Rockville Bank's Earnings Increase

Rockville Financial, Inc., the holding company for Rockville Bank, announced earnings results on Friday for the 2010 fiscal year.

The bank posted net income of $12.3 million for the year ended Dec. 31, compared to $9.7 million for 2009. When comparing 2010 to 2009, net interest income increased by $7.3 million, or 15.7 percent.

The provision for loan losses increased by $2.1 million, or 109.5 percent, and non-interest income increased $2.4 million, or 34.9 percent. In 2010, the Company earned 66 cents per share on both basic and diluted earnings per-share basis versus 53 cents per share for the same period in the prior year.

Rockville Bank's total assets increased $106.9 million, or 6.8 percent, to $1.68 billion on  Dec. 31 as compared to $1.57 billion at the same point in 2009, primarily due to a $49.5 million increase in net loans, a $41.4 million increase in cash and cash equivalents and a $17.3 million increase in investment securities. Bank officials said the growth was funded primarily with the proceeds received from additional deposits of $90.2 million and increased capital of $9 million.

The $9.0 million, growth of 5.7 percent, increased total capital by to $166.4 million from $157.4 million on Dec. 31, 2009.

Rockville Bank is considered well-capitalized by industry standards with a Tier 1 Leverage Ratio of 9.07 percent.

“Rockville Bank enjoys excellent financial performance as indicated in this data,” President and Chief Executive Officer William J. McGurk said. “We have stuck to the basics and focused on quality loans and investments. Our loyal customer base and professional staff have been strong factors in our performance."

The next earnings report will be authored by William H. W. Crawford IV, who will assume the duties of president and CEO following Rockville Bank's annual meeting on April 26.

Rockville Bank has branches in Colchester, Coventry, East Windsor, Ellington, Enfield, Glastonbury, Manchester, Rockville, Somers, South Glastonbury, South Windsor, Suffield, Vernon, and Tolland and in three Big Y supermarket locations.