The Biz Buzz

Get the most up-to-date news, insights and analysis of Tacoma, Pierce County and South Puget Sound business.

NOTICE: The Biz Buzz has moved.

With the launch of our new website, we've moved The Biz Buzz.
Visit the new section.

As the economy improves, so does the financial situation at state banks

Post by C.R. Roberts / The News Tribune on June 11, 2013 at 1:33 pm with No Comments »
June 11, 2013 1:33 pm

The Federal Deposit Insurance Corp. has released its quarterly “State Profile” of banks in Washington. The latest data show that banks in the state are seeing an improved economy, which has meant that earnings are up while operational efficiency has improved.

Among the data:
• Total assets at state banks rose slightly from $63.265 billion in the first quarter of 2012 to $$63.266 billion this year.
• Past-due and non-accruing loans fell from 3.79 percent of all loans a year ago to 2.88 percent in 2013.
• The median return on assets rose from 0.47 percent a year before to 0.74 percent in the first quarter this year. The return on assets two years ago was a slight 0.31 percent.
• The “cost of funding earning assets,” or what it cost to make a dollar’s profit, fell to 0.49 percent from 0.74 percent a year before and down from a high of 0.93 percent in 2011.
• In the general economy, single-home construction permits are up 18 percent from the first quarter of 2012. This compares to a 15.3 percent increase in the first quarter of 2012 over 2011, and a 7.6 percent decline in 2011 over 2010.
• Multifamily permits were up a significant 47.7 percent over 2012. The first quarter of 2012 saw an increase of 303.9 percent over the fist quarter of 2011.
• The home-price index in the first quarter was up 2.9 percent over the year before, up from declines of 1 percent in 2012 and 6.2 percent in 2011.

Leave a comment Comments
We welcome comments. Please keep them civil, short and to the point. ALL CAPS, spam, obscene, profane, abusive and off topic comments will be deleted. Repeat offenders will be blocked. Thanks for taking part and abiding by these simple rules.

JavaScript is required to post comments.

Follow the comments on this post with RSS 2.0