Medford’s Century Bancorp Inc. has reported $3.4 million in net income for the quarter ended March 31, compared to net income of $1.9 million for the same period in 2009.

Total assets increased 4 percent to $2.4 billion on March 31 from $2.3 billion on Dec. 31, 2009.

Net interest income totaled $12.7 million for the quarter ended March 31 compared to $10.8 million for 2009. The 17.9 percent increase in net interest income for the period is mainly due to a 23.7 percent increase in the average balances of earning assets, combined with a similar increase in deposits, according to a statement.

The provision for loan losses decreased by $275,000 to $1.6 million for the quarter ended March 31 from $1.9 million for the same period in 2009 as a result of decreases in loans on nonaccrual. The company capitalized on favorable market conditions and realized $378,000 of net gains on sales of investments during the quarter ended March 31. Included in operating expenses for the quarter ended March 31 are FDIC assessments of $650,000, as compared to $493,000 for 2009. FDIC assessments increased primarily as a result of an increase in the assessment rate as well as an increase in the deposit base.

The company’s board of directors also declared a regular quarterly dividend of 12-cents per share on the company’s Class A common stock and 6-cents per share on the company’s Class B common stock.

The dividends were declared payable May 17 to stockholders of record on May 3.