overall growth across all areas of the Bank. Total deposits
increased by 4.4% or $5.0 million
during the first quarter to $120.5
million compared to $115.4
million as of December 31,
2014. At March 31, 2015, the
Company's core deposits represent 94.6% of the total deposits.
Gross loans increased by 2.2% or $1.8
million during the first quarter to $85.3 million as compared with $83.5 million as of December 31, 2014. The Bank's loan quality
remained consistent during the first quarter as nonperforming
assets and OREO were at zero both at December 31, 2014 and March 31, 2015.
Earnings
The Company posted net interest income of $1,225,212 for the quarter ended March 31, 2015 as compared to $937,047 for the quarter ended March 31, 2014. Average earning assets increased
as well as the yield on earning assets increased by 0.58% to 4.40%.
Average interest-earning assets were $119.5 million with average interest-bearing
liabilities of $57.2 million,
yielding a net interest margin of 4.16% for the first quarter of
2015; as compared to the average interest-earning assets of
$106.9 million with average
interest-bearing liabilities of $55.6
million, yielding a net interest margin of 3.56% for the
first quarter of 2014.
Non-interest income totaled $368,668 for the first quarter of 2015, or a
decrease of 16.1% as compared with $439,560 earned during the first quarter last
year. Service charges on deposit accounts decreased 12.9% to
$306,002 due to decrease in income
from returned items and overdraft charges. Dividend income from
restricted stock increased to $18,374
for the first quarter of 2015, compared to $14,318 for the same quarter in 2014, due to
additional purchases of restricted stock. Income from
bank-owned life insurance remained consistent at $25,418 in the first quarter of 2015 and
$25,814 in the first quarter of
2014.
General and administrative expenses were $1,075,780 for the three months ended
March 31, 2015, as compared to
$1,019,710 for the first quarter of
2014. The largest component of general and administrative expenses
was salary and benefits expense of $663,539 for the first quarter of 2015, as
compared to $587,396 for the same
quarter last year. Regulatory assessments increased by
$2,298 or 8.1% to $30,519 in the first quarter of 2015 compared to
$28,221 in the first quarter of 2014
due the continuous growth of the Bank. Advertising and
marketing expenses decreased 51.4% to $11,528 in the first quarter of 2015 from
$23,743 for the same period last
year.
Income tax expense was $197,774
for the three months ended March 31,
2015 as compared to $131,563
for the three months ended March 31,
2014. The effective income tax rate for the first quarter of
2015 and 2014 is approximately 38.3% and 37.0%, respectively.
Forward-Looking Statements
The statements contained in this press release that are not
historical facts are forward-looking statements based on
management's current expectations and beliefs concerning future
developments and their potential effects on the Company. Readers
are cautioned not to unduly rely on forward-looking statements.
Actual results may differ from those projected. These
forward-looking statements involve risks and uncertainties
including but not limited to the health of the national and
California economies, the
Company's ability to attract and retain skilled employees,
customers' service expectations, the Company's ability to
successfully deploy new technology and gain efficiencies there
from, changes in interest rates, loan portfolio performance, and
other factors detailed in the Company's SEC filings.
CHINO COMMERCIAL
BANCORP
|
CONSOLIDATED BALANCE
SHEET
|
March 31, 2015 and
December 31, 2014
|
|
|
March 31,
2015
|
|
December 31,
2014
|
|
(unaudited)
|
|
(audited)
|
ASSETS:
|
|
|
|
Cash and due from
banks
|
$ 21,528,744
|
|
$
5,529,963
|
Total cash and cash
equivalents
|
21,528,744
|
|
5,529,963
|
|
|
|
|
Interest-bearing
deposits in other banks
|
16,320,000
|
|
$
19,048,000
|
Investment securities
available for sale
|
1,592,894
|
|
1,637,579
|
Investment securities
held to maturity (fair value approximates $12,495,000 at March 31, 2014 and $11,493,000 at
December 31, 2014)
|
|
|
|
10,905,955
|
|
11,370,815
|
Total
investments
|
28,818,849
|
|
32,056,394
|
Loans
|
|
|
|
Construction
|
834,100
|
|
613,802
|
Real
estate
|
64,704,547
|
|
65,070,148
|
Commercial
|
19,437,222
|
|
17,437,492
|
Installment
|
318,104
|
|
339,519
|
Gross
loans
|
85,293,973
|
|
83,460,961
|
Unearned fees and
discounts
|
(236,973)
|
|
(211,142)
|
Loans net of
unearned fees and discount
|
85,057,000
|
|
83,249,819
|
Allowance for loan
losses
|
(1,546,493)
|
|
(1,536,241)
|
Net
loans
|
83,510,507
|
|
81,713,578
|
|
|
|
|
Fixed assets,
net
|
5,926,806
|
|
5,971,324
|
Accrued interest
receivable
|
334,010
|
|
312,508
|
Stock investments,
restricted, at cost
|
1,625,400
|
|
716,700
|
Bank-owned life
insurance
|
3,106,212
|
|
3,080,794
|
Other
assets
|
599,030
|
|
751,466
|
Total
assets
|
$ 145,449,558
|
|
$
130,132,727
|
|
|
|
|
LIABILITIES:
|
|
|
|
Deposits
|
|
|
|
Non-interest
bearing
|
$ 64,749,798
|
|
$
64,657,125
|
Interest
bearing
|
|
|
|
NOW and money
market
|
40,835,905
|
|
35,665,321
|
Savings
|
4,185,063
|
|
4,119,507
|
Time deposits
less than $100,000
|
4,249,746
|
|
4,367,455
|
Time deposits
of $100,000 or greater
|
6,468,102
|
|
6,631,526
|
Total
deposits
|
120,488,614
|
|
115,440,934
|
|
|
|
|
Accrued interest
payable
|
26,694
|
|
26,066
|
Borrowings from
Federal Home Loan Bank (FHLB)
|
10,000,000
|
|
-
|
Accrued expenses
& other payables
|
728,106
|
|
772,134
|
Subordinated notes
payable to subsidiary trust
|
3,093,000
|
|
3,093,000
|
Total
liabilities
|
134,336,414
|
|
119,332,134
|
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
Common stock,
authorized 10,000,000 shares with no par value, issued and
outstanding 1,026,349 shares at March 31, 2015 and 916,550 December
31, 2013, respectively.
|
|
|
|
|
|
|
6,089,466
|
|
4,579,730
|
Retained
earnings
|
4,992,075
|
|
6,185,281
|
Accumulated other
comprehensive income
|
31,603
|
|
35,582
|
Total shareholders'
equity
|
11,113,144
|
|
10,800,593
|
Total liabilities
& shareholders' equity
|
$ 145,449,558
|
|
$
130,132,727
|
CHINO COMMERCIAL
BANCORP
|
CONSOLIDATED
STATEMENTS OF NET INCOME
|
(unaudited)
|
|
For the three months
ended
|
|
March 31
|
|
2015
|
|
2014
|
Interest
income
|
|
|
|
Interest and fee
income on loans
|
$ 1,185,445
|
|
$ 914,348
|
Interest on federal
funds sold and FRB deposits
|
1,112
|
|
10,087
|
Inerest on time
deposits in banks
|
30,195
|
|
29,613
|
Interest on
investment securities
|
80,646
|
|
52,386
|
Total interest
income
|
1,297,398
|
|
1,006,434
|
|
|
|
|
Interest
Expense
|
|
|
|
Interest on
deposits
|
55,818
|
|
54,977
|
Other
borrowings
|
16,368
|
|
14,410
|
Total interest
expense
|
72,186
|
|
69,387
|
Net interest
income
|
1,225,212
|
|
937,047
|
Provision for loan
losses
|
1,458
|
|
911
|
|
|
|
|
Net interest
income after provision for loan losses
|
1,223,754
|
|
936,136
|
|
|
|
|
Non-interest
income
|
|
|
|
Service charges on
deposit accounts
|
306,002
|
|
351,376
|
Other miscellaneous
income
|
18,874
|
|
48,052
|
Dividend income from
restricted stock
|
18,374
|
|
14,318
|
Income from
bank-owned life insurance
|
25,418
|
|
25,814
|
Total
non-interest income
|
368,668
|
|
439,560
|
|
|
|
|
Non-interest
expenses
|
|
|
|
Salaries and employee
benefits
|
663,539
|
|
587,396
|
Occupancy and
equipment
|
103,001
|
|
99,802
|
Data and item
processing
|
93,338
|
|
96,982
|
Advertising and
marketing
|
11,528
|
|
23,743
|
Legal and
professional fees
|
45,236
|
|
60,314
|
Regulatory
assessments
|
30,519
|
|
28,221
|
Insurance
|
7,865
|
|
8,413
|
Directors' fees and
expenses
|
26,417
|
|
26,669
|
Other
expenses
|
94,337
|
|
88,170
|
Total
non-interest expenses
|
1,075,780
|
|
1,019,710
|
Income before income
tax expense
|
516,642
|
|
355,986
|
Income tax
expense
|
197,774
|
|
131,563
|
Net income
|
$ 318,868
|
|
$ 224,423
|
|
|
|
|
Basic earnings per
share
|
$
0.31
|
|
$ 0.22
|
Diluted earnings per
share
|
$
0.31
|
|
$ 0.22
|
CHINO COMMERCIAL
BANCORP
|
|
|
|
For the three months
ended
|
|
|
March 31
|
|
|
2015
|
|
2014
|
KEY FINANCIAL
RATIOS
|
|
|
|
|
(unaudited)
|
|
|
|
|
Annualized return on
average equity
|
|
11.54%
|
|
9.17%
|
Annualized return on
average assets
|
|
0.96%
|
|
0.75%
|
Net interest
margin
|
|
4.16%
|
|
3.56%
|
Core efficiency
ratio
|
|
67.49%
|
|
74.07%
|
Net chargeoffs to
average loans
|
|
-0.01%
|
|
-0.01%
|
|
|
|
|
|
AVERAGE
BALANCES
|
|
|
|
|
(thousands,
unaudited)
|
|
|
|
|
Average
assets
|
|
$ 132,848
|
|
$ 119,901
|
Average
interest-earning assets
|
|
$ 119,493
|
|
$ 106,850
|
Average gross
loans
|
|
$ 86,538
|
|
$ 64,330
|
Average
deposits
|
|
$ 109,349
|
|
$ 106,245
|
Average
equity
|
|
$ 11,057
|
|
$ 9,793
|
CREDIT
QUALITY
|
End of
period
|
(unaudited)
|
March 31,
2015
|
|
March 31,
2014
|
|
|
|
|
Non-performing
loans
|
$
-
|
|
$
198,766
|
|
|
|
|
Non-performing loans
to total loans
|
0.00%
|
|
0.24%
|
Non-performing loans
to total assets
|
0.00%
|
|
0.15%
|
Allowance for loan
losses to total loans
|
1.81%
|
|
1.84%
|
Nonperforming assets
as a percentage of total loans and OREO
|
0.00%
|
|
0.24%
|
Allowance for loan
losses to non-performing loans
|
n/a
|
|
772.89%
|
|
|
|
|
OTHER PERIOD-END
STATISTICS
|
|
|
|
(unaudited)
|
March 31,
2015
|
|
March 31,
2014
|
Shareholders equity
to total assets
|
7.64%
|
|
8.30%
|
Net Loans to
deposits
|
69.31%
|
|
70.78%
|
Non-interest bearing
deposits to total deposits
|
53.74%
|
|
56.01%
|
Total capital to
total risk-weighted assets
|
16.82%
|
|
18.55%
|
Tier 1 capital to
total risk-weighted assets
|
16.23%
|
|
17.54%
|
Tier 1 leverage
ratio
|
11.12%
|
|
10.95%
|
Common equity tier
1
|
16.23%
|
|
n/a
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/chino-commercial-bancorp-reports-42-increase-in-first-quarter-earnings-300068149.html
SOURCE Chino Commercial Bancorp