Meadows Bank said Friday that it tripled its third-quarter profit after selling government-backed loans.
The loans “netted us a lot of money," CEO Arvind Menon said.
The Las Vegas community bank earned $1.1 million of net income in the three months ending Sept. 30, Menon said. That’s up from $354,000 during the same period last year.
The bank, which has three branches and about $304 million of assets, grew its loan portfolio by 28 percent this past year to about $220 million. Deposits grew by 26 percent to $252 million.
Menon attributed the soaring profits to the sale of Small Business Administration-backed loans. The loans are popular with banks and investors because the government support reduces the risk of losing money if the borrower defaults.
According to Menon, this was the most profitable quarter since the bank’s March 2008 inception.