Friday, regional financial services provider Wilmington Trust Corp. (WL) announced a narrower loss for the second quarter, benefiting from better performance across its business segments. Citing caution amid the current period of economic uncertainty, the company reduced its quarterly cash dividend.
Net loss available to common shareholders narrowed to $13.6 million or $0.20 per share from $19.5 million or $0.29 per share in the year ago period. Net loss narrowed to $9.1 million from $19.5 million in the prior-year quarter. The company noted that the latest quarter loss was due to about $0.26 per share in trust-preferred investment securities losses. Excluding the securities impairment, second-quarter net income was $8.8 million or $0.06 per share.
On average, 8 analysts polled by Thomson Reuters expected the company to report a loss of $0.20 a share. Analysts' estimates typically exclude one-time items.
Net interest income decreased 4.2% to $81.6 million from $85.2 million in the corresponding period last year. Non interest income for the quarter declined to $81.6 million from $93.2 million a year ago. Analysts were looking for revenue of $184.4 million.
Provision for loan delinquencies surged 191.9% to $54 million from $18.5 million in the previous year. The company attributed the increased reserve for credit losses to unsettled market conditions continuing to challenge some borrowers.
Wilmington Trust announced a quarterly cash dividend of a penny a share, lower than the previously paid $0.1725 per share. The dividend will be paid on August 17 to shareholders on record August 3.
Commenting on the reduced dividend, Ted Cecala, the chairman and chief executive officer of Wilmington Trust stated, "The difficult decision stems from our desire to act with an abundance of caution during this period of economic uncertainty."
The year-to-date net income available to common shareholders plunged 84% to $3.5 million or $0.05 per share from 21.9 million or $0.33 per share in the comparable year-ago period. Net income declined 42% to $12.7 million from $21.9 million last year.
Net interest income for the six-month decreased 6.9% to $160.2 million from $172.1 million in the previous year. Non interest income was down 1.8% at $192.3 million compared to $195.9 million in the prior year.
WL is currently trading at $10.56, down $0.20 or 1.86% on a volume of 328K shares.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.