Western Alliance Bancorp. in Phoenix reported higher fourth-quarter profit on higher commercial and construction lending and improved fee income.
The $14.3 billion-asset company's net income rose 45% to $58.5 million. Earnings per share rose 24% to 57 cents, beating the consensus estimate of analysts polled by Bloomberg by three cents.
The results were affected by Western Alliance's June acquisition of Bridge Capital Holdings in San Jose, Calif.
Net interest income after the provision for loan losses rose 40% to $143.3 million. Total loans rose 33% to $11.1 billion, on higher commercial and construction lending. The net interest margin fell 23 basis points to 4.67%.
Noninterest income rose 13% to $9.5 million, on higher service charges and lending related fees.
Noninterest expense rose 30% to $72.4 million.