CIT Group Inc. reported second-quarter net income available to common shareholders of $117 million, compared with net income available to common shareholders of $157 million for the year-ago quarter. Income from continuing operations available to common shareholders for the second quarter was $138 million, compared with income available to common shareholders of $41 million the year-ago quarter.
Income from continuing operations available to common shareholders excluding noteworthy items for the second quarter was $125 million, compared to $126 million a year ago, as lower operating expenses, higher other non-interest income and the benefit of a lower effective tax rate were offset by a decline in net finance revenue, an increase in the provision for credit losses and the preferred stock dividend.
The increase in income from continuing operations excluding noteworthy items per diluted common share reflects the decline in the average number of diluted common shares outstanding due to significant share repurchases over the past four quarters.
Selected Highlights
- Average loans and leases were essentially unchanged compared to the prior quarter.
- Average loans and leases in core portfolios grew 1 percent.
- Funded volume increased to $2.9 billion, up 30 percent compared to the year-ago quarter.
"Our second quarter results reflect strong originations, lower operating expenses and continued capital optimization as we make steady progress on our strategic plan," said CIT Chairwoman and Chief Executive Officer Ellen R. Alemany. "The direct bank delivered steady performance as we continued to build that franchise, adding $1.5 billion of average deposits and about 20,000 new customers. In addition, the Business Capital division posted another quarter of solid growth, which was fueled by the investments we have made in technology and talent in our equipment financing operation."
Read the full press release here.