Hudson City Bancorp Profit Falls 20%; Bank Posts Lower Net Interest Income in Second Quarter
Hudson City Bancorp Inc. said its second-quarter earnings fell 20% on lower net interest income.</br></br>The company's bottom line edged analysts' expectations, however.</br></br>The Paramus, N.J., bank's pending acquisition by M&T Bank has been delayed for nearly two years. As the wait drags on, the bank--whose results have been pressured by low interest rates in recent years--has sought to pursue two initiatives it first developed in 2012: commercial real estate and secondary mortgage operations.</br></br>The bank's results in the second quarter took a hit from a decline in the average balance of interest-earning assets and continued low interest rates, among other items. Net interest income fell 26% to $117.7 million.</br></br>Hudson City posted a net interest margin of 1.29%, down from 1.64% a year earlier and 1.41% in the previous quarter.