Sierra Bancorp Q2 earnings down
Sierra Bancorp, a Porterville-based banking company with 11 branches in the Tri-Counties, announced July 20 that its quarterly earnings were slightly down compared to the same period in 2019, led by a lower consolidated net income and lower return on both average assets and average equity.
The parent company of Bank of the Sierra declared a consolidated net income of $8.3 million, down from $8.8 million in the second quarter of 2019. The bank attributed the loss to a $1.8 million increase in its provision for loan and lease losses, which the bank did as security against continued economic uncertainty. Sierra Bancorp has $3.3 million more in provision for loan and lease losses than it did in the first half of 2019.
During the quarter the bank also reached a total of $3.1 billion in assets, fueled by what it called “significant asset growth.” Total assets grew 20 percent, or $516.2 million, during the first half of the year. The growth was fueled by the bank’s participation in the federal Paycheck Protection Program, growth in the bank’s mortgage warehouse lines and in loan production groups in both Northern and Southern California.
“We are proud of our second quarter results and remain cautiously optimistic as we look to the second half of the year,” Kevin McPhaill, the bank’s president and CEO, said in a news release.