Expanded lending across a broad range of categories and a stronger state economy boosted Bank of Hawaii's profit in the fourth quarter.

The $16.5 billion-asset company's net income rose 2% to $43.5 million from the same period in 2015. Earnings per share were $1.02.

Bank of Hawaii signage is displayed outside of a branch in Honolulu.
Bank of Hawaii signage is displayed outside of a branch in Honolulu. Bloomberg News

Net interest income rose 3% to $103.8 million on higher fees and interest from loans and leasing. Net loans rose 14% to $8.8 billion. Most lending categories increased, including commercial real estate, commercial and industrial, residential mortgages and auto loans.

The statewide unemployment rate in Hawaii fell to 2.9% at Dec. 31, compared with 3.2% for the same date in 2015, the Honolulu company said in a news release Monday. The state government was on pace to match or exceed tax revenues in 2016 from the previous year. A large majority of Bank of Hawaii's branches are located in the state.

Noninterest income rose 4% to $46.5 million. Mortgage banking doubled to $6.3 million.

Noninterest expense rose 4% to $89.6 million on higher personnel and occupancy costs.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.