Commercial loan growth fueled a 20% rise in fourth-quarter profit at EverBank Financial in Jacksonville, Fla., outweighing a sharp drop in fee income.
Net income at the $27 billion-asset company rose 20% from a year earlier to $42.6 million. Total revenue rose 5% to $232.9 million.
Total loans and leases held for investment rose 25% to $22.1 billion, as EverBank generated more business and commercial real estate loans and equipment-financing receivables. Business and CRE loan originations rose 59% to $769 million.
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WASHINGTON JPMorgan Chase and EverBank were released from business restrictions stemming from the foreclosure reviews that originated in 2011, but also face new civil money penalties for their earlier violations of those restrictions, the Office of the Comptroller of the Currency said Tuesday.
January 5 -
EverBank Financial in Jacksonville, Fla., reported a 20% jump in second-quarter profit, driven by strong consumer and commercial loan volume.
July 29 -
SunTrust Banks in Atlanta reported higher quarterly profit because of lower expenses and growth in most loan categories.
January 22
Fed by the loan growth, net interest income after the loan-loss provision rose 19% to $164.9 million. The average yield on all interest-earning assets narrowed to 3.9%, and the net interest margin narrowed to 2.9%.
Fee income fell 23% to $57.9 million. A 28% decline in gains on the sale of loans, to $24.7 million, contributed to the fee-income slide.
Noninterest expense rose 0.1% to $152.9 million on higher salaries and employee benefits. The efficiency ratio improved to 66% from 69% in the year-earlier period.
The quarter contained several one-time items, including $3.6 million in restructuring costs; a $3 million credit on regulatory expenses; and an $89,000 recovery on mortgage servicing rights.
