Commerce Bancshares announced earnings of $.66 per common share for the three months ended September 30, 2015 compared to $.75 per share in the prior quarter and $.69 per share in the third quarter of 2014.
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Net income attributable to Commerce Bancshares, Inc. for the third quarter amounted to $64.6 million, compared to $74.4 million in the prior quarter and $68.2 million in the same quarter last year. For the quarter, the return on average assets was 1.09%, the return on average common equity was 11.25% and the efficiency ratio was 62.5%.
For the nine months ended September 30, 2015, earnings per common share totaled $2.02 compared to $1.99 in 2014. Net income attributable to Commerce Bancshares, Inc. amounted to $200 million for the nine months ended September 30, 2015 compared to $199.0 million in 2014.
For the first nine months of 2015, the return on average assets was 1.13%, and the return on average common equity was 11.6%.
In announcing these results, David W. Kemper, chairman and CEO, said, “We continue to experience solid loan growth in both our commercial and consumer businesses. Average loans this quarter grew by $211.0 million, or 7% annualized, as a result of increased business, construction, personal real estate, automobile and credit card lending activities.
"Our net interest margin declined to 3.0% this quarter, down 4 basis points due to lower earnings on our inflation-protected securities. However, growth in average loans has increased net interest income and helped to stabilize our margin.
"Non-interest income decreased 1% from the third quarter of 2014, mostly due to the sale of several branches last year and lower credit card fees this quarter, but trust and brokerage revenues continue to grow. Non-interest expense increased 5.8% over the same period last year, mainly due to investments made in both people and technology which support a number of initiatives in process.â€
"Net loan charge-offs this quarter remain low, totaling $8.4 million compared to $8.8 million in the prior quarter and $7.7 million in the same quarter last year. Total net loan charge-offs to average loans also remained stable and totaled .28% this quarter compared to .30% in the previous quarter and .27% last year.
"During the current quarter, the provision for loan losses totaled $8.4 million and the allowance for loan losses amounted to $151.5 million, or 1.24% of periodend loans. Total non-performing assets declined $2 million this quarter and totaled $28.8 million at September 30, 2015.†■