Bank Mutual has reported a net income of $7.19m, or $0.15 per diluted share, for the first quarter ended March 31, 2009, compared to $5.06m, or $0.10 per diluted share, for the first quarter ended March 31, 2008.
Net interest income increased to $19.19m for the first quarter of 2009 from $17.03m for the same period in 2008. For the first quarter of 2009, net interest margin was 2.35% versus 2.06% for the comparable quarter of 2008.
Total assets as of March 31, 2009 were $3.52 billion, compared to $3.49 billion as of March 31, 2008.
Michael Crowley, Jr., chairman, president and CEO of Bank Mutual, said: As we expected, a historically low interest rate environment enabled us to significantly increase profits from our mortgage lending operation and to maintain our net interest margin. We were also able to take advantage of opportunities in the securities market to sell certain long-term, fixed-rate investments at significant gains. We felt these actions were prudent in order to prepare our balance sheet for what we believe will be higher interest rates in the future.
Although we continue to be pleased with the quality of our loan portfolio, we remain concerned about the overall direction of the economy. For that reason, we took steps to increase our allowance for loan losses during the period.
