First Republic Bank (NYSE: FRC) today announced financial results for the second quarter and six months ended June 30, 2013.
“We had a very good second quarter. Year-over-year core earnings per share increased 28%,” said Jim Herbert, Chairman and Chief Executive Officer. “Deposit and loan growth for the quarter were up 5% and 7%, respectively. Wealth management assets increased by 6% and our credit quality remains strong.”
Quarterly Cash Dividend Declared
The Bank declared a cash dividend for the second quarter of $0.12 per share of common stock, which is payable on August 15, 2013 to shareholders of record as of August 1, 2013.Quarterly Financial Highlights
- Net income was $113.7 million for the second quarter of 2013, compared to $97.9 million last year. Diluted earnings per share (“EPS”) were $0.77, compared to $0.60 (which was reduced by a $0.10 per share one-time charge upon redemption of REIT preferred stock).
- Excluding the impact of purchase accounting, core net income was $97.1 million, up 37% from last year. On this non-GAAP basis, which also excludes the one-time redemption charge in 2012, core diluted EPS for the quarter were $0.64, up 28% year-over-year. (1)
- The Bank issued $190 million of 5.50% Noncumulative Perpetual Preferred Stock, which qualifies as Tier 1 capital.
- Nonperforming assets were only 17 basis points of total assets.
- Loans outstanding were $30.7 billion, up 7% for the quarter and 20% compared to a year ago.
- Deposits were $28.2 billion, up 5% and 17% compared to a year ago.
- Wealth management assets were $37.4 billion, up 6% and 61% compared to a year ago.
- Wealth management fees were $33.1 million, up 12% and 69% compared to the same period last year.
- Loan originations were $5.3 billion, our highest quarter ever, and were up 34% compared to last year’s second quarter.
- Loans sold were $945.4 million and pre-tax gains on loan sales were $8.8 million, or 0.93% of loans sold.
- The core net interest margin was 3.37%, compared to 3.42% for the prior quarter. (1)
- The core efficiency ratio was 58.9%, compared to 57.3% for the prior quarter. (1)