S&T Bancorp Inc. (NASDAQ:STBA) filed Quarterly Report for the period ended 2010-06-30.
S&t Bancorp Inc. has a market cap of $556.7 million; its shares were traded at around $20.13 with a P/E ratio of 16.9 and P/S ratio of 2.4. The dividend yield of S&t Bancorp Inc. stocks is 3%.
Highlight of Business Operations:Net income available to common shareholders for the first six months of 2010 was $17.6 million resulting in diluted earnings per common share of $0.63 compared to a $13.3 million net loss and $(0.48) diluted earnings per share in the first six months of 2009. The increase in net income was primarily driven by a reduction in the provision for loan losses. During the first six months of 2010, a provision of $13.6 million was recorded compared to $53.6 million in the first six months of 2009. The reduction in provision is a result of improved asset quality measures and positive trends in S&Ts non-performing loan portfolio. Net interest margin remains strong at 4.03% for the first six months of 2010 compared to 3.84% in the comparable period of 2009; a result of favorable deposit and borrowing repricing.
Net income available to common shareholders was $7.9 million or $0.28 diluted earnings per share for the second quarter of 2010 as compared to a net loss available to common shareholders of $10.2 million or $(0.37) diluted earnings per share for the same period of 2009. The increase in net income was primarily the result of a significantly lower provision for loan losses and a reduction in noninterest expenses in the second quarter of 2010. The common return on average assets was 0.76 percent for the three months ended June 30, 2010, as compared to (0.95) percent for the three months ended June 30, 2009. The common return on average equity was 5.60 percent for the three months ended June 30, 2010 compared to (7.44) percent for the same period of 2009.
The net interest margin on a fully taxable equivalent basis was 4.05 percent for the second quarter of 2010 as compared to 3.86 percent in the same period of 2009. Net interest income decreased only $0.1 million in the second quarter of 2010 compared to the same period of 2009 despite a $190 million decrease in average interest-earning assets. The average rate on interest-earnings assets declined 10 basis points while the rate on total interest-bearing liabilities decreased 39 basis points. Positively affecting net interest income was a $78.6 million increase in average net free funds during the three months ended June 30, 2010 as compared to the same period of 2009. Average net free funds are the excess of demand deposits, other noninterest-bearing liabilities and shareholders equity over nonearning assets. The increase is due to the low interest rate environment, our marketing efforts for new demand accounts and corporate cash management services and participation in the Transaction Account Guarantee (TAG) Program.
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