IBOS member Silicon Valley Bank (SVB) has announced its 2017 second quarter financial results, ended 30 June 2017.
SVB reported a consolidated net income of $123.2 million ($2.32 per diluted common share), compared to $101.5 million ($1.91 per diluted common share) for the Q1 2017, and $93.0 million ($1.78 per dilute common share) for Q2 2016. The consolidated net income available to common stockholders for the six months ended 30 June 2017 and was $224.7 million ($4.22 per diluted common share), compared to $172.1 million ($3.30 per diluted common share) for the comparable 2016 year.
Greg Becker, President and CEO of SVB Financial Group, commented:
“Our strong earnings growth in the second quarter was driven by higher net interest income, increased warrant gains, strong client funds growth, and solid credit. Our client activity and pace of new client acquisitions remain robust, notwithstanding intense competition both from banks and non-banks and a lack of clarity on potential tax and regulatory reform. We see healthy momentum as we enter the second half of the year and, despite some adjustments to our outlook, remain positive about our growth prospects for 2017 and beyond.”
Below are the financial highlights for Q2 2017, compared to Q1 2017:
- Average loan balances of $20.5 billion, an increase of $0.4 billion (or 2.2%).
- Period-end loan balances of $21.0 billion, an increase of $0.6 billion (or 2.7%).
- Average fixed income investment securities of $21.5 billion, an increase of $0.4 billion (or 1.8%).
- Period-end fixed income investment securities of $22.0 billion, an increase of $1.0 billion (or 4.8%).
- Average total client funds (on-balance sheet deposits and off-balance sheet client investment funds) increased $5.1 billion (or 6.0%) to $91.2 billion, with average off-balance sheet client investment funds increasing by $3.0 billion (or 6.5%) and average on-balance sheet deposits increasing by $2.1 billion (or 5.5%).
- Period-end total client funds increased $6.9 billion (or 7.8%) to $94.4 billion, with period-end off-balance sheet client investment funds increasing by $5.5 billion (or 11.8%) and period-end on-balance sheet deposits increasing by $1.4 billion (or 3.4%).
- Net interest income of $343.2 million, an increase of $32.9 million (or 10.6%).
- Provision for credit losses of $15.8 million, compared to $30.7 million.
- Gains on equity warrant assets of $10.8 million, compared to $6.7 million.
Access the full report, via SVB, here.