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First Hawaiian Bank . First Hawaiian , Inc. Reports Second Quarter 2021 Financial Results and Declares Dividend July 23 , 2021 HONOLULU , July 23 , 2021 ( GLOBE NEWSWIRE ) -- First Hawaiian , Inc. ( NASDAQ : FHB ) , ( " First Hawaiian " or the " Company " ) today reported financial results for its quarter ended June 30 , 2021 . " We are pleased with our financial performance during the second quarter , which was driven by the strong return of tourism and pickup in the local economy , " said Bob Harrison , Chairman , President and CEO . " We had good activity in the loan portfolio , solid growth in fee income and credit quality remained excellent . In dition , we benefitted from the improved outlook local economy with the ase of $ 35 million from our reserves for credit losses . " On July 21 , 2021 the Company's Board of Directors declared a quarterly cash dividend of $ 0.26 per share . The dividend will be payable on September 3 , 2021 to stockholders of record at the close of business on August 23 , 2021 . Second Quarter 2021 Highlights : • Net income of $ 86.7 million , or $ 0.67 per diluted share • Total loans and leases decreased $ 196.5 million , or 1.5 % , versus prior quarter • Total deposits increased $ 701.4 million , or 3.5 % , versus prior quarter • Recorded a $ 35.0 million negative provision for credit losses • Board of Directors declared a quarterly dividend of $ 0.26 per share Repurchased $ 22.4 million of stock under share repurchase program Balance Sheet Total assets were $ 24.2 billion as of June 30 , 2021 , compared to $ 23.5 billion as of March 31 , 2021 . Gross loans and leases were $ 13.1 billion as of June 30 , 2021 , a decrease of $ 196.5 million , or 1.5 % , from $ 13.3 billion as of March 31 , 2021 . Total deposits were $ 20.8 billion as of June 30 , 2021 , an increase of $ 701.4 million , or 3.5 % , from $ 20.1 billion as of March 31 , 2021 . Net Interest Income Net interest income for the second quarter of 2021 was $ 131.5 million , an increase of $ 2.3 million , or 1.8 % , compared to $ 129.2 million for the prior quarter . The net interest margin ( NIM ) was 2.46 % in the second quarter of 2021 , a decrease of 9 basis points compared to 2.55 % in the first quarter of 2021 . Provision Expense During the quarter ended June 30 , 2021 , we recorded a $ 35.0 million negative provision for credit losses . We did not record a provision for credit losses in the quarter ended March 31 , 2021 . Noninterest Income Noninterest income was $ 49.4 million in the second quarter of 2021 , an increase of $ 5.5 million compared to noninterest income of $ 43.9 million in the first quarter of 2021 . Noninterest Expense Noninterest expense was $ 99.4 million in the second quarter of 2021 , an increase of $ 3.1 million compared to noninterest expense of $ 96.3 million in the first quarter of 2021 . The efficiency ratio was 54.7 % and 55.5 % for the quarters ended June 30 , 2021 and March 31 , 2021 , respectively . Taxes The effective tax rate was 25.5 % for the quarter ended June 30 , 2021 and 24.8 % for the quarter ended March 31 , 2021 . Asset Quality The allowance for credit losses was $ 169.1 million , or 1.29 % of total loans and leases , as of June 30 , 2021 , compared to $ 200.4 million , or 1.51 % of total loans and leases , as of March 31 , 2021. The reserve for unfunded commitments was $ 29.2 million as of June 30 , 2021 compared to $ 34.1 million as of March 31 , 2021. Net charge - offs were $ 1.1 million , or 0.03 % of average loans and leases on an annualized basis , for the quarter ended June 30 , 2021 , compared to net charge - offs of $ 4.6 million , or 0.14 % of average loans and leases on an annualized basis , for the quarter ended March 31 , 2021. Total non - performing assets were $ 8.9 million , or 0.07 % of total loans and leases and other real estate owned , at June 30 , 2021 , compared to total non - performing assets of $ 9.1 million , or 0.07 % of total loans and leases and other real estate owned at March 31 , 2021 . Capital