| Growth at Pilgrim Bank and Melrose Bank, two banks that completed initial public offerings in 2014, has been slowing significantly over the last year and even more so this year, according to FDIC data and call reports.
Pilgrim Bank reported $262 million in total assets at the end of the third quarter on Sept. 30, up $4 million from the previous quarter and $12 million year-over-year. But between Sept. 30, 2015, and Sept. 30, 2016, the bank grew total assets $53 million.
Melrose Bank reported $280 million in total assets at the end of the third quarter, which is a decline of roughly $9 million in total assets from the previous quarter, but up $18 million year-over-year. In comparison, between Sept. 30, 2015, and Sept. 30, 2016, the bank grew its assets $43 million.
Both banks saw most of their loan growth from loans secured by one- to four-family residential properties, and still reported strong asset quality with both having a provision for loan losses in the third quarter of less than $100,000. Both banks also had high total capital ratios at the end of the third quarter, With Melrose’s at 19.6 percent and Pilgrim’s just above 15 percent.
October was the first month that both banks were eligible for acquisition by another institution, having completed their state-mandated three-year waiting period since making an initial public offering.
