From the Vault: UMB reports 35 percent second-quarter growth

Company officials attributed the movement to a 6.3 percent, or $3.3 million, increase in net interest income and a 10.1 percent, or $6.6 million, increase in noninterest income.

“Return on average equity is the highest level since the first quarter of 2002, and at 1.02 percent, return on average assets improved significantly,” Chairman and CEO Mariner Kemper said in the earnings release.

Average loans for the quarter were $3.9 billion, compared to $3.5 billion in the second quarter of 2006.

Year-to-date earnings totaled $37.4 million, or 89 cents per share, up 33.1 percent from the first six months of 2006.

Shares of UMB Financial Corp. (Nasdaq: UMBF) closed July 25 at $39.05, compared to a 52-week range of $33.04 to $41.70.

Guaranty Bank quarterly earnings fall 10%

Springfield-based Guaranty Federal Bancshares, the holding company for Guaranty Bank, July 17 posted a decrease in second-quarter earnings alongside year-to-date growth.

Earnings were $1.42 million, or 50 cents per diluted share, for the quarter ended June 30. That’s down 10 percent from $1.58 million, or 54 cents per share, in second-quarter 2006. Meanwhile, year-to-date earnings were $1.12 per share, or $3.17 million, a 4 percent increase from $1.08 per share, or $3.15 million, in the same period last year.

Deposits for the quarter increased 12 percent, or $43 million, from the end of 2006. However, Guaranty assets dropped to $514.9 million, a $10 million decrease from assets reported Dec. 31.

Nonperforming assets saw substantial growth, totaling $8.7 million, compared to $2.9 million at the end of 2006. Officials say the increase is due to the reserving of interest income on one nonperforming loan – which also was the reason for the quarter’s lower earnings per share, according to a company news release.

“We have been able to succeed in three major initiatives that we have established over the past year: grow core deposits, increase mortgage loan volume and increase deposit fee income,” President and CEO Shaun Burke said in the release.

Company shares (Nasdaq: GFED) closed July 25 at $29.29, compared to a 52-week range of $27.56 to $30.85.

Regions Bank earnings rise

Birmingham, Ala.-based Regions Financial Corp. on July 16 reported an earnings increase of $108 million in the quarter ended June 30.

Net income was $453 million, or 63 cents per share, compared to $345 million, or 75 cents per share, a year before.

Net interest income was $1.11 billion, down from $1.18 billion in the quarter ended March 31 but up from $777 million in second-quarter 2006.

Noninterest revenue climbed to $729.6 million, driven by growth in deposit service charges and brokerage income, according to a company news release. Regions’ broker-dealer division, Morgan Keegan, had a record quarterly profit of $50 million on revenue of $328.8 million.

Company shares (NYSE: RF) closed July 25 at $31.96, compared to a 52-week range of $31.45 to $39.15.

Great Southern earnings grow 9%

Springfield-based Great Southern Bancorp Inc., the holding company for Great Southern Bank, on July 19 reported quarterly earnings up 9 percent.

Earnings for the quarter ended June 30 were $8.2 million, or 60 cents per diluted share, compared to $7.5 million, or 54 cents per share, earned in the same period last year.

Year-to-date earnings as of June 30 were $1.13 per share, or $15.5 million, up from $1.06 per share, or $14.7 million, last year.

“Growth in our loan portfolio, primarily in the commercial and residential construction area, continued at a healthy pace in the second quarter,” Great Southern President and CEO Joseph W. Turner said in a news release. “Net interest income increased in the second quarter, as asset balances and yields on those assets both increased.”

Turner added that noninterest income also rose, by nearly 7 percent, to $7.9 million. Officials attribute the gains to 6 percent growth in service charges and ATM fees, and 11 percent growth in commission revenue from the company’s investment, insurance and travel divisions.

Company shares (Nasdaq: GSBC) closed July 25 at $25.48, compared to a 52-week range of $25.08 to $32.14.

U.S. Bancorp reports declines

U.S. Bancorp July 17 released its second-quarter results, showing a slight year-to-year decline in net income and per-share earnings.

Net income for the quarter was $1.16 billion, compared to $1.2 billion in second-quarter 2006.

Diluted earnings per share were 65 cents, up 3.2 percent from 63 cents in the previous quarter but down 1.5 percent from 66 cents a year ago.

Return on average assets was 2.09 percent, down from 2.27 percent last year, and return on average common equity was 23 percent, down from 24.3 percent.

The Minneapolis-based financial holding company saw growth in fee income and reported strong credit quality metrics.

Nonperforming assets fell $17 million, or 2.9 percent, to $565 million, from $582 million in the first quarter but saw an increase from $550 million in second-quarter 2006.

U.S. Bancorp has $223 billion in assets and operates 2,499 banking offices in 24 states, including Missouri. Shares (NYSE: USB) closed July 25 at $31.14, compared to a 52-week range of $30.78 to $36.85.

Commerce posts 1.3% increase

Commerce Bancshares Inc., the Kansas City-based holding company for Commerce Bank, on July 12 announced second-quarter earnings of 79 cents per share, up 1.3 percent from the 78 cents per share announced in the second quarter of 2006.

Net income for the second quarter totaled $55.6 million, compared to $55.3 million in the same period last year.

For the first six months of the year, earnings per share amounted to $1.52, unchanged from 2006.

Net income was $107.1 million, down 1.1 percent from 2006. Total assets as of June 30 were $15.5 billion, total loans were $10.5 billion, and total deposits were $12.1 billion.

Shares of Commerce Bancshares (Nasdaq: CBSH) closed July 25 at $45.28, compared to a 52-week range of $43.43 to $50.77.

Bank of America earnings up 8%

Charlotte, N.C.-based Bank of America Corp. on July 19 posted a 9-cent per-share earnings increase in the second quarter.

Net income for the quarter rose 5 percent to $5.76 billion. Diluted earnings per share increased 8 percent to $1.28, from $1.19 last year.

Investment banking income, sales of retail products and originations of first mortgages saw gains in the quarter, as did sales to small businesses, which rose 41 percent.

Return on average common shareholders’ equity was 17.55 percent.

Bank of America shares (NYSE: BAC) closed July 25 at $47.93, compared to a 52-week range of $46.90 to $55.08.[[In-content Ad]]