Heritage Commerce Corp. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2013, Announces Net Charge-Offs for the Fourth Quarter of 2013
January 24, 2014 at 03:30 am IST
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Heritage Commerce Corp. announced unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2013. For the quarter, the company's interest income was $13.6 million compared with $12.96 million a year ago. Net interest income before provision for loan losses was $13.0 million compared with $12.2 million a year ago. Net interest income after provision for loan losses was $13.1 million compared with $11.5 million a year ago. Income before income taxes was $4.8 million compared with $3.8 million a year ago. Net income was $3.4 million compared with $2.7 million a year ago. Net income available to common shareholders was $3.4 million or $0.10 per basic and diluted share compared with $2.7 million or $0.08 per basic and diluted share a year ago. As on December 31, 2013, the company's book value per share was $5.84 and tangible book value per share was $5.78. Annualized return on average equity was 7.74% compared with 6.25% a year ago. Annualized return on average tangible equity was 7.81% compared with 6.32% a year ago. Annualized return on average assets was 0.89% compared with 0.75% a year ago. Annualized return on average tangible assets was 0.89% compared with 0.75% a year ago.
For the year, the company's interest income was $52.8 million compared with $52.6 million a year ago. Net interest income before provision for loan losses was $50.2 million compared with $48.4 million a year ago. Net interest income after provision for loan losses was $51.0 million compared with $45.6 million a year ago. The increase in net interest income was driven primarily by higher average loan balances and a lower cost of funds. Income before income taxes was $16.5 million compared with $14.2 million a year ago. Net income was $11.5 million compared with $9.9 million a year ago. Net income available to common shareholders was $11.5 million or $0.36 per basic and diluted share compared with $8.7 million or $0.27 per basic and diluted share a year ago. Annualized return on average equity was 6.77% compared with 5.75% a year ago. Annualized return on average tangible equity was 6.84% compared with 5.83% a year ago. Annualized return on average assets was 0.81% compared with 0.73% a year ago. Annualized return on average tangible assets was 0.81% compared with 0.73% a year ago.
The company announced net charge-offs of $166,000 for the fourth quarter of 2013, compared to net charge-offs of $766,000 for the fourth quarter of 2012.
Heritage Commerce Corp is a bank holding company for its wholly owned subsidiary, Heritage Bank of Commerce (the Bank). The Bank offers a full range of commercial banking services to small and medium-sized businesses and their owners, managers and employees. Its lending activities are diversified and include commercial, real estate, construction and land development, consumer and small business administration (SBA) guaranteed loans. The Bank offers a wide range of deposit products for business banking and retail markets. It offers a multitude of other products and services to complement its lending and deposit services. In addition, through its subsidiary, CSNK Working Capital Finance Corp, it provides factoring financing throughout the United States. The Companyâs operations are located in the general San Francisco Bay Area of California in the counties of Alameda, Contra Costa, Marin, San Benito, San Francisco, San Mateo, and Santa Clara.
Heritage Commerce Corp. Announces Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2013, Announces Net Charge-Offs for the Fourth Quarter of 2013