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
TheStreet Open House

Cambridge Bancorp Announces Record Earnings For Full Year 2013

Cambridge Bancorp (OTCBB: CATC) today announced unaudited net income of $14,140,000 for the year ended December 31, 2013, representing an increase of $737,000, or 5.5%, compared to net income of $13,403,000 for the year ended December 31, 2012. Diluted earnings per share (EPS) were $3.62, a 4.9% increase over diluted earnings per share for the prior year.

“We are pleased to report the Bank delivered another record financial performance for the year of 2013,” noted Joseph V. Roller II, president and CEO. “The Bank continued to grow across all business lines with robust contributions from wealth management and loan growth.”

The Bank experienced a historic year for loan growth with an overall increase of $200.2 million, or 27.0%, for the year. Both residential and commercial mortgages showed exceptional growth for the year, with increases of $110.3 million (31.7%) and $86.9 million (31.4%), respectively. Home equity loans were down by $3.9 million for the year ending December 31, 2013 as many consumers continued to refinance second mortgages into first mortgages due to favorable interest rates.

Deposit growth achieved similar success with an overall increase of $127.7 million, or 10.0%, as consumers and businesses continued to place their liquid funds with sound financial institutions.

For the year ended December 31, 2013, net interest income decreased slightly by $408,000, or 0.9%, to $45.5 million compared to $45.9 million for 2012. The prolonged low interest rate environment intensified margin pressures, which have been unfavorable for the industry for some time. The Bank’s net interest margin decreased 23 basis points to 3.35% for the year compared to 3.58% for the year ended December 31, 2012.

The Bank’s record loan growth outpaced deposit growth for the year. The Bank elected to strategically deploy cash flows emanating from the investment portfolio to meet the shortfall between loan funding needs and deposit growth. The Bank’s total investment securities portfolio decreased to $448.0 million from $573.5 million at year-end 2012. The shift in the Bank’s earning asset mix coupled with the lower interest rate environment resulted in a decrease of $3.1 million in interest income on investment securities for the year. This decrease was partially offset by $1.7 million in higher interest on loans and a slight reduction in deposit costs. The higher relative yields attributed to loans over investment securities will benefit the Bank’s net interest income over time.

1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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!
SYM TRADE IT LAST %CHG

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

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