Preferred Bank (NASDAQ:PFBC) Q1 2019 Earnings Conference Call Transcript
Apr 18, 2019 • 11:30 am ET
Hello, and welcome to the Preferred Bank First Quarter 2019 Conference Call and Webcast. All participants will be in listen-only mode. (Operator Instructions) After today's presentation, there will be an opportunity to ask questions. (Operator Instructions)
I would now like to turn the conference over to Tony Rossi of Financial Profiles. Please go ahead, sir.
Thank you, Keith. Hello everyone, and thank you for joining us to discuss Preferred Bank's financial results for the first quarter ended March 31st, 2019. With me today from management are Chairman and CEO, Li Yu; President and Chief Operating Officer; Wellington Chen; Chief Financial Officer, Edward Czajka; and Chief Credit Officer, Nick Pi. Management will provide a brief summary of the results and then we'll open up the call to your questions.
During the course of this conference call, statements made by management may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon specific assumptions that may or may not prove correct. Forward-looking statements are also subject to known and unknown risks, uncertainties and other factors relating to Preferred Bank's operations and business environment, all of which are difficult to predict and many of which are beyond the control of Preferred Bank. For a detailed description of these risks and uncertainties, please refer to the SEC required documents the Bank files with the Federal Deposit Insurance Corporation, or FDIC. If any of these uncertainties materialize or any of these assumptions prove incorrect, Preferred Bank's results could differ materially from its expectations as set forth in these statements. Preferred Bank assumes no obligation to update such forward-looking statements.
At this time, I'd like to turn the call over to Mr. Li Yu. Please go ahead.
Thank you. Good morning, ladies and (technical difficulty). I'm very pleased to report that during this quarter, we were able to dispose three of the four non-performing assets, which was previously mentioned as New York loans. With these resolutions, we are now having our assets quality getting closer to the pristine level. Even though we're not terribly excited with the $1.4 million loss we have to take, but then last quarter, we had a $2 million plus gain. I guess it's a shame that we do not have the ability to make it happen in the same accounting period.
For the quarter, the Company earned $18.7 million or $1.23 per share, including the loss mentioned above, slightly better than last quarter, about 14%, 15% better than last year and overall, we are pleased with the operating results. Loans and deposits continued to grow at the 9% level. Loan continued to be played by the heavy payoff activities. However, deposits seems to be -- the market rate competition for the deposits has subsided a bit. We have not made much change on our deposit rate principally because that we had a $600 million plus cash on our balance sheet.
I'm also pleased to note that early indication April seems to