Investors Bancorp Inc (NASDAQ:ISBC) Q2 2020 Earnings Conference Call - Final Transcript
Jul 30, 2020 • 11:00 am ET
Good day, and welcome to the Investors Bancorp second quarter earnings conference call. [Operator Instructions] Please note, this event is being recorded. We will begin this morning's call with the company's standard forward-looking statement disclosure. On this call, representatives of Investors Bancorp, Inc. may make some forward-looking statements with respect to its financial position, results of operation and business. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond Investors Bancorp's control, are difficult to predict and which can cause actual results to result materially different from those expressed or forecast in these forward-looking statements. In last night's press release, the company included its safe harbor disclosure and refers you to that statement. That document is incorporated into this presentation. For a more complete discussion of certain risks and uncertainties affecting Investors Bancorp, please see the section entitled Risk Factors, Management Discussions and Analyst of Financial Condition and Results of Operations set forth in Investors Bancorp's filings with the SEC. Now I'd like to turn the call over to Mr. Kevin Cummings, Chairman and CEO of Investors Bancorp. Please go ahead.
Thank you, Nick, and good morning, and welcome to the Investors Bancorp second quarter earnings call. Last night, the company reported in its press release net income of $42.6 million or $0.18 per diluted share for the three months ended June 30, 2020 as compared to $39.5 million or $0.17 per share for the quarter ended March 31, and $46 million $46.6 million or $0.18 per share for the three-month period ended June 30, 2019. For the six months ended June 30, net income totaled $82.1 million or $0.35 per diluted share compared to $94.8 million or $0.36 per share for the six months ended June 30, 2019. During the company during the quarter, the company completed its acquisition of Gold Coast Bank, which had approximately $535 million in total assets, $443 million in loans and $490 million in deposits. It added seven branches in the New York market, nearly doubled our deposits in Nassau and Suffolk Counties. These customers have attractive demographics and give us opportunity to leverage our business models to customers in that market. Getting this transaction completed during this pandemic is attributed to the grit and tenacity of the bank as we closed the transaction, rebranded the branches and completed the data processing conversion during the weekend of April three.
The acquisition resulted in a recognition of $12 million in goodwill and approximately $2.5 million in core deposit intangibles. During the second quarter, the company recorded a provision for loan losses of $33.3 million versus $31.3 million in the first quarter of 2020, and this compares to a credit of $3 million in the second quarter of 2019. This elevated provision is a direct result of the current and forecasted economic conditions that include the economic impact of the COVID-19 pandemic. Pre-provision net revenue was $92.1 million for the three months ended June