Business
Commerce Bancshares, Inc. Reports Fourth Quarter Earnings Per Share of $.93
KANSAS CITY, Mo.--(BUSINESS WIRE)-- Commerce Bancshares, Inc. (NASDAQ: CBSH) announced earnings of $.93 per common share for the three months ended December
About this update from Commerce Bancshares, Inc.
[{"type":"text","content":" KANSAS CITY, Mo.--(BUSINESS WIRE)--\nCommerce Bancshares, Inc. (NASDAQ: CBSH) announced earnings of $.93 per common share for the three months ended December 31, 2019, compared to $.91 per share in the same quarter last year and $.93 per share in the prior quarter. Net income attributable to Commerce Bancshares, Inc. for the fourth quarter of 2019 amounted to $106.9 million, compared to $109.7 million in the fourth quarter of 2018 and $109.2 million in the prior quarter. For the quarter, the return on average assets was 1.65%, the return on average common equity was 13.9% and the efficiency ratio was 56.3%.\n\n\nFor the year ended December 31, 2019, earnings per common share totaled $3.58 compared to $3.60 in 2018. Net income attributable to Commerce Bancshares, Inc. amounted to $421.2 million in 2019 compared to $433.5 million last year. For the current year, the return on average assets was 1.67%, and the return on average common equity was 14.1%.\n\n\nIn announcing these results, John Kemper, Chief Executive Officer, said, “Commerce had a strong quarter, benefiting from continuing strength in the economy and in financial markets. We experienced 4% annualized average loan growth this quarter resulting from demand for business loans, primarily commercial and industrial loans, and residential mortgage loans. Fee income totaled $143.5 million this quarter, and included a one-time gain on the sale of our corporate trust business. The corporate trust divestiture will allow Commerce Trust Company to focus on the higher growth core businesses of wealth, investment management, and financial planning services for individual and institutional clients. Excluding the corporate trust business, trust fees grew 8.7% in the fourth quarter of 2019 compared to the same quarter last year. Net interest income contracted slightly in the fourth quarter of 2019 compared to the prior quarter, as yields on our loans followed the decline in interest rates, while loan growth and improved funding costs helped to offset the decline in loan rates.”\n\n\nMr. Kemper continued, “This quarter net loan charge-offs totaled $15.2 million, compared to $11.5 million in the prior quarter and $12.1 million in the fourth quarter of 2018, as the overall credit environment remained favorable. The ratio of annualized net loan charge-offs to average loans was .42% in the...