Canadian Western Bank today announced a 27% increase in first-quarter net income on record total revenues.

The Edmonton-based bank said net income for the quarter ended January 31 was of $25.9 million, or 41¢ a share.

That was up from $20.5 million, or 33¢ a share, for the over the first quarter of last year.

Earnings and revenues benefited from strong loan growth of 4% in the quarter and 25% over the past twelve months.

Reported earnings included $1 million, 1¢ a share, of tax expense related to the write-down of future tax assets due to reductions in future federal corporate income tax rates. Excluding the impact of this tax expense, net income increased 31% over one year ago, while diluted earnings per share grew 28%.

The bank reported record total revenues during the quarter of $74.7 million, up 21% from $61.7 million a year ago.

Return on equity for the quarter was of 16.9%, up 150 basis points, while the bank’s efficiency ratio was 42.6%, an improvement of 310 basis points.

In a statement, bank said both operating segments performed well in the first quarter. Banking and trust earnings of $24.4 million increased 21% over the same period last year, with continued strong loan growth and fee income more than offsetting the combined impact of lower net interest margin and the tax expense noted above. Net income from insurance operations was $1.5 million, up $1.2 million over a difficult first quarter last year that was impacted by severe weather.

“Strong first quarter results in volatile financial markets highlight the effectiveness of the bank’s responsible growth strategies and underscore our expectations for continued strong financial performance,” said Larry Pollock, president and CEO.