CHINO, Calif., April 18, 2025 (GLOBE NEWSWIRE) -- The Board of Directors of Chino Commercial Bancorp (OTC: CCBC), the parent company of Chino Commercial Bank, N.A., has announced the financial results for the first quarter ending March 31, 2025. The report highlights significant growth and progress within the Bank, demonstrating its robust operational performance amidst a competitive banking environment.

For the first quarter of 2025, Chino Commercial Bancorp recorded net earnings of $1.35 million, marking an increase of $108.6 thousand, or 8.7%, compared to the same period in the previous year. This growth translates to basic and diluted earnings per share of $0.41, up from $0.38 for the first quarter of 2024. This upward trend is indicative of the Bank's solid foundation and strategic initiatives aimed at enhancing profitability.

President and Chief Executive Officer Dann H. Bowman expressed satisfaction with the Banks performance during this quarter, stating, We are very pleased with the Banks performance in the first quarter of 2025. At the end of the first quarter, the Bank set new records for total assets, total deposits, total loans, and total capital. Furthermore, loan quality remains exceptionally strong, with the Bank reporting no delinquent loans as of the end of Q1. This commendable performance is a testament to the Bank's prudent lending practices and rigorous risk management approaches.

In 2024, Chino Commercial Bank made a strategic move by acquiring a new building in Corona, which is set to house its fifth branch office due to open in the second quarter of 2025. Early indications from business development efforts in the Corona market have been promising, and the Bank is eager to tap into the growth potential this new office will offer.

Additionally, the Bank has strengthened its offerings by becoming a member of the Card Brand Association in 2023. This membership enabled the launch of credit card processing services, or Merchant Services, for its clients. These services have introduced a valuable stream of non-interest income while also delivering significant cost savings and enhanced transparency for customers. With efficient electronic payment processing being crucial for business cash flow management, the Bank anticipates the potential for expanding these offerings beyond its immediate market, looking to establish Merchant Services revenue as a vital component of its business model going forward.

As of March 31, 2025, Chino Commercial Bancorp reported total assets amounting to $471.3 million, reflecting a $4.6 million increase, or 1.0%, from the $466.7 million reported at the end of 2024. Total deposits also rose significantly by $18.4 million, or 5.3%, reaching $367.3 million, up from $348.9 million in the prior quarter. Notably, core deposits constituted an impressive 96.85% of total deposits as of the end of the first quarter.

In terms of loan growth, gross loans experienced an increase of $2.9 million, or 1.4%, totaling $208.2 million as of March 31, 2025, compared to $205.2 million at the end of the previous year. The Bank has reported five non-performing loans, all on non-accrual status, with no delinquent loans noted at either end of the reporting period. Among these, three of the non-performing loans are undergoing foreclosure processes, although there were no Other Real Estate Owned (OREO) properties reported as of March 31 or December 31, 2024.

On the earnings front, Chino Commercial Bancorp reported net interest income of $3.6 million for the three months ending March 31, 2025, compared to $3.3 million in the same quarter of the previous year. Average interest-earning assets stood at $419.0 million, while average interest-bearing liabilities totaled $231.1 million, resulting in a net interest margin of 3.51%a notable improvement from the previous year's first-quarter margin of 2.86%.

Non-interest income also showed promising growth, totaling $855.6 thousand in the first quarter of 2025, which represents a 10.6% increase compared to $773.5 thousand during the same period in 2024. This increase was primarily driven by heightened service charges and fees on deposit accounts, which rose to $506.4 thousand, marking a notable increase of $66.5 thousand, or 15.1%. Merchant services processing revenue also contributed to this growth, totaling $141.3 thousand for the quarter, reflecting a $8.0 thousand increase from the prior year.

However, general and administrative expenses rose to $2.6 million for the first three months of 2025, up from $2.4 million in the same period last year. Salary and benefits were the largest component of these expenses, amounting to $1.6 million, compared to $1.5 million in the prior year.

Income tax expense for this quarter was reported at $535.9 thousand, reflecting an increase of $46.6 thousand, or 9.5%, compared to $489.3 thousand during the first quarter of 2024. The effective income tax rate remained consistent at approximately 28.3% for both Q1 2025 and Q1 2024.

Looking ahead, the statements issued in this press release include forward-looking statements based on managements current expectations and beliefs about future developments and their potential impacts on the Company. Readers are advised to avoid placing undue reliance on these projections, as actual results may diverge from those anticipated due to various risks and uncertainties, including the economic health of both the national and California economies, the Companys ability to attract and retain skilled employees, customer service expectations, and changes in interest rates and loan portfolio performance among other factors.

For further inquiries, please contact Dann H. Bowman, President and CEO, or Melinda M. Milincu, Senior Vice President and CFO of Chino Commercial Bancorp and Chino Commercial Bank, N.A., located at 14245 Pipeline Avenue, Chino, CA, 91710, or by calling (909) 393-8880.