American Riviera Bank reported sharply higher profits and deposits for the third quarter as the benefits of its merger with the Bank of Santa Barbara late last year are becoming evident.
American Riviera said Oct. 25 that net income was $1.4 million for the quarter ended Sept. 30 or 32 cents per share versus 5 cents per share or $133,000 a year earlier.
Assets more than doubled to $463.6 million from $227 million a year earlier as deposits jumped to $392 million from $198 million.
The bank returned a respectable 9.68 percent return on equity for the nine months ended Sept. 30 and its Tier 1 capital ratio was 12 percent, well above the regulatory guideline of 8 percent.
In combining with the Bank of Santa Barbara late last year, American Riviera grew its assets, added a branch in Goleta and was able to leverage cost savings.
“Our financial results are already reflecting the synergies from that merger,” President and CEO Jeff DeVine said in a statement.
Average book value of the company’s stock was $11.40 on Sept. 30 and its shares traded at around $11.75 on the over the counter market.
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