Equitable Group Inc. today reported record financial performance for the second quarter ended June 30.

Net income increased 37.4% to a record $10.3 million from $7.5 million a year ago. Diluted earnings per share grew 33.9% to a record 79¢ a share compared to 59¢ a share diluted in the second quarter of 2007.

Return on equity was 19.1%, compared to 17% a year ago.

Net impaired mortgages improved to 0.16% of total mortgage assets at June 30, 2008 from 0.29% at the end of the prior quarter. Total realized loan losses were $36,000 on total mortgages receivable of $2.9 billion at June 30, 2008.

“Equitable made significant headway in the first half of 2008 against our annual financial and operating plan,” said Andrew Moor, president and CE), in a release.

“Consistent with our focus on risk-weighted returns, we substantially increased our origination of single-family business in the second quarter.”

Toronto-based Equitable Group Inc. is a leading niche financial institution focused on single-family dwelling mortgage lending, Commercial Mortgage – Broker Services, and commercial lending in partnership with mortgage banking organizations.