SVB Financial Group on Thursday reported third-quarter profit fell 29% from a year earlier, to $27 million, or 80 cents a share. It built up its loan reserves 22% from a year earlier, to $52.8 million.
However, the Santa Clara, Calif., banking company, which specializes in lending to start-up technology companies, said its earnings were up 27% from the second quarter and that, despite the credit crisis, its asset and credit quality remain "solid."
Net interest income was flat from a year earlier, at $95.1, but up 8% from the second quarter, due mostly to loan growth of 12.5%, to $4.86 billion, in the quarter. While the U.S. economy slows, the company continues a push for growth overseas, including in India, China, and Brazil. SVB Financial met average analyst expectations, according to Thomson Reuters.
