Corporation, parent company of 1st Source Bank, has announced a net income
of $13.63 million for the first quarter of 2014, an increase of 9.9 percent
over the $12.40 million reported in the year-ago period.
Diluted net income
per common share for the first quarter of 2014 amounted to 55 cents, an
increase of 10 percent over the year-ago.
Meanwhile, the 1st
Source Board of Directors approved a cash dividend of 18 cents per common
share, payable on May 15 to shareholders of record as of May 5.
“It was another
good quarter for 1st Source Corporation,” Chair Christopher Murphy said.
“All of our performance benchmarks are moving in the right direction. Net
income was up almost 10 percent over a year ago, we had growth in loans
along with net recoveries in our loan and lease portfolio. Also, net
interest income was up, noninterest income was up, and expenses were down in
spite of increased snow plowing and heating costs from record cold and snow
in the first quarter. Additionally, we increased our dividend 5.88 percent
over the first quarter of last year, continuing our streak of increasing
dividends for over 26 years, a feat that puts us in the top 3 percent of
publicly traded companies.”
“We remain focused
on our goals, and look forward to better weather and a steadily improving
economy in the coming months,” Murphy added.
Return on average
total assets for 1st Source Corporation was 1.18 percent compared to 1.11
percent in the year-ago, while return on average common shareholders' equity
was 9.30 percent compared to 8.90 in the year-ago.
Total loans and
leases at March 31 increased 6.06 percent and total deposits at March 31
increased slightly from a year ago.
For the first
quarter of 2014, 1st Source provided $0.80 million to the reserve for loan
and lease losses compared to $0.76 million in the year-ago. Net recoveries
were $701,000 for the first quarter compared to net charge-offs of $60,000
in the year-ago. The reserve for loan and lease losses as of March 31 was
2.38 percent of total loans and leases, compared to 2.49 percent in the
year-ago. The ratio of nonperforming assets to net loans and leases dropped
to 0.98 percent on March 31, compared to 1.41 percent in the year-ago.