Independent Bank Corporation Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2018; Provides Tax Rate Guidance for the Third Quarter and Fourth Quarter of Fiscal 2018
July 26, 2018 at 05:29 pm IST
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Independent Bank Corporation reported unaudited consolidated earnings results for the second quarter and six months ended June 30, 2018. For the quarter, the company reported total interest income of $33,103,000 compared to $23,533,000 a year ago. Net interest income was $28,980,000 compared to $21,492,000 a year ago. Income before income tax was $10,884,000 compared to $8,594,000 a year ago. Net income was $8,817,000 or $0.36 per diluted share compared to $5,931,000 or $0.27 per diluted share a year ago. Return on average assets was 1.12% compared to 0.92% a year ago. Return on average common equity was 10.57% compared to 9.15% a year ago.
For the six months, the company reported total interest income of $59,900,000 compared to $46,912,000 a year ago. Net interest income was $52,916,000 compared to $42,958,000 a year ago. Income before income tax was $22,083,000 compared to $17,189,000 a year ago. Net income was $17,978,000 or $0.78 per diluted share compared to $11,905,000 or $0.55 per diluted share a year ago. The increases in second quarter and year to date 2018 earnings as compared to 2017 primarily reflect increases in net interest income and in non-interest income and a decrease in income tax expense that were partially offset by increases in the provision for loan losses and in non-interest expense.
The company expects an effective income tax rate between 19% and 20% for the third and fourth quarters of 2018.
Independent Bank Corporation is a bank holding company for Independent Bank (the Bank). The Bank provides a full range of financial services, including commercial banking, mortgage lending, investments, and insurance. It offers a broad range of banking services to individuals and businesses, including checking and savings accounts, commercial lending, direct and indirect consumer financing, mortgage lending, and safe deposit box services. Its principal markets are the rural and suburban communities across Lower Michigan, which are served by the bank's main office in Grand Rapids, Michigan, and a total of 56 branches, two drive-thru facilities, and five Michigan-based loan production offices. It also has one loan production facility in Ohio (Fairlawn). The bank's branches provide full-service lobby and drive-thru services, as well as automatic teller machines (ATMs). In addition, it also provides Internet and mobile banking capabilities to its customers.
Independent Bank Corporation Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended June 30, 2018; Provides Tax Rate Guidance for the Third Quarter and Fourth Quarter of Fiscal 2018