The parent company of First Business Bank-Milwaukee said Thursday it had record profits in the fourth quarter as net interest income rose and it was able to reduce loan-loss reserves.
First Business Financial Services Inc., of Madison, also said its board has increased the company’s quarterly cash dividend by 50%, to 21 cents per share from 14 cents.
First Business Financial Services had net income of $3.8 million, or 95 cents per share, in the fourth quarter of 2013, compared with net income of $2.5 million, or 86 cents, in the same period a year earlier.
Net interest income in the quarter was almost $11 million, compared with $9.4 million in the fourth quarter of 2012. The bank trimmed its loan-loss reserves by $1.2 million in the quarter. In the 2012 fourth quarter, it added $844,000 to reserves.
For the full year, the company had record net income of more than $13.7 million, up 54% from $8.9 million in 2012.
"We believe we are generating loans, deposits, profits and capital at a healthy pace and, as a result, are in a position to bolster First Business’ return to our shareholders and to our communities," Corey A. Chambas, president and chief executive, said in a statement
Chambas said that in addition to the 50% increase in the quarterly dividend, the company has established a $1.3 million endowment to the First Business Charitable Foundation.
Before the earnings announcement Thursday, shares of First Business closed unchanged at $39.30.
First Business Financial Services, which has assets of about $1.3 billion, is the parent company of First Business Bank-Milwaukee, First Business Bank-Madison First Business Bank-Northeast, First Business Trust & Investments, First Business Equipment Finance LLC and First Business Capital Corp.
Source Article: Milwaukee Journal Setinel
About First Business Financial Services, Inc.
First Business Financial Services, Inc. (Nasdaq:FBIZ) is a Wisconsin-based bank holding company, focused on the unique needs of businesses, business executives, and high net worth individuals. First Business offers commercial banking, specialty finance, and private wealth management solutions, and because of its niche focus, is able to provide its clients with unmatched expertise, accessibility, and responsiveness. For additional information, visit www.firstbusiness.com or call (608) 238-8008.
The First Business Financial Services, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=2667
Senior Vice President and Chief Financial Officer
First Business Financial Services, Inc.