Published in Finance

Merger expenses cut into ChoiceOne’s third quarter earnings

BY Monday, October 28, 2019 12:13pm

SPARTA — Higher expenses mostly related to the Oct. 1 merger with County Bank Corp. cut into third quarter earnings for ChoiceOne Financial Services Inc.

The Sparta-based parent company of ChoiceOne Bank reported net income of $1 million, or 28 cents per diluted share, for the three-month period ending Sept. 30. That compares to net income of $2 million, or 55 cents per diluted share, in the third quarter of 2018.

Kelly Potes COURTESY PHOTO

The results included $763,000 in merger-related expenses from the deal with Lapeer-based County Bank, the parent company of Lakestone Bank & Trust. ChoiceOne said it also generated one-time expenses from the opening of two new branches in the third quarter.

ChoiceOne’s merger with County Bank created a $1.3 billion bank with 29 offices in West Michigan and Southeast Michigan. The deal closed this month and the two banks will integrate in the second quarter of 2020.

“This year is proving very exciting for ChoiceOne,” ChoiceOne CEO Kelly Potes said. “Because of our separate, but similar markets, this merger presents many efficiencies and new growth opportunities in our expanded network across Michigan.”

ChoiceOne recorded net income of $4.1 million, or $1.14 per diluted share, through the first nine months of 2019, versus $5.5 million, or $1.52 million per diluted share, in the same period of 2018. ChoiceOne said it had $1.4 million in merger-related expenses during the first nine months of this year.

Read 1723 times Last modified on Monday, 28 October 2019 12:20
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