The bank's shares rose 4.1 percent to close at $46.10 on the New York Stock Exchange today.

Hawai'i's second largest financial institution earned $45.5 million, or 83 cents a share, in the quarter compared with $39.8 million, or 69 cents, in the same quarter a year ago.

The bank surpassed the expectation of Wall Street analysts, which on average forecasted a profit of 78 cents a share, according to Thomson Financial.

Revenue — net interest income and non-interest income — came to $153 million, up 5.6 percent from a year ago.

Growth in its investments portfolio contributed to gains in net interest income while non-interest income increased in nearly all categories, led by a 31 percent rise in the mortgage banking business.

Total loans and leases were $6.02 billion, up from $5.71 billion a year ago. Total assets were $9.91 billion, down 1 percent from $10 billion.

"Earnings were very strong," said Brett Rabatin, an analyst at FTN Midwest Research in Nashville. "Other banks have higher revenue growth, but it's hard to compare with Bank of Hawaii's profitability and asset quality."

For the full fiscal year, the bank is forecasting net income of $176 million to $179 million.

The bank's board of directors authorized another $100 million in share repurchases, bringing the total buyback authority to $1.35 billion.

Bank of Hawaii also declared a quarterly cash dividend of 33 cents a share, payable on June 14 to shareholders of record on May 31.

"Our businesses are growing and our focus on customer service is really making a difference in building value," said Allan Landon, chairman and chief executive, in a statement.