UMB Bank's Q2 net income declines by 34%

Kansas City-based UMB Financial Corp. (Nasdaq: UMBF) reported a roughly 34.5% drop in second-quarter profits.

The company, which operates two UMB Bank branches in Springfield, recorded net income of $90.1 million, down from $137.6 million a year earlier, according to a news release. Year-over-year diluted share earnings fell to $1.85 from $2.83 per share.

“In the second quarter of 2023, the positive impacts of fee income trends, a double-digit annualized increase in average loan balances, excellent asset quality metrics and expense management were masked by higher interest expense driven by the Federal Reserve’s monetary tightening actions as well as expected increases in funding costs in this high interest rate environment,” said Mariner Kemper, chair, president and CEO, in the release.

As of June 30, UMB Bank's assets were $41.2 billion and deposits were $33.5 billion.

UMBF shares were trading at $68.89 as of 10:31 a.m., compared with a 52-week range of $50.68 to $99.19 per share.