Landmark National Bank, based in Solana Beach and with two offices, reported net income of $711,000 for the nine months ended Sept. 30, compared to $82,000 for the like period of 2005.
The bank that acquired Legacy Bank of La Jolla last year is one of the few local lenders that has been shrinking in size over the year. Total assets at the end of the third quarter were $116.7 million, down from $124.3 million for the same period of 2005.
Loans dropped to $83.7 million from $86.6 million, and deposits decreased to $94 million from the prior year’s $104.5 million.
The bank reported no problem loans, but its profits to size ratio, or return on average assets, was 0.77 percent through the end of September. Still, it’s better than last year when ROA was a mere 0.12 percent.
CEO Rick Mandlebaum said the bank has been stabilizing as its gets a better handle on its expenses. The shrinking is also a consequence of a slower economy, and shifting its portfolio from real estate-based lending to more business loans.
The bank recently hired two veteran commercial loan officers, a strategy Mandlebaum said he intends to pursue for next year.
, Mike Allen
