Santa Rosa-based Luther Burbank bank Q1 earnings jump 143%
SANTA ROSA — Luther Burbank Corp. (Nasdaq: LBC), parent company of Luther Burbank Savings on Tuesday reported first-quarter earnings of $18.4 million, up 143% from a year before.
The bank, based in Santa Rosa, said it had earnings of 35 cents per share.
“Compared to the adjusted earnings from the linked quarter, the increase in net income between the periods was primarily due to the recapture of $2.5 million of loan loss provisions during the quarter, as well as a $1.5 million increase in net interest income earned,” said Simone Lagomarsino, president and CEO, in a news release.
Lagomarsino also said the bank benefited from a “strong recovery” of loans that were impacted early in the coronavirus pandemic.
"Our criticized loans decreased by over 40% during the current quarter and we had only one remaining loan on pandemic related payment deferral at the end of March, and that loan returned to scheduled payments in April,“ Lagomarsino said.
The bank holding company posted revenue of $56.4 million in the period, which ended March 31. Its revenue net of interest expense was $39 million, surpassing Street forecasts.
Total assets as of March 31 were $7.1 billion, an increase of $172.9 million, or 2.5%, from Dec. 31.
The bank operates from 10 branches in Northern and Southern California, one branch in Washington and seven lending offices located throughout the market area, which also includes Oregon.
Luther Burbank shares have climbed 13% since the beginning of the year. In the final minutes of trading on Tuesday, shares hit $11.10, a rise of 12% in the last 12 months.