PCBC Reports Third Quarter 2012 Results (10/24/12)
SANTA BARBARA, Calif.--(BUSINESS WIRE)--Pacific Capital Bancorp (Nasdaq: PCBC), a community bank holding company and parent of Santa Barbara Bank & Trust, N.A., reported net income of $33.2 million, or $1.01 per diluted share, for the three months ended September 30, 2012 compared with $20.5 million, or $0.62 per diluted share, for the three months ended September 30, 2011. Net income for the third quarter of 2012 was the highest reported quarterly result since the Ford Financial Group’s investment in Pacific Capital Bancorp in August 2010.
For the nine months ended September 30, 2012, Pacific Capital Bancorp earned $73.9 million, or $2.24 per diluted share, compared with $58.2 million, or $1.77 per diluted share, for the same respective period a year ago. Merger related costs included in net income were $1.8 million and $4.2 million for the respective three and nine months ended September 30, 2012.
Third Quarter Highlights
• Achieved a return on average assets of 2.2% and 1.7%, and a return on average equity of 15.7% and 12.2% for the three and nine months ended September 30, 2012, respectively;
• Improved net interest margins to 4.38% and 4.41% for the three and nine months ended September 30, 2012; and
• Increased regulatory capital ratios to 13.6% and 23.5% for Tier 1 Leverage and Total Risk-Based Capital, respectively at September 30, 2012.
Net interest income was $61.2 million, or 4.38% of average interest earning assets, for the three months ended September 30, 2012 compared with $55.8 million, or 4.08%, for the same period a year ago. Net interest income for the nine months ended September 30, 2012 was $180.1 million, or 4.41% of average interest earning assets, compared with $170.3 million, or 4.17%, for the same respective period a year ago. The increase in net interest income is primarily the result of continued strong performance of purchase credit impaired loans, a decline in the cost of funds, and an increase in loan growth.
Provision for loan losses was $860,000 for the three months ended September 30, 2012 compared with $787,000 for the same period a year earlier. Provision for loan losses was $2.0 million for the nine months ended September 30, 2012 compared with $4.3 million for the same respective period a year ago. Provision for loan losses increased for the comparative three month periods as a result of higher loan originations and purchases. Provision for loan losses decreased for the comparative nine month periods from lower historical loss rates used when calculating the allowance for loan losses.
Noninterest income was $20.1 million for the three months ended September 30, 2012 compared with $13.0 million for the same period a year ago. Noninterest income was $49.6 million for the nine months ended September 30, 2012 compared with $38.4 million for the same respective period a year earlier. Noninterest income increased for the comparative periods primarily as a result of increased gains on sales of other real estate owned, loans, and investment securities.
Noninterest expense was $47.1 million for the three months ended September 30, 2012 compared with $48.1 million for the same period of 2011. Noninterest expense was $152.5 million for the nine months ended September 30, 2012 compared with $146.5 million for the same respective period a year ago. Noninterest expense decreased for the comparative three month periods primarily from a decline in the number of employees resulting from attrition due to the merger announcement with UnionBanCal. Noninterest expense for the comparable nine month periods increased as a result of an increase in the estimated earnout liability related to the Company’s registered investment advisor subsidiaries and costs associated with the merger with UnionBanCal.
Pacific Capital Bancorp and its wholly-owned banking subsidiary, Santa Barbara Bank & Trust, N.A. (“SBB&T”), exceed the ratios required to be considered ”well capitalized” as well as capital levels that SBB&T is required to meet under its Operating Agreement with the Office of the Comptroller of the Currency. At September 30, 2012, regulatory capital ratios for Pacific Capital Bancorp and SBB&T were 13.6% and 12.5%, respectively, for Tier 1 leverage capital, and 23.5% and 21.6%, respectively, for total risk-based capital ratios.
Quarterly Report on Form 10-Q
The Company intends to file with the Securities and Exchange Commission its Quarterly Report on Form 10-Q for the quarter ended September 30, 2012 on or before November 9, 2012. This report can be accessed, free of charge, on the Securities and Exchange Commission’s website at www.sec.gov, on the Company’s website at www.pcbancorp.com, or by contacting the Company’s Investor Relations Department.
About Pacific Capital Bancorp
Pacific Capital Bancorp, with $6.0 billion in assets, is the parent company of Santa Barbara Bank & Trust, N.A., a nationally chartered bank headquartered in Santa Barbara, which operates 45 branches in eight California counties on the Central Coast of California. SBB&T provides a full line-up of community banking, commercial banking, and trust and wealth management products and services. The Company’s website, including investor relations information, can be found at www.pcbancorp.com. Products and services offered, and branch locations can be found at www.sbbt.com.
Additional Information and Where to Find It
In connection with the proposed merger, the Company has filed a definitive information statement relating to the merger with the Securities and Exchange Commission (“SEC”). INVESTORS SHOULD READ THE DEFINITIVE INFORMATION STATEMENT BECAUSE IT CONTAINS IMPORTANT INFORMATION ABOUT THE PROPOSED MERGER AND THE COMPANY. You can obtain the definitive information statement, as well as other filings containing information about the Company, free of charge, at the website maintained by the SEC at www.sec.gov. In addition, filings made by the Company with the SEC, other than preliminary materials, may be obtained free of charge by contacting the Company at (805) 884-6680 or 1021 Anacapa Street, Santa Barbara, California 93101, Attention: Investor Relations.
News 
Market Data 
Discover 
