Chino Commercial Bancorp Reports 18% Increase In Second Quarter Earnings
CHINO, Calif., July 17, 2026 (GLOBE NEWSWIRE) -- The Board of Directors of Chino Commercial Bancorp (OTC: CCBC), the parent company of Chino Commercial Bank, N.A., announced the results of operations for the Bank and the consolidated holding company for the second quarter ended June 30, 2026.
Net earnings for the second quarter of 2026 were $1.82 million, reflecting an increase of $279 thousand, or an increase of 18%, compared to the same period last year. Basic and diluted earnings per share were $0.47 for the second quarter of 2026, up from $0.40 for the same quarter in 2025. Net earnings increased year-to-date by $613 thousand, or 21% to $3.51 million, as compared to $2.89 million for the same period last year. Net earnings per share year-to-date was $0.91 for the period ending June 30, 2026, as compared with $0.75 for the same period last year, also a 21% increase. Earnings per share for the current and prior year were adjusted for the 20 percent stock dividend, which was payable to shareholders of record as of June 18, 2026.
Dann H. Bowman, President and Chief Executive Officer, stated “We are very pleased with the Bank’s performance year-to-date and during the second quarter of 2026, which set new records for total Assets, total Deposits, total Loans, Net Earnings, and total Capital. Loan quality also remains very strong, with the Bank having only two delinquent loans, and no additional loan loss provision during the second quarter”.
“The Bank’s Merchant Services Program continues to be one of the Company 's fastest-growing business lines. For the quarter ending June 30, 2026, card processing sales volume increased by $5 million or 37% to $18 million, compared with $14 million for the same quarter last year. On a year-to-date basis through June 30, 2026, card processing sales volume increased by $10 million or 38% to $36 million, as compared to $26 million for the same period last year”.
Financial Condition
As of June 30, 2026, total assets were $519 million, representing an increase of $25 million, or 5%, over $494 million on December 31, 2025. Total deposits rose by $21.4 million, or 5.8%, to $391.6 million, up from $370.2 million on December 31, 2025. Core deposits accounted for 96.1% of total deposits as of June 30, 2026.
Gross loans increased by $21.5 million, or 9.7%, totaling $242.1 million as of June 30, 2026, compared to $220.6 million as of December 31, 2025. At the end of the second quarter, the Bank reported only two delinquent loans totaling $303 thousand, and three nonaccrual loans totaling $1.2 million. As of June 30, 2026, the Bank had no Other Real Estate Owned (OREO) properties.
Earnings
The Company reported net interest income of $4.4 million for the three months ending June 30, 2026, compared to $3.8 million for the same period in 2025. Average interest-earning assets were $442.9 million, while average interest-bearing liabilities totaled $245.6 million, resulting in a net interest margin of 3.94% for the second quarter of 2026. This compares favorably with the prior year’s second-quarter margin of 3.68%, based on average interest-earning assets of $414.6 million and average interest-bearing liabilities of $221.9 million.
Non-interest income totaled $929.0 thousand in the second quarter of 2026, a decrease of 2.69% compared to $1.01 million in the first quarter of 2025. Most of the decrease was driven by Service Charges and Fees and Deposit Accounts of $141.6 thousand to $385.6 thousand. The above decrease was partially offset by an increase in Merchant Servicing processing of $85.9 million to $264.7 million.
General and administrative expenses totaled $2.7 million for the three months ended June 30, 2026, compared to $2.7 million for the same period in 2025. The largest component of these expenses was salary and benefits, which amounted to $1.7 million in the second quarter of 2026 compared to $1.6 million for the same period last year. The Company’s core efficiency ratio decreased to 52.04% for the second quarter of 2026 compared to 55.25% for the same period last year. Mr. Bowman stated, “We continue to monitor our costs in the current inflationary environment”.
Income tax expense for the quarter was $712.6 thousand, reflecting an increase of $97.7 thousand, or 15.9%, compared to $614.9 thousand for the same period last year. The Company’s effective income tax rate was approximately 28.14% for the period ending June 30, 2026, and 28.53% for the same period last year.
Forward-Looking Statements
The statements contained in this press release that are not historical facts are forward-looking statements based on management’s current expectations and beliefs concerning future developments and their potential effects on the Company. Readers are cautioned not to unduly rely on forward-looking statements. Actual results may differ from those projected. These forward-looking statements involve risks and uncertainties, including but not limited to, the health of the national and California economies, the Company’s ability to attract and retain skilled employees, customers’ service expectations, the Company’s ability to successfully deploy new technology and gain efficiencies therefrom, and changes in interest rates, loan portfolio performance, and other factors.
Contact: Dann H. Bowman, President, or Glenn Scabet CFO, Chino Commercial Bancorp and Chino Commercial Bank, N.A., 14245 Pipeline Avenue, Chino, CA. 91710, (909) 393-8880.
| Consolidated Statements of Financial Condition | ||||
| As of 6/30/2026 | ||||
| Jun-2026 Ending Balance | Dec-2025 Ending Balance | |||
| Assets | ||||
| Cash and due from banks | $62,127,445 | $45,883,735 | ||
| Cash and cash equivalents | $62,127,445 | $45,883,735 | ||
| Fed Funds Sold | $9,410 | $10,433 | ||
| Investment securities available for sale, net of zero | ||||
| allowance for credit losses | $13,741,429 | $11,545,192 | ||
| Investment securities held to maturity , net of zero | ||||
| allowance for credit losses | $179,151,462 | $195,829,795 | ||
| Total Investments | $192,892,891 | $207,374,987 | ||
| Gross loans held for investments | $242,052,000 | $220,584,180 | ||
| Deferred loan fees, net | ($498,309) | ($483,539) | ||
| Allowance for Loan Losses | ($5,199,505) | ($4,915,464) | ||
| Net Loans | $236,354,186 | $215,185,177 | ||
| Stock investments, restricted, at cost | $3,812,300 | $3,662,000 | ||
| Fixed assets, net | $8,010,906 | $8,117,396 | ||
| Accrued Interest Receivable | $1,667,621 | $1,673,768 | ||
| Bank Owned Life Insurance | $8,856,965 | $8,728,882 | ||
| Other Assets | $5,569,155 | $3,527,089 | ||
| Total Assets | $519,300,879 | $494,163,469 | ||
| Liabilities | ||||
| Deposits | ||||
| Noninterest-bearing | $189,782,502 | $181,348,771 | ||
| Interest-bearing | $201,822,646 | $188,819,543 | ||
| Total Deposits | $391,605,148 | $370,168,314 | ||
| Federal Home Loan Bank advances | $0 | $0 | ||
| Federal Reserve Bank borrowings | $60,000,000 | $60,000,000 | ||
| Subordinated debt | $10,000,000 | $10,000,000 | ||
| Subordinated notes payable to subsidiary trust | $3,093,000 | $3,093,000 | ||
| Accrued interest payable | $203,509 | $133,875 | ||
| Other Liabilities | $2,062,580 | $2,022,314 | ||
| Total Liabilities | $466,964,237 | $445,417,503 | ||
| Shareholder Equity | ||||
| Common Stock ** | $10,502,558 | $10,502,558 | ||
| Retained Earnings | $43,410,831 | $39,905,329 | ||
| Unrealized Gain (Loss) AFS Securities | ($1,576,748) | ($1,661,921) | ||
| Total Shareholders ' Equity | $52,336,641 | $48,745,966 | ||
| Total Liab & Shareholders ' Equity | $519,300,879 | $494,163,469 | ||
| ** Common stock, no par value, 10,000,000 shares authorized and 3,854,364 shares issued and outstanding at 6/30/2026 and 12/31/2025 |
| Consolidated Statements of Net Income | ||||||
| As of 6/30/2026 | ||||||
| Jun-2026 QTD Balance | Jun-2025 QTD Balance | Jun-2026 YTD Balance | Jun-2025 YTD Balance | |||
| Interest Income | ||||||
| Interest & Fees On Loans | $3,973,170 | $3,373,949 | $7,834,994 | $6,695,566 | ||
| Interest on Investment Securities | $1,837,689 | $1,776,975 | $3,757,206 | $3,479,765 | ||
| Other Interest Income | $142,504 | $176,702 | $322,269 | $433,028 | ||
| Total Interest Income | $5,953,363 | $5,327,626 | $11,914,469 | $10,608,359 | ||
| Interest Expense | ||||||
| Interest on Deposits | $1,103,727 | $1,255,426 | $2,190,076 | $2,445,727 | ||
| Interest on Borrowings | $499,262 | $273,228 | $908,151 | $743,147 | ||
| Total Interest Expense | $1,602,989 | $1,528,654 | $3,098,227 | $3,188,874 | ||
| Net Interest Income | $4,350,374 | $3,798,972 | $8,816,242 | $7,419,485 | ||
| Provision For Loan Losses | $0 | ($2,622) | $273,337 | $8,082 | ||
| Net Interest Income After Provision for Loan Losses | $4,350,374 | $3,801,594 | $8,542,905 | $7,411,403 | ||
| Noninterest Income | ||||||
| Service Charges and Fees on Deposit Accounts | $385,628 | $527,202 | $806,860 | $1,033,560 | ||
| Interchange Fees | $118,313 | $110,482 | $228,564 | $216,951 | ||
| Earnings from Bank-Owned Life Insurance | $65,547 | $60,373 | $128,082 | $118,647 | ||
| Merchant Services Processing | $264,685 | $178,751 | $506,808 | $320,047 | ||
| Other Miscellaneous Income | $94,830 | $134,621 | $146,502 | $177,814 | ||
| Total Noninterest Income | $929,003 | $1,011,429 | $1,816,816 | $1,867,019 | ||
| Noninterest Expense | ||||||
| Salaries and Employee Benefits | $1,691,358 | $1,632,294 | $3,485,644 | $3,220,764 | ||
| Occupancy and Equipment | $222,258 | $219,906 | $434,606 | $401,359 | ||
| Merchant Services Processing | $129,020 | $69,552 | $246,780 | $146,593 | ||
| Other Expenses | $704,879 | $736,190 | $1,315,085 | $1,466,453 | ||
| Total Noninterest Expense | $2,747,515 | $2,657,942 | $5,482,115 | $5,235,169 | ||
| Income Before Income Tax Expense | $2,531,862 | $2,155,080 | $4,877,605 | $4,043,251 | ||
| Provision For Income Tax | $712,588 | $614,855 | $1,372,103 | $1,150,750 | ||
| Net Income | $1,819,274 | $1,540,225 | $3,505,502 | $2,892,501 | ||
| Basic earnings per share | $0.47 | $0.40 | $0.91 | $0.75 | ||
| Diluted earnings per share | $0.47 | $0.40 | $0.91 | $0.75 | ||
| Financial Highlights | |||||||||||||
| As of 6/30/2026 | |||||||||||||
| Jun-2026 QTD | Jun-2025 QTD | Jun-2026 YTD | Jun-2025 YTD | ||||||||||
| Key Financial Ratios | |||||||||||||
| Annualized Return on Average Equity | 14.24% | 13.85% | 14.00% | 13.28% | |||||||||
| Annualized Return on Average Assets | 1.55% | 1.40% | 1.51% | 1.32% | |||||||||
| Net Interest Margin | 3.94% | 3.68% | 4.04% | 3.59% | |||||||||
| Core Efficiency Ratio | 52.04% | 55.25% | 51.56% | 56.37% | |||||||||
| Net Chargeoffs/Recoveries to Average Loans | -0.00% | -0.00% | -0.01% | -0.00% | |||||||||
| 3 month ended Jun-2026 QTD Avg | 3 month ended Jun-2025 QTD Avg | Jun-2026 YTD Avg | Jun-2025 YTD Avg | ||||||||||
| Average Balances | |||||||||||||
| (thousands, unaudited) | |||||||||||||
| Average assets | $471,326 | $440,184 | $468,154 | $442,199 | |||||||||
| Average interest-earning assets | $442,934 | $414,576 | $439,714 | $416,766 | |||||||||
| Average interest-bearing liabilities | $245,555 | $221,881 | $241,707 | $226,466 | |||||||||
| Average gross loans | $240,180 | $206,619 | $233,710 | $207,296 | |||||||||
| Average deposits | $369,474 | $369,282 | $370,986 | $363,382 | |||||||||
| Average equity | $51,257 | $44,617 | $50,479 | $43,924 | |||||||||
| Jun-2026 QTD | Dec-2025 YTD | ||||||||||||
| Credit Quality | |||||||||||||
| Non-performing loans | $1,180,393 | $707,106 | |||||||||||
| Non-performing loans to total loans | 0.49% | 0.32% | |||||||||||
| Non-performing loans to total assets | 0.23% | 0.14% | |||||||||||
| Allowance for credit losses to total loans | 2.15% | 2.23% | |||||||||||
| Nonperforming assets as a percentage of total loans and OREO | 0.49% | 0.32% | |||||||||||
| Allowance for credit losses to non-performing loans | 440.70% | 695.15% | |||||||||||
| Other Period-end Statistics | |||||||||||||
| Shareholders equity to total assets | 10.08% | 9.86% | |||||||||||
| Net Loans to Deposits | 60.36% | 58.13% | |||||||||||
| Non-interest bearing deposits to total deposits | 48.46% | 48.99% | |||||||||||
| Company Leverage Ratio | 12.09% | 11.70% | |||||||||||
| Core Deposits / Total Deposits | 96.10% | 96.96% |
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