People's United Financial (PBCT) in Bridgeport, Conn., reported a profit of $62.1 million in the quarter that ended June 30, down 3.8% from the same period last year, but up 18.2% from three months earlier.
The company, which announced its second-quarter results after markets closed Thursday, reported earnings per share of 20 cents, a penny above estimates of analysts surveyed by Bloomberg.
Total loans climbed 11% year over year, to $22.9 billion, but profits from lending declined as net interest income fell 6.2%. Its net interest margin declined 63 basis points from a year earlier, to 3.33%
Noninterest income increased nearly 14% year over year, to $86.1 million, primarily due to gains of sales of mortgage loans and acquired loans.
Compared to the prior quarter, total loans climbed 3.2% but net interest income increased less than 1%
People's United is the largest banking company headquartered in New England, with $31 billion of assets and nearly 420 branches in Connecticut, Massachusetts, New York, Maine, Vermont and New Hampshire.