SOURCE: San Diego Private Bank

January 27, 2015 11:54 ET

San Diego Private Bank Reports Increased Fourth Quarter Earnings

CORONADO, CA--(Marketwired - Jan 27, 2015) -  San Diego Private Bank (OTCQB: SDPB) today announced the bank's condition and results of operations for the fourth quarter and full year 2014.

Based on unaudited financial results for the year ended December 31, 2014, San Diego Private Bank reported net profit of $2,524,000. This compares to a net profit of $3,125,000 for the year ended December 31, 2013 which included the effect of a fourth-quarter adjustment for one-time increase in recognition of release of deferred tax reserve and resultant increase in bargain purchase gain in an amount of $1,132,000. Without this gain, net income for 2013 would have been $1,993,000. Net profit for 2014 increased over 2013, net of the adjustment noted above, by 27%. Fourth quarter net profit was $734,000, an increase over the 723,000 reported for the previous quarter. Fourth quarter profit included a loan loss provision of $375,000 related to the purchase of loans from First Security Business Bank which closed on December 26, 2014. 

As of December 31, 2014 total assets were $423,513,000. Net loans after allowance for loan losses grew 54,800,000 or 24% during the fourth quarter to $332,229,000. The fourth quarter growth includes $49,800,000 of loans purchased in the First Security Business Bank transaction. Total deposits were $305,400,000 and Shareholder Equity grew to $51,500,000. The bank maintained strong capital ratios, finishing the quarter with a Tier 1 Leverage Capital Ratio of 14.00% and a Total Risk Weighted Capital Ratio of 15.26%. Loan quality remained strong with a Texas Ratio of 3.67%.

Maria P. Kunac, President and Chief Executive Officer of San Diego Private Bank, stated, "At the end of 2014 we closed the First Security Business Bank loan acquisition and deposit assumption transaction which we expect to be accretive to earnings and book value in 2015. The transaction involved limited integration costs and processes, which have now been completed. Our experienced Bankers look forward to offering personalized service and customized funding solutions to these new customers."

"Our focus remains on providing commercial real estate investors, high net worth individuals and professional firms superior service and solutions and a broad array of banking services through our Coronado, San Diego, La Jolla and Newport Beach offices as well as efficient electronic banking offerings. We maintained, for the 24th consecutive quarter, a 5-Star Bauer Financial rating. This rating implies that San Diego Private Bank is considered one of the strongest banking institutions in the country by the premier independent bank rating and research firm in the nation."

San Diego Private Bank also offers various portfolio and government guaranteed programs, including SBA and cross-border Export-Import Bank programs. San Diego Private Bank is a SBA Preferred Lender.

San Diego Private Bank
Balance Sheets
(Unaudited - in thousands)
    December 31, 2014   December 31, 2013
Cash and Cash Equivalents   $ 58,760   $ 58,578
Investments     19,321     23,654
Loans, Net     332,229     229,729
Premises, Equipment and Other Assets     13,203     12,451
    Total Assets     423,513     324,412
Liabilities and Shareholders' Equity            
Demand Deposits     87,467     91,885
Interest Bearing Deposits     217,933     169,766
    Total Deposits     305,400     261,651
FHLB Advances / Borrowings     64,500     11,844
Other Liabilities     2,122     2,306
Shareholders' Equity     51,491     48,611
    Total Liabilities and Shareholders' Equity   $ 423,513   $ 324,412
San Diego Private Bank  
Income Statements  
(Unaudited - in thousands)  
  Three months ended December 31, 2014   Year ended December 31, 2014     Three months ended December 31, 2013   Year ended
December 31, 2013
Interest Income                          
Interest Income $ 3,986   $ 15,020     $ 3,601   $ 12,100  
Interest Expense   327     1,255       300     1,221  
    Net Interest Income   3,659     13,765       3,301     10,879  
Provision for Loan Losses   375     942       121     735  
    Net Interest Income after Provision for Loan Losses  
Other Income   517     1,533       1,595     2,853  
Operating Expenses   2,498     10,011       2,245     8,577  
    Operating Income   1,303     4,345       2,530     4,420  
Income Taxes   569     1,821       437     1,295  
    Net Earnings $ 734   $ 2,524     $ 2,093   $ 3,125  
Selected Ratios:                          
Earnings Per Share $ 0.18   $ 0.62     $ 0.51   $ 0.81  
(Weighted Average Shares)                          
Tangible Book Value Per Share       $ 12.23           $ 11.67  
Tier 1 Leverage Ratio         14.00 %           14.15 %
Total Risk Based Capital Ratio         15.26 %           18.57 %
Asset Quality                          
(Non-Performing Assets + 90 Days Past Due Accruing) divided by (Equity + Allowance for Loan Losses)         3.67 %           1.64 %

San Diego Private Bank is publicly traded on the Over-the Counter Bulletin Board (OTCQB) under the ticker symbol: "SDPB," with total shares outstanding of 4,135,935.

This press release may include forward looking statements that involve inherent risks and uncertainties. San Diego Private Bank cautions readers that a number of important factors could cause actual results to differ materially from those in the forward‐looking statements. These factors include economic conditions and competition in the geographic and business areas in which San Diego Private Bank operates, our ability to successfully integrate the operations of merged banks, inflation, fluctuations in interest rates, legislation and governmental regulation. You should not place undue reliance on forward‐looking statements and we undertake no obligation to update those statements whether as a result of changes in underlying factors, new information, future events or otherwise.

Contact Information

  • Investor Relations Contact

    Maria P. Kunac
    President and Chief Executive Officer
    San Diego Private Bank
    (858) 875.6900