First Pacific Bancorp Reports Fourth Quarter and Full Year 2024 Results

/EIN News/ -- WHITTIER, Calif., Feb. 06, 2025 (GLOBE NEWSWIRE) -- First Pacific Bancorp (the “Company”) (OTC Pink: FPBC), the holding company for First Pacific Bank (the “Bank”), today reported consolidated results for the fourth quarter and year ending December 31, 2024, marking its seventh consecutive quarter of profitability. The Company remains well-capitalized, with a robust liquidity position supported by a stable core deposit base and access to substantial sources of liquidity.

Highlights for the fourth quarter and full year 2024 include:

• Total assets ended 2024 at $433 million, up $13 million from $420 million at year end 2023.
• Total deposits ended 2024 at $351 million, up $18 million since year end 2023.
• Total loans ended 2024 at $277 million, up $2 million from year end 2023.
• Asset quality remains excellent with minimal levels of classified or non-performing assets.
• The Bank ended the fourth quarter with a strong capital position, with a leverage capital ratio of 9.0% and a total risk-based capital ratio of 13.4%.
• As of December 31, 2024, cash and cash equivalents totaled $41 million, including funds invested overnight, up $19 million since year end 2023.
• Unused borrowing capacity from credit facilities in place on December 31, 2024, totaled $167 million.
  

For the fourth quarter ending December 31, 2024, the Company realized a pre-tax, pre-provision profit of $702 thousand, compared to a pre-tax, pre-provision profit of $345 thousand in Q3 2024. Net income for the fourth quarter of 2024 was $500 thousand, up from $249 thousand in Q3 2024. For the twelve months ending December 31, 2024, the Company reported $1.1 million in net income, up from a net loss of $164 thousand reported for the twelve months ending December 31, 2023.     

Asset quality remains excellent with minimal non-performing assets and the allowance for credit losses is 1.15% of total loans. There was no provision for credit losses recognized for the year ending 2024, compared to $906 thousand for the year ending December 31, 2023.

“We are pleased to close out 2024 on a strong note, achieving seven consecutive quarters of profitability and demonstrating the success of our strategic approach,” said Joe Matranga, Chairman of the Board of Directors. “With a solid capital position, strong liquidity, and sound financial standing, we are well-positioned to continue to execute our strategy and drive sustainable, long-term value for our stakeholders.”

“We delivered another strong quarter of financial results highlighted by loan and deposit growth, excellent asset quality, and a solid capital and liquidity position,” said Nathan Rogge, President and Chief Executive Officer. “We enter 2025 with strong momentum and a clear growth strategy, driven by strategic investments in technology and innovation designed to enhance the banking experience and reinforce our competitive advantage.”

“As a Southern California-based company, we are deeply saddened by the devastation caused by the recent wildfires. Our thoughts and prayers are with everyone impacted by this disaster and we are committed to helping Los Angeles move forward.”

ABOUT FIRST PACIFIC BANK

First Pacific Bank is a wholly owned subsidiary of First Pacific Bancorp (OTC Pink: FPBC) and is a growing community bank catering to individuals, professionals, and small-to-medium sized businesses throughout Southern California. Since opening in 2006, the Bank has offered a personalized approach, access to decision makers, a broad range of solutions, and a commitment to delivering an exceptional customer experience. First Pacific Bank operates locations in Los Angeles County, Orange County, San Diego County, and the Inland Empire. For more information, visit firstpacbank.com or call 888.BNK.AT.FPB.

FORWARD-LOOKING STATEMENTS

This news release may include forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended, and First Pacific Bancorp intends for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Future events are difficult to predict, and the expectations described above are necessarily subject to risk and uncertainty that may cause actual results to differ materially and adversely. Forward-looking statements relate to, among other things, our business plan, and strategies, and can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate,” or words of similar meaning, or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may” and similar expressions. These forward-looking statements are not guarantees of future performance, nor should they be relied upon as representing management’s views as of any subsequent date. Factors that might cause such differences include, but are not limited to: successfully realizing the benefits of our business strategy and plans,; changes in general economic and financial market conditions, either nationally or locally, in areas in which First Pacific Bank conducts its operations; effects of inflation and changes in interest rates; continuing consolidation in the financial services industry; new litigation or changes in existing litigation; increased competitive challenges and expanding product and pricing pressures among financial institutions; impact of any natural disasters, including earthquakes; effect of governmental supervision and regulation, including any regulatory or other enforcement actions; legislation or regulatory changes which adversely affect First Pacific Bank’s operations or business; loss of key personnel; and changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or other regulatory agencies. The Company does not undertake, and specifically disclaims any obligation to update any forward-looking statements to reflect occurrences or unanticipated events, or circumstances after the date of such statements except as required by law.  

--- Summary Financial Tables Follow ---

First PacificBancorp
Consolidated Balance Sheets
(Unaudited)
	Dec 31, 2024			Sep 30, 2024			Jun 30, 2024			Mar 31, 2024			Dec 31, 2023
ASSETS
Cash and due from banks	$	4,708,926		$	23,584,084		$	4,671,483		$	7,317,500		$	4,308,149
Fed funds sold & int-bearing balances		36,290,000			25,520,000			37,860,000			37,575,000			18,060,000
Total cash and cash equivalents		40,998,926			49,104,084			42,531,483			44,892,500			22,368,149
Debt securities (AFS)		1,866,022			3,041,852			3,077,666			5,138,340			5,257,049
Debt securities (HTM)		100,257,560			101,260,391			102,202,926			103,474,749			104,343,133
Total debt securities		102,123,582			104,302,243			105,280,592			108,613,089			109,600,182
Construction & land development		23,320,351			23,067,204			24,651,513			25,480,398			27,070,749
1-4 Family residential		58,588,090			58,082,570			68,588,393			68,521,663			66,567,165
Multifamily residential		28,561,276			28,966,811			26,800,829			26,947,419			27,128,177
Nonfarm, nonresidential real estate		100,066,570			99,715,860			94,643,169			97,893,840			99,627,812
Commercial & industrial		62,322,690			57,342,017			53,504,969			54,785,564			53,938,659
Consumer & Other		4,525,108			780,639			1,831,036			1,123,918			865,849
Total loans		277,384,085			267,955,101			270,019,909			274,752,802			275,198,411
Allowance for credit losses (loans)		(3,179,637	)		(3,109,975	)		(3,109,975	)		(3,109,975	)		(3,109,975	)
Total loans, net		274,204,448			264,845,126			266,909,934			271,642,827			272,088,436
Premises, equipment, and ROU net		1,328,964			1,452,886			1,714,833			1,992,588			2,268,671
Goodwill, core deposit & other intangibles		1,273,134			1,287,129			1,298,084			1,313,367			1,328,651
Bank owned life insurance		5,287,738			5,257,550			5,227,763			5,198,654			5,170,521
Accrued interest and other assets		7,755,355			7,505,380			7,476,554			7,415,609			7,392,301
Total Assets	$	432,972,147		$	433,754,398		$	430,439,243		$	441,068,634		$	420,216,911
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits:
Noninterest-bearing demand	$	131,515,568		$	129,473,091		$	144,240,187		$	133,945,262		$	121,348,095
Interest-bearing transaction accounts		28,454,639			24,660,000			24,797,108			28,166,207			34,716,150
Money market and savings		146,423,126			143,270,628			143,497,864			148,732,230			139,011,862
Time deposits		44,302,867			44,388,137			41,060,590			38,662,227			38,235,413
Total deposits		350,696,200			341,791,856			353,595,749			349,505,926			333,311,520
Borrowings		40,000,000			50,000,000			35,000,000			50,000,000			45,000,000
Accrued interest and other liabilities		3,122,902			3,430,132			3,781,444			3,936,909			4,530,208
Total liabilities		393,819,102			395,221,988			392,377,193			403,442,835			382,841,728
Shareholders' Equity:
Capital stock and APIC		37,272,567			37,117,627			36,970,386			36,788,606			36,699,786
Retained earnings		2,650,877			2,151,305			1,902,788			1,705,174			1,543,264
Accum other comprehensive income		(770,399	)		(736,522	)		(811,124	)		(867,981	)		(867,867	)
Total shareholders' equity		39,153,045			38,532,410			38,062,050			37,625,799			37,375,183
Total Liabilities and Shareholders' Equity	$	432,972,147		$	433,754,398		$	430,439,243		$	441,068,634		$	420,216,911

First PacificBancorp
Consolidated Income Statements - Quarterly
(Unaudited)
	Dec 31, 2024		Sep 30, 2024		Jun 30, 2024		Mar 31, 2024		Dec 31, 2023
INTEREST INCOME
Loans, including fees	$	4,814,128	$	4,817,174	$	4,655,844	$	4,700,535	$	4,653,303
Debt securities		484,508		499,268		514,613		543,857		544,330
Fed funds & int-bearing balances		419,597		450,166		573,022		410,685		258,178
Total interest income		5,718,233		5,766,608		5,743,479		5,655,077		5,455,811
INTEREST EXPENSE
Deposits		1,777,351		1,790,578		1,687,121		1,746,032		1,542,541
Borrowings		332,375		444,250		524,599		507,390		705,324
Total interest expense		2,109,726		2,234,828		2,211,720		2,253,422		2,247,865
Net interest income		3,608,507		3,531,780		3,531,759		3,401,655		3,207,946
Provision for credit losses		-		-		-		-		101,538
Net interest income after provision		3,608,507		3,531,780		3,531,759		3,401,655		3,106,408
NONINTEREST INCOME
Service charges, fees and other income		119,173		106,628		96,460		108,365		108,769
Sublease income		-		53,975		52,970		53,872		53,872
Gains (losses) on sale of assets		-		15,335		-		-		(12,982	)
Gains on early payoff of debt		54,125		-		144,325		-		-
Total noninterest income		173,298		175,938		293,755		162,237		149,659
NONINTEREST EXPENSE
Salaries and benefits		1,984,774		2,154,290		2,182,674		2,178,486		1,954,029
Occupancy and equipment		258,180		374,069		363,695		368,816		384,088
Other expense		836,692		834,281		1,007,247		794,158		894,440
Total noninterest expense		3,079,646		3,362,640		3,553,616		3,341,460		3,232,557
Income before income tax expense		702,159		345,078		271,898		222,432		23,510
Income tax expense (benefit)		202,586		96,563		74,281		60,524		(31,955	)
Net Income	$	499,573	$	248,515	$	197,617	$	161,908	$	55,465
Earnings per share basic (QTR)	$	0.12	$	0.06	$	0.05	$	0.04	$	0.01
Weighted average shares outstanding (QTR)		4,293,829		4,288,851		4,283,351		4,281,653		4,231,841

First PacificBancorp
Consolidated Income Statements - Year-to-Date
(Unaudited)
	Dec 31, 2024		Dec 31, 2023
INTEREST INCOME
Loans, including fees	$	18,987,681	$	16,705,212
Investment securities		2,042,246		2,279,349
Fed funds & int-bearing balances		1,853,470		1,000,827
Total interest income		22,883,397		19,985,388
INTEREST EXPENSE
Deposits		7,001,082		4,744,486
Borrowings		1,808,614		2,440,727
Total interest expense		8,809,696		7,185,213
Net interest income		14,073,701		12,800,175
Provision for credit losses		-		905,966
Net interest income after provision		14,073,701		11,894,209
NONINTEREST INCOME
Service charges, fees and other income		430,626		455,823
Sublease income		160,817		212,074
Gains (losses) on sale of assets		15,335		129,093
Gains on early payoff of debt		198,450		123,077
Total noninterest income		805,228		920,067
NON INTEREST EXPENSE
Salaries and benefits		8,500,224		8,558,603
Occupancy and equipment		1,364,760		1,470,277
Other expense		3,472,378		3,124,577
Total noninterest expense		13,337,362		13,153,457
Income before income tax expense		1,541,567		(339,181	)
Income tax expense (benefit)		433,954		(175,262	)
Net Income (loss)	$	1,107,613	$	(163,919	)
Earnings (loss) per share basic (YTD)	$	0.26	$	(0.04	)
Weighted average shares outstanding (YTD)		4,286,945		3,992,738

First PacificBancorp
Quarterly Financial Highlights
(Unaudited)
		Quarterly
		2024		2024		2024		2024		2023
($ in thousands except per share data)		4th Qtr		3rd Qtr		2nd Qtr		1st Qtr		4th Qtr
EARNINGS
Net interest income	$	3,609		3,532		3,532		3,402		3,208
Provision for loan losses	$	0		0		0		0		102
Noninterest income	$	173		176		294		162		150
Noninterest expense	$	3,080		3,363		3,554		3,341		3,233
Income tax expense	$	203		97		74		61		(32	)
Net income	$	500		249		198		162		55
Earnings per share basic	$	0.12		0.06		0.05		0.04		0.01
Weighted average shares outstanding		4,293,829		4,288,851		4,283,351		4,281,653		4,231,841
Ending shares outstanding		4,294,500		4,291,927		4,283,351		4,283,351		4,231,841
PERFORMANCE RATIOS
Return on average assets		0.47	%	0.23	%	0.18	%	0.15	%	0.05	%
Return on average common equity		5.12	%	2.58	%	2.10	%	1.73	%	0.59	%
Yield on loans		6.91	%	6.98	%	6.97	%	6.84	%	6.69	%
Yield on earning assets		5.50	%	5.58	%	5.52	%	5.49	%	5.35	%
Cost of deposits		1.98	%	2.05	%	1.96	%	2.05	%	1.89	%
Cost of funding		2.18	%	2.32	%	2.28	%	2.35	%	2.37	%
Net interest margin		3.47	%	3.42	%	3.40	%	3.31	%	3.15	%
Efficiency ratio		81.4	%	90.7	%	92.9	%	93.8	%	96.3	%
CAPITAL
Tangible equity to tangible assets		8.77	%	8.61	%	8.57	%	8.26	%	8.61	%
Book value (BV) per common share	$	9.12		8.98		8.89		8.78		8.83
Tangible BV per common share	$	8.82		8.68		8.58		8.48		8.52
ASSET QUALITY
Net loan charge-offs (recoveries)	$	0		0		0		0		0
Allowance for credit losses (loans)	$	3,180		3,110		3,110		3,110		3,110
Allowance to total loans		1.15	%	1.16	%	1.15	%	1.13	%	1.13	%
Nonperforming loans	$	672		991		77		160		61
END OF PERIOD BALANCES
Total loans	$	277,384		267,955		270,020		274,753		275,198
Total assets	$	432,972		433,754		430,439		441,069		420,217
Deposits	$	350,696		341,792		353,596		349,506		333,312
Loans to deposits		79.1	%	78.4	%	76.4	%	78.6	%	82.6	%
Shareholders' equity	$	39,153		38,532		38,062		37,626		37,375
Full-time equivalent employees		49		44		44		46		45
AVERAGE BALANCES (QTRLY)
Total loans	$	276,294		273,960		267,766		275,578		276,016
Earning assets	$	412,417		410,298		416,965		412,791		404,210
Total assets	$	425,750		424,199		430,830		426,592		417,595
Deposits	$	355,369		346,142		346,032		341,226		323,300
Shareholders' equity	$	38,746		38,267		37,788		37,443		37,179

Contacts
                    Investor Relations Contact
                    Jim Burgess
                    858.461.7302
                    jburgess@firstpacbank.com
                    
                    Media Relations Contact
                    Amanda Conover
                    858.461.7308
                    aconover@firstpacbank.com