PacWest Bancorp in Los Angeles reported a higher third-quarter profit, citing new lending and lower expenses.
Net income at the $16.8 billion-asset company rose 11.8% to $69.6 million, or 68 cents per share.
Net interest income rose 1.9% to $192.5 million. Total loans and leases rose 7.6% to $12.5 billion. The net interest margin narrowed 36 basis points to 5.46%.
"As expected, the loan and lease production and growth rebounded strongly in the third quarter and will have a positive impact on revenues in the fourth quarter," Matt Wagner, chief executive, said in a news release.
Noninterest income fell 3.4% on lower service charges on deposit accounts and lower leased equipment income.
Noninterest expense fell 5% to $90.1 million on lower costs for occupancy, professional services and merger costs. The efficiency ratio improved to 39.6%.