San Diego Private Bank Reports Third Quarter Earnings up 80%

San Diego Private Bank Reports Third Quarter Earnings up 80%
  
 

CORONADO, CA--(Marketwired - Oct 31, 2013) -  San Diego Private Bank (OTCQB: SDPB) today announced the bank's condition and results of operations for the third quarter 2013. This is the second quarterly report of the combined Coronado First Bank and San Diego Private Bank since the merger was completed on April 2, 2013.

Based on unaudited financial results for the quarter ended September 30, 2013, San Diego Private Bank reported net income of $456,000 for the quarter, up 80% from $254,000 for the quarter ended June 30, 2013. Net interest margin for the quarter was 4.03%.

As of September 30, 2013, total assets were $325.3 million, an increase of 3.8% over the prior quarter. Total deposits were up 4.8% to $263.6 million and shareholders' equity was $46.4 million. The bank maintained very strong capital ratios, finishing the quarter with a Tier 1 Leverage Capital Ratio of 13.16% and a Total Risk Weighted Capital Ratio of 19.29%.

Maria P. Kunac, President and Chief Executive Officer of San Diego Private Bank, stated, "We experienced solid growth in loans and deposits during the quarter which, with the improved integration efficiencies of the two banks, resulted in a significant improvement in quarterly earnings. We expect to maintain this momentum through the fourth quarter."

"Checking and money market accounts have grown by 23% since the merger and the average cost of deposits declined to 0.36% in September 2013," Ms. Kunac added. "Our new loan volume has been significant and more than offset the interest rate driven refinancings we experienced.

During the quarter, the Newport Private Bank office continued its growth and the SBA division expanded its presence as a Preferred Lender. Construction lending increased, reflecting the rejuvenation of the Southern California market."

San Diego Private Bank
Balance Sheets
(Unaudited -in thousands)
				September 30, 2013			June 30, 2013
Assets
Cash and Cash Equivalents				$	76,982		$	80,645
Investments					25,969			20,131
Loans, Net					211,447			201.360
Premises, Equipment and Other Assets					10,919			11,204
		Total Assets			325,317			313,340
Liabilities and Shareholders' Equity
Demand Deposits					99,285			84,052
Interest Bearing Deposits					165,238			167,854
		Total Deposits			264,523			251,906
FHLB Advances / Borrowings					11,876			13,242
Other Liabilities					2,500			2,382
Shareholders' Equity					46,418			45,810
		Total Liabilities and Shareholders' Equity		$	325,317		$	313,340

San Diego Private Bank
Statements of Income
(Unaudited - in thousands)
				Nine months ended Sep 30, 2013			Three months ended Sep 30, 2013				Three months ended June 30, 2013
Interest Income
Interest Income				$	8,499		$	3,448			$	3,121
Interest Expense					921			318				326
		Net Interest Income			7,578			3,130				2,795
Provision for Loan Losses					614			374				173
		Net Interest Income after Provision for Loan Losses			6,964			2,756				2,662
Other Income					1,258			423				660
Operating Expenses					6,332			2,386				2,824
		Operating Income			1,890			793				458
Income Taxes					858			337				215
		Net Earnings		$	1,032		$	456			$	243
Selected Ratios:
Earnings Per Share				$	0.30		$	0.11			$	0.06
(Weighted Average Shares)
Tangible Book Value Per Share							$	11.36			$	11.15
Tier 1 Leverage Ratio								13.16	%			14.00	%
Total Risk Based Capital Ratio								19.29	%			21.12	%
Asset Quality
(Non-Performing Assets + 90 Days Past Due Accruing) divided by (Equity + Allowance for Loan Losses)								2.99	%			2.80	%

San Diego Private Bank is publicly traded on the Over‐the Counter Bulletin Board, ticker symbol: "SDPB." Total shares outstanding of San Diego Private Bank stock are 4,085,809 as of September 30, 2013.

This press release may include forward‐looking statements that involve inherent risks and uncertainties, including the anticipated benefits to be achieved as a result of the merger, the successful integration of the two banks, the equity capital of the combined bank, the potential returns on investment of shareholders, economic conditions and competition in the geographic and business areas in which the Bank operates, inflation, fluctuations in interest rates, legislation and governmental regulation. These statements are subject to risks and uncertainties and actual results could differ materially due to certain risk factors. You should not place undue reliance on forward‐looking statements and we undertake no obligation to update those statements whether as a result of changes in underlying factors, new information, future events or otherwise.

Investor Relations Contact Maria P. Kunac President and Chief Executive Officer San Diego Private Bank [phone] www.sandiegoprivatebank.net