Redding-based North Valley Bancorp, parent company of North Valley Bank, reported net income of $580,000, or 8 cents per share, in the third quarter ended Sept. 30.
That was down sharply from a profit of $4 million, or 59 cents a share, in last year’s third quarter. Through nine months, profits totaled $2.7 million, or 40 cents a share, compared with net income $5.7 million, or 84 cents a share, in the year-ago period.
The banking company noted that its 2012 profits were boosted by a nearly $3 million benefit for income taxes as a result of a $4.2 million release of the deferred tax asset valuation allowance that was established in the third quarter of 2010.
While declining, the bank’s allowance for loan losses remains relatively high: $9.3 million as of Sept. 30, compared with $11.4 million on Sept. 30, 2012.
North Valley has 22 Northern California commercial bank offices, including offices in Placer and Yolo counties.
Call The Bee’s Mark Glover, (916) 321-1184.