WTB Financial Corp., the Spokane-based parent of Washington Trust Bank, has reported significant full-year growth, with increases in net income, loans, deposits, and assets, for 2016.

The company reported net income of $52 million for last year, up from $ 46.8 million in 2015.

Larry Sorenson, Washington Trust’s chief financial officer, says the two biggest factors driving the bank’s increased income last year were growth in earning assets, including loans, and a higher rate environment, which helped contribute to a wider net interest margin.

“Our balance sheet and loan portfolio continue to grow, and the rising rate environment contributes to market expansion, which in turn contributes to net income and overall financial performance,” Sorenson says. 

As of Dec. 31, Washington Trust had total loans of about $3.7 billion, up from $3.5 billion a year earlier, according to financial data the parent company filed with the Federal Deposit Insurance Corp.

Meanwhile, the bank showed total deposits of $4.9 billion at the end of last year, up from $4.5 billion a year earlier. 

Sorenson says due to a larger amount of deposits, the bank’s loans-to-deposits ratio came in a bit lower last year at 75.5 percent, down from 76.4 percent a year earlier. 

 “The past few years, we’ve kept that ratio in the mid-70s, with slight fluctuations,” he says. “As we grow our customer base, deposits pick up and the number tips down a bit as an indication of that growth.”

Washington Trust has led banks in deposits in Spokane County for the past six years, according to statistics that the FDIC releases each fall.

This year, Sorenson says, the bank expects loan and deposit growth similar to that of last year, somewhere between 6 percent and 7 percent.

Meanwhile, Washington Trust’s total assets on Dec. 31 stood at $5.6 billion, up from just over $ 5.3 billion a year earlier.

He says the bank expects similar growth in assets this year, between about 5 percent and 7 percent. 

 “Our expectations for 2017 are a continuation of 2016,” he says. “Short of any significant market shifts, I would expect us to be able to accomplish that level of growth this year.”

WTB Financial reported 919 full-time employees as of Dec. 31, up 5 percent from the end of 2015. 

Separately, Katy Wagnon, spokeswoman for Washington Trust, says the bank plans to change the location of its Manito branch, moving staff and resources from its current location at 611 E. 31st on Spokane’s South Hill, to a newly constructed building just across the street at 3103 S. Grand Blvd.

Wagnon says the bank plans to begin demolition this month of a commercial building and five homes on the 1-acre site, which it bought as six parcels in 2015. Grand Latte coffee shop also had been located on part of the development site, but was sold and relocated. 

Spokane-based Wolfe Architectural Group designed the planned new 2,960-square-foot branch, which will be situated at the southeast corner of 31st and Grand. Associated Construction Inc., of Spokane will be the contractor for the project.

 Washington Trust expects to begin construction of the branch after demolition work has been completed there.

The site’s design also includes a planned 500-square-foot courtyard, landscaping, 40 parking spots, and widening of nearby sidewalks. The bank says a restaurant also is planned on the property, although details for that project have yet to be determined.  

Founded in 1902, Washington Trust Bank has 43 branches operating in Washington, Idaho, Oregon, and Utah.