First Commonwealth Financial Corporation Tuesday reported net income of $10.6 million, or 11 cents diluted earnings per share, for the first quarter ended March 31, compared to net income of $11.1 million, or 11 cents diluted earnings per share, in the first quarter of 2012.
The slight decrease in net income was primarily the result of reduced net interest and noninterest income, slightly higher provision expense, partially offset by a $5.3 million reduction in noninterest expense. Returns on average assets and average equity for the first quarter 2013 were 0.71 percent and 5.73 percent, respectively, as compared to 0.75 percent and 5.81 percent, respectively, for the first quarter 2012.
First quarter 2013 net interest income, on a fully taxable equivalent basis, decreased $2.9 million, or 6 percent, to $46.4 million as compared to the first quarter of 2012.
The decrease was the result of a 30 basis point decline in net interest margin, partially offset by a $107.1 million increase in average loans and a $55 million increase in average investment securities.ration costs.