Naples-based TGR Financial reports earnings rose 64 percent in second quarter

The parent company for Naples-based First Florida Integrity Bank reported record financial results for the second quarter.

The company earned more than $3.6 million, or 19 cents a share. That was up more than $1.4 million — or more than 64 percent — from a year ago. 

Meanwhile, net interest income grew $1.1 million, compared with last year, to $10.8 million for the quarter. Non-interest income rose 27 percent year over year.

"The company has accumulated significant earnings momentum over the past year, by implementing strategic actions that are enhancing shareholder value," said Gary Tice, TGR's chairman and CEO, in a news release. 

Other highlights from the second quarter include: 

• The return on average assets climbed to 1.08 percent.
• Outstanding loans grew $24.3 million to exceed $1 billion.
• Nonperforming assets remained level — at .05 percent of total assets.

Deposits and customer repurchase agreements totaled $1.2 billion at the quarter's end, declining from the first quarter, primarily due to the exit of seasonal customers who took their money with them.

Expense control strategies are paying off for the bank, reducing non-interest expenses by $137,000 over the year, according to the company.

Asset quality "remains stellar," which is contributing to overall operating efficiency, Tice said in a phone interview.

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"We have a billion dollars in loans outstanding and we have no past dues," he said. "We don't have any."

The majority of the bank's loans are commercial, and they're for customers based in Lee and Collier counties.

"We look for quality loans," Tice said. "We manage them well. That's the key. You have to manage them well." 

For the six months ending in June, TGR reported earnings of $6.8 million, or 35 cents a share. That was a 71 percent increase over the year, which was attributed primarily to increases in net interest income and reductions in federal income taxes due to reforms tied to the passage of the Tax Cuts and Jobs Act last year.

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The bank also is benefiting from the Federal Reserve's increase in the federal funds rate, which guides interest rates.

"Our future looks bright as the balance sheet is favorably structured for future measured increases in interest rates, and the markets we serve are some of the most dynamic and strongest markets in the United States," Tice said.

According to the Federal Deposit Insurance Corp., First Florida Integrity ranks fifth in deposit share in Collier County. It's the only community bank with headquarters in the county.