FHB reports Q2 finances, declares dividend

HONOLULU, Hawaii—First Hawaiian, Inc., has reported financial results for its second quarter ended June 30, 2018. 


“We are very pleased with our solid performance in the second quarter,” said Bob Harrison, FHB chair and chief executive officer. “We had strong earnings driven by good loan growth, continued margin expansion, and excellent asset quality. Our profitability metrics continued to improve and our capital ratios remained strong. Additionally, during the quarter, BNP Paribas reduced its ownership in First Hawaiian below 50 percent with a successful offering of 16.8 million shares in connection with which we concurrently repurchased approximately 3 million shares.” 


On July 25, 2018, the company’s board declared a quarterly cash dividend of $0.24 per share. The dividend will be payable on Sept. 7, 2018, to stockholders of record at the close of business on Aug. 27, 2018. 


Net income for the quarter ended June 30, 2018 was $69.1 million, or $0.50 per diluted share, compared to $68.0 million, or $0.49 per diluted share, for the quarter ended March 31, 2018, and $56.9 million, or $0.41 per diluted share, for the quarter ended June 30, 2017.

Core net income for the quarter ended June 30, 2018 was $69.7 million, or $0.50 per diluted share, compared to $68.3 million, or $0.49 per diluted share, for the quarter ended March 31, 2018, and $57.2 million, or $0.41 per diluted share, for the quarter ended June 30, 2017. 


Net interest income for the quarter ended June 30, 2018 was $141.4 million, an increase of $1.7 million compared to $139.7 million for the quarter ended March 31, 2018, and an increase of $10.1 million compared to $131.3 million for the quarter ended June 30, 2017. The increase in net interest income compared to the first quarter of 2018 was due to higher average balances and yields on loans, lower average balances of time deposits and higher yields on interest bearing deposits in other banks, partially offset by higher rates on interest bearing deposits, lower average balances and yields on investment securities, and lower average balances of interest bearing deposits in other banks. 


The increase in net interest income compared to the second quarter of 2017 was due to higher average balances of loans and higher yields on loans, interest-bearing deposits in other banks, and investment securities, partially offset by higher rates on deposits. (FHB)