Jun 30, 2020

Commerce Bank Q2 2020 Earnings Report

Commerce Bancshares Inc. reported a decrease in earnings per share due to additional reserves for future loan losses, influenced by the economic forecast deterioration.

Key Takeaways

Commerce Bancshares, Inc. announced earnings of $.34 per common share for the three months ended June 30, 2020, compared to $.91 per share in the same quarter last year. Net income attributable to Commerce Bancshares, Inc. for the second quarter of 2020 amounted to $39.9 million, compared to $108.0 million in the second quarter of 2019.

Earnings per share were $.34, down from $.91 in the same quarter last year.

Net income amounted to $39.9 million, a decrease from $108.0 million in the prior year quarter.

Return on average assets was .54%, and return on average common equity was 4.77%.

Net interest margin declined 39 basis points due to declining interest rates and rapid deposit growth.

Total Revenue
$321M
Previous year: $339M
-5.4%
EPS
$0.3
Previous year: $0.87
-65.5%
Return on avg. assets
0.54%
Return on avg. equity
4.77%
Efficiency ratio
58.1%
Cash and Equivalents
$1.82B
Previous year: $961M
+89.1%
Free Cash Flow
$144M
Previous year: $101M
+43.1%
Total Assets
$30.5B
Previous year: $25.8B
+18.3%

Commerce Bank

Commerce Bank

Commerce Bank Revenue by Segment

Forward Guidance

This information contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include future financial and operating results, expectations, intentions and other statements that are not historical facts. Such statements are based on current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements.