B2B Trust reported is reporting a drop in net income for the fourth quarter October 31. Net income was $4.5 million or 18¢ per common share compared to $5.4 million or 22¢ per common share in the same period in 2001.
Return on common shareholders’ equity for the quarter was 9.8% for the fourth quarter of 2002 compared to 13% for the same period in 2001.
For the year, net income was $20.7 million or 83¢ per common share compared to $20.5 million or 99¢ per common share in 2001. The decrease in the per share numbers result from the increase in the average number of outstanding common shares from 20.6 million in 2001 to 24.8 million in 2002.
Return on common shareholders’ equity for the year was 11.8% in 2002 compared to 14.2% in 2001.
Commenting on the fourth quarter and annual results, Bernard Piché, president and CEO said: “Given the adverse market conditions that prevailed this year, B2B Trust is satisfied with these results, in particular with the credit quality of the investment loan portfolio.”
Total revenue for the year was $71.8 million in 2002 compared to $73.5 million in 2001. Net interest income decreased from $56.5 million to $54.9 million in 2002. Net interest income margin reached 2.16% of average assets in 2002 compared to 2.43% in 2001.
The provision for credit losses was $0.8 million in 2002, the same level as in 2001.
Assets under administration for self-directed plans stood at $4.5 billion at October 31, 2002 compared to $5.2 billion at October 31, 2001, mainly due to decreases in the market value of assets and a decrease in the number of plans under administration.
The firm declared a quarterly dividend of 7¢ per common share.