Commerce Bancshares reported second-quarter 2026 net income of $159.8 million, or diluted EPS of $1.10, compared with $152.5 million and $1.09 a year earlier. Total revenue for the quarter was $498.9 million and net interest income was $315.1 million, with a reported net yield on interest earning assets of 3.77%. The company repurchased ~2.1 million shares for $110 million and completed a repositioning of part of its available-for-sale securities portfolio during the quarter.
Financial Highlights
- Total revenue: $498.9 million for the three months ended June 30, 2026.
- Net interest income: $315.1 million for the quarter; net yield on interest earning assets 3.77%.
- Net income attributable to Commerce Bancshares: $159.8 million; diluted EPS: $1.10.
- Non-interest income: $183.8 million; investment securities gains (net): $12.8 million for the quarter.
- Non-interest expense: $297.1 million; efficiency ratio: 58.40% for the quarter.
Business Highlights
- Loan growth: average loans of $20.5 billion, up $176.6 million sequentially and about $3.0 billion year-over-year (reflecting the FineMark acquisition).
- Deposit and liquidity positioning: total average deposits $27.6 billion (down $135.0 million sequentially); securities repositioning included sale of Treasury inflation-protected securities to increase portfolio yield.
- Wealth and trust momentum: trust fees grew materially—71.5% of trust fee line was $71.5 million for the quarter, representing a 28.7% increase year-over-year in trust fees.
- Capital deployment: repurchased approximately 2.1 million common shares at an average price of $53.03 (~$110 million) while maintaining a strong capital ratio (Tier 1 leverage 12.81%).
- Credit quality: annualized net loan charge-offs 0.19% of average loans for the quarter; allowance for credit losses on loans was $195.4 million (0.94% of total loans) at June 30, 2026.
Original SEC Filing:
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