The first quarterly financial results disclosed early Wednesday by Durham’s Square 1 Bank show a profit of 31 cents per share, or $7.8 million.
That’s more than double what Square 1 earned a year earlier and topped the expectations of a Wall Street analyst following the firm, which went public in March.
Square 1’s parent Square 1 Financial (Nasdaq: SQBK) reported net income of nearly $7.8 million.
Shares finished the day at $18.85, up 19 cents or 1 percent.
The company focuses on doing business with the venture capital industry and related companies.
Since Square 1 went public only recently, analyst coverage is limited. According to Thomson/First Call, the analyst following Square 1 expected earnings of 24 cents a share.
Square 1 Financial, Inc. (Nasdaq:SQBK) today announced results for the quarter ended March 31, 2014.
“Good credit performance, a favorable net interest margin, solid warrant income and focused expense management year to date drove our strong profitability for the quarter, and we are pleased to share these results following the successful completion of our initial public offering” said Douglas Bowers, Square 1’s CEO, in a statement. “We believe our venture firm and venture-backed company clients continue to welcome the choice we provide when selecting a relationship-driven banking partner.”
Net income and earnings grew from $6.9 million and 29 cents per share as reported in the fourth quarter.
Square 1 shares closed Tuesday at $18.66, down 32 cents.
The company went public on March 27.
Shares since then have traded as high as $20.70 and as low as $18.20.
Two analysts have set a share target price of $20.50.
The full financial report can be read online.
