PrivateBancorp Inc. in Chicago returned to the black in the third quarter.
The $12.5 billion-asset company reported Tuesday that it earned $4.5 million, compared with a loss of $818,000 in the second quarter and a loss of $31.2 million a year earlier. On a per-share basis, PrivateBancorp earned 6 cents, beating analysts' consensus estimate for a loss of 3 cents a share.
The results were affected by a securities gain of $3 million. Yet PrivateBancorp benefited from a loan-loss provision of $41.4 million, down 54% from a year earlier.
Despite the reduction in credit costs, PrivateBancorp's nonperforming assets continued to swell, totaling $462 million, up 16% from a year earlier and 5% from the second quarter. PrivateBancorp also reported a lower interest expense of $25.6 million, down 31% from a year earlier.