Community West Bank(US:CWBC)2021-05-07 20:56Financial Performance - Net income for the first quarter of 2021 was $3,021 thousand, a significant increase of 89.0% from $1,598 thousand in the first quarter of 2020[10]. - Earnings per share (EPS) for the first quarter of 2021 were $0.36, compared to $0.19 in the same quarter of 2020, reflecting an increase of 89.5%[10]. - Comprehensive income for the first quarter of 2021 was $2,976 thousand, compared to $1,564 thousand in the first quarter of 2020, an increase of 90.3%[11]. - Net income for the three months ended March 31, 2021, was $3,021,000, compared to $1,598,000 for the same period in 2020, representing an increase of 89%[17]. - Net income for Q1 2021 was $3.0 million, or $0.35 per diluted share, compared to $2.6 million, or $0.31 per diluted share in Q4 2020[194]. Asset and Deposit Growth - Total assets increased to $1,018,022 thousand as of March 31, 2021, up from $975,435 thousand at December 31, 2020, representing a growth of 4.4%[8]. - Total deposits rose to $804,521 thousand as of March 31, 2021, up from $766,185 thousand at December 31, 2020, marking a 5.0% increase[8]. - Total net loans reached $877,615,000, up from $772,829,000, representing an increase of 13.5%[199]. - Total loans increased by $30.2 million to $887.8 million at March 31, 2021, compared to $857.6 million at December 31, 2020[194]. Interest Income and Expenses - Net interest income for the three months ended March 31, 2021, was $10,042 thousand, an increase of 18.7% compared to $8,463 thousand for the same period in 2020[10]. - Interest expense decreased significantly by $1,499,000 to $1,013,000, resulting in a lower cost of funds[204]. - The annualized yield on interest-earning assets decreased to 4.61% in Q1 2021 from 5.14% in Q1 2020[203]. - The cost of deposits decreased to 0.50% in Q1 2021 from 1.42% in Q1 2020, a reduction of 92 basis points[204]. Loan Quality and Provisions - The provision for loan losses was a credit of $173 thousand for the first quarter of 2021, compared to a provision of $392 thousand in the same period of 2020, indicating improved asset quality[10]. - The allowance for loan losses increased to $10,233,000 as of March 31, 2021, compared to $10,194,000 at the end of 2020, reflecting a provision of $(173,000)[85]. - Nonaccrual loans decreased to $1,948,000 as of March 31, 2021, from $3,872,000 as of December 31, 2020[99]. - Total impaired loans decreased to $12,165,000 as of March 31, 2021, from $12,499,000 as of December 31, 2020[96]. Dividends and Stockholder Equity - The company declared dividends of $0.060 per common share for the first quarter of 2021, up from $0.055 per share in the same quarter of 2020[10]. - The total stockholders' equity increased to $91,791 thousand as of March 31, 2021, from $89,007 thousand at December 31, 2020, representing a growth of 3.1%[8]. - Book value per common share increased to $10.77 at March 31, 2021, compared to $10.50 at December 31, 2020[194]. COVID-19 Response - The company has implemented a COVID-19 relief program, including payment deferrals and fee waivers, to assist clients affected by the pandemic[25]. - The Company modified its payment deferral program to 90 days as part of its response to COVID-19, extending support to borrowers[111]. - The Company has a total of $1.4 million in loans on deferral as of March 31, 2021, with $1.2 million of this amount being new deferrals in 2021[36]. Securities and Investments - As of March 31, 2021, the total amortized cost of investment securities was $17,610,000, with a fair value of $17,588,000, reflecting gross unrealized losses of $57,000[68]. - The company holds $16.9 million of securities at carrying value pledged to the Federal Home Loan Bank as collateral for current and future advances[68]. - The fair value of investment securities was determined using matrix pricing, categorized as Level 2 in the fair value hierarchy[140]. Capital Ratios - The Company's total capital to risk-weighted assets ratio was 12.53% as of March 31, 2021, exceeding the minimum requirement of 8.00%[160]. - The Tier 1 capital to risk-weighted assets ratio was 11.28% as of March 31, 2021, above the minimum requirement of 6.00%[160].