Riverview Bancorp saw a 63 percent increase in its net income in the first quarter of fiscal year 2019 (March to June 2018), with $4.4 million in net income compared to $2.7 million over the same period the year prior.
The Vancouver-based banking company also surpassed its net income for the final quarter of fiscal year 2018, which saw $3 million in profits after expenses.
The increase in reported net income equals 20 cents per diluted share.
“We started fiscal year 2019 with a record first quarter, and our momentum continues to build,” said Kevin Lycklama, president and chief executive officer, in a news release. “Our financial performance was fueled by strong revenue generation and solid loan growth.”
The quarter’s earnings continue a period of strong growth for the company, which closed out fiscal year 2018 with $10.2 million in net income, 38 percent more than the $7.4 million at the end of fiscal year 2017. That profitability was driven in part by the acquisition of MBank in February, giving Riverview two new branches in Oregon.
The first quarter of fiscal year 2019 saw total loans increase by $15.2 million to reach $826.6 million at June 30, 2018, an annualized growth rate of 7.5 percent. Riverview’s total deposits went up by $8.9 million to reach $982.4 million at the end of the first quarter, compared to $973.5 million a year ago. However, deposits dropped from the quarter prior (the fourth quarter for fiscal year 2018) by $13.3 million.
“The decrease compared to the preceding quarter end was primarily driven by a $13.3 million decrease from a temporary deposit to a single customer,” Lycklama said in the news release.
Shareholders’ equity was $119.8 million at June 30, up from $113.9 million a year earlier. Traded on the Nasdaq Exchange as RVSB, Riverview share prices closed Wednesday at $9.15 per share, down 6 cents, but up from $8 per share this time last year.
“As we look to the rest of the fiscal year, we will continue to focus on improving profitability while looking for growth opportunities in and around our surrounding markets that benefit both our customers and shareholders,” Lycklama said in the news release.
