Fidelity Southern Corp. in Atlanta has reported third-quarter earnings of $2.1 million, a 425% improvement from a year earlier, and says that most of its problems are behind it.
"The very real improvement in our core earnings year-over-year reflects that cleanup of problem loans is essentially done," James B. Miller Jr., the chairman of the $1.8 billion-asset company, said in a press release Thursday when the results were announced.
Fidelity Southern's nonperforming assets in the quarter fell 22% year-over-year, to $82.8 million, or 5.3% of total assets.
Still, the company's provisioning for loan losses, which totaled $5 million, was up 11% from a year earlier and 337% more than in the second quarter.
Fidelity Southern's earnings growth was driven by a 60% year-over-year increase in noninterest income, which totaled $11.6 million in the quarter. This was attributed to a 128% jump in mortgage banking activities and a 547% increase in lending supported by the Small Business Administration.