Business
Northrim BanCorp Earns $20.7 Million, or $3.04 per Diluted Share, in 2019 Year Highlighted by Improving Credit Quality and Loan and Deposit Growth
ANCHORAGE, Alaska, Jan. 27, 2020 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the "Company") today reported net income of $20.7
About this update from Northrim Bancorp Inc
[{"type":"text","content":"ANCHORAGE, Alaska, Jan. 27, 2020 (GLOBE NEWSWIRE) -- Northrim BanCorp, Inc. (NASDAQ:NRIM) (“Northrim” or the \"Company\") today reported net income of $20.7 million, or $3.04 per diluted share, for 2019 and $4.6 million, or $0.69 per diluted share, for the fourth quarter of 2019. Improved asset quality, including net loan recoveries for the year, higher production in the mortgage banking division, and loan and deposit growth in the community banking franchise contributed to record profitability.\n “We expanded our market presence in 2019, with investments in new branches and employees, contributing to our success in growing both loans and deposits,” said Joe Schierhorn, President and CEO. “The decrease in mortgage loan rates in the second half of 2019 helped to increase demand for home purchase and refinance loans in our Alaska markets.” Net income for the full year 2019 increased 3% to a record $20.7 million, or $3.04 per diluted share, compared to $20.0 million, or $2.86 per diluted share, in the full year 2018. Improving loan portfolio quality and net recoveries provided for a $1.2 million benefit to the loan loss provisions in 2019 compared to a benefit of $500,000 in 2018. Operating results include increased operating expenses with total operating expenses for 2019 of $77.1 million for the year, up from $69.8 million in 2018, primarily due to increased salaries and employee benefit costs, higher occupancy expenses and increased costs for data processing. Northrim continues to make investments in technology, and recruiting and retaining business talent, which we believe supports its ability to generate growth in both loans and deposits. Fourth Quarter 2019 Highlights: Total revenue, which includes net interest income plus other operating income, increased 9% to $101.8 million in 2019, compared to $93.4 million in 2018.For the fourth quarter of 2019, total revenue increased 10% to $26.1 million, compared to $23.9 million in the fourth quarter a year ago, and decreased slightly compared to $26.8 million in the preceding quarter. Community Banking provided 75% of total revenues and 79% of earnings in the fourth quarter of 2019.Home Mortgage Lending provided 25% of total revenues and 21% of fourth quarter earnings. Net interest income in 2019 increased 5% to $64.4 million, from $61.2 million in 2018.Net interest income in the fo...