Bank of Hawaii Corporation Announces Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2017; Reports Net Charge-Offs for the Fourth Quarter of 2017; Provides Earnings Guidance for the Year 2018
January 22, 2018 at 11:45 am
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Bank of Hawaii Corporation announced consolidated earnings results for the fourth quarter and full year ended December 31, 2017. For the quarter, the company reported total interest income of $131,613,000 compared to $117,067,000 a year ago. Net interest income was $118,770,000 compared to $107,093,000 a year ago. Income before provision for income taxes was $64,039,000 compared to $60,757,000 a year ago. Net income was $42,953,000 compared to $43,513,000 a year ago. Diluted earnings per share were $1.01 compared to $1.02 per share a year ago. Return on Average Assets was 1.00% compared to 1.07% a year ago. Return on average shareholders' equity was 13.85% compared to 14.90% a year ago. Tangible book value per share of common stock was $28.31 compared to $26.50 a year ago.
For the year, the company reported total interest income of $503,794,000 compared to $457,900,000 a year ago. Net interest income was $457,238,000 compared to $417,579,000 a year ago. Income before provision for income taxes was $268,064,000 compared to $259,594,000 a year ago. Net income was $184,672,000 compared to $181,461,000 a year ago. Diluted earnings per share were $4.33 compared to $4.23 per share a year ago. Return on average assets was 1.10% compared to 1.15% a year ago. Return on average shareholders' equity was 15.27% compared to 15.79% a year ago. Tangible book value per share of common stock was $28.31 compared to $26.50 a year ago.
The company provided earnings results guidance for the year 2018. For the year, the company expects noninterest expenses to be about 2.5% to 3.5% above 2017 expenses of $358 million. This includes the impact of increasing minimum wage rate to $15 an hour. Effective tax rate for 2018 to be between 20% and 22%.
Net charge-offs during the fourth quarter of 2017 were $3.8 million or 0.15% annualized of total average loans and leases outstanding and were comprised of charge-offs of $5.8 million partially offset by recoveries of $2.1 million.
Bank of Hawaii Corporation is a bank holding company. The Company provides a range of financial products and services primarily to customers in Hawaii, Guam, and other Pacific Islands. It is also engaged in securities brokerage, investment advisory services and providing credit insurance. It operates through three segments: Consumer Banking, Commercial Banking, and Treasury and Other. The Consumer Banking segment offers a range of financial products and services, including loan, deposit and insurance products; private banking and international client banking services; trust services; investment management; and institutional investment advisory services. The Commercial Banking segment offers products, including corporate banking, commercial real estate loans, commercial lease financing, auto dealer financing and deposit products. The Treasury consists of corporate asset and liability management activities, including interest rate risk management and a foreign currency exchange business.
Bank of Hawaii Corporation Announces Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2017; Reports Net Charge-Offs for the Fourth Quarter of 2017; Provides Earnings Guidance for the Year 2018