American Riviera Bank Reports 20% Core Loan Growth
Santa Barbara, California (October 25, 2021) – American Riviera Bank (OTCQX: ARBV) announced today unaudited net income of $9,082,000 ($1.77 per share) for the nine months ended September 30, 2021. This represents an 82% increase in net income from the $5,000,000 ($0.99 per share) earned in the same reporting period in the prior year.
In 2021, the Bank has achieved an annualized return on average assets of 1.12% and return on average equity of 13.64%. Unaudited net income was $2,950,000 ($0.58 per share) for the third quarter ended September 30, 2021, compared to the $2,264,000 ($0.45 per share) earned in the same reporting period in the prior year.
Core loans, excluding SBA PPP loans, have grown 20% or $124 million over the last year since September 30, 2020. Year to date, core loans excluding PPP loans have grown 14% or $87 million since December 31, 2020. PPP loans totaled $51 million at September 30, 2021, with $102 million processed by the Bank and approved for forgiveness by the SBA during the nine months ended September 30, 2021. The Bank maintained strong credit quality with no other real estate owned, no loans 90 days or more past due, and only $3.3 million or 0.46% of total loans excluding PPP on non-accrual status, which are well supported by collateral.
American Riviera Bank continues to experience tremendous deposit growth with a 35% or $287 million increase in total deposits over the last year since September 30, 2020. Non-interest bearing demand deposits increased 32% or $104 million since September 30, 2020. Deposit inflows from our clients have been the driving factor in the total assets of the Bank increasing $288 million since September 30, 2020 to a total of $1.2 billion at September 30, 2021.
“Each day clients throughout the Central Coast entrust us with more of their business. This is reflected in our strong organic loan and deposit growth. I am proud of our team who have partnered with our communities, supported our clients and made new relationships despite challenges presented by the pandemic.”
Jeff DeVine, President and Chief Executive Officer
As of September 30, 2021, American Riviera Bank continues to be well capitalized with a Tier 1 Capital Ratio of 11% (well above the regulatory guideline of 8% for well capitalized institutions). The tangible book value per share of American Riviera Bank common stock increased to $17.34 at September 30, 2021.
Statements concerning future performance, developments or events concerning expectations for growth and market forecasts, and any other guidance on future periods, constitute forward looking statements that are subject to a number of risks and uncertainties. Actual results may differ materially from stated expectations. Specific factors include, but are not limited to, effects of interest rate changes, ability to control costs and expenses, impact of consolidation in the banking industry, financial policies of the US government, and general economic conditions.Previous: ARB supports Unity Shoppe Next: Annual Results