The Bank Slate

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Webster in Conn. posts noisy quarter with securities sales, MSR gains

Webster Financial in Stamford, Conn., reported slightly lower earnings that reflected a decrease in net interest income and several expenses.

The $76.2 billion-asset company said in a press release that its first-quarter profit fell by 2% from a year earlier, to $212.2 million.

The quarter included a $11.9 million increase to the Federal Deposit Insurance Corp. special assessment estimate and $3.1 million of Ametros acquisition expenses. The company also recorded a $9.8 million loss from selling securities.

Webster partially offset those expenses with an $11.7 million net gain on the sale of mortgage servicing rights.

Net interest income fell by 4.8% to $567.7 million; the net interest margin compressed by 33 basis points to 3.35%. Noninterest income increased by 40% to $99.4 million, largely due to the MSR sales.

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