First Internet Bancorp reports another record-setting quarter

Fishers-based First Internet Bancorp says strong loan growth helped push the bank’s profit to a new quarterly record.

On Thursday, the parent company of First Internet Bank reported second-quarter profit of $4 million, or 61 cents per share, up from $2.8 million, or 57 cents per share, during the same period of 2016. The bank issued 1.9 million shares of common stock from May to December last year, which is why per-share profit rose more modestly than overall profit.

Total loans as of June 30 were $1.7 billion, up 19 percent as compared with the previous quarter and up 53 percent as compared with a year ago. Much of that loan growth came from public finance loans—a new market for the bank—and single-tenant lease financing. 

First Internet Bank launched its public finance department during the first quarter. Its total loans in the category stood at $180 million as of June 30, up 131 percent from the end of the first quarter. 

Single-tenant lease financing balances stood at $748 million as of June 30, up 12 percent from the end of the first quarter and up 49 percent from a year earlier.

Net interest income—the difference between what the bank paid out in interest on accounts and what it earned in interest from loans—totaled $13 million last quarter, up 13 percent from the previous quarter and up 39 percent from a year earlier.

Non-interest income totaled $2.7 million during the second quarter, down from $3.7 million a year earlier. This source of income includes items such as service charges, fees and income from mortgage banking activities.

Non-interest expense—items like salaries, benefits, facility costs and professional fees—totaled $8.9 million last quarter, up from $7.9 million a year earlier.

Shares of First Internet Bank closed at $28.40 Thursday, up 1 percent. 
 

Please enable JavaScript to view this content.

Editor's note: IBJ is now using a new comment system. Your Disqus account will no longer work on the IBJ site. Instead, you can leave a comment on stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Past comments are not currently showing up on stories, but they will be added in the coming weeks. Please note our updated comment policy that will govern how comments are moderated.