The Fed's December interest rate hike helped PrivateBancorp's first-quarter profit, as yields rose on its variable-rate loans.
The $18 billion-asset Chicago company's net income rose 19% to $49.6 million from a year earlier. Earnings per share rose 19% to 62 cents.
Net interest income before the loan-loss provision grew 14% to $140 million. Total loans increased 11% to $13.3 billion. Loan growth included $396.6 million of lending to new clients. The net interest margin increased 9 basis points to 3.3%.
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PrivateBancorp in Chicago reported higher third-quarter profit on loan growth.
October 14 -
An improvement in fees collected for trust and investment services at Northern Trust contributed to an increase in first-quarter profit.
April 19 -
PrivateBancorp, despite having one of banking's most rate-sensitive loan books, has grown earnings by relying on fee diversification and new specialty lines. CEO Larry Richman discusses the growth strategy and what he expects when rates do finally rise.
March 6
Loan yields increased, reflecting the repricing of floating-rate loans to higher short-term rates.
Noninterest income rose 0.3% to $33.6 million on higher syndication fees and capital markets products.
Noninterest expense rose 9% to $90.5 million on higher salaries and benefits, among other factors.
