CIT Group Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended Dec. 31, 2017; Reports Net Charge-Offs for the Fourth Quarter Ended Dec. 31, 2017
For the full year, net income applicable to common shareholders was $458.4 million or $2.80 per diluted share, compared to loss of $848.0 million, $4.20 per diluted share, for the last year. Income from continuing operations applicable to common shareholders was $249.6 million or $1.52 per diluted share, compared to $182.6 million, $0.90 per diluted share for the last year. Total interest income was $1,835.6 million against $1,911.5 million a year ago. Net interest revenue was $1,117.9 million against $1,158.3 million a year ago. Income from continuing operations before provision for income taxes was $191.6 million against $20.9 million a year ago. Income from continuing operations was $259.4 million against loss of $182.6 million a year ago. Return on average common equity was 5.48% against negative 7.65% a year ago. Return on tangible common equity (continuing operations) was 7.72% against 3.17% a year ago. Return on tangible common equity (continuing operations), excluding noteworthy items was 8.24% against 6.71% a year ago. Tangible book value per common share at Dec. 31, 2017 was $49.58 against $45.41 a year ago. The increase in income from continuing operations excluding noteworthy items per diluted common share also reflects a decline in the average number of diluted common shares outstanding due to significant share repurchases in 2017.
Net charge-offs were $18 million (0.26% of average loans), compared to $42 million (0.58% of average loans) in the prior quarter and $24 million (0.32% of average loans) in the year-ago quarter. The prior quarter included charge-offs related to the transfer of the reverse mortgage portfolio to assets held for sale. Excluding a $15 million charge-off related to the Financial Freedom Transaction, net charge-offs in the prior quarter was $26 million (0.36% of average loans).