City National Corp.'s second-quarter profit jumped 12%, handily beating Wall Street's expectations, with double-digit growth in loans and deposits at Los Angeles' largest bank.
The company, parent of City National Bank, said Thursday that it earned $66.7 million, or $1.11 a share, compared with $59.7 million, or $1.04, in last year's second quarter. Revenue rose 12% to $320 million.
The consensus of 20 analysts surveyed by Thompson Financial had been for a profit of 98 cents a share on $309 million in revenue.
City National's assets grew to a record $30.8 billion, up 4% from the first quarter this year and 12% from a year earlier. The bank set aside no new funds to cover losses and released $1 million in previous loss reserves because credit quality improved.
Bank Chairman Russell Goldsmith said the company is "well-positioned for continued progress" the rest of the year with moderate growth in profit for the year.