Hudson City Bancorp Inc. (HCBK, Financial) filed Quarterly Report for the period ended 2009-09-30.
HUDSON CITY BANCCORP is a bank holding company. Through its subsidiary Hudson City Savings they are a community and customer-oriented savings bank that provides financial services primarily to individuals and families. Hudson City Savings is a community and customer-oriented retail savings bank offering traditional deposit products residential real estate mortgage loans and consumer loans. Hudson City Bancorp Inc. has a market cap of $6.95 billion; its shares were traded at around $13.26 with a P/E ratio of 13.2 and P/S ratio of 2.7. The dividend yield of Hudson City Bancorp Inc. stocks is 4.5%. Hudson City Bancorp Inc. had an annual average earning growth of 34% over the past 5 years.
Total non-interest expense increased $13.5 million, or 27.3%, to $62.9 million for the third quarter of 2009 from $49.4 million for the third quarter of 2008. The increase is primarily due to increases of $10.0 million in Federal deposit insurance expense, $2.0 million in compensation and employee benefits expense, and $1.2 million in other non-interest expense. Total non-interest expense increased $56.9 million, or 39.0%, to $202.7 million for the first nine months of 2009 from $145.8 million for the same period in 2008. The increase is primarily due to the FDIC special assessment of $21.1 million and increases of $21.5 million in Federal deposit insurance expense, $8.3 million in compensation and employee benefits expense, and $4.1 million in other non-interest expense.
Total securities increased $2.71 billion to $25.66 billion at September 30, 2009 from $22.95 billion at December 31, 2008. The increase in securities was primarily due to purchases (including purchases recorded in the third quarter of 2009 with settlement dates after September 30, 2009) of mortgage-backed and investment securities of $5.01 billion and $4.57 billion, respectively, partially offset by principal collections on mortgage-backed securities of $3.43 billion and sales of mortgage-backed securities of $761.6 million and calls of investment securities of $2.67 billion.
Loans increased $1.65 billion, or 5.6%, to $31.09 billion at September 30, 2009 from $29.44 billion at December 31, 2008 due primarily to the origination of residential first mortgage loans in New Jersey, New York and Connecticut as well as our continued loan purchase activity. For the first nine months of 2009, we originated $4.66 billion and purchased $2.45 billion of loans, compared to originations of $4.01 billion and purchases of $2.55 billion for the comparable period in 2008. The origination and purchases of loans were partially offset by principal repayments of $5.34 billion in the first nine months of 2009 as compared to $2.22 billion for the first nine months of 2008. Loan originations have increased primarily due to our competitive rates and an increase in mortgage refinancing caused by market interest rates that are at near-historic lows. The increase in refinancing activity occurring in the marketplace has also caused an increase in principal repayments during the first nine months of 2009.
Total deposits increased $4.65 billion, or 25.2%, to $23.11 billion at September 30, 2009 as compared to $18.46 billion at December 31, 2008. The increase in total deposits included a $2.39 billion increase in our time deposits, a $1.84 billion increase in our money market checking accounts and a $337.6 million increase in our interest-bearing transaction accounts and savings accounts. The increases in our deposits reflect our strategy to expand our branch network and to grow deposits in our existing branches by offering competitive rates. At September 30, 2009 we had 131 branches as compared to 127 at December 31, 2008 and 125 at September 30, 2008. We also began accepting deposits through our internet banking service in December 2008, which had $183.9 million in deposits at September 30, 2009.
Borrowings amounted to $30.03 billion at September 30, 2009 as compared to $30.23 billion at December 31, 2008. The decrease in borrowed funds was the result of repayments of $950.0 million with a weighted average rate of 1.63%, largely offset by $750.0 million of new borrowings at a weighted-average rate of 1.69%. During the first nine months of 2009, we modified $650.0 million of borrowings to extend the call dates of the borrowings by between two and four years. Borrowed funds at September 30, 2009 were comprised of $14.93 billion of FHLB advances and $15.10 billion of securities sold under agreements to repurchase.
Read the The complete ReportHCBK is in the portfolios of John Keeley of Keeley Fund Management, David Dreman of Dreman Value Management, Kenneth Fisher of Fisher Asset Management, LLC.
HUDSON CITY BANCCORP is a bank holding company. Through its subsidiary Hudson City Savings they are a community and customer-oriented savings bank that provides financial services primarily to individuals and families. Hudson City Savings is a community and customer-oriented retail savings bank offering traditional deposit products residential real estate mortgage loans and consumer loans. Hudson City Bancorp Inc. has a market cap of $6.95 billion; its shares were traded at around $13.26 with a P/E ratio of 13.2 and P/S ratio of 2.7. The dividend yield of Hudson City Bancorp Inc. stocks is 4.5%. Hudson City Bancorp Inc. had an annual average earning growth of 34% over the past 5 years.
Highlight of Business Operations:
The provision for loan losses amounted to $40.0 million for the third quarter of 2009 and $92.5 million for the nine months ended September 30, 2009 as compared to $5.0 million and $10.5 million for the same respective periods in 2008. The increase in the provision for loan losses reflects the risks inherent in our loan portfolio due to decreases in real estate values in our lending markets, the increase in non-performing loans, the increase in loan charge-offs, the continued weakened economic conditions and rising levels of unemployment during the first nine months of 2009. Non-performing loans amounted to $517.6 million or 1.66% of total loans at September 30, 2009 as compared to $217.6 million or 0.74% of total loans at December 31, 2008. Net charge-offs amounted to $13.2 million for the third quarter of 2009 and $27.5 million for the nine months ended September 30, 2009 as compared to $1.4 million and $2.6 million for the same respective periods in 2008. The increase in non-performing loans reflects the current weakened economic conditions coupled with the continued deterioration of the housing market. The conditions in the housing market are evidenced by declining house prices, reduced levels of home sales, increasing inventories of houses on the market, and an increase in the length of time houses remain on the market.Total non-interest expense increased $13.5 million, or 27.3%, to $62.9 million for the third quarter of 2009 from $49.4 million for the third quarter of 2008. The increase is primarily due to increases of $10.0 million in Federal deposit insurance expense, $2.0 million in compensation and employee benefits expense, and $1.2 million in other non-interest expense. Total non-interest expense increased $56.9 million, or 39.0%, to $202.7 million for the first nine months of 2009 from $145.8 million for the same period in 2008. The increase is primarily due to the FDIC special assessment of $21.1 million and increases of $21.5 million in Federal deposit insurance expense, $8.3 million in compensation and employee benefits expense, and $4.1 million in other non-interest expense.
Total securities increased $2.71 billion to $25.66 billion at September 30, 2009 from $22.95 billion at December 31, 2008. The increase in securities was primarily due to purchases (including purchases recorded in the third quarter of 2009 with settlement dates after September 30, 2009) of mortgage-backed and investment securities of $5.01 billion and $4.57 billion, respectively, partially offset by principal collections on mortgage-backed securities of $3.43 billion and sales of mortgage-backed securities of $761.6 million and calls of investment securities of $2.67 billion.
Loans increased $1.65 billion, or 5.6%, to $31.09 billion at September 30, 2009 from $29.44 billion at December 31, 2008 due primarily to the origination of residential first mortgage loans in New Jersey, New York and Connecticut as well as our continued loan purchase activity. For the first nine months of 2009, we originated $4.66 billion and purchased $2.45 billion of loans, compared to originations of $4.01 billion and purchases of $2.55 billion for the comparable period in 2008. The origination and purchases of loans were partially offset by principal repayments of $5.34 billion in the first nine months of 2009 as compared to $2.22 billion for the first nine months of 2008. Loan originations have increased primarily due to our competitive rates and an increase in mortgage refinancing caused by market interest rates that are at near-historic lows. The increase in refinancing activity occurring in the marketplace has also caused an increase in principal repayments during the first nine months of 2009.
Total deposits increased $4.65 billion, or 25.2%, to $23.11 billion at September 30, 2009 as compared to $18.46 billion at December 31, 2008. The increase in total deposits included a $2.39 billion increase in our time deposits, a $1.84 billion increase in our money market checking accounts and a $337.6 million increase in our interest-bearing transaction accounts and savings accounts. The increases in our deposits reflect our strategy to expand our branch network and to grow deposits in our existing branches by offering competitive rates. At September 30, 2009 we had 131 branches as compared to 127 at December 31, 2008 and 125 at September 30, 2008. We also began accepting deposits through our internet banking service in December 2008, which had $183.9 million in deposits at September 30, 2009.
Borrowings amounted to $30.03 billion at September 30, 2009 as compared to $30.23 billion at December 31, 2008. The decrease in borrowed funds was the result of repayments of $950.0 million with a weighted average rate of 1.63%, largely offset by $750.0 million of new borrowings at a weighted-average rate of 1.69%. During the first nine months of 2009, we modified $650.0 million of borrowings to extend the call dates of the borrowings by between two and four years. Borrowed funds at September 30, 2009 were comprised of $14.93 billion of FHLB advances and $15.10 billion of securities sold under agreements to repurchase.
Read the The complete ReportHCBK is in the portfolios of John Keeley of Keeley Fund Management, David Dreman of Dreman Value Management, Kenneth Fisher of Fisher Asset Management, LLC.
