CVB Financial Corp.'s stock soared Thursday after the Ontario, Calif., company reported second-quarter earnings that beat the average estimate of analysts by 2 cents.
The $6.5 billion-asset CVB said after the market closed Wednesday that a wider net interest margin helped boost earnings 7.5% from a year earlier, to $17.2 million, or 21 cents a share. Analysts on average had expected it to post earnings of 19 cents a share, according to Thomson Reuters.
Because deposit prices declined faster than loan rates, the net interest margin expanded 51 basis points from a year earlier and 18 basis points from the previous quarter, to 3.43%.
CVB reported a loan-loss provision of $3 million after recording none for the second quarter of last year. Nonperforming assets rose to $12.3 million, or 0.35% of total loans, compared with $803,000, or 0.02%, a year earlier.
Shares of CVB hit a 52-week low earlier in the week but rose 18.3% by late Thursday, to $10.33.
