River Valley Community Bank posts record quarterly earnings; announces 5‐for‐4 stock split | TheUnion.com
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River Valley Community Bank posts record quarterly earnings; announces 5‐for‐4 stock split

Yuba City-based River Valley Community Bank (OTC Markets: RVVY), which has a branch in Grass Valley, earned, after tax, $491,192, or $0.27 basic earnings per share for the three months ended Sept. 30.

The quarterly earnings and earnings per share both reflect new records for the bank.

These results compare to after tax earnings of $281,290 or $0.16 basic earnings per share earned in the corresponding period for 2014.



For the nine months ending Sept. 30, the bank earned $1,221,779 or $0.67 per share, up from $781,158 or $0.45 per share in the corresponding period for the prior year.

As of Sept. 30, total assets and deposits were $218,262,408 and $194,420,660 respectively; assets increased 10.4 percent while deposits rose 10 percent from the same date for the prior year.




Gross loans of $106,136,406 had increased 38.6 percent from Sept. 30, 2014.

There were no past due or nonaccrual loans at Sept. 30.

Shareholder Equity increased to $22,699,901 at Sept. 30 from $20,386,662 at Sept. 30, 2014.

Book value of $12.39 per share as of Sept. 30 had increased from $11.73 at Sept. 30, 2014.

During the three months ending Sept. 30, the bank’s earnings included $47,988 in realized gains on the sale of investment securities and there were no comparable realized gains in the corresponding period for 2014.

The bank’s earnings during the three months ending Sept. 30 also include an expense provision of $60,000 which was added to the Allowance for Loan and Lease Losses (ALLL).

With this provision, along with the ones taken in the first and second quarters, the bank has added $160,000 to its allowance for future losses through the nine months ending Sept. 30, 2015.

These provisions are a function of the Bank’s recent loan growth and there was $2,500 in comparable provisions made during the nine months ending September 30, 2014. The ALLL stands at $1,750,304 or 1.65% of Gross Loans at Sept. 30, 2015.

“I am very pleased with the development of our bank’s earnings stream in what has been a challenging interest rate environment for our industry,” said John M. Jelavich, president and chief executive officer. “Even excluding the nonrecurring realized gains we had during the third quarter, our earnings would have still reflected a new quarterly record for the bank.

“Our year-over-year increases are a primarily a function of our loan growth and both our Yuba/Sutter and Grass Valley operations continue to contribute to the Bank’s loan growth and profitability.”

Concurrent with the announcement of third quarter earnings, River Valley Community Bank also announced that its board of directors has approved a five-for-four split of the bank’s common stock (the “split”). One of the primary purposes of the stock split is to enhance the liquidity of the stock by making more shares available to all shareholders.

Each shareholder of record at the close of business on Oct. 30 will receive five shares for each four outstanding shares held on that record date.

Share certificates reflecting the split will be mailed directly to shareholders shortly thereafter or be reflected in their account if held through a broker.

The bank will not issue fractional shares as a result of the split.

In lieu thereof, each shareholder who would otherwise be entitled to receive a fractional share as a result of the split will receive from the bank, in cash, the fair value of such a fractional share.

The bank anticipates that trading will begin on a split-adjusted basis on Nov. 2.

River Valley Community Bank has been rated “5-Star Superior” by Bauer Financial for 29 consecutive quarters and has an A+ rating from DepositAccounts.com.

The bank serves its customer base through its offices located at: 1629 Colusa Ave., Yuba City, and 426 Sutton Way, Grass Valley.

For more information, visit http://www.myrvcb.com.


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