Berkshire Hills Bancorp in Pittsfield, Mass., reported higher quarterly profit driven by loan and deposit growth and expense reductions.
The $8 billion-asset company said in a press release Monday that net income increased 59% from a year ago to $16 million, or 52 cents a share.
Net interest income rose 9% to $57.4 million. Total loans increased 2% to $6 billion, and deposits rose by 6% to $5.7 billion. The net interest margin widened by 1 basis point to 3.31%.
-
Berkshire Hills Bancorp is buying a bank with a national mortgage platform. The company hopes the business will provide a much-needed lift in fee income.
July 1 -
Berkshire Hills Bancorp in Pittsfield, Mass., has agreed to buy First Choice Bank in Lawrenceville, N.J.
June 27
Noninterest income fell 13% to $14.6 million, as mortgage banking income, deposit-related income and wealth management fees fell. Noninterest expenses fell 14% to $46.2 million; the second quarter in 2015 included $8.7 million in merger-related expenses.
The loan-loss provision increased 8% to $4.5 million due to portfolio growth.
Berkshire Hills said deposits from its pending acquisition of the $1.1 billion-asset First Choice Bank in Lawrenceville, N.J., will "contribute an important new source of funds for lending," and raise total assets to about $9 billion. The deal is expected to close in the fourth quarter.
