Earnings Release – Redwood Capital Bancorp – First Quarter, 2024
May 01 2024 - 9:03AM
Business Wire
Solid First Quarter Financial Performance –
Dividend Continued
On May 1, 2024, REDWOOD CAPITAL BANCORP (OTCQX:RWCB), the only
locally owned and operated community bank holding company in
Humboldt County, announced unaudited financial results for the
three month period ended March 31, 2024. Redwood Capital Bank, the
company’s wholly owned subsidiary, celebrated its twenty-year
milestone by reporting solid quarterly earnings.
John Dalby, President and CEO, remarked, “2024 marks Redwood
Capital Bank’s 20-year milestone. On behalf of the Board of
Directors, management and staff, thank you to our customers,
shareholders and the community for your support and partnerships
over the past two decades. We remain grateful to our staff for
their outstanding work and to you for the relationships we have
developed and fostered since 2004.”
Dalby noted that the company’s long-term track record of strong
performance has not gone unnoticed, adding, “Consistent performance
has resulted in consistent recognition. Once again, Redwood Capital
Bank has been recognized by the financial industry. Congratulations
to the Redwood Capital Bank staff on the receipt of the Findley
Reports rating of Super Premier Performing status, as well as the
5-Star rating from Bauer Financial. Both ratings are the highest
given from two of the most well-known and respected bank rating
firms within the industry.”
The company continues to maintain a strong balance sheet. Total
assets as of March 31, 2024, were $527.1 million. Total deposits as
of March 31, 2024, were $468.1 million. Gross loans increased 2% to
$386.5 million from March 31, 2023, to March 31, 2024. The company
is in the desirable position with a liquidity ratio of 11.23%, and
12.35% leveraged capital ratio and 10.90% in tangible capital.
Interest income for the quarter ended March 31, 2024, totaled
$5.7 million, an increase of 12% from the $5.1 million reported for
the quarter ended March 31, 2023. The company reported net income
after taxes in the first quarter of 2024 of $1.3 million. As of
March 31, 2024, the book value for the company was up 15% to $23.99
per common share from the quarter ended March 31, 2023.
Additionally, the Board of Directors declared a quarterly cash
dividend of $0.08 per share, payable on May 13, 2024, to
shareholders of record at the close of business on April 29, 2024.
The annualized dividend of $0.32 combined with Tangible Book Value
appreciation from March 31, 2023, to March 31, 2024, was 20.34%.
Market value for RWCB was $20.51 per share as of close of business
March 31, 2024.
For more information regarding Redwood Capital Bancorp, please
visit our website at www.redwoodcapitalbank.com, contact Renee
Byers, CFO, at (707) 444-9849, or stop by our headquarters and main
office at 402 “G” Street, Eureka, CA 95501. Redwood Capital Bancorp
(OTCQX:RWCB) trades on the OTCQX Best Market. Companies meet high
financial standards, follow best practice corporate governance,
demonstrate compliance with U.S. securities laws and have a
professional third-party sponsor introduction. Investors can find
current financial disclosure and Real-Time Level 2 quotes for the
Company on www.otcmarkets.com.
This press release may contain forward-looking statements that
are subject to risks and uncertainties. Such risks and
uncertainties may include but are not necessarily limited to
fluctuations in interest rates, inflation, government regulations
and general economic conditions, and competition within the
business areas in which the Bank is conducting its operations,
including the real estate market in California and other factors
beyond the Bank’s control. Such risks and uncertainties could cause
results for subsequent interim periods or for the entire year to
differ materially from those indicated. Readers should not place
undue reliance on the forward-looking statements, which reflect
management’s view only as of the date hereof. The Bank undertakes
no obligation to publicly revise these forward-looking statements
to reflect subsequent events or circumstances.
Redwood Capital Bancorp Selected Consolidated Financial Results -
Unaudited (In Thousands - except share data) Period Ended %
3/31/2024 3/31/2023 Change Balance Sheet Data (at period
end) Total assets
$
527,120
$
511,533
3
%
Total deposits
468,151
459,091
2
%
Total loans (net)
386,517
379,756
2
%
Common equity
46,527
41,240
13
%
Common shares outstanding
1,939,192
1,977,596
-2
%
Summary of Operations (Year to Date) Interest income
5,743
5,113
12
%
Interest expense
1,094
319
243
%
Net Interest Income
4,649
4,794
-3
%
Non-interest income
966
1,184
-18
%
Non-interest expense
3,654
3,448
6
%
Net Income before provision
1,961
2,530
-22
%
Provision for loan losses
74
35
0
%
Income before taxes
1,887
2,495
-24
%
Income taxes
521
671
-22
%
Net Income
1,366
1,825
-25
%
Earnings per share (fully diluted)
$
0.70
$
0.92
-24
%
Book value per common share
$
23.99
$
20.85
15
%
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version on businesswire.com: https://www.businesswire.com/news/home/20240501927932/en/
Renee Byers, CFO, (707) 444-9849