Cambridge Bancorp, parent of the Cambridge Trust Co., said it turned a $12.47 million profit in 2011, compared to a profit of $13.3 million the prior year.

In a statement, the bank partially attributed the dip in year-over-year profits to a one-time, $1.59 million sale in 2010 of its merchant services portfolio. Without that sale, Cambridge Bancorp said its 2010 net income would have totaled roughly $11.6 million, or approximately 7 percent less than its 2011 number.

The bank said deposits grew 13 percent to $131.8 million during the year and net interest income increased to $43.7 million from $41.8 million a year earlier. Non-interest income declined to $18.1 million from $19.9 million.

The bank said non-performing loans increased slightly to $1.2 million while allowances for loan losses were $10.2 million, or 1.51 percent of total loans outstanding. A year ago, allowances for loan losses were $8.9 million.

Return on average assets for the year was 1.06 percent, compared to 1.25 percent at the end of 2010.

In the fourth quarter, unaudited net income was $2.91 million, compared to $2.65 million for the same quarter in 2010.

"We are pleased to report continued core earnings growth for the full year of 2011," said Joseph V. Roller II, president and CEO. "Our 2011 results are evidence that we continue to execute our business plans and remain focused on providing exceptional service to our customers."