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What: Shares of Silicon Valley Bank parent SVB Group (Nasdaq: SIVB ) were ringing up gains today, rising as much as 13% in intraday trading after the bank reported third-quarter earnings.
So what: For the third quarter, SVB notched $0.86 in per-share earnings versus analyst expectations of just $0.77. After adjusting for certain one-time gains last year, the current-quarter results were 56% better than the previous year's. SVB's net interest margin held steady from last quarter and was roughly even with last year. Meanwhile, the bank's asset base and loan portfolio both continued to grow -- 27% and 34%, respectively, year over year -- even as credit quality continued to improve.
Now what: SVB may not be the cheapest bank out there, but it's a well-run bank that showed its mettle by staying profitable through the financial crisis. Its third-quarter numbers show that the bank is continuing to grow and execute well.
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