Pacific Mercantile Bancorp Reports Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended Sept. 30, 2017; Announces Net Charge-Offs for the Third Quarter Ended Sept. 30, 2017
For nine months, the company reported total interest income of $37.761 million compared to $30.388 million a year ago. Net interest income was $32.472 million compared to $26.373 million a year ago. Net interest income after provision for loan and lease losses was $32.472 million compared to $6.503 million a year ago. Income before income taxes was $8.187 million compared to loss of $17.961 million a year ago. Net income was $8.037 million or $0.35 per basic and diluted common share compared to loss of $34.952 million or $1.52 per basic and diluted common share a year ago. Return on average assets was 0.93% compared to negative of 4.24% a year ago. Return on average equity was 10.22% compared to negative of 34.80% a year ago. Tangible book value per share was $4.75 as on September 30, 2017 against $4.33 as on September 30, 2016. Tangible book value per share, as adjusted was $4.79 as on September 30, 2017 against $4.41 as on September 30, 2016. An increase in interest income of $7.4 million, or 24.3%, primarily attributable to an increase in interest earned on loans as a result of a higher average loan balance and an increase in the average yield on loans for the nine months ended September 30, 2017 as compared to the nine months ended September 30, 2016 and the recovery of $1.1 million in interest income on one loan relationship that paid off during the quarter which was on nonaccrual status; partially offset by.
During the three months ended September 30, 2017, the company had net charge-offs of $2.1 million, compared with net recoveries of $0.383 million for the three months ended June 30, 2017.