BOWLING GREEN, Ohio (AFX) - Financial holding company Sky Financial Group Inc. said Tuesday its second-quarter profit slipped nearly 6 percent from last year, largely due to a previous accounting error related to its hedges.
Net income totaled $45.1 million, or 41 cents per share, down from $47.8 million, or 45 cents per share, last year. The company said its earnings were shaved by 6 cents per share due to a $6.5 million charge related to an error in the way it accounted for some of its hedging activities.
Analysts polled by Thomson Financial expected the company to report, on average, earnings of 47 cents per share.
Net interest income, or earnings from interest on deposits or loans, edged up 4 percent to $133.2 million from $128 million last year.
Non-interest income, or revenue from non-interest bearing business such as service fees, declined 11 percent to $46 million from $51.5 million last year.
Looking forward, the company said it still expects to earn $1.90 to $1.95 per share for the year. Analysts expect the company to report $1.91 per share.
Shares of Sky Financial closed up 7 cents at $23.87 in Tuesday trading on the Nasdaq.
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