Business
PBCO Financial Corporation Reports Q2 2023 Earnings
PBCO Financial Corporation Reports Q2 2023 Earnings.
About this update from Pbco Financial Corporation
[{"type":"text","content":"\nPBCO Financial Corporation (OTC PINK: PBCO), the holding company (Company) of People’s Bank of Commerce (Bank), today reported earnings of $1.65 million and earnings per diluted share of $0.31 for the quarter ended June 30, 2023, similar to $1.67 million and $0.31 per diluted share for the quarter ended March 31, 2023.\n\n\nHighlights\n\n\n\nPortfolio loans increased 3.2% year to date as our Eugene operation gains traction\n\n\n\nCredit quality continues to improve with non-performing assets totaling only 0.12% of total assets\n\n\n\nTotal non-interest expense declined slightly during the quarter from cost containment efforts\n\n\n\nMortgage lending income showing improvement, reflecting the 1st quarter strategic investment in mortgage lending personnel\n\n\n\nNet interest margin declined to 3.22% during the quarter from 3.49% the prior quarter, reflecting the continued challenge of the rising rate environment\n\n\n\nJulia Beattie appointed President and CEO after Ken Trautman’s retirement on June 30, 2023\n\n\n\n“During 2nd quarter, the Bank continued to focus on quality loan growth supported by improved yields in the rising rate environment,” commented Julia Beattie, President and Chief Executive Officer. Loans increased $2.4 million in the quarter, or 0.50%, compared to the first quarter of 2023. “Although at a more moderate pace, the Bank’s loan portfolio continued to grow during the quarter, with demand for loans staying strong in spite of significantly higher borrowing costs than the same period last year,” commented Julia Beattie.\n\n\nNon-performing assets improved in the second quarter to 0.12%, as a percentage of total assets, versus 0.19% in the first quarter 2023. “Although credit quality has been strong from a historical perspective, non-performing loans decreased from the prior quarter with the successful resolution of a non-accrual loan,” noted Bill Whalen, Chief Credit Officer. During the second quarter, the Allowance for Loan and Lease Losses (ALLL) decreased by $84 thousand utilizing the recently implemented Current Expected Credit Loss model that went into effect in January 2023.\n\n\nDeposits decreased $23.0 million during the quarter, a 3.4% decline from the first quarter of 2023. “Contraction in deposits was due to continued rate competition, bot...