West Bancorp cautious despite stronger earnings

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Corridor Business Journal: West Bancorporation, the parent company of West Bank, reported stronger second-quarter net income, while citing uncertainty over COVID-19 for a decision to break its string of annual dividend increases. The West Des Moines-based company reported net income of $8 million, or 48 cents per diluted share, up from $6.7 million, or 41 cents per share, in the second quarter of 2019. Loans outstanding increased 13.3% due largely to the volume of Paycheck Protection Program loans originated, and credit quality remained strong. COVID-19 is expected to have an adverse effect on West Bancorporation’s loan pipeline and loan portfolio credit quality during the remainder of 2020, the company said, as disruption to customers could result in increased loan delinquencies and defaults, and a decline in overall loan demand.