SANTA CRUZ, Calif., Oct. 15 /PRNewswire-FirstCall/ -- Locally owned Lighthouse Bank (BULLETIN BOARD: LGHT) posted a $215 thousand profit for the 3rd quarter ended September 30, 2010, representing the fifth consecutive quarterly profit as well as record quarterly earnings for the three year old Bank. Profit for the 9 months ended September 30, 2010, was $417 thousand with total assets increasing to $106.4 million. Shareholders' equity increased by $272 thousand to $17 million during the quarter. The Bank continued to experience solid growth in loans and deposits which increased by $6.1 million and $5.8 million, respectively, during the period.
In September, the U.S. Small Business Administration awarded Lighthouse Bank Preferred Lender (PLP) status. As a Preferred Lender, the Bank is permitted to make decisions on behalf of the SBA which significantly shortens the loan approval process. The timing of the Bank's Preferred Lender designation is beneficial for both the Bank and the Community in light of recently passed legislation which expands SBA programs.
Lighthouse Bank has maintained capital that is substantially in excess of the "well capitalized" designation established by financial regulators. The Bank's loan loss reserve is also conservatively maintained at 2.60% of gross loans which is well above the industry standard. The loan loss reserve increased $105 thousand during the quarter as a result of loan growth. The increase in the reserve was not the result of deterioration in loan quality. Total nonperforming assets of $2.6 million consisted of three pieces of residential real estate owned by the Bank, all of which are currently listed for sale. No future losses are anticipated from the final disposition of these assets.
ABOUT LIGHTHOUSE BANK:
Lighthouse Bank is a locally owned and operated commercial bank located in Santa Cruz, CA. The Bank offers a full array of banking products and services to businesses, professionals, individuals, developers, and commercial property owners. Lighthouse Bank is committed to operating an open, ethical and financially successful company. All decisions are intended to contribute to the long-term success of its owners, clients, employees and the community it serves. The Bank moved into profitable operations without accepting government assistance of any kind, while shouldering the burden of increased FDIC Insurance premiums brought about by the failures within the industry.
Lighthouse Bank is located at 111 Mission Street in Downtown Santa Cruz, Ca. Lighthouse Bank's common stock is listed on the Over-the-Counter (OTC) Bulletin Board under the stock symbol LGHT.OB. More Information on the Bank may be obtained through its website http://www.lighthousebank.net/ or by calling 831-600-4000.
This release may contain forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuation in interest rates, inflation, government regulations and general economic conditions, and competition within the business areas in which the Bank is conducting its operations, including the real estate market in California and other factors beyond the Bank's control. Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated. Readers should not place undue reliance on the forward looking statements, which reflect management's view only as of the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.
Selected Financial Data (unaudited) Quarter-Ended Change ------------- ------ 9/30/2010 6/30/2010% --------- --------- Balance Sheet Total assets $106,370,537 $100,236,780 6% Gross loans 67,796,965 61,737,266 10% Allowance for loan losses 1,764,000 1,659,000 6% Non interest-bearing deposits 15,657,196 14,228,835 10% Total deposits 85,982,978 80,140,704 7.3% Shareholders' equity 17,023,894 16,751,572 1.6% Income Statement Interest income 1,322,679 1,289,169 3% Interest expense 171,626 172,316 0% ------- ------- Net interest income 1,151,053 1,116,853 3% Provision for loan losses 105,000 195,000 -46% Non-interest income 144,234 122,413 18% Non-interest expense 974,913 917,030 6% ------- ------- Net income (loss) $215,374 $127,236 69% ======== ======== Net income (loss) excluding loan loss provisions $320,374 $322,236 -1% Ratios Net interest margin 4.55% 4.65% Equity capital-to-total assets 16.0% 16.7% Quarter- ended Change ------ 9/30/2009% --------- Balance Sheet Total assets $84,598,070 26% Gross loans 54,256,479 25% Allowance for loan losses 1,275,000 38% Non interest-bearing deposits 10,908,792 44% Total deposits 63,986,902 34% Shareholders' equity 16,275,694 4.6% Income Statement Interest income 1,292,158 2% Interest expense 197,247 -13% ------- Net interest income 1,094,911 5% Provision for loan losses 199,000 -47% Non-interest income 42,564 239% Non-interest expense 885,049 10% ------- Net income (loss) $53,426 303% ======= Net income (loss) excluding loan loss provisions $252,426 Ratios Net interest margin 5.63% Equity capital-to-total assets 19.2% Year-to-Date Ended Change ------------------ ------ 9/30/2010 9/30/2009% --------- --------- Balance Sheet Total assets Gross loans Allowance for loan losses Non interest-bearing deposits Total deposits Shareholders' equity Income Statement Interest income 3,792,692 3,177,384 19% Interest expense 527,808 565,380 -7% ------- ------- Net interest income 3,264,884 2,612,004 25% Provision for loan losses 380,000 304,000 25% Non-interest income 307,694 94,547 225% Non-interest expense 2,775,209 2,637,672 5% --------- --------- Net income (loss) $417,369 $(235,121) 278% ======== ========= Net income (loss) excluding loan loss provisions $797,369 $68,879 1058% Ratios Net interest margin Equity capital-to-total assets
Lighthouse Bank
CONTACT: Lighthouse Bank, +1-831-600-4000
Web Site: http://www.lighthousebank.net/
