Commerce sees 12 percent per share growth in earnings

Commerce Bancshares Inc. announced record earnings of $121.9 million for nine months ending Sept.30 an increase of 11 percent compared to $109.7 million earned during the same period last year, according to a Commerce Bancshares Inc. press release.

Earnings per share amounted to $1.98 for 1999, an increase of 12 percent compared to $1.77 in 1998.

The returns on assets and realized equity for the first nine months were 1.47 percent and 16 percent, respectively, the release states.

"We continue to be pleased with our growth in top line revenue. Our 11 percent revenue increase for the year is a direct result of our super community banking strategy, which has emphasized balanced growth in net interest income and core fee revenue," said David W. Kemper, chairman and chief executive officer.

"These income streams have increased 10 percent and 14 percent, respectively, during this past year," Kemper added. "While we have made significant investments of new products, information systems and staff development, we are pleased to note these expenses are leveling off and should pave the way for continued profitable growth."

Kemper went on to say Commerce Bancshares' balance sheet reflects good growth in both loans and core deposits, which are generated from the markets the company traditionally serves.

He also said asset quality continues to remain strong with net charge-offs at 0.40 percent of average loans, and nonperforming assets totaled 0.37 percent of total assets as of Sept. 30 and were down 4 percent from the same period a year ago.

Total assets for Commerce Bancshares Inc. as of Sept. 30 were $11.1 billion, total loans were $7.4 billion and total deposits were $9.2 billion.

The allowance for loan losses totaled $121.2 million and was 299 percent of nonperforming assets.