Business
Merchants Bancorp Reports Record Second Quarter 2020 Results
- Net income of $41.2 million increased $24.7 million, or 150%, compared to the second quarter of 2019 and increased $16.6 million, or 67%, compared to the
About this update from Merchants Bancorp
[{"type":"text","content":"- Net income of $41.2 million increased $24.7 million, or 150%, compared to the second quarter of 2019 and increased $16.6 million, or 67%, compared to the first quarter of 2020\n - Net income per common share of $1.31 increased 157% compared to the second quarter of 2019 and increased 79% compared to the first quarter of 2020\n - Total assets of $9.4 billion increased $3.1 billion, or 48%, compared to December 31, 2019, and increased $1.5 billion, or 19%, compared to March 31, 2020, driven by strong loan growth\n - Total loans receivable and loans held for sale, increased $2.9 billion, or 57%, compared to December 31, 2019, and increased $1.7 billion, or 27%, compared to March 31, 2020\n - Credit quality remained exceptionally high, with only 1.0% of total loans receivable and loans held for sale in payment deferral arrangements due to COVID-19\n - Return on average assets was 1.89% in the second quarter of 2020 compared to 1.41% in the second quarter of 2019 and 1.49% in the first quarter of 2020\n\n\nCARMEL, Ind., July 28, 2020 /PRNewswire/ -- Merchants Bancorp (the \"Company\" or \"Merchants\") (Nasdaq: MBIN), parent company of Merchants Bank of Indiana, today reported second quarter 2020 net income of $41.2 million, or $1.31 per common share. This compared to $16.4 million, or $0.51 per common share in the second quarter of 2019, and $24.6 million, or $0.73 per common share, in the first quarter of 2020.\n\n \n \n \n \n \n \n\n \nThe $24.7 million, or 150%, increase in net income for the second quarter 2020 compared to the second quarter of 2019 was driven by an 83% increase in net interest income that reflected significant growth in mortgage warehouse loans, and an 88% increase in gain on sale of loans, primarily from higher growth in single-family mortgages. \nThe $16.6 million, or 67%, increase in net income for the second quarter 2020 compared to the first quarter of 2020 was primarily driven by a $12.9 million, or 34%, increase in net interest income that also reflected significant growth in mortgage warehouse loans and a 2 basis point increase in the net interest margin.\n\"During the second quarter, the unique, low-risk nature of our business model was a catalyst to delivering the highest asset levels and quarterly net income ever reported in the history of our company, despite being in the middle of an unprecedented...