-US Signature Bank books record net income in Q1 2012.
BANKING AND CREDIT NEWS-April 24, 2012--US Signature Bank books record net income in Q1 2012(C)2012 M2 COMMUNICATIONS http://www.m2.com
24 April 2012 - US lender Signature Bank (NASDAQ:SBNY) on Tuesday said its net income hit a record high of USD42.4m (EUR39.2m) in the first three months of the year, against USD34.6m in the corresponding period last year.
Diluted earnings per share jumped to USD0.90 in the period from USD0.82 in the first three months of 2011. The solid growth in profit mainly reflected a 22.3% rise in net interest income to USD126.8m in the period, on the back of a 24.4% increase in average interest-earning assets to USD14.58bn. The bank's provision for loan losses eased 13.5% to USD10.7m in the period.
However, non-interest income fell to USD9.1m from USD15.1m in the same period last year, when the bank booked a USD5.3m gain on the sale of an SBA interest-only strip security. In addition, non-interest expense increased 12.7% to USD50.4m in the period.
Average loans, excluding loans held for sale, grew 30.2% on the year to USD7.06bn at the end of March 2012. Non-accrual loans were 0.48% of total loans at the end of the period, against 0.69% a year earlier. Net charge-offs were 0.29% of average loans on an annualised basis, down from 0.49% in the first quarter of 2011.
Deposits increased 22.7% on the year to USD12.5bn as at 31 March, while the bank's total assets stood at USD15.28bn at the end of March 2012, versus USD12.38bn last year. The lender's Tier 1 risk-based capital ratio was around 16.86% at the end of March 2012, up from 13.87% a year earlier.
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|Publication:||M2 Banking & Credit News (BCN)|
|Date:||Apr 24, 2012|
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