Fifth Third Bancorp’s quarterly residential loan production and mortgage assets increased. But mortgage revenues and servicing both declined.
Income before income taxes at the financial institution came in at $694 million during the period that began on July 1 and concluded on Sept. 30.
The Cincinnati-based company revealed the results, along with other operational and financial metrics, in its third-quarter 2016 earnings report.
Earnings soared from $427 million in the previous quarter and were also up from $515 million in the year-prior period.
Income was aided by
a $280 million pre-tax gain related to Fifth Third’s investment in Vantiv.
Fifth Third reported $66 million in mortgage banking net revenue. The total was down $9 million from three months earlier and off $5 million from a year earlier.
Residential loan originations were $2.9 billion during the three months ended Sept. 30, 2016. Production
moved up from $2.7 billion in the second quarter and $2.3 billion in the third-quarter 2015.
For all nine months that have elapsed so far this year, Fifth Third closed $7.4 billion in home loans.
Third-quarter 2016 refinance share was 49 percent.
The servicing portfolio concluded September 2016 at $54.646 billion.
Fifth Third serviced $56.170 billion as of the previous quarter’s close and $60.301 billion as of the close of the year-earlier period.
On Fifth Third’s balance sheet were $23.461 billion in residential assets, expanding from $23.147 billion at the end of the second quarter and $22.657 billion at the end of the third-quarter 2015.
Last month’s total consisted of $15.597 billion in mortgages and $7.864 billion in home-equity loans.
Delinquency of at least 90 days on mortgages crept up to 0.29 percent from 0.27 percent but was off from 0.30 percent a year prior.
HEL delinquency was deemed not meaningful.
There were $0.264 billion in commercial real estate loans serviced for third parties. The portfolio inched up from $0.253 billion at the midpoint of this year but was down from $0.286 billion at the same point last year.
CRE assets closed out the third-quarter 2016 at $10.765 billion. The total grew from $10.589 billion at the end of June and $10.185 billion at the end of the third-quarter 2015.
The most-recent CRE total was comprised of $6.860 billion in commercial mortgages and $3.905 billion in commercial construction loans.
Company-wide headcount finished last month at 18,072 full-time equivalent employees, 21 more than at mid-year. Staffing stood at 18,311 at the same point in 2015.
Fifth Third’s banking centers numbered 1,191 as of Sept. 30, 2016, the same as of June 30.
