Century Bancorp has reported a net income of $1.89m, or $0.34 per share diluted, for the first quarter ended March 31, 2009, an increase of 4.8% compared to net income of $1.8m, or $0.32 per share diluted, for the corresponding quarter of 2008.
Total assets of the company increased 8.7% from $1.8 billion at December 31, 2008 to $2 billion at March 31, 2009.
Net interest income for the first quarter of 2009 totaled $10.8m, compared to $10.2m for the same quarter of 2008. The company said that the 5.5% increase in net interest income for the period is mainly due to a 21.2% increase in the average balances of earning assets, combined with a similar increase in deposits.
The increased volume was somewhat offset by a decrease of 25 basis points in the net interest margin. The net interest margin decreased from 2.82% on a fully taxable equivalent basis in 2008 to 2.57% on the same basis for 2009.
The provision for loan losses increased by $1.2m from $700,000 to $1.9m in the first quarter of 2009 as a result of increases in loans on nonaccrual as well as continued deterioration in overall economic conditions such as increased unemployment.
Income before taxes for the first quarter of 2009 was $2.16m, compared to $2.57min the corresponding quarter of 2008.
