TCF Financial Corp. said its first-quarter profit fell 11 percent, missing analysts' forecasts, as its auto and real estate loans grew at slower rates.
The Wayzata-based bank company said it earned $39.8 million in the January-to-March period, down from $44.8 million a year ago. That amounted to earnings per share of 21 cents, below the 26 cents consensus level of analysts' forecasts. Revenue was flat at $304.1 million.
The company's shares fell 3.8 percent Tuesday.
Net interest income rose 1.1 percent to $203.4 million, which the company attributed to higher average loan and lease balances in auto finance, equipment finance and inventory finance businesses. TCF reported downward pressure on yields across its lending businesses.
TCF's net interest margin fell to 4.5 percent from 4.66 percent a year ago, citing the "competitive low interest rate environment."
Loan and lease originations rose 15 percent to $3.6 billion in the quarter.
Evan Ramstad
