Newport Balboa S&L; Reports Record Nets

A low cost of funds and reduced administrative expenses helped give Newport Balboa Savings & Loan Assn. in Newport Beach record net incomes for its third quarter and first nine months, the S&L; said.

Newport Balboa’s quarterly net income grew 27.3% to $1.4 million from $1.1 million in last year’s third quarter. Net earnings in the first nine months rose 44.8% to $4.2 million from $2.9 million in the same period last year.

Fredric J. Forster, the S&L;’s president, also attributed the association’s strong performance to better performing loans and reduced foreclosures. The real estate acquired by the S&L; through foreclosures was valued at only $46,724 at the end of the quarter, compared to $300,418 a year earlier.

At the end of September, Newport Balboa’s assets were $314.3 million, a 36.7% increase from the $229.9 million in assets a year earlier. The S&L;’s total loans grew 39.9% to $287.5 million from $205.5 million a year ago, and its total deposits rose 10% to $185.3 million from $168.5 million on September 30, 1985.

The association is a subsidiary of ITT Financial Corp. in St. Louis, Mo., and its parent, ITT Corp. in New York.