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Mercantile Bank (MBWM) Reports Q3 Earnings: What Key Metrics Have to Say
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Mercantile Bank (MBWM - Free Report) reported $58.21 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 17.3%. EPS of $1.30 for the same period compares to $1.01 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $53.73 million, representing a surprise of +8.33%. The company delivered an EPS surprise of +11.11%, with the consensus EPS estimate being $1.17.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Mercantile Bank performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Efficiency Ratio: 49.7% compared to the 52.2% average estimate based on three analysts.
Net Interest Margin: 4% compared to the 3.8% average estimate based on three analysts.
Net loan charge-offs to average loans: 0% compared to the 0.1% average estimate based on two analysts.
Total nonperforming assets: $5.94 million versus the two-analyst average estimate of $2.98 million.
Average Balance - Total interest-earning assets: $4.89 billion versus the two-analyst average estimate of $4.83 billion.
Net Interest Income: $48.96 million versus $46.60 million estimated by three analysts on average.
Total Noninterest Income: $9.25 million compared to the $7.14 million average estimate based on three analysts.
Credit and debit card income: $2.23 million versus the two-analyst average estimate of $2.47 million.
Mortgage banking income: $2.78 million compared to the $1.46 million average estimate based on two analysts.
Earnings on bank owned life insurance policies: $0.42 million compared to the $0.40 million average estimate based on two analysts.
Service charges on accounts: $1.37 million versus the two-analyst average estimate of $1.08 million.
Shares of Mercantile Bank have returned -2.1% over the past month versus the Zacks S&P 500 composite's -1.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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Mercantile Bank (MBWM) Reports Q3 Earnings: What Key Metrics Have to Say
Mercantile Bank (MBWM - Free Report) reported $58.21 million in revenue for the quarter ended September 2023, representing a year-over-year increase of 17.3%. EPS of $1.30 for the same period compares to $1.01 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $53.73 million, representing a surprise of +8.33%. The company delivered an EPS surprise of +11.11%, with the consensus EPS estimate being $1.17.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Mercantile Bank performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Efficiency Ratio: 49.7% compared to the 52.2% average estimate based on three analysts.
- Net Interest Margin: 4% compared to the 3.8% average estimate based on three analysts.
- Net loan charge-offs to average loans: 0% compared to the 0.1% average estimate based on two analysts.
- Total nonperforming assets: $5.94 million versus the two-analyst average estimate of $2.98 million.
- Average Balance - Total interest-earning assets: $4.89 billion versus the two-analyst average estimate of $4.83 billion.
- Net Interest Income: $48.96 million versus $46.60 million estimated by three analysts on average.
- Total Noninterest Income: $9.25 million compared to the $7.14 million average estimate based on three analysts.
- Credit and debit card income: $2.23 million versus the two-analyst average estimate of $2.47 million.
- Mortgage banking income: $2.78 million compared to the $1.46 million average estimate based on two analysts.
- Earnings on bank owned life insurance policies: $0.42 million compared to the $0.40 million average estimate based on two analysts.
- Service charges on accounts: $1.37 million versus the two-analyst average estimate of $1.08 million.
View all Key Company Metrics for Mercantile Bank here>>>Shares of Mercantile Bank have returned -2.1% over the past month versus the Zacks S&P 500 composite's -1.6% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.