Community West Bank reports increase in quarterly earnings
In another sign of strength for the regional banking industry, Goleta-based Community West Bancshares reported a 17.5% increase in net income for the second quarter, to 41 cents per share.
The parent of Community West Bank said on Aug. 2 that earnings for the most recent quarter were $3.6 million, versus $3 million for the year-earlier quarter.
President and CEO Marty Plourd said in a statement that “focused revenue generation and balance sheet management, which resulted in net interest margin expansion.”
The bank’s average return on average assets was 1.37% and its return on average equity was 15.18%, both healthy indicators.
“As the vaccine rollout continues, and COVID-19 restrictions continue to lift in the markets which we serve, we remain optimistic for growth during the second half of 2021,” Plourd said.
The bank recorded a credit for loan losses of $41,000, reversing a loss recorded in the first quarter; Paycheck Protection Program loans totaling $71.1 million; and a slightly higher net interest margin at 4.24%. Assets increased $45 million from a year earlier, to $1.06 billion.
Community West declared a 7 cent per share dividend payable Aug. 31 to shareholders of record on Aug. 12. It did not repurchase any shares during the first six months of the year.