Newport Balboa S&L; Posts Record Year of Earnings

Newport Balboa Savings & Loan Assn. of Newport Beach reported net income for 1985 of $4.6 million--its fourth straight year of record earnings and a 53% increase over the previous year’s net income of $3 million.

The 7-year-old S&L;, a wholly owned subsidiary of ITT Financial Corp., posted the hefty profits as it changed over from a mortgage banking operation to an institution with its own loan portfolio, said Fredric J. Forster, president of the S&L.;

By keeping the loans it originates, the S&L; has seen its assets jump and its net worth drop slightly. At year-end 1985, the S&L;’s assets had grown to $271.8 million, a 44.3% increase over the $188.35 million in assets a year earlier.

Newport Balboa’s net worth declined to 7.5% from 9.2% a year earlier, but the lower net worth is still above the 3% minimum required by federal regulators.