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Signature Bank in New York has opened a private banking office in Greenwich, Conn.
March 20 -
Comerica reported strong loan growth across many of its business lines in the first quarter, but it's the bank's exposure to the energy sector that continues to draw the most attention from analysts and investors.Energy-Related Exposure Surfaces in Pacwest's Earnings.
April 17 -
Some banks appear to be aggressively pursuing loan growth at the expense of profits these days. But banks like M&T and Westamerica say they are slowing things down, hoping the caution will translate into better credit quality in the long run.
April 20
The first quarter was another banner one for Signature Bank in New York.
Loans and deposits grew at a brisk pace, credit quality remained superb and the $28.6 billion-asset company finished the period with $123.7 million more in capital than it started a total of $2.6 billion.
Best of all, on the bottom line, New York-based Signature reported record net income of $83.4 million, topping its 2014 first-quarter result by 26%. Its earnings per share of $1.64 came in 5 cents higher than the estimates of analysts polled by Bloomberg.
The results were fueled largely by record loan growth. Average loans increased 8% from the three months earlier and 36% year over year, to $19.3 billion, as the bank continued to recruit teams of bankers from rival institutions. In turn, net interest income climbed more than 19% year over year, to $222.5 million. The bank's net interest margin fell 13 basis points from the year prior, to 3.26%, but increased slightly from three months earlier.
As for credit quality, nonaccrual loans declined 23% year over year, to $27.8 million, or 0.14% of total loans and the bank's loan-loss provision decreased nearly 4%, to $7.9 million. However, the bank reported chargeoffs of $1.5 million in the quarter, compared to net recoveries of $244,000 in the same quarter last year.
Signature's shares were up 4.3% in early trading Tuesday, to $134.43.
