San Diego Business Journal

BofI Holding Inc. Reports Net Income Up 40.5% for Q3

By Mike Allen Tuesday, May 6, 2014

BofI Holding Inc., parent of San Diego-based BofI Federal Bank, reported fiscal 2014 third quarter net income of $14.6 million, up 40.5 percent from the like quarter of 2013.

It was BofI’s ninth consecutive quarter of record profit, and would be higher if it didn’t include after tax impacts on the sale of some securities, the bank said.

For the nine months ended March 31, BofI reported net income of $39.9 million, up from $29.1 million for the like period of 2013.

BofI increased its loan portfolio by $906 million over the 12 months to this March, helping boost total assets to $3.85 billion, up 30 percent. It’s the area’s second largest commercial bank, trailing only California Bank & Trust, with about $11 billion in assets.

CEO Greg Garrabrants said the bank’s portfolio should continue to expand, and those loans are carefully made. The average loan to value is 65 percent. Nonperforming assets are down to only 0.5 percent of total assets, from 0.71 percent a year earlier.

Last month, BofI agreed to buy H&R Block Bank, assuming some $500 million in new deposits. Regulatory approval is pending.