F.N.B. in Pittsburgh reported higher second-quarter profit as it booked more commercial real estate and business loans.

Net income at the $16.6 billion-asset company rose 16% to $38.1 million, or 22 cents per share, from a year earlier.

Net interest income at the holding company for First National Bank of Pennsylvania rose 8.4% to $125.6 million. Net loans and leases rose 12.5% to $11.5 billion. Average earning assets rose 14% to $14.7 billion. The net interest margin fell to 3.43% from 3.6%.

Commercial real estate loans rose nearly 8% to $3.9 billion. Commercial and industrial loans rose 17% to $2.5 billion.

Fee income rose 1.4% to $39.8 million. Trust income rose 12% to $5.4 million. Mortgage banking revenue more-than-doubled to $2.5 million.

Noninterest expense rose 4.2% to $96.5 million. Lower costs for amortization of intangibles and federal deposit insurance were offset by higher costs for salaries and employee benefits, occupancy and foreclosed-property expenses. F.N.B.'s efficiency ratio improved by 128 basis points to 55.99%.

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