Commerce Bank posts modest 2Q growth

Kansas City-based Commerce Bancshares Inc. (Nasdaq: CBSH) reported second-quarter net income of $66.5 million, a 1.1 percent increase compared to earnings of $65.8 million in the same quarter last year.

The company, which operates seven Commerce Bank branches in Springfield, posted diluted earnings of 70 cents per share for the quarter, a 1-cent uptick from second-quarter 2013, according to a news release.

"Loans outstanding increased $265 million, or 9 percent annualized, this quarter to $11.5 billion as demand remained solid for commercial and consumer-related loans. Net interest income grew by $7.4 million compared to the previous quarter due to the aforementioned loan growth and higher earnings on the company’s inflation-protected securities," Commerce Chairman and CEO David Kemper said in the release.

Second-quarter financial notes:

• Commerce repurchased 1.1 million shares of its common stock at an average price of $43.55 per share.
• Net interest income increased 0.6 percent to $160.5 million from $159.5 million a year ago.
• At the end of the quarter, the company employed 4,733 full-time equivalents, up from 4,720 in the same quarter of 2013. However, second-quarter employment figures were down from 4,745 at the end of the first quarter.

As of June 30, Commerce Bancshares' assets were $23 billion, loans were $11.5 billion and deposits were $19 billion. The company operates 350 branches in Missouri, Illinois, Kansas, Oklahoma and Colorado, according to the release.

CBSH shares were trading at $46.83 as of 8:31 a.m., compared to a 52-week range of $40.04 to $47.65.