-
Westamerica Bancorp. (WABC) in San Rafael, Calif., reported a dip in profits because of fewer customer transactions and a decline in loan revenue.
April 15 -
Westamerica Bancorp (WABC) of San Rafael, Calif., posted net income of $16.1 million for the fourth quarter, a 16.1% decrease from a year earlier.
January 16 -
Quarterly profit fell at Westamerica Bancorp (WABC) in San Rafael, Calif., on weaker loan revenue.
October 16
Westamerica Bancorporation (WABC) in San Rafael, Calif., reported another decline in quarterly profits as low interest rates continued to reduce yields on loans and investment securities.
The $4.9 billion-asset parent of Westamerica Bank said Tuesday that its second-quarter net income dropped 11.4% from the same period last year, to $52 million. Earnings per share fell 9.4%, to 58 cents, in line with estimates of analysts polled by Bloomberg,
Net interest income for the quarter was $38.6 million, down 9.3% from the second quarter of 2013. The company attributed the year-over-year drop to an overall decline in loan volume and shrinking yields on earning assets. Yields fell 43 basis points year over year, to 3.88%, while the net interest margin contracted by 36 basis points, to 3.76%.
"Low market rates continued to pressure our net interest margin, particularly yields on the investment securities portfolio," Chairman, President and Chief Executive David Payne said in a news release Tuesday. He added that the company is purchasing shorter-duration, lower-yielding securities to "prepare for higher interest rates."
Noninterest income fell 7.6% from a year earlier, to $13.2 million, as a result of lower service charges on deposit accounts and a decline in merchant processing service fees.
Westamerica's shares were trading $50.86 late Tuesday, down 0.6% from Monday's close.
