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CU BANCORP REPORTS 1992 FIRST-QUARTER RESULTS

 CU BANCORP REPORTS 1992 FIRST-QUARTER RESULTS
 ENCINO, Calif. April 28 /PRNewswire/ -- CU Bancorp (NASDAQ: CUBN),


the parent company of California United Bank, N.A., today reported net income of $595,069, or 14 cents per share for the first quarter ended March 31, 1992, compared with $986,682, or 21 cents per share, for the comparable 1991 quarter.
 John J. Keating, president and chief executive officer, noted first- quarter performance resulted primarily from net interest income generated from loans plus increased fees and net interest income from the bank's mortgage banking operations. Comparatively lower interest rates during the period adversely impacted the 1992 first-quarter performance as did increased expenses that were substantially associated with the increased loan origination experienced by the mortgage banking division.
 Net revenue from earning assets before the provision for loan losses for the first quarter amounted to $8.6 million, compared with $7.5 million for the year-ago quarter. "Net interest income from commercial loans decreased by $1.1 million reflecting the margin compression caused by lower interest rates, although hedging techniques preserved approximately $500,000 in net interest income during the quarter," added Keating.
 The loan loss provision for the first quarter ended March 31, 1992, was $1 million, slightly below the $1.1 million provision added at the end of the 1991 first quarter. "Management made the decision to continue to bolster the provision based on its assessment of the bank's portfolio and regional economic conditions," said Keating. The total allowance for the loan losses at March 31, 1992, was $13.3 million, compared with $12.4 million at 1991 year end and $4.2 million March 31, 1991.
 Non-performing loans were $20.6 million, or 7.96 percent of total loans at March 31, 1992, compared with $14.9 million, or 5.4 percent of total loans at 1991 year end and $5.2 million, or 1.7 percent of loans at March 31, 1991. Loans 90 days past due and still accruing interest at March 31, 1992, amounted to $126,000, or .05 percent of loans, vs. $2.3 million, or .83 percent of loans at 1991 year end. As of March 31, 1992, non-accrual loans totalled $20.5 million, compared with $12.7 million at Dec. 31, 1992. Non-accrual loans secured by real estate totalled $7.6 million and those secured by other collateral amounted to $8.9 million at March 31, 1992. This compares with $3.6 million and $5.5 million at Dec. 31, 1991, respectively. Net charge-offs for the 1991 first quarter were $117,5000, representing a ratio of net loan losses to average loans of .05 percent.
 Other operating revenue, which did not contain any non-operating securities gains, was $1.3 million for the 1992 first quarter compared with $970,000 for the year-ago first quarter and was driven by an upsurge in the mortgage banking division's refinancing business.
 Total non-interest expenses for the 1992 first quarter were $7.9 million compared with $5.7 million for the 1991 first quarter. These reflected additional salaries and benefits for mortgage banking and to a lesser extent lending and loan review personnel, coupled with expenses associated with opening the bank's San Jose mortgage banking office. "Virtually all of the increase in other expenses were attributable to the volume of business conducted by the mortgage banking division. Commercial banking expenses were even with last year's first quarter," commented Keating.
 Total assets were $523.1 million at March 31, 1992, vs. $486.9 million at March 31, 1991, and $498 million at 1991 year end.
 Shareholders' equity was $33.2 million, or $7.75 per share at March 31, 1992, compared with $37.6 million, or $8.83 per share at March 31, 1991. The bank's tier one capital ratio at the end of the 1991 first quarter was 7.31 percent.
 CU Bancorp and its subsidiary, California United Bank, N.A., operate branches in Encino and Beverly Hills, a loan production office in Costa Mesa and a mortgage banking office in San Jose. THe company offers a full range of commercial banking services primarily to middle market businesses and entertainment business managers based in Southern California.
 CU BANCORP
 1992 First Quarter Results
 Three months ended March 31 1992 1991
 Revenue from earning assets $10,153,775 $10,143,372
 Cost of funds 1,518,533 2,605,896
 Net revenue from earning assets
 bef. provision for loan losses 8,635,242 7,537,476
 Provision for loan losses 1,007,000 1,136,000
 Net revenue from earning assets 1,628,242 6,401,476
 Gain (loss) on securities sales -- --
 Other operating revenue 1,341,100 970,373
 Total non-interest income 1,341,100 970,373
 Salaries and related benefits 2,751,595 2,082,867
 Occupancy expense 317,065 294,934
 Other operating expense 4,908,413 3,316,395
 Total non-interest expense 7,977,073 5,694,196
 Income/(loss) bef. provision
 for income taxes 992,269 1,677,653
 Provision for income taxes 397,200 690,971
 Net income/(loss) 595,069 986,682
 Net income/(loss) per share $.14 $.21
 Weighted avg. shares O/S 4,382,000 4,597,000
 Financial ratios:
 ROA (annualized) .53 pct. .90 pct.
 ROE (annualized) 7.23 pct. 10.68 pct.
 Net interest margin 9.74 pct. 8.43 pct.
 Net loan losses to avg. loans .05 pct. .37 pct.
 Allowance to gross loans 5.36 pct. 1.46 pct.
 Tier 1 capital ratio 7.31 pct. 8.58 pct.
 Selected balance sheet data
 Total assets 523,133,565 486,921,239
 Interest-earning assets 361,105,765 397,471,247
 Interest-bearing liabilities 141,713,269 183,285,742
 Commercial loans 187,123,359 258,671,383
 Term federal funds sold 12,000,000 11,000,000
 Mortgage loans held for sale 60,135,608 28,896,172
 Allowances for loan losses 13,258,758 4,211,961
 Deposits 488,336,116 446,113,393
 Shareholders' equity 33,197,474 37,587,012
 Book value per share $ 7.75 $8.83
 -0- 4/28/92
 /CONTACT: John J. Keating, president and CEO of CU Bancorp, 818-907-9122, or Edmund R. Belak Jr. of Georgeson and Co., 212-440-9801, for CU Bancorp/
 (CUBN) CO: CU Bancorp ST: California IN: FIN SU: ERN


CK-AH -- NY060 -- 3825 04/28/92 12:55 EDT
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