Territorial Savings Bank’s earnings declined 7.6 percent in the fourth quarter primarily due to a decrease in gains on loan sales and an increase in its provision for income taxes.

The state’s fifth-largest bank said today that net income fell to $3.5 million, or 37 cents a share, from $3.8 million, or 37 cents a share, in the year-earlier period.

Territorial Bancorp Inc.’s stock closed up 12 cents today at $22.44. The results were announced after the market closed.

For the year, Territorial’s net income declined 1.3 percent to $14.6 million, or $1.49 a share, from $14.8 million, or $1.45 a share.