Luther Burbank reports increase in 2019 net income
The parent company of Luther Burbank Savings of Santa Rosa reported an 8% increase in net income in 2019 compared to the previous year.
Luther Burbank Corp., which released quarterly and last year’s earnings late Tuesday, credited strong growth and yield in its investment portfolio for the $48.9 million in net income for last year compared to $45.1 million in 2018. For the fourth quarter, the banking company had net income of $12.5 million, a 18% increase from the $10.6 million during the same October-to-December period in 2018.
The bank has carved out a niche through the years with affluent customers by paying higher interest rates for deposits compared to competitors. It uses those deposits to make loans in the real estate sector, specifically for apartment housing.
Its total assets at the end of 2019 was $7 billion, a $107 million increase from 2018. The bank plans to open a new location by the end of March in El Segundo, giving it 11 branches overall.