AltaPacific Bancorp Reports Earnings for Third Quarter 2018

SANTA ROSA, Calif. – (BUSINESS WIRE) – October 22, 2018 - AltaPacific Bancorp (OTCBB: ABNK), the parent company of AltaPacific Bank, today reported year-to-date net income totaling $3,797,000, or $0.63 per diluted share, and quarterly net income totaling $1,387,000, or $0.23 per diluted share, for the period ending September 30, 2018, respectively.

Assets for the Company totaled $431,106,000 at September 30, 2018, representing a decrease of $3.1 million (0.7%) over June 30, 2018 and an increase of $12.5 million (3.0%) over December 31, 2017. At September 30, 2018, gross loans totaled $322,313,000 representing a decrease of $6.0 million (1.8%) over June 30, 2018 and an increase of $26.6 million (9.0%) over December 31, 2017. Deposits totaled $339,573,000 at September 30, 2018, representing an increase of $1.4 million (0.4%) over June 30, 2018 and an increase of $4.4 million (1.3%) over December 31, 2017. At September 30, 2018 the Allowance for Loan and Lease Losses totaled $4,126,000, representing 1.45% of gross loans originated. In addition, at September 30, 2018 nonaccrual loans totaled $44,000 and there were no other loans past due in excess of 30 days.

The Company’s Share Repurchase Program resulted in the repurchase of 244,000 shares of Company stock at a total cost of approximately $3.9 million, or $16.11 per share, during the three-month period ending September 30, 2018. During the nine-month period ending September 30, 2018, the Company repurchased approximately 550,000 shares of Company stock at a total cost of approximately $8.2 million, or $14.91 per share. As of September 30, 2018, there were 5,698,103 shares of AltaPacific Bancorp stock issued and outstanding.

“We continue to expand our market presence, particularly among our newest branches in Southern California,” reported Charles O. Hall, Chief Executive Officer. Continuing, Mr. Hall stated, “Our two newest branches – Riverside and San Bernardino – have experienced a 29% increase in loans and a 19% increase in deposits during the first nine months of this year.”

AltaPacific Bancorp is the parent company for AltaPacific Bank. The Company’s stock trades over the counter under the symbol ABNK. AltaPacific Bank is an independent business bank headquartered in Santa Rosa, California and has additional banking offices in Covina, Ontario, Riverside, San Bernardino and Temecula, California. The bank is focused on meeting the specialized needs of small to medium-sized businesses and professionals throughout California. For additional information, please contact us at (707) 236-1500 or online at www.apbconnect.com.

The following is a summary of the company’s financial performance (unaudited) as of September 30, 2018:

 

(Dollars in thousands)

December 31, 2017

June 30, 2018

September 30, 2018

Gross Loans

$ 295,684

$ 328,319

$ 322,313

Allowance for Loan Losses

3,686

4,126

4,126

Net Loans

291,998

324,193

318,187

Total Assets

418,634

434,211

431,106

Total Deposits

335,147

338,189

339,573

Shareholders’ Equity

58,028

56,043

53,530

 

 

(Dollars in thousands,

except per share data)

Three Month Period Ending

Nine Month Period Ending

June 30,

2018

September 30,

2018

September 30,

2017

September 30,

2018

Interest Income

$ 5,780

$ 5,458

$ 14,396

$ 16,099

Interest Expense

530

534

1,285

1,493

Net Interest Income

5,250

4,924

13,111

14,606

Provision for Loan Losses

300

-

150

440

Noninterest Income

174

210

1,881

963

Noninterest Expense

3,200

3,183

10,290

9,788

Pretax Income

1,924

1,951

4,552

5,341

Provision for Income Taxes

563

564

1,172

1,544

Net Income

1,361

1,387

3,380

3,797

Return on Average Assets

1.35%

1.38%

1.11%

1.26%

Return on Average Equity

9.53%

9.71%

7.74%

8.86%

Efficiency Ratio

59.00%

62.00%

68.64%

62.87%

EPS Basic

$ 0.23

$ 0.24

$ 0.53

$ 0.64

EPS Diluted

$ 0.22

$ 0.23

$ 0.52

$ 0.63

Book Value Per Common Share

$ 9.44

$ 9.39

$ 9.32

$ 9.39

Common Shares Outstanding

5,936,160

5,698,103

6,328,352

5,698,103

Weighted Average Shares - Basic

6,032,791

5,785,838

6,435,560

5,949,569

Weighted Average Shares - Diluted

6,144,373

5,932,218

6,489,918

6,073,999

 

 

Forward-Looking Statements

This press release may contain forward-looking statements about AltaPacific Bancorp and its subsidiaries, including descriptions of plans or objectives of its management for future operations, products or services, and forecasts of its revenues, earnings or other measures of economic performance. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may." Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors — many of which are beyond AltaPacific’s control — could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following possibilities: (1) competitive pressures among depository and other financial institutions may increase significantly; (2) revenues may be lower than expected; (3) changes in the interest rate environment may reduce interest margins; (4) general economic conditions, either nationally or regionally, may be less favorable than expected, resulting in, among other things, a deterioration in credit quality and/or a reduced demand for credit; (5) legislative or regulatory changes, including changes in accounting standards and tax laws, may adversely affect the businesses in which AltaPacific is engaged; (6) competitors may have greater financial resources and develop products that enable such competitors to compete more successfully than AltaPacific; and (7) adverse changes may occur in the securities markets or with respect to inflation. Forward-looking statements speak only as of the date they are made. Except as required by law, AltaPacific does not undertake to update forward-looking statements to reflect subsequent circumstances or events.