UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
______________________
Form 8-K
______________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event Reported): January 26, 2016
Community West Bancshares
(Exact Name of Registrant as Specified in Charter)
CALIFORNIA | 000-23575 | 77-0446957 |
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification Number) |
445 Pine Avenue, Goleta, California 93117 |
(Address of Principal Executive Offices) (Zip Code) |
(805) 692-5821
(Registrant's telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: | ||
[ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
[ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
[ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
[ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02. Results of Operations and Financial Condition.
On January 26, 2016, the Company issued a Press Release announcing financial results for the quarter ended December 31, 2015. A copy of the press release is attached as Exhibit 99.1 to this current Report on Form 8-K.
Item 9.01. Financial Statements and Exhibits.
(a) Financial statements. – not applicable
(b) Pro forma financial statements. – not applicable
(c) Shell Company Transactions. Not applicable.
(d) Exhibits.
The following exhibit is being furnished herewith:
99.1 | Press Release dated January 26 2016 titled “Community West Bancshares Earns $1.9 Million in Fourth Quarter; Results Driven by 10% Annual Loan Growth and Continued Improvement in Asset Quality; Declares Quarterly Cash Dividend of $0.03 per Common Share” |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Community West Bancshares | ||
Date: January 26, 2016 | By: | /s/ Charles G. Baltuskonis |
Name: Charles G. Baltuskonis | ||
Title: Executive Vice President and Chief Financial Officer | ||
EXHIBIT 99.1
Community West Bancshares Earns $1.9 Million in Fourth Quarter; Results Driven by 10% Annual Loan Growth and Continued Improvement in Asset Quality; Declares Quarterly Cash Dividend of $0.03 Per Common Share
GOLETA, Calif., Jan. 26, 2016 (GLOBE NEWSWIRE) -- Community West Bancshares (Community West or the Company), (NASDAQ:CWBC), parent company of Community West Bank (Bank), today reported net income of $1.9 million in the fourth quarter of 2015 (4Q15) compared to net income of $1.6 million in the third quarter (3Q15) and $2.2 million in the fourth quarter a year ago (4Q14). For the full year, Community West reported net income of $2.9 million compared to net income of $7.0 million a year ago. Excluding the $7.1 million net loan litigation settlement, Community West’s net income for the year would have been $7.0 million. (See page 8 – “Non-Gaap Financial Information”)
“Loan and deposit growth, solid net interest margin, and continuing credit quality improvement fueled profitability in the fourth quarter,” said Martin E. Plourd, President and Chief Executive Officer. “We are optimistic about the opportunities for growth in 2016, particularly expanding further into San Luis Obispo County.”
4Q15 Financial Highlights
Including $44,000 of preferred stock dividends, the net income available to common stockholders was $1.8 million, or $0.21 per diluted share, in 4Q15 compared to net income available to common stockholders of $1.5 million, or $0.17 per diluted share, in 3Q15 and net income available to common stockholders of $2.0 million, or $0.24 per diluted share, in 4Q14.
Income Statement
“In addition to higher than industry average loan yields, we had a loan interest recovery during the quarter, which contributed to our strong net interest margin,” said Charles G. Baltuskonis, Executive Vice President and Chief Financial Officer. Fourth quarter net interest margin improved 35 basis points to 4.90% compared to 3Q15 and improved 38 basis points compared to 4Q14. Of the increase in asset yields in 4Q15, 47 basis points was attributable to one nonaccrual lending relationship which was paid in full. For all of 2015, Community West’s net interest margin improved 30 basis points to 4.80% compared to 4.50% in 2014.
Community West’s fourth quarter net interest income was $7.5 million, a 10.0% increase compared to $6.8 million in the preceding quarter and a 18.3% increase compared to $6.3 million in 4Q14. For the year, net interest income increased 12.0% to $27.7 million compared to $24.7 million a year ago.
Non-interest income was $538,000 in 4Q15 compared to $554,000 in 3Q15 and $471,000 in 4Q14. For the full year, non-interest income increased modestly to $2.3 million compared to $2.2 million in 2014.
Fourth quarter non-interest expenses totaled $5.1 million, compared to $5.0 million in 3Q15 and $4.6 million in 4Q14. For the year, non-interest expenses were $27.3 million compared to $20.1 million a year ago. The year over year increase is primarily a result of the $7.1 million loan litigation settlement in 3Q15. (See page 8 – “Non-Gaap Financial Information”)
Balance Sheet
Net loans increased 2.0% to $536.5 million at December 31, 2015, compared to $526.0 million at September 30, 2015, and increased 10.1% compared to $487.3 million a year ago. Commercial real estate loans outstanding were up 12.6% from year ago levels to $179.5 million at December 31, 2015, and comprise 33.0% of the total loan portfolio. Manufactured housing loans were up 4.9% from year ago levels to $177.9 million and represent 32.7% of total loans. Commercial loans increased 43.7% from year ago levels to $107.5 million and represent 19.8% of the total loan portfolio and SBA loans decreased 22.7% from a year ago to $47.9 million and represent 8.8% of the total loan portfolio.
Deposits totaled $544.3 million at December 31, 2015, up 3.3% compared to $526.8 million at September 30, 2015 and grew 14.1% compared to $477.1 million a year earlier. Non-interest bearing deposit accounts increased 33.3% to $76.5 million at December 31, 2015, compared to $57.4 million a year earlier. Core deposits, defined as non-interest-bearing checking, interest-bearing checking, money market accounts, savings accounts and retail certificates of deposit totaled $408.7 million at December 31, 2015 and comprise 75.1% of total deposits, compared to $378.1 million, or 79.3% of total deposits, a year ago.
Community West’s total assets were $621.2 million at December 31, 2015, a 3.4% increase compared to three months earlier and a 11.5% increase compared to a year ago. Stockholders’ equity declined to $61.9 million at December 31, 2015, compared to $65.9 million at September 30, 2015, and $67.0 million a year ago as preferred stock of $5.6 million was redeemed. (See page 3 - “Final redemption of preferred stock.”) Book value per common share was $7.55 at December 31, 2015 compared to $7.36 at September 30, 2015, and $7.31 a year ago.
Credit Quality
The negative loan loss provision was $277,000 in 4Q15, compared to $445,000 in 3Q15, and $1.6 million in 4Q14. Net loan recoveries were $181,000 in 4Q15 compared to $214,000 in 3Q15 and $216,000 in 4Q14. “As a result of strong asset quality, including the solid loan loss reserves already in place, we recorded a negative provision for loan losses in the last eight quarters and net loan loss recoveries in seven of the past eight quarters,” added Plourd.
The total allowance for loan losses was $6.9 million at December 31, 2015, or 1.44% of total loans held for investment, compared to 1.50% at September 30, 2015, and 1.84% a year ago. Net nonaccrual loans decreased to $5.0 million, or 0.92% of total loans at December 31, 2015, compared to $5.3 million, or 0.99% of total loans, three months earlier, and decreased 54.5% compared to $11.0 million, or 2.23% of total loans, a year ago.
Of the $5.0 million in net nonaccrual loans, $2.4 million were commercial real estate loans, $1.6 million were manufactured housing loans, $403,000 were SBA loans, $313,000 were home equity line of credit loans, $282,000 were single family real estate loans and $44,000 were commercial loans.
Other assets acquired through foreclosure totaled $198,000 at December 31, 2015, compared to $206,000 three months earlier and $137,000 a year earlier. Nonaccrual loans plus other assets acquired through foreclosure, net of SBA/USDA guarantees, totaled $5.2 million, or 0.84% of total assets, at December 31, 2015, compared to $5.5 million, or 0.91% of total assets, three months earlier and $11.2 million, or 2.00% of total assets, a year ago.
Final Redemption of Preferred Stock
On November 2, 2015, the Company redeemed the remaining $5,574,000 of its 9%, Cumulative Perpetual Preferred Stock, Series A. The Company finalized a $10 million line of credit at a rate of one-month Libor plus 3.75% to assist in paying for this final redemption and use for other future corporate purposes. The Company originally issued 15,600 shares of Fixed Rate Cumulative Perpetual Stock, Series A, to Treasury under the Troubled Asset Relief Program (TARP) Capital Purchase Program. In December 2012, Treasury auctioned the preferred shares to private investors.
Declares Cash Dividend of $0.03 Per Common Share
The Company’s Board of Directors declared a quarterly cash dividend of $0.03 per common share, payable February 29, 2016 to common shareholders of record on February 11, 2016.
Stock Repurchase Program
On August 31, 2015, the Company announced that the Board of Directors authorized a common stock repurchase program of up to $3 million. As of December 31, 2015, 4,000 shares had been repurchased, leaving outstanding common stock shares of 8,205,858.
Use of Non-GAAP Financial Information
This press release contains both financial measures based on accounting principles generally accepted in the United States (“GAAP”) and non-GAAP based financial measures, which are used where management believes it to be helpful in understanding the Company’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in this press release. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Company Overview
Community West Bancshares is a financial services company with headquarters in Goleta, California. The Company is the holding company for Community West Bank, which has five full-service California branch banking offices, in Goleta, Santa Barbara, Santa Maria, Ventura and Westlake Village and one loan production office in San Luis Obispo. The principal business activities of the Company are Relationship business banking, Manufactured Housing lending and SBA lending.
Safe Harbor Disclosure
This release contains forward-looking statements that reflect management's current views of future events and operations. These forward-looking statements are based on information currently available to the Company as of the date of this release. It is important to note that these forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including, but not limited to, the ability of the Company to implement its strategy and expand its lending operations.
COMMUNITY WEST BANCSHARES | |||||||||||||||||||||
CONDENSED CONSOLIDATED INCOME STATEMENTS | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
(in 000's, except per share data) | |||||||||||||||||||||
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||
December 31, | September 30, | December 31, | December 31, | December 31, | |||||||||||||||||
2015 | 2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Interest income | |||||||||||||||||||||
Loans, including fees | $ | 7,886 | $ | 7,131 | $ | 6,798 | $ | 29,139 | $ | 27,166 | |||||||||||
Investment securities and other | 249 | 244 | 220 | 1,083 | 838 | ||||||||||||||||
Total interest income | 8,135 | 7,375 | 7,018 | 30,222 | 28,004 | ||||||||||||||||
Interest expense | |||||||||||||||||||||
Deposits | 622 | 587 | 624 | 2,383 | 2,663 | ||||||||||||||||
Other borrowings and convertible debt | 51 | 6 | 88 | 133 | 612 | ||||||||||||||||
Total interest expense | 673 | 593 | 712 | 2,516 | 3,275 | ||||||||||||||||
Net interest income | 7,462 | 6,782 | 6,306 | 27,706 | 24,729 | ||||||||||||||||
Provision for loan losses | (277 | ) | (445 | ) | (1,575 | ) | (2,274 | ) | (5,135 | ) | |||||||||||
Net interest income after provision for loan losses | 7,739 | 7,227 | 7,881 | 29,980 | 29,864 | ||||||||||||||||
Non-interest income | |||||||||||||||||||||
Other loan fees | 225 | 244 | 184 | 1,014 | 904 | ||||||||||||||||
Document processing fees | 102 | 141 | 97 | 466 | 394 | ||||||||||||||||
Service charges | 99 | 92 | 69 | 351 | 284 | ||||||||||||||||
Other | 112 | 77 | 121 | 478 | 615 | ||||||||||||||||
Total non-interest income | 538 | 554 | 471 | 2,309 | 2,197 | ||||||||||||||||
Non-interest expenses | |||||||||||||||||||||
Salaries and employee benefits | 3,175 | 3,412 | 2,846 | 12,904 | 12,154 | ||||||||||||||||
Occupancy, net | 519 | 507 | 475 | 1,958 | 1,852 | ||||||||||||||||
Professional services | 257 | 212 | 384 | 993 | 1,551 | ||||||||||||||||
Data processing | 145 | 135 | 145 | 533 | 570 | ||||||||||||||||
Advertising and marketing | 118 | 116 | 179 | 466 | 608 | ||||||||||||||||
Depreciation | 109 | 103 | 86 | 399 | 324 | ||||||||||||||||
Stock based compensation | 79 | 73 | 38 | 412 | 308 | ||||||||||||||||
FDIC assessment | 90 | 99 | 85 | 342 | 338 | ||||||||||||||||
Loan servicing and collection | 114 | 10 | 259 | 395 | 845 | ||||||||||||||||
Loan litigation settlement, net | (8 | ) | (50 | ) | - | 7,095 | - | ||||||||||||||
Other | 493 | 421 | 149 | 1,784 | 1,531 | ||||||||||||||||
Total non-interest expenses | 5,091 | 5,038 | 4,646 | 27,281 | 20,081 | ||||||||||||||||
Income before provision for income taxes | 3,186 | 2,743 | 3,706 | 5,008 | 11,980 | ||||||||||||||||
Provision for income taxes | 1,335 | 1,152 | 1,520 | 2,138 | 4,934 | ||||||||||||||||
Net Income | 1,851 | 1,591 | 2,186 | 2,870 | 7,046 | ||||||||||||||||
Dividends and accretion on preferred stock | 44 | 125 | 159 | 445 | 937 | ||||||||||||||||
Discount on partial redemption of preferred stock | - | - | (15 | ) | (129 | ) | (159 | ) | |||||||||||||
Net income available to common stockholders | $ | 1,807 | $ | 1,466 | $ | 2,042 | $ | 2,554 | $ | 6,268 | |||||||||||
Earnings per share: | |||||||||||||||||||||
Basic | $ | 0.22 | $ | 0.18 | $ | 0.25 | $ | 0.31 | $ | 0.77 | |||||||||||
Diluted | $ | 0.21 | $ | 0.17 | $ | 0.24 | $ | 0.30 | $ | 0.75 |
COMMUNITY WEST BANCSHARES | ||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||||||||
(unaudited) | ||||||||||||||
(in 000's, except per share data) | ||||||||||||||
December 31, | September 30, | December 31, | ||||||||||||
2015 | 2015 | 2014 | ||||||||||||
Cash and cash equivalents | $ | 2,789 | $ | 1,876 | $ | 1,631 | ||||||||
Time and interest-earning deposits in other financial institutions | 32,829 | 21,916 | 17,427 | |||||||||||
Investment securities | 30,466 | 31,201 | 30,641 | |||||||||||
Loans: | ||||||||||||||
Commercial | 107,510 | 99,871 | 74,792 | |||||||||||
Commercial real estate | 179,491 | 177,302 | 159,432 | |||||||||||
SBA | 47,880 | 50,381 | 61,963 | |||||||||||
Manufactured housing | 177,891 | 173,432 | 169,662 | |||||||||||
Single family real estate | 19,073 | 20,671 | 15,744 | |||||||||||
HELOC | 10,934 | 11,134 | 13,481 | |||||||||||
Other | 683 | 207 | 59 | |||||||||||
Total loans | 543,462 | 532,998 | 495,133 | |||||||||||
Loans, net | ||||||||||||||
Held for sale | 64,488 | 65,491 | 66,759 | |||||||||||
Held for investment | 478,974 | 467,507 | 428,374 | |||||||||||
Less: Allowance | (6,916 | ) | (7,012 | ) | (7,877 | ) | ||||||||
Net held for investment | 472,058 | 460,495 | 420,497 | |||||||||||
NET LOANS | 536,546 | 525,986 | 487,256 | |||||||||||
Other assets | 18,583 | 20,058 | 20,363 | |||||||||||
TOTAL ASSETS | $ | 621,213 | $ | 601,037 | $ | 557,318 | ||||||||
Deposits | ||||||||||||||
Non-interest-bearing demand | $ | 76,469 | $ | 73,073 | $ | 57,364 | ||||||||
Interest-bearing demand | 250,509 | 250,738 | 275,631 | |||||||||||
Savings | 13,690 | 13,943 | 15,265 | |||||||||||
Certificates of deposit ($250,000 or more) | 66,722 | 56,745 | 13,601 | |||||||||||
Other certificates of deposit | 136,948 | 132,287 | 115,223 | |||||||||||
Total deposits | 544,338 | 526,786 | 477,084 | |||||||||||
Other borrowings | 10,500 | 5,000 | 10,000 | |||||||||||
Other liabilities | 4,431 | 3,339 | 3,227 | |||||||||||
TOTAL LIABILITIES | 559,269 | 535,125 | 490,311 | |||||||||||
Stockholders' equity | 61,944 | 65,912 | 67,007 | |||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||||||
$ | 621,213 | $ | 601,037 | $ | 557,318 | |||||||||
Shares outstanding | 8,206 | 8,201 | 8,203 | |||||||||||
Book value per common share | $ | 7.55 | $ | 7.36 | $ | 7.31 |
ADDITIONAL FINANCIAL INFORMATION | ||||||||||||||||||||
(Dollars in thousands except per share amounts)(Unaudited) | ||||||||||||||||||||
Three Months Ended | Three Months Ended | Three Months Ended | Twelve Months Ended | |||||||||||||||||
PERFORMANCE MEASURES AND RATIOS | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||||||||
Return on average common equity | 11.96 | % | 10.54 | % | 14.70 | % | 4.69 | % | 12.51 | % | ||||||||||
Return on average assets | 1.19 | % | 1.05 | % | 1.54 | % | 0.49 | % | 1.25 | % | ||||||||||
Efficiency ratio | 63.64 | % | 68.68 | % | 68.56 | % | 90.89 | % | 74.58 | % | ||||||||||
Net interest margin | 4.90 | % | 4.55 | % | 4.52 | % | 4.80 | % | 4.50 | % | ||||||||||
Three Months Ended | Three Months Ended | Three Months Ended | Twelve Months Ended | |||||||||||||||||
AVERAGE BALANCES | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | |||||||||||||||
Average assets | $ | 614,688 | $ | 601,776 | $ | 564,634 | $ | 588,369 | $ | 562,474 | ||||||||||
Average earning assets | 603,921 | 591,018 | 553,564 | 577,755 | 549,136 | |||||||||||||||
Average total loans | 537,917 | 526,119 | 497,211 | 513,826 | 489,598 | |||||||||||||||
Average deposits | 537,269 | 523,108 | 480,878 | 509,022 | 469,477 | |||||||||||||||
Average equity (including preferred stock) | 63,334 | 65,478 | 66,041 | 66,076 | 67,600 | |||||||||||||||
Average common equity (excluding preferred stock) | 61,395 | 59,904 | 58,984 | 61,140 | 56,313 | |||||||||||||||
EQUITY ANALYSIS | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |||||||||||||||||
Total equity | $ | 61,944 | $ | 65,912 | $ | 67,007 | ||||||||||||||
Less: senior preferred stock | - | (5,574 | ) | (7,014 | ) | |||||||||||||||
Total common equity | $ | 61,944 | $ | 60,338 | $ | 59,993 | ||||||||||||||
Common stock outstanding | 8,206 | 8,201 | 8,203 | |||||||||||||||||
Book value per common share | $ | 7.55 | $ | 7.36 | $ | 7.31 | ||||||||||||||
ASSET QUALITY | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |||||||||||||||||
Nonaccrual loans, net | $ | 5,013 | $ | 5,287 | $ | 11,027 | ||||||||||||||
Nonaccrual loans, net/total loans | 0.92 | % | 0.99 | % | 2.23 | % | ||||||||||||||
Other assets acquired through foreclosure, net | $ | 198 | $ | 206 | $ | 137 | ||||||||||||||
Nonaccrual loans plus other assets acquired through foreclosure, net | $ | 5,211 | $ | 5,493 | $ | 11,164 | ||||||||||||||
Nonaccrual loans plus other assets acquired through foreclosure, net/total assets | 0.84 | % | 0.91 | % | 2.00 | % | ||||||||||||||
Net loan (recoveries)/charge-offs in the quarter | $ | (181 | ) | $ | (214 | ) | $ | (216 | ) | |||||||||||
Net (recoveries)/charge-offs in the quarter/total loans | -0.03 | % | -0.04 | % | -0.04 | % | ||||||||||||||
Allowance for loan losses | $ | 6,916 | $ | 7,012 | $ | 7,877 | ||||||||||||||
Plus: Reserve for undisbursed loan commitments | 61 | 50 | 39 | |||||||||||||||||
Total allowance for credit losses | $ | 6,977 | $ | 7,062 | $ | 7,916 | ||||||||||||||
Total allowance for loan losses/total loans held for investment | 1.44 | % | 1.50 | % | 1.84 | % | ||||||||||||||
Total allowance for loan losses/nonaccrual loans | 137.96 | % | 132.63 | % | 71.43 | % | ||||||||||||||
Community West Bank * | ||||||||||||||||||||
Tier 1 leverage ratio | 10.38 | % | 10.73 | % | 11.64 | % | ||||||||||||||
Tier 1 risk-based capital ratio | 12.45 | % | 13.15 | % | 14.66 | % | ||||||||||||||
Total risk-based capital ratio | 13.70 | % | 14.40 | % | 15.91 | % | ||||||||||||||
INTEREST SPREAD ANALYSIS | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |||||||||||||||||
Yield on total loans | 5.82 | % | 5.38 | % | 5.43 | % | ||||||||||||||
Yield on investments | 2.60 | % | 2.52 | % | 2.34 | % | ||||||||||||||
Yield on interest earning deposits | 0.32 | % | 0.30 | % | 0.35 | % | ||||||||||||||
Yield on earning assets | 5.34 | % | 4.95 | % | 5.03 | % | ||||||||||||||
Cost of interest-bearing deposits | 0.53 | % | 0.52 | % | 0.59 | % | ||||||||||||||
Cost of total deposits | 0.46 | % | 0.45 | % | 0.51 | % | ||||||||||||||
Cost of borrowings | 2.31 | % | 0.23 | % | 2.50 | % | ||||||||||||||
Cost of interest-bearing liabilities | 0.57 | % | 0.51 | % | 0.65 | % | ||||||||||||||
* Capital ratios are preliminary until the Call Report is filed. |
NON-GAAP FINANCIAL INFORMATION | ||||||||
(Unaudited) | ||||||||
Three Months Ended | Twelve Months Ended | |||||||
NON-GAAP PERFORMANCE MEASURES | Dec. 31, 2015 | Dec. 31, 2015 | ||||||
Return on average common equity, excluding loan litigation settlement, net (1) | 11.93 | % | 11.52 | % | ||||
Return on average assets, excluding loan litigation settlement, net (1) | 1.19 | % | 1.20 | % | ||||
Efficiency ratio, excluding loan litigation settlement, net (2) | 63.74 | % | 67.25 | % | ||||
NON-GAAP EARNINGS PER SHARE | ||||||||
Basic (3) | $ | 0.22 | $ | 0.82 | ||||
Diluted (3) | $ | 0.21 | $ | 0.79 | ||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES | ||||||||
(Unaudited) | ||||||||
Three Months Ended | Twelve Months Ended | |||||||
Dec. 31, 2015 | Dec. 31, 2015 | |||||||
(in thousands) | ||||||||
Net income | $ | 1,851 | $ | 2,870 | ||||
Loan litigation settlement, net | (8 | ) | 7,095 | |||||
Tax effect on loan litigation settlement, net | 3 | (2,920 | ) | |||||
Net income, excluding loan litigation settlement, net (3) | $ | 1,846 | $ | 7,045 | ||||
Three Months Ended | Twelve Months Ended | |||||||
Dec. 31, 2015 | Dec. 31, 2015 | |||||||
(in thousands) | ||||||||
Total non-interest expenses | $ | 5,091 | $ | 27,281 | ||||
Loan litigation settlement, net | 8 | (7,095 | ) | |||||
Total non-interest expenses, excluding loan litigation settlement, net (3) | $ | 5,099 | $ | 20,186 | ||||
(1) The Company believes these non-GAAP ratios provide a useful metric with which to analyze and evaluate the financial condition of the Company | ||||||||
(2) The Company believes this non-GAAP ratio provides a useful metric to measure the operating efficiency of the Company | ||||||||
(3) The Company believes these non-GAAP measurements are a key indicator of the ongoing earnings power of the Company |
Contact:
Charles G. Baltuskonis, EVP & CFO
805.692.5821
www.communitywestbank.com