Community West reports lower profits as PPP loans end
Friday, July 29, 2022
The Goleta-based West Bank community reported a drop in net income in its latest quarter as the federal Paycheck Protection Program ended.
Community West Bancshares, the bank’s holding company, released its earnings report for the second quarter of 2022 before markets open on July 29. Its net income for the quarter was $2.6 million, or 30 cents per diluted share, compared to $3.6 million, or 41 cents per diluted share, for the second quarter of 2021. Net income also declined compared to the prior quarter, when it was $4 million, or 45 cents per diluted share.
For the first half of 2022, the bank reported net income of $6.6 million, or 74 cents per share, the same as its income in the first half of 2021.
“Results for the second quarter of 2022 compared to the prior year quarter reflect lower interest rates and fees on Small Business Administration Paycheck Protection Program loans, due to the decline in PPP loan cancellation as the program draws to a close,” the bank said in a statement. Release.
In the last quarter, the bank had $146,000 in PPP interest and fees, compared to $1.1 million in the same quarter of 2021.
Community West reported total assets of $1.11 billion as of June 30, up 4.1% from a year earlier but down 2.6% from the end of the first quarter in March, 31st.
Community West Bank is one of four banks based in the tri-county area. With seven Ventura branches in Paso Robles, it is the second largest of these banks.