Hampshire First net income rises 50%

Second-quarter net income was up 50 percent at Manchester-based Hampshire First Bank, the bank reported Friday.The bank earned $430,000, or 15 cents a share, for the quarter ending June 30, compared to $266,000, or 10 cents per share a year earlier. That brings income up to $804,000, or 29 cents a share, for the year so far, compared to $440,000 for the first half of 2010.Contributing to the improved earnings was an increase in net interest income, — up 33 percent, to $4.4 million — despite a slight decline in net interest margins from 3.59 to 3.52 percent due to unexpectedly low interest rates.”The bank has made up for losses in margin with gains in volume and increases in productivity and efficiencies. The bank has also made significant headway increasing fee income,” James Dunphy, president and CEO.Assets rose by 35 percent to $271 million. Net loans were at $218 million and deposits totaled $225 million. Year-to-year book value per share was $10.25, a 7 percent increase from the same time last year, and the bank’s capital ratio of 10.6 percent remained more than double the 5 percent regulatory requirement to be considered “well capitalized.” — BOB SANDERS/NEW HAMPSHIRE BUSINESS REVIEW