Cambridge Bancorp (OTCBB: CATC) today announced unaudited net income of $13,254,000 for the year ended December 31, 2010, representing an increase of $2,977,000 or 29.0% compared to net income of $10,277,000 for the year ended December 31, 2009. Diluted earnings per share (EPS) were $3.51, a 27.6% increase over diluted earnings per share for the prior year.
In the fourth quarter of 2010 unaudited net income was $2,654,000, compared to $2,631,000 for the same quarter in 2009.
“Results for the fourth quarter reflect continuing pressure on net interest income along with an increase in non-interest expense,” noted Joseph V. Roller II, president and CEO. “Key factors driving a relatively flat quarter-over-quarter performance were a slight decrease in net interest income of $156,000, a non-interest expense increase of $413,000, offset by an increase in non-interest income of $307,000, which included an increase in wealth management fee income of $295,000, and a $250,000 reduction in the provision for loan losses as compared to the fourth quarter of 2009.”
“We are pleased to report sustained earnings growth for the full year of 2010,” said Mr. Roller. “Our 2010 results are evidence that we continue to build on the Cambridge Trust Company brand and operating platform that we have established through investments in people, technology, marketing, and distribution.”
“Deposit growth of $121.0 million (13.9%) exceeded our expectations as our relationship-based strategy, coupled with our eleventh branch opening in Lexington, created new opportunities for the Bank. Residential and commercial mortgage loan growth was solid with a $47.3 million (11.7%) increase for the year. The tepid demand for working capital loans resulted in a $10.0 million (20.8%) decrease in commercial loans outstanding due to decreased line usage and loan payoffs. While we expect to experience intensified margin pressure and regulatory burden in 2011, we are confident the strength of our company will allow us to execute on our strategies to attract and expand profitable consumer and business relationships,” added Mr. Roller.