By Denny Deady | Published Thursday, February 26, 2009
First Financial Bankshares, Inc. has reported earnings for the fourth quarter of 2008 of $13.04 million, up 4.3 percent from $12.51 million in the same quarter last year. Basic earnings per share were $0.63 for the fourth quarter, up 5 percent from $0.60 for the same quarter last year.
Net interest income for the fourth quarter of 2008 increased 11.6 percent to $32.65 million compared with $29.25 million in the same quarter last year. The net interest margin, on a taxable equivalent basis, was 4.77 percent for the fourth quarter of 2008 compared with 4.50 percent in the same period a year ago and 4.73 percent for the quarter ended September 30, 2008.
Noninterest income in the fourth quarter of 2008 was $11.40 million compared with $12.39 million in the same quarter a year earlier. Trust fees were $2.21 million, relatively unchanged from the same quarter a year ago. Service charges on deposit accounts were $5.59 million compared with $6.15 million a year ago. Real estate mortgage fees decreased to $518,000 from $723,000 in the same quarter last year. ATM and debit card fees increased 13.8 percent to $2.28 million from $2.01 million a year ago.
Noninterest expense declined slightly in the fourth quarter to $22.53 million from $22.73 million in the same quarter last year. The company's efficiency ratio in the fourth quarter improved to 48.88 percent compared with 52.78 percent in the same quarter a year ago and 51.42 percent in the quarter ended September 30, 2008.
The provision for loan losses increased to $3.68 million in the fourth quarter of 2008 from $1.38 million in the same quarter last year and $1.77 million in the third quarter of this year. This increase is due to the company's concern for a slowing real estate market and national economy and an increased level of nonperforming assets.
The company reported its 22nd consecutive year of increased earnings. Net income for the year increased 7.4 percent to $53.16 million from $49.49 million a year ago. Basic earnings per share rose 7.6 percent to $2.56 for 2008 from $2.38 the previous year. Net interest income increased 11.8 percent for the year to $123.90 million compared with $110.81 million a year ago. Noninterest income was $49.45 million for 2008, up 2.4 percent from $48.27 million a year ago.
