The holding company for Charlotte-based Park Sterling Bank reported a 41 percent increase in fourth-quarter profit following year-over-year growth in loan interest income of 40 percent.
Park Sterling Corp. reported net income of $5.3 million in the fourth quarter, or 10 cents per share, up from net income of $3.8 million, or 9 cents per share, in the same quarter a year ago, according to a Securities and Exchange Commission filing.
“We are very pleased with Park Sterling’s results for the 2016 fourth quarter, which continue to confirm the attractiveness of a regional community bank that delivers high quality products and services through exceptionally talented and experienced in-market banking professionals,” said Jim Cherry, the holding company’s chief executive, in a statement.
The results include a final round of costs associated with the company’s first-quarter acquisition of Virginia’s First Capital Bancorp Inc. These acquisition-related costs, which were used to consolidate the bank’s operations center and a Richmond, Virginia branch, totaled $3.0 million in the fourth quarter.
Adjusted net income, which excludes these expenses, was $7.3 million, or 14 cents per share, which met analyst expectations.
Overall revenue for the quarter totaled $26.0 million, slightly above analyst expectations of $25.95 million.
Park Sterling, a regional financial services company with $3.3 billion in assets, is the largest community bank headquartered in the Charlotte area. It operates out of 57 banking offices across the Carolinas and into North Georgia, as well as in Richmond, Virginia.
“Our distinctive value proposition is clearly resonating with customers,” Cherry said. “They are embracing our capabilities and rewarding us with strong growth in loans, deposits and revenue, which enables us to deliver increasing earnings and returns for our shareholders.”
Park Sterling also announced its board of directors declared a quarterly cash dividend on common shares of 4 cents per share.
Shares of Park Sterling were up 15 cents, or 1.29 percent, to $11.76 on Thursday in late-morning trading.
The filing can be found here.
