S&T Bancorp in Indiana, Pa., reported higher quarterly profit that benefited from loan growth and improved asset quality.
The $4.9 billion-asset company's third-quarter earnings rose 20% from a year earlier, to $14.7 million. Earnings per share of 49 cents beat the average estimate of analysts polled by Bloomberg by 2 cents.
Net interest income jumped 6%, to $37.5 million, after the loan book increased by 8%, to $3.8 billion. The company said its commercial and consumer loans rose by 11% and 2%, respectively. The third quarter was the ninth straight quarter where S&T had organic loan growth. The net interest margin held steady, at 3.50%.
The company's asset quality remains strong. Nonperforming loans fell 63%, to $13.5 million. Net chargeoffs were $700,000 in the third quarter compared to $1.5 million a year earlier.
Noninterest expenses rose 2%, to $28.4 million.