Hudson City Bancorp Earnings: Shorts Covering

S&P 500 (NYSE:SPY) component Hudson City Bancorp, Inc. (NASDAQ:HCBK) reported its results for the first quarter. Hudson City Bancorp, Inc. is a holding company for Hudson City Savings Bank which is a retail savings bank offering traditional deposit products, consumer loans and residential real estate mortgage loans.

Don’t Miss: Wall St. Cheat Sheet’s newest Feature Trades of the Month!

Hudson City Bancorp Earnings Cheat Sheet for the First Quarter

Results: Swung to a loss of $555.7 million (loss of $1.13/diluted share) in the quarter. The savings and loan company had net income of $148.9 million or 30 cents per share in the year earlier quarter.

Revenue: Noninterest income was $105.2 million.

Actual vs. Wall St. Expectations: HCBK was about in line with expectations as the mean analyst estimate was a loss of $1.14/share. Estimates ranged from a loss of $1.05 per share to a loss of $1.20 per share.

Quoting Management: Ronald E. Hermance, Jr., Chairman and Chief Executive Officer commented, “As we announced in March, we completed a restructuring of our balance sheet in the first quarter of 2011 which resulted in an after-tax charge to earnings of $649.3 million. We believe that the restructuring transaction mitigates our interest rate risk, realigns our funding mix and positions us to eventually return to our core strategy of loan portfolio growth.”

Key Stats:

HCBK’s loss in the latest quarter follows profits in the previous three quarters. The company reported a profit of $121.2 million in the fourth quarter of the last fiscal year, a profit of $124.6 million in the third quarter of the last fiscal year and $142.6 million in the second of the last fiscal year.

Competitors to Watch: Bank of America (NYSE:BAC), Deutsche Bank (NYSE:DB), JPMorgan Chase (NYSE:JPM), HSBC (NYSE:HBC), U.S. Bancorp (NYSE:USB), Financials (NYSE:XLF) and Wells Fargo & Company (NYSE:WFC).

Today’s Performance: Shares of HCBK are trading up 1% from the previous close.

Don’t Miss Wall St. Cheat Sheet’s newest Feature Trades of the Month!

More from The Cheat Sheet