Plumas Bancorp reports record third quarter, year-to-date results

Plumas Bancorp, the parent company of Plumas Bank, has announced earnings of $7.2 million for the third quarter of 2022, an increase of $650 thousand over the third quarter of 2021.

For the nine month period through September, the bank reported net income of $18.6 million, an increase of $3.1 million over the same period the year prior. Earnings during 2022 set a record for any quarter or nine-month period in the bank’s history.

Balance Sheet Highlights
September 30, 2022 compared to September 2021

  • Total assets increased by $82 million, or 5%, to $1.7 billion.
  • Gross loans increased by $19 million, or 2%, to $858 million.
  • Investment securities increased by $108 million, or 39%, to $383 million.
  • Total deposits increased by $107 million, or 8%, to $1.5 billion.
  • Non-performing assets decreased by $3.6 million or 66%, to $1.9 million

Andrew J. Ryback, director, president and chief executive officer of Plumas Bancorp and Plumas Bank stated, “The third quarter of 2022 resulted in record earnings mostly due to rising interest rates. Additionally, average interest earning assets grew by 11%. Non-performing assets to total assets at just 0.11% remain below regional and national peer averages. Plumas stands strong in the face of a probable recession and continues to closely monitor the credit portfolio.”

Recently, Plumas Bank was recognized by three leading financial industry groups:

  • The bank has received awards for the past 8 years from CB Resources. The CB Top Ten™ reported that Plumas Bank ranked 25th in the nation in C-Corp $1 – 5 billion peer group for the 2nd Quarter of 2022. The CB Top Ten™ is a community bank performance scorecard that identifies the banks in the top 10 percent based on asset size and corporation type.  Banks are ranked by the following key performance indicators: asset growth, return on average assets, return on average equity, net interest margin, efficiency ratio, non-performing assets, non-interest bearing deposits, and non-interest income.
  • Piper Sandler Sm-All Stars Class of 2022 – Plumas Bancorp was named one of 35 publicly traded banks and thrifts to the Piper Sandler Sm-All Stars Class of 2022.  Sm-All Stars identifies the highest quality, top performing small-cap banks and thrifts in the country. To earn Sm-All Star status, companies must have a market capitalization below $2.5 billion and demonstrate strong metrics with regard to growth, profitability, credit quality, and capital strength. This is the fourth time th bank has earned this award after previously being chosen in 2018, 2019 and 2020.
  • Plumas Bank was ranked 8th in the nation in ICBA’s Top Lenders for 2022 – based on lending concentration and loan growth for the $1 billion+ category for agricultural loans.

Ryback commented, “We are honored to be recognized by these prestigious financial industry organizations and realize that it is due to the commitment and diligence of our Board of Directors, executives, and team members as well as the loyalty and support of our clients that make these achievements possible.”

Loans, deposits, investments and cash

Gross loans, excluding loans held for sale, increased by $19 million, or 2%, from $839 million in 2021 to $858 million in 2022. Increases in loans included $55 million in commercial real estate loans, $16 million in construction loans, $6 million in residential real estate loans and $3 million in all other loans; these items were partially offset by decreases of $51 million in commercial loans and $10 million in agricultural loans. Excluding PPP loan activity, commercial loans would have increased by $8 million and gross loans would have increased by $78 million or 10%. PPP loans totaled $1 million at Sept. 30, 2022, and $60 million on September 30, 2021. Unamortized loan fees net of unamortized loan costs on PPP loans totaled $52 thousand at September 30, 2022.

Beginning in 2020 the bank instituted a loan forbearance program to assist borrowers with managing cash flows disrupted due to COVID-19; this program ended in the fourth quarter of 2021 and there are no loan balances on deferral related to this program remaining.

Total deposits increased by $107 million, from $1.4 billion in 2021, to $1.5 billion at for the same period in 2022. The increase in deposits includes increases of $68 million in demand deposits and $70 million in savings accounts. These increases were partially offset by declines of $20 million in money market accounts, and $11 million in time deposits. As of Sept. 2022, 53% of the Company’s deposits were in the form of non-interest bearing demand deposits. The bank has no brokered deposits.

Total investment securities increased by $108 million from $275 million at to $383 million at in 2022. Excluding the effect of a $64 million increase in unrealized loss on investment securities, the bank stated its investment security portfolio would have grown by $172 million. The security portfolio consists of debt securities issued by the US Government, US Government agencies, US Government sponsored agencies and municipalities.

Asset Quality

Nonperforming assets (which are comprised of nonperforming loans, other real estate owned (“OREO”) and repossessed vehicle holdings) for the nine months in 2022, were $1.9 million, down from $5.5 million from the previous year. Nonperforming assets as a percentage of total assets decreased to 0.11%, down from 0.35% for the first nine months in 2021. OREO decreased by $200 thousand from $569 thousand to $369 thousand; nonperforming loans were $1.5 million compared to $4.9 million; and nonperforming loans as a percentage of total loans decreased to 0.17% compared to 0.58% the year prior.

Plumas Bancorp is headquartered in Reno. Plumas Bancorp’s principal subsidiary is Plumas Bank, which was founded in 1980. Plumas Bank is a full-service community bank headquartered in Quincy. The bank operates fourteen branches: twelve located in the California counties of Lassen, Modoc, Nevada, Placer, Plumas, Shasta and Sutter and two branches located in Nevada, one in Reno and the other in Carson City. The bank also operates three loan production offices located in the California counties of Butte and Placer and  one in Klamath Falls, OR. Plumas Bank offers a wide range of financial and investment services to consumers and businesses and has received nationwide Preferred Lender status with the United States Small Business Administration. For more information go to