Pacific Valley Bank (OTCQB: PVBK) announced its unaudited first quarter 2018 net income of $469,927, or $0.13 basic earnings per share. Net earnings nearly doubled when compared to the same quarter of 2017 when the Bank reported net income of $235,915, or $0.07 basic earnings per share. Pacific Valley Bank Announces its Strong First Quarter 2018 Earnings and Growth. Net Income up 99%. Asset Growth up 15%.

Contac: Anker Fanoe, Chief Executive Officer (831) 771-4384

First Quarter 2018 Financial Highlights:

Net Income increased 99 percent
Loans at $211.2 million, grew 18 percent year-over-year
Net Interest Income up 17 percent
Return on Average Assets equated to 0.72%
Improved Asset Quality

“We are proud of the earnings growth the Bank has achieved so early in 2018,” stated Anker Fanoe, President and Chief Executive Officer.  “Over the past several months, Bank Management has been working to strengthen its focus on business banking, strengthening its core operations, and seeking to advance its market share in the local area.  The growth in earnings reflects the positive impact in the identification and modifications made by the Bank’s leadership and employees.  Capital is strong, and the Bank is poised for growth.”

As of March 31, 2018, total assets reached $265.1 million, representing a $35.5 million or 15% increase over the same period in 2017.

Outstanding loans grew to a record $211.3 million at the end of the first quarter of 2018, an 18% or $31.6 million increase over March 2017. The Bank’s asset quality has improved compared with the prior year.  At March 31, 2018, the loan portfolio contained a total balance of $0.6 million is loans on nonaccrual status versus $3.6 million at the same period of 2017. The Bank’s Allowance for Loan and Lease Losses (ALLL) was $4.3 million as of March 31, 2018, representing 2% of loans outstanding. The ALLL increased 25% from a year ago due to recoveries on previously charged off loans.  The Bank did not have any charge-offs in 2017 nor in 2018 year-to-date.

At the end of March 2018, total deposit balances were $212.9 million equating to a year-over-year increase of $13.3 million. The Bank does have some seasonality related to agricultural cycles in its deposit base resulting in some outflow in the earlier part of the year and historically returning around mid-May.

Stockholder’s Equity is strong and well above the defined parameters of well-capitalized.  Total Capital was $30.9 million at the end of March 2018 compared to $29.1 million at March 31, 2017.  The bank has the capital necessary to grow the loan portfolio. At March 2018 month end, the Leverage Ratio was 11.67%, the Tier 1 Capital Ratio was 14.21% and the Total Capital Ratio was 15.47%.

Net Interest Income was $2.6 million for the first quarter of 2018 compared to $2.2 million for the same period in 2017.  The 17% increase or $386 thousand is attributable to the increased volume of loans outstanding. Non-Interest Income for the first quarter of 2018 totaled $136.3 thousand, an increase of 7% when compared with the first quarter of 2017.  Non-Interest Expense was $2.1 million in the first quarter of 2018, marginally above the $2.0 million for the first quarter of 2017.


Pacific Valley Bank is a full service business bank that commenced operations in September 2004 to provide exceptional service to customers in Monterey County.   Pacific Valley Bank operates business at three locations; administrative headquarters and branch offices in Salinas, King City and Monterey, California.  The Bank offers a broad range of banking products and services, including credit and deposit services to small and medium sized businesses, agriculture related businesses, non-profit organizations, professional service providers and individuals. For more information, visit

This release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results, performance and/or achievements to differ materially from those projected. Accordingly, readers should not place undue reliance on these forward-looking statement. These risks and uncertainties include, but are not limited to, economic conditions in all areas in which the Bank conducts business, including the competitive environment for attracting loans and deposits; supply and demand for real estate and periodic deterioration in real estate prices and/or values in California or other states where we lend; changes in the financial performance and/or condition of our borrowers, depositors, key vendors or counterparties; changes in our levels of delinquent loans, nonperforming assets, allowance for loan losses and charge-offs; the effect of changes in laws and regulations, including accounting practices; changes in estimates of future reserve requirements and minimum capital requirements based upon periodic review thereof under relevant regulatory and accounting requirements; fluctuations in the interest rate and market environment; cyber-security threats, including the loss of system functionality, theft, loss of customer data or money; technological changes and he expanding use of technology in banking; the costs and effects of legal, compliance and regulatory actions; acts of war or terrorism, or natural disasters; and other factors beyond the Bank’s control. These forward-looking statements, which reflect management’s views, are as of the date of this release.  Pacific Valley Bank has no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.


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