1st Capital Bancorp Announces Third Quarter 2023 Financial Results
SALINAS, Calif., Oct. 30, 2023 (GLOBE NEWSWIRE) — 1st Capital Bancorp (the “Company”), (OTCQX: FISB), the $984.1 million asset bank holding company and parent company of 1st Capital Bank (the “Bank”), today reported unaudited net income of $1.19 million for the quarter ended September 30, 2023, an increase of 96.2% compared to net income of $609 thousand for the quarter ended June 30, 2023, and a decrease of 55.1% compared to net income of $2.66 million for the quarter ended September 30, 2022.
Deposit balances have increased $26.7 million, or 3.0%, in the quarter ended September 30, 2023 compared to June 30, 2023. Loan demand remained strong in the third quarter as the Company’s core loans increased $21.6 million, or 3.7%, at September 30, 2023 compared to June 30, 2023. This growth was partially offset by a $5.8 million decline in wholesale loan balances. Loan yields expanded 12 basis points (bps) to 5.07% for the quarter ended September 30, 2023 compared to 4.95% for the quarter ended June 30, 2023. Nonperforming assets to total assets was 0.22% as of September 30, 2023 versus 0.07% for the period ending June 30, 2023, with the increase being centered in the wholesale loan portfolio.
“We remain highly focused on leveraging the strength of our balance sheet and our exceptional team of bankers to continue serving our clients along the Central Coast,” said Sam Jimenez, Chief Executive Officer. This quarter’s results highlighted by healthy organic growth in our loan and deposit portfolios reflects those efforts and positions us to improve our net interest margin and equity returns going forward.”
Financial Highlights
Performance highlights for the quarter ended September 30, 2023, as compared to the quarter ended June 30, 2023, and the quarter ended September 30, 2022:
- Earnings per share (diluted) were $0.22 for the third quarter of 2023, as compared to $0.11 and $0.48 for the quarters ended June 30, 2023, and September 30, 2022, respectively.
- Pretax, pre-provision income for the quarter ended September 30, 2023 totaled $2.8 million, as compared to $1.8 million and $3.7 million for the quarters ended June 30, 2023, and September 30, 2022, respectively.
- For the quarter ended September 30, 2023, the Company’s return on average equity was 8.06%, as compared to 4.13% and 16.44% for the quarters ended June 30, 2023, and September 30, 2022, respectively.
- For the quarter ended September 30, 2023, the Company’s return on average assets was 0.48% as compared to 0.25% and 1.04% for the quarters ended June 30, 2023, and September 30, 2022, respectively.
- For the quarter ended September 30, 2023, the Company’s net interest margin was 3.37% as compared to 3.20% and 3.46% for the quarters ended June 30, 2023, and September 30, 2022, respectively.
- For the quarter ended September 30, 2023, the Company’s efficiency ratio was 67.77%, as compared to 77.32% and 59.54% for the quarters ended June 30, 2023 and September 30, 2022, respectively.
- The Company recorded provision for loan loss expense of $1.16 million and $1.05 million respectively for the quarters ended September 30, 2023, and June 30, 2023. There was no provision expense recorded for the quarter ended September 30, 2022.
- As of September 30, 2023, the Company’s nonperforming assets to total assets was 0.22%, as compared to 0.07% and 0.04% for June 30, 2023, and September 30, 2022, respectively.
- As of September 30, 2023, the Company reported total assets, total deposits, and total loans of $984.1 million, $906.1 million, and $600.9 million, respectively.
- Federal regulatory capital ratios for the quarters ended September 30, 2023, June 30, 2023, and September 30, 2022, exceed well capitalized thresholds.
- At September 30, 2023, the Company has $395.1 million in available liquidity from secured and unsecured borrowing lines, which represents 40.2% of total assets.
Net Interest Income and Net Interest Margin
The Company’s third quarter 2023 net interest income increased $607 thousand, or 8.0%, to $8.24 million as compared with $7.63 million for the quarter ended June 30, 2023, as earning asset yields outpaced expansion in funding costs. Loan interest income increased $316 thousand, or 4.4%, to $7.54 million for the quarter ended September 30, 2023, compared to $7.22 million for the quarter ended June 30, 2023. Interest income on investment securities remained stable at $1.94 million and $1.93 million, respectively, for the quarters ended September 30, 2023 and June 30, 2023. Other interest income increased $235 thousand, or 53.2%, to $677 thousand for the quarter ended September 30, 2023 compared to $442 thousand for the quarter ended June 30, 2023, due to higher yields on higher average cash balances. Interest expense declined $34 thousand, or 1.7%, to $2.01 million for the quarter ended September 30, 2023, compared to $2.04 million for the quarter ended June 30, 2023, due to the retirement of wholesale borrowings and brokered CDs in the third quarter. Interest expense for each of the quarters presented includes $169 thousand related to subordinated debt.
The Company’s net interest margin increased 17 basis points (bps) to 3.37% for the quarter ended September 30, 2023 from 3.20% when compared to the quarter ended June 30, 2023. This increase was primarily driven by the increase in earning asset yields. The 12 bps expansion of loan yields from 4.95% for the quarter ended June 30, 2023 to 5.07% for the quarter ended September 30, 2023 outpaced funding costs. The Company’s cost of funds declined 5 bps from 0.92% for the quarter ended June 30, 2023 to 0.87% for the quarter ended September 30, 2023.
Allowance for Credit Losses
The Company adopted Accounting Standards Update (ASU) 2016-13, more commonly referred to as the Current Expected Credit Loss (CECL) method on January 1, 2023, using the modified retrospective method with no adjustments to prior period comparative financial statements for all financial assets measured at amortized cost and off-balance sheet credit exposure as well as held to maturity securities, which resulted in a $127 thousand increase to the allowance for credit losses, a $3 thousand reserve for held-to-maturity securities and a $26 thousand increase to the reserve for unfunded commitments. The impact to retained earnings, net of taxes, was $111 thousand. Reporting periods beginning after January 1, 2023 are presented under ASU 2016-13 while prior period amounts continue to be reported in accordance with previously applicable Generally Accepted Accounting Principles in the United States.
Provision expense of $1.16 million was recorded in the quarter ended September 30, 2023, compared to $1.05 million in the quarter ended June 30, 2023. The provision expense was driven by overall loan growth and charge offs within the wholesale loan pool portfolios.
Noninterest Expenses
The Company’s total non-interest expense decreased $334 thousand, or 5.50%, to $5.8 million in the quarter ended September 30, 2023, compared to $6.1 million for the quarter ended June 30, 2023. This decrease is primarily due to a decline in Salaries & Benefits expense during the period.
Balance Sheet Summary
The Company’s total assets at September 30, 2023 increased $23.2 million, or 2.4%, to $984.1 million as compared to $960.9 million at June 30, 2023.
Cash and due from banks increased $14.5 million, or 32.7%, to $58.8 million at September 30, 2023 compared to $44.3 million at June 30, 2023.
Total loans outstanding were $600.9 million as of September 30, 2023, representing a $15.8 million, or 2.7%, increase from the June 30, 2023 outstanding balance of $585.1 million. Growth was balanced across all core loan sectors, with Residential 1-4 units and Investor CRE experiencing the greatest dollar growth within the quarterly period. This growth was partially offset by declines in wholesale consumer and lease pools which continue to pay down.
| Loan type (dollars in thousands) | 9/30/2023 | % of Total Loans | 6/30/2023 | % of Total Loans | 9/30/2022 | % of Total Loans | |||||||||||
| Construction / land (including farmland) | $ | 27,671 | 4.6 | % | $ | 24,212 | 4.1 | % | $ | 12,403 | 2.1 | % | |||||
| Residential 1 to 4 units | 63,038 | 10.5 | % | 58,952 | 10.1 | % | 56,592 | 9.7 | % | ||||||||
| Home equity lines of credit | 3,535 | 0.6 | % | 3,643 | 0.6 | % | 4,909 | 0.8 | % | ||||||||
| Multifamily | 84,157 | 14.0 | % | 80,796 | 13.8 | % | 82,936 | 14.1 | % | ||||||||
| Owner occupied commercial real estate | 125,664 | 20.9 | % | 123,545 | 21.1 | % | 111,097 | 18.9 | % | ||||||||
| Investor commercial real estate | 194,087 | 32.3 | % | 189,216 | 32.3 | % | 188,930 | 32.2 | % | ||||||||
| Commercial and industrial | 46,743 | 7.8 | % | 42,949 | 7.4 | % | 39,804 | 6.8 | % | ||||||||
| Paycheck Protection Program | — | 0.0 | % | — | 0.0 | % | — | 0.0 | % | ||||||||
| Leases | 30,113 | 5.0 | % | 33,618 | 5.8 | % | 45,049 | 7.7 | % | ||||||||
| Consumer | 15,837 | 2.6 | % | 18,882 | 3.2 | % | 30,902 | 5.3 | % | ||||||||
| Other loans | 10,030 | 1.7 | % | 9,258 | 1.6 | % | 14,176 | 2.4 | % | ||||||||
| Total loans | 600,875 | 100.0 | % | 585,071 | 100.0 | % | 586,798 | 100.0 | % | ||||||||
| Allowance for credit losses | (6,918 | ) | (6,746 | ) | (7,560 | ) | |||||||||||
| Net loans held for investment | $ | 593,957 | $ | 578,325 | $ | 579,238 | |||||||||||
The investment portfolio decreased $10.3 million to $282.8 million from a balance of $293.1 million at June 30, 2023. The decline is reflective of paydowns and a $7.1 million increase in unrealized losses associated with the Company’s available-for-sale investment security portfolio; unrealized losses totaled $45.7 million at September 30, 2023 compared to $38.6 million at June 30, 2023. The increase in unrealized losses was driven by changes in the treasury yield curve that negatively impacted the portfolio’s valuation. At September 30, 2023 and June 30, 2023, $70.8 million and $70.5 million, respectively, of the investment portfolio were classified as held-to-maturity. As of September 30, 2023, investments classified as held-to-maturity comprise approximately 25% of the portfolio.
Total deposits were $906.1 million at September 30, 2023 representing a $26.7 million, or 3.0%, increase compared to total deposits of $879.4 million at June 30, 2023. Third quarter deposit growth originated from both new and existing relationships. Noninterest-bearing balances continue to comprise nearly half of total deposits at September 30, 2023 (45.7%).
| Deposit type (dollars in thousands) | 9/30/2023 | % of Total Deposits | 6/30/2023 | % of Total Deposits | 9/30/2022 | % of Total Deposits | ||||||||
| Interest- bearing checking accounts | $ | 56,535 | 6.2 | % | $ | 47,483 | 5.4 | % | $ | 69,258 | 7.5 | % | ||
| Money market | 289,700 | 32.0 | % | 287,148 | 32.6 | % | 308,722 | 33.5 | % | |||||
| Savings | 115,583 | 12.8 | % | 116,582 | 13.3 | % | 109,653 | 11.9 | % | |||||
| Time | 29,775 | 3.3 | % | 33,044 | 3.8 | % | 10,256 | 1.1 | % | |||||
| Total interest-bearing deposits | 491,593 | 54.3 | % | 484,257 | 55.1 | % | 497,889 | 54.0 | % | |||||
| Noninterest-bearing | 414,470 | 45.7 | % | 395,132 | 44.9 | % | 424,312 | 46.0 | % | |||||
| Total deposits | $ | 906,063 | 100.0 | % | $ | 879,389 | 100.0 | % | $ | 922,201 | 100.0 | % | ||
Uninsured deposits represent $355.3 million, or 49%, of total deposits at September 30, 2023. The Company maintains borrowing capacity of $395.1 million in secured and unsecured funding sources at September 30, 2023 covering 111.2% of uninsured balances.
Subordinated debt balances totaled $14.8 million at September 30, 2023 and June 30, 2023. No other borrowings were outstanding at September 30, 2023 and June 30, 2023, as deposit growth and cash flows generated by the loan and bond portfolios provided sufficient liquidity for operations.
Shareholder’s equity totaled $54.1 million at September 30, 2023, a decrease of $3.7 million, or 6.4%, compared to $57.8 million at June 30, 2023. The decrease is reflective of the increase in unrealized losses on the available-for-sale investment security portfolio, the impact of which flows through accumulated other comprehensive income (AOCI), a component of equity, partially offset by an increase in the fair value of the cap corridor and fair value hedges which positively impacted AOCI. The negative AOCI impact in the third quarter was partially offset by $1.2 million in net income contribution. The unrealized loss position on the held-to-maturity investment securities was captured at the date of transfer and amortizes over the remaining life of the bonds with market value movements having no future impact on the unrealized loss position of these bonds.
Asset Quality
At September 30, 2023, nonperforming assets were 0.22% of the Company’s total assets, compared with 0.07% at June 30, 2023. The allowance for credit losses was 1.15% of outstanding loans at September 30, 2023, unchanged from 1.15% at June 30, 2023. The Company had $138 thousand in nonaccrual loans at both September 30, 2023 and June 30, 2023, representing 0.02% of total loans in each period. The Company recorded net charge-offs of $992 thousand in the quarter ended September 30, 2023, compared to $1.7 million in the quarter ended June 30, 2023. Charge-offs for the periods ended September 30, 2023 and June 30, 2023 were all within the purchased consumer and lease pools, with the exception of a $46 thousand charge off of the unguaranteed portion of an SBA loan in the second quarter.
| Asset Quality (dollars in thousands) | 9/30/2023 | 6/30/2023 | 9/30/2022 | ||||||
| Loans past due 90 days or more and accruing interest | $ | 2,069 | $ | 487 | $ | 409 | |||
| Other nonaccrual loans | 138 | 138 | — | ||||||
| Other real estate owned | — | — | — | ||||||
| Total nonperforming assets | $ | 2,207 | $ | 625 | $ | 409 | |||
| Allowance for credit losses to total loans | 1.15 | % | 1.15 | % | 1.29 | % | |||
| Allowance for credit losses to nonperforming loans | 313.46 | % | 1079.36 | % | 1848.34 | % | |||
| Nonaccrual loans to total loans | 0.02 | % | 0.02 | % | 0.00 | % | |||
| Nonperforming assets to total assets | 0.22 | % | 0.07 | % | 0.04 | % | |||
| 1ST CAPITAL BANCORP | ||||||||||
| CONDENSED FINANCIAL DATA – UNAUDITED | ||||||||||
| ($ in 000s, except per share data) | ||||||||||
| Assets | 9/30/2023 | 6/30/2023 | 9/30/2022 | |||||||
| Cash and due from banks | $ | 58,826 | $ | 44,320 | $ | 41,842 | ||||
| Investment securities available-for-sale | 212,075 | 222,662 | 259,472 | |||||||
| Investment securities held-to-maturity | 70,756 | 70,468 | 72,818 | |||||||
| Loans and leases held for investment | 600,875 | 585,071 | 586,798 | |||||||
| Allowance for credit losses | (6,918 | ) | (6,746 | ) | (7,560 | ) | ||||
| Net loans and leases held for investment | 593,957 | 578,325 | 579,238 | |||||||
| Other Assets | 48,480 | 45,129 | 41,241 | |||||||
| Total assets | $ | 984,094 | $ | 960,904 | $ | 994,611 | ||||
| Liabilities and Shareholders’ Equity | ||||||||||
| Deposits: | ||||||||||
| Non-interest-bearing | $ | 414,470 | $ | 395,132 | $ | 424,312 | ||||
| Interest-bearing | 491,593 | 484,257 | 497,889 | |||||||
| Total deposits | 906,063 | 879,389 | 922,201 | |||||||
| Subordinated debentures | 14,795 | 14,776 | 14,719 | |||||||
| Other borrowings | — | — | — | |||||||
| Other liabilities | 9,099 | 8,915 | 9,415 | |||||||
| Shareholders’ equity | 54,137 | 57,824 | 48,276 | |||||||
| Total liabilities and shareholders’ equity | $ | 984,094 | $ | 960,904 | $ | 994,611 | ||||
| Shares outstanding | 5,529,805 | 5,518,996 | 5,476,092 | |||||||
| Earnings per share basic | $ | 0.22 | $ | 0.11 | $ | 0.49 | ||||
| Earnings per share diluted | $ | 0.22 | $ | 0.11 | $ | 0.48 | ||||
| Nominal and tangible book value per share | $ | 9.79 | $ | 10.48 | $ | 8.82 | ||||
| 1ST CAPITAL BANCORP | |||||||
| CONDENSED FINANCIAL DATA – UNAUDITED | |||||||
| ($ in 000s) | |||||||
| Three Months Ended | |||||||
| Operating Results Data | 9/30/2023 | 6/30/2023 | 9/30/2022 | ||||
| Interest and dividend income | |||||||
| Loans | $ | 7,538 | $ | 7,222 | $ | 7,011 | |
| Investment securities | 1,936 | 1,929 | 2,055 | ||||
| Federal Home Loan Bank stock | 93 | 78 | 62 | ||||
| Other income | 677 | 442 | 126 | ||||
| Total interest and dividend income | 10,244 | 9,671 | 9,254 | ||||
| Interest expense | 2,008 | 2,042 | 669 | ||||
| Net interest income | 8,236 | 7,629 | 8,585 | ||||
| Provision for credit losses | 1,164 | 1,052 | — | ||||
| Net interest income after provision for credit losses | 7,072 | 6,577 | 8,585 | ||||
| Noninterest income | 314 | 297 | 395 | ||||
| Net gain (loss) on sales/calls of investment securities | — | — | 51 | ||||
| Noninterest expenses | |||||||
| Salaries and benefits expense | 3,386 | 3,615 | 3,243 | ||||
| Occupancy expense | 459 | 463 | 451 | ||||
| Data and item processing | 325 | 328 | 279 | ||||
| Furniture and equipment | 113 | 101 | 127 | ||||
| Professional services | 248 | 279 | 168 | ||||
| Other | 1,263 | 1,342 | 1,109 | ||||
| Total noninterest expenses | 5,794 | 6,128 | 5,377 | ||||
| Income before provision for income taxes | 1,592 | 746 | 3,654 | ||||
| Provision for income taxes | 398 | 137 | 992 | ||||
| Net income | $ | 1,194 | $ | 609 | $ | 2,662 | |
| Three Months Ended | ||||||||||
| Selected Average Balances | 9/30/2023 | 6/30/2023 | 9/30/2022 | |||||||
| Gross loans | $ | 590,030 | $ | 584,939 | $ | 594,624 | ||||
| Investment securities | 332,185 | 333,844 | 352,564 | |||||||
| Federal Home Loan Bank stock | 4,381 | 4,314 | 4,058 | |||||||
| Other interest earning assets | 54,550 | 43,581 | 34,162 | |||||||
| Total interest earning assets | 981,146 | 966,678 | 985,408 | |||||||
| Total assets | 980,038 | 962,808 | 1,018,730 | |||||||
| Interest-bearing checking accounts | 46,713 | 49,082 | 65,171 | |||||||
| Money market | 299,139 | 260,482 | 303,802 | |||||||
| Savings | 117,881 | 124,088 | 126,511 | |||||||
| Time deposits | 30,262 | 28,375 | 12,376 | |||||||
| Total interest- bearing deposits | 493,995 | 462,027 | 507,860 | |||||||
| Noninterest bearing demand deposits | 396,871 | 386,503 | 423,166 | |||||||
| Total deposits | 890,866 | 848,530 | 931,026 | |||||||
| Subordinated debentures and other borrowings | 20,163 | 45,308 | 15,055 | |||||||
| Shareholders’ equity | $ | 58,772 | $ | 59,145 | $ | 64,227 | ||||
|
1ST CAPITAL BANCORP Three Months Ended |
||||||||||
| Selected Financial Ratios | 9/30/2023 | 6/30/2023 | 9/30/2022 | |||||||
| Return on average total assets | 0.48 | % | 0.25 | % | 1.04 | % | ||||
| Return on average shareholders’ equity | 8.06 | % | 4.13 | % | 16.44 | % | ||||
| Net interest margin | 3.37 | % | 3.20 | % | 3.46 | % | ||||
| Net interest income to average total assets | 3.33 | % | 3.18 | % | 3.34 | % | ||||
| Efficiency ratio | 67.77 | % | 77.32 | % | 59.54 | % | ||||
| 1ST CAPITAL BANCORP | |||||
| CONDENSED FINANCIAL DATA – UNAUDITED | |||||
| ($ in 000s) | |||||
| Nine Months Ended | |||||
| Operating Results Data | 9/30/2023 | 9/30/2022 | |||
| Interest and dividend income | |||||
| Loans | $ | 21,478 | $ | 21,165 | |
| Investment securities | 5,809 | 5,650 | |||
| Federal Home Loan Bank stock | 241 | 179 | |||
| Other income | 1,430 | 195 | |||
| Total interest and dividend income | 28,958 | 27,189 | |||
| Interest expense | 5,238 | 1,772 | |||
| Net interest income | 23,720 | 25,417 | |||
| Provision for credit losses | 2,906 | — | |||
| Net interest income after provision for credit losses | 20,814 | 25,417 | |||
| Noninterest income | 984 | 1,003 | |||
| Net gain (loss) on sales/calls of investment securities | (134 | ) | 51 | ||
| Noninterest expenses | |||||
| Salaries and benefits expense | 10,748 | 10,145 | |||
| Occupancy expense | 1,336 | 1,348 | |||
| Data and item processing | 962 | 807 | |||
| Furniture and equipment | 331 | 417 | |||
| Professional services | 795 | 451 | |||
| Other | 3,771 | 3,324 | |||
| Total noninterest expenses | 17,943 | 16,492 | |||
| Income before provision for income taxes | 3,721 | 9,979 | |||
| Provision for income taxes | 861 | 2,705 | |||
| Net income | $ | 2,860 | $ | 7,274 | |
| Nine Months Ended | ||||
| Selected Average Balances | 9/30/2023 | 9/30/2022 | ||
| Gross loans | $ | 582,107 | $ | 586,294 |
| Investment securities | 335,227 | 362,879 | ||
| Federal Home Loan Bank stock | 4,252 | 4,011 | ||
| Other interest earning assets | 44,447 | 36,790 | ||
| Total interest earning assets | 966,033 | 989,974 | ||
| Total assets | 963,552 | 1,014,291 | ||
| Interest bearing checking accounts | 54,019 | 65,302 | ||
| Money market | 245,187 | 268,143 | ||
| Savings | 126,592 | 145,024 | ||
| Time deposits | 23,249 | 12,102 | ||
| Total interest-bearing deposits | 449,047 | 490,571 | ||
| Noninterest-bearing demand deposits | 417,154 | 429,581 | ||
| Total deposits | 866,201 | 920,152 | ||
| Subordinated debentures and other borrowings | 28,906 | 15,758 | ||
| Shareholders’ equity | $ | 58,361 | $ | 70,808 |
| 1ST CAPITAL BANCORP | ||||
| CONDENSED FINANCIAL DATA – UNAUDITED | ||||
| ($ in 000s) | ||||
| |
||||
| Nine Months Ended | ||||
| Selected Financial Ratios | 9/30/2023 | 9/30/2022 | ||
| Return on average total assets | 0.40 | % | 0.96 | % |
| Return on average shareholders’ equity | 6.55 | % | 13.74 | % |
| Net interest margin | 3.32 | % | 3.43 | % |
| Net interest income to average total assets | 3.29 | % | 3.35 | % |
| Efficiency ratio | 73.03 | % | 62.30 | % |
| Regulatory Capital and Ratios | 9/30/2023 | 6/30/2023 | 9/30/2022 | ||||||
| Common equity tier 1 capital | $ | 105,099 | $ | 103,412 | $ | 100,148 | |||
| Tier 1 regulatory capital | $ | 105,099 | $ | 103,412 | $ | 100,148 | |||
| Total regulatory capital | $ | 112,208 | $ | 110,312 | $ | 107,855 | |||
| Tier 1 leverage ratio | 10.32 | % | 10.36 | % | 10.22 | % | |||
| Common equity tier 1 risk-based capital ratio | 15.01 | % | 15.26 | % | 14.44 | % | |||
| Tier 1 capital ratio | 15.01 | % | 15.26 | % | 14.44 | % | |||
| Total risk-based capital ratio | 16.03 | % | 16.28 | % | 15.55 | % | |||
About 1st Capital Bancorp
1st Capital Bancorp is the holding company for 1st Capital Bank. The Bank’s primary target markets are commercial enterprises, professionals, real estate investors, family business entities, and residents along the Central Coast region of California. The Bank provides a wide range of credit products, including loans under various government programs such as those provided through the U.S. Small Business Administration and the U.S. Department of Agriculture. A full suite of deposit accounts also is furnished, complemented by robust cash management services. The Bank operates full-service branch offices in Monterey, Salinas, King City, San Luis Obispo and Santa Cruz. The Bank’s corporate offices are located at 150 Main Street, Suite 150, Salinas, California 93901. The Bank’s website is www.1stCapital.bank. The main telephone number is 831.264.4000.
Member FDIC / Equal Opportunity Lender / SBA Preferred Lender
Forward-Looking Statements
Certain of the statements contained herein that are not historical facts are “forward-looking statements” within the meaning of and subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may contain words or phrases including, but not limited, to: “believe,” “expect,” “anticipate,” “intend,” “estimate,” “target,” “plans,” “may increase,” “may fluctuate,” “may result in,” “are projected,” and variations of those words and similar expressions. All such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. Factors that might cause such a difference include, among other matters, changes in interest rates; economic conditions including inflation and real estate values in California and the Bank’s market areas; governmental regulation and legislation; credit quality; competition affecting the Bank’s businesses generally; the risk of natural disasters and future catastrophic events including pandemics, terrorist related incidents and other factors beyond the Bank’s control; and other factors. The Bank does not undertake, and specifically disclaims any obligation, to update or revise any forward-looking statements, whether to reflect new information, future events, or otherwise, except as required by law.
This news release is available at the www.1stCapital.bank internet site for no charge.
For further information, please contact:
| Samuel D. Jimenez | Moritz Wohanka | |
| Chief Executive Officer | Interim Chief Financial Officer | |
| 831.264.4057 office | 831.264.4007 office | |
| Sam.Jimenez@1stCapitalBank.com | Moritz.Wohanka@1stCapitalBank.com | |
