KANSAS CITY - Commerce Bancshares, Inc. (NASDAQ: CBSH ) reported fourth quarter earnings that exceeded analyst estimates, sending shares up 1.85% in early trading.
The regional bank holding company posted earnings of $1.01 per share for the quarter ended December 31, 2024, beating the consensus estimate of $0.92. Revenue came in at $422.08 million, topping expectations of $416.66 million.
Net interest income rose to $266.6 million, up from $262.4 million in the previous quarter. The net yield on interest earning assets dipped slightly to 3.49% from 3.50% in Q3.
"Our fourth quarter earnings were strong, reflecting our resilient balance sheet, diversified operating model, and well-controlled expenses," said John Kemper (NYSE: KMPR ), President and CEO of Commerce Bancshares.
Total (EPA: TTEF ) non-interest income amounted to $155.4 million, representing 36.8% of total revenue. Trust fees showed continued strength, increasing 14.6% YoY.
The company maintained strong credit quality, with non-accrual loans at 0.11% of total loans, unchanged from the previous two quarters. The allowance for credit losses on loans increased slightly to $162.7 million, or 0.95% of total loans.
Average loans totaled $17.1 billion, up 0.3% from the prior quarter. Average deposits increased $588.1 million, or 2.4%, compared to Q3.
Commerce Bancshares' book value per share rose 14.5% YoY to $24.84. The company's tangible common equity to tangible assets ratio grew 107 basis points to 9.92%.
For the full year 2024, Commerce Bancshares reported net income of $526.3 million, compared to $477.1 million in 2023.
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