CWBC = Community West Bancshares
5.9 mm shs / 2.9 mm shs float
MCAP = 35 million
Has some interesting subsidiaries:
1) Electronic Paycheck
2) Access West Internet banking solution
Currently trading at 12X earnings and less than
15% of assets .. this is cheap without any i-net
angle ..
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Monday April 12, 9:36 am Eastern Time
Company Press Release
First-Quarter Earnings Increase 90.6
Percent at Community West
Bancshares
GOLETA, Calif.--(BUSINESS WIRE)--April 12, 1999--Lew
Stone, president and chief executive officer of Community West Bancshares, announced record
first-quarter 1999 earnings for the company and its subsidiaries.
Net income for the quarter ended March 31, 1999, was $1,056,000, or 90.6 percent above the
$554,000 reported for 1998, after restating all periods to give effect to the acquisition of Palomar
Savings, which was accounted for as a pooling of interests. Diluted earnings per share for the 1999
first quarter were $0.19 vs. $0.09 for the same period of 1998, an increase of 111 percent.
Stone said, ''As everyone knows, we had record earnings for the year ended Dec. 31, 1998. But
last year we also invested heavily in the development of products and services, and establishing
offices in new geographic locations. Those investments are just now beginning to pay off, and should
continue to do so for the foreseeable future.''
Stone continued: ''In the e-commerce arena, the company continues to expand. Our subsidiary,
Electronic Paycheck, expanded its proprietary software capabilities so that its pay card may be used
in multiple industries around the world. Community West will also introduce its AccessWest Internet
banking solution during the second quarter of this year.
''All of our offices nationwide are tied together using Web-based technology. Our cash-management
system has been migrated to a Windows-based platform. Our commitment to technology
improvements will continue.''
Community West Bancshares, as both a technology and financial services company, is unique in that
it has developed profit centers that generate significant noninterest income. The profit centers include
SBA lending, first and second mortgage lending, accounts receivable financing, Electronic Paycheck
and other electronic banking products.
During the first quarter of 1999, the company originated more than $235 million in loans, most of
which were sold in the secondary market or were slated to be formed into a security. Stone said,
''We have diversified our income sources in order to help insulate the company from changes in
interest rates.''
Total assets of the company increased 44.1 percent from $217,288,000 at March 31, 1998, to
$313,041,000 at March 31, 1999. During the same period, loans and deposits increased 63.2
percent and 51.3 percent, respectively.
The company has an ongoing stock repurchase plan. As of March 31, 1999, the company had
repurchased approximately 130,000 shares of its stock. In addition, the company previously
announced a $0.04 per share quarterly cash dividend to be paid on April 26, 1999, to shareholders
of record on April 12, 1999.
Community West Bancshares is a technology and financial services company with headquarters in
Goleta. Goleta National Bank, subsidiary of the company, has two full-service branches, one in
Goleta and one in Ventura, Calif., and loan production offices located in Alabama, California,
Florida, Georgia and Nevada.
In addition, Goleta National Bank is majority owner of Electronic Paycheck LLC. Palomar Savings
& Loan Association, subsidiary of the company, has two full-service branches and a loan production
office, all located in Escondido, Calif.
This release contains forward-looking statements that reflect management's current views of future
events and operations. These forward-looking statements are based on information currently
available to the company as of the date of this release. It is important to note that these
forward-looking statements are not guarantees of future performance and involve risks and
uncertainties, including but not limited to, the ability of the company to implement its technology
strategy, originate loans for sale and securitization, continue to pay dividends, and economic events
that may affect income. The company's actual results may differ materially from those in the
forward-looking statements as a result of various important factors, including general economic
conditions and ''Competition'' as described in the company's Form 10-K for the year ended Dec.
31, 1998.
-0-
The following represents comparative information:
March 31, 1999 Dec. 31, 1998
Total loans $266,702,000 $165,893,000
Total deposits 283,498,000 223,545,000
Total equity 24,339,000 24,553,000
Total assets 313,041,000 253,034,000
Quarter ended: March 31, 1999 March 31, 1998
Net interest income,
after provision 2,897,000 1,818,000
Other income 5,061,000 3,093,000
Other expense 6,149,000 4,040,000
Income taxes 753,000 317,000
Net income 1,056,000 554,000
Basic EPS $0.20 $0.10
Diluted EPS $0.19 $0.09
Weighted shares -- basic 5,394,833 5,255,391
Weighted shares -- diluted 5,544,933 5,936,283
Contact:
Community West Bancshares, Goleta
Randy Shaffer, 805/692-1862, 805/692-8902 (fax)
communitywest.com
EOM-------------------------------------------------------------------
Jim in CT .. |
