Most of the publicly traded banks that are based in or do substantial business in southeastern Wisconsin are kicking off 2015 with impressive balance sheets.
Brown Deer-based Bank Mutual Corp., the largest Milwaukee area-based bank, began the year by reporting fourth quarter net income of $3.8 million, or 8 cents per share, which was up 42.3 percent from net income of $2.7 million, or 6 cents per share, in the same period a year earlier.
On a full-year basis, Bank Mutual reported net income of $14.7 million or 31 cents per share, in 2014, which was a 35.8-percent improvement over net income of $10.8 million or 23 cents per share, in 2013.
David Baumgarten, president and chief executive officer of Bank Mutual, said, “Efforts to restructure our balance sheet the past few years have clearly paid off in 2014, resulting in our highest net interest margin as a public company, as well as a fourth-straight year of higher earnings. However, this period of restructuring is drawing to a close and we expect our net interest margin to be slightly lower in 2015. We also expect our non-interest expenses to be higher in 2015. We are confident, though, that growth in our loan portfolio, which has averaged 7.3 percent annually the past three years, can continue to fuel an improvement in earnings in 2015, as will modest improvements in our non-interest sources of revenue.”
Green Bay-based Associated Banc-Corp, the largest Wisconsin-based bank, reported fourth quarter net income of $48.7 million, or 31 cents per share, up from $47.8 million, or 28 cents per share, in the fourth quarter of 2013. The company’s full-year net income was $190.5 million, or $1.17 per share, up from $188.7 million, or $1.10 per share, in 2013.
“Overall we are pleased with (2014’s) financial results and accomplishments,” said Associated Bank president and chief executive officer Philip Flynn. “We continued to grow our balance sheet, total revenues, and bottom line earnings. In addition, we have continued to make substantial investments in the bank, which will position us for the future while slightly reducing total expenses. We remain focused on opportunistic ways to deploy capital while delivering increased value to our shareholders.”
Westbury Bancorp Inc., the holding company for West Bend-based Westbury Bank, reported fiscal first quarter net income of $447,000, or 10 cents per share, up from net income of $68,000, or 1 cent per share, in the same period a year ago.
Ray Lipman, chairman and chief executive officer of Westbury, said, “Our strategic goals are to grow commercial and residential loans and related deposits, reduce non-performing assets, control operating expenses and increase fee income to continue to improve earnings. This quarter’s earnings show that we are seeing continued progress toward this goal. We are confident that our current strategy will continue to provide revenue growth and enhance long-term shareholder value.”
In its most recent quarter, Wauwatosa-based Waterstone Financial Inc. reported net income of $4.8 million, or 14 cents per share, up from $3.8 million, or 9 cents per share, a year earlier.
Doug Gordon, the president and CEO of the WaterStone Bank parent, said, “The community banking and mortgage banking segments performed well during the quarter with revenue and net income up in both segments on a linked quarter and year-over-year basis, reflecting our balance sheet growth, improving credit quality, and focus on operating efficiency.”
Regional and national banks that do business in southeastern Wisconsin also are beginning the year from positions of strength:
- Minneapolis-based U.S. Bancorp reported fourth quarter net income of $1.5 billion, or 79 cents per share, up from $1.47 billion, or 76 cents per share, in the fourth quarter of 2013. The company attributed the net income increase to higher net interest income and fee-based revenue, as well as a gain related to an equity interest.
- Chicago-based Northern Trust Bank reported fourth quarter net income of $244 million, or 98 cents per share, up from $169.7 million, or 70 cents per share, in the fourth quarter of 2013.
- Pittsburgh-based PNC Financial Services Group Inc. reported fourth quarter net income of $1.1 billion, or $1.84 per diluted share, which was comparable to $1.1 billion, or $1.87 per diluted share, in the fourth quarter of 2013.
- Toronto-based BMO Financial Group, the parent company of BMO Harris Bank, reported a 50-percent increase in its fiscal fourth quarter earnings for its U.S. operations. The company reported U.S. earnings of $163 million for the quarter.
- New York-based JPMorgan Chase & Co. reported fourth quarter net income of $4.9 billion, or $1.19 per share, down from $5.3 billion, or $1.31 per share, a year earlier.
- San Francisco-based Wells Fargo & Co. reported fourth quarter net income of $5.7 billion, or $1.02 per share, up from $5.6 billion, or $1.00 per share, a year earlier.
- Charlotte, N.C.-based Bank of America Corp. reported fourth quarter net income of $3.1 billion, or 25 cents per share, down from $3.4 billion, or 29 cents per share, a year earlier.
