Central Pacific Financial Corp, parent company of Central Pacific Bank, reported net income for the fourth quarter of 2014 of $13.3 million, or $0.37 per diluted share.
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This compares to net income in Q4 2013 of $10.3 million, or $0.24 per diluted share, and net income in the third quarter of 2014 of $8.2 million, or $0.23 per diluted share.
For the year ended December 31, 2014, the company's net income was $40.5 million, or $1.07 per diluted share, compared to net income of $172.1 million, or $4.07 per diluted share in the previous year.
Net income for the year ended December 31, 2013 included a non-cash income tax benefit of $119.8 million in the first quarter of 2013 related to the reversal of a significant portion of a valuation allowance established against the company's net deferred tax assets during the third quarter of 2009. Excluding this income tax benefit, net income for the year ended December 31, 2013 was $52.3 million, or $1.24 per diluted share.
In January 2015, the board declared a quarterly cash dividend of $0.12 per share on the company's outstanding common shares, a 20% increase from $0.10 per share in the fourth quarter of 2014. The dividend will be payable on March 16, 2015 to shareholders of record at the close of business on February 27, 2015. This represents the seventh consecutive quarterly cash dividend.
During the fourth quarter of 2014, the company repurchased 676,354 shares of common stock at a total cost of $13.0 million under its share repurchase program. The average cost was $19.28 per share repurchased.
In January 2015, the company's Board of Directors increased the authorization under the share repurchase program by an additional $25.0 million. This authorization, combined with the previously announced authorization of $30.0 million, brings the total repurchase authority to $55.0 million.
From January 2 through January 28, 2015, the company repurchased an additional 473,829 shares of common stock at an average cost of $19.64 per share repurchased. Remaining buyback authority under the share repurchase program was $29.2 million at January 28, 2015. ■