Pacific Mercantile Bancorp reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2018. For the quarter, the company reported total interest income of $15,914,000 compared to $12,132,000 a year ago. Net interest income was $12,447,000 compared to $10,396,000 a year ago. Income before income taxes was $4,284,000 compared to $2,565,000 a year ago. Net income was $15,369,000 or $0.66 per diluted common share compared to $2,501,000 or $0.11 per basic and diluted common share a year ago. Return on average assets was 4.57% compared to 0.86% a year ago. Return on average equity was 51.01% compared to 9.60% a year ago. The increase in net income, as compared to the three months ended March 31, 2018, is primarily attributable to an increase in net interest income, a decrease in noninterest expense and the reversal of the full valuation allowance on deferred tax asset during the three months ended June 30, 2018. The release of the valuation allowance during the three months ended June 30, 2018 is the result of management's determination regarding the realizability of the deferred tax asset attributable in large part due to having had seven consecutive quarters of earnings and substantially improved asset quality since the valuation allowance was established during the three months ended September 30, 2016. For six months, the company reported total interest income of $30,929,000 compared to $23,736,000 a year ago. Net interest income was $24,632,000 compared to $20,467,000 a year ago. Income before income taxes was $7,991,000 compared to $4,394,000 a year ago. Net income was $19,076,000 or $0.81 per diluted common share compared to $4,281,000 or $0.19 per basic and diluted common share a year ago. Return on average assets was 2.89% compared to 0.75% a year ago. Return on average equity was 32.45% compared to 8.32% a year ago. Tangible book value per share as at June 30, 2018 was $5.66 and tangible book value per share, as adjusted was $5.72.