CalWest Bancorp (OTCBB: CALW), the holding company for South County Bank N.A., today announced the consolidated financial results for the six months ended June 30, 2013. Significant items for the period ending June 30, 2013 include:
- Quarterly net income of $50,000, compared to the previous quarter profit of $12,000
- No additional loan loss provision required; resulting in the allowance for loan loss (ALL) ratio decreasing slightly from 6.20% to 5.95%
- Total assets were flat at $144 million, with new business offsetting run-off
- Non-performing loans reduced significantly in 2013 by 41% quarter-over-quarter; and are down $1.9 million from a year ago
- Non-interest bearing deposits maintained at 35% of total deposits, helping reduce the Bank’s cost-of-deposits to 0.40% from 0.48% a year ago
- The increase in Net Interest Income offset the reduction in Non-Interest Income as increased focus is placed on core earnings
- Non-interest expenses continue to improve, decreasing 2% quarter-over-quarter
“Our efforts as it relates to reducing non-performing assets and operating expenses, while improving core earnings began to reflect more positively in our results this past quarter,” noted Glenn Gray, CEO and President of CalWest Bancorp and South County Bank. “The single problem loan that interrupted our progress during the second half of last year has transitioned to other real estate owned where it can be dealt with more effectively, and many classified loans, which have been consistently paying-as-agreed, are starting to demonstrate sustained earnings. With a full complement of Relationship Managers and a re-staffed Credit Administration team, the Bank is focusing on expanding its Balance Sheet while continuing to actively manage its shrinking non-performing loan portfolio.”
CalWest Bancorp is the parent company of South County Bank, a community bank recognized for its exemplary service to entrepreneurs, high net worth individuals and non-profit organizations located throughout Southern California. The Bank serves the business community through its four branches located in Rancho Santa Margarita, Irvine, Huntington Beach and Redlands.
