SANTA ROSA -- Summit State Bank reported third-quarter net income nearly doubled, and the bank declared a 9 cent-per-share quarterly dividend.
The institution reported net income at the end of its third quarter, which closed Sept. 30, of $325,000, compared with net income of $166,000 in the same quarter last year.
“Our core operating performance continues to strengthen as our key initiative started in 2008 -- to reshape the bank into a full relationship bank -- is being firmly established," said Thomas Duryea, president and chief executive officer. "Our strong net interest margin, efficiency ratio and core deposit growth best demonstrate our successful transformation. Net earnings have been impacted by loan loss provisions to address former transaction orientation and the weak economy.”
Core deposits -- checking, savings and money-market accounts -- increased 28 percent to $103.44 million from $80.53 million in the same period last year.
The total risk-based capital ratio was 19.6 percent. Provision for loan loss decreased to $1.15 million in the third quarter, compared with $1.45 million a year before.
Total assets increased to $353.02 million from $340.40 million at the end of 2009.
“Our strong commitment to the businesses in Sonoma County continues to drive our strong net interest margin, efficiency ratio, and core deposit growth, reflecting our gaining more and more full customer relationships attracted by our commitment to our Sonoma community,” Mr. Duryea said.