Business
Mercantile Bank Corporation Announces Strong Fourth Quarter and Full Year 2020 Results
Substantial increase in mortgage banking income and sustained strength in asset quality metrics highlight 2020 GRAND RAPIDS, Mich., Jan. 19, 2021 /PRNewswire/
About this update from Mercantile Bank Corporation
[{"type":"text","content":"Substantial increase in mortgage banking income and sustained strength in asset quality metrics highlight 2020\n\n\nGRAND RAPIDS, Mich., Jan. 19, 2021 /PRNewswire/ -- Mercantile Bank Corporation (NASDAQ: MBWM) (\"Mercantile\") reported net income of $14.1 million, or $0.87 per diluted share, for the fourth quarter of 2020, compared with net income of $13.3 million, or $0.81 per diluted share, for the respective prior-year period. For the full year 2020, Mercantile reported net income of $44.1 million, or $2.71 per diluted share, compared with net income of $49.5 million, or $3.01 per diluted share, for the full year 2019.\n\"We are very pleased to report another year of strong financial performance, especially when considering the unprecedented operating environment posed by the ongoing COVID-19 pandemic,\" said Robert B. Kaminski, Jr., President and Chief Executive Officer of Mercantile. \"The strategic initiatives we implemented to address the challenges stemming from the pandemic have proven to be effective, and we continue to monitor economic conditions to ensure potential future risks are appropriately managed. The remarkable efforts of the entire Mercantile team enabled us to continue to effectively assist and support our clients with their banking needs during this period of uncertainty.\" \nFull year highlights include:\nSolid capital position Continued strong asset quality metrics Paycheck Protection Program loan fundings of approximately $555 million Sustained strength in commercial loan and residential mortgage loan pipelines Significant increase in mortgage banking income and growth in certain other key fee income categories Robust local deposit growth Controlled overhead costs Opened new mortgage lending centers in Midland, Michigan and Cincinnati, Ohio Announced first quarter 2021 regular cash dividend of $0.29 per common share, an increase of 3.6 percent from the regular cash dividend paid during the fourth quarter of 2020Write-downs of former branch facilities decreased net income during the fourth quarter of 2020 by approximately $1.1 million, or $0.06 per diluted share, and net gains and losses on sales and write-downs of former branch facilities decreased net income during the fourth quarter of 2019 by approximately $0.3 million, or $0.02 per diluted share. Excluding the impacts of these transactions, diluted ...