Irvine-based CommerceWest Bank posted record earnings growth in the second quarter, the bank said Wednesday.
The bank reported earnings of $501,000 compared to $221,000 in the same quarter last year. The bank also reported an average return on assets of 1.56% compared to 0.83% in the same quarter last year.
CommerceWest said its net interest margin in the second quarter increased 32% to 5.45%, compared to a year earlier. Net interest margin is the difference between interest-related income and interest-related expense.
“While many financial institutions are experiencing compressing net interest margins, CommerceWest has been focused on building a fortress balance sheet to take advantage of an increasing interest rate environment,” said Ivo A. Tjan, chairman and chief executive.
