TEMECULA, Calif., April 15, 2004 (PRIMEZONE) -- Mission Oaks National Bank (OTCBB:MKNB) reported record results for the quarter ended March 31, 2004.
The Temecula-based community bank earned a record $286,000, or 15 cents a share, in the first quarter. That compares with earnings of $225,000, or 15 cents a share, for the same period a year ago. Results from the first quarter of 2003 included 392,353 fewer average shares of common stock and equivalents outstanding and $35,000 in tax credits resulting from a net operating loss carryforward.
Share amounts in the first quarter were adjusted to reflect the bank's recently completed 2-for-1 stock split that was distributed to shareholders in the form of a 100 percent stock dividend. Following the split, Mission Oaks has 1.9 million common shares outstanding.
"We continue to benefit from strong loan demand and a robust local economy," said Gary Votapka, Mission Oaks president and chief executive. "Consumers also seem to prefer our personalized, hands-on approach to banking."
Mission Oaks, which was founded in the fall of 2000, also reported record asset and loan levels.
Assets at quarter's end reached a record $95.7 million, up 37.3 percent from $69.7 million a year ago.
Loans in the quarter increased to an all-time high of $71.6 million, up 53.1 percent from $46.7 million in the same period a year earlier. Mission Oaks has no delinquent or non-performing loans.
Growth in lending boosted net interest income to $1.1 million in the quarter, up 50.2 percent, or $353,000, from $703,000 a year ago.
Non-interest income from the sale of loans, fees and mortgage originations increased to $587,000, up from $335,000 a year ago.
Total deposits as of March 31 were $84.9 million compared with $62.2 million a year ago.
Mission Oaks National Bank is an award-winning, community-based, federally chartered bank that is committed to serving consumers and businesses in Southwest California, a fast-growing region one hour north of San Diego. The bank offers personalized services and products through two full-service branch offices and loan production offices in San Diego and Phoenix.
For more on Mission Oaks National Bank visit its Web site at missionoaksbank.com.
Safe Harbor
Certain statements in this press release, including statements regarding the anticipated development and expansion of the Bank's business, and the intent, belief or current expectations of the Bank, its directors or its officers, are "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to, risks related to the local and national economy, the Bank's performance, regulatory matters and those discussed in filings by the Bank with the Office of the Comptroller of the Currency.
MISSION OAKS NATIONAL BANK
FIRST QUARTER REPORT / MARCH 31, 2004
BALANCE SHEET
(all amounts in whole dollars except share and per share information)
March 31, March 31, Increase Increase
2004 2003 (Decrease) (Decrease)
---------- ---------- ---------- ----------
ASSETS
Cash and due
from banks $3,365,000 $1,837,000 $1,528,000 83.2%
Due from
banks - time 0 694,000 (694,000) -100.0%
Federal
funds sold 740,000 6,570,000 (5,830,000) -88.7%
Securities
- available
for sale 15,473,000 12,653,000 2,820,000 22.3%
Loans 71,610,000 46,740,000 24,870,000 53.2%
Less allowance
for loan losses (901,000) (565,000) (336,000) 59.5%
----------- ------------ ------------
Loans, net 70,709,000 46,175,000 24,534,000 53.1%
Bank premises
and equipment,
net 610,000 692,000 (82,000) -11.8%
SBA - Loan
servicing asset
/Interest only
strips 594,000 69,000 525,000 760.9%
Cash surrender
of life
insurance 2,539,000 0 2,539,000 0
Other assets 1,698,000 1,017,000 681,000 67.0%
----------- ------------ ------------
$95,728,000 $69,707,000 $26,021,000 37.3%
=========== ============ ============
LIABILIITIES AND STOCKHOLDERS' EQUITY
Demand
deposits $22,420,000 $16,138,000 $6,282,000 38.9%
Interest
bearing
deposits 62,465,000 46,110,000 16,355,000 35.5%
Federal
funds
purchased
and
other
borrowings 0 0 0
Other
liabilities 790,000 408,000 382,000 93.6%
---------- ---------- ----------
Total
liabilities 85,675,000 62,656,000 23,019,000 36.7%
Total
stockholders'
equity 10,053,000 7,051,000 3,002,000 42.6%
----------- ----------- -----------
$95,728,000 $69,707,000 $26,021,000 37.3%
=========== =========== ===========
STATEMENT OF INCOME
3 Mos ended 3 Mos ended
March 31, March 31,
2004 2003
----------- ------------
Interest income $1,259,000 $910,000
Interest expense 203,000 207,000
----------- ------------
Net interest income 1,056,000 703,000
Provision for loan
losses 60,000 70,000
Other income 587,000 335,000
Other expense 1,117,000 778,000
----------- ------------
Earnings before
income taxes 466,000 190,000
Income taxes
(benefit) 180,000 (35,000)
----------- ------------
Net earnings
(loss) $286,000 $225,000
=========== ============
Average common
shares &
equivalents
outstanding 1,919,295 1,526,942
Basic earnings
per share $0.15 $0.15
Return on average
assets (annualized) 1.25% 1.44%
Return on average
equity (annualized) 11.68% 13.29%
SELECTED RATIOS
March 31, March 31,
2004 2003
----------- ------------
Leveraged capital
ratio 10.87% 11.05%
Total risk based
capital ratio 14.49% 14.76%
Allowance for loan
losses as a
percent of total
loans 1.25% 1.20%
Nonperforming assets
as a percent of
total assets 0.00% 0.00%
Loan to deposit
ratio 85.22% 75.44%