Central Valley Community Bancorp reported a profit of $2.9 million, or 26 cents per share, for the fourth quarter of 2015, a sizable improvement from reported losses of more than $2.3 million or 22 cents per share for the final three months of 2014.
The fourth-quarter performance drove the full-year profit for the Fresno-based parent company of Central Valley Community Bank to more than $10.9 million, or $1 per share. That was more than double the 2014 net earnings of about $5.3 million, or 48 cents per share. Bank leaders attributed the increase in annual net earnings to a lower allowance for credit losses as well as higher income from non-interest sources. The bank reported that its 2015 provision for credit losses was about $600,000, compared to nearly $8 million in 2014.
In its earnings statement issued Tuesday, the company announced plans to close one of its Fresno branches. That move is expected to save about $500,000 a year. The bank’s Sunnyside branch, on South Clovis Avenue, will close on April 15; a spokeswoman said customers have been notified of the change and accounts from that branch will be transferred to Central Valley Community’s downtown Fresno office on Tulare Street. Employees at the Sunnyside branch will be able to transfer to open positions elsewhere in the company.
On Wednesday, the bank’s board announced that the company will pay a quarterly cash dividend of 6 cents per share to stock owners next month. The dividend will be paid on Feb. 19 to shareholders who own stock as of Feb. 5.
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Central Valley Community Bancorp shares are publicly traded on Nasdaq under the stock symbol CVCY. The bank’s stock closed Wednesday at $10.51 per share, up 0.19 percent from Tuesday’s closing price of $10.49 per share.