A nearly double-digit increase in net interest income helped third-quarter profit increase by 12.9% at VSB Bancorp in New York.
Net income at the $330 million-asset parent of Victory State Bank, a Staten Island-based commercial bank, was $567,167, or 32 cents a share.
Net interest income rose 9.6% to $2.5 million from the year-earlier quarter. Interest income rose 10.8% to $2.7 million and the average loan balance rose by $23.4 million. VSB "booked new loans at lower rates due to a more competitive environment," it said in a press release Wednesday.
Loans as a percentage of interest-earning assets were 37.6%, versus 32.5% in the third quarter of 2015, and VSB reduced its loan-loss provision by 25% to $30,000.
Noninterest income fell 10.2% to $639,024 on lower deposit service charges and a higher provision for income taxes. Noninterest expenses rose 2.6% to $2.2 million.
