German American Bancorp, based in Jasper, reported net income of $6.3 million in first-quarter results, which was an increase of about 9 percent above its 2013 first-quarter results.
In 2013’s first quarter, the company reported net income of $5.8 million.
Net income per share in 2014 increased by about 4 percent to 48 cents compared to 46 cents in the same period in 2013.
The 2014 first-quarter earnings were affected by a $2 million, or about 12 percent, increase in net interest income, primarily from growth within the company’s loan portfolio.
Total loans, exclusive of loans held for sale, increased by $171 million, or about 14 percent compared to 2013’s first quarter.
The company also reported a $1 million, or 23 percent increase, in non-interest income. This was driven by a $772,000 increase in insurance revenue, a $193,000 increase in investment services revenue and a $106,000 increase in deposit service charges in the first quarter of 2014.
The company’s total non-interest expenses increased by about $1.6 million during the first quarter of 2014, compared to the first quarter last year. This increase was affected by including the United Commerce Bancorp operation that was acquired by German American Bancorp on Oct. 1, the new financial center in Columbus and the rollout of the company’s new digital banking systems as part of the operating expenses for the first quarter.
Mark A. Schroeder, German American’s chairman and chief executive officer, said the company is pleased with the strong start in financial performance and remains “very optimistic regarding the level of loan demand and economic strength we’re seeing throughout our footprint.”