GRAND RAPIDS — Mercantile Bank Corp. today reported higher quarterly earnings.
The Grand Rapids-based Mercantile Bank recorded net income of $8.3 million, or 51 cents per diluted share, for the third quarter. That compares with net income of $7.8 million, or 48 cents per diluted share, in the same period a year earlier.
Analysts who follow Mercantile Bank had expected earnings of 48 cents per share, according to Yahoofinance.com.
The third quarter results continued Mercantile Bank’s sustained profitability in 2017 and solid loan growth, President and CEO Robert Kaminski Jr. said.
“Mercantile remains on track to deliver a strong year of financial performance,” Kaminski Jr. said in a statement. “Our sustained strength in core profitability and strong capital position provide us with a high degree of optimism that the fourth quarter of 2017 will produce operating results similar to those achieved during the first three quarters of the year and position us well for sustainable growth opportunities into 2018.”
Nine-month net income totaled nearly $23.3 million, or $1.41 per diluted share, versus $23.8 million, or $1.46 per diluted share, through the third quarter of 2016.
Mercantile Bank’s total loans grew about 6 percent from a year earlier to $2.55 billion. The bank originated $128 million in new commercial term loans during the quarter, and has $163 million in unfunded loan commitments for construction and development that it expects to fund within 12 to 18 months.
“The (loan) pipeline is a robust as it ever has been,” Kaminski said during a conference call with analysts to discuss quarterly results. “We see some good opportunities in all of our markets.”
Mercantile Bank has 49 offices across the Lower Peninsula with assets as of Sept. 30 of $3.25 billion. The bank expects loan growth during all of 2017 in the high single digits, Kaminski said.