Los Angeles Business Journal

City National Reports Higher Profit

By James Rufus Koren Thursday, April 18, 2013

Downtown L.A. bank holding company City National Corp., parent of City National Bank, on Thursday reported higher first-quarter net income that fell just shy of investors’ expectations.

After markets closed, the largest Los Angeles County-based bank by assets reported net income of $51.5 million (90 cents a share) for the quarter ended March 31, up 5 percent (4 cents) from the same period last year. Those results fell short of analysts’ consensus earnings estimate of 92 cents per share.

The bank grew its loan portfolio to $15.2 billion and its deposits to $22.4 billion by the end of the quarter, both double-digit percentage increases from the year-ago period. Revenue increased 7 percent from that period to $295 million, though that was a small decline from the previous quarter.

“The fundamental strength of our business and our organization is evident in the fact that loans, deposits and noninterest income all grew at double-digit rates from the first quarter of 2012,” Russell Goldsmith, City National’s chief executive, said in a statement.

Shares earlier closed down 29 cents, or half a percent, to $54.36 on the NYSE.