Residential assets and servicing grew at Citizens Financial Group Inc. A quarter-over-quarter rise in home lending was accompanied by a drop in conforming share.
From April 1 through mid-year, income before income taxes came to $549 million, according to the Providence, Rhode Island-based company’s second-quarter earnings report.
Income improved from 12 months earlier, when Citizens earned $462 million. Results even exceeded the preceding quarter, when income was $501 million.
Mortgage banking fees fell to $27 million from $30 million in the second-quarter 2017 but rose from $25 million in the first quarter of this year.
Second-quarter 2018 mortgage originations were $1.729 billion, more than $1.367 billion in the prior three-month period but off from $1.951 billion in the same-three months last year. Full first-half production came to $3.096 billion.
Conforming mix in the latest quarter was 42 percent,
down from 45 percent in the first quarter.
Citizens said its mortgage simplification plan has it focusing on organizational design and improving fulfillment efficiencies.
Citizens serviced $53.639 billion, including $21.6 billion in third-party servicing. The total portfolio increased from $52.034 billion at the end of March and $48.984 billion on the same date last year.
The residential investment portfolio expanded to $32.628 billion from $32.106 billion as of March 31. The portfolio was also up from $32.213 billion as of mid-2017. Most recently, the total was comprised of $17.814 billion in mortgages, $1.676 billion in home-equity loans and $13.138 billion in home-equity lines of credit.
Commercial real estate assets ended the first half at $12.528 billion,
more than $11.775 billion three months earlier and $11.213 billion one year earlier.
Headcount increased to 17,699 people from 17,546. But there were fewer employees on the payroll at the end of the first-half 2017, when the total was 17,738.
Branch count concluded June at 1,150.
