Business
Avidbank Holdings, Inc. Announces Net Income of $6.4 Million for the First Quarter of 2023
SAN JOSE, CA / ACCESSWIRE / April 25, 2023 / Avidbank Holdings, Inc. (OTC PINK:AVBH) announced net income for the first quarter of 2023 of $6.4 million, or
About this update from Avidbank Holdings, Inc.
[{"type":"text","content":"SAN JOSE, CA / ACCESSWIRE / April 25, 2023 / Avidbank Holdings, Inc. (OTC PINK:AVBH) announced net income for the first quarter of 2023 of $6.4 million, or $0.85 per diluted share, compared to $8.4 million, or $1.13 per diluted share, for the fourth quarter of 2022 and $4.3 million, or $0.71 per diluted share, for the first quarter of 2022. Operating net income,(1) excluding the loss on sale of securities, totaled $7.0 million, or $0.93 per diluted share for the first quarter of 2023.First Quarter 2023 Financial HighlightsBook value per share of $19.57 on March 31, 2023, compared to $17.99 on December 31, 2022 and $19.20 on March 31, 2022.Return on average assets was 1.19%, compared to 1.61% in the fourth quarter of 2022 and 0.83% in the first quarter of 2022.Taxable equivalent net interest margin(1) was 3.92% in the first quarter of 2023, compared to 4.41% in the fourth quarter of 2022 and 3.05% in the first quarter of 2022.Annualized net charge-offs to average loans totaled 0.00% for the first quarter of 2023, the fourth quarter of 2022 and the first quarter of 2022.Liquidity UpdateTotal deposits were $1.62 billion on March 31, 2023, a decrease of $205 million, or 11%, compared to December 31, 2022. This included a $198 million, or 26%, net decrease in Venture Lending deposits. Excluding our Venture Lending division, deposits decreased $7 million, or 1%, from December 31, 2022.Uninsured deposits represented 59% of total deposits on March 31, 2023 compared to 85% on December 31, 2022. This decrease in uninsured deposits included an increase in ICS reciprocal deposits of $308 million.We took proactive steps to improve liquidity, including pledging investment securities to the Federal Reserve Bank Term Funding Program, increasing borrowing capacity to the Federal Reserve Discount Window, and issuing $53 million in brokered CDs. Our net available borrowing capacity totaled approximately $1.1 billion as of April 21, 2023.We sold a total of $57 million securities for an $815,000 loss in late March to reduce our reliance on borrowings and to improve profitability. This included the sale of $25 million in available for sale mortgage-backed securities and the sale of all $32 million in held to maturity municipal securities.\"While the banking industry has begun to adjust to additional turmoil due to the failure of Silicon Valley Bank (...