First Quarter 2021 Financial Results and Continued Participation in the CARES Act Paycheck Protection Program
Salinas, CA – May 3, 2021 – Pacific Valley Bank (OTC Pink: PVBK) announced its unaudited earnings results for the first quarter 2021. Net income for the three months ended March 31, 2021 was $1.13 million, representing an increase of 89% compared with the same period of 2020. Earnings per share for the first quarter 2021 were $0.28 compared with $0.15 for the first quarter 2020.
As of March 31, 2021, total assets were $466.8 million. Since December 31, 2020, total assets have increased $1.9 million or 0.41%, and since March 31, 2020, total assets have increased by $132.7 million or 40%. Anker Fanoe, President and CEO, commented, “Economic circumstances continue to improve in Monterey County as companies work toward returning to pre-pandemic operations. Every day we see more people returning to work as businesses navigate the COVID restrictions and create healthy environments for both employees and clients. Our local economy and our clients continue to see significant growth in liquidity. We anticipate that as the economy recovers, we will see more of that liquidity put to work by our clients and the Bank.”
Total gross loans outstanding were $370.1 million as of March 31, 2021, which includes $105.8 million in Paycheck Protection Program (PPP) loans. Total gross loans exceeded gross loan balances at March 31, 2020 by $108.0 million, representing an increase of 40% year-over-year. However, gross loans net of PPP loans increased only slightly when compared to March 31, 2020.
Shareholder Equity was $40.3 million at March 31, 2021, representing growth of $3.9 million, or 10.6% over a year ago. The Bank is considered to be well capitalized and its Capital Ratios exceed regulatory minimums.
Net Interest Income was $4.0 million, $3.9 million and $3.2 million for the three months ending March 31, 2021, December 31, 2020, and March 31, 2020, respectively. The Bank’s cost of funds decreased compared to the first quarter of last year resulting in $216 thousand less in interest expense, primarily due to certificate of deposit maturities.