First Citizens Bancshares Inc. of Raleigh reported a sharp decline in fourth-quarter earnings, citing a jump in credit costs.
The $16.7 billion-asset company said profits fell 40% from the third quarter and 50.8% from a year earlier, to $12.9 million. The loan-loss provision rose fell 49% from the third quarter but rose 87.7% from a year earlier, to $10.3 million.
Net chargeoffs rose 55.2% from the third quarter and 114% from a year earlier, to $18 million, largely because of retail and residential construction loans. Nonperforming assets rose 15.3% from the third quarter and 260% from a year earlier, to $71.7 million.
