Coast Savings Financial, parent of Coast Federal...

Coast Savings Financial, parent of Coast Federal Bank, reported that its third-quarter profit fell to $3.5 million, or 21 cents a share, from $6.8 million, or 43 cents, a year earlier.

Although net income fell, the Los Angeles thrift’s operational-profit picture improved because year-earlier earnings were the result of an $18.9-million, one-time gain stemming from a city business license tax refund.

The results reflect a continuing improvement by Coast. The thrift noted that its capital ratios are improving, basic earnings remain strong and problem loans fell for the sixth consecutive quarter. The thrift also indicated that a recent regulatory examination went well. It did not elaborate.