Posted 7/28/2010 10:00 am
Updated 1 year ago
Tulsa's BOK Financial Corp., which owns Fayetteville-chartered Bank of Arkansas NA, posted net income of $63.5 million for the second quarter ended June 30. The bank holding company had $52.1 million in income for the same quarter in 2009, but that included a $7.7 million special assessment charge from the Federal Deposit Insurance Corp., the company said.
Second quarter earnings per diluted share were 93 cents. Reuters reported analyst expectations were about 83 cents per share.
"Operating revenue was especially strong in the second quarter of 2010," said Stan Lybarger president and CEO in the earnings release. "Revenue for all significant fee income business lines grew over the previous quarter. Additionally, continued improvement in credit quality indicators allowed us to lower our quarterly provision for credit losses for the third consecutive quarter."
The company purchased the rights to service $4.2 billion in residential mortgages in the first quarter. Arvest Bank Group of Fayetteville retains the servicing rights to most of the mortgages it processes and has said the practice frequently leads to increased consumer business.
BOK Financial's nonperforming assets were $461 million, or a little more than 4 percent of its total portfolio as of June 30, an improvement from $483 million at the end of the first quarter.
Net interest revenue was $182.1 million and operating expenses were $186.5 million, excluding changes in the fair value of mortgage servicing rights.
Net losses and operating expenses of repossessed assets increased $5.8 million, the company said.
Bank of Arkansas operates two branches in northwest Arkansas with $222.8 million in total assets and deposits of $186.2 million as of March 31, the most recent data available from the FDIC.
BOK is a regional financial services company with total assets of $25.6 billion and a seven-state coverage area. In addition to Bank of Arkansas, it owns Bank of Oklahoma NA, Bank of Texas NA and Bank of Kansas City NA, which is chartered in Kansas.
Shares of BOK Financial (Nasdaq: %%BOKF%%) were trading at $50 on Wednesday after closing at $49.95 on Tuesday. The 52-week range is $39.45 to $56.12.