Roger D. Plemens, President and Chief Executive Officer of the Company, reported, "We are pleased with the increase in core deposits during the third quarter of 2018 as the result of a Company-wide deposit campaign which increased core deposits by $28.4 million, or an annualized rate of 15.1%. Growing our balance sheet with core funding remains a key focus in our desire to continue growing shareholder value. Looking forward, we remain focused on opportunities to grow our franchise, with an emphasis on growing our commercial banking business."
Net interest income increased $2.1M, or 20.4%, to $12.3M for the three months ended June 30 compared to $10.2M for the same period in 2017. Net interest margin was 3.36% for both the three months ended June 30, 2018 and 2017.
Net interest income increased $2.8M, or 28.9%, to $12.4M for the three months ended March 31, 2018 compared to $9.6M for the same period in 2017. The increase in net interest income was primarily due to higher volumes in the loan portfolio as well as an increase in the yields earned on cash, investments and loans partially offset by increased costs of borrowings. Net interest margin for the three months ended March 3 improved to 3.49% compared to 3.30% for the same period in 2017.