Presidio Bank (OTCBB: PDOB), a Bay Area business bank, today reported unaudited results for the fourth quarter and full year ended December 31, 2018 with Net Income for the year of $11.8 million, up 116% from 2017. Net Income in 2017 was reduced by a $1.5 million devaluation of Deferred Tax Assets and Low Income Housing Investments in the fourth quarter due to the tax reform legislation. Pretax Income for 2018 was $15.7 million, up 39% from 2017. Pretax Income for the quarter ending December 31, 2018 was $4.8 million, up 10% from the quarter ending September 30, 2018, and up 39% from the quarter ending December 31, 2017. Diluted Earnings per Share were $0.50 for the fourth quarter of 2018. For 2018, Diluted Earnings per Share were $1.82, up from $0.87 in 2017. Diluted Earnings per share were reduced by $0.24 in 2017 due to the Deferred Tax Asset devaluation. Total Assets were $862 million at December 31, 2018, up $28 million or 3% from September 30, 2018 and up $69 million or 9% from December 31, 2017.
“2018 was another year of significant growth in profitability driven by continued asset growth combined with increasing margins and improved efficiency,” said Presidio Bank CEO Steve Heitel.
Financial Highlights
- Loans, net of fees at December 31, 2018 were up $42 million or 6.3% from September 30, 2018 and up $85 million or 13.5% from December 31, 2017. Growth for the year was centered in Commercial Real Estate, up $57 million, Personal, up $18 million and Land and Construction, up $11 million. Commercial and Industrial Loans declined $21 million during 2018, primarily due to a decline in Line of Credit Utilization from 42% to 33%. Loan Originations for the fourth quarter of 2018 were $78 million, up from $42 million in the third quarter 2018. For the year, Loan Originations were $252 million, down marginally from $259 million in 2017.
- Total Deposits at December 31, 2018 increased by $24 million or 3% from September 30, 2018. Total Deposits increased $55 million or 8% for the year. Demand Deposits increased $4 million or 1% in the fourth quarter and were up $24 million or 8% for the year. Demand Deposits comprise 42% of total deposits at December 31, 2018. Money Market Deposits increased by $6 million or 2% in the fourth quarter and were up $47 million or 20% for the year.
- Net Interest Income of $9.5 million in the fourth quarter of 2018 was up 4% from the third quarter of 2018 and up 23% from the fourth quarter of 2017. For the year, Net Interest Income was up 21% over 2017. Net Interest Margin increased during the fourth quarter of 2018 to 4.55% from 4.32% in the third quarter of 2018. Net Interest Margin for the full year 2018 was 4.34%, up from 4.05% in 2017. Loan portfolio yield for the quarter increased to 5.42% from 5.27% in the third quarter of 2018. For the year, the loan portfolio yield increased to 5.25% from 4.91% in 2017. The Cost of Deposits was 0.32% in the fourth quarter 2018, up from 0.28% in the third quarter of 2018. For the year, the Cost of Deposits was 0.26%, up from 0.15% in 2017.
- Operating Expense in the fourth quarter 2018 was up 2% from the third quarter of 2018 and up 9.2% from the fourth quarter of 2017. For the full year 2018, Operating Expense was up 10.8%, primarily due to a growth-related increase in Salary and Benefit Expense, an increase in Occupancy Expense due to the full year impact of the lease on our Walnut Creek branch that opened in the 2nd half of the 2017, and higher professional fees.
- Full year 2018 Total Revenue grew 21% while Total Expenses grew 10.8% compared to full year 2017. The Bank’s efficiency ratio improved to 56.2% in 2018 from 61.7% in 2017. In the fourth quarter of 2018, the Bank’s efficiency ratio was 51.2% versus 57.4% in the fourth quarter of 2017.
- During the fourth quarter of 2018, the Bank placed a $3.7 million Commercial Real Estate Loan on non-accrual status. The loan is past due because of a dispute between the owners of the property, which prevented a timely renewal of the credit. There is currently no impairment on the loan as a recent appraisal indicated a loan-to-value ratio of 50%. This is the Bank’s only non-performing loan. The Classified Asset to Capital Ratio increased to 6.3% at December 31, 2018 from 2.6% at September 30, 2018 solely due to the above referenced loan. Total Criticized and Classified Loans represent only 4% of Loan Commitments and 5% of Loans Outstanding at December 31, 2018, up 1% each from September 30, 2018.
- Book Value per Share increased to $14.21 per share at December 31, 2018 from $13.59 per share at September 30, 2018 and $12.29 per share at December 31, 2017.
“I am grateful to our clients for continuing to trust us with their banking business and their willingness to refer us to their friends,” said Presidio Bank Chairman and Founder, Jim Woolwine. “This has allowed us to continue our quality growth.”
4th Quarter 2018 Financial Results | |||||||||||||||||||
(Dollars in thousands, except per share amounts, unaudited) | |||||||||||||||||||
Condensed Balance Sheet | |||||||||||||||||||
12/31/2018 | 9/30/2018 | Change | 12/31/2017 | Change | |||||||||||||||
Cash and due from banks | 7,804 | 9,041 | -13.7% | 7,613 | 2.5% | ||||||||||||||
Interest bearing due from banks | 67,877 | 78,598 | -13.6% | 129,952 | -47.8% | ||||||||||||||
Total cash and equivalents | 75,681 | 87,639 | -13.6% | 137,565 | -45.0% | ||||||||||||||
Investment securities | 57,925 | 59,282 | -2.3% | 12,313 | 370.4% | ||||||||||||||
Loans, net of fees | 710,939 | 668,934 | 6.3% | 626,282 | 13.5% | ||||||||||||||
Allowance for loan losses | (7,439) | (7,423) | 0.2% | (7,166) | 3.8% | ||||||||||||||
Net loans | 703,500 | 661,511 | 6.3% | 619,116 | 13.6% | ||||||||||||||
Premises and equipment, net | 2,287 | 2,371 | -3.5% | 2,627 | -13.0% | ||||||||||||||
Other assets and interest receivable | 23,071 | 23,366 | -1.3% | 22,237 | 3.7% | ||||||||||||||
Total assets | 862,464 | 834,169 | 3.4% | 793,858 | 8.6% | ||||||||||||||
Non-interest-bearing demand | 319,358 | 315,493 | 1.2% | 295,070 | 8.2% | ||||||||||||||
Interest bearing transaction | 116,120 | 101,712 | 14.2% | 120,109 | -3.3% | ||||||||||||||
Money market and savings accounts | 285,245 | 278,867 | 2.3% | 238,706 | 19.5% | ||||||||||||||
Time deposits | 37,995 | 38,400 | -1.1% | 50,269 | -24.4% | ||||||||||||||
Total deposits | 758,718 | 734,472 | 3.3% | 704,154 | 7.7% | ||||||||||||||
Borrowings | 9,865 | 9,928 | -0.6% | 10,174 | -3.0% | ||||||||||||||
Other liabilities | 5,221 | 5,014 | 4.1% | 4,767 | 9.5% | ||||||||||||||
Total liabilities | 773,804 | 749,414 | 3.3% | 719,095 | 7.6% | ||||||||||||||
Common stock | 67,978 | 67,783 | 0.3% | 65,960 | 3.1% | ||||||||||||||
Retained earnings | 20,683 | 17,401 | 18.9% | 8,854 | 133.6% | ||||||||||||||
Other comprehensive income | (1) | (429) | 99.8% | (51) | 98.3% | ||||||||||||||
Total shareholder’s equity | 88,660 | 84,755 | 4.6% | 74,763 | 18.6% | ||||||||||||||
Total liabilities and equity | 862,464 | 834,169 | 3.4% | 793,858 | 8.6% | ||||||||||||||
Book value per share | |||||||||||||||||||
Book value per share | $ | 14.21 | $ | 13.59 | $ | 12.29 | |||||||||||||
Total shares outstanding EOP | 6,241 | 6,238 | 6,084 | ||||||||||||||||
Capital Ratios | |||||||||||||||||||
Tier 1 leverage ratio | 10.3% | 9.9% | 9.7% | ||||||||||||||||
Tier 1 risk-based capital ratio | 10.0% | 10.2% | 9.8% | ||||||||||||||||
Tangible common risk-based ratio | 10.0% | 10.2% | 9.8% | ||||||||||||||||
Total risk-based capital ratio | 12.1% | 12.3% | 12.1% | ||||||||||||||||
Condensed Statement of Income | |||||||||||||||||||||||||||||||
(Dollars in thousands, except per share amounts, unaudited) | |||||||||||||||||||||||||||||||
For the three months ended | For the twelve months ended | ||||||||||||||||||||||||||||||
12/31/2018 | 9/30/2018 |
Change | 12/31/2017 |
Change | 12/31/2018 | 12/31/2017 |
Change | ||||||||||||||||||||||||
Interest income | 10,323 | 9,866 | 4.6% | 8,236 | 25.3% | 37,801 | 30,799 | 22.7% | |||||||||||||||||||||||
Interest expense | 812 | 752 | (7.9%) | 483 | (68.2%) | 2,758 | 1,819 | (51.6%) | |||||||||||||||||||||||
Net interest income | 9,511 | 9,114 | 4.4% | 7,753 | 22.7% | 35,043 | 28,980 | 20.9% | |||||||||||||||||||||||
Provision for loan loss | 16 | 98 | 83.4% | - | NM | 273 | 298 | 8.3% | |||||||||||||||||||||||
Net interest income after provision | 9,495 | 9,016 | 5.3% | 7,753 | 22.5% | 34,770 | 28,682 | 21.2% | |||||||||||||||||||||||
Other income | 315 | 279 | 13.0% | 287 | 9.6% | 1,221 | 948 | 28.9% | |||||||||||||||||||||||
Compensation and benefit expenses | 3,335 | 3,301 | (1.1%) | 2,814 | (18.5%) | 13,174 | 11,525 | (14.3%) | |||||||||||||||||||||||
Occupancy and equipment expenses | 606 | 625 | 3.1% | 617 | 1.7% | 2,450 | 2,282 | (7.3%) | |||||||||||||||||||||||
Data processing | 420 | 388 | (8.3%) | 388 | (8.2%) | 1,592 | 1,366 | (16.6%) | |||||||||||||||||||||||
Professional and legal | 161 | 145 | (11.3%) | 155 | (4.1%) | 731 | 574 | (27.5%) | |||||||||||||||||||||||
Other operating expenses | 503 | 473 | (6.5%) | 627 | 19.7% | 2,321 | 2,547 | 8.9% | |||||||||||||||||||||||
Total operating expenses | 5,025 | 4,932 | (1.9%) | 4,601 | (9.2%) | 20,268 | 18,294 | (10.8%) | |||||||||||||||||||||||
Net income before taxes | 4,785 | 4,363 | 9.7% | 3,439 | 39.1% | 15,723 | 11,336 | 38.7% | |||||||||||||||||||||||
Income taxes | 1,503 | 870 | (72.8%) | 2,838 | 47.0% | 3,894 | 5,859 | 33.5% | |||||||||||||||||||||||
Net income | 3,282 | 3,493 | (6.0%) | 601 | 445.7% | 11,829 | 5,477 | 116.0% | |||||||||||||||||||||||
Earnings Per Share | |||||||||||||||||||||||||||||||
Basic earnings per share | $ | 0.53 | $ | 0.56 | (6.4%) | $ | 0.10 | 431.9% | $ | 1.92 | $ | 0.91 | 111.8% | ||||||||||||||||||
Diluted earnings per share | $ | 0.50 | $ | 0.53 | (6.1%) | $ | 0.09 | 434.2% | $ | 1.82 | $ | 0.87 | 110.0% | ||||||||||||||||||
Average shares outstanding | 6,160 | 6,132 | 6,009 | 6,092 | 5,979 | ||||||||||||||||||||||||||
Average diluted shares | 6,458 | 6,454 | 6,328 | 6,432 | 6,259 | ||||||||||||||||||||||||||
Performance Ratios | |||||||||||||||||||||||||||||||
Return on average assets | 1.52% | 1.60% | 0.32% | 1.41% | 0.75% | ||||||||||||||||||||||||||
Return on average common equity | 14.95% | 16.64% | 3.25% | 14.44% | 7.67% | ||||||||||||||||||||||||||
Net interest margin | 4.55% | 4.32% | 4.11% | 4.34% | 4.05% | ||||||||||||||||||||||||||
Cost of funds | 0.42% | 0.39% | 0.28% | 0.37% | 0.28% | ||||||||||||||||||||||||||
Efficiency ratio | 51.2% | 52.5% | 57.4% | 56.2% | 61.7% | ||||||||||||||||||||||||||
Average Balances | |||||||||||||||||||||||||||||||
Total assets | 857,104 | 864,605 | 774,015 | 834,978 | 736,754 | ||||||||||||||||||||||||||
Earning assets | 829,811 | 836,348 | 747,679 | 807,700 | 715,782 | ||||||||||||||||||||||||||
Total loans | 675,569 | 665,655 | 608,584 | 654,920 | 594,624 | ||||||||||||||||||||||||||
Total deposits | 754,400 | 763,647 | 684,233 | 737,628 | 649,793 | ||||||||||||||||||||||||||
Common equity | 87,084 | 83,346 | 75,531 | 81,583 | 72,056 | ||||||||||||||||||||||||||
NM = Not Meaningful | |||||||||||||||||||||||||||||||
Condensed Balance Sheet (5 Quarter Data) | |||||||||||||||||||||
(Dollars in thousands, except per share amounts, unaudited) | |||||||||||||||||||||
12/31/2018 | 9/30/2018 | 6/30/2018 | 3/31/2018 | 12/31/2017 | |||||||||||||||||
Cash and due from banks | 7,804 | 9,041 | 8,842 | 14,682 | 7,613 | ||||||||||||||||
Interest bearing due from banks | 67,877 | 78,598 | 130,412 | 154,434 | 129,952 | ||||||||||||||||
Total cash and equivalents | 75,681 | 87,639 | 139,254 | 169,116 | 137,565 | ||||||||||||||||
Investment securities | 57,925 | 59,282 | 41,326 | 11,810 | 12,313 | ||||||||||||||||
Loans, net of fees | 710,939 | 668,934 | 653,226 | 649,994 | 626,282 | ||||||||||||||||
Allowance for loan losses | (7,439) | (7,423) | (7,325) | (7,325) | (7,166) | ||||||||||||||||
Net loans | 703,500 | 661,511 | 645,901 | 642,669 | 619,116 | ||||||||||||||||
Premises and equipment, net | 2,287 | 2,371 | 2,464 | 2,537 | 2,627 | ||||||||||||||||
Other assets and interest receivable | 23,071 | 23,366 | 24,373 | 23,796 | 22,237 | ||||||||||||||||
Total assets | 862,464 | 834,169 | 853,318 | 849,928 | 793,858 | ||||||||||||||||
Non-interest-bearing demand | 319,358 | 315,493 | 298,354 | 337,201 | 295,070 | ||||||||||||||||
Interest bearing transaction | 116,120 | 101,712 | 108,338 | 108,399 | 120,109 | ||||||||||||||||
Money market and savings accounts | 285,245 | 278,867 | 302,077 | 262,503 | 238,706 | ||||||||||||||||
Time deposits | 37,995 | 38,400 | 48,698 | 50,082 | 50,269 | ||||||||||||||||
Total deposits | 758,718 | 734,472 | 757,467 | 758,185 | 704,154 | ||||||||||||||||
Borrowings | 9,865 | 9,928 | 9,961 | 10,059 | 10,174 | ||||||||||||||||
Other liabilities | 5,221 | 5,014 | 5,152 | 4,466 | 4,767 | ||||||||||||||||
Total liabilities | 773,804 | 749,414 | 772,580 | 772,710 | 719,095 | ||||||||||||||||
Common stock | 67,978 | 67,783 | 66,995 | 66,241 | 65,960 | ||||||||||||||||
Retained earnings | 20,683 | 17,401 | 13,908 | 11,079 | 8,854 | ||||||||||||||||
Other comprehensive income | (1) | (429) | (165) | (102) | (51) | ||||||||||||||||
Total shareholder’s equity | 88,660 | 84,755 | 80,738 | 77,218 | 74,763 | ||||||||||||||||
Total liabilities and equity | 862,464 | 834,169 | 853,318 | 849,928 | 793,858 | ||||||||||||||||
Book value per share | |||||||||||||||||||||
Book value per share | $ | 14.21 | $ | 13.59 | $ | 13.06 | $ | 12.68 | $ | 12.29 | |||||||||||
Total shares outstanding EOP | 6,241 | 6,238 | 6,184 | 6,090 | 6,084 | ||||||||||||||||
Capital Ratios | |||||||||||||||||||||
Tier 1 leverage ratio | 10.3% | 9.9% | 9.8% | 9.7% | 9.7% | ||||||||||||||||
Common equity tier 1 capital ratio | 10.0% | 10.2% | 9.9% | 9.5% | 9.8% | ||||||||||||||||
Tier 1 risk-based capital ratio | 10.0% | 10.2% | 9.9% | 9.5% | 9.8% | ||||||||||||||||
Total risk-based capital ratio | 12.1% | 12.3% | 12.1% | 11.7% | 12.1% | ||||||||||||||||
Condensed Statement of Income (5 Quarter Data) | |||||||||||||||||||||
(Dollars in thousands, except per share amounts, unaudited) | |||||||||||||||||||||
For the three months ended | |||||||||||||||||||||
12/31/2018 | 9/30/2018 | 6/30/2018 | 3/31/2018 | 12/31/2017 | |||||||||||||||||
Interest income | 10,323 | 9,866 | 9,042 | 8,570 | 8,236 | ||||||||||||||||
Interest expense | 812 | 752 | 707 | 487 | 483 | ||||||||||||||||
Net interest income | 9,511 | 9,114 | 8,335 | 8,083 | 7,753 | ||||||||||||||||
Provision for loan loss | 16 | 98 | - | 159 | - | ||||||||||||||||
Net interest income after provision | 9,495 | 9,016 | 8,335 | 7,924 | 7,753 | ||||||||||||||||
Other income | 315 | 279 | 309 | 320 | 287 | ||||||||||||||||
Compensation and benefit expenses | 3,335 | 3,301 | 3,254 | 3,283 | 2,814 | ||||||||||||||||
Occupancy and equipment expenses | 606 | 625 | 602 | 616 | 617 | ||||||||||||||||
Data processing | 420 | 388 | 400 | 385 | 388 | ||||||||||||||||
Professional and legal | 161 | 145 | 278 | 147 | 155 | ||||||||||||||||
Other operating expenses | 503 | 473 | 571 | 777 | 627 | ||||||||||||||||
Total operating expenses | 5,025 | 4,932 | 5,105 | 5,208 | 4,601 | ||||||||||||||||
Net income before taxes | 4,785 | 4,363 | 3,539 | 3,036 | 3,439 | ||||||||||||||||
Income taxes | 1,503 | 870 | 710 | 811 | 2,838 | ||||||||||||||||
Net income | 3,282 | 3,493 | 2,829 | 2,225 | 601 | ||||||||||||||||
Earnings Per Share | |||||||||||||||||||||
Basic earnings per share | $ | 0.53 | $ | 0.56 | $ | 0.46 | $ | 0.36 | $ | 0.10 | |||||||||||
Diluted earnings per share | $ | 0.50 | $ | 0.53 | $ | 0.44 | $ | 0.34 | $ | 0.09 | |||||||||||
Average shares outstanding | 6,160 | 6,132 | 6,053 | 6,025 | 6,009 | ||||||||||||||||
Average diluted shares | 6,458 | 6,454 | 6,419 | 6,398 | 6,328 | ||||||||||||||||
Performance Ratios | |||||||||||||||||||||
Return on average assets | 1.52% | 1.60% | 1.38% | 1.14% | 0.32% | ||||||||||||||||
Return on average common equity | 14.95% | 16.64% | 14.31% | 11.78% | 3.25% | ||||||||||||||||
Net interest margin | 4.55% | 4.32% | 4.20% | 4.27% | 4.11% | ||||||||||||||||
Cost of funds | 0.42% | 0.39% | 0.38% | 0.28% | 0.28% | ||||||||||||||||
Efficiency ratio | 51.2% | 52.5% | 59.1% | 62.1% | 57.4% | ||||||||||||||||
Average Balances | |||||||||||||||||||||
Total assets | 857,104 | 864,605 | 822,750 | 794,442 | 774,015 | ||||||||||||||||
Earning assets | 829,811 | 836,348 | 795,498 | 768,150 | 747,679 | ||||||||||||||||
Total loans | 675,569 | 665,655 | 642,855 | 635,039 | 608,584 | ||||||||||||||||
Total deposits | 754,400 | 763,647 | 728,532 | 703,081 | 684,233 | ||||||||||||||||
Common equity | 87,084 | 83,346 | 79,177 | 76,591 | 75,531 | ||||||||||||||||
Loans (5 Quarter Data) | ||||||||||||||||
(Dollars in Thousands, unaudited) | ||||||||||||||||
12/31/2018 | 9/30/2018 | 6/30/2018 | 3/31/2018 | 12/31/2017 | ||||||||||||
Commercial real estate | 328,667 | 304,123 | 303,444 | 283,238 | 271,346 | |||||||||||
Land and construction | 56,179 | 55,185 | 53,771 | 54,088 | 44,714 | |||||||||||
Commercial | 176,179 | 177,747 | 180,783 | 201,094 | 197,748 | |||||||||||
Personal | 34,738 | 22,505 | 13,709 | 17,172 | 16,295 | |||||||||||
Residential | 38,357 | 36,552 | 31,011 | 33,114 | 34,174 | |||||||||||
Multifamily | 77,928 | 73,839 | 71,505 | 62,325 | 63,024 | |||||||||||
Deferred loan fees | (1,109) | (1,017) | (997) | (1,037) | (1,019) | |||||||||||
Loans, net of fees | 710,939 | 668,934 | 653,226 | 649,994 | 626,282 | |||||||||||
Allowance for loan losses | (7,439) | (7,423) | (7,325) | (7,325) | (7,166) | |||||||||||
Net loans | 703,500 | 661,511 | 645,901 | 642,669 | 619,116 | |||||||||||
Non-Performing Assets (5 Quarter Data) | ||||||||||||||||
(Dollars in Thousands, unaudited) | ||||||||||||||||
12/31/2018 | 9/30/2018 | 6/30/2018 | 3/31/2018 | 12/31/2017 | ||||||||||||
Non-Accrual Loans | 3,746 | - | - | - | - | |||||||||||
Non-Performing Loans (NPL) | 3,746 | - | - | - | - | |||||||||||
Other Real Estate Owned | - | - | - | - | - | |||||||||||
Non-Performing Assets (NPA) | 3,746 | - | - | - | - | |||||||||||
90+ Days Delinquent | - | - | - | - | - | |||||||||||
NPAs & 90 Day Delinquent | 3,746 | - | - | - | - | |||||||||||
Quarterly Net Charge-offs | - | - | - | - | - | |||||||||||
NPAs / Assets % | 0.43% | 0.00% | 0.00% | 0.00% | 0.00% | |||||||||||
NPAs & 90 Day / Assets % | 0.43% | 0.00% | 0.00% | 0.00% | 0.00% | |||||||||||
NPAs / Actual Loans and OREO % | 0.43% | 0.00% | 0.00% | 0.00% | 0.00% | |||||||||||
Loan Loss Reserves / Loans (%) | 1.05% | 1.11% | 1.12% | 1.13% | 1.14% | |||||||||||
Net Interest Income (Quarterly Data) | |||||||||||||||||||||||||
(Dollars in Thousands, unaudited) | |||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||
12/31/2018 | 9/30/2018 | ||||||||||||||||||||||||
Interest | Interest | ||||||||||||||||||||||||
Average | Income/ | Average | Average | Income/ | Average | ||||||||||||||||||||
Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||||||||
Assets: | |||||||||||||||||||||||||
Interest-bearing deposits | $ | 95,949 | $ | 543 | 2.24 | % | $ | 116,875 | $ | 577 | 1.96 | % | |||||||||||||
Federal Reserve and Federal Home Loan Bank stock | 4,887 | 128 | 10.36 | 4,867 | 79 | 6.47 | |||||||||||||||||||
Investment Securities | 53,406 | 421 | 3.13 | 48,951 | 363 | 2.94 | |||||||||||||||||||
Loans: (2) | |||||||||||||||||||||||||
Commercial | 171,054 | 2,560 | 5.94 | 182,772 | 2,591 | 5.62 | |||||||||||||||||||
Land and Construction | 56,796 | 927 | 6.48 | 53,000 | 856 | 6.40 | |||||||||||||||||||
Commercial Real Estate | 307,474 | 3,934 | 5.08 | 305,632 | 3,854 | 5.00 | |||||||||||||||||||
Residential | 36,007 | 547 | 6.02 | 32,565 | 471 | 5.74 | |||||||||||||||||||
Multifamily | 74,159 | 892 | 4.77 | 74,251 | 872 | 4.66 | |||||||||||||||||||
Personal | 30,079 | 371 | 4.90 | 17,435 | 203 | 4.63 | |||||||||||||||||||
Total Loans | 675,569 | 9,231 | 5.42 | 665,655 | 8,847 | 5.27 | |||||||||||||||||||
Total Earning Assets | 829,811 | 10,323 | 4.94 | 836,348 | 9,866 | 4.68 | |||||||||||||||||||
Allowance for loan losses | (7,428) | (7,390) | |||||||||||||||||||||||
Cash and cash equivalents | 10,101 | 10,156 | |||||||||||||||||||||||
Other assets | 24,620 | 25,491 | |||||||||||||||||||||||
Total Assets | $ | 857,104 | $ | 864,605 | |||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||
Interest-bearing deposits: | |||||||||||||||||||||||||
Interest-bearing NOW deposits | $ | 102,590 | $ | 78 | 0.30 | % | $ | 107,491 | $ | 64 | 0.24 | % | |||||||||||||
Money market deposits | 277,247 | 424 | 0.61 | 291,017 | 364 | 0.50 | |||||||||||||||||||
Savings deposits | 3,925 | 3 | 0.30 | 3,892 | 3 | 0.25 | |||||||||||||||||||
Certificates and other time deposits | 38,251 | 96 | 1.00 | 43,674 | 110 | 1.00 | |||||||||||||||||||
Total Interest-bearing Deposits | 422,013 | 601 | 0.56 | 446,074 | 541 | 0.48 | |||||||||||||||||||
Borrowings | 9,856 | 211 | 8.49 | 9,952 | 211 | 8.41 | |||||||||||||||||||
Total Interest-bearing Liabilities | 431,869 | 812 | 0.75 | 456,026 | 752 | 0.65 | |||||||||||||||||||
Noninterest-bearing deposits | 332,387 | 317,573 | |||||||||||||||||||||||
Other liabilities | 5,764 | 7,660 | |||||||||||||||||||||||
Total Liabilities | 770,020 | 781,259 | |||||||||||||||||||||||
Stockholders' Equity | 87,084 | 83,346 | |||||||||||||||||||||||
Total Liabilities and Stockholders' Equity | $ | 857,104 | $ | 864,605 | |||||||||||||||||||||
Net Interest Income | $ | 9,511 | $ | 9,114 | |||||||||||||||||||||
Net Interest Margin | 4.55 | % | 4.32 | % | |||||||||||||||||||||
Cost of Funds | 0.42 | % | 0.39 | % | |||||||||||||||||||||
Cost of Deposits | 0.32 | % | 0.28 | % | |||||||||||||||||||||
Net Interest Income (Annual Data) | |||||||||||||||||||
(Dollars in Thousands, unaudited) | |||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||
12/31/2018 | 12/31/2017 | ||||||||||||||||||
Interest | Interest | ||||||||||||||||||
Average | Income/ | Average | Average | Income/ | Average | ||||||||||||||
Balance | Expense | Rate | Balance | Expense | Rate | ||||||||||||||
Assets: | |||||||||||||||||||
Interest-bearing deposits | $ | 117,354 | $ | 2,191 | 1.87 | % | $ | 108,324 | $ | 1,183 | 1.09 | % | |||||||
Federal Reserve and Federal Home Loan Bank stock | 4,805 | 360 | 7.49 | 4,505 | 302 | 6.70 | |||||||||||||
Investment Securities | 30,621 | 893 | 2.92 | 8,329 | 128 | 1.54 | |||||||||||||
Loans: (2) | |||||||||||||||||||
Commercial | 185,747 | 10,339 | 5.57 | 180,630 | 9,358 | 5.18 | |||||||||||||
Land and Construction | 52,136 | 3,371 | 6.47 | 26,482 | 1,647 | 6.22 | |||||||||||||
Commercial Real Estate | 295,082 | 14,650 | 4.96 | 269,499 | 12,838 | 4.76 | |||||||||||||
Residential | 33,123 | 1,856 | 5.60 | 31,615 | 1,500 | 4.74 | |||||||||||||
Multifamily | 69,637 | 3,248 | 4.66 | 61,246 | 2,795 | 4.56 | |||||||||||||
Personal | 19,195 | 893 | 4.65 | 25,152 | 1,048 | 4.17 | |||||||||||||
Total Loans | 654,920 | 34,357 | 5.25 | 594,624 | 29,186 | 4.91 | |||||||||||||
Total Earning Assets | 807,700 | 37,801 | 4.68 | 715,782 | 30,799 | 4.30 | |||||||||||||
Allowance for loan losses | (7,340) | (7,020) | |||||||||||||||||
Cash and cash equivalents | 9,776 | 8,839 | |||||||||||||||||
Other assets | 24,842 | 19,153 | |||||||||||||||||
Total Assets | $ | 834,978 | $ | 736,754 | |||||||||||||||
Liabilities: | |||||||||||||||||||
Interest-bearing deposits: | |||||||||||||||||||
Interest-bearing NOW deposits | $ | 107,443 | $ | 249 | 0.23 | % | $ | 104,157 | $ | 183 | 0.18 | % | |||||||
Money market deposits | 266,057 | 1,232 | 0.46 | 239,776 | 515 | 0.21 | |||||||||||||
Savings deposits | 3,869 | 9 | 0.24 | 4,550 | 4 | 0.10 | |||||||||||||
Certificates and other time deposits | 45,434 | 424 | 0.93 | 47,569 | 273 | 0.57 | |||||||||||||
Total Interest-bearing Deposits | 422,803 | 1,914 | 0.45 | 396,052 | 975 | 0.25 | |||||||||||||
Borrowings | 9,988 | 844 | 8.45 | 10,066 | 844 | 8.39 | |||||||||||||
Total Interest-bearing Liabilities | 432,791 | 2,758 | 0.64 | 406,118 | 1,819 | 0.45 | |||||||||||||
Noninterest-bearing deposits | 314,825 | 253,741 | |||||||||||||||||
Other liabilities | 5,779 | 4,839 | |||||||||||||||||
Total Liabilities | 753,395 | 664,698 | |||||||||||||||||
Stockholders' Equity | 81,583 | 72,056 | |||||||||||||||||
Total Liabilities and Stockholders' Equity | $ | 834,978 | $ | 736,754 | |||||||||||||||
Net Interest Income | $ | 35,043 | $ | 28,980 | |||||||||||||||
Net Interest Margin | 4.34 | % | 4.05 | % | |||||||||||||||
Cost of Funds | 0.37 | % | 0.28 | % | |||||||||||||||
Cost of Deposits | 0.26 | % | 0.15 | % | |||||||||||||||
About Presidio Bank
Presidio Bank provides business banking services to small and mid-size businesses, including professional service firms, real estate developers and investors, and not-for-profit organizations, and to their owners who desire personalized, responsive service with access to local decision makers. Presidio Bank offers clients the resources of a large bank combined with the personalized services of a neighborhood bank. Presidio Bank is headquartered in San Francisco, California and currently operates five banking offices in San Francisco, Walnut Creek, San Rafael, San Mateo and Palo Alto. More information is available at www.presidiobank.com. Presidio Bank is a member of FDIC and an Equal Housing Lender.
This press release contains certain forward-looking statements that involve risk and uncertainties. These statements are identifiable by use of the words “believe,” “expect,” “intend,” “anticipate,” “plan,” “estimate,” “project,” or similar expressions. The risks and uncertainties that may affect the operations, performance, development, growth projections and results of Presidio Bank’s business include, but are not limited to, the growth of the economy, interest rate movements, timely development by Presidio Bank of technology enhancements for its products and operating systems, the impact of competitive products, services and pricing, client-based requirements, Congressional legislation, changes in regulatory or generally accepted accounting principles and similar matters. Readers are cautioned not to place undue reliance on forward-looking statements which are subject to influence by the named risk factors and unanticipated future events. Actual results, accordingly, may differ materially from management expectations.
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