Commerce Bancshares reports Q3 EPS 96c, consensus 93c

Reports Q3 Net loan charge-offs $9.8M, compared to $6.5M in the prior quarter and $4.8M last year. The ratio of annualized net loan charge-offs to total average loans was 0.23% in the current quarter, .16% in the previous quarter, and .12% in the 3rd quarter of last year. “Our strong quarterly performance in this high-rate environment demonstrates the resilience of our operating model and the adaptability of our bank,” said John Kemper, President and CEO. “Our net interest margin declined only one basis point from the previous quarter, reflecting the impact of higher asset yields and the strength of our core deposits. Non-interest income comprised 36.5% of total revenue.” On the balance sheet, Kemper added, “As planned, we decreased the excess liquidity position that was built through short-term brokered deposit funding and FHLB advances during the Q2. Our liquidity and capital levels remain robust, and credit performance remains excellent, with non-accrual loans at .05% of total loans, the same level as the third quarter of last year.”