The Bancorp, Inc. (TBBK) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $29.04 million, or $ 0.52 a share in the quarter, against a net profit of $18.62 million, or $0.49 a share in the last year period.
Revenue during the quarter plunged 79.35 percent to $18.28 million from $88.55 million in the previous year period. Net interest income for the quarter rose 34.42 percent over the prior year period to $24.98 million. Non-interest loss was $5.15 million for the quarter as against income of $70.27 million in the previous year period.
Bancorp has made provision of $1.55 million for loan losses during the quarter, up 416.67 percent from $0.30 million in the same period last year.
Net interest margin improved 32 basis points to 2.84 percent in the quarter from 2.52 percent in the last year period.
Damian Kozlowski, The Bancorp's chief executive officer, said, "Discontinued operations and Walnut Street were reevaluated with updated values, which resulted in a significant charge during the fourth quarter. We've reviewed the related loan processes and enhanced related governance. A commercial credit, in the discontinued loan portfolio, was impacted by suspected fraud leading to a write-down and loss in discontinued operations. We've added additional details in this release on our credits from discontinued operations including a chart detailing the types of assets and other related information. Our continuing operations results, excluding the charge to Walnut Street which resulted from the 2014 financing of the sale of certain discontinued operations loans, showed improvement this quarter. It also reflected continuing revenue growth, while expense cuts and restructuring are also beginning to have an impact on profitability. While certain of the expense cuts are not immediate, we have targeted total 2017 expense reductions of $20 million."
Liabilities outpace assets growth
Total assets stood at $4,840.88 million as on Dec. 31, 2016, up 1.57 percent compared with $4,765.82 million on Dec. 31, 2015. On the other hand, total liabilities stood at $4,542.19 million as on Dec. 31, 2016, up 2.17 percent from $4,445.82 million on Dec. 31, 2015.
Loans outpace deposit growth
Net loans stood at $1,216.58 million as on Dec. 31, 2016, up 13.31 percent compared with $1,073.68 million on Dec. 31, 2015. Deposits stood at $4,238.30 million as on Dec. 31, 2016, down 4 percent compared with $4,414.76 million on Dec. 31, 2015.
Investments stood at $1,469.51 million as on Dec. 31, 2016, up 9.48 percent or $127.30 million from year-ago. Shareholders equity stood at $298.69 million as on Dec. 31, 2016, down 6.66 percent or $21.31 million from year-ago.
Nonperforming assets moved up 59.63 percent or $1.15 million to $3.08 million on Dec. 31, 2016 from $1.93 million on Dec. 31, 2015. Meanwhile, nonperforming assets to total assets was 0.08 percent in the quarter, up from 0.05 percent in the last year period.
Tier-1 leverage ratio stood at 7.06 percent for the quarter, down from 7.17 percent for the previous year quarter. Book value per share was $5.40 for the quarter, down 36.25 percent or $3.07 compared to $8.47 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
