California First National posts decline for Q2 EPS

Jennifer Schonberger | Jan 22, 2008 12:37pm EST | Comment

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Shares of California First National Bancorp (Nasdaq: CFNB) are rallying in light of the Federal Reserve’s interest rate cut, despite posting a 40% decline in its fiscal second-quarter earnings.

For the three months ended Dec.31, 2007, the Irvine, Calif.-based bank recorded earnings of $0.16 per share, down from $0.27 per share for the second quarter of last year. No analysts’ estimates were available.

For the first six months of fiscal 2008, the small cap reported earnings per share were $0.34, down 24% from $0.44 per share for the same period of fiscal 2007.

California First National attributed the large percentage decline in second quarter and six-month net earnings to prior-period results, which included the contribution of $1.4 million in pre-tax income from the recovery and resolution of problem accounts and the recognition of accelerated income on early terminations. Excluding these, the bank said that for the six months, the decline in net income would have been less than 10%.

Total direct finance, loan and interest income for the second quarter decreased 2.5% to $7 million from $7.2 million in the second fiscal quarter of 2007.

California First National Bancorp is a holding company for California First Leasing Corporation, Amplicon, Inc. and California First National Bank, which engage in leasing and banking activities in the United States.

Shares of California First National Bancorp (CFNB) gained $1.56, or 15.76%, to $11.46 at 12:29 p.m. ET. Shares of California First National Bancorp have been trading in the range of $8.30 to $15.44 for the past 52 weeks.

No analysts were available for comment.