Welcome!

News Feed Item

City National Bank Reports First Quarter 2014 Results; Earnings Rise on Lending and Deposit Growth

CNB Surpasses $5 Billion Asset Mark

MIAMI, FL--(Marketwired - April 29, 2014) - City National Bank of Florida (CNB) announced strong financial results for the first quarter of 2014, driven by robust lending and deposit growth.

For the quarter ending March 31, 2014, pre-tax income was $18.9 million, compared to $15.5 million in the first quarter of last year. The bank reported net income of $11.6 million for the first quarter, up from $9.5 million for the first quarter of 2013. Core earnings were $17.9 million in the first quarter, compared to $14.4 million in the same quarter a year ago. 

"Our continued strong financial performance confirms that we are providing our clients and the marketplace with the services and value they desire," CNB President and CEO Jorge Gonzalez said. "City National Bank's unique commitment to service, relationship banking and local decision-making continues to be well received by the marketplace."

Assets grew by $378 million to $5.1 billion as the bank surpassed the $5 billion asset benchmark, continuing a path of steady, disciplined growth.

"Our commitment to supporting our clients is our number one priority," Gonzalez said. "This outstanding financial performance and sustainable growth is a testament to that philosophy."

CNB's asset quality and capital levels remained among the best in the industry. Non-accrual loans dropped to $14.5 million, from $19.5 million a year ago. Non-accrual loans to total loans dropped to 0.48 percent in the first quarter from 0.78 percent in March 2013. As of March 31, the company had total Tier 1 Capital of $559.5 million. CNB's Tier 1 Leverage Capital Ratio was 12.43 percent and Total Risk Based Capital Ratio was 19.28 percent.

The bank's loan portfolio grew by $406 million, almost 17 percent, since the first quarter of 2013. The loan growth was spearheaded by business and real estate lending.

City National Bank also remains focused on serving the needs of condominium and homeowner associations, a potential growth segment for the bank. The bank has been active in the association segment for decades, meeting the depository and lending needs of associations throughout the communities it serves.

CNB is also actively pursuing expanded lending opportunities for small businesses, the core of our state's economy. The bank has already seen success with new SBA lending products launched earlier this year.

"As the economy continues to strengthen, City National Bank is here to help our clients with their business expansion needs that will continue to fuel economic growth in our community," Gonzalez said. "We are uniquely positioned as a locally-based community bank with size and scale that uniquely positions us to deploy technology, recruit and retain top talent, and deliver new product offerings in line with the needs of our clients."

Deposits also increased by $395 million during the previous 12 months. Deposits totaled $3.9 billion at the end of the first quarter, compared to $3.15 billion at the end of the first quarter of 2013.

1Q Financial Highlights

  • Assets increased by $378 million in the last 12 months.
  • New loan commitments totaled $265 million in the first quarter.
  • Loans grew by $406 million in the last 12 months.
  • Core earnings before securities gains were $17.7 million in the first quarter, compared to $13.4 million in the same year-ago quarter.

Banco de Credito e Inversiones (Bci), the third largest bank in Chile, has agreed to acquire the Miami-based bank. The acquisition recently received approval of the Superintendency of Banks and Financial Institutions of Chile and the Central Bank of Chile. The purchase is set to close pending approval of the Federal Reserve.

The bank's financial strength and stability was recently recognized with another 5-star "Superior" rating, the highest possible, from BauerFinancial, the leading bank ratings firm. City National Bank has earned this distinction for eight consecutive quarters.

The bank has also received a number of honors recently, including the Best Business Bank, Best Community Bank, Best Bank for Jumbo Loans and Best Bank for Commercial Real Estate Lending by the readers of the Daily Business Review. CNB also received the South Florida Business Journal's Business of the Year Award as well as the Community Bank of the Year Award.

City National Bank's key financial performance metrics include: 

                        First Quarter 2014       First Quarter 2013  
                        ---------------------------------------------
Pre-tax Income          $18.9 million            $15.5 million       
Gross Loans             $2.93 billion            $2.52 billion       
Total Deposits          $3.9 billion             $3.5 billion        

Capital Ratios and Liquidity

CNB's capital position continued to strengthen in the first quarter of 2014 with $559.5 million, compared to $488.1 million in the first quarter of 2013.

Tier 1 Leverage Capital Ratio   12.43%  5% is considered well capitalized   
Tier 1 Risk Based Capital Ratio 18.02%  6% is considered well capitalized   
Total Risk Based Capital Ratio  19.28%  10% is considered well capitalized  

CNB continues to be one of the most liquid banks in Florida with excess liquidity of $1.3 billion.

Asset Quality

The bank's superior asset quality continued to improve in the first quarter of 2014 with non-accrual loans dropping to $14 million, down from $19.5 million in March 2013.

Allowance to total loans        1.83%   Among the highest in the state      
Allowance to Non-Accrual Loans  382%    One of the highest in the industry  

Other key indicators of asset quality:

  • Non-accrual loans to total loans declined to 0.48%
  • Non-performing loans to capital declined to 2.29%

About City National Bank of Florida

Headquartered in Miami, City National Bank (CNB) is the financial institution to which Floridians have turned for more than 65 years. With more than $5.1 billion in assets, CNB is the fifth-largest financial institution based in the state. City National Bank is one of the most liquid and best capitalized banks in Florida and is rated 5 stars "Superior" by BauerFinancial. CNB was voted Best Community Bank, Best Business Bank, Best Bank for Commercial Real Estate, Best Bank for Jumbo Loans and a top private bank by the readers of the Daily Business Review. The South Florida Business Journal named it Business of the Year in 2013 and Community Bank of the Year in 2013 and 2011. CNB offers a diversified portfolio of financial products and services at 26 convenient banking centers from Miami-Dade County to the greater Orlando area.

CONTACT:
Eddie Dominguez
(305) 577-7315
[email protected] 

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory? In her Day 2 Keynote at @DevOpsSummit at 21st Cloud Expo, Aruna Ravichandran, VP, DevOps Solutions Marketing, CA Technologies, was jo...
Blockchain. A day doesn’t seem to go by without seeing articles and discussions about the technology. According to PwC executive Seamus Cushley, approximately $1.4B has been invested in blockchain just last year. In Gartner’s recent hype cycle for emerging technologies, blockchain is approaching the peak. It is considered by Gartner as one of the ‘Key platform-enabling technologies to track.’ While there is a lot of ‘hype vs reality’ discussions going on, there is no arguing that blockchain is b...
As Marc Andreessen says software is eating the world. Everything is rapidly moving toward being software-defined – from our phones and cars through our washing machines to the datacenter. However, there are larger challenges when implementing software defined on a larger scale - when building software defined infrastructure. In his session at 16th Cloud Expo, Boyan Ivanov, CEO of StorPool, provided some practical insights on what, how and why when implementing "software-defined" in the datacent...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
ChatOps is an emerging topic that has led to the wide availability of integrations between group chat and various other tools/platforms. Currently, HipChat is an extremely powerful collaboration platform due to the various ChatOps integrations that are available. However, DevOps automation can involve orchestration and complex workflows. In his session at @DevOpsSummit at 20th Cloud Expo, Himanshu Chhetri, CTO at Addteq, will cover practical examples and use cases such as self-provisioning infra...
Leading companies, from the Global Fortune 500 to the smallest companies, are adopting hybrid cloud as the path to business advantage. Hybrid cloud depends on cloud services and on-premises infrastructure working in unison. Successful implementations require new levels of data mobility, enabled by an automated and seamless flow across on-premises and cloud resources. In his general session at 21st Cloud Expo, Greg Tevis, an IBM Storage Software Technical Strategist and Customer Solution Architec...
The need for greater agility and scalability necessitated the digital transformation in the form of following equation: monolithic to microservices to serverless architecture (FaaS). To keep up with the cut-throat competition, the organisations need to update their technology stack to make software development their differentiating factor. Thus microservices architecture emerged as a potential method to provide development teams with greater flexibility and other advantages, such as the abili...
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, discussed some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he covered some of the best practices for structured team migration an...
Product connectivity goes hand and hand these days with increased use of personal data. New IoT devices are becoming more personalized than ever before. In his session at 22nd Cloud Expo | DXWorld Expo, Nicolas Fierro, CEO of MIMIR Blockchain Solutions, will discuss how in order to protect your data and privacy, IoT applications need to embrace Blockchain technology for a new level of product security never before seen - or needed.
The use of containers by developers -- and now increasingly IT operators -- has grown from infatuation to deep and abiding love. But as with any long-term affair, the honeymoon soon leads to needing to live well together ... and maybe even getting some relationship help along the way. And so it goes with container orchestration and automation solutions, which are rapidly emerging as the means to maintain the bliss between rapid container adoption and broad container use among multiple cloud host...
Blockchain is a shared, secure record of exchange that establishes trust, accountability and transparency across business networks. Supported by the Linux Foundation's open source, open-standards based Hyperledger Project, Blockchain has the potential to improve regulatory compliance, reduce cost as well as advance trade. Are you curious about how Blockchain is built for business? In her session at 21st Cloud Expo, René Bostic, Technical VP of the IBM Cloud Unit in North America, discussed the b...
In his general session at 21st Cloud Expo, Greg Dumas, Calligo’s Vice President and G.M. of US operations, discussed the new Global Data Protection Regulation and how Calligo can help business stay compliant in digitally globalized world. Greg Dumas is Calligo's Vice President and G.M. of US operations. Calligo is an established service provider that provides an innovative platform for trusted cloud solutions. Calligo’s customers are typically most concerned about GDPR compliance, application p...
Imagine if you will, a retail floor so densely packed with sensors that they can pick up the movements of insects scurrying across a store aisle. Or a component of a piece of factory equipment so well-instrumented that its digital twin provides resolution down to the micrometer.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settle...
The cloud era has reached the stage where it is no longer a question of whether a company should migrate, but when. Enterprises have embraced the outsourcing of where their various applications are stored and who manages them, saving significant investment along the way. Plus, the cloud has become a defining competitive edge. Companies that fail to successfully adapt risk failure. The media, of course, continues to extol the virtues of the cloud, including how easy it is to get there. Migrating...