PROVIDENCE – Rhode Island banks grew 2017 first-quarter profit at a faster clip than its peers nationwide, according to data released by the Federal Deposit Insurance Corp.
The nine Rhode Island institutions backed by the FDIC reported an aggregate net income of $286 million during the quarter ended March 31, according to the data.
The first-quarter profit for Rhode Island banks represents a 30.6 percent increase compared with the prior-year quarter, which outpaced the national year-over-year growth of 12.7 percent. The 5,867 FDIC-backed banks nationwide reported net income for the first quarter of $44 billion.
The FDIC numbers are based on federally insured lines of business, and exclude non-FDIC affiliates, or subsidiaries headquartered in other states.
“The banking industry reported largely positive results for the first quarter, but the operating environment continue to pose challenges for the banks,” said FDIC Chairman Martin J. Gruenberg in a statement.
The chairman noted a slowdown in loan growth in the past two quarters, which he said comes at the end of eight years of relatively modest expansion for the U.S. economy.
The 8.1 percent year-over-year loan growth for Rhode Island banks brought the aggregate total to $96 billion, according to the FDIC. The increase more than doubled the nationwide growth of 4 percent.
The robust year-over-year profit growth was likely led by Citizens Financial Group Inc., the largest Rhode Island-based bank, which reported record-breaking net income during the first quarter. Its corporate offices and subsidiary, Citizens Bank NA, are headquartered in Providence.
Total assets for Rhode Island banks grew 8.2 percent to $128.4 billion. Deposits grew 9.3 percent to $92.6 billion.
Eli Sherman is a PBN staff writer. Email him at Sherman@PBN.com, or follow him on Twitter @Eli_Sherman.
