Boston, MA 10/15/2014 (wallstreetpr) – Commerce Bancshares, Inc. (NASDAQ:CBSH), which is a parent company of Commerce Bank has been able to generate net income of nearly $68.2 million in the third quarter. This compares to the net income of $68.2 million reported in the previous year’s quarter. The said net income translates into $0.72 earnings per share, versus $0.71 per share a year earlier.
Bank Records Profits
The main factors that drove profits for Commerce Bancshares, Inc.(NASDAQ:CBSH) are increase on non-interest income of $3.5 million, controlled non-interest expenses. Moreover, the gains booked by the company in private equity investments also shore up the profits. The company’s CEO and Chairman, David Kemper, said that the average loans grew at an annual rate of 4% for the reported quarter. The growth was mainly on account of improved consumer loans. At the same time, the trust as well as bankcard fees resulted in a total fee income growth of $112.3 million. It is to be noted that the fee income contributed 42% to the total revenues.
There was a decline of $5.8 million in the net interest income of Commerce Bancshares, Inc. (NASDAQ:CBSH). This is because of drop in interest of the company’s inflation protected securities. The credit quality was impressive in the quarter as net-loan charge off accounted merely 0.27% of average loans. The loan loss provision of $7.7 million matched the charge offs during the quarter.
Snapshot Of Finances
The bank’s total assets that stood as at the end of the quarter are $22.7 billion. Total loans and deposits amounted $11.4 billion and $18.6 billion respectively. In the third quarter, Commerce Bancshares, Inc. (NASDAQ:CBSH) recorded three sale transactions of its branches in Missouri. The total loans of these branches were $13 million, while the total deposits totalled $60 million. It announced a cash dividend of $0.225 per common share, which resembles 5% increase over its 2013 dividend payout.
