Silvergate Bank, based in San Diego and with five branches, reported fourth quarter net income of $2.5 million compared with $2.36 million for the like quarter of 2011.

For the full year, Silvergate reported record net income of $7.4 million, up 140 percent from 2011. The bank said it was the 15th consecutive year of profitable operations.

Chairman Dennis Frank said the record results were a product of both the diversified revenue streams the bank has built and its success in its core commercial banking activities.

Loan fundings of $16 million in the past quarter increased the bank’s commercial loan portfolio to $203 million, up 25 percent from the like quarter of 2011.

Silvergate’s mortgage lending division, which lends to small mortgage banks, made $815 million in loans in the fourth quarter, bringing total fundings to about $2.3 billion for the year.

Capital ratios at Silvergate remain solid, with total risk-based capital at 15.66 percent, above the 10 percent minimum to be considered well-capitalized.

— SDBJ Staff Report