Written by The Business Journal Staff
Central Valley Community Bancorp, parent company of Central Valley Community Bank in Fresno, reported net income of $14.02 million for 2017, down about $1 million compared to 2016.
In addition to a one-time differed tax expense of $3.54 million in the fourth quarter related to federal tax reform, the bank also closed its acquisition of Folsom Lake Bank in the quarter.
“We are pleased with the fourth quarter and full year 2017 financial metrics. The merger with Folsom Lake Bank was completed on October 1, 2017, which contributed to the Company’s historic highs in Loans, Deposits and Pre-Tax earnings. All aspects of the merger are on target and integration plans are progressing well. The systems conversion is on schedule for early February,” stated James M. Ford, president & CEO of Central Valley Community Bank and Central Valley Community Bancorp.
“Our expansion in the Greater Sacramento Region has set the stage for continued growth of the Company in 2018 and beyond. Notwithstanding the one-time Deferred Tax Asset write-down as a result of the 2017 tax law changes, the Company’s core business continues to expand, benefiting from our nearly 40-year community bank relationship model that’s consistently delivered throughout our territory,” continued Ford.
“The strategic plan for 2018 includes consolidating two existing offices into branches in the same communities of Visalia and Folsom during the second quarter, allowing the Company’s cost structure to further improve and providing opportunity to invest in technology and continued growth initiatives throughout California’s San Joaquin Valley and the Greater Sacramento Region,” concluded Ford.
The bank reported net income of $335,000 for the fourth quarter of 2017, down from $2.6 million in the same period of 2016. The decrease was due to a $2.57 million increase in the provision for income taxes, an increase in non-interest expenses and a decrease in non-interest income.
Total assets for the year increased by $218.3 million for a total of $1.66 billion.