AUSTIN, Texas — Farm Credit Bank of Texas (FCBT), a wholesale funding bank, reported an increase in earnings for the first quarter of 2011.
Net income for the quarter ended March 31, 2011, was $41.8 million, an increase of $6.6 million over the same period of 2010. The 18.7 percent increase was due largely to a $10.3-million increase in net interest income and a $1.5-million decrease in non-interest expense, offset by a $4.7-million increase in provision for credit losses and a $457,000 decrease in non-interest income.
Net interest income for the first quarter of 2011 totaled $59.98 million, up 20.7 percent over the first quarter of 2010.
Austin, Texas-based Farm Credit Bank of Texas is owned by 17 rural financing cooperatives in Alabama, Louisiana, Mississippi, New Mexico and Texas, which in turn are owned by their customers – farmers, ranchers, agribusinesses, country homeowners and other rural landowners. Together, the bank and its affiliated lenders comprise the Texas Farm Credit District, the largest rural lending network in the five-state region. Collectively, the district lenders reported $90.6 million in net income for the first quarter of 2011, a 2.9 percent increase from the first quarter of 2010.
Source: Farm Credit Bank of Texas