Commercial Record photo / file
Stamford-based Webster Bank had third quarter net income available to common shareholders of $229.8 million, or $1.31 per diluted share. In the same quarter last year, before the February 2022 merger with Sterling National Bank, Webster had net income of $93.7 million, or $1.03 per diluted share.
The bank said in its earnings statement that third quarter 2022 results included $36.8 million of pre-tax expenses related to the merger, strategic initiatives and other charges.
“Third quarter results reflect the strong progress our colleagues have made in creating a high performing and differentiated company,” John R. Ciulla, Webster’s president and CEO, said in the statement. “While executing on integration activities, we have maintained a laser-focus on our clients, resulting in financial performance that exceeds the targets we set forth at the announcement of the [merger of equals] more than a year ago.”
Webster had $47.8 billion in loans at the end of the third quarter, made up of 80 percent commercial loans and leases and 20 percent consumer loans. During the third quarter, Webster’s commercial loans and leases increased by $1.1 billion and commercial real estate loans increased by $700 million from the second quarter. The bank’s residential mortgages increased by $400 million from the second quarter, while consumer loans decreased by $28.4 million
The bank’s deposits totaled $54 billion at the end of the third quarter, compared to $53.1 billion on June 30.
The bank’s total assets were $69.05 billion on Sept. 30 compared to $67.6 billion on June 30 and $35.37 billion at the end of the third quarter of 2021.
The bank’s net interest income was $551 million compared to $229.7 million in the third quarter of 2021. The third quarter net interest margin was 3.54 percent compared to 2.80 percent in the same quarter last year.
“Not only were our financial results strong this quarter, the underlying drivers of increases in profitability should provide tailwinds into the future,” Glenn MacInnes, Webster’s executive vice president and chief financial officer, said in the statement. “Our net interest income should continue to benefit from higher interest rates, and we continue to execute on the efficiencies created in our recent merger.”
