honoluluadvertiser.com
Sponsored by:

Comment, blog & share photos

Log in | Become a member
The Honolulu Advertiser
Loans, deposits boost Central Pacific's net profit by 14% | The Honolulu Advertiser | Hawaii's Newspaper
Posted on: Wednesday, July 26, 2006

Loans, deposits boost Central Pacific's net profit by 14%

Advertiser Staff

Central Pacific Financial Corp., benefiting from growth in loans and deposits, saw its net profit increase by 14 percent in the second quarter of 2006.

BY THE NUMBERS

Net income: $20.4 million, up 14 percent from a year ago.

Earnings per share: 66 cents, up 13.8 percent from a year ago.

Assets: $5.3 billion, up 7.6 percent from a year ago.

Deposits: $3.7 billion, up 4.5 percent from a year ago.

Loans: $3.6 billion, up 15.3 percent from a year ago.

Shareholders equity: $698.8 million, up 6.3 percent from a year ago.

REASONS

  • Hawai'i's strong economy continued to pay dividends for Central Pacific as the bank's loan volume grew by 15.3 percent while deposits increased by 4.5 percent.

  • Fee income and other non-interest income was up 24.4 percent to about $11 million.

  • The bank continued to improve its asset quality as non-performing assets fell 29.1 percent to $12.2 million.

  • Salaries and other operating expenses rose 9.6 percent to $31.5 million.

    WHAT THEY ARE SAYING

    "We believe we are well positioned to ... continue our strong financial performance."

    Clint Arnoldus
    Central Pacific Financial Corp. CEO

    "The solid management team is ... positioning the company for potential market share movement in Hawai'i."

    Brett Rabatin
    FTN Midwest analyst

    WHAT'S NEXT

    Central Pacific's management said it expects the company's per-share earnings to increase 7 percent to 10 percent this year.

    Wall Street analysts believe the company's stock will trade between $38 a share and $42 a share over the next year. Shares fell $2.09 to $36.67 yesterday.

    The bank's board of directors has authorized the company to buy back as much as 600,000 shares of the company before April 30, 2007.
    • Advertisement
    Advertisement