California Bank of Commerce Reports Record Earnings for 2Q 2014

On June 30, 2014, the Bank announced the successful completion of its $16 million public stock offering. Our Bank is growing and this new capital will help open up additional growth opportunities. We were very pleased and gratified that our existing and new shareholders were not only able to participate in our capital raise but supported it beyond our expectations, said Steve Cortese, Chairman of California Bank of Commerce.

Our strong results for the second quarter and first six months of 2014 reflects a continuing story of quality balance sheet growth and accelerating earnings, driven by an experienced team of banking professionals, said Terry A. Peterson President and CEO. With our successful capital raise behind us, we are also accelerating our search for additional experienced bankers to join our team and further fuel our growth, said Peterson.

Continued strong quarterly financial results versus 2013:

Strong loan and deposit growth:

Continued strong credit quality:

Improved book value and stronger capital ratio:

Net Interest Income and Margin

For the quarter ended June 30, 2014 compared to the quarter ended June 30, 2013, net interest income increased by 17% to $3.6 million compared to $3.1 million last year. The year over year increase in net interest income was primarily driven by a combination of strong growth in average loan balances as well as an improved net interest margin.

The net interest margin for the second quarter 2014 was 4.17%, improving 29 basis points compared to the 3.88% average margin in the second quarter of 2013, while the margin was down six basis points from first quarter 2014. We were able to improve net interest margin year over year, however with our stronger loan to deposit ratio, continuing this improvement will be our challenge and opportunity, said Peterson.

Non-Interest Income

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California Bank of Commerce Reports Record Earnings for 2Q 2014