Fueled by earnings from its mortgage banking operation, Viejo Bancorp posted net income of $206,000 for the third quarter, contrasted with a $228,000 loss in last year's third quarter.
In the first nine months, the company, which owns Mission Viejo National Bank, earned $344,000, versus a $1-million loss in the same period last year.
The company's financial progress prompted Jack Barnes, president and chief executive, to revise an earlier prediction that net earnings this year could hit $1.5 million. Now, he said, he believes earnings will be well above the $1.5-million figure--most of it to be logged in the current quarter.
The one-bank holding company also restated its six-month net income as $138,000, down from the $158,000 initially reported. The $20,000 difference, Barnes said, was a monthly loan loss reserve mistakenly omitted when the financial statement was printed.
At the end of September, the holding company had a record-high $39.6 million in assets, a 44% increase over $27.5 million in assets a year ago. The bank's total deposits rose 46% to $36.8 million from $25.2 million, and total loans grew 73% to $36.8 million from $21.3 million.