UPDATE 1-CWB profit rises, lifted by loan growth

TORONTO, June 2 Thu Jun 2, 2011 8:26am EDT

TORONTO, June 2 (Reuters) - Canadian Western Bank (CWB.TO) said on Thursday its quarterly profit rose on the back of loan growth and improved net interest margins.

Net income in the fiscal second quarter ended April 30 rose to C$44.4 million, or 53 Canadian cents a share, from a year-earlier profit of C$37.9 million, or 48 Canadian cents.

"Overall credit quality continued to improve and we expect this positive trend will be maintained as the economy strengthens further," said CWB's Chief Executive Larry Pollock in a statement. (Reporting by Euan Rocha)