Lighthouse Bank Reports Strong Performance for 2015
SANTA CRUZ, Calif., Jan. 21, 2016 /PRNewswire/ -- Locally owned Lighthouse Bank (OTC-QB: LGHT) today released unaudited financial results for the 4th quarter-ended December 31, 2015. The Bank posted a $709 thousand profit for the period, representing the 26th successive quarter of profitable operations for the Bank. Profit for the fiscal year ended December 31, 2015 was $2.4 million and represented an $87 thousand decrease in earnings compared to the prior year. The small decrease in earnings was primarily the result of increased employee expenses. Return on average equity for 2015 was 8.85%. For the 12-month period, total shareholders' equity increased by 10% to $28 million. The Bank experienced strong growth in loans, up 12% year-over-year to $138 million. Deposits increased by 6% to $152 million from December 31, 2014. Overall positive performance continued to be driven by the Bank's control of overhead expenses and growth in the loan portfolio.
The Bank's loan loss reserve of 2.40% of gross loans remained significantly above the industry average for banks of all sizes. The Bank had no nonperforming loans, no nonperforming assets and only one past due loan in excess of 30 days at year-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 2015, construction progressed on the Bank's future headquarters at 2020 N. Pacific Avenue. The property is now nearing completion and the Bank anticipates occupancy in April, 2016. In addition, the Bank continued with expansion plans for its first branch location that will be situated in 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 several months. 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.
The Bank paid two quarterly cash dividends in late 2015, each for $0.075 per share. In January 2015, the Bank paid a special $0.40 per share cash dividend to shareholders. 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, which marked its 8th anniversary in October 2015, 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. A unique worldwide ATM fee rebate program and complimentary business courier service 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 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 |
Quarter-Ended |
Year-to-Date Ended |
||||||
| 12/31/2015 |
9/30/2015 |
% |
12/31/2014 |
% |
12/31/2015 |
12/31/2014 |
% |
|
| Balance Sheet |
||||||||
| Total assets |
$ 182,021,349 |
$ 176,086,483 |
3% |
$ 168,334,053 |
8% |
|||
| Gross loans |
137,510,474 |
132,081,919 |
4% |
122,754,978 |
12% |
|||
| Allowance for loan losses |
3,300,251 |
3,282,031 |
1% |
3,164,031 |
4% |
|||
| Non interest-bearing deposits |
35,701,970 |
37,435,035 |
-5% |
35,877,916 |
0% |
|||
| Total deposits |
151,740,262 |
148,436,933 |
2% |
142,758,593 |
6% |
|||
| Shareholders' equity |
27,568,725 |
26,941,579 |
2% |
25,166,825 |
10% |
|||
| Income Statement |
||||||||
| Interest income |
2,097,277 |
2,159,988 |
-3% |
2,006,952 |
5% |
$ 8,187,660 |
$ 8,374,513 |
-2% |
| Interest expense |
93,710 |
93,562 |
0% |
92,376 |
1% |
370,745 |
378,967 |
-2% |
| Net interest income |
2,003,567 |
2,066,426 |
-3% |
1,914,576 |
5% |
7,816,915 |
7,995,546 |
-2% |
| Provision for loan losses |
18,220 |
- |
N/A |
- |
N/A |
136,220 |
290,000 |
-53% |
| Non-interest income |
74,378 |
62,987 |
18% |
89,466 |
-17% |
294,949 |
341,228 |
-14% |
| Non-interest expense |
1,016,406 |
1,129,954 |
-10% |
957,934 |
6% |
4,259,917 |
4,129,183 |
3% |
| Net income before taxes |
1,043,319 |
999,459 |
4% |
1,046,108 |
0% |
3,715,727 |
3,917,591 |
-5% |
| Income tax expense (benefit) |
333,962 |
388,110 |
-14% |
379,316 |
-12% |
1,365,697 |
1,480,913 |
-8% |
| Net income |
$ 709,357 |
$ 611,349 |
16% |
$ 666,792 |
6% |
$ 2,350,030 |
$ 2,436,678 |
-4% |
| Earnings per share (basic) |
$ 0.32 |
$ 0.27 |
19% |
$ 0.30 |
7% |
$ 1.05 |
$ 1.12 |
-6% |
| Book value per share |
$ 12.23 |
$ 12.00 |
2% |
$ 11.80 |
4% |
$ 12.23 |
$ 11.80 |
4% |
| Ratios |
||||||||
| Net interest margin |
4.67% |
4.81% |
4.78% |
4.67% |
5.07% |
|||
| Equity capital-to-total assets |
15.1% |
15.3% |
15.0% |
15.1% |
15.0% |
|||
| Return on Average Assets |
1.56% |
1.36% |
1.58% |
1.33% |
1.47% |
|||
| Return on Average Equity |
10.31% |
9.05% |
10.41% |
8.85% |
9.97% |
|||
| Allowance for Loan Losses-to-Total Loans |
2.40% |
2.48% |
2.58% |
2.40% |
2.58% |
|||
| Non-Performing Assets-to-Total Assets |
0.00% |
0.00% |
0.00% |
0.00% |
0.19% |
|||
| Efficiency Ratio |
48.9% |
53.1% |
47.8% |
52.6% |
49.6% |
|||
SOURCE Lighthouse Bank
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