San Diego Trust Bank continued its profitability streak, racking up its 27th straight quarter of net income for the second quarter with $267,000 compared with $226,000 for the like quarter of 2010.

For the six months, the bank reported net income of $569,000, compared with $408,000 for the first half of 2010.

San Diego Trust’s assets grew 17 percent from a year earlier to $201.9 million, while loans declined by $10 million to $40 million.

CEO Mike Perry said about $8 million of the net decrease in the portfolio was the result of pay downs on lines of credit. “Our actual loan average for the quarter was $46 million, but we had about $5 million on pay downs the last day of the quarter,” he said.

Deposits increased 19 percent to $171 million from mid-2010, but were at the same level as the end of last year.

The three-office bank is sitting on gobs of capital with total risk-based capital ratio at the end of June at 26.41 percent, nearly three times the amount to qualify as a well-capitalized institution. And the bank loan portfolio held zero problem loans.

— Mike Allen