Brookline Bancorp, Inc. (NASDAQ: BRKL) today reported net income of $11.4 million, or $0.16 fully diluted earnings per share (EPS), for the quarter ended September 30, 2012. Net income for the nine months ended September 30, 2012 was $25.3 million, or $0.36 fully diluted EPS, compared to $20.5 million, or $0.35 fully diluted EPS, for the first nine months of 2011.
Paul Perrault, President and Chief Executive Officer of Brookline Bancorp, Inc., stated: “Our core business fundamentals remain strong, with continued growth in loans and deposits in the third quarter. Net interest income has benefited from that growth and I’m happy to report that provisions for loan and lease losses have returned to normal levels. The second phase of our core system conversion was successful and we are looking forward to moving into our new headquarters over the weekend.”
NET INTEREST INCOME
Net interest income for the third quarter 2012 increased $3.6 million to $46.4 million from $42.8 million in the second quarter of 2012 and $27.9 million in the third quarter 2011 as a result of the acquisition of Bancorp Rhode Island. An increase of $3.1 million in interest income on loans and leases accounts for the majority of the $3.6 million increase, with an increase in investment income accounting for another $0.4 million of the increase in net interest income. Interest expense was flat for the third quarter 2012 as compared to the second quarter. Included in interest income on loans and leases is $1.4 million of periodic yield adjustments on acquired loans as required under GAAP. The remaining $1.7 million increase in interest income on loans and leases is largely driven by growth in the lending portfolios. Net interest income for the first nine months of 2012 increased to $132.8 million from $81.7 million in the first nine months of 2011.