SC Bancorp announces second-quarter profit.ANAHEIM Anaheim (ăn`əhīm), city (1990 pop. 266,406), Orange co., S Calif., SE of Los Angeles; inc. 1870. Anaheim was founded by Germans in 1857 as an experiment in communal living. , Calif.--(BUSINESS WIRE)--July 19, 1995--SC Bancorp (ASE (Adaptive Server Enterprise) A relational DBMS from Sybase that runs on Windows NT/2000, Linux and a variety of Unix platforms. ASE is a comprehensive and robust data management product with a long history dating back to the late 1980s. :SCK SCK Studiecentrum voor Kernenergie (Belgium)
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SCK Street Combat Karate (Germany) ) and its subsidiary, Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, Bank, Wednesday Wednesday: see week. announced unaudited results for the second quarter of 1995, reporting quarterly earnings of $430,000, or 6 cents per average share, slightly more than 1994's second-quarter earnings of $418,000, or 12 cents per average share outstanding.
The company's operations continue to show improvement, and this brings net income for the six months ended June June: see month. 1995 to $775,000, or 10 cents per share Cents per share
The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. , compared with $1.4 million, or 39 cents per share, for the first six months of 1994.
The previous year's first-quarter results included $663,000 in gains on sale of the company's headquarters office facility and other assets other assets
Assets of relatively small value. For financial reporting purposes, firms frequently combine small assets into a single category rather than listing each item separately. . The per-share figures reflect the issuance of 4 million shares of common stock through a rights offering completed in June 1994.
n. 1. Same as Lorry, or Lorrie. D. Hartwig, president and chief executive officer, stated, "Second-quarter earnings reflect the continued restoration process and several items relating to relating to relate prep → concernant
relating to relate prep → bezüglich +gen, mit Bezug auf +acc the closing of the previously announced acquisition of loans and deposits from Independence One Bank of California The Bank of California was founded in San Francisco, California on July 5, 1864 by William Chapman Ralston. It was the first commercial bank in the Western United States, the second-richest bank in the nation, and considered instrumental in developing the American Old West. FSB (FrontSide Bus) See system bus.
FSB - front side bus .
"Interest expense relating to funding the acquisition was higher than anticipated, and the year-to-date Year-to-date (YTD)
The period beginning at the start of the calendar year up to the current date. loan loss provision of $324,000 reflects the impact of bringing the level of reserves on the acquired loans into line with our policy guidelines guidelines,
n.pl a set of standards, criteria, or specifications to be used or followed in the performance of certain tasks. .
"This acquisition is the first important step in the company's strategy to achieve in-market growth by way of acquisition. With the indication of a downward trend in interest rates and our excellent balance sheet strength, we expect to continue to actively pursue merger and acquisition opportunities."
The closing of the Independence One Bank of California FSB transaction took place on April 30, 1995, and resulted in increasing loans outstanding by $72 million and deposits by about $35 million. The acquisition resulted in two additional branch locations: Laguna Hills La·gu·na Hills
A city of southern California southeast of Santa Ana. Population: 33,600. (Orange County) and La Jolla La Jolla (lə hoi`yə), on the Pacific Ocean, S Calif., an uninc. district within the confines of San Diego; founded 1869. The beautiful ocean beaches, in particular La Jolla shores and Black's Beach, and sea-washed caves attract visitors and (San Diego San Diego (săn dēā`gō), city (1990 pop. 1,110,549), seat of San Diego co., S Calif., on San Diego Bay; inc. 1850. San Diego includes the unincorporated communities of La Jolla and Spring Valley. Coronado is across the bay. County).
The company's second-quarter net interest margin of 5.14 percent improved over the first-quarter margin of 4.65 percent, largely due to increased income on loans purchased in the Independence One acquisition, which in part replaced Fed funds fed funds
See federal funds. investments.
Non-interest expense increased to $6.1 million in the second quarter of 1995 from $5.3 million in the previous quarter, reflecting the addition of lending staff and two branch locations from the Independence One transaction, and an increase in OREO-related expenses.
Total assets at June 30, 1995, were $480,178,000, an increase of 19 percent from $404,324,000 at the end of the second quarter in 1994. Total deposits increased 22 percent to $427,038,000 from $351,089,000 at the same time last year. Total gross loans were $286,569,000 at the end of the second quarter of 1995, compared with $206,977,000 at June 30, 1994, an increase of 38 percent.
Shareholders' equity Shareholders' Equity
A firms' total assets minus its total liabilities. Equivalently, it is share capital plus retained earnings minus treasury shares. Shareholders' equity is the amount by which a company is financed through common and preferred shares. increased 8 percent to $45,136,000 at the end of the second quarter in 1995 from $41,662,000 at June 30, 1994, reflecting an increase in retained earnings Retained Earnings
The percentage of net earnings not paid out in dividends, but retained by the company to be reinvested in its core business or to pay debt. It is recorded under shareholders equity on the balance sheet. and an improvement in the unrealized loss Unrealized Loss
A loss that results from holding onto an asset rather than cashing it in and officially taking the loss.
Let's say you own a stock that is down 50%, but you haven't sold it to realize the loss yet. This is said to be an unrealized loss. on securities available for sale. The weighted average number of shares outstanding during the second quarter of 1995 was 7,469,000, compared with 3,556,000 during the second quarter of 1994.
The company also reported that nonperforming assets Nonperforming asset
An asset that is not effectively producing income, such as an overdue loan.
An asset that produces no income. (NPAs) continue to decrease. Nonperforming loans have dropped to $2 million as of quarter end from $6,146,000 a year earlier, and the delinquency delinquency
Criminal behaviour carried out by a juvenile. Young males make up the bulk of the delinquent population (about 80% in the U.S.) in all countries in which the behaviour is reported. ratio fell to 1.12 percent from 3.86 percent a year earlier. OREO at June 30, 1995, totaled $5,401,000, a significant reduction from $7,295,000 which was reported at the conclusion of the second quarter in 1994.
The consolidated con·sol·i·date
v. con·sol·i·dat·ed, con·sol·i·dat·ing, con·sol·i·dates
1. To unite into one system or whole; combine: capital position of SC Bancorp has remained strong, with all regulatory reg·u·late
tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates
1. To control or direct according to rule, principle, or law.
2. capital ratios well in excess of regulatory requirements Regulatory requirements are part of the process of drug discovery and drug development. Regulatory requirements describe what is necessary for a new drug to be approved for marketing in any particular country. . At June 30, 1995, the company had a total risk-based capital ratio Risk-based capital ratio
Bank requirement that there be a minimum ratio of estimated total capital to estimated risk-weighted asset. of 12.91 percent, a Tier 1 risk-based capital ratio of 11.66 percent and a leverage capital ratio of 8.91 percent. Those ratios were 16.42 percent, 15.14 percent and 10.44 percent, respectively, at June 30, 1994.
SC Bancorp is the parent company of Southern California Bank, the largest independent bank with headquarters in Orange County, and has total assets of $480 million. The bank serves customers in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. County, Orange County and San Diego County through 17 full-service full-ser·vice
Associated with or offering complete service: full-service gasoline pumps; full-service banks. branches. A specially designated Business Banking Center is also located in each county. -0-
SC BANCORP AND ITS SUBSIDIARY SOUTHERN CALIFORNIA BANK CONSOLIDATED BALANCE SHEETS ($ in thousands)
Unaudited Audited Unaudited June 30, Dec. 31, June 30, 1995 1994 1994 ASSETS Cash and due from banks $ 36,878 $ 31,118 $ 31,665 Securities held to maturity: (Market value: 6/30/95 - $54,759 56,644 60,023 64,455 12/31/94 - $54,680) Securities available for sale, at market 69,880 71,858 69,253
Federal funds sold 4,000 -- 7,100 Loans 286,569 207,688 206,977 Less: Deferred fee income (449) (298) (253) Allowance for possible loan losses (5,584) (5,318) (8,352) Net loans 280,536 202,072 198,372
Premises, equipment, land and leasehold improvements 10,244 10,254 9,225 Real estate owned foreclosure 5,401 5,837 7,295 Other assets 16,595 17,393 16,959 TOTAL ASSETS $ 480,178 $ 398,555 $ 404,324
LIABILITIES Deposits Interest bearing $ 292,655 $ 221,919 $ 234,008 Non-interest bearing 134,383 118,020 117,081 Total deposits 427,038 339,939 351,089
Borrowed funds 5,832 13,621 6,364 Accrued interest payable and other liabilities 2,172 3,151 5,209 Total liabilities 435,042 356,711 362,662
SHAREHOLDERS' EQUITY Common stock, no par or stated value; authorized 20 million shares: 7,468,505 shares issued and outstanding at June 30, 1995 and 1994 37,643 37,643 37,643 Retained earnings 8,506 7,731 6,410 Unrealized loss on securities available for sale (1,013) (3,530) (2,391) Total shareholders' equity 45,136 41,844 41,662 TOTAL LIABILITIES & SHAREHOLDERS' EQUITY $ 480,178 $ 398,555 $ 404,324
SC BANCORP AND ITS SUBSIDIARY SOUTHERN CALIFORNIA BANK CONSOLIDATED INCOME STATEMENTS ($ in thousands, except per-share amounts)
Six Months Ended June 30, June 30, 1995 1994 (Unaudited)
Total revenue on earning assets $ 15,781 $ 12,864 Total cost of funds 6,033 3,110 Net interest income on earning assets 9,748 9,754 Provision for loan losses 324 (850) Net interest income after provision for loan losses 9,296 9,722
Net securities gains -- 17 Other noninterest income 3,113 4,029 Noninterest expense Salaries and employee benefits 5,220 4,827 Occupancy, furniture and equipment 2,270 2,259 Other operating expense 3,909 5,144 Total noninterest expense 11,399 12,230
Net income before income taxes 1,138 2,420
Income tax provision 363 1,036
Net income $ 775 $ 1,384
Earnings per share:
Net income 10 cents 39 cents
Weighted average shares outstanding 7,469 3,513
Total number of shares outstanding at period end 7,469 7,469
June 30, Dec. 31, June 30, 1995 1994 1994 Regulatory capital ratios:
Total risk-based capital ratio -- bank 12.21% 14.22% 13.54% Total risk-based capital ratio -- consolidated 12.91% 16.98% 16.42% Minimum regulatory requirement 8.00% 8.00% 8.00%
Tier 1 risk-based capital ratio -- bank 10.95% 12.96% 12.26% Tier 1 risk-based capital ratio -- consolidated 11.66% 15.72% 15.14% Minimum regulatory requirement 4.00% 4.00% 4.00%
Leverage ratio -- bank 8.37% 8.86% 8.46% Leverage ratio -- consolidated 8.91% 10.74% 10.44% Minimum regulatory requirement 4.00% 4.00% 4.00%
SC BANCORP AND ITS SUBSIDIARY SOUTHERN CALIFORNIA BANK CONSOLIDATED INCOME STATEMENTS (Dollars in thousands except per-share amounts)
Three Months Ended June 30, March 31, 1995 1995 (unaudited)
Total revenue on earning assets $ 8,544 $ 7,237 Total cost of funds 3,076 2,957 Net interest income on earning assets 5,468 4,280 Provision for loan losses 200 124 Net interest income after provision for loan losses 5,268 4,156
Net securities gains -- -- Other non-interest income 1,431 1,682 Non-interest expense Salaries and employee benefits 2,678 2,542 Occupancy, furniture and equipment 1,175 1,095 Other operating expense 2,238 1,671 Total noninterest expense 6,091 5,308
Net income before income taxes 608 530
Income tax provision 178 185
Net income $ 430 $ 345
Weighted average shares outstanding 7,469 7,469 Total number of shares outstanding at period end 7,469 7,469
Earnings per Share 6 cents 5 cents
Net interest margin 5.14 pct. 4.65 pct.
Three Months Ended June 30, 1994 (unaudited)
Total revenue on earning assets $ 6,562 Total cost of funds 1,492 Net interest income on earning assets 5,070 Provision for loan losses (850) Net interest income after provision for loan losses 5,920
Net securities gains -- Other non-interest income 1,596 Non-interest expense Salaries and employee benefits 2,445 Occupancy, furniture and equipment 1,159 Other operating expense 3,185 Total noninterest expense 6,789
Net income before income taxes 727
Income tax provision 309
Net income $ 418
Weighted average shares outstanding 3,556 Total number of shares outstanding at period end 7,469
Earnings per Share 12 cents
Net interest margin 5.88 pct.
SC BANCORP Summary of Results (Six Months Ended June 30)
1995 1994 (unaudited)
Total Assets $ 480,178,000 $ 404,324,000 Total Deposits $ 427,038,000 $ 351,089,000 Total Gross Loans $ 286,569,000 $ 206,977,000 Shareholders' Equity(b) $ 45,136,000 $ 41,662,000 Total Revenue $ 18,894,000 $ 16,910,000 Net Income $ 775,000 $ 1,384,000 Earnings Per Share 10 cents 39 cents Weighted Average Shares Outstanding 7,468,505 3,512,704 Number of Shares Outstanding at Period End 7,468,505 7,468,505
Second Quarter Results (Three Months Ended June 30)
1995 1994 (unaudited)
Total Revenue $ 9,975,000 $ 8,159,000 Net Income $ 430,000 418,000 Earnings Per Share 6 cents 12 cents Weighted Average Shares Outstanding 7,468,505 3,556,000 Book value per share (period ending) $ 6.04 $ 5.58
(b) Adjusted for net unrealized loss on securities available for sale of $1.0 million at June 30, 1995, and $2.4 million at June 30, 1994.
CONTACT: SC Bancorp, Anaheim
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