United Bankshares Inc. of Parkersburg, W.Va., announced Tuesday that its fourth-quarter earnings rose 142% from a year earlier, to $25.5 million.
For the year the $6.4 billion-asset company earned $97.8 million, up 24%. United credited higher net interest income, lower cost of funds and tax expense, and other factors.
Net interest income was up 11% at yearend, due mainly to a $437 million increase in average loans. In addition, United's average cost of funds in 2004 fell 44 basis points because of lower interest rates and borrowing costs resulting from prepayments of Federal Home Loan Bank advances. United also said that it reduced its income tax expense by $2.5 million in the quarter as a result of a recently concluded tax examination for 2001, 2002, and 2003.
