This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Banner Corporation Reports Net Income Of $14.7 Million, Or $0.69 Per Diluted Share, In Fourth Quarter; Net Income Highlighted By Record Revenue Generation And Further Improved Credit Quality

Stocks in this article: BANR

Deposit costs decreased by six basis points in the fourth quarter compared to the preceding quarter and 24 basis points compared to the fourth quarter a year ago. Total funding costs for the fourth quarter of 2012 decreased five basis points compared to the preceding quarter and 29 basis points from the fourth quarter a year ago. Asset yields decreased 17 basis points compared to the preceding quarter and decreased 25 basis points from the fourth quarter a year ago. Loan yields decreased by 19 basis points compared to the preceding quarter and decreased 27 basis points from the fourth quarter a year ago. Nonaccrual loans reduced the margin by approximately six basis points in the fourth quarter of 2012 compared to approximately five basis points in the preceding quarter and approximately 14 basis points in the fourth quarter of 2011.

Fourth quarter net interest income, before the provision for loan losses, was $41.5 million, compared to $42.7 million in the preceding quarter and $41.6 million in the fourth quarter a year ago. For the full year of 2012, net interest income, before the provision for loan losses, was $167.6 million compared to $164.6 million in 2011.

"In addition to solid net interest income and deposit fees, our revenues from core operations* continued to benefit from another quarter of very strong mortgage banking results," said Grescovich. Significant homeowner refinance activity contributed to revenues from mortgage banking activities, which increased 33% to $4.4 million in the fourth quarter of 2012, compared to $3.3 million in the immediately preceding quarter and increased 136% from the $1.9 million in the fourth quarter a year ago. For the year ended December 31, 2012, revenues from mortgage banking increased to $12.9 million compared to $5.1 million for all of 2011. Deposit fees and other service charges were $6.4 million in the fourth quarter of 2012, compared to $6.7 million in the preceding quarter and a 9% increase compared to $5.9 million in the fourth quarter a year ago. Deposit fees and other service charges increased to $25.3 million for the year ended December 31, 2012, a 10% increase compared to the full year 2011. Miscellaneous revenues increased compared to prior periods primarily reflecting increased gains from the sale of SBA guaranteed loans, which totaled $558,000 and $876,000 for the quarter and year ended December 31, 2012, respectively, as well as the recognition in the current quarter of a $549,000 death benefit on a bank-owned life insurance policy. Loan servicing fees were reduced in the fourth quarter of 2012 as a result of a $400,000 impairment charge reflecting accelerated loan prepayments. Revenues from core operations* were $54.5 million in the fourth quarter compared to $54.3 million in the third quarter of 2012 and $50.5 million in the fourth quarter a year ago. For the year, revenues from core operations* increased 8% to $211.4 million compared to $196.2 million a year ago.

3 of 8

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,810.06 +91.06 0.51%
S&P 500 2,063.50 +10.75 0.52%
NASDAQ 4,712.97 +11.1030 0.24%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs