Two banking companies owned by North American Financial Holdings Inc. posted turnarounds in quarterly earnings after their takeover and recapitalization.
TIB Financial of Naples, Fla., which NAFH recapitalized last year, reported third-quarter earnings of $1.5 million compared with a net loss of $33.7 million a year earlier and $1 million in the previous quarter.
Likewise, Capital Bank Corp. of Raleigh, N.C., earned $1.9 million in the quarter compared with a $9.7 million net loss a year earlier. Earnings rose 53% compared with the previous quarter.
NAFH gained a majority stake in Capital Bank Corp. on June 30. Soon after, Capital Bank used NAFH's investment to acquire GreenBank in Greeneville, Tenn. on Sept. 7.
"We are delighted to welcome our new Tennessee teammates to Capital Bank, and we are excited to serve our Tennessee customers," Gene Taylor, the chairman and chief executive of NAFH , TIB and Capital Bank. "With strong capital, we are in position to help customers grow and achieve their financial objectives across our Southeastern footprint."
NAFH's banks have 146 branches and $6.6 billion of assets.
But because of the complicated structure of their roll-up, TIB and Capital Bank Corp. said they fell into a negative net interest income in the third quarter.
TIB posted a $461,000 net-interest loss, and Capital Bank Corp. reported a $270,000 net interest-loss.