Welcome!

.NET Authors: Yeshim Deniz, Carmen Gonzalez, Greg O'Connor, Pat Romanski, Elizabeth White

News Feed Item

United Security Bancshares - First Quarter Profits: $1.1 Million

FRESNO, Calif., April 17, 2013 /PRNewswire/ -- United Security Bancshares (http://www.unitedsecuritybank.com/) (Nasdaq Global Select: UBFO) reported today unaudited consolidated net income of $1.1 million or $0.07 per basic and diluted common share for both the three months ended March 31, 2013 and March 31, 2012.

Annualized return on average equity (ROAE) for the three months ended March 31, 2013 was 6.20%, compared to 6.69% for the same period in 2012. Annualized return on average assets (ROAA) was 0.68% for the three moths ended March 31, 2013 compared to 0.67% for the same three-month period in 2012.

The Board of Directors of United Security Bancshares declared a first quarter 2013 stock dividend of one percent (1%) on March 26, 2013. The stock dividend was payable to shareholders of record on April 12, 2013, and the shares will be issued on April 24, 2013.

Dennis R. Woods, President and Chief Executive Officer of the Company, states, "The first quarter has been positive for the Company with continued reductions in problem assets and OREO, increases in capital, and positive net earnings. We continue to see improvements in the local economy and look forward to continued success during the remainder of 2013."  Shareholders' equity at March 31, 2013 was $70.5 million, up $1.0 million from shareholders' equity of $69.4 million at December 31, 2012.  

Net interest income before provision for credit losses totaled $5.3 million for the three months ended March 31, 2013, down $819,000 from $6.1 million reported for the three months ended March 31, 2012. The net interest margin was 3.94% for the three months ended March 31, 2013, as compared to 4.63% for the three months ended March 31, 2012.

Noninterest income for the three months ended March 31, 2013 totaled $1.5 million, reflecting an increase of $648,000 from the $896,000 in noninterest income reported for the three months ended March 31, 2012. The increase between the two periods is due, in large part, to gains recorded during the first quarter of 2013 of more than $1.0 million from sales of other real estate owned through foreclosure. Customer service fees continue to provide the majority of the Company's noninterest income from operations, totaling $779,000 for the three months ended March 31, 2013, as compared to $903,000 for the three months ended March 31, 2012. Reductions in customer service fees between the two three-month periods is the result of decreases in several fee categories including overdraft fees and account analysis fees, which may fluctuate between periods.

Noninterest expense totaled $5.1 million for the three months ended March 31, 2013, down $390,000 from the $5.5 million reported for the three months ended March 31, 2012. The primary component of the decline in noninterest expense between the three-month periods is a decrease of $476,000 in impairment losses and other expenses related to OREO.

The Company recorded a negative provision for credit losses of $9,000 for the three months ended March 31, 2013 as compared to a provision of $2,000 for the three months ended March 31, 2012. The Company realized net credit charge-offs totaling $371,000 for the three months ended March 31, 2013, compared to net charge-offs totaling $600,000 for the three months ended March 31, 2012. As a result of provisions and net charge-offs, the allowance for credit losses totaled 2.86% of total loans at March 31, 2013 compared to 2.95% of total loans at December 31, 2012. In determining the adequacy of the allowance for credit losses, Management's judgment is the primary determining factor for establishing the amount of the provision for credit losses and management considers the allowance for credit losses March 31, 2013 to be adequate.

Non-performing assets, comprised of nonaccrual loans, troubled debt restructures (TDR), other real estate owned through foreclosure (OREO), and loans more than 90 days past days and still accruing interest, decreased approximately $3.2 million between December 31, 2012 and March 31, 2013. Additionally, nonperforming assets as a percentage of total assets decreased from 7.25% at December 31, 2012 to 6.89% at March 31, 2013. Nonaccrual loans decreased $1.9 million between December 31, 2012 and March 31, 2013, while OREO, decreased $2.0 million during the same period. Impaired loans totaled $20.0 million at March 31, 2013, down $1.9 million from the balance of $21.9 million at December 31, 2012.

United Security Bancshares is a $635+ million bank holding company headquartered in Fresno, California. United Security Bank, its principal subsidiary is a California state chartered bank with 11 branches serving the Central Valley and Campbell, and is a member of the Federal Reserve Bank of San Francisco.

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended and the Company intends such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on management's knowledge and belief as of today and include information concerning the Company's possible or assumed future financial condition, and its results of operations, business and earnings outlook. These forward-looking statements are subject to risks and uncertainties. A number of factors, some of which are beyond the Company's ability to control or predict, could cause future results to differ materially from those contemplated by such forward-looking statements. These factors include (1) changes in interest rates, (2) significant changes in banking laws or regulations, (3) increased competition in the company's market, (4) other-than-expected credit losses, (5) earthquake or other natural disasters impacting the condition of real estate collateral, (6) the effect of acquisitions and integration of acquired businesses, (7) the impact of proposed and/or recently adopted changes in laws, and regulations on the Company and its business; (8) changing bank regulatory conditions, policies, whether arising as new legislation or regulatory initiatives or changes in our regulatory classifications, that could lead to restrictions on activities of banks generally or as to the Bank, including specifically the formal order between the Federal Reserve Bank of San Francisco and the Company and the Bank, (9) failure to comply with the written regulatory agreement under which the Company is subject and (10) unknown economic impacts caused by the State of California's budget issues, including the effect on Federal spending do to sequestration required by the Budget Control Act of 2011. Management cannot predict at this time the severity or duration of the effects of the recent business slowdown on our specific business activities and profitability. Weaker or a further decline in capital and consumer spending, and related recessionary trends could adversely affect our performance in a number of ways including decreased demand for our products and services and increased credit losses. Likewise, changes in interest rates, among other things, could slow the rate of growth or put pressure on current deposit levels and affect the ability of borrowers to repay loans. Forward-looking statements speak only as of the date they are made, and the company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the statements are made, or to update earnings guidance including the factors that influence earnings. For a more complete discussion of these risks and uncertainties, see the Company's Annual Report on Form 10-K for the year ended December 31, 2012, and particularly the section of Management's Discussion and Analysis.  Readers should carefully review all disclosures we file from time to time with the Securities and Exchange Commission ("SEC").



United Security Bancshares




Consolidated Balance Sheets (unaudited)




(dollars in thousands)





March 31,


December 31,


2013


2012

Assets




   Cash and noninterest-bearing deposits in other banks

$19,874


$27,481

   Cash and due from Federal Reserve Bank

116,576


114,146

   Federal funds sold

0


0

      Cash and cash equivalents

136,450


141,627

   Interest-bearing deposits in other banks

1,509


1,507

  Investment securities (AFS at market value)

27,889


31,844

   Loans and leases, net of unearned fees

398,321


400,033

     Less: Allowance for credit losses

(11,403)


(11,784)

   Net loans

386,918


388,249

   Premises and equipment - net

12,040


12,262

   Bank owned life insurance

16,809


16,681

   Intangible assets

4,690


4,737

   Other real estate owned

21,958


23,932

    Deferred Income Taxes

9,989


9,724

   Other assets

18,296


18,314

Total assets

$636,548


$648,877

   Deposits:




     Noninterest bearing demand and NOW

$266,288


$270,094

     Money market and savings

187,014


193,808

     Time

96,517


99,385

      Total deposits

549,819


563,287

   Borrowed funds

0


0

   Other liabilities

5,579


6,081

   Junior subordinated debentures (at fair value)

10,685


10,068

Total liabilities

566,083


579,436

Shareholders' equity:




   Common shares outstanding:




      14,359,476 at March 31, 2013

43,796


43,173

   Retained earnings

26,635


26,179

   Accumulated other comprehensive income

34


89

Total shareholders' equity

70,465


69,441

Total liabilities and shareholders' equity

$636,548


$648,877

 



United Security Bancshares



Consolidated Statements of Income (unaudited)



(dollars in 000s, except per share amounts)




Three months ended

Three months ended


March 31,

March 31,


2013

2012

Interest income:



   Interest and fees on loans

$5,466

$6,041

   Interest on investment securities

198

520

  Interest on deposits in FRB

65

51

   Interest on deposits in other banks

2

10

      Total interest income

5,731

6,622

Interest expense:



   Interest on deposits

411

478

   Interest on other borrowed funds

60

65

      Total interest expense

471

543

Net interest income before provision for credit losses

5,260

6,079

   Provision for credit losses

(9)

2

Net interest income

5,269

6,077

Noninterest income:



   Customer service fees

779

903

   Increase in cash surrender value of



      bank owned life insurance

137

137

Gain on sale of other real estate owned

1,025

63

Loss on Fair Value Option of Financial Assets

(557)

(477)

  Other noninterest income

160

270

Total noninterest income

1,544

896

Noninterest expense:



  Salaries and employee benefits

2,361

2,423

  Occupancy expense

905

764

  Professional fees

445

245

  Regulatory insurance assessments

359

367

  Impairment losses and other expenses on OREO

208

684

  Impairment losses on investment securities

0

22

  Other noninterest expense

820

983

Total noninterest expense

5,098

5,488

Income before income tax provision

1,715

1,485

Provision for income taxes

640

434

Net Income

$1,075

$1,051

 

United Security Bancshares



Selected Financial Data (unaudited)



(dollars in 000s, except per share amounts)




Three Months Ended

Three Months Ended


March 31,

March 31,


2013

2012

Basic earnings per share

$0.07

$0.07

Diluted earnings per share

$0.07

$0.07

Weighted average basic shares for EPS

14,359,476

14,222,006

Weighted average diluted shares for EPS

14,360,919

14,222,006




Annualized return on:



   Average assets

0.68%

0.67%

   Average equity

6.20%

6.69%

Yield on interest-earning assets

4.29%

5.04%

Cost of interest-bearing liabilities

0.54%

0.64%

Net interest margin

3.94%

4.63%

Annualized net charge-offs to average loans

0.38%

0.60%





March 31,

December 31,


2013

2012

Shares outstanding - period end

14,359,476

14,217,303

Book value per share

$4.91

$4.88

Tangible book value per share

$4.58

$4.55

Efficiency ratio

74.92%

70.47%

Total nonperforming assets

$43,840

$47,074

Nonperforming assets to total assets

6.89%

7.25%

Total Impaired loans

$20,033

$21,931

Total nonaccrual loans

$11,544

$13,425

Allowance for credit losses to total loans

2.86%

2.95%




SOURCE United Security Bancshares

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Robin Raymond, Chief Architect at Hookflash Inc., will walk through the shifting landscape of traditional telephone a...
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accelerate their digital channels with APIs, drive partner adoption, monetize their assets, and achieve a...
From a software development perspective IoT is about programming "things," about connecting them with each other or integrating them with existing applications. In his session at @ThingsExpo, Yakov Fain, co-founder of Farata Systems and SuranceBay, will show you how small IoT-enabled devices from multiple manufacturers can be integrated into the workflow of an enterprise application. This is a practical demo of building a framework and components in HTML/Java/Mobile technologies to serve as a platform that can integrate new devices as they become available on the market.
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
BSQUARE is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success. For more information, visit www.bsquare.com.
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happens, where data lives and where the interface lies. For instance, it’s a mix of architectural style...
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customizable platform to easily integrate into existing software solutions, embed business logic and build s...
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...
Internet of @ThingsExpo Silicon Valley announced on Thursday its first 12 all-star speakers and sessions for its upcoming event, which will take place November 4-6, 2014, at the Santa Clara Convention Center in California. @ThingsExpo, the first and largest IoT event in the world, debuted at the Javits Center in New York City in June 10-12, 2014 with over 6,000 delegates attending the conference. Among the first 12 announced world class speakers, IBM will present two highly popular IoT sessions, which will take place November 4-6, 2014 at the Santa Clara Convention Center in Santa Clara, Calif...
Samsung VP Jacopo Lenzi, who headed the company's recent SmartThings acquisition under the auspices of Samsung's Open Innovaction Center (OIC), answered a few questions we had about the deal. This interview was in conjunction with our interview with SmartThings CEO Alex Hawkinson. IoT Journal: SmartThings was developed in an open, standards-agnostic platform, and will now be part of Samsung's Open Innovation Center. Can you elaborate on your commitment to keep the platform open? Jacopo Lenzi: Samsung recognizes that true, accelerated innovation cannot be driven from one source, but requires a...
Connected devices are changing the way we go about our everyday life, from wearables to driverless cars, to smart grids and entire industries revolutionizing business opportunities through smart objects, capable of two-way communication. But what happens when objects are given an IP-address, and we rely on that connection, sometimes with our lives? How do we secure those vast data infrastructures and safe-keep the privacy of sensitive information? This session will outline how each and every connected device can uphold a core root of trust via a unique cryptographic signature – a “bir...
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at Internet of @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, will discuss how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.

SUNNYVALE, Calif., Oct. 20, 2014 /PRNewswire/ -- Spansion Inc. (NYSE: CODE), a global leader in embedded systems, today added 96 new products to the Spansion® FM4 Family of flexible microcontrollers (MCUs). Based on the ARM® Cortex®-M4F core, the new MCUs boast a 200 MHz operating frequency and support a diverse set of on-chip peripherals for enhanced human machine interfaces (HMIs) and machine-to-machine (M2M) communications. The rich set of periphera...

SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue business and deliver exceptional experiences to their customers.
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
The Internet of Things (IoT) is making everything it touches smarter – smart devices, smart cars and smart cities. And lucky us, we’re just beginning to reap the benefits as we work toward a networked society. However, this technology-driven innovation is impacting more than just individuals. The IoT has an environmental impact as well, which brings us to the theme of this month’s #IoTuesday Twitter chat. The ability to remove inefficiencies through connected objects is driving change throughout every sector, including waste management. BigBelly Solar, located just outside of Boston, is trans...
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
Predicted by Gartner to add $1.9 trillion to the global economy by 2020, the Internet of Everything (IoE) is based on the idea that devices, systems and services will connect in simple, transparent ways, enabling seamless interactions among devices across brands and sectors. As this vision unfolds, it is clear that no single company can accomplish the level of interoperability required to support the horizontal aspects of the IoE. The AllSeen Alliance, announced in December 2013, was formed with the goal to advance IoE adoption and innovation in the connected home, healthcare, education, aut...
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...