Cambridge Bancorp (OTCBB: CATC) today reported unaudited net income of $3,641,000 for the second quarter of 2014 compared to $3,475,000 for the same quarter in 2013. The increase in earnings of $166,000 (4.8%) was attributable to growth in both net interest income and noninterest income, offset by an increase in noninterest expense. Diluted earnings per share were $0.92 for the second quarter of 2014 compared to $0.89 for the same quarter in 2013. For the six months ended June 30, 2014, unaudited net income was $7,152,000, an increase of $346,000 (5.1%) compared to $6,806,000 for the first half of 2013. Diluted earnings per share were $1.81 for the first six months of 2014 versus $1.75 for the same period in 2013.
“We are pleased to report favorable results in an environment characterized by continued low interest rates and intense competition,” notes Joseph V. Roller II, president and CEO. “While the pace of economic growth has been moderate, the Bank continues to build momentum across all business lines, especially Lending and Wealth Management,” said Roller.
Net interest income of $11.8 million for the second quarter of 2014 was $720,000 (6.5%) higher than the same quarter in 2013. For the six months ended June 30, 2014, net interest income of $23.6 million was $1.6 million (7.2%) higher than the same period in 2013.
Noninterest income increased by $571,000 (10.3%) to $6.1 million for the second quarter of 2014 compared to $5.5 million for the same quarter in 2013. The Bank continued to build wealth management income, which increased by $473,000 (12.2%) compared to the same quarter in 2013.Assets under management grew to $2.3 billion at the end of the second quarter 2014 from $2.1 billion at year-end 2013. Other contributors to the noninterest income increase for the second quarter of 2014 were gains from the disposition of investment securities of $151,000, debit card income of $33,000, and other income of $68,000, as compared to the same quarter in 2013. Noninterest income gains were offset by lower income produced from gains on loans sold of $105,000, bank owned life insurance of $25,000, and deposit account fees of $24,000.