Signature Bank Earns $1.97 Per Share

Signature Bank (SBNY) reported Q1 earnings of $1.97 per share. That’s their 26th record quarter in a row, and it beat estimates by two cents per share. The bank earned $1.64 per share in last year’s Q1.

For the quarter, loans rose 5.3% to $25.04 billion and Signature’s net interest margin was 3.32%.

“As we kick off 2016, which marks our 15th year in operation, Signature Bank delivered another quarter of solid financial performance. The 2016 first quarter saw record earnings for the 26th consecutive time, as well as both strong deposit and loan growth. We also see this as an opportune time to reflect on the growth of our business since our founding. We are extremely proud of the strong foundation and infrastructure we have built and nurtured over the years, which has helped sustain our consistent, strong organic growth,” explained Joseph J. DePaolo, President and Chief Executive Officer.

The bank has been burned by going into the taxi medallion loan business. The price of those medallions has plunged.

The Bank’s provision for loan losses for the first quarter of 2016 was $19.8 million, compared with $16.7 million for the 2015 fourth quarter and $7.9 million for the 2015 first quarter. The increase was primarily due to additional reserves for taxi medallion loans.

Posted by on April 20th, 2016 at 7:42 am


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