LIGHTHOUSE BANK- Expansion Underway-Solid Earnings Continue in Q2 2015

Jul 17, 2015, 16:01 ET from Lighthouse Bank

SANTA CRUZ, Calif., July 17, 2015 /PRNewswire/ -- Locally owned Lighthouse Bank (OTCQB: LGHT) today released unaudited financial results for the quarter-ended June 30, 2015.  The Bank posted a $536 thousand profit for the period, as compared to $494 thousand during Q1 2015.   Profit for the first six months of 2015 was $1.03 million and in spite of costs associated with ongoing expansion, little changed from the same period in 2014.   This represented the 24th successive quarter of profitable operations for the seven-year-old Bank.  For the period, total shareholders' equity grew by $723 thousand.   Year-over-year, shareholders' equity increased $2.2 million, or 9%, to $26.4 million. The Bank experienced strong loan growth, up $13 million during the period and 10% year-over-year, to $134 million.  Deposits decreased modestly during Q2, ending at $146 million, yet were up 9% year-over-year.  Overall positive performance continued to be driven by the Bank's control of overhead expenses.  

The Bank's loan loss reserve of 2.45% of gross loans remained significantly above the industry average for banks of all sizes.  The Bank had no nonperforming loans, no nonperforming assets and no past due loans in excess of 30 days at period end. Lighthouse Bank has not taken a loan loss in over three years and has experienced only a single loan loss since opening in 2007.

During the 2nd quarter, the Bank began the construction expansion of its future headquarters site at 2020 N. Pacific Avenue, Santa Cruz. The property, which was purchased by the Bank in January 2014, is located in the heart of downtown Santa Cruz.  Full completion of the facility is anticipated by year-end with occupancy expected in Q1 2016.   In addition, the Bank has executed a lease for its first branch location that will be situated in the heart of Silicon Valley.  The location at 19240 Stevens Creek Blvd. in Cupertino, is adjacent to the new Main St. Cupertino Business Center and close to the 3.1 million sq. ft. Apple headquarters building now under construction.  The Bank will take possession of the Stevens Creek Blvd. site in early 2016. The contiguous nature of the Silicon Valley market to that of Santa Cruz, staff experience working in that market, as well as community bank consolidations, have combined to provide a unique growth opportunity for Lighthouse Bank in Silicon Valley.

In January 2015, the Bank paid a $.40/ share cash dividend to shareholders that was declared in December 2014.  This represented the first cash dividend paid by the Bank after emerging from its 7 year DeNovo term late last year.   This followed two prior stock dividends granted in 2011 and 2013.  Since opening, Lighthouse Bank's consistently strong financial results continue to place it at the top of the industry in a variety of categories including asset quality, capital adequacy, return on equity and operational efficiency.  SNL Financial ranked Lighthouse Bank as the 8th highest performing community bank in the nation based on 2014 performance, of the 4316 banks of asset size under ½ billion dollars.  DepositAccounts.com  ranked Lighthouse Bank as the 10th healthiest bank in the nation for 2015, of 6900 total banking institutions.  Lighthouse Bank stock, (LGHT) is actively traded on the Over the Counter Bulletin Board via the Bank's market makers and online and full-service brokerage providers.  More information on the Bank's stock and historical financial performance may be located on the Bank's website at http://lighthousebank.net/Company/StockInformation/tabid/2477/Default.aspx

The Bank is rated by Bauer Financial as Five-Star "Superior" for strong financial performance, the top rating given by the independent bank rating firm. Lighthouse Bank is the only locally owned institution in Santa Cruz County with a Five-Star rating.  The Findley Reports, a well known banking publication named the Bank as a "Super Premier" performing bank, their highest ranking, and FMC Consulting named Lighthouse Bank the top rated state chartered bank on the Central Coast. Lighthouse Bank has no financial relationship with any of these rating agencies.

ABOUT LIGHTHOUSE BANK:
Lighthouse Bank is a locally owned and operated full-service 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. The Bank is dedicated to providing exceptional personalized service and access to decision makers who are close at hand.  The Bank offers a unique worldwide ATM fee rebate program and complimentary business courier service which expands the geographical reach of its banking office location throughout Santa Cruz County and the Silicon Valley. Lighthouse Bank is committed to operating an open, ethical and financially successful company without engaging in the corporate excesses that have characterized the financial services industry.  All decisions are intended to contribute to the long-term success of its clients, employees, owners and the communities it serves. The Bank received no TARP funds and has neither accepted nor requested government assistance of any kind.  Lighthouse Bank has never been subject to either formal or informal regulatory action.  

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.  More Information on the Bank may be obtained through its website www.lighthousebank.net or by calling 831-600-4000.


Selected Financial Data (unaudited)


Quarter-Ended

Change


Quarter-Ended

Change


Year-to-Date Ended

Change


6/30/2015

3/31/2015

%


6/30/2014

%


6/30/2015

6/30/2014

%












Balance Sheet






















Total assets

$ 175,864,581

$ 177,783,510

-1%


$ 169,117,949

4%





Gross loans

134,071,799

120,996,019

11%


121,773,016

10%





Allowance for loan losses

3,282,031

3,164,031

4%


3,164,031

4%





Non interest-bearing deposits

34,764,675

40,732,214

-15%


30,117,684

15%





Total deposits

146,078,598

151,404,547

-4%


134,081,196

9%





Shareholders' equity

26,438,514

25,715,394

3%


24,284,535

9%
















Income Statement






















Interest income

2,022,939

1,907,456

6%


2,034,232

-1%


$  3,930,395

$  4,036,046

-3%

Interest expense

92,930

90,543

3%


96,294

-3%


183,473

192,791

-5%

Net interest income

1,930,009

1,816,913

6%


1,937,938

0%


3,746,922

3,843,255

-3%












Provision for loan losses

118,000

-

-


282,000

-58%


118,000

290,000

-59%

Non-interest income

70,297

87,287

-19%


78,597

-11%


157,584

179,517

-12%

Non-interest expense

1,012,164

1,101,393

-8%


1,020,707

-1%


2,113,557

2,052,023

3%

Net income before taxes

870,142

802,807

8%


713,828

22%


1,672,949

1,680,749

0%

Income tax expense (benefit)

334,443

309,182

8%


265,530

26%


643,625

635,957

1%












Net income

$         535,699

$         493,625

9%


$         448,298

19%


$  1,029,324

$  1,044,792

-1%












Earnings per share (basic)

$               0.24

$               0.22

9%


$               0.21

14%


$           0.46

$           0.49

-6%

Book value per share

$             11.79

$             11.58

2%


$             11.18

5%


$         11.79

$         11.18

5%












Ratios











Net interest margin

4.63%

4.55%



4.85%






Equity capital-to-total assets

15.0%

14.5%



14.4%






Return on Average Assets

1.23%

1.17%



1.07%






Return on Average Equity

8.21%

7.84%



7.49%






Allowance for Loan Losses-to-Total Loans

2.45%

2.61%



2.60%






Non-Performing Assets-to-Total Assets

0.00%

0.00%



0.21%






Efficiency Ratio

50.6%

57.8%



50.7%


















































Weighted Average # of Shares

2,232,307

2,216,249



2,164,412



2,224,278

2,152,285


Period-Ended # of Shares

2,243,107

2,221,132



2,172,497



2,243,107

2,172,497


 

SOURCE Lighthouse Bank



RELATED LINKS

http://www.lighthousebank.net