The Bancorp in Wilmington, Del., reported another quarterly loss, as suspected loan fraud offset positive momentum in other businesses.
The $4.8 billion-asset company said in a press release Thursday that it lost $29 million in the fourth quarter, or a loss of 52 cents a share. The company earned $19 million a year earlier.
The Bancorp said it reduced the value of its investment in Walnut Street, an entity that contains a portfolio of commercial real estate, commercial-and-industrial and residential mortgage loans, by $24.7 million.
The company also said that it recorded a write-down and a loss in discontinued operations because of suspected fraud tied to a commercial credit.
The Bancorp, which did not specify the amounts of the writedown or loss, did not immediately respond to a request for comment. Management will hold a conference call Friday morning to discuss quarterly results.
Total loans rose 14% from a year earlier, to $1.2 billion. Small Business Administration loans rose 20%, to $370 million, while direct lease financing rose 50%, to $347 million.
Prepaid card fee income rose 2%, to $12 million.
The Bancorp also said it is looking to cut an additional $20 million in expenses this year, though it did not provide any detail on the types of cuts planned.