Riverview Bancorp on Thursday reported a net loss of $1.3 million, or 12 cents per share, in the quarter ending Dec. 31. That’s compared with a profit of $202,000, or 2 cents per share, in the previous quarter.
Total nonperforming loans held steady at $36.4 million in the quarter, up slightly from $36.1 million in the previous quarter. And the number of delinquent loans declined 60 percent, signaling that the bank’s credit quality is starting to stabilize, according to the bank. But the bank increased its loan loss allowance by $4.5 million to $18.9 million, or 2.47 percent of total loans in the quarter. That’s compared with a 2.41 percent ratio in September and 1.97 percent in the same quarter a year ago.
“While the housing market in Southwest Washington and Portland is not in the free fall that it was six months ago, it still remains under stress, causing us to continue to build our allowance for loan losses,” said Dave Dahlstrom, executive vice president and chief credit officer at Riverview.
