Shares of Fulton Financial fell early Wednesday after the Lancaster, Pa., company reported second-quarter results that missed expectations.

Fulton, with $17 billion of assets, said after markets closed Tuesday that its second-quarter profit declined 2.4% from the same period last year, to $39.6 million. Its earnings per share of 21 cents fell a penny short of estimates of analysts polled by Bloomberg.

The slight dip in net income could be attributed largely to a sharp drop in fees from mortgage banking. Mortgage banking income fell nearly 48% year over year, to $5.7 million, and that contributed to a 14% decline in noninterest income.

Net interest income rose 5% year over year on modest loan growth and substantially lower provision for loan losses. It set aside $3.5 million for problem loans in the quarter, compared to $13.5 million in the same period in 2013.

In heavy trading, Fulton's shares were down nearly 3.6% at midday Wednesday, to $11.32.

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