Popular's (BPOP) shares tumbled Wednesday after the San Juan, Puerto Rico, company reported that second-quarter earnings fell from a year earlier.
The $36.6 billion-asset company said Wednesday that it earned $64.8 million, down roughly 41% year over year. Popular's earnings per share of 63 cents still beat analysts' estimates by 22 cents, according to Thomson Reuters.
Popular's net interest income declined roughly 9%, to $341.2 million, year over year. Total loans held in portfolio fell roughly 2%, to $24.7 billion. The commercial, construction and lease financing loan portfolios all dropped in the quarter.
Declines in service charges on deposit accounts and debit card, insurance and processing fees led to Popular's noninterest income falling 24%, to $93.7 million, from a year earlier.
Net chargeoffs fell for the third consecutive quarter to $98 million, its lowest level since the first quarter of 2008. Nonperforming loans held in portfolio declined almost 4%, to $1.6 billion, its lowest level since the first quarter of 2009.
The company's shares closed on Wednesday at $14.79 per share, down more than 9% from Tuesday's closing.
