Brown Deer-based Bank Mutual Corp. reported third quarter net income of $4.4 million, or 9 cents per share, up 51.6 percent from $2.9 million, or 6 cents per share, in the third quarter of 2013.
The bank attributed the increase to higher net interest income, lower provision for loan losses, lower net losses and expenses on foreclosed real estate and lower compensation-related expenses. The gains were partially offset by lower net mortgage banking revenue and higher occupancy and equipment expense.
Net interest income was $17.4 million, up from $16.8 million during the same period last year. Total non-interest income was flat from the third quarter of 2013, at $6.1 million.
Total assets were $2.3 billion, flat from last year.
“Our operating results in the third quarter were strong even excluding a couple of revenue items related to our bank-owned life insurance and a sale of securities,” said David Baumgarten, president and chief executive officer of Bank Mutual. “Our net interest margin contracted slightly this quarter compared to the second quarter, which was a bit sooner than we had expected. However, continued growth in our loan portfolio offset much of the impact of that contraction.”