We had a very strong start to the year with first quarter consolidated net income of $64.4 million and earnings per share of $0.59.
These results were 93% and 90%, respectively, above the same quarter last year and were driven by stronger earnings at both the utility and the bank.
Unemployment declined to 9% in March.
While still above the national average, it's headed in the right direction, having declined from a peak of nearly 24% a year ago.
Year-to-date March, Oahu's sales volumes are up 19% for single-family homes and 53% for condos.
Median prices are also up 17% to $950,000 for single-family homes and 4% to $450,000 for condos.
In its March outlook, the University of Hawaii Economic Research Organization accelerated its forecast for the state's economic recovery by 18 months with the GDP now expected to rise 3.7% in 2021 and 3.1% in 2020.
The seven-day rolling average was 94 for the state and is the fifth lowest per capita among U.S. states as of May six.
40% of our residents are now fully vaccinated and more than half have had at least one dose.
In the first quarter, we continued to have strong mortgage production and deployed an additional $150 million of ASB CARES or Paycheck Protection Program loans to support small businesses in round two of that program.
Year-to-date, that amount has increased to over $170 million.
Today, 44% of deposits are made through self-service channels such as ATMs and mobile, more than double prepandemic levels.
Consolidated earnings per share were $0.59 versus $0.31 in the same quarter last year.
While the holding company loss is well in line with plan, we increased charitable giving during the quarter, including a $2 million contribution to support our community through challenging times.
Compared to the same time last year, consolidated trailing 12-month ROE improved 80 basis points to 10%.
Utility ROE increased 160 basis points to 9%; and bank ROE, which we look at on an annualized basis, was 16%.
Regarding the utility's results, net income for the quarter was $43.4 million compared to $23.9 million in the first quarter of 2020.
The most significant variance drivers were $10 million lower O&M expenses compared to the first quarter last year.
In addition to lower O&M, we benefited from a $5 million revenue increase from higher rate adjustment mechanism revenues; a $4 million revenue increase related to timing of the recognition of target revenues during the year, which we -- will have no net impact on 2021 and which is due to a change in methodology that eliminates seasonality for recognizing target revenues within the year; a $1 million lower enterprise resource planning system implementation benefits to be passed on to customers; and $1 million lower nonservice pension costs due to a reset of pension costs included in rates as part of a final rate case decision.
These items were partially offset by $1 million higher depreciation.
We currently have approximately $22 million of COVID-related cost, primarily bad debt expense accrued in a deferred regulatory asset account.
The utility is on track to achieve the savings necessary to meet the annual $6.6 million commitment, which will be returned to customers starting June one.
Utility capital investments for the quarter of approximately $60 million were lower than planned due to unexpected delays.
And we are maintaining the capex and rate base growth guidance we issued during our previous earnings call and still expect 2021 capex of approximately $335 million to $355 million, reflecting rate base growth of 4% to 5%.
ASB's net income for the quarter was $29.6 million compared to $15.7 million last quarter and $15.8 million in the first quarter of 2020.
ASB's net interest margin compressed 17 basis points during the quarter.
NIM was 2.95% compared to 3.12% in the fourth quarter of 2020.
$3.1 million in fees from PPP lending and a record low cost of funds helped soften the pressure on asset yields.
The average cost of funds was 0.08%, down one basis point from the linked quarter and 16 basis points from the prior year.
Consequently, we're updating our NIM guidance range to 2.80% to 3%.
In the first quarter, the bank released $8.4 million in provision for credit losses compared to provisions of $11.3 million in the fourth quarter and $10.4 million in the first quarter last year.
ASB's net charge-off ratio for the quarter was 0.18% compared to 0.36% in the fourth quarter and 0.44% in the first quarter 2020.
Nonaccrual loans were up slightly to 1% compared to 0.89% in the fourth quarter and 0.90% in the prior year.
And at 1.73% as of quarter end, our allowance for credit losses was the highest among Hawaii peers.
Active deferrals are just 0.2% of the total loan portfolio.
The bank has approximately $4 billion in available liquidity from a combination of reliable resources.
ASB's Tier one leverage ratio of 8.33% was comfortably above well-capitalized levels.
Prospectively, given the lower risk profile of our portfolio, we're anticipating managing closer to an 8%-or-above Tier one leverage ratio and drive competitive profitability metrics, growth of the ASB dividend while maintaining a strong capital position.
We now expect dividends of approximately $50 million to $60 million versus the previously estimated $40 million.
For the quarter, the ASB Board has declared a $23 million dividend to HEI.
Our revised guidance is $0.67 to $0.74 per share, up from our prior guidance of $0.52 to $0.62.
We're revising our NIM expectations at the bank to 2.8% to 3%, down from 2.90% to 3.15%.
Given strengthening credit dynamics and outlook for the Hawaii economy, we now expect provision to range from $0 to $10 million, which we believe remains appropriately conservative given continued uncertainty for the economy until we see increased vaccination levels and the eventual return of international travel.
And we're increasing HEI guidance -- earnings per share guidance to $1.90 to $2.05 per share.
We're considering the implications for our companies of the Biden administration's goal to cut carbon emissions 50% from a 2005 baseline by 2030.
Rich accomplished a great deal during his more than 10 years at the helm of American.

Summary:
We had a very strong start to the year with first quarter consolidated net income of $64.4 million and earnings per share of $0.59.
Consolidated earnings per share were $0.59 versus $0.31 in the same quarter last year.