RED BLUFF, Calif. - MVB (OTCBB:MIVB) reported operations for the first nine months of the current fiscal year resulted in a net loss of $913,400 versus a gain of $1,011,400 for the same period last year. The decline in earnings was primarily due to increased allocations to the bank's allowance for loan losses to mitigate problem credits centered in the agricultural loan portfolio.
MVB president John Dickerson stated, "We are encouraged by the progress being made to resolve these issues and expect to report much improved results for the final quarter of this year. We are also very pleased with the performance of our new Chico Office, which has already captured a good share of the Butte County residential construction loan market."
Total assets stood at $170,300,000 at the end of the third quarter, down 2% from the same period last year. Deposits and net loan totals were also slightly lower. MVB's capital ratios continue to fall in the "Well Capitalized" range as defined by the banking industry regulators.
At September 30, 2018, net loans totaled $114,600,000 versus $116,200,000 a year ago, reflecting the impact of the increased allowance and runoff in the agricultural loan portfolio. At $2,500,000, the allowance for loan losses at quarter-end represented 2.1% of gross loans outstanding. During the first nine months of 2018, the bank added $3,400,000 to the allowance versus $730,000 in 2018.
MVB is a locally owned, community bank serving upstate California from five full service offices in Red Bluff, Redding, Corning and Chico. The bank focuses on real estate construction lending and commercial lending to the business and professional communities. Consumer financial services, as well as various investment and insurance products are also available. More information is available at www.midvalleybank.com.
This news release includes forward-looking statements about MVB's financial condition, results of operations, plans, objectives and future performance. A number of factors, many of which are beyond the control of MVB, could cause actual results to differ materially from those in the forward-looking statements.
Please click here for Complete Summary in MS Word