Santa Clara Valley Bank (SCVBank) today posted its 2010 first quarter financial results, noting an expanding customer base despite the nation’s bleak banking outlook.
SCVBank reported net interest income at $1,344,000 for the first quarter of 2010, an increase of 10 percent, or $124,000, over the $1,220,000 reported in the first quarter of 2009. The bank attributes the increase primarily to higher priced funding sources that were replaced by lower costing deposits.
SCVBank posted a net loss for the first quarter of ($181,000) compared to a net loss of ($467,000) for the period a year earlier. The net loss in the first quarter is a significant improvement over the bank’s loss of $1,195,000 in the fourth quarter of 2009.
“The bank is in a very strong capital position. While the results of the first quarter were not welcome, we believe the trends are positive,” said bank Chairman Ralph De Leon.
As SCVBank continues to overcome economic challenges, the bank says its customer base continues to grow. As of March 31, 2010, the bank held 5,247 accounts, a 4.4-percent increase over a year earlier.
“Our attention to customer service has never wavered, and our customer base continues to refer more and more customers away from the big banks to a community bank focused on their needs,” CEO Michael Hause stated in the press release. “Being named Best Bank in the Santa Clarita Valley in 2009 has highlighted the successful branding of SCVBank as the ‘Working for You’ bank.”