First California Financial Group Reports Third Quarter Earnings

First California Financial Group, Inc., the holding company of First California Bank, continued to grow top line revenue and reported improved net interest margins during the third quarter. The Westlake Village-based institution reported net income of $64,000 for the third quarter that ended Sept. 30, compared to a net loss of $136,000 for the same quarter of the prior year. Preferred dividends were $312,500 for both the third quarter of 2010 and 2009. Net loss available to common shareholders was $248,500, or $0.01 per share, compared with $448,500, or $0.04 per share, for the 2009 third quarter. “Given current economic conditions, our focus remains on making sound, safe business decisions and building our brand to position First California for the eventual return to a more normal business environment,” said C. G. Kum, President and Chief Executive Officer. Reflecting a shift to higher yielding loans, net interest income before the provision for loan losses increased 3 percent to $11.1 million in the third quarter compared to $10.8 million for the second quarter. Net interest margin (on a taxable equivalent basis) was 3.46 percent for the third quarter compared with 3.40 percent the previous quarter. “During the quarter, we recorded strong growth to our pre-tax, pre-provision earnings and added quality loan assets. We continue to deploy liquidity into higher yielding assets, which will provide an improved net interest margin and operating performance in the fourth quarter and future periods,” Kum said.