State bank profits down in 2nd quarter compared with last year – Norfolk Daily News

Nebraska banks saw their profit jump significantly in the second quarter compared with the first three months of the year, but earnings were down considerably compared with a year ago.

According to data released Tuesday by the Federal Deposit Insurance Corporation, the 161 banks headquartered in Nebraska earned a combined $246 million in the second quarter. That was up about 35% compared with the first quarter of the year, but it was a decline of more than 10% from the second quarter of 2019.

Though the number of banks reporting earnings gains during the quarter increased, the percentage reporting losses also was higher than a year ago. Performance on a number of financial metrics, including average yields, and return on assets and equity were lower in the second quarter than a year ago.

For the year so far, total profit for the Nebraska-based banks is $427 million, down $112 million from the first six months of 2019 and the lowest for that period since 2016.

Lincoln-based banks bucked the trend, however, with a strong increase in earnings. The nine banks with headquarters in the city earned a combined $46.6 million in the second quarter, up about 16% from the same period a year ago.

Nearly all banks in Nebraska fall into the FDIC's definition of a "Community Bank," and those banks did much better than large national banks.

Community banks as a whole saw their income grow 3.2% in the second quarter compared with a year ago, largely due to increased lending as part of the Paycheck Protection Program, the FDIC said in a news release.

As a whole, the nation's banks saw their profit fall 70% compared with a year ago.

FDIC Chairman Jelena McWilliams said in a news release that the main factors in the large drop in income were increased provisions for loan losses caused by lower business and consumer spending during the coronavirus pandemic as well as a decrease in net interest margins.

Photos: New construction in Lincoln

Workers construct a tower crane on the southeast corner of Ninth and O streets on March 30. The crane will be used to construct a 140-room Holiday Inn Express.

A new $23.9 million Veterans Affairs outpatient clinic being built on the VA campus south of 70th and O streets is the cornerstone of a larger redevelopment known as Victory Park.

A preliminary design shows plans for an apartment building proposed on the block west of Antelope Valley Parkway in the K and L streets corridor.

Construction is close to being finished on the new Mourning Hope Grief Center in February.

A nighttime rendering of the planned State of Nebraska office building at 17th and K streets.The four-story building would have two levels of parking and two floors of office space.

Work is going on to finish the interior of the Kinetic Sports Complex on West O Street so it can be open in March.

Campion Development has received approval for its student-oriented housing project at Ninth and M streets.

A Spectrum retail store will be the first tenant for a retail building under construction at the former Skate Zone site at 300 N. 48th St. Construction on a hotel at the site is likely to start in the next two to three months.

The Golds Building at 11th and O streets has been sold to a real estate investment company that plans a $15 million-$20 million redevelopment that will include a 110-room hotel.

Madonna Rehabilitation Hospitals plans to break ground this spring on a new $57 million, three-story patient wing on its Lincoln campus.

An architectural rendering shows the first phase of a renovation project at Nebraska Wesleyan University, which will replace seats in McDonald Theatre.

Workers put together the red, steel frame for Tommy's Express Car Wash north of 70th and O Streets in November. The site was formerly home to Texas T-Bone and Lone Star Steakhouse, among other restaurants.

A 300-foot mobile crane sits ready to erect a 280-foot tower crane at the site of the future Lied Place Residences in November.

Bryan Physician Network broke ground at 84th and Pioneers on a new building that will be home to Southeast Lincoln Family Medicine and a second Bryan Urgent Care location.

Nebraska's proposed new football facility ties in with the East Stadium Plaza and other buildings on the NU campus. "This is going to be an unbelievable move for athletics here at Nebraska and something thats going to change this place in a big way," said NU Associate Athletic Director for Football Matt Davison.

This rendering shows the new bar planned at Sun Valley Lanes.

Telegraph Lofts East rises in the foreground, followed by Telegraph Flats, while looking west toward downtown Lincoln in September.

Southeast Community College's Education Square downtown was renovated, with enhanced security.

An architectural rendering shows a six-story hotel proposed for 21st Street and Transformation Drive on Nebraska Innovation Campus.

There's a healthy use of granite and marble throughout the rooms and public spaces, including bathrooms at The Kindler Hotel.

Water hookups and electrical boxes line the new campground under construction at the Lancaster Event Center.

Construction on the Olsson building in the Haymarket in July.

This rendering shows what the Eastmont campus at 6315 O St. will look like after its planned $50 million expansion.

The new Wild Kingdom Theater is part of the expanded Lincoln Children's Zoo that opened in May.

The Stack at 1222 P St. includes27 market-rate apartments -- three two-bedroom units, 20 one-bedroom units and four studios, some with balcony access.

New renderings show a preliminary design for a hotel on the southeast corner of Ninth and O streets.

The new, 160-bed women's unit at the Community Corrections Center-Lincoln was built to be a therapeutic space. It features earth tones, natural lighting and wood throughout the building.

The Lincoln Parks Foundation is raising money to build a new Wilderness Nature Camp building at Pioneers Park Nature Center.

This rendering shows Great Plains Beef's planned new administration building at 84th Street and Havelock Avenue.

The city has chosen this proposal from Argent Group for a high-rise development at 14th and N streets. The rendering is looking southwest.

Part of the new parking garage at SouthPointe Pavilions is finally open, several months after originally planned.

White Lotus Group and HDR propose a mixed-use community hub for the site it calls Mural, which would combine affordable housing, retail, a wellness center and central library with murals throughout the block.

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State bank profits down in 2nd quarter compared with last year - Norfolk Daily News