07/18/2018: Oregon Pacific Bank Announces 2nd Quarter Earnings
Oregon Pacific Bancorp and its wholly-owned subsidiary, Oregon Pacific Bank, reported a net operating income of $1.4 million for the six months ending June 30, 2018, compared to $546 thousandfor the six months ending June 30, 2017. This equates to $0.20 earnings per share (EPS) as compared to $0.13 for the same period in 2017; a 53.85% increase in EPS, which includes 2.62 million of additional shares following the Bank’s capital raise in fall 2017.
Quarter over quarter, interest income and interest expense have increased due to solid growth in loans and deposits. This resulted in an increase in net interest income after provision for credit losses of $123 thousand over the first quarter of 2018. The Bank continues to experience strong loan and deposit growth, which increased 19.64% and 14.26%, respectfully, over June 30, 2017. Trust and wealth management departments continue their success, which contributed to a 20.23% increase in non-interest income.
Loan quality continues to be strong for the Bank. Nonperforming assets as a percentage of total assetswas 0.86% for the period ending June 30, 2018, as compared to 1.49% for the same period in 2017.
Our plan to leverage the capital raised in 2017 took a large step forward during the second quarter. We were successful in recruiting a large team of commercial and relationship bankers in the Eugene market. Our strategic plan calls for us to expand our Eugene presence to attempt to capitalize on the most recent industry consolidation. This experienced team will assist the Bank in achieving its growth and shareholder value objectives. I am very excited about the opportunity in Eugene and very pleased we were able to successfully attract a group of such extraordinary bankers, which is led by the Bank’s new Executive Vice President and Chief Lending Officer, John Raleigh. The current Eugene office will relocate to a new full-service location in Eugene by mid fall of this year. The new branch location is 59 E. 11th Street, Eugene, Oregon, and will offer ample parking, atm and drive thru services.
As always, please feel free to reach out to me if you would like to discuss the Bank and our plans going forward. My direct telephone number is (541) 999-1908 and my email address is firstname.lastname@example.org.
You can review our full June 30th 2018 Statement of Condition here.