Riverview Bancorp, Inc. (NASDAQ:RVSB) (“Riverview” or the “Company”) today reported a net loss of $1.8 million, or $0.08 per share, in its first fiscal quarter ended June 30, 2012, compared to a net loss of $16.0 million, or $0.71 per share in the preceding quarter and net income of $714,000, or $0.03 per share, in its first fiscal quarter a year ago.
“Identifying and resolving problem credits and maintaining an adequate reserve balance remains a top priority,” said Pat Sheaffer, Chairman and CEO. “We continue to aggressively make progress in these areas and our non-performing loan balances and net charge-offs are steadily being reduced.”
Riverview recorded a $4.0 million provision for loan losses in the first quarter of fiscal year 2013, compared to $17.5 million in the preceding quarter and $1.6 million in the first quarter of fiscal year 2012. The total allowance for loan losses increased to $21.0 million at June 30, 2012, compared to $19.9 million at March 31, 2012. The allowance for loan losses represented 3.39% of total loans and 57.02% of non-performing loans (NPLs) at June 30, 2012. NPLs decreased to $36.8 million, or 5.95% of total loans at June 30, 2012, compared to $44.2 million, or 6.45% of total loans at March 31, 2012.
Net charge-offs in the first quarter of fiscal 2013 totaled $2.9 million, compared to $13.5 million in the fourth quarter of fiscal 2012 and $459,000 in the first quarter a year ago.
“We continue to maintain elevated levels of reserves while working our way through this difficult credit cycle,” said Ron Wysaske, President and COO. “The local and regional economy remains challenging and our top priority is to focus our diligent efforts on reducing and resolving nonperforming assets. Riverview remains an important economic participant as one of the few community banks in the region and the only community bank headquartered in Clark County.”