Provident Financial Holdings Inc. in Riverside, Calif., is back in good standing with its regulator.
The $1.3 billion-asset company said in a Securities and Exchange Commission filing this week that the Office of Thrift Supervision has rescinded the "troubled condition" designation it placed on the company and its subsidiary, Provident Savings Bank, in July 2009 and lifted operating restrictions it imposed in June 2010.
Like many lenders in California, Provident had been battered by defaults on real estate loans, reporting losses of more than $10 million in 2008 and 2009, according to Federal Deposit Insurance Corp. data. But the company has largely cleaned up its loan portfolio and has now turned a profit in six consecutive quarters. In the quarter that ended March 31, Provident earned $2.3 million, compared to $371,000 in the same period a year earlier.