The Porter Bancorp Inc. (PBI) posted a third quarter net loss of $849,000, equivalent to 12-cent per share, compared to the $168,000 net loss or 1-cent a share the previous year.
So far, the company has posted a 7.37 million dollar loss or 73-cent for every mutual diluted share, from last year’s 1.08 million dollar loss or 20-cent per mutual diluted share. The rise in the company loss shadowed a reaffirmation of its earnings for the second quarter.
The restatement transmits to the latest fair value assessments of commercial property attained by the company under agreement terms that reached June 24 of the current year, along with a debtor whom Porter had argumentative collection litigation. Thus, the earnings for the second part were mainly revised due to such matters, according to PBI’s meeting with the United States Securities and Exchange Commission.
The litigation’s adversarial nature hindered the bank to obtain the latest information substantial to the evaluation of the property, possessing it shortly prior to the second quarter ending.
PBI has noticed developments in asset quality, recording its non-performing assets ratio of overall assets equivalent to 9.62% during the third quarter, falling 14.33% in last year’s same period.
PBI continually complies with a permission order that has been agreed upon with the Kentucky Department of Financial Institutions and the Federal Deposit Insurance Corp, outlining an order to enhance asset quality, while reducing loan concentrations. The banking firm has been complying with the order for the past 10 quarters as reported.