EUREKA, Calif., Nov. 02, 2016 (GLOBE NEWSWIRE) -- On November 2, 2016, REDWOOD CAPITAL BANCORP (OTCBB:RWCB), the holding company for Redwood Capital Bank, announced unaudited consolidated financial results for the three and nine month period ended September 30, 2016. The only locally owned and operated community bank holding company reported record third quarter earnings and a continuation of dividend payments during its eleventh consecutive year of profitability.
John Dalby, President and CEO of the company, commented, “The Board of Directors and management team anticipate Redwood Capital Bank’s positive momentum to extend throughout the remainder of 2016 and into 2017. Our amazing staff continues to perform at a very high level and their efforts and talents are reflected in the financial results of the company. I feel very fortunate to be a part of the team. The strong balance sheet continues to improve and we are well positioned for the future.”
Total assets as of September 30, 2016 were $334.9 million; an increase of 4% over the June 30, 2016 and 4% from the September 30, 2015 reported figures. Total deposits stood at $306.4 million as of September 30, 2016, an increase of 4% over the June 30, 2016 and 5% over the September 30, 2015 figures. The company also reported robust loan growth for the quarter. Total loans as of September 30, 2016, net of unearned income, were $237 million, up 3% from the prior quarter and up 9% over the quarter ended September 30, 2015.
CEO Dalby continued, “Being the only local community bank serving Humboldt County, we are in a unique position to relate to and understand our customers. Our Board of Directors, management and staff are stakeholders in the community that we serve. Unlike out-of-area corporate banks, the monies deposited here stay here, helping to revitalize the North Coast’s economy. Humboldt County needs a strong, engaged community bank. Redwood Capital Bank continues to be an attractive choice for customers looking for a true financial partner.”
Net interest income for the three and nine months ended September 30, 2016 totaled $2,956,000 and $8,763,000, respectively, representing an increase of 1% and 8% over the three months ended June 30, 2016 and nine months ended September 30, 2015, respectively. The company also reported record net income for the third quarter of 2016 of $668,000 while earnings for the first nine months of 2016 totaled $1,921,000. The earnings represented a 5% increase over the September 30, 2015 quarter and an increase of 16% over the first nine months of 2015. The increased net income was attributed to decreasing credit costs, increasing non-interest income and strong net interest margin. Book value per common share, a common measurement of shareholder value, stood at $11.24 as of September 30, 2016, a 3% increase over the previous quarter and an 11% increase over the September 30, 2015 amount.
Additionally, the Board of Directors reaffirmed a quarterly cash dividend of $0.06 per share, payable on November 14, 2016, to shareholders of record at the close of business on October 31, 2016. The dividend is equivalent to an annual rate of $0.24 per share or 1.72%, based upon a market price of $13.92 per common share.
For more information regarding Redwood Capital Bancorp, please visit our website at www.redwoodcapitalbank.com, contact Fred Moore, EVP/CFO, at (707) 444-9840, or stop by the headquarters and main office at 402 “G” Street, Eureka, CA 95501.
This press release may contain forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, and competition within the business areas in which the bank is conducting its operations, including the real estate market in California and other factors beyond the bank’s control. Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management’s view only as of the date hereof. The bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.
| Redwood Capital Bancorp | |||||||||||||
| Selected Consolidated Financial Results - Unaudited | |||||||||||||
| (In Thousands - except share data) | |||||||||||||
| Period Ended | % | ||||||||||||
| 9/30/2016 | 6/30/2016 | Change | |||||||||||
| Balance Sheet Data (at period end) | |||||||||||||
| Total assets | $ | 334,937 | $ | 323,542 | 4 | % | |||||||
| Total deposits | 306,351 | 295,653 | 4 | % | |||||||||
| Total loans (net) | 237,040 | 229,108 | 3 | % | |||||||||
| Common equity | 21,396 | 20,803 | 3 | % | |||||||||
| Common shares outstanding | 1,903,575 | 1,903,575 | 0 | % | |||||||||
| Summary of Operations (Current Quarter) | |||||||||||||
| Interest income | 3,150 | 3,132 | 1 | % | |||||||||
| Interest expense | 193 | 202 | -4 | % | |||||||||
| Net Interest Income | 2,956 | 2,930 | 1 | % | |||||||||
| Non-interest income | 397 | 458 | -13 | % | |||||||||
| Non-interest expense | 2,216 | 2,209 | 0 | % | |||||||||
| Net Income before provision | 1,138 | 1,179 | -3 | % | |||||||||
| Provision for loan losses | 45 | 0 | 0 | % | |||||||||
| Income before taxes | 1,093 | 1,179 | -7 | % | |||||||||
| Income taxes | 426 | 461 | -8 | % | |||||||||
| Net Income | 668 | 718 | -7 | % | |||||||||
| Earnings per share (fully diluted) | $ | 0.35 | $ | 0.38 | -7 | % | |||||||
| Book value per common share | $ | 11.24 | $ | 10.93 | 3 | % | |||||||
| Period Ended | % | ||||||||||||
| 9/30/2016 | 9/30/2015 | Change | |||||||||||
| Balance Sheet Data (at period end) | |||||||||||||
| Total assets | $ | 334,937 | $ | 322,196 | 4 | % | |||||||
| Total deposits | 306,351 | 292,615 | 5 | % | |||||||||
| Total loans (net) | 237,040 | 217,664 | 9 | % | |||||||||
| Common equity | 21,396 | 19,051 | 12 | % | |||||||||
| Common shares outstanding | 1,903,575 | 1,882,143 | 1 | % | |||||||||
| Summary of Operations (Current Quarter) | |||||||||||||
| Interest income | 3,150 | 2,959 | 6 | % | |||||||||
| Interest expense | 193 | 185 | 4 | % | |||||||||
| Net Interest Income | 2,956 | 2,774 | 7 | % | |||||||||
| Non-interest income | 397 | 413 | -4 | % | |||||||||
| Non-interest expense | 2,216 | 2,027 | 9 | % | |||||||||
| Net Income before provision | 1,138 | 1,160 | -2 | % | |||||||||
| Provision for loan losses | 45 | 120 | -63 | % | |||||||||
| Income before taxes | 1,093 | 1,040 | 5 | % | |||||||||
| Income taxes | 426 | 402 | 6 | % | |||||||||
| Net Income | 668 | 638 | 5 | % | |||||||||
| Earnings per share (fully diluted) | $ | 0.35 | $ | 0.34 | 4 | % | |||||||
| Book value per common share | $ | 11.24 | $ | 10.12 | 11 | % | |||||||
| Summary of Operations (Year to Date) | |||||||||||||
| Interest income | 9,368 | 8,650 | 8 | % | |||||||||
| Interest expense | 605 | 524 | 15 | % | |||||||||
| Net Interest Income | 8,763 | 8,126 | 8 | % | |||||||||
| Non-interest income | 1,207 | 1,052 | 15 | % | |||||||||
| Non-interest expense | 6,622 | 6,236 | 6 | % | |||||||||
| Net Income before provision | 3,348 | 2,942 | 14 | % | |||||||||
| Provision for loan losses | 135 | 340 | -60 | % | |||||||||
| Income before taxes | 3,213 | 2,602 | 23 | % | |||||||||
| Income taxes | 1,292 | 945 | 37 | % | |||||||||
| Net Income | 1,921 | 1,657 | 16 | % | |||||||||
| Earnings per share (fully diluted) | $ | 1.01 | $ | 0.88 | 15 | % | |||||||
| Book value per common share | $ | 11.24 | $ | 10.12 | 11 | % | |||||||