TCF Financial shares rise on strong 3Q results
WAYZATA, Minn. (AP) — Shares of TCF Financial Corp. rose Friday after the regional bank said its third-quarter net income tumbled 71 percent, hurt by hefty charges, but still managed to beat Wall Street predictions.
Wayzata, Minn.-based bank posted a profit attributable to common shareholders of $9.3 million, or 6 cents per share, for the three months ended Sept. 30. That was down from $32.3 million, or 20 cents per share, in the 2011 third.
The recent quarter's results included a charge of 13 cents per share stemming from changes in how it reports certain kinds of loans. Excluding that, the company posted an adjusted profit of 19 cents per share.
Total revenue rose 6 percent to $312.6 million from $293.8 million.
Analysts, on average, expected adjusted net income of 17 cents per share on $299.7 million in total revenue, according to a FactSet poll.
Net interest income, or earnings from traditional banking operations like deposits and loans, rose 14 percent to $200.6 million. The company set aside $96.3 million to cover soured loans, up from $52.3 million in the year-ago period.
Meanwhile, noninterest income, or earnings from service charges, investments and other operations, fell 5 percent to $112.1 million.
TCF Financial, with total assets of $17.88 billion, operates nearly 430 branches in Minnesota, Illinois, Michigan, Colorado, Wisconsin, Indiana, Arizona and South Dakota.
The company's shares rose 43 cents, or 3.9 percent, to $11.54 in heavy afternoon trading, after peaking at $11.76 earlier in the session. Over the past 52 weeks, the company's shares have traded between $9.46 and $12.58.