Loans slow down but deposits grow at Community Bank of Santa Maria
Total assets and deposits at Community Bank of Santa Maria grew in the first quarter of the fiscal year, even as new loans and net income decreased, the bank announced April 18.
Community Bancorp of Santa Maria, the holding company for Community Bank of Santa Maria, reported its total assets rose to $411.4 million by the end of quarter on March 31, an increase of 15% from a year earlier. Total deposits grew from $326.3 million on March 31, 2021, to $378.2 million a year later.
Net loans dropped 16% year over year, from $249.2 million on March 31, 2021, to $208.5 million a year later. Janet Silveria, the bank’s president and CEO, said loans dropped due to the bank’s participation in the federal Paycheck Protection Program in 2020 and 2021. The bank assisted more than 650 businesses with $81.5 million in loans, she said in a news release.
“As the vast majority of these loans have now applied for and received forgiveness, the loans have been paid off by the SBA resulting in a decline in total loans,” Silveria said.
The bank’s net income was $458,123 for the first quarter, a 19% decline from the first quarter of 2021. Silveria said the bank received “significant fee income” from the PPP loans, which contributed to the decline in net income once the PPP program ended.
The company news release said after adjusting for PPP loan fee income and provisions for loan and lease losses made in the first quarter last year, net income was “essentially flat” from 2021 to 2022.