Press release
Alerus Financial Corporation Reports Third Quarter 2021 Net Income of $13.1 Million
GRAND FORKS, N.D.--(BUSINESS WIRE)-- Alerus Financial Corporation (Nasdaq: ALRS) reported net income of $13.1 million for the third quarter of 2021, or $0.74
About this update from Alerus Financial Corporation
[{"type":"text","content":" GRAND FORKS, N.D.--(BUSINESS WIRE)--\nAlerus Financial Corporation (Nasdaq: ALRS) reported net income of $13.1 million for the third quarter of 2021, or $0.74 per diluted common share, compared to net income of $11.7 million, or $0.66 per diluted common share, for the second quarter of 2021, and net income of $17.7 million, or $0.99 per diluted common share, for the third quarter of 2020.\n\nCEO Comments\n\nChairman, President, and Chief Executive Officer Randy Newman said, “Our diversified business model continues to drive strong financial performance, as we ended the third quarter with a return on tangible common equity of over 18.0%. We generated $57.2 million of revenue through continued momentum in our retirement, wealth management and mortgage businesses, while net interest income and loan growth (excluding Paycheck Protection Program, or PPP, loans) showed incremental improvement with average total earning assets growing 10.6% year-over-year. Credit quality was better than expected with another net recovery quarter driving a negative provision for the quarter. Tangible book value grew over 7.0% from a year ago, which includes the intangibles recognized in the December 2020 acquisition of the Denver based, 24HourFlex/RPS. During the quarter, we converted 24HourFlex clients to Alerus and are pleased to see exceptional client retention and growth. We greatly appreciate all of our employees for their continued hard work, remarkable ongoing engagement and dedication to serving our clients, and their ability to help us produce strong returns for our shareholders.”\n\nQuarterly Highlights\n\n\nReturn on average total assets of 1.62%, compared to 1.50% for the second quarter of 2021\n\n\nReturn on average tangible common equity(1) of 18.13%, compared to 17.36% for the second quarter of 2021\n\n\nNet interest margin (tax-equivalent)(1) was 2.78%, compared to 2.88% for the second quarter of 2021\n\n\nAllowance for loan losses to total loans, excluding PPP loans was 1.89%, compared to 2.00% as of December 31, 2020\n\n\nEfficiency ratio(1) of 71.49%, compared to 71.46% for the second quarter of 2021\n\n\nNoninterest income for the second quarter of 2021 was 63.04% of total revenue, compared to 63.48% for the second quarter of 2021\n\n\nMortgage originations totaled $415.8 million, a 23.8% decrease from the second quarter of 2021\n\n...