Commerce Bank's quarterly profits slip

Kansas City-based Commerce Bancshares Inc. (Nasdaq: CBSH) reported a small dip in third-quarter profits as higher expenses dug into the bottom line.

The Commerce Bank operator's net income available to common shareholders slipped by 2% to $122.6 million from $125 million a year earlier, according to a news release. Diluted share earnings dropped 1 cent to $1.05.

"Noninterest expense increased compared to the same quarter last year, as higher incentive compensation reflected our improved financial performance in 2021 and certain business expenses that declined precipitously during the pandemic are rebounding from lows set one year ago," CEO John Kemper said in the release, referencing a nearly 11% increase in noninterest expense to $211.6 million.

Third-quarter financial notes for Commerce Bank:
• Revenue increased by 1.7% to $351.5 million compared with a year earlier.
• Salaries and employee benefits were up 4.3% to $132.8 million.
• The company paid a roughly 26-cent shareholder dividend, a 2.1% increase compared with third-quarter 2020.

As of Sept. 30, Commerce had $34.5 billion in assets and $28 billion in deposits, according to the release. The company operates five branches in Springfield, according to its website.

CBSH shares were trading at $71.49 as of 10:35 a.m., compared with a 52-week range of $57.23 to $83.06 per share.