Increased revenue from brokerage and trust fees and commissions helped drive BOK Financial Corp. to record profit in 2012, the Tulsa-based regional financial services company reported Wednesday.
In 2012, fees and commissions from trust services generated $80.1 million in revenue, up 9.2% from 2011. In the fourth quarter, they produced $22.0 million, a 23% increase from $17.9 million a year earlier and a 12% increase from the previous quarter.
The increase in revenue was primarily due to the acquisition of The Milestone Group, a Denver-based registered investment advisor, in August of 2012, which added $1.3 billion in assets under management to BOK’s Colorado State Bank and Trust, one of the seven banks it operates.
Revenue from brokerage and trading was also up significantly, generating $126.9 million in 2012, a 21.8% increase from the year before.
As a whole, BOK reported a profit of $351 million, or $5.13 per diluted share, for 2012, up $65.3 million or 23% from 2011.
“BOK Financial’s results for 2012 reflect the value of our diversified revenue business model,” Stan Lybarger, BOK’s president and CEO, said in a statement. The CEO noted that non-interest revenue increased by $103 million or 20% over 2011 led by tremendous growth in mortgage banking and to a lesser extent brokerage and trading activities.
BOK Chief Financial Officer Steven Nell added that the company expects continued revenue growth from the wealth management business in 2013 “through a full year’s performance from the Milestone acquisition,” he said.
BOK operates seven banking divisions: Bank of Albuquerque, Bank of Arizona, Bank of Arkansas, Bank of Kansas City, Bank of Oklahoma, Bank of Texas, and Colorado State Bank and Trust.
READ MORE: BOK Financial Buys Denver RIA
