Shares of Manhattan Bancorp soared 43 percent on Wednesday after the company reported that it had moved from a loss to a profit in the third quarter, boosted by a recent acquisition.
The El Segundo holding company for Bank of Manhattan late Tuesday reported net income of $2.6 million (21 cents a share), compared with a net loss of $967,000 in the same period a year earlier. Interest income rose 36 percent to $4.7 million. Non-interest income jumped 579 percent to $12.7 million.
The third quarter was the first full quarter since Manhattan in June completed its stock acquisition of Professional Business Bank, creating a bank with combined assets of more than $406 million. The merged bank ended the quarter with total assets of more than $469 million.
“These robust earnings are a result of realizing economies of scale from merging two sound but over-burdened community business banks,” Chief Executive Terry Robinson said in a statement.
Shares closed up $1.09, or 43 percent, to $3.64 on the Over-the-Counter Bulletin Board.
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