-
The most international of the megabanks surprised analysts with a strong quarter Thursday, despite unrest in some of its distant markets. Citi execs see a slowdown coming in its emerging markets but say there is no reason to panic yet.
October 15 - Ohio
Fifth Third Bancorp in Cincinnati reported a higher third-quarter profit, although the restructuring of a commercial credit cut into the results.
October 20 -
A number of New York banks are stepping away from medallion lending as delinquencies rise and competition for fares intensifies.
September 28
Signature Bank in New York reported higher profit in the third quarter, as loan growth offset issues in its taxi medallion portfolio.
The $32 billion-asset company said in a press release Tuesday that its net income rose 25% from a year earlier, to $96.2 million. Earnings of $1.88 a share topped the average estimate of analysts polled by Bloomberg by 6 cents.
Net interest income increased 21%, to $239 million. Total loans rose 34%, to $22 billion, while the net interest margin compressed by 3 basis points, to 3.22%.
The loan-loss provision rose by 48%, to $11.4 million. Loan growth was a factor, but Joseph DePaolo, the company’s chief executive, also said during a conference call to discuss the quarterly results that the company had seen “further weakening” in its taxi medallion portfolio.
Noninterest income fell 2.5%, to $7.9 million, because of lower net gains on the sale of loans and a decrease in commissions.
Noninterest expense rose 16%, to $86 million, because of higher salaries and benefits, occupancy costs, data processing fees and FDIC assessment fees. The company reported a 33.4% efficiency ratio.
