Business
People’s Bank Reports Third Quarter Earnings
People’s Bank Reports Third Quarter Earnings.
About this update from Pbco Financial Corporation
[{"type":"text","content":"\nPeople’s Bank of Commerce (OTC PINK: PBCO) announced today its financial results for the 3rd quarter of 2021.\n\nHighlights\n\n\nThird quarter net income of $2,650,000, or $0.53 per diluted share\n\n\nYear-to-date net income of $8,496,000, or $1.85 per diluted share\n\n\nQuarterly non-PPP loan growth rate of 14.5%\n\n\nThird quarter tax equivalent net interest margin of 3.7%, excluding factoring revenue\n\n\nSteelhead factoring revenue increased 66.2% over Q3 2020\n\n\nPeople’s Bank reported quarterly net income of $2,650,000, or $0.53 per diluted share, for the 3rd quarter of 2021 compared to net income of $1,937,000, or $0.53 per diluted share, in the same quarter of 2020. The bank recognized year-to-date net income of $8,496,000 versus $4,433,000 for the nine months of 2020, a 91.6% increase from the prior year. Earnings per share for the trailing 12 months were $2.36 per share, up from $1.69 per share for the same period of 2020, a 39.3% increase. Third quarter income continued to be positively impacted by PPP fee income due to pro-ration of the remaining unamortized origination processing fees at payoff with $1,271,000 in PPP fee income recognized during the quarter. Steelhead Finance also demonstrated solid revenue of $1,785,000 during the quarter, versus $1,074,000 in 3rd quarter 2020. During the quarter, the bank made a provision for loan losses of $347,000. The Bank also charged-off two non-accrual loans totaling $199,000 during the third quarter. As anticipated with the bank’s recent acquisition of Willamette Community Bank (WMCB) in the 1st quarter, the bank was able to achieve higher earnings per share than in previous periods.\n\nDuring the quarter, deposits increased $37.7 million, or an annualized 21.2% growth rate. On an annual basis, deposits grew by $318.8 million, a 73.8% increase from September 30, 2020. “Of deposit growth achieved in the last 12 months, 43.4% was in non-interest DDA,” commented Joan Reukauf, Chief Operating Officer. The deposit growth was due to several factors, including the bank’s acquisition of WMCB in the first quarter, the bank’s participation in the PPP loan program, and organic growth in all of our deposit markets. “The bank recently completed its system conversion for the Willamette division in September 2021, which is one of the fina...