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PBCO Financial Corporation Reports Q3 2022 Earnings
PBCO Financial Corporation Reports Q3 2022 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), announced today its financial results for the 3rd quarter 2022.\n\nHighlights\n\n\nThird quarter net income of $3.0 million, or $0.59 per diluted share\n\n\nSteelhead gross factoring revenue of $1.9 million, a 6.2% increase from Q3 2021\n\n\nCore earnings (excluding PPP fee income) up 73.9% from Q3 2021\n\n\nInvestment securities increased $42.6 million, or 20.9%, over Q3 2021\n\n\nThe Company reported quarterly net income of $3.0 million, or $0.59 per diluted share, for the 3rd quarter of 2022 compared to net income of $2.7 million, or $0.53 per diluted share, in the same quarter of 2021. Earnings per share for the trailing 12 months were $2.14 per share, down from $2.28 per share for the prior twelve-month period.\n\nDeposits decreased $12.2 million, a 1.6% decline from the prior quarter ending June 30, 2022. Over the last 12 months, deposits contracted by $12.1 million, also a decline of 1.6%. “During 3rd quarter, the Bank experienced a decrease in deposits as customers sought alternative investments at higher yields on their non-operating cash balances,” commented Joan Reukauf, Chief Operating Officer. “The Bank is in a position where it does not have to aggressively compete for high-cost deposits and some deposit runoff was expected. Although deposits declined during the quarter and year to date, the Bank continues to have excess liquidity available to fund loans and add to the investment portfolio,” added Reukauf.\n\n“Portfolio loans were flat during the 3rd quarter of 2022, compared to 2nd quarter of 2022,” commented Julia Beattie, President. Excluding PPP loans in the portfolio as of 9/30/21, portfolio loans were up $11.4 million from the same quarter, prior year, a 2.6% increase. “Loans have been relatively flat during the year as the Bank made a conscious decision this year not to compete for loans based on historically low rates until the markets stabilize, instead focusing on high quality loan growth,” added Beattie. “These kinds of economic cycles do not favor a high growth strategy - quality and safety tend to win out as consumers and businesses adjust to the new reality.” Future reports will exclude commentary on the PPP program as it is...